Vonage 10-Q 6 Nov 19 2019 Q3 Quarterly report Financial data

Cover Page

Cover Page - shares	9 Months Ended
	Sep. 30, 2019	Oct. 31, 2019
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2019
Document Transition Report	false
Entity File Number	001-32887
Entity Registrant Name	VONAGE HOLDINGS CORP
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	11-3547680
Entity Address, Address Line One	23 Main Street
Entity Address, City or Town	Holmdel
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	07733
City Area Code	732
Local Phone Number	528-2600
Title of 12(b) Security	Common Stock, par value $0.001
Trading Symbol	VG
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		242,626,703
Amendment Flag	false
Entity Central Index Key	0001272830
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q3

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 18,741	$ 5,057
Accounts receivable, net of allowance of $4,984 and $3,542, respectively	94,423	75,342
Inventory, net of allowance of $61 and $152, respectively	970	1,470
Deferred customer acquisition costs, current portion	12,529	11,755
Prepaid expenses	28,146	26,496
Other current assets	8,110	7,634
Total current assets	162,919	127,754
Property and equipment, net of accumulated depreciation of $110,631 and $104,999, respectively	48,330	49,262
Operating lease right-of-use assets	53,561	0
Goodwill	589,923	598,499
Software, net of accumulated amortization of $99,981 and $100,870, respectively	34,269	17,430
Deferred customer acquisition costs	50,672	37,881
Restricted cash	2,054	2,047
Intangible assets, net of accumulated amortization of $203,530 and $162,788, respectively	255,256	299,911
Deferred tax assets	103,302	102,560
Other assets	32,148	24,144
Total assets	1,332,434	1,259,488
Current liabilities:
Accounts payable	47,158	53,262
Accrued expenses	116,488	87,370
Deferred revenue, current portion	61,105	53,447
Operating lease liabilities, current portion	13,260	0
Current portion of notes payable	0	10,000
Total current liabilities	238,011	204,079
Indebtedness under revolving credit facility	235,500	425,000
Notes payable, net of current portion	0	84,228
Convertible senior notes, net	273,265	0
Operating lease liabilities	47,872	0
Other liabilities	3,021	10,413
Total liabilities	797,669	723,720
Commitments and Contingencies (Note 10)
Stockholders’ Equity:
Common stock, par value $0.001 per share; 596,950 shares authorized at September 30, 2019, and December 31, 2018	315	310
Additional paid-in capital	1,481,077	1,415,682
Accumulated deficit	(628,634)	(611,985)
Treasury stock, at cost	(305,381)	(275,009)
Accumulated other comprehensive (loss) income	(12,612)	6,770
Total stockholders’ equity	534,765	535,768
Total liabilities and stockholders’ equity	$ 1,332,434	$ 1,259,488

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Accounts receivable, allowance	$ 4,984	$ 3,542
Inventory, allowance	61	152
PP&E, accumulated amortization	110,631	104,999
Software, accumulated amortization	99,981	100,870
Intangible assets, accumulated amortization	$ 203,530	$ 162,788
Common stock, par value (usd per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	596,950,000	596,950,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Income Statement [Abstract]
Total revenues	$ 302,534	$ 261,531	$ 879,659	$ 774,979
Operating Expenses:
Cost of revenues (exclusive of depreciation and amortization)	133,833	104,351	375,465	315,122
Sales and marketing	83,628	74,380	274,513	229,201
Engineering and development	16,901	14,309	50,318	35,504
General and administrative	41,306	37,620	113,380	97,376
Depreciation and amortization	21,319	16,024	63,195	51,886
Total operating expenses	296,987	246,684	876,871	729,089
Income from operations	5,547	14,847	2,788	45,890
Other Income (Expense):
Interest expense	(8,454)	(3,036)	(24,517)	(9,294)
Other income (expense), net	58	347	(505)	431
Total other income (expense), net	(8,396)	(2,689)	(25,022)	(8,863)
(Loss) Income before income taxes benefit	(2,849)	12,158	(22,234)	37,027
Income tax (expense) benefit	(18,248)	(2,570)	5,127	5,644
Net (loss) income	$ (21,097)	$ 9,588	$ (17,107)	$ 42,671
(Loss) Earnings per common share:
Basic (usd per share)	$ (0.09)	$ 0.04	$ (0.07)	$ 0.18
Diluted (usd per share)	$ (0.09)	$ 0.04	$ (0.07)	$ 0.17
Weighted-average common shares outstanding:
Basic (in shares)	242,336	239,303	241,786	236,775
Diluted (in shares)	242,336	249,516	241,786	248,780

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive (Loss) / Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Other comprehensive income (loss):
Net (loss) income	$ (21,097)	$ 9,588	$ (17,107)	$ 42,671
Foreign currency translation adjustment, net of tax expense (benefit) of $847, ($2,346), $938, and ($3,702), respectively	(16,459)	1,525	(17,594)	(4,576)
Unrealized (loss) gain on derivatives, net of tax expense (benefit) of $71, ($745), $364 and ($354), respectively	(307)	530	(1,788)	1,538
Total other comprehensive (loss) income	(16,766)	2,055	(19,382)	(3,038)
Comprehensive (loss) income	$ (37,863)	$ 11,643	$ (36,489)	$ 39,633

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Comprehensive (Loss) / Income Condensed Consolidated Statements of Comprehensive (Loss) / Income (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Statement of Comprehensive Income [Abstract]
Foreign currency translation adjustment, net of tax expense/(benefit)	$ 847	$ (2,346)	$ 938	$ (3,702)
Unrealized gain on derivatives, net of tax expense/(benefit)	$ 71	$ (745)	$ 364	$ (354)

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Cash flows from operating activities:
Net (loss) income	$ (17,107)	$ 42,671
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation and amortization	20,098	24,412
Amortization of intangibles	43,097	27,306
Deferred income taxes	(7,630)	(9,506)
Amortization of deferred customer acquisition costs	7,981	7,002
Allowance for doubtful accounts and obsolete inventory	1,384	1,643
Amortization of financing costs and debt discount	5,311	764
Loss on disposal of property and equipment	745	168
Loss on extinguishment of debt	0	14
Share-based expense	32,152	24,495
Changes in derivatives	(398)	(65)
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable	(23,211)	(15,085)
Inventory	552	1,274
Prepaid expenses and other current assets	(2,238)	6,416
Deferred customer acquisition costs	(21,708)	(18,008)
Accounts payable and accrued expenses	24,043	6,898
Deferred revenue	6,867	(2,704)
Other assets - deferred cloud computing implementation costs	(11,929)	(5,009)
Other assets and liabilities	1,841	1,777
Net cash provided by operating activities	59,850	94,463
Cash flows used in investing activities:
Capital expenditures	(15,426)	(10,687)
Acquisition and development of software assets	(20,836)	(6,198)
Acquisitions, net of cash acquired	(3,000)	(32,299)
Net cash used in investing activities	(39,262)	(49,184)
Cash flows provided by/(used in) financing activities:
Principal payments on capital lease obligations and other financing obligations	0	(119)
Payments for short and long-term debt	(418,500)	(293,688)
Proceeds from issuance of long-term debt	479,000	272,000
Payments of debt issuance costs	(9,715)	(3,376)
Payments for capped call transactions and costs	(28,325)	0
Common stock repurchases	(10,000)	0
Employee taxes paid on withholding shares	(20,372)	(31,064)
Proceeds from exercise of stock options	1,678	6,117
Net cash used in financing activities	(6,234)	(50,130)
Effect of exchange rate changes on cash	(663)	(757)
Net increase (decrease) in cash, cash equivalents, and restricted cash	13,691	(5,608)
Cash, cash equivalents, and restricted cash, beginning of period	7,104	33,327
Cash, cash equivalents, and restricted cash, end of period	20,795	27,719
Cash paid during the periods for:
Interest	17,108	8,454
Income taxes	3,435	5,669
Non-cash investing activities:
Capital expenditures included in accounts payable and accrued liabilities	657	1,840
Debt issuance costs included in accounts payable and accrued liabilities	328	0
Issuance of shares for asset acquisition	$ 3,000	$ 0

Condensed Consolidated Statem_5

Condensed Consolidated Statement of Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Treasury Stock	Accumulated Other Comprehensive Income
Beginning Balance at Dec. 31, 2017	$ 472,898	$ 298	$ 1,375,391	$ (672,561)	$ (244,239)	$ 14,009
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock option exercises	6,117	12	6,105
Share-based expense	24,495		24,495
Employee taxes paid on withholding shares	(30,097)				(30,097)
Foreign currency translation adjustment	(4,576)					(4,576)
Unrealized (loss) gain on derivatives	1,538					1,538
Net (loss) income	42,671			42,671
Ending Balance at Sep. 30, 2018	537,894	310	1,405,991	(605,042)	(274,336)	10,971
Beginning Balance at Jun. 30, 2018	519,112	309	1,396,407	(614,630)	(271,890)	8,916
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock option exercises	1,062	1	1,061
Share-based expense	8,523		8,523
Employee taxes paid on withholding shares	(2,446)				(2,446)
Foreign currency translation adjustment	1,525					1,525
Unrealized (loss) gain on derivatives	530					530
Net (loss) income	9,588			9,588
Ending Balance at Sep. 30, 2018	537,894	310	1,405,991	(605,042)	(274,336)	10,971
Beginning Balance at Dec. 31, 2018	535,768	310	1,415,682	(611,985)	(275,009)	6,770
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock option exercises	1,678	5	1,673
Share-based expense	32,152		32,152
Employee taxes paid on withholding shares	(20,372)				(20,372)
Common stock repurchases	(10,000)				(10,000)
Equity component of convertible notes, net of issuance costs and tax	50,123		50,123
Purchase of capped calls, net of tax	(21,553)		(21,553)
Common stock issued for acquisition of assets	3,000		3,000
Foreign currency translation adjustment	(17,594)					(17,594)
Unrealized (loss) gain on derivatives	(1,788)					(1,788)
Net (loss) income	(17,107)			(17,107)
Ending Balance at Sep. 30, 2019	534,765	315	1,481,077	(628,634)	(305,381)	(12,612)
Beginning Balance at Jun. 30, 2019	557,642	314	1,464,742	(607,537)	(304,031)	4,154
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock option exercises	415	1	414
Share-based expense	12,921		12,921
Employee taxes paid on withholding shares	(1,350)				(1,350)
Common stock issued for acquisition of assets	3,000		3,000
Foreign currency translation adjustment	(16,459)					(16,459)
Unrealized (loss) gain on derivatives	(307)					(307)
Net (loss) income	(21,097)			(21,097)
Ending Balance at Sep. 30, 2019	$ 534,765	$ 315	$ 1,481,077	$ (628,634)	$ (305,381)	$ (12,612)

Nature of Business

Nature of Business	9 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Business	Nature of Business Nature of Operations Vonage Holdings Corp. (“Vonage”, “Company”, “we”, “our”, “us”) is incorporated as a Delaware corporation. At Vonage, we are redefining business communications. We are embracing technology to transform how businesses communicate to create better business outcomes. Our cloud communications platform enables businesses of all sizes to collaborate more productively and engage their customers more efficiently across any device. All of our cloud communications solutions are designed to allow businesses to be more productive by integrating communications with all their existing business productivity tools and our programmable solutions allow customers to engage with their customers via embedded voice, chat, or messaging to create seamless and contextual communications that makes doing business easier for end customers. For our business customers, we provide innovative, cloud-based Unified Communications as a Service, or UCaaS, solutions, comprised of integrated voice, text, video, data, collaboration, and mobile applications over our flexible, scalable Session Initiation Protocol, or SIP, based Voice over Internet Protocol, or VoIP, network. We also offer Communications Platform as a Service, or CPaaS, solutions designed to enhance the way businesses communicate with their customers by embedding communications into apps, websites and business processes. With the acquisition of NewVoiceMedia on October 31, 2018, Vonage also provides customers with a robust Contact Center as a Service, or CCaaS, offering, driving intelligent interactions for customers through emerging technologies such as skills-based routing, real-time sentiment analysis and chatbots. NewVoiceMedia's cloud contact center solution, combined with Vonage's offering, provides an end-to-end communications experience for enhanced customer engagement and conversation. In combination, our products and services permit our business customers to communicate with their customers and employees through any cloud-connected device, in any place, at any time without the often costly investment required with on-site equipment. We also provide a robust suite of feature-rich residential communication solutions that allow consumers to connect their home phones and mobile phones on one number and we offer attractive international long distance rates that help create a loyal base of satisfied customers. Customers in the United States represented 72% and 79% of our consolidated revenues for the three months ended September 30, 2019 and 2018 and 72% and 80% for the nine months ended September 30, 2019 and 2018 , respectively, with the balance in Canada, the United Kingdom, China, Singapore, Netherlands, and other countries around the world. Unaudited Interim Financial Information The accompanying unaudited interim condensed consolidated financial statements and information have been prepared in accordance with accounting principles generally accepted in the United States and in accordance with the SEC's regulations for interim financial information and with the instructions for Form 10-Q. Accordingly, they do not include all of the information and disclosures required by accounting principles generally accepted in the United States for complete financial statements. In the opinion of management, these financial statements contain all normal and recurring adjustments considered necessary to present fairly the Company's financial position, results of operations, comprehensive income, cash flows, and stockholders’ equity for the periods presented. The results for the nine months ended September 30, 2019 are not necessarily indicative of the results to be expected for the full year. These unaudited interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2018 filed with the Securities and Exchange Commission on February 27, 2019 . Use of Estimates Our condensed consolidated financial statements and notes thereof are prepared in conformity with accounting principles generally accepted in the United States, which require management to make estimates and assumptions that affect the amounts reported and disclosed in the condensed consolidated financial statements and the accompanying notes. Actual results could differ materially from these estimates. Reclassifications Reclassifications have been made to our condensed consolidated financial statements for the prior year periods to conform to classifications used in the current year periods. The reclassifications did not affect results of operations or net assets.

