Pacific Biosciences of California (PACB) 10-Q 5 Aug 22 2022 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2022	Jul. 31, 2022
Document And Entity Information [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Current Fiscal Year End Date	--12-31
Document Period End Date	Jun. 30, 2022
Document Fiscal Year Focus	2022
Document Transition Report	false
Entity File Number	001-34899
Entity Registrant Name	Pacific Biosciences of California, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	16-1590339
Entity Address, Address Line One	1305 O’Brien Drive
Entity Address, City or Town	Menlo Park
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	94025
City Area Code	650
Local Phone Number	521-8000
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	PACB
Security Exchange Name	NASDAQ
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		224,840,799
Amendment Flag	false
Entity Central Index Key	0001299130
Document Fiscal Period Focus	Q2

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Current assets
Cash and cash equivalents	$ 310,445	$ 460,725
Investments	588,706	583,675
Accounts receivable, net	27,058	24,241
Inventory, net	36,121	24,599
Prepaid expenses and other current assets	7,657	7,394
Short-term restricted cash	300	500
Total current assets	970,287	1,101,134
Property and equipment, net	37,957	32,504
Operating lease right-of-use assets, net	43,274	46,617
Long-term restricted cash	2,922	4,592
Intangible assets, net	410,523	410,979
Goodwill	409,974	409,974
Other long-term assets	1,205	1,170
Total assets	1,876,142	2,006,970
Current liabilities
Accounts payable	12,883	11,002
Accrued expenses	25,174	36,261
Deferred revenue, current	32,084	10,977
Operating lease liabilities, current	8,350	7,710
Other liabilities, current	5,905	5,759
Total current liabilities	84,396	71,709
Deferred revenue, non-current	1,827	25,049
Contingent consideration liability, non-current	163,216	169,717
Operating lease liabilities, non-current	45,497	49,970
Convertible senior notes, net, non-current	896,374	896,067
Other liabilities, non-current	2,946	3,471
Total liabilities	1,194,256	1,215,983
Commitments and contingencies
Stockholders' equity
Preferred stock, $0.001 par value: Authorized 50,000 shares; No shares issued or outstanding
Common stock, $0.001 par value: Authorized 1,000,000 shares; issued and outstanding 224,756 and 220,978 shares at June 30, 2022 and December 31, 2021, respectively	225	221
Additional paid-in capital	2,058,103	2,009,945
Accumulated other comprehensive loss	(5,457)	(1,087)
Accumulated deficit	(1,370,985)	(1,218,092)
Total stockholders' equity	681,886	790,987
Total liabilities and stockholders' equity	$ 1,876,142	$ 2,006,970

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands	Jun. 30, 2022	Dec. 31, 2021
Condensed Consolidated Balance Sheets [Abstract]
Preferred Stock, par value	$ 0.001	$ 0.001
Preferred Stock, shares authorized	50,000	50,000
Preferred Stock, shares issued	0	0
Preferred Stock, shares outstanding	0	0
Common Stock, par value	$ 0.001	$ 0.001
Common Stock, shares authorized	1,000,000	1,000,000
Common Stock, shares issued	224,756	220,978
Common Stock, shares outstanding	224,756	220,978

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenue:
Total revenue	$ 35,467	$ 30,610	$ 68,640	$ 59,607
Cost of revenue:
Cost of product revenue	15,499	13,222	30,319	25,919
Cost of service and other revenue	3,592	3,635	7,607	6,958
Amortization of Intangible Assets	183		366
Total cost of revenue	19,274	16,857	38,292	32,877
Gross profit	16,193	13,753	30,348	26,730
Operating expense:
Research and development	50,348	22,266	103,285	42,815
Sales, general and administrative	39,252	29,060	79,056	55,198
Change in fair value of contingent consideration	(5,438)		(6,501)
Total operating expense	84,162	51,326	175,840	98,013
Operating loss	(67,969)	(37,573)	(145,492)	(71,283)
(Loss)/Gain from Continuation Advances from Illumina				(52,000)
Interest expense	(3,681)	(3,589)	(7,378)	(5,378)
Other income (expense), net	256	161	(23)	225
Net loss	(71,394)	(41,001)	(152,893)	(128,436)
Other comprehensive loss:
Unrealized loss on investments	(1,372)	(80)	(4,370)	(91)
Comprehensive loss	$ (72,766)	$ (41,081)	$ (157,263)	$ (128,527)
Net loss per share:
Diluted	$ (0.32)	$ (0.21)	$ (0.68)	$ (0.65)
Basic	$ (0.32)	$ (0.21)	$ (0.68)	$ (0.65)
Weighted average shares outstanding used in calculating net loss per share:
Basic	224,499	198,568	223,400	196,690
Diluted	224,499	198,568	223,400	196,690
Product [Member]
Revenue:
Total revenue	$ 30,175	$ 26,533	$ 58,419	$ 51,836
Service and Other [Member]
Revenue:
Total revenue	$ 5,292	$ 4,077	$ 10,221	$ 7,771

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Stockholders’ Equity - USD ($) shares in Thousands, $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Other Comprehensive (Loss) Income [Member]	Accumulated Deficit [Member]	Total
Balance at Dec. 31, 2020	$ 192	$ 1,372,083	$ 85	$ (1,036,869)	$ 335,491
Balance, shares at Dec. 31, 2020	192,294
Net loss				(128,436)	(128,436)
Other comprehensive loss			(91)		(91)
Issuance of common stock in conjunction with equity plans	$ 7	25,304			25,311
Issuance of common stock in conjunction with equity plans, shares	6,623
Stock-based compensation expense		25,970			25,970
Balance at Jun. 30, 2021	$ 199	1,423,357	(6)	(1,165,305)	258,245
Balance, shares at Jun. 30, 2021	198,917
Balance at Mar. 31, 2021	$ 198	1,404,585	74	(1,124,304)	280,553
Balance, shares at Mar. 31, 2021	198,340
Net loss				(41,001)	(41,001)
Other comprehensive loss			(80)		(80)
Issuance of common stock in conjunction with equity plans	$ 1	2,967			2,968
Issuance of common stock in conjunction with equity plans, shares	577
Stock-based compensation expense		15,805			15,805
Balance at Jun. 30, 2021	$ 199	1,423,357	(6)	(1,165,305)	258,245
Balance, shares at Jun. 30, 2021	198,917
Balance at Dec. 31, 2021	$ 221	2,009,945	(1,087)	(1,218,092)	$ 790,987
Balance, shares at Dec. 31, 2021	220,978				220,978
Net loss				(152,893)	$ (152,893)
Other comprehensive loss			(4,370)		(4,370)
Issuance of common stock in conjunction with equity plans	$ 4	6,436			6,440
Issuance of common stock in conjunction with equity plans, shares	3,778
Stock-based compensation expense		41,722			41,722
Balance at Jun. 30, 2022	$ 225	2,058,103	(5,457)	(1,370,985)	$ 681,886
Balance, shares at Jun. 30, 2022	224,756				224,756
Balance at Mar. 31, 2022	$ 224	2,038,030	(4,085)	(1,299,591)	$ 734,578
Balance, shares at Mar. 31, 2022	224,329
Net loss				(71,394)	(71,394)
Other comprehensive loss			(1,372)		(1,372)
Issuance of common stock in conjunction with equity plans	$ 1	847			848
Issuance of common stock in conjunction with equity plans, shares	427
Stock-based compensation expense		19,226			19,226
Balance at Jun. 30, 2022	$ 225	$ 2,058,103	$ (5,457)	$ (1,370,985)	$ 681,886
Balance, shares at Jun. 30, 2022	224,756				224,756

