Property and Equipment

9 Months Ended

Sep. 30, 2022

Property, Plant and Equipment [Abstract]

Property and Equipment

Property and EquipmentProperty and equipment, net consists of the following (in thousands): 

	September 30, 2022		December 31, 2021
Leasehold improvements	$	53,238	$	79,661
Capitalized internal-use software	70,866		58,135
Computer equipment and licensed software and patents	43,017		41,512
Furniture and fixtures	10,177		14,627
Construction in progress	12,230		20,927
Total	189,528		214,862
Less: accumulated depreciation and amortization	(102,729)		(117,047)
Property and equipment, net	$	86,799	$	97,815

Depreciation expense was $5 million and $6 million for the three months ended September 30, 2022 and 2021, respectively, and $16 million and $17 million for the nine months ended September 30, 2022 and 2021, respectively.

Amortization expense of capitalized internal-use software was $2 million for each of the three months ended September 30, 2022 and 2021. Amortization expense of capitalized internal-use software was $7 million and $5 million for the nine months ended September 30, 2022 and 2021, respectively. The carrying values of capitalized internal-use software as of September 30, 2022 and December 31, 2021 were $43 million and $40 million, respectively, including $12 million and $15 million in construction in progress, respectively. These balances included $9 million and $7 million, respectively, of implementation costs incurred in hosting arrangements that are service contracts.