- Summary of Significant Accoun

- Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies This footnote should be read in conjunction with the complete description of our significant accounting policies under Note 2, Summary of Significant Accounting Policies to our Annual Report on Form 10-K for the year ended December 31, 2018 . Cost of Revenues Cost of revenues excludes depreciation and amortization expense of $9,658 and $6,386 for the three months ended September 30, 2019 and 2018 and $28,220 and $19,046 for the nine months ended September 30, 2019 and 2018 , respectively. In addition, costs of goods sold included in cost of revenues during the three months ended September 30, 2019 and 2018 were $5,921 and $6,386 and during the nine months ended September 30, 2019 and 2018 were $17,112 and $18,854 , respectively. Sales and Marketing Expenses We incurred advertising costs, which are included in sales and marketing, of $11,437 and $12,883 for the three months ended September 30, 2019 and 2018 and $45,773 and $41,805 for the nine months ended September 30, 2019 and 2018 , respectively. Leases At inception of a contract, the Company determines whether the contract is or contains a lease. Further, the Company determines if the arrangement qualifies as an operating lease or a finance lease. Operating leases are included in operating lease right-of-use assets, operating lease liabilities - current portion and operating lease liabilities on the Company's consolidated balance sheet. The Company does not have any finance leases as of September 30, 2019 and January 1, 2019. A right-of-use asset represents the Company's right to use the underlying asset for the lease term and the lease liabilities represent our obligation to make lease payments under the leasing arrangement. We recognize an operating lease right-of-use asset and operating lease liability at the arrangement's commencement date based upon the present value of the lease payments over the lease term. We utilize our incremental borrowing rate based on the information available at the commencement date in order to determine the present value of lease payments or the implicit rate when readily determinable. The Company's lease arrangements may include options to extend or terminate the lease arrangement. Such options are included in the determination of lease term when it is reasonably certain that the Company will exercise that option. The Company recognizes lease expense for lease payments on a straight-line basis over the term of the lease. The Company has made an accounting policy election for leases that at the commencement date have terms of twelve months or less to not recognize an operating lease right-of-use assets or operating lease liabilities on its balance sheet. Instead, the Company recognizes lease payments as an expense in accordance with the lease terms. Fair Value of Financial Instruments The Company records certain of its financial assets at fair value on a recurring basis as described below. Certain of the Company's other financial instruments, which include cash and cash equivalents, accounts receivable and accounts payable, approximate fair value because of their short-term maturities. We believe the fair value of our 2018 Credit Facility at September 30, 2019 and December 31, 2018 was approximately the same as its carrying amount as market conditions, including available interest rates, credit spread relative to our credit rating, and illiquidity, remain relatively unchanged from the issuance date of our debt obligations for a similar debt instrument and are classified as Level 3 within the fair value hierarchy. We account for financial assets using a framework that establishes a hierarchy that ranks the quality and reliability of the inputs, or assumptions, we use in the determination of fair value, and we classify financial assets and liabilities carried at fair value in one of the following three categories: • Level 1 - quoted prices (unadjusted) in active markets that are accessible at the measurement date for identical assets and liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. • Level 2 - observable prices that are based on inputs not quoted on active markets but corroborated by market data; and • Level 3 - unobservable inputs when there is little or no market data available, thereby requiring an entity to develop its own assumptions. The fair value hierarchy gives the lowest priority to Level 3 inputs. The following table presents the assets that are measured and recognized at fair value on a recurring basis classified under the appropriate level of the fair value hierarchy as of September 30, 2019 and December 31, 2018 : September 30, 2019 December 31, 2018 Level 2 Measurements Interest rate swaps (1) $ 106 $ 1,859 (1) Included in other assets on our condensed consolidated balance sheets. As of September 30, 2019 , the fair value of the 1.75% convertible senior notes due 2024 (the “Convertible Senior Notes”) was approximately $355,202 . The fair value was determined based on the quoted price for the Convertible Senior Notes in an inactive market on the last trading day of the reporting period and is classified as Level 2 in the fair value hierarchy. Supplemental Balance Sheet Information The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheets to amounts included in the consolidated statements of cash flows: As of September 30, As of December 31 2019 2018 2018 2017 Cash and cash equivalents $ 18,741 $ 25,735 $ 5,057 $ 31,360 Restricted cash 2,054 1,984 2,047 1,967 Total cash, cash equivalents and restricted cash $ 20,795 $ 27,719 $ 7,104 $ 33,327 Intangible assets, net September 30, 2019 December 31, 2018 Customer relationships $ 158,804 $ 187,887 Developed technology 91,547 104,368 Patents and patent licenses 1,655 2,514 Trade names 3,250 5,005 Non-compete agreements — 137 Finite-lived intangible assets, net $ 255,256 $ 299,911 Accrued expenses September 30, 2019 December 31, 2018 Compensation and related taxes and temporary labor $ 28,410 $ 33,249 Marketing 13,728 10,238 Taxes and fees 17,903 11,189 Telecommunications 36,500 21,403 Interest 2,147 65 Customer credits 2,701 3,325 Professional fees 3,167 2,049 Inventory 997 1,188 Other accruals 10,935 4,664 Accrued expenses $ 116,488 $ 87,370 Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, " Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments which requires the use of a new current expected credit loss ("CECL") model in estimating allowances for doubtful accounts with respect to accounts receivable, straight-line receivable and notes receivable. Receivables from revenue transactions, or trade receivables, are recognized when the corresponding revenue is recognized under ASC Topic 606, Revenue from Contracts with Customers . The CECL model requires that the Company estimate its lifetime expected credit loss with respect to these receivables and record allowances that when deducted from the balance of the receivables, represent the estimated net amounts expected to be collected. Given the generally short term nature of trade receivables, we do not expect to apply a discounted cash flow methodology. However, the Company will consider whether historical loss rates are consistent with expectations of forward-looking estimates for our trade receivables. In November 2018, the FASB issued ASU 2018-19 to clarify that operating lease receivables recorded by lessors are explicitly excluded from the scope of Topic 326. In April 2019, the FASB issued ASU 2019-04 to improve certain codifications including Topic 326 where accrued interest on receivables, recoveries, variable interest rates and prepayments are addressed. This ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. While we are still evaluating the impact of this guidance on our condensed consolidated financial statements, we currently believe it will not have a material impact upon adoption. The following standard was adopted by the Company during the nine months ended September 30, 2019: In January 2017, the FASB issued Accounting Standards Update ("ASU") 2017-04, "Intangibles - Goodwill and Other". The ASU simplifies the subsequent measurement of goodwill and eliminates Step 2 from the goodwill impairment test. This ASU is effective for an annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019 on a prospective basis. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company early adopted this ASU during the third quarter of 2019. The adoption of this ASU did not have a material impact on our consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU 2016-02, " Leases (Topic 842)" which replaces the guidance on accounting for leases in Topic 840. The new guidance increases transparency and comparability among organizations by requiring lessees to recognize assets and liabilities on the balance sheet for most leases and disclose key information about leasing arrangements. The Company adopted the new standard on January 1, 2019 using a modified retrospective transition approach, which involves applying the new standard to all leases existing at the date of the initial application with any cumulative impact of the adoption recorded to retained earnings. In addition, we elected the package of practical expedients permitted under the transition guidance which allows the Company to carry forward the historical lease classification. The adoption of Topic 842 has had a significant effect on our balance sheet, mostly related to (1) the recognition of new right-of-use assets and new lease liabilities on our balance sheet for our existing operating leases (most notably leases of office space and co-location space); and (2) the derecognition of existing assets (most notably prepaid rent), and existing liabilities (most notably deferred rent) related to such leases. It will not materially affect our earnings or cash flows. We recorded the following transactions on January 1, 2019: • Recognized currently unrecognized right-of-use assets of $57.3 million net of deferred rent and lease incentives which were previously included in other liabilities. • Recognized currently unrecognized lease liabilities of $64.5 million (based on the present value of the remaining minimum rental payments for existing operating leases). • Recognized an adjustment to retained earnings of $458 thousand

- Revenue Recognition

- Revenue Recognition	9 Months Ended
	Sep. 30, 2019
Revenue from Contract with Customer [Abstract]
Revenue Recognition	Revenue Recognition The Company recognizes revenue in accordance with ASC Topic 606, Revenue from Contracts with Customers which is further described in Note 2, Summary of Significant Accounting Policies to our Annual Report on Form 10-K for the year ended December 31, 2018. Disaggregation of Revenue The following tables details our revenue from customers disaggregated by primary geographical market, source of revenue, and timing of revenue recognition. The tables also include a reconciliation of the disaggregated revenue for our Business and Consumer segments. Three Months Ended Three Months Ended September 30, 2019 September 30, 2018 Business Consumer Total Business Consumer Total Primary geographical markets United States $ 127,976 $ 88,567 $ 216,543 $ 107,446 $ 99,061 $ 206,507 Canada 2,138 4,817 6,955 919 5,781 $ 6,700 United Kingdom 13,910 2,620 16,530 6,505 3,054 $ 9,559 Other Countries (1) 62,506 — 62,506 38,765 — $ 38,765 $ 206,530 $ 96,004 $ 302,534 $ 153,635 $ 107,896 $ 261,531 Major Sources of Revenue Service revenues $ 183,701 $ 83,981 $ 267,682 $ 133,709 $ 97,093 $ 230,802 Access and product revenues 12,120 69 12,189 12,427 92 12,519 USF revenues 10,709 11,954 22,663 7,499 10,711 18,210 $ 206,530 $ 96,004 $ 302,534 $ 153,635 $ 107,896 $ 261,531 (1) No individual other international country represented greater than 10% of total revenue during the periods presented. Nine Months Ended Nine Months Ended September 30, 2019 September 30, 2018 Business Consumer Total Business Consumer Total Primary geographical markets United States $ 363,312 $ 270,270 $ 633,582 $ 311,562 $ 309,056 $ 620,618 Canada 5,496 14,927 20,423 2,293 18,275 $ 20,568 United Kingdom 53,416 8,315 61,731 20,315 9,503 $ 29,818 Other Countries (1) 163,923 — 163,923 103,975 — $ 103,975 $ 586,147 $ 293,512 $ 879,659 $ 438,145 $ 336,834 $ 774,979 Major Sources of Revenue Service revenues $ 523,060 $ 260,225 $ 783,285 $ 377,703 $ 301,954 $ 679,657 Access and product revenues 35,524 197 35,721 37,674 472 38,146 USF revenues 27,563 33,090 60,653 22,768 34,408 57,176 $ 586,147 $ 293,512 $ 879,659 $ 438,145 $ 336,834 $ 774,979 (1) No individual other international country represented greater than 10% of total revenue during the periods presented. In addition, the Company recognizes service revenues from its customers through subscription services provided or through usage or pay-per-use type arrangements. During the three and nine months ended September 30, 2019 , the Company recognized $146,127 and $467,893 related to subscription services, $87,677 and $242,192 related to usage, and $68,730 and $169,574 related to other revenues such as USF, other regulatory fees, and credits. During the three and nine months ended September 30, 2018 , the Company recognized $149,091 and $452,257 related to subscription services, $63,857 and $175,764 related to usage, and $48,583 and $146,958 related to other revenues such as USF, other regulatory fees, and credits. Contract Assets and Liabilities The following table provides information about receivables and contract liabilities from contracts with customers: September 30, 2019 December 31, 2018 Receivables (1) $ 94,423 $ 75,342 Contract liabilities (2) 61,105 53,447 (1) Amounts included in accounts receivables on our condensed consolidated balance sheet. (2) Amounts included in deferred revenues and other liabilities on our condensed consolidated balance sheet. Our deferred revenue represents the advance consideration received from customers for subscription services and is predominantly recognized over the following performance period which is generally a month as transfer of control occurs. During the three and nine months ended September 30, 2019 , the Company recognized revenue of $111,739 and $344,935 , respectively, related to its contract liabilities. During the three and nine months ended September 30, 2018 , the Company recognized revenue of $105,494 and $332,480 , respectively, related to its contract liabilities. We expect to recognize $61,105 into revenue over the next twelve months related to our deferred revenue as of September 30, 2019 . Contract Acquisition Costs We have various commission programs for internal sales personnel and channel partners that are incremental to the acquisition of customer contracts. These costs are recorded as deferred contract acquisition costs on the consolidated balance sheets which eligible employees and third parties may earn commission on sales of services and products to customers. We expect that these commission fees are recoverable and, therefore, we have capitalized $63,201 and $49,636 as contract costs, net of accumulated amortization, as of September 30, 2019 and December 31, 2018 , respectively, included within deferred customer acquisitions costs, current portion and deferred customer acquisition costs on our condensed consolidated balance sheet. Capitalized commission fees are amortized to sales and marketing expense over estimated customer life, which is 7 years for Business customers. The amounts amortized to sales and marketing expense were $3,060 and $7,981 for the three and nine months ended September 30, 2019 , and $2,579 and $7,002 for the three and nine months ended September 30, 2018 , respectively. There were no impairment losses recognized in relation to the costs capitalized during the three and six months ended September 30, 2019 and 2018. In addition, the Company expenses sales commissions for commission plans related to customer arrangements deemed less than a year and for residuals and renewals.