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Cash flows from operating activities
Net loss	$ (152,893)	$ (128,436)
Adjustments to reconcile net loss to net cash used in operating activities
Loss from Continuation Advances		52,000
Depreciation	4,591	3,198
Amortization of intangible asets	456
Amortization of right-of-use assets	3,412	1,591
Amortization of debt discount and financing costs	319	226
Stock-based compensation	41,722	25,970
Amortization from investment premium	1,143	1,782
Change in the estimated fair value of contingent consideration	(6,501)
Loss on disposition of equipment	77
Changes in assets and liabilities
Accounts receivable	(2,817)	(3,099)
Inventory	(13,166)	(5,030)
Prepaid expenses and other assets	(340)	(307)
Accounts payable	1,331	1,403
Accrued expenses	(11,357)	5,560
Deferred revenue	(2,115)	9,402
Operating lease liabilities	(3,833)	(2,144)
Other liabilities	379	(932)
Net cash used in operating activities	(139,592)	(38,816)
Cash flows from investing activities
Purchase of property and equipment	(7,657)	(1,970)
Purchase of investments	(241,086)	(635,400)
Sales of investments		34,557
Maturities of investments	230,515	150,175
Net cash used in investing activities	(18,228)	(452,638)
Cash flows from financing activities
Continuation Advances		(52,000)
Proceeds from issuance of Convertible Senior Notes, net of issuance costs		895,536
Proceeds from issuance of common stock from equity plans	6,440	25,311
Notes payable principal payoff	(770)
Other		(246)
Net cash provided by financing activities	5,670	868,601
Net increase in cash and cash equivalents and restricted cash	(152,150)	377,147
Cash and cash equivalents and restricted cash at beginning of period	465,817	85,947
Cash and cash equivalents and restricted cash at end of period	313,667	463,094
Cash and cash equivalents at end of period	310,445	459,794
Restricted cash at end of period	$ 3,222	$ 3,300

Organization and Significant Ac

Organization and Significant Accounting Policies	6 Months Ended
	Jun. 30, 2022
Organization and Significant Accounting Policies[Abstract]
Organization and Significant Accounting Policies	NOTE 1 . ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES We are a life science technology company that designs, develops, and manufactures advanced sequencing solutions to help scientists and clinical researchers resolve genetically complex problems. Our products and technology under development stem from two highly differentiated core technologies focused on accuracy, quality and completeness which include our existing HiFi long read sequencing technology and our emerging short read Sequencing by Binding (SBB ® ) technology. Our products address solutions across a broad set of applications including human germline sequencing, plant and animal sciences, infectious disease and microbiology, oncology, and other emerging applications. Our focus is on providing our customers with advanced sequencing technologies with higher throughput and improved workflows that we believe will enable dramatic advancements in routine healthcare. Our customers include academic and governmental research institutions, commercial testing and service laboratories, genome centers, public health labs, hospitals and clinical research institutes, contract research organizations (CROs), pharmaceutical companies and agricultural companies. References in this report to “PacBio,” “we,” “us,” the “Company,” and “our” refer to Pacific Biosciences of California, Inc. and its consolidated subsidiaries. Basis of Presentation and Consolidation Our unaudited condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States, or U.S. GAAP, as set forth in the Financial Accounting Standards Board, or FASB, Accounting Standards Codification, or ASC. The unaudited condensed consolidated financial statements include the accounts of Pacific Biosciences and our wholly owned subsidiaries. Certain information and footnote disclosures typically included in our audited financial statements have been condensed or omitted. The accompanying unaudited condensed consolidated financial statements have been prepared on a consistent basis with the December 31, 2021 audited consolidated financial statements and include all adjustments, consisting of only normal recurring adjustments, necessary to fairly state our financial position, results of operations, comprehensive income (loss), and cash flows for the period, but are not necessarily indicative of the results to be expected for the entire year or any future periods. All intercompany transactions and balances have been eliminated. The financial statements should be read in conjunction with the audited consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended December 31, 2021. Use of Estimates The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes to the financial statements. On an ongoing basis, we evaluate our significant estimates including, but not limited to, the valuation of inventory, the determination of stand-alone selling prices for revenue recognition, the fair value of contingent consideration, the valuation of acquired intangible assets, the fair value of certain equity awards, the useful lives assigned to long-lived assets, the computation of provisions for income taxes, the borrowing rate used in calculating the operating lease right-of-use assets and operating lease liabilities, the probability associated with variable payments under partnership development agreements, and the valuations related to our convertible senior notes. While the extent of the potential impact of the ongoing COVID-19 pandemic on our business is highly uncertain, we considered information available related to assumptions and estimates used to determine the results reported and asset valuations as of June 30, 2022. Actual results could differ materially from these estimates. Cash, Cash Equivalents, and Investments We consider all highly liquid investments purchased with an original maturity of 90 days or less to be cash equivalents. Cash equivalents may be comprised of money market funds, certificates of deposit, commercial paper, corporate bonds and notes, and government agencies’ securities. We classify our investments in debt securities as available-for sale and report the investments at fair value in current assets. We evaluate our available-for-sale investments in unrealized loss positions and assess whether the unrealized loss is credit-related. Unrealized gains and losses that are not credit-related are recognized in accumulated other comprehensive (loss) income in stockholders’ equity. Realized gains and losses, expected credit losses, as well as interest income, on available-for-sale securities are also reported in other income, net. The cost used in the determination of gains and losses of securities sold is based on the specific identification method. The cost of marketable securities is adjusted for the amortization of premiums and discounts to expected maturity. Premium and discount amortization is recorded in other income, net. Our investment portfolio at any point in time contains investments in cash deposits, money market funds, commercial paper, corporate debt securities and U.S. government and agency securities with high credit ratings. We have established guidelines regarding diversification and maturities of investments with the objectives of maintaining safety and liquidity, while maximizing yield. Concentration and Other Risks For the three months ended June 30, 2022, one customer accounted for approximately 11 % of total revenue during the period. For the six months ended June 30, 2022, no customers exceeded 10%. For the three and six months ended June 30, 2021, one customer accounted for approximately 17 % and 14 % of total revenue during the period. No other customers exceeded 10% during those periods. As of June 30, 2022, 57 % of our accounts receivable were from domestic customers, compared to 53 % as of December 31, 2021. As of June 30, 2022, one customer represented 11 % of our accounts receivable, while no customer represented 10% or greater of our net accounts receivable as of December 31, 2021. Recent Accounting Pronouncements Recently Adopted Accounting Standards There are no accounting standards updates (“ASUs”) that have been recently adopted. Significant Accounting Policies There have been no changes to our significant accounting policies as disclosed in the Annual Report on Form 10-K for the fiscal year ended December 31, 2021, however, as a result of certain changes to the standard contractual terms and conditions with customers implemented during the quarter ended March 31, 2022, we concluded that a change in the application of our accounting policy, in accordance with ASC 606, was appropriate. Specifically, we modified the standard contractual terms with customers during the first quarter of 2022, to reflect transfer of title and risk of loss and right to invoice upon delivery. We also updated the terms of the warranty provided with the instrument to remove the service component. As a result, the warranty is no longer a separate performance obligation and, accordingly, we accrue for the cost of the assurance warranty when revenue of the instrument is recognized. In addition, because of technical enhancements associated with our more recent instrument releases, including the Sequel IIe systems, installation services are now distinct from the instrument itself. Therefore, instrument revenue is now recognized upon transfer of control of the asset to the customer, which is generally upon delivery for sales made to our non-distributor customers.

