Intangible Assets, Net

9 Months Ended

Sep. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible assets, net consist of the following:


	September 30, 2024							December 31, 2023
	Weighted Average Remaining Useful Life	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Weighted Average Remaining Useful Life	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Developed technology	6.2	$	122,098	$	(30,574)	$	91,524	6.3	$	106,512	$	(17,876)	$	88,636
Software licenses	2.9	23,718		(4,335)		19,383		1.0	23,745		(18,828)		4,917
Customer relationships	8.1	43,249		(8,524)		34,725		9.4	41,441		(5,156)		36,285
Intellectual property licenses	0.8	1,960		(1,736)		224		0.3	1,911		(1,736)		175
Trade names	5.3	26,383		(6,963)		19,420		6.0	25,970		(4,311)		21,659
Backlog	0.9	2,145		(1,471)		674		1.2	1,570		(700)		870
Effect of exchange rate on gross carrying amount		(295)		—		(295)			(917)		—		(917)
Intangible assets with finite lives		219,258		(53,603)		165,655			200,232		(48,607)		151,625

IPR&D		56,890		—		56,890			56,508		—		56,508
Effect of exchange rate on gross carrying amount		114		—		114			1		—		1
Total intangible assets with indefinite lives		57,004		—		57,004			56,509		—		56,509

Total intangible assets		$	276,262	$	(53,603)	$	222,659		$	256,741	$	(48,607)	$	208,134

The Company obtained software licenses, which it uses for its research and development efforts related to its products. In both fiscal 2024 and 2023, the Company acquired developed technology, customer relationships, trade names, backlog and IPR&D as a result of business combinations. See Note 2 — Business Combinations for additional information. Further, during the nine months ended September 30, 2024, the Company acquired $20,385 of software licenses with contractual life of three years and retired fully amortized intangible assets of $20,345 of software licenses.

Intangible assets with finite lives are amortized on a straight-line basis over the expected period to be benefited by future cash flows. The Company monitors and assesses these assets for impairment on a periodic basis.

Amortization of intangible assets for the three months ended September 30, 2024 and 2023 was $9,324 and $9,044, respectively. Amortization of intangible assets for the nine months ended September 30, 2024 and 2023 was $25,616 and $22,701, respectively. Amortization of intangible assets is included within Cost of goods sold, Research and development expenses, and Selling, general and administrative expenses based their respective nature, in the condensed consolidated statements of operations.

Based on the amount of definite-lived intangible assets subject to amortization as of September 30, 2024, amortization expense for each of the next five fiscal years is expected to be as follows:


2024 (remaining 3 months)	$	8,132
2025	31,989
2026	30,078
2027	23,937
2028	19,923
Thereafter	51,596
Total	$	165,655