Acquisitions and Dispositions -

Acquisitions and Dispositions - Acquisition and Dispositions	9 Months Ended
	Sep. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Acquisitions and Dispositions	Acquisitions and Dispositions Acquisition of NewVoiceMedia On October 31, 2018, the Company acquired 100% of the issued and outstanding shares of NewVoiceMedia Limited (“NewVoiceMedia”), a cloud Contact Center-as-a-Service (CCaaS) provider, for a purchase price of $350,179 paid in cash. The acquisition was recorded as a business combination under ASC 805, with identifiable assets acquired and liabilities assumed provisionally recorded at their estimated fair value on the acquisition date. The initial accounting for the business combination is not complete because the evaluations necessary to assess the fair values of certain net assets acquired inclusive of deferred tax liabilities is still in process. The allocation of the purchase price may be modified up to one year from the date of the acquisition as more information is obtained about the fair value of assets acquired and liabilities assumed. The Company expects its analysis to be completed by the close of the fourth quarter. Under the terms of the offer, NewVoiceMedia shareholders received cash in the amount of approximately $341 million as well as transactions costs incurred by NewVoiceMedia which were paid by the Company of approximately $9 million on the date of the acquisition. The table below summarizes the NewVoiceMedia assets acquired and liabilities assumed as of October 31, 2018: Preliminary Acquisition Date Fair Value as of December 31, 2018 Measurement period adjustments Revised Preliminary Acquisition Date Fair Value Assets Cash and cash equivalents $ 1,994 $ 1,994 Accounts receivable 13,747 (1,448 ) 12,299 Other current assets 3,907 3,907 Property and equipment 3,474 3,474 Intangible assets 154,300 154,300 Other assets 378 378 Total assets acquired 177,800 (1,448 ) 176,352 Liabilities Accounts payable 4,712 4,712 Accrued expenses 4,145 4,145 Deferred tax liabilities 7,756 7,756 Deferred revenue 22,000 800 22,800 Total liabilities assumed 38,613 800 39,413 Net identifiable assets acquired 139,187 (2,248 ) 136,939 Goodwill 210,992 2,248 213,240 Total purchase price $ 350,179 $ — $ 350,179 The Company recorded goodwill of $213,240 which is attributable to the Business segment and is not deductible for tax purposes. The factors that resulted in goodwill arising from the acquisition include the revenues and synergies anticipated with the ability to provide a contact center solution to our existing suite of cloud communication services along with a skilled workforce proficient in API development. In addition, the Company incurred and expensed acquisition related transaction costs included in general and administrative expense related to the acquisition of NewVoiceMedia of $311 for the nine months ended September 30, 2019 . Supplemental Pro Forma Information (unaudited) The following supplemental pro forma information represents the results of operations if Vonage had acquired NewVoiceMedia on January 1, 2018. Nine Months Ended September 30, 2018 Revenue $ 827,152 Net income (10,450 ) Earnings per share - basic $ (0.04 ) Earnings per share - diluted $ (0.04 ) The pro forma information has been adjusted to include the pro-forma impact of amortization of intangible assets based on the preliminary purchase price allocations. The pro forma data has also been adjusted to eliminate non-recurring transaction costs as well as the related tax impact of pro forma adjustments. There were no transactions between Vonage and NewVoiceMedia. The pro forma results are presented for illustrative purposes only and do not reflect the realization of potential cost savings or any related integration costs. Acquisition of TokBox On August 1, 2018, the Company acquired 100% of the issued and outstanding shares of Telefonica Digital, Inc. (“TDI”), a subsidiary of Telefonica, S.A., and TDI’s subsidiaries, TokBox, Inc. (“TokBox”) and TokBox Australia Pty Limited, for a purchase price of $32,906 paid in cash. San Francisco-based TokBox develops and operates the OpenTok Platform and is a provider in the WebRTC programmable video segment of the cloud communications market which will compliment the Company's existing portfolio of programmable communications. The acquisition was recorded as a business combination under ASC 805, with identifiable assets acquired and liabilities assumed provisionally recorded at their estimated fair value on the acquisition date. The accounting for the business combination was completed as of June 30, 2019, at which point the fair values became final. The table below summarizes the TokBox assets acquired and liabilities assumed as of August 1, 2018: Acquisition Date Fair Value Assets Cash and cash equivalents $ 557 Current assets 2,205 Property and equipment 124 Intangible assets 15,602 Deferred tax asset 92 Restricted cash 50 Total assets acquired 18,630 Liabilities Accounts payable 371 Accrued expenses 6,003 Total liabilities assumed 6,374 Net identifiable assets acquired 12,256 Goodwill 20,650 Net assets acquired $ 32,906 The Company recorded goodwill of $20,650 which is attributable to the Business segment and is deductible for tax purposes. The factors that resulted in goodwill arising from the acquisition include the revenues expected to be achieved by incorporating a video feature in the Company's API platform along with a skilled workforce proficient in API development. Supplemental Pro Forma Information The following supplemental pro forma information represents the results of operations as if Vonage had acquired TokBox on January 1, 2018. Nine Months Ended September 30, 2018 Revenue $ 780,846 Net income 27,601 Earnings per share - basic $ 0.12 Earnings per share - diluted $ 0.11 The pro forma information has been adjusted to include the pro-forma impact of amortization of intangible assets based on the preliminary purchase price allocations. The pro forma data has also been adjusted to eliminate non-recurring transaction costs as well as the related tax impact of pro forma adjustments. There were no transactions between Vonage and TokBox. The pro forma results are presented for illustrative purposes only and do not reflect the realization of potential cost savings or any related integration costs. Goodwill The Company's goodwill is derived primarily from the acquisitions of Vocalocity, Telesphere, iCore, Simple Signal, Nexmo, TokBox, and NewVoiceMedia which are included in the Company's Business segment. The following table provides a summary of the changes in the carrying amounts of goodwill: Balance at December 31, 2018 $ 598,499 Increase in goodwill related to measurement period adjustments to initial acquisition accounting of NewVoiceMedia 2,248 Foreign currency translation adjustment (10,824 ) Balance at September 30, 2019 $ 589,923

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 30, 2019
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share The following table sets forth the computation for basic and diluted (loss)/earnings per share for the three and nine months ended September 30, 2019 and 2018 : Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Numerator Net (loss) income $ (21,097 ) $ 9,588 $ (17,107 ) $ 42,671 Denominator Basic weighted average common shares outstanding 242,336 239,303 241,786 236,775 Dilutive effect of stock options and restricted stock units — 10,213 — 12,005 Diluted weighted average common shares outstanding 242,336 249,516 241,786 248,780 Basic (loss) earnings per share Basic (loss) earnings per share $ (0.09 ) $ 0.04 $ (0.07 ) $ 0.18 Diluted (loss) earnings per share Diluted (loss) earnings per share $ (0.09 ) $ 0.04 $ (0.07 ) $ 0.17 For the three and nine months ended September 30, 2019 and 2018 , the following were excluded from the calculation of diluted (loss)/earnings per common share because of their anti-dilutive effects: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Restricted stock units 10,616 3,368 10,616 2,200 Stock options 5,087 1,637 5,087 1,013 15,703 5,005 15,703 3,213 As the Company expects to settle the principal amount of its outstanding convertible senior notes in cash and any excess in cash or shares of the Company’s common stock, the Company uses the treasury stock method for calculating any potential dilutive effect of the conversion spread on diluted net income per share, if applicable. The conversion spread will have a dilutive impact on diluted net income per share of common stock when the average market price of the Company’s common stock for a given period exceeds the conversion price of $16.72 per share. The Company's convertible senior notes are further described in Note 7, Long-Term Debt .

Incomes Taxes

Incomes Taxes	9 Months Ended
	Sep. 30, 2019
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The income tax consisted of the following: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 (Loss) income before income taxes $ (2,849 ) $ 12,158 $ (22,234 ) $ 37,027 Income tax (expense) benefit (18,248 ) (2,570 ) 5,127 5,644 Effective tax rate (640.5 )% 21.1 % 23.1 % (15.2 )% Typically, the Company has calculated its provision for income taxes during its interim reporting periods by applying an estimate of the annual effective tax rate for the full year "ordinary" income or loss for the respective reporting period. For the nine months ended September 30, 2019, the Company has computed its provision for income taxes under the discrete method which allows the Company to calculate its tax provision based upon the actual effective tax rate for the year-to-date. The discrete method was determined to be appropriate method for estimating its tax provision for the nine months ended September 30, 2019 as it provides a reliable estimate as opposed to changes in estimated "ordinary" income or loss which would have resulted in significant fluctuations when estimating the annual effective tax rate. For the three and nine months ended September 30, 2019 , our effective tax rate was different than the statutory rate primarily due to a discrete period tax benefit of $544 and $6,697 , respectively, which were recognized related to excess tax benefits on equity compensation. In addition, the Company’s actual effective tax rate for the current year has reduced the expected annual benefit as a result of permanent adjustments related to limitations on executive compensation deductibility and inclusion of income in the U.S. due to foreign disregarded entities. For the three and nine months ended September 30, 2018, the Company recognized income tax equal to pre-tax income multiplied by our annual effective income tax rate. In addition, adjustments were recorded for discrete period items and changes to our state effective tax rate which can cause the rate to fluctuate from quarter to quarter. For the nine months ended September 30, 2018 , our effective tax rate was different than the statutory rate due to a permanent adjustment of $5,312 related to the new Global Intangible Low-Taxed Income ("GILTI") tax rules that were enacted as part of tax reform enacted in December 2017. In addition, the Company recorded a discrete period tax benefit of $1,912 and $19,228 during the three and nine months ended September 30, 2018 , respectively, which was recognized related to excess tax benefits on equity compensation. Uncertain Tax Positions The Company had uncertain tax benefits of $1,203 and $1,107 as of September 30, 2019 and December 31, 2018 , respectively. The Company recognizes interest and penalties related to uncertain tax benefits in income tax expense. The Company incurred interest expense or penalties of $149 for both the three and nine months ended September 30, 2019 , respectively, and the Company did no t incur any interest expense penalties during the three and nine months ended September 30, 2018 . The following table reconciles the total amounts of uncertain tax benefits: September 30, 2019 December 31, 2018 Balance as of January 1 $ 1,107 $ 1,086 Increase due to current year positions — 1,107 Increase (decrease) due to prior year positions 154 (1,086 ) Decrease due to settlements and payments (86 ) — Increase due to foreign currency fluctuation 28 — Uncertain tax benefits as of the end of the period $ 1,203 $ 1,107 Net Operating Loss Carry Forwards ("NOLs") As of September 30, 2019 , the Company has U.S. Federal and state NOL carryforwards of $578,522 and $245,403 , respectively, which expire at various times through 2037. In addition, we have NOLs for United Kingdom tax purposes of $162,535

Long-Term Debt

Long-Term Debt	9 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
Long-Term Debt	Long-Term Debt This footnote should be read in conjunction with the complete description of our financing arrangements under Note 7, Long-Term Debt and Revolving Credit Facility , to our Annual Report on Form 10-K for the year ended December 31, 2018 . The following table summarizes the Company's long-term debt as of September 30, 2019 and December 31, 2018 : September 30, 2019 December 31, 2018 Term note payable - due 2023 $ — 95,000 Revolving credit facility - due 2023 235,500 425,000 Convertible senior notes - due 2024 345,000 — Long-term debt including current maturities 580,500 520,000 Less current maturities — 10,000 Less unamortized discount 64,229 — Less debt issuance costs 7,506 772 Total long-term debt $ 508,765 $ 509,228 Convertible Senior Notes In June 2019, the Company issued $300.0 million aggregate principal amount of 1.75% convertible senior notes due 2024 in a private placement and an additional $45.0 million aggregate principal amount of such notes pursuant to the exercise in full of the over-allotment option of the initial purchasers (collectively, "Convertible Senior Notes"). The Convertible Senior Notes are the Company's senior unsecured obligations. The Convertible Senior Notes bear interest at a rate of 1.75% per year, payable semiannually in arrears on June 1 and December 1 of each year, beginning on December 1, 2019. The Convertible Senior Notes will mature on June 1, 2024, unless earlier redeemed, repurchased or converted. We may not redeem the notes prior to June 5, 2022. On or after June 5, 2022, we may redeem for cash all or a portion of the notes if the last reported sale price of the Company's common stock has been at least 130% of the conversion price then in effect on (i) each of at least 20 trading days (whether or not consecutive) during the 30 consecutive trading day period ending on, and including, the trading day immediately preceding the date the Company provides notice of redemption and (ii) the trading day immediately preceding the date the Company provides such notice. The total net proceeds from the offering, after deducting initial purchase discounts and expenses payable by the Company, were $334.8 million . Each $1,000 principal amount of the Convertible Senior Notes is initially convertible into 59.8256 shares of the Company's common stock, which is equivalent to an initial conversion price of approximately $16.72 per share. The conversion rate is subject to adjustment upon the occurrence of certain specified events but will not be adjusted for any accrued and unpaid interest. In addition, upon the occurrence of a make-whole fundamental change or a redemption period, each as defined in the indenture setting forth the terms of the Convertible Senior Notes, the Company will, in certain circumstances, increase the conversion rate by a number of additional shares for a holder that elects to convert its Convertible Senior Notes in connection with such make-whole fundamental change or during the relevant redemption period. The Company used the net proceeds from the offering to (i) pay the cost of the capped call transactions described below, (ii) to repurchase approximately $10 million in shares of its common stock from purchasers of the Convertible Senior Notes in privately negotiated transactions effected through one of the initial purchasers or an affiliate thereof concurrently with the pricing of the Convertible Senior Notes described below and (iii) to repay the outstanding principal balance under its credit facility. Prior to December 1, 2023, the notes will be convertible only upon satisfaction of certain conditions and during certain periods, and thereafter, at any time until the close of business on the second scheduled trading day immediately preceding the maturity date. We will satisfy any conversion election by paying or delivering, as the case may be, cash, shares of common stock or a combination of cash and shares of common stock. The Convertible Senior Notes and shares of common stock issuable upon conversion, if any, have not been registered under the Securities Act, or under any U.S. state securities laws or other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. During the three months ended September 30, 2019, the conditions allowing holders of the Convertible Senior Notes to convert were not met. In accounting for the issuance of the Convertible Senior Notes, the Company separated the Convertible Senior Notes into liability and equity components. The carrying amount of the liability component was calculated by measuring the fair value of a similar debt instrument that does not have an associated convertible feature. The carrying amount of the equity component representing the conversion option was determined by deducting the fair value of the liability component from the par value of the Convertible Senior Notes. The equity component is not remeasured as long as it continues to meet the conditions for equity classification. The excess of the principal amount of the liability component over its carrying amount (“debt discount”) is amortized to interest expense at an effective interest rate of 6.4% over the contractual terms of the Convertible Senior Notes. In accounting for the transaction costs related to the Convertible Senior Notes, the Company allocated the total amount incurred to the liability and equity components of the Convertible Senior Notes based on the proportion of the proceeds allocated to the debt and equity components. Issuance costs attributable to the liability component were $7,973 were recorded as additional debt discount and will be amortized to interest expense using the effective interest method over the contractual terms of the Convertible Senior Notes. Issuance costs attributable to the equity component were netted with the equity component in stockholders’ equity. The net carrying amount of the liability component of the Convertible Senior Notes was as follows: September 30, 2019 Principal $ 345,000 Unamortized discount (64,229 ) Unamortized issuance cost (7,506 ) Net carrying amount $ 273,265 The net carrying amount of the equity component of the Convertible Senior Notes was as follows: September 30, 2019 Proceeds allocated to the conversion option (debt discount) $ 67,664 Issuance cost (1,944 ) Income tax expense (15,597 ) Net carrying amount $ 50,123 The following table sets forth the interest expense recognized related to the Convertible Senior Notes: Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Contractual interest expense 1,543 $ 1,819 Amortization of debt discount 2,948 3,435 Amortization of debt issuance costs 391 465 Total interest expense related to the Convertible Senior Notes 4,882 $ 5,719 In connection with the pricing of the Convertible Senior Notes and subsequently in connection with the exercise of the initial purchaser's option to purchase additional notes, the Company entered into privately negotiated capped call transactions with certain counterparties (the "Capped Calls"). The Capped Calls each have a strike price of $16.72 per share, subject to certain adjustments, which corresponds to the initial conversion price of the Convertible Senior Notes. The Capped Calls have initial cap prices of $23.46 per share, subject to certain adjustments. The Capped Calls are expected generally to reduce potential dilution to the Company's common stock upon any conversion of notes and/or offset any cash payments the Company is required to make in excess of the aggregate principal amount of converted notes, as the case may be, with such reduction and/or offset subject to a cap. The initial cap price of the Capped Call transactions was $23.46 . The net cost of $28,325 incurred to purchase the Capped Calls and related income tax benefit of $6,772 was recorded as a reduction to additional paid-in capital on the Company's consolidated balance sheet and are not accounted for as derivatives. Concurrently with the issuance of the Convertible Senior Notes, the Company’s board of directors approved the repurchase of an aggregate of 852,515 , or $10,000 , of shares of the Company’s outstanding common stock in privately negotiated transactions at a price of $11.73 per share, which was equal to the closing price per share of the Company’s common stock on June 11, 2019, the date of the pricing of the offering of the Convertible Senior Notes. The share repurchase was recorded to treasury stock on the Company's consolidated balance sheet. 2018 Term Note and Revolving Credit Facility On July 31, 2018, the Company replaced its 2016 Credit Facility previously consisting of a $125 million term loan and a $325 million revolving credit facility with the 2018 Credit Facility consisting of a $100 million senior secured term loan and a $500 million revolving credit facility. The co-borrowers under the 2018 Credit Facility are the Company and Vonage America Inc., the Company’s wholly owned subsidiary. Obligations under the 2018 Credit Facility are guaranteed, fully and unconditionally, by the Company’s other United States subsidiaries and are secured by substantially all of the assets of each borrower and each guarantor. During the third quarter of 2018, the Company used $232,000 of the proceeds available under our 2018 Credit Facility plus cash on hand to retire all of the debt outstanding under our 2016 Credit Facility and to cover transaction fees and expenses. Total transaction fees and expense incurred were $3,376 , of which $474 was allocated to the term note and $2,813 was allocated to the revolving credit facility which will be amortized over the term of 2018 Credit Facility. The remaining $89 of transaction fees and expenses were expensed during the year ended December 31, 2018. The Company recognized a loss on extinguishment of debt of $14 which primarily consisted of the write off of previously deferred financing costs partially offset by the realization of a portion of gains associated with the interest rate swaps included in accumulated other comprehensive income during the year ended December 31, 2018. Remaining proceeds available from the undrawn revolving credit facility under our 2018 Credit Facility will be used for general corporate purposes and to fund potential additional acquisitions. During the nine months ended September 30, 2019 , we repaid $323.5 million under the revolving credit facility, $95 million under the 2018 term note, and borrowed $134 million under the revolving credit facility. In addition, the effective interest rate was 4.81% as of September 30, 2019 . During the nine months ended September 30, 2018 , we made mandatory repayments of $2.5 million under the 2018 term note and made discretionary repayments of $18 million under the 2018 revolving credit facility. As of September 30, 2019 , we were in compliance with all covenants, including financial covenants, for the 2018 Credit Facility. 2016 Financing During the nine months ended September 30, 2018, we made mandatory repayments of $9.4 million under the term note and made discretionary repayments of $35.0 million under the revolving credit facility and borrowed $40.0 million under the revolving credit facility. Interest Rate Swaps On July 14, 2017, we executed on three interest rate swap agreements in order to hedge the variability of expected future cash interest payments related to the 2016 Credit Facility. The swaps have an aggregate notional amount of $150 million and were effective from July 31, 2017 through June 3, 2020 concurrent with the term of the 2016 Credit Facility. Under the swaps our interest rate is fixed at 4.7% . The interest rate swaps are accounted for as cash flow hedges in accordance with ASC 815, Derivatives and Hedging . As of September 30, 2019 and December 31, 2018 , the fair market value of the swaps was $106 and $1,859 , respectively, which is included in other assets on our condensed consolidated balance sheet. The following table summarizes the effects of ASC 815 on the Company's accumulated OCI balance attributable to cash flow derivatives: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Accumulated OCI beginning balance $ (506 ) $ 1,973 $ 975 $ 965 Reclassified from accumulated OCI to income: Due to reclassification of previously deferred gain (133 ) (336 ) (398 ) (336 ) Change in fair value of cash flow hedge accounting contracts, net of tax (174 ) 866 (1,390 ) 1,874 Accumulated OCI ending balance, net of tax benefit of $29 and $34, respectively $ (813 ) $ 2,503 $ (813 ) $ 2,503 Gains expected to be reclassified from accumulated OCI during the next 12 months $ 531 $ 531 $ 531 $ 531

