UNITY SOFTWARE INC., 10-Q filed on 11/7/2024
Quarterly Report
v3.24.3
Cover - shares
 9 Months Ended
Sep. 30, 2024
Oct. 30, 2024
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Sep. 30, 2024  
Document Transition Report false  
Entity File Number 001-39497  
Entity Registrant Name UNITY SOFTWARE INC.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 27-0334803  
Entity Address, Address Line One 30 3rd Street  
Entity Address, City or Town San Francisco  
Entity Address, State or Province CA  
Entity Address, Postal Zip Code 94103‑3104  
City Area Code 415  
Local Phone Number 638-9950  
Title of 12(b) Security Common stock, $0.000005 par value  
Trading Symbol U  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   402,840,097
Amendment Flag false  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q3  
Entity Central Index Key 0001810806  
Current Fiscal Year End Date --12-31  
v3.24.3
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Current assets:    
Cash and cash equivalents $ 1,405,276 $ 1,590,325
Accounts receivable, net 576,436 611,723
Prepaid expenses and other 134,656 122,843
Total current assets 2,116,368 2,324,891
Property and equipment, net 108,085 140,887
Goodwill 3,166,304 3,166,304
Intangible assets, net 1,154,699 1,406,745
Other assets 180,399 204,614
Total assets 6,725,855 7,243,441
Current liabilities:    
Accounts payable 15,195 14,517
Accrued expenses and other 289,340 307,704
Publisher payables 382,552 385,113
Deferred revenue 189,810 186,769
Total current liabilities 876,897 894,103
Convertible notes 2,238,083 2,711,750
Long-term deferred revenue 17,257 6,015
Other long-term liabilities 167,058 217,195
Total liabilities 3,299,295 3,829,063
Commitments and Contingencies (Note 7)
Redeemable noncontrolling interests 236,914 225,797
Stockholders' equity:    
Common stock, $0.000005 par value: Authorized shares - 1,000,000 and 1,000,000; Issued and outstanding shares - 402,578 and 384,872 2 2
Additional paid-in capital 6,799,899 6,259,479
Accumulated other comprehensive loss (2,987) (5,009)
Accumulated deficit (3,613,217) (3,071,830)
Total Unity Software Inc. stockholders' equity 3,183,697 3,182,642
Noncontrolling interest 5,949 5,939
Total stockholders' equity 3,189,646 3,188,581
Total liabilities and stockholders' equity $ 6,725,855 $ 7,243,441
v3.24.3
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares
Sep. 30, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Common stock, par value (USD per share) $ 0.000005 $ 0.000005
Common stock, authorized (in shares) 1,000,000,000 1,000,000,000
Common stock, issued (in shares) 402,578,000 384,872,000
Common stock, outstanding (in shares) 402,578,000 384,872,000
v3.24.3
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Income Statement [Abstract]        
Revenue $ 446,517 $ 544,210 $ 1,356,156 $ 1,578,049
Cost of revenue 112,054 151,349 365,316 472,140
Gross profit 334,463 392,861 990,840 1,105,909
Operating expenses        
Research and development 215,197 240,003 706,860 788,438
Sales and marketing 176,423 194,000 576,902 619,258
General and administrative 69,989 86,256 338,573 272,047
Total operating expenses 461,609 520,259 1,622,335 1,679,743
Loss from operations (127,146) (127,398) (631,495) (573,834)
Interest expense (5,839) (6,154) (17,703) (18,425)
Interest income and other income (expense), net 15,350 16,013 102,450 38,689
Loss before income taxes (117,635) (117,539) (546,748) (553,570)
Provision for (benefit from) Income taxes 6,913 7,771 (4,984) 18,767
Net loss (124,548) (125,310) (541,764) (572,337)
Net income (loss) attributable to noncontrolling interest and redeemable noncontrolling interests 191 (1,239) (377) (3,075)
Net loss attributable to Unity Software Inc. $ (124,739) $ (124,071) $ (541,387) $ (569,262)
Basic net loss per share attributable to Unity Software Inc. (USD per share) $ (0.31) $ (0.32) $ (1.38) $ (1.49)
Diluted net loss per share attributable to Unity Software Inc. (USD per share) $ (0.31) $ (0.32) $ (1.38) $ (1.49)
Weighted-average shares used in computation of basic net loss per share (in shares) 398,810 383,674 392,855 382,939
Weighted-average shares used in computation of diluted net loss per share (in shares) 398,810 383,674 392,855 382,939
v3.24.3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Statement of Comprehensive Income [Abstract]        
Net loss $ (124,548) $ (125,310) $ (541,764) $ (572,337)
Other comprehensive income (loss), net of taxes:        
Change in foreign currency translation adjustment 7,412 (1,405) 2,558 (10,403)
Change in unrealized gains on derivative instruments 0 0 0 289
Other comprehensive income (loss) 7,412 (1,405) 2,558 (10,114)
Comprehensive loss (117,136) (126,715) (539,206) (582,451)
Net income (loss) attributable to noncontrolling interest and redeemable noncontrolling interests 191 (1,239) (377) (3,075)
Foreign currency translation attributable to noncontrolling interest and redeemable noncontrolling interests 1,501 (302) 536 (2,159)
Comprehensive loss attributable to noncontrolling interest and redeemable noncontrolling interests 1,692 (1,541) 159 (5,234)
Comprehensive loss attributable to Unity Software Inc. $ (118,828) $ (125,174) $ (539,365) $ (577,217)
v3.24.3
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)
$ in Thousands
Total
Unity Software Inc. Stockholders' Equity
Common Stock
Additional Paid-In Capital
Accumulated Other Comprehensive Loss
Accumulated Deficit
Noncontrolling Interest
Beginning balance (in shares) at Dec. 31, 2022     374,243,196        
Beginning balance at Dec. 31, 2022 $ 3,534,566 $ 3,528,268 $ 2 $ 5,779,776 $ (1,691) $ (2,249,819) $ 6,298 [1]
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Issuance of common stock from employee equity plans (in shares)     5,121,763        
Issuance of common stock from employee equity plans 64,994 64,994   64,994      
Issuance of common stock for settlement of RSUs (in shares)     7,913,407        
Purchase and retirement of common stock (in shares)     (7,558,415)        
Purchase and retirement of common stock (250,000) (250,000)   (250,000)      
Stock‑based compensation expense 478,698 478,698   478,698      
Net loss (569,472) (569,262)       (569,262) (210) [1]
Adjustments to redeemable noncontrolling interest (2,259) (2,259)   (2,259)      
Other comprehensive income (loss) (8,102) (7,955)     (7,955)   (147) [1]
Ending balance (in shares) at Sep. 30, 2023     379,719,951        
Ending balance at Sep. 30, 2023 3,248,425 3,242,484 $ 2 6,071,209 (9,646) (2,819,081) 5,941 [1],[2]
Beginning balance (in shares) at Jun. 30, 2023     383,290,627        
Beginning balance at Jun. 30, 2023 3,452,126 3,446,080 $ 2 6,149,631 (8,543) (2,695,010) 6,046 [2]
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Issuance of common stock from employee equity plans (in shares)     1,551,912        
Issuance of common stock from employee equity plans 23,050 23,050   23,050      
Issuance of common stock for settlement of RSUs (in shares)     2,435,827        
Purchase and retirement of common stock (in shares)     (7,558,415)        
Purchase and retirement of common stock (250,000) (250,000)   (250,000)      
Stock‑based compensation expense 151,155 151,155   151,155      
Net loss (124,156) (124,071)       (124,071) (85) [2]
Adjustments to redeemable noncontrolling interest (2,627) (2,627)   (2,627)      
Other comprehensive income (loss) (1,123) (1,103)     (1,103)   (20) [2]
Ending balance (in shares) at Sep. 30, 2023     379,719,951        
Ending balance at Sep. 30, 2023 $ 3,248,425 3,242,484 $ 2 6,071,209 (9,646) (2,819,081) 5,941 [1],[2]
Beginning balance (in shares) at Dec. 31, 2023 384,872,000   384,871,561        
Beginning balance at Dec. 31, 2023 $ 3,188,581 3,182,642 $ 2 6,259,479 (5,009) (3,071,830) 5,939 [1]
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Issuance of common stock from employee equity plans (in shares) 5,847,858   7,009,462        
Issuance of common stock from employee equity plans $ 57,302 57,302   57,302      
Issuance of common stock for settlement of RSUs (in shares)     10,697,117        
Stock‑based compensation expense 494,086 494,086   494,086      
Net loss (541,413) (541,387)       (541,387) (26) [1]
Adjustments to redeemable noncontrolling interest (10,968) (10,968)   (10,968)      
Other comprehensive income (loss) $ 2,058 2,022     2,022   36 [1]
Ending balance (in shares) at Sep. 30, 2024 402,578,000   402,578,140        
Ending balance at Sep. 30, 2024 $ 3,189,646 3,183,697 $ 2 6,799,899 (2,987) (3,613,217) 5,949 [1],[2]
Beginning balance (in shares) at Jun. 30, 2024     395,444,298        
Beginning balance at Jun. 30, 2024 3,190,520 3,184,686 $ 2 6,682,060 (8,898) (3,488,478) 5,834 [2]
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Issuance of common stock from employee equity plans (in shares)     2,592,849        
Issuance of common stock from employee equity plans 20,000 20,000   20,000      
Issuance of common stock for settlement of RSUs (in shares)     4,540,993        
Stock‑based compensation expense 107,120 107,120   107,120      
Net loss (124,726) (124,739)       (124,739) 13 [2]
Adjustments to redeemable noncontrolling interest (9,281) (9,281)   (9,281)      
Other comprehensive income (loss) $ 6,013 5,911     5,911   102 [2]
Ending balance (in shares) at Sep. 30, 2024 402,578,000   402,578,140        
Ending balance at Sep. 30, 2024 $ 3,189,646 $ 3,183,697 $ 2 $ 6,799,899 $ (2,987) $ (3,613,217) $ 5,949 [1],[2]
[1]
(1)    Excludes redeemable noncontrolling interests.
