FINANCIAL INSTRUMENTS

9 Months Ended

Sep. 30, 2023

Investments, Debt and Equity Securities [Abstract]

All marketable securities were classified as available-for-sale as of September 30, 2023 and December 31, 2022.

The following tables show the Company’s cash, cash equivalents and available-for-sale securities by significant investment category for each period presented:


	September 30, 2023
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Aggregate Fair Value		Cash and Cash Equivalents		Short-term Marketable Securities (1)		Long-term Marketable Securities (2)
Level 1:
Cash	$	451,294	$	—	$	—	$	451,294	$	451,294	$	—	$	—

Level 2:
Money market instruments	291,425		—		—		291,425		291,425		—		—
Corporate debt securities	563,598		31		(6,135)		557,494		731		217,306		339,457
U.S. government agency securities	281,045		4		(3,023)		278,026		29,981		112,714		135,331
Commercial paper	21,864		—		(4)		21,860		11,983		9,877		—
Asset-backed securities	74,168		26		(446)		73,748		—		534		73,214

Subtotal	1,232,100		61		(9,608)		1,222,553		334,120		340,431		548,002
Total	$	1,683,394	$	61	$	(9,608)	$	1,673,847	$	785,414	$	340,431	$	548,002


	December 31, 2022
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Aggregate Fair Value		Cash and Cash Equivalents		Short-term Marketable Securities (1)		Long-term Marketable Securities (2)
Level 1:
Cash	$	463,248	$	—	$	—	$	463,248	$	463,248	$	—	$	—

Level 2:
Money market instruments	248,933		—		—		248,933		248,933		—		—
Corporate debt securities	504,984		34		(11,541)		493,477		1,881		299,153		192,443
U.S. government agency securities	312,720		45		(3,771)		308,994		—		229,846		79,148
Commercial paper	48,103		11		(22)		48,092		10,469		37,623		—
Asset-backed securities	63,151		69		(592)		62,628		—		384		62,244

Subtotal	1,177,891		159		(15,926)		1,162,124		261,283		567,006		333,835
Total	$	1,641,139	$	159	$	(15,926)	$	1,625,372	$	724,531	$	567,006	$	333,835

(1) The Company’s short-term marketable securities mature in one year or less.

(2) The Company’s long-term marketable securities mature between one and five years.

As of September 30, 2023, the Company had the ability and intent to hold all investments that were in an unrealized loss position until maturity. The Company considered its intent and ability to hold the securities until recovery of amortized cost basis, the extent to which fair value is less than amortized cost basis, conditions specifically related to the security’s industry and geography, payment structure and history and changes to the ratings (if any) in determining that the decline in fair value compared to carrying value is not related to a credit loss.

The Company has certain investments in non-marketable equity securities, measured using unobservable valuation inputs and remeasured on a nonrecurring basis, which are collectively considered strategic investments. As of September 30, 2023 and December 31, 2022, the fair value of the Company’s strategic investments was $11.2 million and $23.9 million, respectively. These investments were recorded to Other Assets in the Company’s Condensed Consolidated Balance Sheets. In the first quarter of 2023, based on new developments, the Company concluded that factors existed indicating it would no longer realize a $12.6 million equity investment in its non-marketable securities. The loss on the equity investment due to impairment was recorded to Other Income (Expense), Net on the Company’s Condensed Consolidated Statements of Comprehensive Income. See Note 1 - Business Overview and Significant Accounting Policies included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 for additional information related to the Company’s non-marketable securities policy.