Business Acquisitions

Business Acquisitions	6 Months Ended
	Jun. 30, 2022
Business acquisitions [Abstract]
Business acquisitions	NOTE 2. BUSINESS ACQUISITIONS Omniome, Inc. On September 20, 2021, we completed our acquisition of Omniome, Inc. (“Omniome”), a San Diego-based company developing a highly differentiated, proprietary short-read DNA sequencing platform capable of delivering high accuracy. In connection with the acquisition, contingent consideration of $ 200 million (composed of $ 100 million in cash and $ 100 million in shares of our common stock) is due upon the achievement of a milestone, defined as the first commercial shipment to a customer of a nucleotide sequencing platform, comprising both an instrument and related consumables, that utilizes SBB technology. The number of shares of stock to be issued will be determined using the volume-weighted average of the trading prices of our common stock for the twenty trading days ending with and including the trading day that is two days immediately prior to the achievement of the milestone. Of the $ 100 million in shares of our common stock to be issued as part of the milestone, $ 4.1 million was attributable to stock options issued by PacBio in replacement of Omniome’s unvested options as part of the transaction. Upon achievement of the milestone, shares will be issued not in excess of an amount equal to 19.9 % of our outstanding shares of common stock on the date of closing (prior to the issuance of any shares issued in connection with the transaction or the related private placement), less 11,500,000 shares. The contingent consideration is accounted for as a liability at fair value, with changes during each reporting period recognized in our Consolidated Statements of Operations and Comprehensive Loss. The fair value of the contingent consideration liability is calculated, with the assistance from a third-party valuation firm, using a scenario-based method which considers a range of possible outcomes and their assigned probabilities of occurrence. The potential outcomes are discounted to present value at a discount rate equal to the sum of the term-matched risk-free-interest rate plus PacBio’s credit spread. The acquisition was accounted for as a business combination and, accordingly, the total fair value of the consideration transferred was allocated to the tangible and intangible assets acquired and liabilities assumed based on their fair values on the acquisition date. The major classes of assets and liabilities to which we have allocated the total fair value of the consideration transferred were as follows (in thousands): Cash and cash equivalents $ 15,338 Property and equipment, net 6,123 Operating lease right-of-use assets, net 18,095 In-process research and development ("IPR&D") 400,000 Goodwill 390,665 Other assets 3,203 Deferred income tax liability ( 91,814 ) Liabilities assumed ( 26,821 ) Total consideration transferred $ 714,789 We expect to finalize the purchase price allocation within 12 months of the acquisition date. We will recognize adjustments to the preliminary amounts with a corresponding adjustment to goodwill in the reporting period in which the adjustments to the preliminary amounts are determined, which we expect to be primarily due to the review of certain tax attributes. Circulomics, Inc. On July 20, 2021, we acquired Circulomics Inc. (“Circulomics”), a Maryland-based biotechnology company focused on delivering highly differentiated sample preparation products that enable genomic workflows. We paid $ 29.5 million in cash in exchange for all outstanding shares of common stock of Circulomics. We allocated the consideration transferred to the identifiable assets acquired and liabilities assumed based on their respective fair values at the date of the completion of the acquisition. The major classes of assets and liabilities to which we have allocated the total fair value of the consideration transferred were as follows (in thousands): Cash and cash equivalents $ 987 Property and equipment, net 214 Intangible assets 11,360 Goodwill 19,309 Other assets 467 Deferred income tax liability ( 2,672 ) Liabilities assumed ( 118 ) Total consideration transferred $ 29,547