Leases - Leases

Leases - Leases	9 Months Ended
	Sep. 30, 2019
Leases [Abstract]
Leases	Leases The Company entered into various operating lease agreements for certain of our existing office and telecommunications co-location space as well as operating leases for certain equipment. The operating leases expire at various times through 2026, some of which provide the Company options to extend the leases for terms up to 5 years beyond the original term. During the three and nine months ended September 30, 2019 , the Company incurred operating lease expense of $3,529 and $11,196 , respectively, related to its operating leases. Additionally, the remaining weighted average lease term for our operating leases was 6.99 years and the weighted average discount rate utilized to measure the Company's operating leases was 5.18% as of September 30, 2019 . Supplemental cash flow related to the Company's operating leases is as follows: Nine Months Ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 12,753 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 7,718 Maturities of lease liabilities as of September 30, 2019 are as follows: 2019 (excluding the nine months ended September 30, 2019) $ 3,926 2020 14,952 2021 11,495 2022 7,580 2023 7,196 Thereafter 27,770 Total lease payments 72,919 Less imputed interest (11,787 ) Total $ 61,132 Minimal rental commitments under non-cancelable operating leases in effect as of December 31, 2018 were as follows (as calculated under ASC 840, Leases ): 2019 $ 17,204 2020 14,209 2021 10,378 2022 8,206 2023 8,154 Thereafter 9,908 Total minimum payments required $ 68,059

Common Stock

Common Stock	9 Months Ended
	Sep. 30, 2019
Equity [Abstract]
Common Stock	Common Stock As of September 30, 2019 and December 31, 2018 , the Company had 596,950 shares of common stock authorized and had 23,448 shares available for grants under our share-based compensation programs as of September 30, 2019 . For a detailed description of our share-based compensation programs refer to Note 10, Employee Stock Benefit Plans in our Annual Report on Form 10-K for the year ended December 31, 2018 . The following table reflects the changes in the Company's common stock issued and outstanding: For the Three Months Ended (in thousands) Issued Treasury Outstanding Balance at June 30, 2018 308,569 (69,751 ) 238,818 Shares issued under the 2015 Equity Incentive Plan 893 — 893 Employee taxes paid on withholding shares — (188 ) (188 ) Balance at September 30, 2018 309,462 (69,939 ) 239,523 Balance at June 30, 2019 314,725 (72,757 ) 241,968 Shares issued under the 2015 Equity Incentive Plan 465 — 465 Employee taxes paid on withholding shares — (113 ) (113 ) Assets acquisition 240 — 240 Common stock repurchases (Note 7) — — Balance at September 30, 2019 315,430 (72,870 ) 242,560 For the Nine Months Ended (in thousands) Issued Treasury Outstanding Balance at December 31, 2017 298,174 (67,235 ) 230,939 Shares issued under the 2015 Equity Incentive Plan 11,288 — 11,288 Employee taxes paid on withholding shares — (2,704 ) (2,704 ) Balance at September 30, 2018 309,462 (69,939 ) 239,523 Balance at December 31, 2018 309,736 (69,993 ) 239,743 Shares issued under the 2015 Equity Incentive Plan 5,454 — 5,454 Employee taxes paid on withholding shares — (2,024 ) (2,024 ) Assets acquisition 240 — 240 Common stock repurchases (Note 7) — (853 ) (853 ) Balance at September 30, 2019 315,430 (72,870 ) 242,560

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Litigation From time to time we are subject to legal proceedings, claims, investigations, and proceedings in the ordinary course of business, including claims of alleged infringement of third-party patents and other intellectual property rights, commercial, employment, and other matters. From time to time, we receive letters or other communications from third parties inviting us to obtain patent licenses that might be relevant to our business or alleging that our services infringe upon third party patents or other intellectual property. In accordance with generally accepted accounting principles, we make a provision for a liability when it is both probable that a liability has been incurred and the amount of the loss or range of loss can be reasonably estimated. These provisions, if any, are reviewed at least quarterly and adjusted to reflect the impacts of negotiations, settlements, rulings, advice of legal counsel, and other information and events pertaining to a particular case. Litigation is inherently unpredictable. We believe that we have valid defenses with respect to the legal matters pending against us and are vigorously defending these matters. Given the uncertainty surrounding litigation and our inability to assess the likelihood of a favorable or unfavorable outcome in such matters and our inability to reasonably estimate the amount of loss or range of loss, it is possible that the resolution of one or more of these matters could have a material adverse effect on our condensed consolidated financial position, cash flows or results of operations. Regulation Telephony services are subject to a broad spectrum of state, federal and foreign regulations. Because of the uncertainty over whether Voice over Internet Protocol (“VoIP”) should be treated as a telecommunications or information service, we have been involved in a substantial amount of state and federal regulatory activity. Implementation and interpretation of the existing laws and regulations is ongoing and is subject to litigation by various federal and state agencies and courts. Due to the uncertainty over the regulatory classification of VoIP service, there can be no assurance that we will not be subject to new regulations or existing regulations under new interpretations, and that such change would not introduce material additional costs to our business. The Company continues to monitor federal regulations relating to net neutrality, rural call completion issues, number slamming, 911 access, access to telecommunication equipment and services by persons with disabilities, caller ID services, number portability, unwanted calls to reassigned numbers, and robocalling. As we continue to expand globally, these types of regulations are likely to be similarly enacted and enforced by the local regulatory authorities. State and Municipal Taxes In accordance with generally accepted accounting principles, we make a provision for a liability for taxes when it is both probable that a liability has been incurred and the amount of the liability or range of liability can be reasonably estimated. These provisions are reviewed at least quarterly and adjusted to reflect the impacts of negotiations, settlements, rulings, advice of legal counsel, and other information and events pertaining to a particular case. From time to time, we have received inquiries from a number of states and local taxing agencies with respect to the remittance of sales, use, telecommunications, and excise taxes. Several jurisdictions are currently conducting tax audits of the Company's records. While the Company collects or has accrued for taxes that it believes are required to be remitted, it has reviewed its positions in those various jurisdictions as well as other regulatory fees and has established appropriate reserves. As such, we have established reserves of $4,547 and $3,302 as of September 30, 2019 and December 31, 2018

Industry Segment and Geographic

Industry Segment and Geographic Information	9 Months Ended
	Sep. 30, 2019
Segment Reporting [Abstract]
Industry Segment and Geographic Information	Industry Segment and Geographic Information ASC 280 "Segment Reporting" establishes reporting standards for an enterprise's business segments and related disclosures about its products, services, geographic areas and major customers. Under ASC 280, the method for determining what information to report is based upon the way management organizes the operating segments within the Company for making operating decisions and assessing financial performance. Our chief operating decision-maker reviews revenue and gross margin information for each of our reportable segments, but does not review operating expenses on a segment by segment basis. In addition, with the exception of goodwill and intangible assets, we do not identify or allocate our assets by the reportable segments. Business For our Business customers, we provide innovative, cloud-based UCaaS solutions, comprised of integrated voice, text, video, data, collaboration, and mobile applications over our flexible, scalable SIP based VoIP network. Through Nexmo, the Vonage API Platform, we also offer CPaaS solutions designed to enhance the way businesses communicate with their customers embedding communications into apps, websites and business processes. Together we have a robust set of product families tailored to serve the full range of the business value chain, from the SMB, market, through mid-market and enterprise markets. We provide customers with multiple deployment options, designed to provide the reliability and quality of service they demand. We provide customers the ability to integrate our cloud communications platform with many cloud-based productivity and CRM solutions, including Google’s G Suite, Zendesk, Salesforce’s Sales Cloud, Oracle, Clio, and other CRM solutions. In combination, our products and services permit our business customers to communicate with their customers and employees through any cloud-connected device, in any place, at any time without the often costly investment required with on-site equipment. Consumer For our Consumer customers, we enable users to access and utilize our services and features, via a single “identity,” either a number or user name, regardless of how they are connected to the Internet, including over 3G/4G, LTE, Cable, or DSL broadband networks. This technology enables us to offer our Consumer customers attractively priced voice and messaging services and other features around the world on a variety of devices. For our segments we categorize revenues as follows: Services revenues . Services revenues consists primarily of revenue attributable to our communication services for Consumer and Software Defined Wide Area Network, or SD-WAN, UCaaS and CPaaS services for Business, Access and product revenues. Product revenues include equipment sold to customers, shipping and handling, professional services, and broadband access, as well as revenues associated with providing access services to Business customers. USF revenues. USF revenues represent fees passed on to customers to offset required contributions to the USF. For our segments we categorize cost of revenues as follows: Services cost of revenues. Services cost of revenues consists of costs associated with network operations and technical support personnel, communication origination, and termination services provided by third party carriers and excludes depreciation and amortization. Access and product cost of revenues . Product cost of revenues includes equipment sold to customers, shipping and handling, professional services, cost of certain products including equipment or services that we give customers as promotions, and broadband access, as well as costs associated with providing access services to Business customers. USF cost of revenues. USF cost of revenues represents contributions to the Federal USF and related fees. Information about our segment results for the three and nine months ended September 30, 2019 were as follows: Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Business Consumer Total Business Consumer Total Revenues Service revenues $ 183,701 $ 83,981 $ 267,682 $ 523,060 $ 260,225 $ 783,285 Access and product revenues (1) 12,120 69 12,189 35,524 197 35,721 Service, access and product revenues 195,821 84,050 279,871 558,584 260,422 819,006 USF revenues 10,709 11,954 22,663 27,563 33,090 60,653 Total revenues 206,530 96,004 302,534 586,147 293,512 879,659 Cost of revenues Service cost of revenues (2) 87,352 8,587 95,939 243,496 26,706 270,202 Access and product cost of revenues (1) 13,858 1,373 15,231 41,323 3,287 44,610 Service, access and product cost of revenues 101,210 9,960 111,170 284,819 29,993 314,812 USF cost of revenues 10,709 11,954 22,663 27,563 33,090 60,653 Total cost of revenues 111,919 21,914 133,833 312,382 63,083 375,465 Segment gross margin Service margin 96,349 75,394 171,743 279,564 233,519 513,083 Access and product margin (1,738 ) (1,304 ) (3,042 ) (5,799 ) (3,090 ) (8,889 ) Gross margin ex-USF (Service, access and product margin) 94,611 74,090 168,701 273,765 230,429 504,194 Segment gross margin $ 94,611 $ 74,090 $ 168,701 $ 273,765 $ 230,429 $ 504,194 Segment gross margin % Service margin % 52.4 % 89.8 % 64.2 % 53.4 % 89.7 % 65.5 % Gross margin ex-USF (Service, access and product margin %) 48.3 % 88.1 % 60.3 % 49.0 % 88.5 % 61.6 % Segment gross margin % 45.8 % 77.2 % 55.8 % 46.7 % 78.5 % 57.3 % (1) Includes customer premise equipment, access, and shipping and handling. (2) Excludes depreciation and amortization of $8,492 and $1,166 for the three months ended September 30, 2019 and $24,684 and $3,536 for nine months ended September 30, 2019 , respectively. Information about our segment results for the three and nine months ended September 30, 2018 were as follows: Three Months Ended Nine Months Ended September 30, 2018 September 30, 2018 Business Consumer Total Business Consumer Total Revenues Service revenues $ 133,709 $ 97,093 $ 230,802 $ 377,703 $ 301,954 $ 679,657 Access and product revenues (1) 12,427 92 12,519 37,674 472 38,146 Service, access and product revenues 146,136 97,185 243,321 415,377 302,426 717,803 USF revenues 7,499 10,711 18,210 22,768 34,408 57,176 Total revenues 153,635 107,896 261,531 438,145 336,834 774,979 Cost of revenues Service cost of revenues (2) 59,600 10,661 70,261 172,917 37,050 209,967 Access and product cost of revenues (1) 14,887 993 15,880 43,291 4,657 47,948 Service, access and product cost of revenues 74,487 11,654 86,141 216,208 41,707 257,915 USF cost of revenues 7,499 10,711 18,210 22,773 34,434 57,207 Total cost of revenues 81,986 22,365 104,351 238,981 76,141 315,122 Segment gross margin Service margin 74,109 86,432 160,541 204,786 264,904 469,690 Access and product margin (2,460 ) (901 ) (3,361 ) (5,617 ) (4,185 ) (9,802 ) Gross margin ex-USF (Service, access and product margin) 71,649 85,531 157,180 199,169 260,719 459,888 USF margin — — — (5 ) (26 ) (31 ) Segment gross margin $ 71,649 $ 85,531 $ 157,180 $ 199,164 $ 260,693 $ 459,857 Segment gross margin % Service margin % 55.4 % 89.0 % 69.6 % 54.2 % 87.7 % 69.1 % Gross margin ex-USF (Service, access and product margin %) 49.0 % 88.0 % 64.6 % 47.9 % 86.2 % 64.1 % Segment gross margin % 46.6 % 79.3 % 60.1 % 45.5 % 77.4 % 59.3 % (1) Includes customer premise equipment, access, and shipping and handling. (2) Excludes depreciation and amortization of $5,141 and $1,245 for the three months ended September 30, 2018 and $15,092 and $3,954 for the nine months ended September 30, 2018 , respectively. A reconciliation of the total of the reportable segments' gross margin to consolidated income before income taxes is as follows: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Total reportable gross margin $ 168,701 $ 157,180 $ 504,194 $ 459,857 Sales and marketing 83,628 74,380 274,513 229,201 Engineering and development 16,901 14,309 50,318 35,504 General and administrative 41,306 37,620 113,380 97,376 Depreciation and amortization 21,319 16,024 63,195 51,886 (Loss) Income from operations 5,547 14,847 2,788 45,890 Interest expense (8,454 ) (3,036 ) (24,517 ) (9,294 ) Other (expense) income, net 58 347 (505 ) 431 (Loss) Income before income taxes benefit $ (2,849 ) $ 12,158 $ (22,234 ) $ 37,027 Information about our operations by geographic location is as follows: September 30, 2019 December 31, 2018 Long-lived assets: United States $ 578,038 $ 596,820 United Kingdom 345,214 366,594 Israel 4,526 1,688 $ 927,778 $ 965,102