[2]
(1)    Excludes redeemable noncontrolling interests.
v3.24.3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Operating activities    
Net loss $ (541,764) $ (572,337)
Adjustments to reconcile net loss to net cash provided by operating activities:    
Depreciation and amortization 305,819 331,662
Stock-based compensation expense 485,893 467,743
Gain on repayment of convertible note (61,371) 0
Impairment of property and equipment 22,874 0
Other 14,735 11,557
Changes in assets and liabilities, net of effects of acquisitions:    
Accounts receivable, net 35,463 28,346
Prepaid expenses and other (11,949) 22,354
Other assets 4,367 33,533
Accounts payable 90 568
Accrued expenses and other (15,367) (24,021)
Publisher payables (2,561) (37,362)
Other long-term liabilities (46,782) (59,262)
Deferred revenue 13,914 (40,184)
Net cash provided by operating activities 203,361 162,597
Investing activities    
Purchases of short-term investments 0 (212)
Proceeds from principal repayments and maturities of short-term investments 0 102,673
Purchases of non-marketable investments 0 (2,500)
Purchases of intangible assets (12,860) 0
Purchases of property and equipment (23,107) (44,560)
Net cash provided by (used in) investing activities (35,967) 55,401
Financing activities    
Repayments of convertible note (414,999) 0
Repurchase and retirement of common stock 0 (250,000)
Proceeds from issuance of common stock from employee equity plans 57,302 64,994
Net cash used in financing activities (357,697) (185,006)
Effect of foreign exchange rate changes on cash, cash equivalents, and restricted cash 2,004 (17,656)
Increase (decrease) in cash, cash equivalents, and restricted cash (188,299) 15,336
Cash, cash equivalents, and restricted cash, beginning of period 1,604,267 1,505,688
Cash, cash equivalents, and restricted cash, end of period 1,415,968 1,521,024
Supplemental disclosure of cash flow information:    
Cash paid for interest 10,000 10,389
Cash paid for income taxes, net of refunds 19,341 15,869
Cash paid for operating leases 39,027 31,645
Supplemental disclosures of non‑cash investing and financing activities:    
Assets acquired under operating lease $ 14,586 $ 37,479
v3.24.3
Accounting Policies
 9 Months Ended
Sep. 30, 2024
Accounting Policies [Abstract]  
Accounting Policies Accounting Policies
Basis of Presentation and Consolidation
We prepared the accompanying unaudited condensed consolidated financial statements in accordance with United States ("U.S.") generally accepted accounting principles ("GAAP") and applicable rules and regulations of the Securities and Exchange Commission ("SEC") for interim financial reporting. The condensed consolidated financial statements include the accounts of Unity Software Inc., its wholly owned subsidiaries, and entities consolidated under the voting interest model. We have eliminated all intercompany balances and transactions. Certain information and footnote disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. In our opinion, all adjustments, which include normal recurring adjustments necessary for a fair presentation, have been included. The results of operations for the periods presented are not necessarily indicative of the results to be expected for the full year or other periods. The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes included in our 2023 Annual Report on Form 10-K.
Use of Estimates
The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make certain estimates, judgments, and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates, and such differences could be material to our financial position and results of operations.
Employee Separation and Restructuring Costs
In January 2024, we committed to a plan to eliminate approximately 25% of our workforce, and we mutually agreed to the departure of the founders of ironSource Ltd. Following these announcements, we incurred incremental employee separation costs of approximately $205 million in the nine months ended September 30, 2024, which included $127 million of incremental stock-based compensation. Of the incremental employee separation costs, $15 million are within cost of revenue, $46 million are within research and development, $52 million are within sales and marketing, and $92 million are within general and administrative. Additionally, in November 2023, we committed to a plan to reassess our real estate footprint. We incurred $45 million of restructuring costs, primarily related to office closures in the nine months ended September 30, 2024.
v3.24.3
Revenue
 9 Months Ended
Sep. 30, 2024
Revenue from Contract with Customer [Abstract]  
Revenue Revenue
The following table presents our revenue disaggregated by source, which also have similar economic characteristics (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Create Solutions$147,369 $188,900 $461,816 $569,379 
Grow Solutions299,148 355,310 894,340 1,008,670 
Total revenue$446,517 $544,210 $1,356,156 $1,578,049 
The following table presents our revenue disaggregated by geography, based on the invoice address of our customers (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
United States$128,114 $142,612 $398,076 $417,511 
Greater China (1)
65,679 65,092 187,432 194,390 
EMEA (2)
157,369 200,927 488,203 575,870 
APAC (3)
81,691 122,001 246,846 348,636 
Other Americas (4)
13,664 13,578 35,599 41,642 
Total revenue$446,517 $544,210 $1,356,156 $1,578,049 
(1)    Greater China includes China, Hong Kong, and Taiwan.
(2)    Europe, the Middle East, and Africa ("EMEA")
(3)    Asia-Pacific, excluding Greater China ("APAC")
(4)    Canada and Latin America ("Other Americas")
Accounts Receivable, Net
Accounts receivable are recorded at the original invoiced amount, net of allowances for uncollectible amounts. We estimate losses on uncollectible amounts based on expected losses, including our historical experience of actual losses. The estimated losses on uncollectible amounts are recorded in general and administrative expense on our condensed consolidated statements of operations. As of September 30, 2024 and December 31, 2023, the allowance for uncollectible amounts was $17.3 million and $16.9 million, respectively. For the nine months ended September 30, 2024 and 2023, the provision for uncollectible amounts was $6.5 million and $10.3 million, respectively.
Sales Commissions
Sales commissions that have a benefit beyond one year are capitalized and amortized on a straight-line method over the expected period of benefit, which is generally three years. As of September 30, 2024, capitalized commissions, net of amortization, included in prepaid expenses and other and other assets were $6.4 million and $5.3 million, respectively. As of December 31, 2023, capitalized commissions, net of amortization, included in prepaid expenses and other and other assets were $6.8 million and $4.8 million, respectively. During the three and nine months ended September 30, 2024, we recorded amortization costs of $2.2 million and $6.9 million in sales and marketing expenses, as compared to $2.5 million and $7.5 million during the three and nine months ended September 30, 2023, respectively.
Contract Balances and Remaining Performance Obligations
Contract assets (unbilled receivables), primarily included in accounts receivable, net, are recorded when revenue is earned in advance of customer billing schedules. Unbilled receivables totaled $19.4 million and $31.3 million as of September 30, 2024 and December 31, 2023, respectively. Of this total as of September 30, 2024, $8.3 million was included in Other Long-Term Assets on our consolidated balance sheets.
Contract liabilities (deferred revenue) relate to payments received in advance of performance under the contract. Revenue recognized during the nine months ended September 30, 2024 that was included in the deferred revenue balances at January 1, 2024 was $157.7 million.