Invitae Collaboration

Invitae Collaboration	6 Months Ended
	Jun. 30, 2022
Invitate Collaboration [Abstract]
Invitae Collaboration	NOTE 3. INVITAE COLLABORATIO N On June 24, 2022, we entered into an Amended and Restated Development and Commercialization Agreement (the “Amended and Restated Agreement”) with Invitae Corporation (“Invitae”). The Amended and Restated Agreement amended and restated the existing Development and Commercialization Agreement, effective as of January 12, 2021, as amended by Amendment No. 1 to Development and Commercialization Agreement, entered into on June 3, 2021, by and between us and Invitae (together, the “Original Agreement”). Unless otherwise agreed in writing or terminated in accordance with the Amended and Restated Agreement, the term of the Amended and Restated Agreement shall continue until June 30, 2028 (“Term”). Pursuant to the Original Agreement, Invitae provided certain funding to us to develop products relating to production-scale high-throughput sequencing (“Program Products”). If Program Products were to become commercially available, Invitae had the right to purchase the Program Products at preferred pricing. Under the Amended and Restated Agreement, we will continue to receive feedback, input and insight from Invitae in connection with the intended development of our new sequencing systems; however, such feedback will not be contractually required, and Invitae has no contractual right to participate in decisions regarding the development program for such new sequencing systems. Our development plans for such new sequencing systems will be at our discretion and pursuant to our own internal processes and programs. Invitae will not be contractually obligated to reimburse us for development costs under the Amended and Restated Agreement. There can be no assurances that the in-development sequencing systems will continue to be developed, be successfully developed or become available for commercial sale. In consideration of the non-refundable payments received from Invitae pursuant to the Original Agreement of $ 23.5 million, we will provide Invitae with credits in connection with Invitae’s anticipated purchase of certain currently available and in-development sequencing systems (instruments and consumables). The credits will expire on June 30, 2025 (“Credit Expiration Date”). Subject to certain conditions, Invitae will also be entitled to most favored pricing for the Company’s Sequel IIe systems and certain in-development systems through the Term. We and Invitae may terminate the Amended and Restated Agreement if the other party remains in material breach of the Amended and Restated Agreement following a cure period to remedy the material breach. The Amended and Restated Agreement is deemed a contract modification and accounted for on a prospective basis in accordance with ASC Topic 606. We will recognize proportionate amounts of the transaction price, including payments made by Invitae to us pursuant to the Original Agreement, in revenue as the remaining performance obligations are satisfied, which is when Invitae places purchase orders for certain currently available and in-development sequencing platforms and the associated goods are delivered. Any remaining unused credits will be recognized when they expire. During the three months ended June 30, 2022, Invitae purchased certain currently available instruments, for which $ 3.7 million of revenue was recognized as Product Revenue on the Condensed Consolidated Statements of Operations and Comprehensive Loss under the terms of the Amended and Restated Agreement. As of December 31, 2021, we have recognized payments received from Invitae of $ 23.5 million in deferred revenue, non-current, on the Consolidated Balance Sheet. As of June 30, 2022, $ 21.4 million of deferred revenue, current, is recorded on the Condensed Consolidated Balance Sheet relating to all future performance obligations under the Amended and Restated Agreement.

Termination of Merger with Illu

Termination of Merger with Illumina	6 Months Ended
	Jun. 30, 2022
Termination of Merger with Illumina [Abstract]
Termination of Merger with Illumina	NOTE 4. TERMINATION OF MERGER WITH ILLUMINA On November 1, 2018, we entered into an Agreement and Plan of Merger (as amended, the “Illumina Merger Agreement”) with Illumina, Inc. (“Illumina”) and FC Ops Corp., a wholly owned subsidiary of Illumina (“Illumina Merger Sub”). On January 2, 2020, we, Illumina and Illumina Merger Sub, entered into an agreement to terminate the Merger Agreement (the “Termination Agreement”). Continuation Advances from Illumina As part of the Termination Agreement, Illumina paid us cash payments (“Continuation Advances”) totaling $ 52.0 million. Up to the full $ 52.0 million of Continuation Advances paid to us were repayable without interest to Illumina if, within two years of March 31, 2020, we entered into, or consummated a Change of Control Transaction or raised at least $ 100 million in a single equity or debt financing (that may have multiple closings), with the amount repayable dependent on the amount raised by us. Resulting from the issuance and sale of $ 900 million of 1.50 % Convertible Senior Notes due February 15, 2028 , $ 52.0 million of Continuation Advances were paid without interest to Illumina in February 2021, and a corresponding non-operating expense was recorded in the Consolidated Statements of Operations and Comprehensive (Loss) Income during the quarter ended March 31, 2021.

Financial Instruments

Financial Instruments	6 Months Ended
	Jun. 30, 2022
Financial Instruments [Abstract]
Financial Instruments	NOTE 5. FINANCIAL INSTRUMENTS Fair Value of Financial Instruments Fair value is the exchange price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy established under GAAP requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of inputs that may be used to measure fair value are as follows:  Level 1: quoted prices in active markets for identical assets or liabilities;  Level 2: inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and  Level 3: unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. We consider an active market as one in which transactions for the asset or liability occurs with sufficient frequency and volume to provide pricing information on an ongoing basis. Conversely, we view an inactive market as one in which there are few transactions for the asset or liability, the prices are not current, or price quotations vary substantially either over time or among market makers. Where appropriate, our non-performance risk, or that of our counterparty, is considered in determining the fair values of liabilities and assets, respectively. We classify our cash deposits and money market funds within Level 1 of the fair value hierarchy because they are valued using bank balances or quoted market prices. We classify our investments as Level 2 instruments based on market pricing and other observable inputs. We did not classify any of our investments within Level 3 of the fair value hierarchy. Assets and liabilities measured at fair value are classified in their entirety based on the lowest level input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the entire fair value measurement requires management to make judgments and consider factors specific to the asset or liability. The carrying amount of our accounts receivable, prepaid expenses, other current assets, accounts payable, accrued expenses and other liabilities, current, approximate fair value due to their short maturities. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following table sets forth the fair value of our financial assets and liabilities that were measured on a recurring basis as of June 30, 2022 and December 31, 2021 respectively: June 30, 2022 December 31, 2021 (in thousands) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents 102,612 207,833 — 310,445 327,315 133,410 — 460,725 Investments: Commercial paper — 120,495 — 120,495 — 187,632 — 187,632 Corporate debt securities — 46,810 — 46,810 — 8,968 — 8,968 U.S. government & agency securities — 421,401 — 421,401 — 387,075 — 387,075 Total investments — 588,706 — 588,706 — 583,675 — 583,675 Short-term restricted cash 300 — — 300 500 — — 500 Long-term restricted cash 2,922 — — 2,922 4,592 — — 4,592 Total assets measured at fair value $ 105,834 $ 796,539 $ — $ 902,373 $ 332,407 $ 717,085 $ — $ 1,049,492 Liabilities Contingent consideration $ — $ — $ 163,216 $ 163,216 $ — $ — $ 169,717 $ 169,717 Total liabilities measured at fair value $ — $ — $ 163,216 $ 163,216 $ — $ — $ 169,717 $ 169,717 We classify contingent consideration, which was incurred in connection with the acquisition of Omniome, within Level 3 as factors used to develop the estimate of fair value include unobservable inputs that are not supported by market activity and are significant to the fair value. We estimate the fair value of the contingent consideration liability by discounting the probability-weighted outcomes to present value using an estimate of our borrowing rate and the risk-free rate. The potential outcomes of milestone achievement dates are within the period from December 31, 2022 to June 30, 2025. A decrease in the probability of an earlier scenario within this range would result in a decrease in the fair value of the liability. The discount rates used are the sum of the U.S. risk-free rate and the estimated subordinated credit spread for B- and B credit rating, which range from 10.0 % to 10.2 %. An increase in the discount rates used can also result in the decrease in the fair value of liability, which was the primary factor in the $ 6.5 million decrease in liability at June 30, 2022. Changes in our estimated subordinated credit spread can result in changes in the fair value of the contingent consideration liability, where a lower credit spread may result in an increased liability valuation. Changes in the estimated fair value of the contingent consideration liability for the six months ended June 30, 2022 were as follows: (in thousands) Level 3 Beginning balance as of December 31, 2021 $ 169,717 Change in estimated fair value ( 6,501 ) Ending balance as of June 30, 2022 $ 163,216 Changes to the fair value are recorded as the Change in fair value of contingent consideration in the Condensed Consolidated Statement of Operations and Comprehensive Loss. For the six months ended June 30, 2022, there were no transfers between Level 1, Level 2, or Level 3 assets or liabilities reported at fair value on a recurring basis, and our valuation techniques did not change compared to the prior year. The following tables summarize our cash, cash equivalents and investments as of June 30, 2022 and December 31, 2021: As of June 30, 2022 Gross Gross Amortized unrealized unrealized Fair (in thousands) Cost gains losses Value Cash and cash equivalents 310,508 8 ( 71 ) 310,445 Investments: Commercial paper 120,899 — ( 404 ) 120,495 Corporate debt securities 47,083 — ( 273 ) 46,810 U.S. government & agency securities 426,118 70 ( 4,787 ) 421,401 Total investments 594,100 70 ( 5,464 ) 588,706 Total cash, cash equivalents and investments $ 904,608 $ 78 $ ( 5,535 ) $ 899,151 Short-term restricted cash $ 300 $ — $ — $ 300 Long-term restricted cash $ 2,922 $ — $ — $ 2,922 As of December 31, 2021 Gross Gross Amortized unrealized unrealized Fair (in thousands) Cost gains losses Value Cash and cash equivalents 460,731 — ( 5 ) 460,725 Investments: Commercial paper 187,705 — ( 73 ) 187,632 Corporate debt securities 8,964 9 ( 5 ) 8,968 U.S. government & agency securities 388,088 1 ( 1,014 ) 387,075 Total investments 584,757 10 ( 1,092 ) 583,675 Total cash, cash equivalents and investments $ 1,045,488 $ 10 $ ( 1,097 ) $ 1,044,400 Short-term restricted cash $ 500 $ — $ — $ 500 Long-term restricted cash $ 4,592 $ — $ — $ 4,592 The following table summarizes the contractual maturities of our cash equivalents and available-for-sale investments, excluding money market funds, as of June 30, 2022: (in thousands) Fair Value Due in one year or less $ 687,193 Due after one year through five years 109,346 Total investments $ 796,539 Actual maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations without call or prepayment penalties.