- Summary of Significant Acco_2

- Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Unaudited Interim Financial Information	Unaudited Interim Financial Information The accompanying unaudited interim condensed consolidated financial statements and information have been prepared in accordance with accounting principles generally accepted in the United States and in accordance with the SEC's regulations for interim financial information and with the instructions for Form 10-Q. Accordingly, they do not include all of the information and disclosures required by accounting principles generally accepted in the United States for complete financial statements. In the opinion of management, these financial statements contain all normal and recurring adjustments considered necessary to present fairly the Company's financial position, results of operations, comprehensive income, cash flows, and stockholders’ equity for the periods presented. The results for the nine months ended September 30, 2019 are not necessarily indicative of the results to be expected for the full year. These unaudited interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2018 filed with the Securities and Exchange Commission on February 27, 2019 .
Use of Estimates	Use of Estimates Our condensed consolidated financial statements and notes thereof are prepared in conformity with accounting principles generally accepted in the United States, which require management to make estimates and assumptions that affect the amounts reported and disclosed in the condensed consolidated financial statements and the accompanying notes. Actual results could differ materially from these estimates.
Reclassifications	Reclassifications Reclassifications have been made to our condensed consolidated financial statements for the prior year periods to conform to classifications used in the current year periods. The reclassifications did not affect results of operations or net assets.
Cost of Revenues	Cost of Revenues Cost of revenues excludes depreciation and amortization expense of $9,658 and $6,386 for the three months ended September 30, 2019 and 2018 and $28,220 and $19,046 for the nine months ended September 30, 2019 and 2018 , respectively. In addition, costs of goods sold included in cost of revenues during the three months ended September 30, 2019 and 2018 were $5,921 and $6,386 and during the nine months ended September 30, 2019 and 2018 were $17,112 and $18,854 , respectively.
Sales and Marketing Expenses	Sales and Marketing Expenses We incurred advertising costs, which are included in sales and marketing, of $11,437 and $12,883 for the three months ended September 30, 2019 and 2018 and $45,773 and $41,805 for the nine months ended September 30, 2019 and 2018 , respectively.
Leases	Leases At inception of a contract, the Company determines whether the contract is or contains a lease. Further, the Company determines if the arrangement qualifies as an operating lease or a finance lease. Operating leases are included in operating lease right-of-use assets, operating lease liabilities - current portion and operating lease liabilities on the Company's consolidated balance sheet. The Company does not have any finance leases as of September 30, 2019 and January 1, 2019. A right-of-use asset represents the Company's right to use the underlying asset for the lease term and the lease liabilities represent our obligation to make lease payments under the leasing arrangement. We recognize an operating lease right-of-use asset and operating lease liability at the arrangement's commencement date based upon the present value of the lease payments over the lease term. We utilize our incremental borrowing rate based on the information available at the commencement date in order to determine the present value of lease payments or the implicit rate when readily determinable. The Company's lease arrangements may include options to extend or terminate the lease arrangement. Such options are included in the determination of lease term when it is reasonably certain that the Company will exercise that option. The Company recognizes lease expense for lease payments on a straight-line basis over the term of the lease. The Company has made an accounting policy election for leases that at the commencement date have terms of twelve months or less to not recognize an operating lease right-of-use assets or operating lease liabilities on its balance sheet. Instead, the Company recognizes lease payments as an expense in accordance with the lease terms.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company records certain of its financial assets at fair value on a recurring basis as described below. Certain of the Company's other financial instruments, which include cash and cash equivalents, accounts receivable and accounts payable, approximate fair value because of their short-term maturities. We believe the fair value of our 2018 Credit Facility at September 30, 2019 and December 31, 2018 was approximately the same as its carrying amount as market conditions, including available interest rates, credit spread relative to our credit rating, and illiquidity, remain relatively unchanged from the issuance date of our debt obligations for a similar debt instrument and are classified as Level 3 within the fair value hierarchy. We account for financial assets using a framework that establishes a hierarchy that ranks the quality and reliability of the inputs, or assumptions, we use in the determination of fair value, and we classify financial assets and liabilities carried at fair value in one of the following three categories: • Level 1 - quoted prices (unadjusted) in active markets that are accessible at the measurement date for identical assets and liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. • Level 2 - observable prices that are based on inputs not quoted on active markets but corroborated by market data; and • Level 3 - unobservable inputs when there is little or no market data available, thereby requiring an entity to develop its own assumptions. The fair value hierarchy gives the lowest priority to Level 3 inputs.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, " Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments which requires the use of a new current expected credit loss ("CECL") model in estimating allowances for doubtful accounts with respect to accounts receivable, straight-line receivable and notes receivable. Receivables from revenue transactions, or trade receivables, are recognized when the corresponding revenue is recognized under ASC Topic 606, Revenue from Contracts with Customers . The CECL model requires that the Company estimate its lifetime expected credit loss with respect to these receivables and record allowances that when deducted from the balance of the receivables, represent the estimated net amounts expected to be collected. Given the generally short term nature of trade receivables, we do not expect to apply a discounted cash flow methodology. However, the Company will consider whether historical loss rates are consistent with expectations of forward-looking estimates for our trade receivables. In November 2018, the FASB issued ASU 2018-19 to clarify that operating lease receivables recorded by lessors are explicitly excluded from the scope of Topic 326. In April 2019, the FASB issued ASU 2019-04 to improve certain codifications including Topic 326 where accrued interest on receivables, recoveries, variable interest rates and prepayments are addressed. This ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. While we are still evaluating the impact of this guidance on our condensed consolidated financial statements, we currently believe it will not have a material impact upon adoption. The following standard was adopted by the Company during the nine months ended September 30, 2019: In January 2017, the FASB issued Accounting Standards Update ("ASU") 2017-04, "Intangibles - Goodwill and Other". The ASU simplifies the subsequent measurement of goodwill and eliminates Step 2 from the goodwill impairment test. This ASU is effective for an annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019 on a prospective basis. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company early adopted this ASU during the third quarter of 2019. The adoption of this ASU did not have a material impact on our consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU 2016-02, " Leases (Topic 842)" which replaces the guidance on accounting for leases in Topic 840. The new guidance increases transparency and comparability among organizations by requiring lessees to recognize assets and liabilities on the balance sheet for most leases and disclose key information about leasing arrangements. The Company adopted the new standard on January 1, 2019 using a modified retrospective transition approach, which involves applying the new standard to all leases existing at the date of the initial application with any cumulative impact of the adoption recorded to retained earnings. In addition, we elected the package of practical expedients permitted under the transition guidance which allows the Company to carry forward the historical lease classification. The adoption of Topic 842 has had a significant effect on our balance sheet, mostly related to (1) the recognition of new right-of-use assets and new lease liabilities on our balance sheet for our existing operating leases (most notably leases of office space and co-location space); and (2) the derecognition of existing assets (most notably prepaid rent), and existing liabilities (most notably deferred rent) related to such leases. It will not materially affect our earnings or cash flows. We recorded the following transactions on January 1, 2019: • Recognized currently unrecognized right-of-use assets of $57.3 million net of deferred rent and lease incentives which were previously included in other liabilities. • Recognized currently unrecognized lease liabilities of $64.5 million (based on the present value of the remaining minimum rental payments for existing operating leases). • Recognized an adjustment to retained earnings of $458 thousand

Summary of Significant Accounti

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Fair Value, Assets Measured on Recurring Basis	The following table presents the assets that are measured and recognized at fair value on a recurring basis classified under the appropriate level of the fair value hierarchy as of September 30, 2019 and December 31, 2018 : September 30, 2019 December 31, 2018 Level 2 Measurements Interest rate swaps (1) $ 106 $ 1,859
Restrictions on Cash and Cash Equivalents	The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheets to amounts included in the consolidated statements of cash flows: As of September 30, As of December 31 2019 2018 2018 2017 Cash and cash equivalents $ 18,741 $ 25,735 $ 5,057 $ 31,360 Restricted cash 2,054 1,984 2,047 1,967 Total cash, cash equivalents and restricted cash $ 20,795 $ 27,719 $ 7,104 $ 33,327
Schedule of Finite-Lived Intangible Assets	Intangible assets, net September 30, 2019 December 31, 2018 Customer relationships $ 158,804 $ 187,887 Developed technology 91,547 104,368 Patents and patent licenses 1,655 2,514 Trade names 3,250 5,005 Non-compete agreements — 137 Finite-lived intangible assets, net $ 255,256 $ 299,911
Schedule of Accrued Liabilities	Accrued expenses September 30, 2019 December 31, 2018 Compensation and related taxes and temporary labor $ 28,410 $ 33,249 Marketing 13,728 10,238 Taxes and fees 17,903 11,189 Telecommunications 36,500 21,403 Interest 2,147 65 Customer credits 2,701 3,325 Professional fees 3,167 2,049 Inventory 997 1,188 Other accruals 10,935 4,664 Accrued expenses $ 116,488 $ 87,370

Revenue Recognition (Tables)

Revenue Recognition (Tables)	9 Months Ended
	Sep. 30, 2019
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	The following tables details our revenue from customers disaggregated by primary geographical market, source of revenue, and timing of revenue recognition. The tables also include a reconciliation of the disaggregated revenue for our Business and Consumer segments. Three Months Ended Three Months Ended September 30, 2019 September 30, 2018 Business Consumer Total Business Consumer Total Primary geographical markets United States $ 127,976 $ 88,567 $ 216,543 $ 107,446 $ 99,061 $ 206,507 Canada 2,138 4,817 6,955 919 5,781 $ 6,700 United Kingdom 13,910 2,620 16,530 6,505 3,054 $ 9,559 Other Countries (1) 62,506 — 62,506 38,765 — $ 38,765 $ 206,530 $ 96,004 $ 302,534 $ 153,635 $ 107,896 $ 261,531 Major Sources of Revenue Service revenues $ 183,701 $ 83,981 $ 267,682 $ 133,709 $ 97,093 $ 230,802 Access and product revenues 12,120 69 12,189 12,427 92 12,519 USF revenues 10,709 11,954 22,663 7,499 10,711 18,210 $ 206,530 $ 96,004 $ 302,534 $ 153,635 $ 107,896 $ 261,531 (1) No individual other international country represented greater than 10% of total revenue during the periods presented. Nine Months Ended Nine Months Ended September 30, 2019 September 30, 2018 Business Consumer Total Business Consumer Total Primary geographical markets United States $ 363,312 $ 270,270 $ 633,582 $ 311,562 $ 309,056 $ 620,618 Canada 5,496 14,927 20,423 2,293 18,275 $ 20,568 United Kingdom 53,416 8,315 61,731 20,315 9,503 $ 29,818 Other Countries (1) 163,923 — 163,923 103,975 — $ 103,975 $ 586,147 $ 293,512 $ 879,659 $ 438,145 $ 336,834 $ 774,979 Major Sources of Revenue Service revenues $ 523,060 $ 260,225 $ 783,285 $ 377,703 $ 301,954 $ 679,657 Access and product revenues 35,524 197 35,721 37,674 472 38,146 USF revenues 27,563 33,090 60,653 22,768 34,408 57,176 $ 586,147 $ 293,512 $ 879,659 $ 438,145 $ 336,834 $ 774,979 (1) No individual other international country represented greater than 10% of total revenue during the periods presented.
Contract with Customer, Asset and Liability	The following table provides information about receivables and contract liabilities from contracts with customers: September 30, 2019 December 31, 2018 Receivables (1) $ 94,423 $ 75,342 Contract liabilities (2) 61,105 53,447 (1) Amounts included in accounts receivables on our condensed consolidated balance sheet. (2) Amounts included in deferred revenues and other liabilities on our condensed consolidated balance sheet.