Additionally, we have performance obligations associated with commitments in customer contracts to perform in the future that had not yet been recognized in our consolidated financial statements. For contracts with original terms that exceed one year, those commitments not yet recognized as of September 30, 2024, were $327 million and relate primarily to Create Solutions subscriptions, Enterprise
Support, and Strategic Partnerships. These commitments generally extend over the next one to five years and we expect to recognize approximately $194 million or 59% of this revenue during the next 12 months.
v3.24.3
Financial Instruments
 9 Months Ended
Sep. 30, 2024
Investments, Debt and Equity Securities [Abstract]  
Financial Instruments Financial Instruments
Cash, Cash Equivalents, and Restricted Cash
Cash, cash equivalents, and restricted cash are recorded at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. To increase the comparability of fair value measures, the following hierarchy prioritizes the inputs to valuation methodologies used to measure fair value:
•Level 1—Valuations based on quoted prices in active markets for identical assets or liabilities.
•Level 2—Valuations based on quoted prices for similar assets and liabilities in active markets or inputs that are observable for the assets or liabilities, either directly or indirectly through market corroboration.
•Level 3—Valuations based on unobservable inputs reflecting our own assumptions used to measure assets and liabilities at fair value. These valuations require significant judgment.
The following table summarizes, by major security type, our cash, cash equivalents, and restricted cash that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in thousands):
September 30, 2024December 31, 2023
Fair Value (1)
Cash$1,107,850 $834,877 
Level 1:
Restricted cash and cash equivalents:
Restricted cash$10,692 $13,942 
Money market funds95,130 502,754 
Time deposits202,296 252,694 
Total restricted cash and cash equivalents$308,118 $769,390 
Total cash, cash equivalents, and restricted cash$1,415,968 $1,604,267 
(1)    Due to the highly liquid nature of our investments, amortized cost approximates fair value.
Nonrecurring Fair Value Measurements
We hold equity investments in certain unconsolidated entities without a readily determinable fair value. These strategic investments represent less than a 20% ownership interest in each of the entities, and we do not have significant influence over or control of the entities. We use the measurement alternative to account for adjustments to these investments for observable transactions for the same or similar investments of the same issuer in any given quarter. If we determine an impairment has occurred, the investment is written down to the estimated fair value. As of September 30, 2024 and December 31, 2023, such equity investments totaled $33.0 million and $33.6 million, respectively. No material adjustments to the carrying value of these equity investments were recorded for the three and nine months ended September 30, 2024 and 2023.
v3.24.3
Investment in Unity China
 9 Months Ended
Sep. 30, 2024
Noncontrolling Interest [Abstract]  
Investment in Unity China Investment in Unity China
The results of Unity China, of which third-party investors hold a 20.5% ownership interest, are included in our condensed consolidated financial statements. Under certain conditions we may be required to repurchase the third-party interest in Unity China. The redeemable noncontrolling interests in Unity China are recorded as temporary equity on our condensed consolidated balance sheet.
The following table presents the changes in redeemable noncontrolling interests (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Balance at beginning of period$226,056 $215,749 $225,797 $219,563 
Net gain/(loss) attributable to redeemable noncontrolling interests178 (1,153)(351)(2,865)
Accretion for redeemable noncontrolling interests2,698 6,401 8,640 12,775 
Foreign currency translation and foreign exchange adjustments for redeemable noncontrolling interests7,982 (4,052)2,828 (12,528)
Balance at end of period$236,914 $216,945 $236,914 $216,945 
v3.24.3
Leases
 9 Months Ended
Sep. 30, 2024
Leases [Abstract]  
Leases Leases
We have operating leases for offices, which have remaining lease terms of up to nine years.
Components of lease expense were as follows (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Operating lease expense$10,695 $10,524 $31,527 $30,292 
Variable lease expense1,395 1,408 4,613 3,850 
Sublease income(671)(493)(1,467)(1,317)
Total lease expense$11,419 $11,439 $34,673 $32,825 
Supplemental balance sheet information related to leases was as follows (in thousands, except weighted-average figures):
As of
ClassificationSeptember 30, 2024December 31, 2023
Operating lease assetsOther assets$82,378 $113,256 
Current operating lease liabilitiesAccrued expenses and other$34,452 $39,132 
Long-term operating lease liabilitiesOther long-term liabilities84,973 111,669 
Total operating lease liabilities$119,425 $150,801 
As of September 30, 2024 and December 31, 2023, our operating leases had a weighted-average remaining lease term of 4.6 years and 5.1 years, respectively, and a weighted-average discount rate of 5.4% and 5.2%, respectively.
In November 2023, we committed to a plan to reassess our real estate footprint, focusing on optimizing efficiency and reducing costs. In connection with this plan, during the nine months ended September 30, 2024, we recorded $12.2 million of impairment charges on operating lease assets. No impairment charges were recorded during the three months ended September 30, 2024.
As of September 30, 2024, our lease liabilities were as follows (in thousands):
Operating Leases
Gross lease liabilities$134,635 
Less: imputed interest15,210 
Present value of lease liabilities$119,425 
As of September 30, 2024, we had entered into a lease that has not yet commenced with future minimum lease payments of $4.9 million which are not yet reflected on our consolidated balance sheet. This operating lease will commence in 2024 with a lease term of 5 years.
v3.24.3
Borrowings
 9 Months Ended
Sep. 30, 2024
Debt Disclosure [Abstract]  
Borrowings Borrowings
Convertible Notes
As of September 30, 2024, we had $2.2 billion of unsecured convertible notes outstanding including $1.0 billion issued in November 2022 (the "2027 Notes") and $1.2 billion issued in November 2021 (the "2026 Notes"). The table below summarizes the principal and unamortized debt issuance costs and other material features of the Notes (in thousands):
Carrying Amount as of
Conversion Rate per
$1,000 Principal
Conversion Price
MaturitiesStated Interest RatesSeptember 30, 2024December 31, 2023
Convertible notes:
Principal – 2026 Notes
3.2392 $308.72 20260.0%$1,245,232 $1,725,000 
Principal – 2027 Notes
20.4526 $48.89 20272.0%1,000,000 1,000,000 
Unamortized debt issuance costs, net(7,149)(13,250)
Net carrying amount$2,238,083 $2,711,750 
Interest on the Notes is payable semi-annually in arrears. The combined interest expense on the Notes related to regular interest and the amortization of debt issuance cost was $5.8 million and $17.7 million for the three and nine months ended September 30, 2024, respectively, and $6.3 million and $18.5 million for the three and nine months ended September 30, 2023, respectively.
As of September 30, 2024 and December 31, 2023, the estimated fair value of the 2027 Notes were approximately $1.0 billion and $1.3 billion, respectively, and the estimated fair value of the 2026 Notes were approximately $1.1 billion and $1.4 billion, respectively. The fair value of the 2027 Notes was based on a combination of a discounted cash flow and Black-Scholes option-pricing model. The fair value of the 2026 Notes was based on quoted prices as of that date.
The 2026 Notes are convertible at the option of the holder if a conversion condition of the 2026 Notes is triggered. During the three and nine months ended September 30, 2024, none of the conversion conditions of the 2026 Notes were triggered and the 2026 Notes were not convertible as of September 30, 2024. The holders of the 2027 Notes may elect to convert the notes prior to maturity. Any such conversion may be satisfied at our election with either cash, shares of our common stock, or a combination of cash and shares of our common stock. The conversion rates for the Notes is subject to customary adjustments for certain events as described in the indentures governing the Notes.
The Notes are subject to additional terms. In connection with certain corporate events, as described in the Indentures, we will increase the conversion rate for a holder of the Notes who elects to convert those notes in connection with the event. Additionally, upon the occurrence of certain corporate events and subject to certain exceptions, as described in the Indentures, holders of the Notes may require us to repurchase all or a portion of their notes at a price equal to 100% of the principal amount to be repurchased, plus any accrued and unpaid interest to date. The 2026 Notes are also redeemable at our option if certain conditions are met, as described in the Indenture governing the 2026 Notes.
As of September 30, 2024, no holders of the 2027 and 2026 Notes have exercised the conversion rights, and the if-converted value of the 2027 and 2026 Notes did not exceed the principal amount.
Convertible Note Repurchase
During the first quarter of 2024, the Company repurchased in privately negotiated transactions and extinguished a portion of the 2026 Notes, with a total principal balance of $480 million. The aggregate
repurchase price for these notes was $415 million, resulting in pre-tax gains of $61.4 million, net of the write-off of unamortized issuance costs. The gain was included in Interest income and other income (expense), net, in the condensed consolidated statement of operations.