Balance Sheet Components

Balance Sheet Components	6 Months Ended
	Jun. 30, 2022
Balance Sheet Components [Abstract]
Balance Sheet Components	NOTE 6. BALANCE SHEET COMPONENTS Short-term Restricted Cash As of June 30, 2022 and December 31, 2021, the short-term restricted cash balance was $ 0.3 million and $ 0.5 million, respectively, which was comprised of security deposits for the credit cards of employees. Inventory, net As of June 30, 2022 and December 31, 2021, our inventory, net, consisted of the following components: June 30, December 31, (in thousands) 2022 2021 Purchased materials $ 15,451 $ 7,993 Work in process 12,808 8,611 Finished goods 7,862 7,995 Inventory $ 36,121 $ 24,599 Long-term Restricted Cash For our facility located at 1305 O’Brien Drive, Menlo Park, California (the “O’Brien Lease”), we were required to establish a letter of credit for the benefit of the landlord and to submit $ 4.5 million as a deposit for the letter of credit in October 2015. Subsequently, pursuant to the terms of the O’Brien Lease, beginning on May 1, 2019, the amount of the letter of credit was reduced by $ 0.5 million each year thereafter on May 1. As such, $ 2.5 million and $ 3.0 million was recorded in long-term restricted cash related to the O’Brien Lease in the Condensed Consolidated Balance Sheets as of June 30, 2022 and December 31, 2021, respectively. In connection with the acquisition of Omniome in September 2021, we acquired $ 1.6 million of long-term restricted cash related to a letter of credit established for a facility lease. Long-term restricted cash related to this facility was $ 0 and $ 1.6 million in the Condensed Consolidated Balance Sheets as of June 30, 2022 and December 31, 2021, respectively. At June 30, 2022, we had an additional $ 0.4 million in long-term restricted cash primarily related to a letter of credit established for a facility lease. Intangible Assets and Goodwill Intangible assets include acquired in-process research and development (IPR&D) of $ 400 million as a result of the Omniome acquisition in September 2021. The IPR&D will remain on our consolidated balance sheet as an indefinite-lived intangible asset until the completion or abandonment of the associated research and development activities. During the development period following the acquisition, IPR&D will not be amortized, but instead will be tested for impairment annually and more frequently if events or changes in circumstances indicate that it is more likely than not that the asset is impaired. Upon completion of the development, we will begin to amortize the asset over the life of the product, or record an impairment charge if the asset is determined to be impaired. In addition to IPR&D, we had the following definite-lived intangible assets from business acquisitions (in thousands, except years): As of June 30, 2022 As of December 31, 2021 Estimated Gross Net Gross Net Useful Life Carrying Accumulated Carrying Carrying Accumulated Carrying (in years) Amount Amortization Amount Amount Amortization Amount Developed technology 15 $ 11,000 $ ( 672 ) $ 10,328 $ 11,000 $ ( 306 ) $ 10,694 Customer relationships 2 360 ( 165 ) 195 360 ( 75 ) 285 Total $ 11,360 $ ( 837 ) $ 10,523 $ 11,360 $ ( 381 ) $ 10,979 The estimated future amortization expense of acquisition-related intangible assets with definite lives is estimated as follows: (in thousands) Remainder of 2022 $ 457 2023 838 2024 733 2025 733 2026 733 2027 and thereafter 7,029 Total $ 10,523 We review definite-lived intangible assets for impairment when indication of potential impairment exists, such as a significant reduction in cash flows associated with the assets. Goodwill is reviewed for impairment at least annually during the second quarter, or more frequently if an event occurs indicating the potential for impairment. We performed our annual assessment for goodwill impairment in the second quarter of 2022, noting no impairment. Deferred revenue As of June 30, 2022, we had a total of $ 33.9 million of deferred revenue, $ 32.1 million of which was recorded as deferred revenue, current, and primarily relates to future performance obligations under the Amended and Restated Agreement with Invitae as described in Note 3. Invitae Collaboration in Part I, Item 1 of this Quarterly Report on Form 10-Q. The deferred revenue, non-current balance of $ 1.8 million primarily relates to deferred service contract revenues and is scheduled to be recognized in the next 5 years. Revenue recorded in the six months ended June 30, 2022 includes $ 9.2 million of previously deferred revenue that was included in deferred revenue as of December 31, 2021. Contract assets as of June 30, 2022 and December 31, 2021 were not material. As of June 30, 2022, we had a total of $ 0.6 million of deferred commissions included in prepaid expenses and other current assets which is recognized as sales, general and administrative expense as the related revenue is recognized. Costs to obtain a contract are expensed as incurred if the amortization period would have been a year or less. Product Warranties We generally provide a one-year warranty on instruments. In addition, we provide a limited warranty on consumables. At the time revenue is recognized, an accrual is established for estimated warranty costs based on historical experience as well as anticipated product performance. We periodically review the warranty reserve for adequacy and adjust the warranty accrual, if necessary, based on actual experience and estimated costs to be incurred. Warranty expense is recorded as a component of cost of product revenue. There were no material changes in estimates for the periods presented below. Changes in the reserve for product warranties were as follows for the periods indicated (in thousands): Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Balance at beginning of period $ 1,174 $ 179 $ 594 $ 161 Additions charged to cost of product revenue 912 412 1,865 615 Repairs and replacements ( 477 ) ( 320 ) ( 850 ) ( 505 ) Balance at end of period $ 1,609 $ 271 $ 1,609 $ 271 Term loans In connection with the acquisition of Omniome, we acquired $ 1.3 million in short-term debt and $ 3.0 million in long-term debt relating to a term loan facility that Omniome obtained in April 2020. Borrowings on the term loan facility were used to fund Omniome’s purchases of equipment, which serves as collateral. Each term loan has a term of 43 months and bears a fixed interest rate of approximately 17 % annually. The fee for the elective option to prepay all, but not less than all, of the borrowed amounts at any time after the 24 th month and before the 43 rd month after the commencement date, is 4 % of the outstanding loan balance. Payments are made in equal monthly installments including principal and interest. The following table presents the future principal payments on the term loans: (in thousands) Remainder of 2022 $ 838 2023 1,842 2024 490 Total $ 3,170