Acquisition and Dispositions (T

Acquisition and Dispositions (Tables)	9 Months Ended
	Sep. 30, 2019
Business Acquisition [Line Items]
Schedule of Goodwill	The following table provides a summary of the changes in the carrying amounts of goodwill: Balance at December 31, 2018 $ 598,499 Increase in goodwill related to measurement period adjustments to initial acquisition accounting of NewVoiceMedia 2,248 Foreign currency translation adjustment (10,824 ) Balance at September 30, 2019 $ 589,923
New Voice Media
Business Acquisition [Line Items]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The table below summarizes the NewVoiceMedia assets acquired and liabilities assumed as of October 31, 2018: Preliminary Acquisition Date Fair Value as of December 31, 2018 Measurement period adjustments Revised Preliminary Acquisition Date Fair Value Assets Cash and cash equivalents $ 1,994 $ 1,994 Accounts receivable 13,747 (1,448 ) 12,299 Other current assets 3,907 3,907 Property and equipment 3,474 3,474 Intangible assets 154,300 154,300 Other assets 378 378 Total assets acquired 177,800 (1,448 ) 176,352 Liabilities Accounts payable 4,712 4,712 Accrued expenses 4,145 4,145 Deferred tax liabilities 7,756 7,756 Deferred revenue 22,000 800 22,800 Total liabilities assumed 38,613 800 39,413 Net identifiable assets acquired 139,187 (2,248 ) 136,939 Goodwill 210,992 2,248 213,240 Total purchase price $ 350,179 $ — $ 350,179
Business Acquisition, Pro Forma Information	Supplemental Pro Forma Information (unaudited) The following supplemental pro forma information represents the results of operations if Vonage had acquired NewVoiceMedia on January 1, 2018. Nine Months Ended September 30, 2018 Revenue $ 827,152 Net income (10,450 ) Earnings per share - basic $ (0.04 ) Earnings per share - diluted $ (0.04 )
TokBox
Business Acquisition [Line Items]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	Acquisition Date Fair Value Assets Cash and cash equivalents $ 557 Current assets 2,205 Property and equipment 124 Intangible assets 15,602 Deferred tax asset 92 Restricted cash 50 Total assets acquired 18,630 Liabilities Accounts payable 371 Accrued expenses 6,003 Total liabilities assumed 6,374 Net identifiable assets acquired 12,256 Goodwill 20,650 Net assets acquired $ 32,906
Business Acquisition, Pro Forma Information	The following supplemental pro forma information represents the results of operations as if Vonage had acquired TokBox on January 1, 2018. Nine Months Ended September 30, 2018 Revenue $ 780,846 Net income 27,601 Earnings per share - basic $ 0.12 Earnings per share - diluted $ 0.11

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2019
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table sets forth the computation for basic and diluted (loss)/earnings per share for the three and nine months ended September 30, 2019 and 2018 : Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Numerator Net (loss) income $ (21,097 ) $ 9,588 $ (17,107 ) $ 42,671 Denominator Basic weighted average common shares outstanding 242,336 239,303 241,786 236,775 Dilutive effect of stock options and restricted stock units — 10,213 — 12,005 Diluted weighted average common shares outstanding 242,336 249,516 241,786 248,780 Basic (loss) earnings per share Basic (loss) earnings per share $ (0.09 ) $ 0.04 $ (0.07 ) $ 0.18 Diluted (loss) earnings per share Diluted (loss) earnings per share $ (0.09 ) $ 0.04 $ (0.07 ) $ 0.17
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	For the three and nine months ended September 30, 2019 and 2018 , the following were excluded from the calculation of diluted (loss)/earnings per common share because of their anti-dilutive effects: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Restricted stock units 10,616 3,368 10,616 2,200 Stock options 5,087 1,637 5,087 1,013 15,703 5,005 15,703 3,213

Incomes Taxes (Tables)

Incomes Taxes (Tables)	9 Months Ended
	Sep. 30, 2019
Income Tax Disclosure [Abstract]
Schedule of Effective Income Tax Rate Reconciliation	The income tax consisted of the following: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 (Loss) income before income taxes $ (2,849 ) $ 12,158 $ (22,234 ) $ 37,027 Income tax (expense) benefit (18,248 ) (2,570 ) 5,127 5,644 Effective tax rate (640.5 )% 21.1 % 23.1 % (15.2 )%
Schedule of Unrecognized Tax Benefits Roll Forward	The following table reconciles the total amounts of uncertain tax benefits: September 30, 2019 December 31, 2018 Balance as of January 1 $ 1,107 $ 1,086 Increase due to current year positions — 1,107 Increase (decrease) due to prior year positions 154 (1,086 ) Decrease due to settlements and payments (86 ) — Increase due to foreign currency fluctuation 28 — Uncertain tax benefits as of the end of the period $ 1,203 $ 1,107

- Long-Term Debt (Tables)

- Long-Term Debt (Tables)	9 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
Schedule of Long-Term Debt	The following table summarizes the Company's long-term debt as of September 30, 2019 and December 31, 2018 : September 30, 2019 December 31, 2018 Term note payable - due 2023 $ — 95,000 Revolving credit facility - due 2023 235,500 425,000 Convertible senior notes - due 2024 345,000 — Long-term debt including current maturities 580,500 520,000 Less current maturities — 10,000 Less unamortized discount 64,229 — Less debt issuance costs 7,506 772 Total long-term debt $ 508,765 $ 509,228
Schedule of Net Carrying Amount of Liability and Equity Components of Notes	The net carrying amount of the equity component of the Convertible Senior Notes was as follows: September 30, 2019 Proceeds allocated to the conversion option (debt discount) $ 67,664 Issuance cost (1,944 ) Income tax expense (15,597 ) Net carrying amount $ 50,123 The net carrying amount of the liability component of the Convertible Senior Notes was as follows: September 30, 2019 Principal $ 345,000 Unamortized discount (64,229 ) Unamortized issuance cost (7,506 ) Net carrying amount $ 273,265
Schedule of Interest Expense Recognized Related to Notes	The following table sets forth the interest expense recognized related to the Convertible Senior Notes: Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Contractual interest expense 1,543 $ 1,819 Amortization of debt discount 2,948 3,435 Amortization of debt issuance costs 391 465 Total interest expense related to the Convertible Senior Notes 4,882 $ 5,719
Accumulated OCI Balance Attributable to Cash Flow Derivatives	The following table summarizes the effects of ASC 815 on the Company's accumulated OCI balance attributable to cash flow derivatives: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Accumulated OCI beginning balance $ (506 ) $ 1,973 $ 975 $ 965 Reclassified from accumulated OCI to income: Due to reclassification of previously deferred gain (133 ) (336 ) (398 ) (336 ) Change in fair value of cash flow hedge accounting contracts, net of tax (174 ) 866 (1,390 ) 1,874 Accumulated OCI ending balance, net of tax benefit of $29 and $34, respectively $ (813 ) $ 2,503 $ (813 ) $ 2,503 Gains expected to be reclassified from accumulated OCI during the next 12 months $ 531 $ 531 $ 531 $ 531

Leases - Leases (Tables)

Leases - Leases (Tables)	9 Months Ended
	Sep. 30, 2019
Leases [Abstract]
Supplemental Cash Flow - Operating Leases	Supplemental cash flow related to the Company's operating leases is as follows: Nine Months Ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 12,753 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 7,718
Maturity of Lease Liabilities	Maturities of lease liabilities as of September 30, 2019 are as follows: 2019 (excluding the nine months ended September 30, 2019) $ 3,926 2020 14,952 2021 11,495 2022 7,580 2023 7,196 Thereafter 27,770 Total lease payments 72,919 Less imputed interest (11,787 ) Total $ 61,132
Schedule of Future Minimum Rental Payments for Operating Leases	Minimal rental commitments under non-cancelable operating leases in effect as of December 31, 2018 were as follows (as calculated under ASC 840, Leases ): 2019 $ 17,204 2020 14,209 2021 10,378 2022 8,206 2023 8,154 Thereafter 9,908 Total minimum payments required $ 68,059

Common Stock (Tables)

Common Stock (Tables)	9 Months Ended
	Sep. 30, 2019
Equity [Abstract]
Schedule of Stock by Class	The following table reflects the changes in the Company's common stock issued and outstanding: For the Three Months Ended (in thousands) Issued Treasury Outstanding Balance at June 30, 2018 308,569 (69,751 ) 238,818 Shares issued under the 2015 Equity Incentive Plan 893 — 893 Employee taxes paid on withholding shares — (188 ) (188 ) Balance at September 30, 2018 309,462 (69,939 ) 239,523 Balance at June 30, 2019 314,725 (72,757 ) 241,968 Shares issued under the 2015 Equity Incentive Plan 465 — 465 Employee taxes paid on withholding shares — (113 ) (113 ) Assets acquisition 240 — 240 Common stock repurchases (Note 7) — — Balance at September 30, 2019 315,430 (72,870 ) 242,560 For the Nine Months Ended (in thousands) Issued Treasury Outstanding Balance at December 31, 2017 298,174 (67,235 ) 230,939 Shares issued under the 2015 Equity Incentive Plan 11,288 — 11,288 Employee taxes paid on withholding shares — (2,704 ) (2,704 ) Balance at September 30, 2018 309,462 (69,939 ) 239,523 Balance at December 31, 2018 309,736 (69,993 ) 239,743 Shares issued under the 2015 Equity Incentive Plan 5,454 — 5,454 Employee taxes paid on withholding shares — (2,024 ) (2,024 ) Assets acquisition 240 — 240 Common stock repurchases (Note 7) — (853 ) (853 ) Balance at September 30, 2019 315,430 (72,870 ) 242,560

Industry Segment and Geograph_2

Industry Segment and Geographic Information (Tables)	9 Months Ended
	Sep. 30, 2019
Segment Reporting [Abstract]
Revenue from External Customers by Geographic Areas	Information about our segment results for the three and nine months ended September 30, 2019 were as follows: Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Business Consumer Total Business Consumer Total Revenues Service revenues $ 183,701 $ 83,981 $ 267,682 $ 523,060 $ 260,225 $ 783,285 Access and product revenues (1) 12,120 69 12,189 35,524 197 35,721 Service, access and product revenues 195,821 84,050 279,871 558,584 260,422 819,006 USF revenues 10,709 11,954 22,663 27,563 33,090 60,653 Total revenues 206,530 96,004 302,534 586,147 293,512 879,659 Cost of revenues Service cost of revenues (2) 87,352 8,587 95,939 243,496 26,706 270,202 Access and product cost of revenues (1) 13,858 1,373 15,231 41,323 3,287 44,610 Service, access and product cost of revenues 101,210 9,960 111,170 284,819 29,993 314,812 USF cost of revenues 10,709 11,954 22,663 27,563 33,090 60,653 Total cost of revenues 111,919 21,914 133,833 312,382 63,083 375,465 Segment gross margin Service margin 96,349 75,394 171,743 279,564 233,519 513,083 Access and product margin (1,738 ) (1,304 ) (3,042 ) (5,799 ) (3,090 ) (8,889 ) Gross margin ex-USF (Service, access and product margin) 94,611 74,090 168,701 273,765 230,429 504,194 Segment gross margin $ 94,611 $ 74,090 $ 168,701 $ 273,765 $ 230,429 $ 504,194 Segment gross margin % Service margin % 52.4 % 89.8 % 64.2 % 53.4 % 89.7 % 65.5 % Gross margin ex-USF (Service, access and product margin %) 48.3 % 88.1 % 60.3 % 49.0 % 88.5 % 61.6 % Segment gross margin % 45.8 % 77.2 % 55.8 % 46.7 % 78.5 % 57.3 % (1) Includes customer premise equipment, access, and shipping and handling. (2) Excludes depreciation and amortization of $8,492 and $1,166 for the three months ended September 30, 2019 and $24,684 and $3,536 for nine months ended September 30, 2019 , respectively. Information about our segment results for the three and nine months ended September 30, 2018 were as follows: Three Months Ended Nine Months Ended September 30, 2018 September 30, 2018 Business Consumer Total Business Consumer Total Revenues Service revenues $ 133,709 $ 97,093 $ 230,802 $ 377,703 $ 301,954 $ 679,657 Access and product revenues (1) 12,427 92 12,519 37,674 472 38,146 Service, access and product revenues 146,136 97,185 243,321 415,377 302,426 717,803 USF revenues 7,499 10,711 18,210 22,768 34,408 57,176 Total revenues 153,635 107,896 261,531 438,145 336,834 774,979 Cost of revenues Service cost of revenues (2) 59,600 10,661 70,261 172,917 37,050 209,967 Access and product cost of revenues (1) 14,887 993 15,880 43,291 4,657 47,948 Service, access and product cost of revenues 74,487 11,654 86,141 216,208 41,707 257,915 USF cost of revenues 7,499 10,711 18,210 22,773 34,434 57,207 Total cost of revenues 81,986 22,365 104,351 238,981 76,141 315,122 Segment gross margin Service margin 74,109 86,432 160,541 204,786 264,904 469,690 Access and product margin (2,460 ) (901 ) (3,361 ) (5,617 ) (4,185 ) (9,802 ) Gross margin ex-USF (Service, access and product margin) 71,649 85,531 157,180 199,169 260,719 459,888 USF margin — — — (5 ) (26 ) (31 ) Segment gross margin $ 71,649 $ 85,531 $ 157,180 $ 199,164 $ 260,693 $ 459,857 Segment gross margin % Service margin % 55.4 % 89.0 % 69.6 % 54.2 % 87.7 % 69.1 % Gross margin ex-USF (Service, access and product margin %) 49.0 % 88.0 % 64.6 % 47.9 % 86.2 % 64.1 % Segment gross margin % 46.6 % 79.3 % 60.1 % 45.5 % 77.4 % 59.3 % (1) Includes customer premise equipment, access, and shipping and handling. (2) Excludes depreciation and amortization of $5,141 and $1,245 for the three months ended September 30, 2018 and $15,092 and $3,954 for the nine months ended September 30, 2018 , respectively. A reconciliation of the total of the reportable segments' gross margin to consolidated income before income taxes is as follows: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Total reportable gross margin $ 168,701 $ 157,180 $ 504,194 $ 459,857 Sales and marketing 83,628 74,380 274,513 229,201 Engineering and development 16,901 14,309 50,318 35,504 General and administrative 41,306 37,620 113,380 97,376 Depreciation and amortization 21,319 16,024 63,195 51,886 (Loss) Income from operations 5,547 14,847 2,788 45,890 Interest expense (8,454 ) (3,036 ) (24,517 ) (9,294 ) Other (expense) income, net 58 347 (505 ) 431 (Loss) Income before income taxes benefit $ (2,849 ) $ 12,158 $ (22,234 ) $ 37,027 Information about our operations by geographic location is as follows:
Long-lived Assets by Geographic Areas	Information about our operations by geographic location is as follows: September 30, 2019 December 31, 2018 Long-lived assets: United States $ 578,038 $ 596,820 United Kingdom 345,214 366,594 Israel 4,526 1,688 $ 927,778 $ 965,102