Capped Call Transactions
To reduce the potential dilutive effect of the 2026 Notes, in connection with their pricing, we entered into the Capped Call Transactions at a net cost of $48.1 million, with call options totaling approximately 5.6 million of our common shares, and with expiration dates ranging from September 18, 2026 to November 12, 2026. The strike price is $308.72, and the cap price is initially $343.02 per share, subject to adjustments in certain circumstances. The Capped Call Transactions are freestanding and are considered separately exercisable from the 2026 Notes. As of September 30, 2024, the Capped Call Transactions met the conditions for equity classification and were not in the money.
v3.24.3
Commitments and Contingencies
 9 Months Ended
Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
The following table summarizes our non-cancelable contractual commitments as of September 30, 2024 (in thousands):
Total
Remainder of 2024
2025‑2026
2027‑2028
Thereafter
Operating leases (1)
$139,533 $10,746 $66,537 $41,240 $21,010 
Purchase commitments (2)
583,957 118,049 436,476 29,432 — 
Convertible note principal and interest (3)
2,315,232 10,000 1,285,232 1,020,000 — 
Total$3,038,722 $138,795 $1,788,245 $1,090,672 $21,010 
(1)    Operating leases consist of obligations for real estate, including leases that are not yet commenced.
(2)    The substantial majority of our purchase commitments are related to agreements with our data center hosting providers.
(3)    Convertible notes due 2026 and 2027. See Note 6, "Borrowings," above for further discussion.
We expect to meet our remaining commitments.
Legal Matters
In the normal course of business, we are subject to various legal matters. We accrue a liability when management believes that it is both probable that a liability has been incurred and the amount of loss can be reasonably estimated. We also disclose material contingencies when we believe a loss is not probable but reasonably possible. Legal costs related to such potential losses are expensed as incurred. In addition, recoveries are shown as a reduction in legal costs in the period in which they are realized. With respect to our outstanding matters, based on our current knowledge, we believe that the resolution of such matters will not, either individually or in aggregate, have a material adverse effect on our business or our condensed consolidated financial statements. However, litigation is inherently uncertain, and the outcome of these matters cannot be predicted with certainty. Accordingly, cash flows or results of operations could be materially affected in any particular period by the resolution of one or more of these matters.
Indemnifications
In the ordinary course of business, we may provide indemnifications of varying scope and terms to customers, vendors, lessors, investors, directors, officers, employees and other parties with respect to certain matters. Indemnification may include losses from our breach of such agreements, services we provide, or third-party intellectual property infringement claims. These indemnifications may survive termination of the underlying agreement and the maximum potential amount of future indemnification payments may not be subject to a cap. As of September 30, 2024, there were no known events or circumstances that have resulted in a material indemnification liability to us and we did not incur material costs to defend lawsuits or settle claims related to these indemnifications.
Letters of Credit
We had $10.7 million and $13.9 million of secured letters of credit outstanding as of September 30, 2024 and December 31, 2023, respectively. These primarily relate to our office space leases and are fully collateralized by certificates of deposit which we record in restricted cash as other assets on our condensed consolidated balance sheets.
v3.24.3
Stock-Based Compensation
 9 Months Ended
Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock‑Based Compensation
Stock-based compensation expense is as follows (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Cost of revenue$10,334 $19,591 $35,051 $58,241 
Research and development58,582 66,618 203,228 214,159 
Sales and marketing21,885 35,075 108,138 105,272 
General and administrative13,816 25,893 139,476 90,071 
Total stock-based compensation expense$104,617 $147,177 $485,893 $467,743 
Included in the above expenses for the nine months ended September 30, 2024, is $94 million of incremental stock-based compensation expense from modifications, primarily within general and administrative. These amounts predominately relate to the modification of awards held by the founders of ironSource Ltd. that departed in the first quarter of 2024.
Stock Options
A summary of our stock option, including price-vested options ("PVO"), activity is as follows:
Options Outstanding
Stock
Options
Outstanding		Weighted-Average
Exercise
Price		Weighted-Average
Remaining
Contractual
Term
(In Years)
Balance as of December 31, 202331,541,466 $19.35 4.79
Granted2,614,966 $21.29 
Exercised(5,847,858)$5.99 
Forfeited, cancelled, or expired(2,073,825)$49.58 
Balance as of September 30, 202426,234,749 $20.12 4.40
Restricted Stock Units
A summary of our restricted stock unit ("RSU"), including price-vested unit ("PVU"), activity is as follows:
Unvested RSUs
Number of
Shares		Weighted-Average
Grant-Date
Fair Value
Unvested as of December 31, 202337,332,551 $38.31 
Granted18,743,697 $15.60 
Vested(10,722,702)$40.09 
Forfeited(10,401,800)$38.12 
Unvested as of September 30, 202434,951,746 $25.65 
Price-Vested Units and Price-Vested Options
The vesting for each of the PVOs and PVUs is subject to the fulfillment of both a service period that extends up to four years and the achievement of a stock price hurdle during the relevant performance period that extends up to six and seven years, respectively. The fair value of each PVO and PVU award is estimated using a Monte Carlo simulation that uses assumptions determined on the date of grant. During the three and nine months ended September 30, 2024, the stock price hurdles were not met.
Fair Value Assumptions
The calculated grant-date fair value of stock options, PVUs, and PVOs granted, were estimated using the Black-Scholes option-pricing model for stock options, and a Monte Carlo stimulation for the PVUs and PVOs, with the following assumptions:
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Expected dividend yield————
Risk-free interest rate
3.5% - 4.2%
4.4%
3.5% - 4.4%
3.8% - 4.4%
Expected volatility
60.0% - 67.3%
58.0%
60.0% - 67.3%
54.7% - 58.0%
Expected term (in years)
6.25 - 10.00
6.25
6.25 - 10.00
6.25
Fair value of underlying common stock
$15.60 - $16.75
$39.29
$15.60 - $26.89
$29.33 - $39.29
Employee Stock Purchase Plan
The fair value of shares offered under our Employee Stock Purchase Plan ("ESPP") was determined on the grant date using the Black-Scholes option pricing model. The following table summarizes the assumptions used and the resulting grant-date fair values of our ESPP:
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Expected dividend yield————
Risk-free interest rate4.9%5.5%
4.9% - 5.3%
5.2% - 5.5%
Expected volatility49.3%65.9%
49.3% - 56.0%
65.9% - 94.5%
Expected term (in years)0.500.500.500.50
Grant-date fair value per share$4.82$12.65
$4.82 - $9.11
$12.44 - $12.65
Additional information related to the ESPP is provided below (in thousands, except per share amounts):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Shares issued under the ESPP610,458531,8201,161,6041,064,463
Weighted-average price per share issued$13.91$25.25$19.13$25.56
v3.24.3
Income Taxes
 9 Months Ended
Sep. 30, 2024
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Our tax provision for interim periods is determined using an estimated annual effective tax rate, adjusted for discrete items arising in that quarter. In each quarter, we update the estimated annual effective tax rate and make a year-to-date adjustment to the provision. The estimated annual effective tax rate is subject to volatility due to several factors, including variability in accurately predicting our pre-tax income or loss and the mix of jurisdictions to which they relate, intercompany transactions, changes in how we do business, and tax law developments.
Our effective tax rate for the three and nine months ended September 30, 2024 differs from the U.S. federal statutory tax rate of 21% primarily due to the need to record a valuation allowance on U.S. losses and to a lesser extent tax expense on foreign earnings taxed at different rates. In addition, during the first quarter of 2024, we recorded a tax benefit on foreign losses in connection with employee separation costs and we continued to restructure our tax operations which resulted in a reduction to our U.S. valuation allowance. Our effective tax rate for the three and nine months ended September 30, 2023 differed from the U.S. federal statutory tax rate of 21% primarily due to the need to record a valuation allowance in the U.S. on losses and to a lesser extent, tax expense on foreign earnings taxed at different rates. In addition, the Company undertook certain tax restructuring efforts that enhanced our ability to offset deferred tax liabilities in the U.S. in future periods, thereby partially reducing the need for a valuation allowance.
The realization of deferred tax assets is dependent upon the generation of sufficient taxable income of the appropriate character in future periods. We regularly assess the ability to realize our deferred tax assets and establish a valuation allowance if it is more-likely-than-not that some portion of the deferred tax assets will not be realized. In performing this assessment with respect to each jurisdiction, we review all available positive and negative evidence. Primarily due to our history of losses, we believe that it is more likely than not that the deferred tax assets of our U.S. federal, certain U.S. states, Denmark, U.K., and other non-U.S. jurisdictions will not be realized and we have maintained a full valuation allowance against such deferred tax assets.