Convertible Senior Notes

Convertible Senior Notes	6 Months Ended
	Jun. 30, 2022
Convertible Senior Notes [Abstract]
Convertible Senior Notes	NOTE 7. CONVERTIBLE SENIOR NOTES On February 9, 2021, we entered into an investment agreement (the “Investment Agreement”) with SB Northstar LP (the “Purchaser”), a subsidiary of SoftBank Group Corp., relating to the issuance and sale to the Purchaser of $ 900 million in aggregate principal amount of our 1.50 % Convertible Senior Notes (the “Notes”). The Notes were issued on February 16, 2021 . The Notes are governed by an indenture (the “Indenture”) between the Company and U.S. Bank National Association, as trustee. The Notes bear interest at a rate of 1.50 % per annum. Interest on the Notes is payable semi-annually in arrears on February 15 and August 15 and commenced on August 15, 2021. The Notes will mature on February 15, 2028 , subject to earlier conversion, redemption or repurchase. The Notes are convertible at the option of the holder at any time until the second scheduled trading day prior to the maturity date, including in connection with a redemption by the Company. The Notes are convertible into shares of our common stock based on an initial conversion rate of 22.9885 shares of common stock per $ 1,000 principal amount of the Notes (which is equal to an initial conversion price of $ 43.50 per share), in each case subject to customary anti-dilution and other adjustments as a result of certain extraordinary transactions. Upon conversion of the Notes, we may elect to settle such conversion obligation in shares, cash or a combination of shares and cash. On or after February 20, 2026, the Notes will be redeemable by the Company in the event that the closing sale price of our common stock has been at least 150 % of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which we provide the redemption notice at a redemption price of 100 % of the principal amount of such Notes, plus accrued and unpaid interest up to, but excluding, the redemption date. With certain exceptions, upon a change of control of the Company or the failure of our common stock to be listed on certain stock exchanges (a “Fundamental Change”), the holders of the Notes may require that we repurchase all or part of the principal amount of the Notes at a purchase price of par plus unpaid interest up to, but excluding, the maturity date. The Indenture includes customary “events of default,” which may result in the acceleration of the maturity of the Notes under the Indenture. The Indenture also includes customary covenants for convertible notes of this type. To the extent we elect, the sole remedy for an event of default relating to our failure to comply with certain of our reporting obligations shall, for the first 360 calendar days after the occurrence of such an event of default, consist exclusively of the right to receive additional interest on the Notes at a rate equal to (i) 0.25 % per annum of the principal amount of the Notes outstanding for each day during the first 180 calendar days of the 360-day period after the occurrence of such an event of default during which such event of default is continuing (or, if earlier, the date on which such event of default is cured or waived) and (ii) 0.50 % per annum of the principal amount of the Notes outstanding for each day from, and including, the 181st calendar day to, and including, the 360th calendar day after the occurrence of such an event of default during which such event of default is continuing (or, if earlier, the date on which such event of default is cured or waived as provided for in the Indenture). On the 361st day after such event of default (if the event of default relating to our failure to comply with its obligations is not cured or waived prior to such 361st day), the Notes shall be subject to acceleration as provided for in the Indenture. The Notes are accounted for in accordance with the authoritative guidance for convertible debt instruments that may be settled in cash upon conversion. Under ASU 2020-06, the guidance requires that debt with an embedded conversion feature is accounted for in its entirety as a liability and no portion of the proceeds from the issuance of the convertible debt instrument is accounted for as attributable to the conversion feature unless the conversion feature is required to be accounted for separately as an embedded derivative or the conversion feature results in a substantial premium. The conversion feature of the Notes is not accounted for as an embedded derivative because it is considered to be indexed to our common stock, and the Notes were not issued at a premium; therefore, the Notes are accounted for in their entirety as a liability. Because we may elect to settle any conversions entirely in shares, and because settlement in shares is the default settlement method, the liability is classified as non-current. The requirement to repurchase the Notes including unpaid interest to the maturity date in the event of a Fundamental Change is considered a put option for certain periods requiring bifurcation under ASC 815 – Derivatives and Hedging. However, given the low probability of a Fundamental Change occurring during the applicable periods, the value of the embedded derivative is immaterial. The additional interest feature in the event of our failure to comply with certain reporting obligations is also considered an embedded derivative requiring bifurcation under ASC 815. However, due to the nature and terms of the reporting obligations, the value of the embedded derivative is immaterial. We incurred issuance costs related to the Notes of approximately $ 4.5 million, which were recorded as debt issuance cost and are presented as a reduction to the Notes on our Consolidated Balance Sheets and are amortized to interest expense using the effective interest method over the term of the Notes, resulting in an effective interest rate of 1.6 %. As of June 30, 2022 and December 31, 2021, the net carrying amount of the liability for the Notes is recorded as convertible senior notes, net, in the Condensed Consolidated Balance Sheets as follows: June 30, December 31, (in thousands) 2022 2021 Principal amount $ 900,000 $ 900,000 Unamortized debt issuance costs ( 3,626 ) ( 3,933 ) Net carrying amount $ 896,374 $ 896,067 For the three and six months ended June 30, 2022, interest expense for the Notes was as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Contractual interest expense $ 3,375 $ 3,375 $ 6,750 $ 5,063 Amortization of debt issuance costs 154 151 307 227 Total interest expense $ 3,529 $ 3,526 $ 7,057 $ 5,290 As of June 30, 2022, the estimated fair value (Level 2) of the Notes was $ 559.8 million. The fair value of the Notes is estimated using a pricing model that is primarily affected by the trading price of our common stock and market interest rates.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2022