Nature of Business (Details)

Nature of Business (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
United States
Concentration Risk [Line Items]
Customer representation of revenue, percentage	72.00%	79.00%	72.00%	80.00%

Summary of Significant Accoun_2

Summary of Significant Accounting Policies - Cost of Revenues (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Accounting Policies [Abstract]
Depreciation and amortization	$ 9,658	$ 6,386	$ 28,220	$ 19,046
Cost of Goods and Services Sold	$ 5,921	$ 6,386	$ 17,112	$ 18,854

Summary of Significant Accoun_3

Summary of Significant Accounting Policies - Sales and Marketing Expenses (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Accounting Policies [Abstract]
Advertising costs	$ 11,437	$ 12,883	$ 45,773	$ 41,805

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Fair Value, Inputs, Level 2 | Fair value, measurements, recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swaps	$ 106	$ 1,859

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018	Sep. 30, 2018	Dec. 31, 2017
Accounting Policies [Abstract]
Cash and cash equivalents	$ 18,741	$ 5,057	$ 25,735	$ 31,360
Restricted cash	2,054	2,047	1,984	1,967
Cash, cash equivalents, and restricted cash	$ 20,795	$ 7,104	$ 27,719	$ 33,327

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Intangible Assets, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, net	$ 255,256	$ 299,911
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, net	158,804	187,887
Developed technology
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, net	91,547	104,368
Patents and patent licenses
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, net	1,655	2,514
Trade names
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, net	3,250	5,005
Non-compete agreements
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, net	$ 0	$ 137

Summary of Significant Accoun_7

Summary of Significant Accounting Policies - Accrued Expenses (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Accounting Policies [Abstract]
Compensation and related taxes and temporary labor	$ 28,410	$ 33,249
Marketing	13,728	10,238
Taxes and fees	17,903	11,189
Telecommunications	36,500	21,403
Interest	2,147	65
Customer credits	2,701	3,325
Professional fees	3,167	2,049
Inventory	997	1,188
Other accruals	10,935	4,664
Accrued expenses	$ 116,488	$ 87,370

Summary of Significant Accoun_8

Summary of Significant Accounting Policies - Narratives (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019	Jan. 01, 2019	Dec. 31, 2018
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Interest rate, stated percentage	1.75%	1.75%
Operating lease right-of-use assets	$ 53,561			$ 0
Total	61,132
Accounting Standards Update 2016-02
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Operating lease right-of-use assets			$ 57,300
Total			64,500
Accumulated Deficit | Restatement Adjustment | Accounting Standards Update 2016-02
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect of new accounting principle in period of adoption			$ 458
Fair value, measurements, recurring | Fair Value, Inputs, Level 2
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Convertible debt, fair value disclosures	$ 355,202

Revenue Recognition Disaggregat

Revenue Recognition Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Disaggregation of Revenue [Line Items]
Total revenues	$ 302,534	$ 261,531	$ 879,659	$ 774,979
Business
Disaggregation of Revenue [Line Items]
Total revenues	206,530	153,635	586,147	438,145
Consumer
Disaggregation of Revenue [Line Items]
Total revenues	96,004	107,896	293,512	336,834
Service revenues
Disaggregation of Revenue [Line Items]
Total revenues	267,682	230,802	783,285	679,657
Service revenues | Business
Disaggregation of Revenue [Line Items]
Total revenues	183,701	133,709	523,060	377,703
Service revenues | Consumer
Disaggregation of Revenue [Line Items]
Total revenues	83,981	97,093	260,225	301,954
Access and product revenues
Disaggregation of Revenue [Line Items]
Total revenues	12,189	12,519	35,721	38,146
Access and product revenues | Business
Disaggregation of Revenue [Line Items]
Total revenues	12,120	12,427	35,524	37,674
Access and product revenues | Consumer
Disaggregation of Revenue [Line Items]
Total revenues	69	92	197	472
USF revenues
Disaggregation of Revenue [Line Items]
Total revenues	22,663	18,210	60,653	57,176
USF revenues | Business
Disaggregation of Revenue [Line Items]
Total revenues	10,709	7,499	27,563	22,768
USF revenues | Consumer
Disaggregation of Revenue [Line Items]
Total revenues	11,954	10,711	33,090	34,408
United States
Disaggregation of Revenue [Line Items]
Total revenues	216,543	206,507	633,582	620,618
United States | Business
Disaggregation of Revenue [Line Items]
Total revenues	127,976	107,446	363,312	311,562
United States | Consumer
Disaggregation of Revenue [Line Items]
Total revenues	88,567	99,061	270,270	309,056
Canada
Disaggregation of Revenue [Line Items]
Total revenues	6,955	6,700	20,423	20,568
Canada | Business
Disaggregation of Revenue [Line Items]
Total revenues	2,138	919	5,496	2,293
Canada | Consumer
Disaggregation of Revenue [Line Items]
Total revenues	4,817	5,781	14,927	18,275
United Kingdom
Disaggregation of Revenue [Line Items]
Total revenues	16,530	9,559	61,731	29,818
United Kingdom | Business
Disaggregation of Revenue [Line Items]
Total revenues	13,910	6,505	53,416	20,315
United Kingdom | Consumer
Disaggregation of Revenue [Line Items]
Total revenues	2,620	3,054	8,315	9,503
Other Countries
Disaggregation of Revenue [Line Items]
Total revenues	62,506	38,765	163,923	103,975
Other Countries | Business
Disaggregation of Revenue [Line Items]
Total revenues	62,506	38,765	163,923	103,975
Other Countries | Consumer
Disaggregation of Revenue [Line Items]
Total revenues	$ 0	$ 0	$ 0	$ 0

Revenue Recognition - Contract

Revenue Recognition - Contract with Customer, Asset and Liability (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Revenue from Contract with Customer [Abstract]
Receivables	$ 94,423	$ 75,342
Contract liabilities	$ 61,105	$ 53,447

Revenue Recognition - Narrative

Revenue Recognition - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2020	Dec. 31, 2018
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenues	$ 302,534	$ 261,531	$ 879,659	$ 774,979
Recognized revenue, contract liabilities	111,739	105,494	344,935	332,480
Amortization of deferred customer acquisition costs	3,060	2,579	7,981	7,002
Scenario, Forecast
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Recognized revenue, contract liabilities					$ 61,105
Subscription services
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenues	146,127	149,091	467,893	452,257
Usage
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenues	87,677	63,857	242,192	175,764
USF and others
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenues	68,730	48,583	169,574	146,958
Current and Non-Current Portion
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Customer acquisition cost	63,201		63,201			$ 49,636
Business
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenues	$ 206,530	$ 153,635	$ 586,147	$ 438,145
Typical life of a customer			7 years

Acquisitions and Dispositions_2

Acquisitions and Dispositions - Business Combination, Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	11 Months Ended
	Sep. 30, 2019	Dec. 31, 2018	Oct. 31, 2018	Aug. 01, 2018
Liabilities
Goodwill	$ 589,923	$ 598,499
Measurement period adjustment, Deferred Revenue	800
Measurement period adjustment, Liabilities	800
New Voice Media
Assets
Cash and cash equivalents	1,994		$ 1,994
Accounts receivable	12,299		13,747
Other current assets	3,907		3,907
Property and equipment	3,474		3,474
Intangible assets	154,300		154,300
Other assets	378		378
Total assets acquired	176,352		177,800
Liabilities
Accounts payable	4,712		4,712
Accrued expenses	4,145		4,145
Deferred tax liabilities	7,756		7,756
Deferred revenue	22,800		22,000
Total liabilities assumed	39,413		38,613
Net identifiable assets acquired	136,939		139,187
Goodwill	213,240		210,992
Total purchase price	350,179		$ 350,179
Measurement period adjustment, accounts receivable	(1,448)
Measurement period adjustment, total assets acquired	(1,448)
Measurement period adjustment, net identifiable assets acquired	(2,248)
Measurement period adjustment, goodwill	$ 2,248
TokBox
Assets
Cash and cash equivalents				$ 557
Current assets				2,205
Property and equipment				124
Intangible assets				15,602
Deferred tax asset				92
Restricted cash				50
Total assets acquired				18,630
Liabilities
Accounts payable				371
Accrued expenses				6,003
Total liabilities assumed				6,374
Net identifiable assets acquired				12,256
Goodwill				20,650
Total purchase price				$ 32,906

Acquisitions and Dispositions_3

Acquisitions and Dispositions - Business Acquisition, Pro Forma Information (Details) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2018USD ($)$ / shares
New Voice Media
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Business acquisition, pro forma revenue | $	$ 827,152
Business acquisition, pro forma net income | $	$ (10,450)
Business acquisition, pro forma earnings per share, basic | $ / shares	$ (0.04)
Business acquisition, pro forma earnings per share, diluted | $ / shares	$ (0.04)
TokBox
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Business acquisition, pro forma revenue | $	$ 780,846
Business acquisition, pro forma net income | $	$ 27,601
Business acquisition, pro forma earnings per share, basic | $ / shares	$ 0.12
Business acquisition, pro forma earnings per share, diluted | $ / shares	$ 0.11

Acquisitions and Dispositions_4

Acquisitions and Dispositions - Goodwill (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2019USD ($)
Goodwill [Roll Forward]
Goodwill, beginning balance	$ 598,499
Goodwill, foreign currency translation gain (loss)	(10,824)
Goodwill, ending balance	589,923
New Voice Media
Goodwill [Roll Forward]
Goodwill, period increase (decrease)	2,248
Goodwill, ending balance	$ 213,240

Acquisitions and Dispositions_5

Acquisitions and Dispositions - Narrative (Details) - USD ($) $ in Thousands	Oct. 31, 2018	Aug. 01, 2018	Sep. 30, 2019	Dec. 31, 2018
Business Acquisition [Line Items]
Goodwill			$ 589,923	$ 598,499
New Voice Media
Business Acquisition [Line Items]
Percentage of voting interests acquired	100.00%
Cash consideration	$ 350,179
Acquisition paid in cash	341,000
Other payments	9,000
Goodwill	$ 210,992		213,240
Acquisition related costs			$ 311
TokBox
Business Acquisition [Line Items]
Percentage of voting interests acquired		100.00%
Cash consideration		$ 32,906
Goodwill		$ 20,650

Earnings Per Share - Schedule o

Earnings Per Share - Schedule of Earnings Per Share Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Numerator
Net (loss) income	$ (21,097)	$ 9,588	$ (17,107)	$ 42,671
Denominator
Basic weighted average common shares outstanding (in shares)	242,336	239,303	241,786	236,775
Dilutive effect of stock options and restricted stock (in shares)	0	10,213	0	12,005
Diluted weighted average common shares outstanding (in shares)	242,336	249,516	241,786	248,780
Basic (loss) earnings per share
Basic (loss) earnings per share (usd per share)	$ (0.09)	$ 0.04	$ (0.07)	$ 0.18
Diluted (loss) earnings per share
Diluted (loss) earnings per share (usd per share)	$ (0.09)	$ 0.04	$ (0.07)	$ 0.17

Earnings Per Share - Schedule_2

Earnings Per Share - Schedule of Antidilutive Securities (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Earnings per share, antidilutive securities:
Antidilutive securities excluded from earnings per common share (in shares)	15,703	5,005	15,703	3,213
Restricted stock units
Earnings per share, antidilutive securities:
Antidilutive securities excluded from earnings per common share (in shares)	10,616	3,368	10,616	2,200
Stock options
Earnings per share, antidilutive securities:
Antidilutive securities excluded from earnings per common share (in shares)	5,087	1,637	5,087	1,013

Earnings Per Share - Narrative

Earnings Per Share - Narrative (Details) - $ / shares	Sep. 30, 2019	Jun. 30, 2019
Earnings Per Share [Abstract]
Debt instrument, conversion price (in dollar per share)	$ 16.72	$ 16.72

Income Taxes - Effective Tax Ra

Income Taxes - Effective Tax Rate (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Income Tax Disclosure [Abstract]
(Loss) income before income taxes	$ (2,849)	$ 12,158	$ (22,234)	$ 37,027
Income tax (expense) benefit	$ (18,248)	$ (2,570)	$ 5,127	$ 5,644
Effective tax rate	(640.50%)	21.10%	23.10%	(15.20%)

Income Taxes - Schedule of Unre

Income Taxes - Schedule of Unrecognized Tax Benefit Roll Forward (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Balance as of January 1	$ 1,107	$ 1,086
Increase due to current year positions	0	1,107
Increase resulting from prior period	154
Decrease due to prior year positions		(1,086)
Decrease due to settlements and payments	(86)	0
Increase due to foreign currency fluctuation	28	0
Uncertain tax benefits as of the end of the period	$ 1,203	$ 1,107

Income Taxes - Narrative (Detai

Income Taxes - Narrative (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018	Dec. 31, 2017
Operating Loss Carryforwards [Line Items]
Discrete period tax benefit	$ 544,000		$ 6,697,000
Effective income tax rate reconciliation, Tax Cuts and Jobs Act				$ 5,312,000
Effective tax rate		$ 1,912,000		19,228,000
Uncertain tax position	1,203,000		1,203,000		$ 1,107,000	$ 1,086,000
Incurred penalties and interest expense	149,000	$ 0	149,000	$ 0
Domestic Tax Authority
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	578,522,000		578,522,000
State and Local Jurisdiction
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	245,403,000		245,403,000
Foreign Tax Authority | Her Majesty's Revenue and Customs (HMRC)
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	$ 162,535,000		$ 162,535,000

Long-Term Debt - Schedule of Lo

Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Term note payable - due 2023	$ 0	$ 95,000
Revolving credit facility - due 2023	235,500	425,000
Convertible senior notes - due 2024	345,000	0
Long-term debt including current maturities	580,500	520,000
Less current maturities	0	10,000
Less unamortized discount	64,229	0
Less debt issuance costs	7,506	772
Total long-term debt	$ 508,765	$ 509,228

Long-Term Debt - Schedule of Ne

Long-Term Debt - Schedule of Net Carrying Amount of Liability Component of Notes (Details) - USD ($)	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Debt Disclosure [Abstract]
Principal	$ 345,000,000	$ 300,000,000
Unamortized discount	(64,229,000)
Unamortized issuance cost	(7,506,000)		$ (772,000)
Net carrying amount	$ 273,265,000

Long-Term Debt - Schedule of _2

Long-Term Debt - Schedule of Net Carrying Amount of Equity Component of Notes (Details) $ in Thousands	Sep. 30, 2019USD ($)
Debt Disclosure [Abstract]
Proceeds allocated to the conversion option (debt discount)	$ 67,664
Issuance cost	(1,944)
Income tax expense	(15,597)
Net carrying amount	$ 50,123

