Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

12.GOODWILL AND INTANGIBLE ASSETS

Goodwill—Goodwill was recorded in connection with business acquisitions.

No goodwill impairments were recorded during the six months ended June 30, 2022 and 2021.

For the year ended December 31, 2021, the Company performed its annual impairment assessment as of September 30, 2021, which indicated no impairment and there was no change to the carrying amount of goodwill.

Changes in the net carrying amount of goodwill during the six months ended June 30, 2022 were as of follows:

	Net
	Carrying
	Amount
Balance as of December 31, 2021		1,466,884
Acquisition of Safekeep, Inc.		27,383
Balance as of June 30, 2022		1,494,267

Intangible Assets—The Company’s intangible assets are primarily the result of business acquisitions.

During the three and six months ended June 30, 2022 and 2021, the Company did not record an impairment charge.

During February 2022, the Company recorded $4.8 million of acquired technology intangible assets as a result of the acquisition of Safekeep (see Note 4).

The intangible assets balance as of June 30, 2022, is reflected below (in thousands):

		Weighted-
		Average
	Estimated	Remaining		Gross					Net
	Useful Life	Useful Life		Carrying		Accumulated			Carrying
	(Years)	(Years)		Amount		Amortization			Amount
Customer relationships	16–18		12.8	$	1,299,750	$	(373,963	)	$	925,787
Acquired technologies	3–7	2.2			187,955		(135,763	)		52,192
Subtotal					1,487,705		(509,726	)		977,979
Trademarks—indefinite life					190,470		—			190,470
Total intangible assets				$	1,678,175	$	(509,726	)	$	1,168,449

The intangible assets balance as of December 31, 2021, is reflected below (in thousands):

		Weighted-
		Average
	Estimated	Remaining		Gross					Net
	Useful Life	Useful Life		Carrying		Accumulated			Carrying
	(Years)	(Years)		Amount		Amortization			Amount
Customer relationships	16–18		13.3	$	1,299,750	$	(337,831	)	$	961,919
Acquired technologies	3–7	2.3			183,164		(122,318	)		60,846
Favorable lease terms	6	0.3			280		(266	)		14
Subtotal					1,483,194		(460,415	)		1,022,779
Trademarks—indefinite life					190,470		—			190,470
Total intangible assets				$	1,673,664	$	(460,415	)	$	1,213,249

Amortization expense for intangible assets was $24.8 million and $24.7 million for the three months ended June 30, 2022 and 2021, respectively. Amortization expense for intangible assets was $49.6 million and $49.3 million for the six months ended June 30, 2022 and 2021, respectively.

Future amortization expense for the remainder of the year ended December 31, 2022 and the following four years ended December 31 and thereafter for intangible assets as of June 30, 2022, is as follows (in thousands):

Years Ending December 31:
2022	$	49,637
2023		99,003
2024		81,417
2025		72,949
2026		72,949
Thereafter		602,024
Total	$	977,979