Commitments and Contingencies [Abstract]
Commitments and Contingencies	NOTE 8. COMMITMENTS AND CONTINGENCIES The Company has entered into various operating lease agreements, primarily relating to our corporate offices. See Note 8 – Commitments and Contingencies , subsection titled “Leases”, in Part II, Item 8 of the Annual Report on Form 10-K for the year ended December 31, 2021 for information regarding the Company’s maturity of lease liabilities under its lease agreements. Contingencies We may become involved in legal proceedings, claims and assessments from time to time in the ordinary course of business. We accrue liabilities for such matters when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. Legal U.S. District Court Proceedings On September 26, 2019, Personal Genomics of Taiwan, Inc. (“PGI”) filed a complaint in the U.S. District Court for the District of Delaware against us for patent infringement (C.A. No. 19-cv-1810) (the “PGI District Court matter”). The matter from this complaint is based on PGI’s U.S. Patent No. 7,767,441 (the “‘441 Patent”). We plan to vigorously defend in this matter. On November 20, 2019, we filed our answer to the complaint, denying infringement and seeking a declaratory judgement of invalidity of the ‘441 Patent. On June 22, 2020, we filed a petition requesting institution of an inter-partes review (IPR) to the Patent Trial and Appeals Board (the “Board”) at the United States Patent Office requesting the Board to find a set of claims in the ‘441 Patent invalid. On June 27, 2020, we filed a second petition requesting institution of an IPR requesting the Board to find another set of claims in the ‘441 Patent invalid. The two petitions (the “PacBio IPR Petitions”) requesting IPRs assert that all of the claims relevant to the PGI complaint are invalid. On January 19, 2021, the Board ordered that both PacBio IPR Petitions are instituted on all grounds presented. On January 18, 2022, the Board issued decisions on the two IPRs. In one IPR, all challenged claims were found unpatentable including PGI’s core device claims. In the second IPR, the board did not find the disputed claims unpatentable. We are appealing the decision in the second IPR to the U.S. Court of Appeals for the Federal Circuit. On August 19, 2020, the court ordered a stay of the PGI District Court matter based on a joint stipulation by the parties pending a final written decision on the IPRs. Following the final decision on the IPRs described above, on February 2, 2022, the judge ordered that the PGI District Court matter be reopened. We plan to vigorously defend against the remaining claims. Proceedings in China On May 12, 2020, PGI filed a complaint in the Wuhan Intermediate People’s Court in China alleging infringement of one or more claims of China patent No. CN101743321B (the “CN321 Patent”), which is related to the ‘441 Patent. On November 23, 2020 we filed an Invalidation Petition at the China National Intellectual Property Administration (CNIPA) demonstrating the invalidity of the claims in the CN321 Patent on grounds of insufficient disclosure, and the lack of support, essential technical features, clarity, novelty, and inventiveness. A hearing in the invalidation proceeding at the CNIPA was held on April 29, 2021. On September 2, 2021, the CNIPA issued its decision on the Invalidation Petition and determined that all claims (1-61) of the CN321 patent were invalid. On December 1, 2021, PGI filed an appeal with the Beijing IP Court, contesting the CNIPA decision. We filed a petition with the Wuhan Intermediate People’s court requesting dismissal of the infringement action based on the CNIPA invalidation decision, and PGI filed a petition to withdraw its complaint. The Wuhan Intermediate People’s court granted PGI’s petition and dismissed the infringement action in May 2022. Other Proceedings From time to time, we may also be involved in a variety of other claims, lawsuits, investigations and proceedings relating to securities laws, product liability, patent infringement, contract disputes, employment and other matters that arise in the normal course of our business. In addition, third parties may, from time to time, assert claims against us in the form of letters and other communications. We record a provision for contingent losses when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. We currently do not believe that the ultimate outcome of any of the matters described above is probable or reasonably estimable, or that these matters will have a material adverse effect on our business; however, the results of litigation and claims are inherently unpredictable. Regardless of the outcome, litigation can have an adverse impact on us because of litigation and settlement costs, diversion of management resources and other factors. Indemnification Pursuant to Delaware law and agreements entered into with each of our directors and officers, we may have obligations, under certain circumstances, to hold harmless and indemnify each of our directors and officers against losses suffered or incurred by the indemnified party in connection with their service to us, and judgements, fines, settlements and expenses related to claims arising against such directors and officers to the fullest extent permitted under Delaware law, our bylaws and our certificate of incorporation. We also enter and have entered into indemnification agreements with our directors and officers that may require us to indemnify them against liabilities that arise by reason of their status or service as directors or officers, except as prohibited by applicable law. In addition, we may have obligations to hold harmless and indemnify third parties involved with our fundraising efforts and their respective affiliates, directors, officers, employees, agents or other representatives against any and all losses, claims, damages and liabilities related to claims arising against such parties pursuant to the terms of agreements entered into between such third parties and us in connection with such fundraising efforts. To the extent that any such indemnification obligations apply to the lawsuits described above, any associated expenses incurred are included within the related accrued litigation expense amounts. No additional liability associated with such indemnification obligations has been recorded as of June 30, 2022 and December 31, 2021.