As of September 30, 2024, we had $190.5 million of gross unrecognized tax benefits, of which $34.3 million would impact the effective tax rate, if recognized. It is reasonably possible that the amount of unrecognized tax benefits as of September 30, 2024 could increase or decrease significantly as the timing of the resolution, settlement, and closure of audits is highly uncertain. We believe that we have adequately provided for any reasonably foreseeable outcome related to our tax audits and that any settlement will not have a material impact on our financial condition and operating results at this time.
v3.24.3
Net Loss per Share of Common Stock
 9 Months Ended
Sep. 30, 2024
Earnings Per Share [Abstract]  
Net Loss per Share of Common Stock Net Loss per Share of Common Stock
Basic and diluted net loss per share is the same for all periods presented because the effects of potentially dilutive items were antidilutive given our net loss in each period.
The following table presents potentially dilutive common stock excluded from the computation of diluted net loss per share (in thousands) because the impact of including them would have been antidilutive:
As of September 30,
20242023
Convertible notes24,488 26,042 
Stock options and PVOs26,235 31,258 
Unvested RSUs and PVUs34,952 29,636 
v3.24.3
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Pay vs Performance Disclosure        
Net Income (Loss) $ (124,739) $ (124,071) $ (541,387) $ (569,262)
v3.24.3
Insider Trading Arrangements
 3 Months Ended 9 Months Ended
Sep. 30, 2024
shares
Sep. 30, 2024
shares
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement  
The adoption or termination of contracts, instructions or written plans for the purchase or sale of our securities by our directors and officers (as defined in Rule 16a-1(f) under the Exchange Act) during the three months ended September 30, 2024, each of which is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act, were as follows:
NameTitleAction
 Adoption/Termination Date
Expiration Date (1)
Aggregate # of Securities to be Purchased/Sold
Anirma Gupta
Senior Vice President, Chief Legal Officer
Termination
August 13, 2024
December 31, 2024
(2)
Anirma Gupta
Senior Vice President, Chief Legal Officer
Adoption
August 15, 2024December 15, 2025
(3),(4)
Tomer Bar-Zeev
Director
Adoption
September 6, 2024June 30, 20251,500,000
David Helgason
Director
Adoption
September 10, 2024June 13, 2025
(5)
Mark Barrysmith
Senior Vice President, Chief Accounting Officer and Interim Chief Financial Officer
Adoption
September 12, 2024December 15, 2025
(4),(6)
(1)     Each of the plans expire on the respective dates shown, or upon the earlier completion of all authorized transactions under the plans.
(2)    The plan, originally adopted on May 12, 2023, provided for the potential sale of up to $500,000 of our common stock held in account and issuable upon future vesting events.
(3)    The plan provides for the sale of approximately $10,000 of our common stock per month based on the trading price of our common stock for 12 months. The actual number of shares that will be subject to the plan is dependent on the trading price of our common stock at future dates and is not yet determinable.
(4)    Each of Ms. Gupta and Mr. Barrysmith's plans provides for the potential sale of our common stock currently held in account and issuable upon future vesting events.
(5)    The potential number of shares that could be sold is between 0 and 8,000,000. The actual number of shares that will be subject to the plan is dependent on the trading price of our common stock at future dates and is not yet determinable.

(6)    The plan provides for the sale of approximately $30,000 worth of shares or our common stock per month based on the trading price of our common stock for 12 months. The actual number of shares that will be subject to the plan is dependent on the trading price of our common stock at future dates and is not yet determinable.
Non-Rule 10b5-1 Arrangement Adopted false  
Rule 10b5-1 Arrangement Terminated false  
Non-Rule 10b5-1 Arrangement Terminated false  
Tomer Bar-Zeev [Member]    
Trading Arrangements, by Individual    
Name Tomer Bar-Zeev  
Title Director  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date September 6, 2024  
Expiration Date June 30, 2025  
Arrangement Duration 297 days  
Aggregate Available 1,500,000 1,500,000
David Helgason [Member]    
Trading Arrangements, by Individual    
Name David Helgason  
Title Director  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date September 10, 2024  
Expiration Date June 13, 2025  
Arrangement Duration 276 days  
Aggregate Available 8,000,000 8,000,000
Mark Barrysmith [Member]    
Trading Arrangements, by Individual    
Name Mark Barrysmith  
Title Senior Vice President, Chief Accounting Officer and Interim Chief Financial Officer  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date September 12, 2024  
Expiration Date December 15, 2025  
Arrangement Duration 459 days  
Anirma Gupta May 2023 Plan [Member] | Anirma Gupta [Member]    
Trading Arrangements, by Individual    
Name Anirma Gupta  
Title Senior Vice President, Chief Legal Officer  
Rule 10b5-1 Arrangement Terminated true  
Termination Date August 13, 2024  
Expiration Date December 31, 2024  
Anirma Gupta August 2024 Plan [Member] | Anirma Gupta [Member]    
Trading Arrangements, by Individual    
Name Anirma Gupta  
Title Senior Vice President, Chief Legal Officer  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date August 15, 2024  
Expiration Date December 15, 2025  
Arrangement Duration 487 days  
v3.24.3
Accounting Policies (Policies)
 9 Months Ended
Sep. 30, 2024
Accounting Policies [Abstract]  
Basis of Presentation
Basis of Presentation and Consolidation
We prepared the accompanying unaudited condensed consolidated financial statements in accordance with United States ("U.S.") generally accepted accounting principles ("GAAP") and applicable rules and regulations of the Securities and Exchange Commission ("SEC") for interim financial reporting.
Consolidation The condensed consolidated financial statements include the accounts of Unity Software Inc., its wholly owned subsidiaries, and entities consolidated under the voting interest model. We have eliminated all intercompany balances and transactions. Certain information and footnote disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. In our opinion, all adjustments, which include normal recurring adjustments necessary for a fair presentation, have been included. The results of operations for the periods presented are not necessarily indicative of the results to be expected for the full year or other periods. The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes included in our 2023 Annual Report on Form 10-K.
Use of Estimates
Use of Estimates
The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make certain estimates, judgments, and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates, and such differences could be material to our financial position and results of operations.
Accounts Receivable, Net
Accounts Receivable, Net
Accounts receivable are recorded at the original invoiced amount, net of allowances for uncollectible amounts. We estimate losses on uncollectible amounts based on expected losses, including our historical experience of actual losses.
Sales Commissions and Contract Balances and Remaining Performance Obligations
Sales Commissions
Sales commissions that have a benefit beyond one year are capitalized and amortized on a straight-line method over the expected period of benefit, which is generally three years.Contract assets (unbilled receivables), primarily included in accounts receivable, net, are recorded when revenue is earned in advance of customer billing schedules.Contract liabilities (deferred revenue) relate to payments received in advance of performance under the contract.
Additionally, we have performance obligations associated with commitments in customer contracts to perform in the future that had not yet been recognized in our consolidated financial statements. For contracts with original terms that exceed one year, those commitments not yet recognized as of September 30, 2024, were $327 million and relate primarily to Create Solutions subscriptions, Enterprise
Support, and Strategic Partnerships.
Cash, Cash Equivalents, and Restricted Cash
Cash, Cash Equivalents, and Restricted Cash
Cash, cash equivalents, and restricted cash are recorded at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. To increase the comparability of fair value measures, the following hierarchy prioritizes the inputs to valuation methodologies used to measure fair value:
•Level 1—Valuations based on quoted prices in active markets for identical assets or liabilities.
•Level 2—Valuations based on quoted prices for similar assets and liabilities in active markets or inputs that are observable for the assets or liabilities, either directly or indirectly through market corroboration.
•Level 3—Valuations based on unobservable inputs reflecting our own assumptions used to measure assets and liabilities at fair value. These valuations require significant judgment.
v3.24.3
Revenue (Tables)
 9 Months Ended
Sep. 30, 2024
Revenue from Contract with Customer [Abstract]  
Schedule of Revenue Disaggregated by Source
The following table presents our revenue disaggregated by source, which also have similar economic characteristics (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Create Solutions$147,369 $188,900 $461,816 $569,379 
Grow Solutions299,148 355,310 894,340 1,008,670 
Total revenue$446,517 $544,210 $1,356,156 $1,578,049 
Schedule of Revenue Disaggregated by Geography
The following table presents our revenue disaggregated by geography, based on the invoice address of our customers (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
United States$128,114 $142,612 $398,076 $417,511 
Greater China (1)
65,679 65,092 187,432 194,390 
EMEA (2)
157,369 200,927 488,203 575,870 
APAC (3)
81,691 122,001 246,846 348,636 
Other Americas (4)
13,664 13,578 35,599 41,642 
Total revenue$446,517 $544,210 $1,356,156 $1,578,049 
(1)    Greater China includes China, Hong Kong, and Taiwan.
