Goodwill and Other Intangible Assets

3 Months Ended

Mar. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

Goodwill

Prior to the STI Acquisition, goodwill related to Former Parent’s acquisition of the Company. At the Acquisition Date, goodwill was recorded as $121.6 million and was subsequently impaired. Total accumulated impairment as of March 31, 2022 was $51.9 million.

During 2022, the Company recorded an additional $327.8 million of goodwill as a result of the STI Acquisition. As of March 31, 2022 and December 31, 2021 goodwill totaled $379.8 million and $69.7 million, net of

accumulated impairment of $51.9 million and is not deductible for tax purposes. Changes in the carrying amount of goodwill during the three months ended March 31, 2022 are shown below (in thousands):

	Goodwill as of March 31, 2022
Beginning Balance	$	69,727
Acquisition of STI	327,768
Foreign currency impact	(17,655)
Ending Balance	$	379,840

Other Intangible Assets

Other intangible assets consisted of the following (in thousands):

	Estimated Useful Lives (Years)	March 31, 2022		December 31, 2021
Amortizable:
Costs:
Developed technology	14	$	203,800	$	203,800
Customer relationships	10	328,270		89,500
Backlog	1	51,165		—
Trade name	20	28,430		—
Total amortizable intangibles		611,665		293,300
Accumulated amortization:
Developed technology		83,430		79,790
Customer relationships		56,254		49,057
Backlog		11,278		—
Trade name		313		—
Total accumulated amortization		151,275		128,847
Total amortizable intangibles, net		460,390		164,453
Non-amortizable costs:
Trade name		10,300		10,300
Total other intangible assets, net		$	470,690	$	174,753

Amortization expense related to intangible assets amounted to $22.5 million and $5.9 million for the three months ended March 31, 2022 and 2021.

Estimated future annual amortization expense for the above amortizable intangible assets for the remaining periods through March 31, as follows (in thousands):

	Amount
2022	$	75,291
2023	50,318
2024	48,805
2025	48,805
2026	44,499
Thereafter	192,672
	$	460,390