Long-Term Debt - Schedule of In

Long-Term Debt - Schedule of Interest Expense Recognized Related to Notes (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2019
Debt Disclosure [Abstract]
Contractual interest expense	$ 1,543	$ 1,819
Amortization of debt discount	2,948	3,435
Amortization of debt issuance costs	391	465
Total interest expense related to the Convertible Senior Notes	$ 4,882	$ 5,719

Long-Term Debt - Interest Rate

Long-Term Debt - Interest Rate Swap (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Accumulated OCI beginning balance	$ (506)	$ 1,973	$ 975	$ 965
Due to reclassification of previously deferred gain	(133)	(336)	(398)	(336)
Change in fair value of cash flow hedge accounting contracts, net of tax	(174)	866	(1,390)	1,874
Accumulated OCI ending balance	(813)	2,503	(813)	2,503
Gains expected to be reclassified from accumulated OCI during the next 12 months	531	531	531	531
Accumulated Net Gain (Loss)
Debt Instrument [Line Items]
AOCI tax	$ 29	$ 34	$ 29	$ 34

Long-Term Debt - Narrative (Det

Long-Term Debt - Narrative (Details)	1 Months Ended	3 Months Ended	9 Months Ended
	Jun. 30, 2019USD ($)trading_day$ / shares$ / unitshares	Sep. 30, 2018USD ($)	Sep. 30, 2019USD ($)$ / shares	Sep. 30, 2018USD ($)	Dec. 31, 2018USD ($)	Jul. 31, 2018USD ($)	Jul. 31, 2017USD ($)	Jul. 14, 2017agreement	Jun. 03, 2016USD ($)
Debt Instrument [Line Items]
Principal	$ 300,000,000		$ 345,000,000
Interest rate, stated percentage	1.75%		1.75%
Additional principal amount	$ 45,000,000
Convertible, threshold percentage of stock price	130.00%
Convertible, threshold trading days | trading_day	20
Convertible, threshold consecutive trading days | trading_day	30
Total net proceeds after deduction			$ 334,800,000
Converted instrument, amount	$ 1,000,000
Converted shares issued (in shares) | shares	59.8256
Debt instrument, conversion price (in dollar per share) | $ / shares	$ 16.72		$ 16.72
Common stock repurchases	$ 10,000,000		$ 10,000,000	$ 0
Interest rate, effective percentage			6.40%
Debt issuance costs, gross	$ 7,973,000
Derivative, cap price (in dollars per share) | $ / unit	23.46
Payments for capped call transactions			$ 28,325,000
Related income tax benefit			6,772,000
Number of shares authorized to be repurchased (in shares) | shares	852,515
Share price (in dollars per share) | $ / shares	$ 11.73
Deferred debt issuance cost				89,000
Gain (Loss) on extinguishment of debt			0	(14,000)
Principal payments on notes and revolving credit facility			418,500,000	293,688,000
Proceeds from issuance of long-term debt			479,000,000	272,000,000
Derivative, number of instruments held | agreement								3
Derivative, amount of hedged item							$ 150,000,000
Derivative, fixed interest rate							4.70%
Fair value, measurements, recurring | Fair Value, Inputs, Level 2
Debt Instrument [Line Items]
Fair market value of the swaps			106,000		$ 1,859,000
2016 Credit Facility | Term note | Secured debt
Debt Instrument [Line Items]
Principal									$ 125,000,000
Principal payments on notes and revolving credit facility				9,400,000
2016 Credit Facility | Revolving credit facility | Line of credit
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity									$ 325,000,000
Principal payments on notes and revolving credit facility				35,000,000
Proceeds from issuance of long-term debt				40,000,000
2018 Credit Facility
Debt Instrument [Line Items]
Debt issuance costs, gross			$ 3,376,000
Repayments of debt		$ 232,000,000
Line of credit facility, interest rate at period end			4.81%
2018 Credit Facility | Term note | Secured debt
Debt Instrument [Line Items]
Principal						$ 100,000,000
Debt issuance costs, gross			$ 474,000
Principal payments on notes and revolving credit facility			95,000,000	2,500,000
2018 Credit Facility | Revolving credit facility | Line of credit
Debt Instrument [Line Items]
Debt issuance costs, gross			2,813,000
Line of credit, maximum borrowing capacity						$ 500,000,000
Principal payments on notes and revolving credit facility			323,500,000	$ 18,000,000
Proceeds from issuance of long-term debt			$ 134,000,000

Leases - Narratives (Details)

Leases - Narratives (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2019USD ($)	Sep. 30, 2019USD ($)
Leases [Abstract]
Operating lease, renewal term	5 years	5 years
Operating lease, expense	$ 3,529	$ 11,196
Operating lease, weighted average remaining lease term	6 years 11 months 26 days	6 years 11 months 26 days
Operating lease, discount rate	5.18%	5.18%

Leases - Supplemental Cash Flow

Leases - Supplemental Cash Flow - Operating Leases (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2019USD ($)
Leases [Abstract]
Operating cash flows from operating leases	$ 12,753
Right-of-use assets obtained in exchange for operating lease liability	$ 7,718

Leases - Lessee, Operating Leas

Leases - Lessee, Operating Lease, Liability, Maturity (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Leases [Abstract]
2019 (excluding the nine months ended September 30, 2019)	$ 3,926
2020	14,952
2021	11,495
2022	7,580
2023	7,196
Thereafter	27,770
Total lease payments	72,919
Less imputed interest	(11,787)
Total	$ 61,132
2019		$ 17,204
2020		14,209
2021		10,378
2022		8,206
2023		8,154
Thereafter		9,908
Total minimum payments required		$ 68,059

Common Stock Schedule of Stock

Common Stock Schedule of Stock by Class (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Outstanding, Balance at beginning of period (in shares)	241,968	238,818	239,743	230,939
Shares issued under the 2015 Equity Incentive Plan (in shares)	465	893	5,454	11,288
Employee taxes paid on withholding shares (in shares)	(113)	(188)	(2,024)	(2,704)
Assets acquisition (in shares)	240		240
Common stock repurchases (Note 7) (in shares)	0		(853)
Outstanding, Balance at end of period (in shares)	242,560	239,523	242,560	239,523
Common Stock Issued
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issued, Balance at beginning of period (in shares)	314,725	308,569	309,736	298,174
Shares issued under the 2015 Equity Incentive Plan (in shares)	465	893	5,454	11,288
Employee taxes paid on withholding shares (in shares)	0	0	0	0
Assets acquisition (in shares)	240		240
Common stock repurchases (Note 7) (in shares)	0		0
Issued, Balance at end of period (in shares)	315,430	309,462	315,430	309,462
Treasury Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Treasury, Balance at beginning of period (in shares)	72,757	69,751	69,993	67,235
Shares issued under the 2015 Equity Incentive Plan (in shares)	0	0	0	0
Employee taxes paid on withholding shares (in shares)	(113)	(188)	(2,024)	(2,704)
Assets acquisition (in shares)	0		0
Common stock repurchases (Note 7) (in shares)			(853)
Treasury, Balance at end of period (in shares)	72,870	69,939	72,870	69,939

Common Stock - Narrative (Detai

Common Stock - Narrative (Details) - shares	Sep. 30, 2019	Dec. 31, 2018
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	596,950,000	596,950,000
Shares available for grant (in shares)	23,448,000
Common Stock
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	596,950,000	596,950,000

Commitments and Contingencies -

Commitments and Contingencies - Narrative (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Reserve for potential tax liability pending new requirements from state or municipal agencies	$ 4,547	$ 3,302

Industry Segment and Geograph_3

Industry Segment and Geographic Information - Schedule of Segment Results (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Segment Reporting Information [Line Items]
Total revenues	$ 302,534	$ 261,531	$ 879,659	$ 774,979
Cost of revenues	133,833	104,351	375,465	315,122
Segment gross margin	$ 168,701	$ 157,180	$ 504,194	$ 459,857
Segment gross margin %	55.80%	60.10%	57.30%	59.30%
Depreciation and amortization	$ 9,658	$ 6,386	$ 28,220	$ 19,046
Business
Segment Reporting Information [Line Items]
Total revenues	206,530	153,635	586,147	438,145
Cost of revenues	111,919	81,986	312,382	238,981
Segment gross margin	$ 94,611	$ 71,649	$ 273,765	$ 199,164
Segment gross margin %	45.80%	46.60%	46.70%	45.50%
Consumer
Segment Reporting Information [Line Items]
Total revenues	$ 96,004	$ 107,896	$ 293,512	$ 336,834
Cost of revenues	21,914	22,365	63,083	76,141
Segment gross margin	$ 74,090	$ 85,531	$ 230,429	$ 260,693
Segment gross margin %	77.20%	79.30%	78.50%	77.40%
Service revenues
Segment Reporting Information [Line Items]
Total revenues	$ 267,682	$ 230,802	$ 783,285	$ 679,657
Cost of revenues	95,939	70,261	270,202	209,967
Segment gross margin	$ 171,743	$ 160,541	$ 513,083	$ 469,690
Segment gross margin %	64.20%	69.60%	65.50%	69.10%
Service revenues | Business
Segment Reporting Information [Line Items]
Total revenues	$ 183,701	$ 133,709	$ 523,060	$ 377,703
Cost of revenues	87,352	59,600	243,496	172,917
Segment gross margin	$ 96,349	$ 74,109	$ 279,564	$ 204,786
Segment gross margin %	52.40%	55.40%	53.40%	54.20%
Depreciation and amortization	$ 8,492	$ 5,141	$ 24,684	$ 15,092
Service revenues | Consumer
Segment Reporting Information [Line Items]
Total revenues	83,981	97,093	260,225	301,954
Cost of revenues	8,587	10,661	26,706	37,050
Segment gross margin	$ 75,394	$ 86,432	$ 233,519	$ 264,904
Segment gross margin %	89.80%	89.00%	89.70%	87.70%
Depreciation and amortization	$ 1,166	$ 1,245	$ 3,536	$ 3,954
Access and product revenues
Segment Reporting Information [Line Items]
Total revenues	12,189	12,519	35,721	38,146
Cost of revenues	15,231	15,880	44,610	47,948
Segment gross margin	(3,042)	(3,361)	(8,889)	(9,802)
Access and product revenues | Business
Segment Reporting Information [Line Items]
Total revenues	12,120	12,427	35,524	37,674
Cost of revenues	13,858	14,887	41,323	43,291
Segment gross margin	(1,738)	(2,460)	(5,799)	(5,617)
Access and product revenues | Consumer
Segment Reporting Information [Line Items]
Total revenues	69	92	197	472
Cost of revenues	1,373	993	3,287	4,657
Segment gross margin	(1,304)	(901)	(3,090)	(4,185)
Service, access and product revenues
Segment Reporting Information [Line Items]
Total revenues	279,871	243,321	819,006	717,803
Cost of revenues	111,170	86,141	314,812	257,915
Segment gross margin	$ 168,701	$ 157,180	$ 504,194	$ 459,888
Segment gross margin %	60.30%	64.60%	61.60%	64.10%
Service, access and product revenues | Business
Segment Reporting Information [Line Items]
Total revenues	$ 195,821	$ 146,136	$ 558,584	$ 415,377
Cost of revenues	101,210	74,487	284,819	216,208
Segment gross margin	$ 94,611	$ 71,649	$ 273,765	$ 199,169
Segment gross margin %	48.30%	49.00%	49.00%	47.90%
Service, access and product revenues | Consumer
Segment Reporting Information [Line Items]
Total revenues	$ 84,050	$ 97,185	$ 260,422	$ 302,426
Cost of revenues	9,960	11,654	29,993	41,707
Segment gross margin	$ 74,090	$ 85,531	$ 230,429	$ 260,719
Segment gross margin %	88.10%	88.00%	88.50%	86.20%
USF revenues
Segment Reporting Information [Line Items]
Total revenues	$ 22,663	$ 18,210	$ 60,653	$ 57,176
Cost of revenues	22,663	18,210	60,653	57,207
Segment gross margin		0		(31)
USF revenues | Business
Segment Reporting Information [Line Items]
Total revenues	10,709	7,499	27,563	22,768
Cost of revenues	10,709	7,499	27,563	22,773
Segment gross margin		0		(5)
USF revenues | Consumer
Segment Reporting Information [Line Items]
Total revenues	11,954	10,711	33,090	34,408
Cost of revenues	$ 11,954	10,711	$ 33,090	34,434
Segment gross margin		$ 0		$ (26)

Industry Segment and Geograph_4

Industry Segment and Geographic Information - Reconciliation of the Reportable Segments' Gross Margin (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Segment Reporting [Abstract]
Total reportable gross margin	$ 168,701	$ 157,180	$ 504,194	$ 459,857
Sales and marketing	83,628	74,380	274,513	229,201
Engineering and development	16,901	14,309	50,318	35,504
General and administrative	41,306	37,620	113,380	97,376
Depreciation and amortization	21,319	16,024	63,195	51,886
Income from operations	5,547	14,847	2,788	45,890
Interest expense	(8,454)	(3,036)	(24,517)	(9,294)
Other income (expense), net	58	347	(505)	431
(Loss) Income before income taxes benefit	$ (2,849)	$ 12,158	$ (22,234)	$ 37,027

Industry Segment and Geograph_5

Industry Segment and Geographic Information - Schedule of Long Lived Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Segment Reporting Information [Line Items]
Long-lived assets	$ 927,778	$ 965,102
United States
Segment Reporting Information [Line Items]
Long-lived assets	578,038	596,820
United Kingdom
Segment Reporting Information [Line Items]
Long-lived assets	345,214	366,594
Israel
Segment Reporting Information [Line Items]
Long-lived assets	$ 4,526	$ 1,688

Uncategorized Items - a10-qq319

Label	Element	Value
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets	us-gaap_NewAccountingPronouncementOrChangeInAccountingPrincipleCumulativeEffectOfChangeOnEquityOrNetAssets1	$ 458,000
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets	us-gaap_NewAccountingPronouncementOrChangeInAccountingPrincipleCumulativeEffectOfChangeOnEquityOrNetAssets1	24,848,000
Accounting Standards Update 2016-02 [Member] | Retained Earnings [Member]
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets	us-gaap_NewAccountingPronouncementOrChangeInAccountingPrincipleCumulativeEffectOfChangeOnEquityOrNetAssets1	458,000
Accounting Standards Update 2014-09 [Member] | Retained Earnings [Member]
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets	us-gaap_NewAccountingPronouncementOrChangeInAccountingPrincipleCumulativeEffectOfChangeOnEquityOrNetAssets1	$ 24,848,000