(2)    Europe, the Middle East, and Africa ("EMEA")
(3)    Asia-Pacific, excluding Greater China ("APAC")
(4)    Canada and Latin America ("Other Americas")
v3.24.3
Financial Instruments (Tables)
 9 Months Ended
Sep. 30, 2024
Investments, Debt and Equity Securities [Abstract]  
Schedule of Cash, Cash Equivalents, and Restricted Cash Measured at Fair Value on a Recurring Basis
The following table summarizes, by major security type, our cash, cash equivalents, and restricted cash that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in thousands):
September 30, 2024December 31, 2023
Fair Value (1)
Cash$1,107,850 $834,877 
Level 1:
Restricted cash and cash equivalents:
Restricted cash$10,692 $13,942 
Money market funds95,130 502,754 
Time deposits202,296 252,694 
Total restricted cash and cash equivalents$308,118 $769,390 
Total cash, cash equivalents, and restricted cash$1,415,968 $1,604,267 
(1)    Due to the highly liquid nature of our investments, amortized cost approximates fair value.
v3.24.3
Investment in Unity China (Tables)
 9 Months Ended
Sep. 30, 2024
Noncontrolling Interest [Abstract]  
Schedule of Changes in Redeemable Noncontrolling Interests
The following table presents the changes in redeemable noncontrolling interests (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Balance at beginning of period$226,056 $215,749 $225,797 $219,563 
Net gain/(loss) attributable to redeemable noncontrolling interests178 (1,153)(351)(2,865)
Accretion for redeemable noncontrolling interests2,698 6,401 8,640 12,775 
Foreign currency translation and foreign exchange adjustments for redeemable noncontrolling interests7,982 (4,052)2,828 (12,528)
Balance at end of period$236,914 $216,945 $236,914 $216,945 
v3.24.3
Leases (Tables)
 9 Months Ended
Sep. 30, 2024
Leases [Abstract]  
Schedule of Components of Lease Expense
Components of lease expense were as follows (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Operating lease expense$10,695 $10,524 $31,527 $30,292 
Variable lease expense1,395 1,408 4,613 3,850 
Sublease income(671)(493)(1,467)(1,317)
Total lease expense$11,419 $11,439 $34,673 $32,825 
Schedule of Supplemental Balance Sheet Information Related to Leases
Supplemental balance sheet information related to leases was as follows (in thousands, except weighted-average figures):
As of
ClassificationSeptember 30, 2024December 31, 2023
Operating lease assetsOther assets$82,378 $113,256 
Current operating lease liabilitiesAccrued expenses and other$34,452 $39,132 
Long-term operating lease liabilitiesOther long-term liabilities84,973 111,669 
Total operating lease liabilities$119,425 $150,801 
Schedule of Lease Liabilities
As of September 30, 2024, our lease liabilities were as follows (in thousands):
Operating Leases
Gross lease liabilities$134,635 
Less: imputed interest15,210 
Present value of lease liabilities$119,425 
v3.24.3
Borrowings (Tables)
 9 Months Ended
Sep. 30, 2024
Debt Disclosure [Abstract]  
Schedule of Principal and Unamortized Debt Issuance Costs and Other Material Features of Notes The table below summarizes the principal and unamortized debt issuance costs and other material features of the Notes (in thousands):
Carrying Amount as of
Conversion Rate per
$1,000 Principal
Conversion Price
MaturitiesStated Interest RatesSeptember 30, 2024December 31, 2023
Convertible notes:
Principal – 2026 Notes
3.2392 $308.72 20260.0%$1,245,232 $1,725,000 
Principal – 2027 Notes
20.4526 $48.89 20272.0%1,000,000 1,000,000 
Unamortized debt issuance costs, net(7,149)(13,250)
Net carrying amount$2,238,083 $2,711,750 
v3.24.3
Commitments and Contingencies (Tables)
 9 Months Ended
Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Non-Cancelable Contractual Commitments
The following table summarizes our non-cancelable contractual commitments as of September 30, 2024 (in thousands):
Total
Remainder of 2024
2025‑2026
2027‑2028
Thereafter
Operating leases (1)
$139,533 $10,746 $66,537 $41,240 $21,010 
Purchase commitments (2)
583,957 118,049 436,476 29,432 — 
Convertible note principal and interest (3)
2,315,232 10,000 1,285,232 1,020,000 — 
Total$3,038,722 $138,795 $1,788,245 $1,090,672 $21,010 
(1)    Operating leases consist of obligations for real estate, including leases that are not yet commenced.
(2)    The substantial majority of our purchase commitments are related to agreements with our data center hosting providers.
(3)    Convertible notes due 2026 and 2027. See Note 6, "Borrowings," above for further discussion.
v3.24.3
Stock-Based Compensation (Tables)
 9 Months Ended
Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Schedule of Stock-Based Compensation Expense
Stock-based compensation expense is as follows (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Cost of revenue$10,334 $19,591 $35,051 $58,241 
Research and development58,582 66,618 203,228 214,159 
Sales and marketing21,885 35,075 108,138 105,272 
General and administrative13,816 25,893 139,476 90,071 
Total stock-based compensation expense$104,617 $147,177 $485,893 $467,743 
Schedule of Stock Option Activity
A summary of our stock option, including price-vested options ("PVO"), activity is as follows:
Options Outstanding
Stock
Options
Outstanding		Weighted-Average
Exercise
Price		Weighted-Average
Remaining
Contractual
Term
(In Years)
Balance as of December 31, 202331,541,466 $19.35 4.79
Granted2,614,966 $21.29 
Exercised(5,847,858)$5.99 
Forfeited, cancelled, or expired(2,073,825)$49.58 
Balance as of September 30, 202426,234,749 $20.12 4.40
Schedule of Restricted Stock Unit Activity
A summary of our restricted stock unit ("RSU"), including price-vested unit ("PVU"), activity is as follows:
Unvested RSUs
Number of
Shares		Weighted-Average
Grant-Date
Fair Value
Unvested as of December 31, 202337,332,551 $38.31 
Granted18,743,697 $15.60 
Vested(10,722,702)$40.09 
Forfeited(10,401,800)$38.12 
Unvested as of September 30, 202434,951,746 $25.65 
Schedule of Grant-Date Fair Value of Stock Options Granted
The calculated grant-date fair value of stock options, PVUs, and PVOs granted, were estimated using the Black-Scholes option-pricing model for stock options, and a Monte Carlo stimulation for the PVUs and PVOs, with the following assumptions:
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Expected dividend yield————
Risk-free interest rate
3.5% - 4.2%
4.4%
3.5% - 4.4%
3.8% - 4.4%
Expected volatility
60.0% - 67.3%
58.0%
60.0% - 67.3%
54.7% - 58.0%
Expected term (in years)
6.25 - 10.00
6.25
6.25 - 10.00
6.25
Fair value of underlying common stock
$15.60 - $16.75
$39.29
$15.60 - $26.89
$29.33 - $39.29
Schedule of Grant-Date Fair Values of ESPP The following table summarizes the assumptions used and the resulting grant-date fair values of our ESPP:
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Expected dividend yield————
Risk-free interest rate4.9%5.5%
4.9% - 5.3%
5.2% - 5.5%
Expected volatility49.3%65.9%
49.3% - 56.0%
65.9% - 94.5%
Expected term (in years)0.500.500.500.50
Grant-date fair value per share$4.82$12.65
$4.82 - $9.11
$12.44 - $12.65
Schedule of Additional Information Related to ESPP
Additional information related to the ESPP is provided below (in thousands, except per share amounts):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Shares issued under the ESPP610,458531,8201,161,6041,064,463
Weighted-average price per share issued$13.91$25.25$19.13$25.56
v3.24.3
Net Loss per Share of Common Stock (Tables)
 9 Months Ended
Sep. 30, 2024
Earnings Per Share [Abstract]  
Schedule of Antidilutive Securities Excluded from Computation of Diluted Net Loss Per Share
The following table presents potentially dilutive common stock excluded from the computation of diluted net loss per share (in thousands) because the impact of including them would have been antidilutive:
As of September 30,
20242023
Convertible notes24,488 26,042 
Stock options and PVOs26,235 31,258 
Unvested RSUs and PVUs34,952 29,636 
v3.24.3
Accounting Policies (Details) - USD ($)
$ in Millions
 1 Months Ended 9 Months Ended
Jan. 31, 2024
Sep. 30, 2024
Restructuring Cost and Reserve [Line Items]    
Percentage of reduction in workforce 25.00%  
Cost of revenue    
Restructuring Cost and Reserve [Line Items]    
Employee separation costs   $ 15
Research and development    
Restructuring Cost and Reserve [Line Items]    
