Revenue recognition

12 Months Ended

Dec. 31, 2022

Revenue from Contract with Customer [Abstract]

Revenue recognition

3. Revenue recognition

Deferred revenue— Revenue recognized for the fiscal year ended December 31, 2022 from amounts included in deferred revenue as of December 31, 2021 was $204.4 million. Revenue recognized for the fiscal year ended December 31, 2021 from amounts included in deferred revenue as of December 31, 2020 was $139.5 million. Revenue recognized for the fiscal year ended December 31, 2020 from amounts included in deferred revenue as of December 31, 2019 were $83.4 million.

The below table presents a summary of deferred revenue balances by reportable segment (in thousands):

	December 31,		December 31,		December 31,		December 31,
	2022		2021		2020		2019
Deferred revenue:
Enterprise	$	219,030	$	148,966	$	84,241	$	40,686
Consumer	59,249		61,588		58,135		47,023
Total deferred revenue	$	278,279	$	210,554	$	142,376	$	87,709

Remaining performance obligations— Remaining performance obligations represent the aggregate amount of the transaction price in contracts for performance obligations not delivered, or partially undelivered, as of the end of the reporting period. Remaining performance obligations primarily relate to unearned revenue from Consumer single course purchase arrangements and unearned and unbilled revenue from multi-year Enterprise subscription contracts with future installment payments at the end of any given period. As of December 31, 2022, the aggregate transaction price for remaining performance obligations was $478.7 million, of which 69% is expected to be recognized over the next twelve months and the remainder thereafter.

Deferred contract costs— The following table represents a rollforward of the Company’s deferred contract costs (in thousands):

	Balance at Beginning of Period		Additions		Amortization Expense		Balance at End of Period
Fiscal Year Ended December 31, 2022	$	44,545	$	53,379	$	(32,279)	$	65,645
Fiscal Year Ended December 31, 2021	$	25,837	$	36,509	$	(17,801)	$	44,545
Fiscal Year Ended December 31, 2020	$	14,380	$	18,943	$	(7,486)	$	25,837