Goodwill and Acquired Intangible Assets

6 Months Ended

Jun. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Acquired Intangible Assets

7. Goodwill and Acquired Intangible Assets

The carrying amount of goodwill was $425.7 million as of June 30, 2022 and December 31, 2021, related to goodwill from the Company’s acquisitions. Changes in the carrying amount of goodwill by reportable segment through June 30, 2022 are as follows (in thousands):

	Enterprise Solutions		SMB Solutions		Total
Balance as of December 31, 2021	$	218,658	$	207,019	$	425,677
Goodwill acquired		—		—		—
Balance as of June 30, 2022	$	218,658	$	207,019	$	425,677

Acquired intangible assets of the Company consisted of the following (in thousands):

			June 30, 2022
	Weighted Average Useful Life		Gross Carrying Value		Accumulated Amortization			Net Carrying Value
	(in years)
Customer relationships		10.0	$	82,841	$	(27,202	)	$	55,639
Developed technology		7.0		42,913		(20,387	)		22,526
Tradenames		5.0		5,824		(3,870	)		1,954
Total			$	131,578	$	(51,459	)	$	80,119

			December 31, 2021
	Weighted Average Useful Life		Gross Carrying Value		Accumulated Amortization			Net Carrying Value
	(in years)
Customer relationships		10.0	$	82,841	$	(23,059	)	$	59,782
Developed technology		7.0		42,913		(17,311	)		25,602
Tradenames		5.0		5,824		(3,288	)		2,536
Total			$	131,578	$	(43,658	)	$	87,920

The Company recorded amortization expense of $3.9 million for each of the three months ended June 30, 2022 and 2021, and $7.8 million for each of the six months ended June 30, 2022 and 2021. Amortization of developed technology is recorded within cost of revenue, while amortization of customer relationships and tradenames is recorded within amortization of intangible assets within the Company’s condensed consolidated statements of operations and comprehensive income (loss). Future estimated amortization expense of the Company’s intangible assets as of June 30, 2022 is expected to be as follows (in thousands):

Remainder of 2022	$	7,800
2023		15,601
2024		14,640
2025		14,383
2026		9,335
Thereafter		18,360
Total	$	80,119