Employee separation costs   46
Sales and marketing    
Restructuring Cost and Reserve [Line Items]    
Employee separation costs   52
General and administrative    
Restructuring Cost and Reserve [Line Items]    
Employee separation costs   92
Employee Severance    
Restructuring Cost and Reserve [Line Items]    
Employee separation costs   205
Stock-Based Compensation    
Restructuring Cost and Reserve [Line Items]    
Employee separation costs   127
Facility Closing    
Restructuring Cost and Reserve [Line Items]    
Restructuring costs   $ 45
v3.24.3
Revenue - Schedule of Revenue Disaggregated by Source (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Disaggregation of Revenue [Line Items]        
Revenue $ 446,517 $ 544,210 $ 1,356,156 $ 1,578,049
Create Solutions        
Disaggregation of Revenue [Line Items]        
Revenue 147,369 188,900 461,816 569,379
Grow Solutions        
Disaggregation of Revenue [Line Items]        
Revenue $ 299,148 $ 355,310 $ 894,340 $ 1,008,670
v3.24.3
Revenue - Schedule of Revenue Disaggregated by Geography (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Disaggregation of Revenue [Line Items]        
Revenue $ 446,517 $ 544,210 $ 1,356,156 $ 1,578,049
United States        
Disaggregation of Revenue [Line Items]        
Revenue 128,114 142,612 398,076 417,511
Greater China        
Disaggregation of Revenue [Line Items]        
Revenue 65,679 65,092 187,432 194,390
EMEA        
Disaggregation of Revenue [Line Items]        
Revenue 157,369 200,927 488,203 575,870
APAC        
Disaggregation of Revenue [Line Items]        
Revenue 81,691 122,001 246,846 348,636
Other Americas        
Disaggregation of Revenue [Line Items]        
Revenue $ 13,664 $ 13,578 $ 35,599 $ 41,642
v3.24.3
Revenue - Accounts Receivable, Net (Narrative) (Details) - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]      
Accounts receivable, allowances $ 17.3   $ 16.9
Provision for uncollectible amounts $ 6.5 $ 10.3  
v3.24.3
Revenue - Sales Commissions (Narrative) (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Disaggregation of Revenue [Line Items]          
Capitalized contract cost, amortization period 3 years   3 years    
Capitalized contract cost, amortization $ 2.2 $ 2.5 $ 6.9 $ 7.5  
Prepaid Expenses and Other Current Assets          
Disaggregation of Revenue [Line Items]          
Capitalized contract costs 6.4   6.4   $ 6.8
Other Assets          
Disaggregation of Revenue [Line Items]          
Capitalized contract costs $ 5.3   $ 5.3   $ 4.8
v3.24.3
Revenue - Contract Balances (Narrative) (Details) - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2024
Dec. 31, 2023
Capitalized Contract Cost [Line Items]    
Unbilled receivables $ 19.4 $ 31.3
Revenue recognized 157.7  
Other Noncurrent Assets    
Capitalized Contract Cost [Line Items]    
Unbilled receivables $ 8.3  
v3.24.3
Revenue - Remaining Performance Obligations (Narrative) (Details)
$ in Millions
 9 Months Ended
Sep. 30, 2024
USD ($)
Disaggregation of Revenue [Line Items]  
Revenue, remaining performance obligation, amount $ 327
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-10-01  
Disaggregation of Revenue [Line Items]  
Revenue, remaining performance obligation, amount $ 194
Revenue, remaining performance obligation, percentage 59.00%
Recognition period 12 months
Minimum  
Disaggregation of Revenue [Line Items]  
Commitment term 1 year
Maximum  
Disaggregation of Revenue [Line Items]  
Commitment term 5 years
v3.24.3
Financial Instruments - Schedule of Cash, Cash Equivalents, and Restricted Cash Measured at Fair Value on a Recurring Basis (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Sep. 30, 2023
Dec. 31, 2022
Debt Securities, Available-for-sale [Line Items]        
Cash $ 1,107,850 $ 834,877    
Restricted cash and cash equivalents:        
Total cash, cash equivalents, and restricted cash 1,415,968 1,604,267 $ 1,521,024 $ 1,505,688
Level 1:        
Restricted cash and cash equivalents:        
Restricted cash 10,692 13,942    
Total restricted cash and cash equivalents 308,118 769,390    
Level 1: | Money market funds        
Restricted cash and cash equivalents:        
Cash equivalents 95,130 502,754    
Level 1: | Time deposits        
Restricted cash and cash equivalents:        
Cash equivalents $ 202,296 $ 252,694    
v3.24.3
Financial Instruments - Narrative (Details) - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2024
Dec. 31, 2023
Debt Securities, Available-for-sale [Line Items]    
Equity investments $ 33.0 $ 33.6
Maximum    
Debt Securities, Available-for-sale [Line Items]    
Ownership interest less than 20.00%  
v3.24.3
Investment in Unity China - Narrative (Details)
Sep. 30, 2024
Third Party Investors | Unity China  
Noncontrolling Interest [Line Items]  
Noncontrolling interest, percentage sold 20.50%
v3.24.3
Investment in Unity China - Schedule of Changes in Redeemable Noncontrolling Interests (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Increase (Decrease) in Temporary Equity [Roll Forward]        
Balance at beginning of period $ 226,056 $ 215,749 $ 225,797 $ 219,563
Net gain/(loss) attributable to redeemable noncontrolling interests 178 (1,153) (351) (2,865)
Accretion for redeemable noncontrolling interests 2,698 6,401 8,640 12,775
Foreign currency translation and foreign exchange adjustments for redeemable noncontrolling interests 7,982 (4,052) 2,828 (12,528)
Balance at end of period $ 236,914 $ 216,945 $ 236,914 $ 216,945
v3.24.3
Leases - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2024
Dec. 31, 2023
Lessee, Lease, Description [Line Items]      
Operating lease, weighted average remaining lease term 4 years 7 months 6 days 4 years 7 months 6 days 5 years 1 month 6 days
Operating lease, weighted average discount rate, percent 5.40% 5.40% 5.20%
Operating lease, impairment loss $ 0.0 $ 12.2  
Lease not yet commenced future payment $ 4.9 $ 4.9  
Lessee, operating lease, lease not yet commenced, term 5 years 5 years  
Maximum      
Lessee, Lease, Description [Line Items]      
Operating lease term (up to) 9 years 9 years  
v3.24.3
Leases - Schedule of Components of Lease Expense (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Leases [Abstract]        
Operating lease expense $ 10,695 $ 10,524 $ 31,527 $ 30,292
Variable lease expense 1,395 1,408 4,613 3,850
Sublease income (671) (493) (1,467) (1,317)
Total lease expense $ 11,419 $ 11,439 $ 34,673 $ 32,825
v3.24.3
Leases - Schedule of Supplemental Balance Sheet Information Related to Leases (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Leases [Abstract]    
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Other assets Other assets
Operating lease assets $ 82,378 $ 113,256
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Accrued expenses and other Accrued expenses and other
Current operating lease liabilities $ 34,452 $ 39,132
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Other long-term liabilities Other long-term liabilities
Long-term operating lease liabilities $ 84,973 $ 111,669
Total operating lease liabilities $ 119,425 $ 150,801
v3.24.3
Leases - Schedule of Lease Liabilities (Details) - USD ($)
$ in Thousands
Sep. 30, 2024
Dec. 31, 2023
Leases [Abstract]    
Gross lease liabilities $ 134,635  
Less: imputed interest 15,210  
Present value of lease liabilities $ 119,425 $ 150,801
v3.24.3
Borrowings - Convertible Notes (Narrative) (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Principal – 2026 Notes          
Debt Instrument [Line Items]          
Debt face amount $ 1,200.0   $ 1,200.0    
Convertible Debt          
Debt Instrument [Line Items]          
Debt face amount 2,200.0   2,200.0    
Convertible Debt | 2026 and 2027 Notes          
Debt Instrument [Line Items]          
Interest expense related to amortization of debt 5.8 $ 6.3 17.7 $ 18.5  
Convertible Debt | Principal – 2027 Notes          
Debt Instrument [Line Items]          
Debt face amount 1,000.0   1,000.0    
Debt instrument, fair value 1,000.0   $ 1,000.0   $ 1,300.0
Redemption price percentage     100.00%    
Convertible Debt | Principal – 2026 Notes          
Debt Instrument [Line Items]          
Debt instrument, fair value $ 1,100.0   $ 1,100.0   $ 1,400.0
v3.24.3
Borrowings - Schedule of Principal and Unamortized Debt Issuance Costs and Other Material Features of Notes (Details)
$ / shares in Units, $ in Thousands
 9 Months Ended
Sep. 30, 2024
USD ($)
$ / shares
Dec. 31, 2023
USD ($)
Debt Instrument [Line Items]    
Net carrying amount $ 2,238,083 $ 2,711,750
2026 and 2027 Notes | Convertible Debt    
Debt Instrument [Line Items]    
Unamortized debt issuance costs, net (7,149) (13,250)
Net carrying amount $ 2,238,083 2,711,750
Principal – 2026 Notes | Convertible Debt    
Debt Instrument [Line Items]    
Conversion ratio 0.0032392  
Conversion price (USD per share) | $ / shares $ 308.72  
Stated Interest Rates 0.00%  
Principal $ 1,245,232 1,725,000
Principal – 2027 Notes | Convertible Debt    
Debt Instrument [Line Items]    
Conversion ratio 0.0204526  
Conversion price (USD per share) | $ / shares $ 48.89  
Stated Interest Rates 2.00%  
Principal $ 1,000,000 $ 1,000,000
v3.24.3
Borrowings - Convertible Note Repurchase (Narrative) (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Mar. 31, 2024
Sep. 30, 2024
Sep. 30, 2023
Debt Instrument [Line Items]      
Pre-tax gains   $ 61,371 $ 0
Principal – 2026 Notes | Convertible Debt      
Debt Instrument [Line Items]      
Repurchased principal amount $ 480,000    
Aggregate repurchase price 415,000    
Pre-tax gains $ 61,400    
v3.24.3
Borrowings - Capped Call Transactions (Narrative) (Details) - Principal – 2026 Notes
$ / shares in Units, shares in Millions, $ in Millions
 9 Months Ended
Sep. 30, 2024
USD ($)
$ / shares
shares
Debt Instrument [Line Items]  
Net cost incurred | $ $ 48.1
Number of common shares (in shares) | shares 5.6
Strike price (USD per share) $ 308.72
Cap price (USD per share) $ 343.02
v3.24.3
Commitments and Contingencies - Schedule of Non-Cancelable Contractual Commitments (Details)
$ in Thousands
Sep. 30, 2024
USD ($)
Operating leases  
Total $ 139,533
Remainder of 2024 10,746
2025‑2026 66,537
2027‑2028 41,240
Thereafter 21,010
Purchase commitments  
Total 583,957
Remainder of 2024 118,049
2025‑2026 436,476
2027‑2028 29,432
Thereafter 0
Convertible note principal and interest  
Total 2,315,232
Remainder of 2024 10,000
2025‑2026 1,285,232
2027‑2028 1,020,000
Thereafter 0
Total  
Total 3,038,722
Remainder of 2024 138,795
2025‑2026 1,788,245
2027‑2028 1,090,672
Thereafter $ 21,010
v3.24.3
Commitments and Contingencies - Narrative (Details) - USD ($)
$ in Millions
Sep. 30, 2024
Dec. 31, 2023
Letter of Credit    
Long-term Purchase Commitment [Line Items]    
Letter of credit outstanding $ 10.7 $ 13.9
v3.24.3
Stock-Based Compensation - Schedule of Stock-Based Compensation Expense (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense $ 104,617 $ 147,177 $ 485,893 $ 467,743
Cost of revenue        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense 10,334 19,591 35,051 58,241
Research and development        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense 58,582 66,618 203,228 214,159
Sales and marketing        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense 21,885 35,075 108,138 105,272
General and administrative        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense $ 13,816 $ 25,893 $ 139,476 $ 90,071
v3.24.3
Stock-Based Compensation - Narrative (Details)
$ in Millions
 9 Months Ended
Sep. 30, 2024
USD ($)
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]  
Incremental stock expense $ 94
Price-Vested Options  
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]  
Award requisite service period 4 years
Award performance period 6 years
Price-Vested Units  
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]  
Award requisite service period 4 years
Award performance period 7 years
v3.24.3
Stock-Based Compensation - Schedule of Stock Option Activity (Details) - $ / shares
 9 Months Ended 12 Months Ended
Sep. 30, 2024
Dec. 31, 2023
Stock Options Outstanding    
Beginning balance (in shares) 31,541,466  
Granted (in shares) 2,614,966  
Exercised (in shares) (5,847,858)  
Forfeited, cancelled, or expired (in shares) (2,073,825)  
Ending balance (in shares) 26,234,749 31,541,466
Weighted-Average Exercise Price    
Beginning balance (USD per share) $ 19.35  
Granted (USD per share) 21.29  
Exercised (USD per share) 5.99  
Forfeited, cancelled, or expired (USD per share) 49.58  
Ending balance (USD per share) $ 20.12 $ 19.35
Weighted-Average Remaining Contractual Term (In Years)    
Options outstanding, Weighted average remaining contractual term 4 years 4 months 24 days 4 years 9 months 14 days
v3.24.3
Stock-Based Compensation - Schedule of Restricted Stock Unit Activity (Details) - Unvested RSUs and PVUs
 9 Months Ended
Sep. 30, 2024
$ / shares
shares
Number of Shares  
Unvested at beginning of period (in shares) | shares 37,332,551
Granted (in shares) | shares 18,743,697
Vested (in shares) | shares (10,722,702)
Forfeited (in shares) | shares (10,401,800)
Unvested at end of period (in shares) | shares 34,951,746
Weighted-Average Grant-Date Fair Value  
Unvested at beginning of period (USD per share) | $ / shares $ 38.31
Granted (USD per share) | $ / shares 15.60
Vested (USD per share) | $ / shares 40.09
Forfeited (USD per share) | $ / shares 38.12
Unvested at end of period (USD per share) | $ / shares $ 25.65
v3.24.3
Stock-Based Compensation - Schedule of Grant-Date Fair Value of Stock Options Granted (Details) - Stock options and PVUs, and PVOs - $ / shares
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Expected dividend yield 0.00% 0.00% 0.00% 0.00%
Risk-free interest rate minimum 3.50%   3.50% 3.80%
Risk-free interest rate maximum 4.20%   4.40% 4.40%
Risk-free interest rate   4.40%    
Expected volatility minimum 60.00%   60.00% 54.70%
Expected volatility maximum 67.30%   67.30% 58.00%
Expected volatility   58.00%    
Expected term (in years)   6 years 3 months   6 years 3 months
Fair value of underlying common stock (USD per share)   $ 39.29    
Minimum        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Expected term (in years) 6 years 3 months   6 years 3 months  
Fair value of underlying common stock (USD per share) $ 15.60   $ 15.60 $ 29.33
Maximum        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Expected term (in years) 10 years   10 years  
Fair value of underlying common stock (USD per share) $ 16.75   $ 26.89 $ 39.29
v3.24.3
Stock-Based Compensation - Schedule of Grant-Date Fair Values of ESPP (Details) - Employee Stock Purchase Plan - $ / shares
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Expected dividend yield 0.00% 0.00% 0.00% 0.00%
Risk-free interest rate 4.90% 5.50%    
Risk-free interest rate minimum     4.90% 5.20%
Risk-free interest rate maximum     5.30% 5.50%
Expected volatility 49.30% 65.90%    
Expected volatility minimum     49.30% 65.90%
Expected volatility maximum     56.00% 94.50%
Expected term (in years) 6 months 6 months 6 months 6 months
Grant-date fair value per share (USD per share) $ 4.82 $ 12.65    
Minimum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Grant-date fair value per share (USD per share)     $ 4.82 $ 12.44
Maximum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Grant-date fair value per share (USD per share)     $ 9.11 $ 12.65
v3.24.3
Stock-Based Compensation - Schedule of Additional Information Related to ESPP (Details) - Employee Stock Purchase Plan - $ / shares
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Shares issued under the ESPP (in shares) 610,458 531,820 1,161,604 1,064,463
Weighted-average price per share issued (USD per share) $ 13.91 $ 25.25 $ 19.13 $ 25.56
v3.24.3
Income Taxes (Details)
$ in Millions
Sep. 30, 2024
USD ($)
Income Tax Disclosure [Abstract]  
Unrecognized tax benefits $ 190.5
Unrecognized tax benefits that would impact effective tax rate $ 34.3
v3.24.3
Net Loss per Share of Common Stock (Details) - shares
shares in Thousands
 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Convertible notes    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities excluded from computation of earnings per share (in shares) 24,488 26,042
Stock options and PVOs    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities excluded from computation of earnings per share (in shares) 26,235 31,258
Unvested RSUs and PVUs    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities excluded from computation of earnings per share (in shares) 34,952 29,636