Stockholders' Equity

Stockholders' Equity	6 Months Ended
	Jun. 30, 2022
Stockholders' Equity [Abstract]
Stockholders' Equity	N OTE 9. STOCKHOLDERS’ EQUITY Equity Plans The 2020 Equity Incentive Plan (the “2020 Plan”), the 2020 Inducement Equity Incentive Plan (the “Inducement Plan”) and the 2021 adopted Omniome Equity Incentive Plan of Pacific Biosciences of California, Inc. (the “Omniome Plan”) allow for the issuance of stock options, restricted units and awards and performance-based awards. On August 4, 2020, stockholders approved the 2020 Plan and reserved 11,000,000 shares of our common stock for issuance pursuant to equity awards granted under the 2020 Plan. On December 2, 2020, the Board of Directors (the “Board”) adopted the Inducement Plan and reserved 2,500,000 shares of our common stock for issuance pursuant to equity awards granted under the Inducement Plan. On April 18, 2021 and November 22, 2021, the Board amended the Inducement Plan to reserve an additional 750,000 and 360,000 shares, respectively. On September 20, 2021, in connection with the acquisition of Omniome, we adopted the Omniome Equity Incentive Plan of Pacific Biosciences of California, Inc. (the “Omniome Plan”). Under the Omniome Merger Agreement, each unvested option to purchase Omniome common stock, granted under the Omniome Plan held by employees continuing with us, were assumed by PacBio and converted into an option to purchase shares of our common stock. The terms and conditions of the converted options are substantially the same (including vesting and exercisability), except that (A) the assumed options cover shares of PacBio’s common stock; (B) the number of shares of our common stock subject to the assumed option is equal to the product of (i) the number of shares of Omniome common stock subject to the corresponding unvested option, multiplied by (ii) the exchange ratio (as defined below), with any resulting fractional share rounded down to the nearest whole share; and (C) the exercise price per share of the assumed options is equal to the quotient of (i) the exercise price per share of the corresponding unvested option to purchase shares of Omniome common stock, divided by (ii) the exchange ratio (as defined below), with any resulting fractional cent rounded up to the nearest whole cent. The exchange ratio was equal to 0.259204639 . We reserved 2,494,128 shares of our common stock for issuance pursuant to equity awards under the Omniome Plan. On May 25, 2022, stockholders approved an amendment to the 2020 Plan and we reserved an additional 18,000,000 shares of our common stock for issuance pursuant to equity awards granted under the 2020 Plan. As of June 30, 2022, we had 19.5 million shares remaining and available for future issuance under the 2020 Plan, Inducement Plan, and the Omniome Plan. Stock Options Time-based Stock Options The following table summarizes stock option activity for time-based awards for the six months ended June 30, 2022 (in thousands, except per share amounts): Stock Options Outstanding Weighted Number average of shares Exercise price exercise price Outstanding at December 31, 2021 12,159 $ 1.16 – 46.37 $ 11.38 Granted 4,611 4.61 – 16.58 10.65 Exercised ( 421 ) 1.16 – 8.90 4.21 Canceled ( 1,050 ) 2.47 – 46.37 23.98 Outstanding at June 30, 2022 15,299 $ 1.16 – 46.37 $ 10.67 Performance-based Stock Options The following table summarizes stock option activity for performance-based awards for the six months ended June 30, 2022 (in thousands, except per share amounts): Stock Options Outstanding Weighted Number average of shares Exercise price exercise price Outstanding at December 31, 2021 304 $ 4.71 – 4.90 $ 4.71 Granted — — — Exercised — — — Canceled ( 1 ) 4.71 – 4.90 4.75 Outstanding at June 30, 2022 303 $ 4.71 – 4.90 $ 4.71 For the three and six months ended June 30, 2022, we recognized stock-based compensation expense of $ 7.0 million and $ 14.5 million, respectively, related to time-based and performance-based options. Restricted Stock Units (“RSUs”) The following table summarizes the time-based RSU activity for the six months ended June 30, 2022 (in thousands, except per share amounts): Weighted average Number grant date of shares fair value Outstanding at December 31, 2021 7,392 $ 19.78 Granted 3,948 11.22 Vested ( 2,026 ) 14.90 Forfeited ( 922 ) 21.46 Outstanding at June 30, 2022 8,392 $ 16.75 For the three and six months ended June 30, 2022, we recognized stock-based compensation expense of $ 9.7 million and $ 21.6 million, respectively, related to restricted stock units. Employee Stock Purchase Plan (“ESPP”) Shares issued under our ESPP were 1,316,923 and 983,180 during the six months ended June 30, 2022 and 2021, respectively. In February 2022, an additional 4.0 million shares were reserved under the ESPP. As of June 30, 2022, 10,493,750 shares of our common stock remain available for issuance under our ESPP. For the three and six months ended June 30, 2022, we recognized stock-based compensation expense of $ 2.3 million and $ 5.6 million, respectively, related to our ESPP. Stock-Based Compensation The following table summarizes stock-based compensation expense (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Cost of revenue $ 988 $ 1,906 $ 2,746 $ 2,898 Research and development 7,748 4,310 16,713 7,357 Sales, general and administrative 10,283 9,589 22,263 15,715 Total stock-based compensation expense $ 19,019 $ 15,805 $ 41,722 $ 25,970 Determining Fair Value We estimate the fair value of stock options granted using the Black-Scholes valuation method and a single option award approach. This fair value is then amortized on a straight-line basis over the requisite service periods of the awards, which is generally the vesting period. The fair market value of RSUs granted is the closing price of our shares on the date of grant and is generally recognized as compensation expense on a straight-line basis over the respective vesting period. For shares purchased under our ESPP, we estimate the grant-date fair value, and the resulting stock-based compensation expense, using the Black-Scholes option-pricing model. We estimate forfeitures of stock options, RSUs and shares purchased under our ESPP which is utilized to determine the compensation expense to be recorded over the requisite service period.  Expected Term - The expected term used in the Black-Scholes valuation method represents the period that the stock options are expected to be outstanding and is determined based on historical experience of similar awards, giving consideration to the contractual terms of the stock options and vesting schedules.  Expected Volatility - The expected volatility used in the Black-Scholes valuation method is derived from the implied volatility related to our share price over the expected term.  Expected Dividend - We have never paid dividends on our shares and, accordingly, the dividend yield percentage is zero for all periods.  Risk-Free Interest Rate - The risk-free interest rate used in the Black-Scholes valuation method is the implied yield currently available on U.S. Treasury constant maturities issued with a term equivalent to the expected terms. Stock Options We estimated the fair value of employee stock options using the Black-Scholes option pricing model. The fair value of employee stock options is being amortized on a straight-line basis over the requisite service period of the awards. When determining the current share prices underlying the stock options for calculating the grant-date fair value, we reference the observable market prices of our stock. For the three and six months ended June 30, 2022 and 2021, the fair value of employee stock options was estimated using the following weighted average assumptions: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Expected term in years 4.6 4.6 4.6 4.6 Expected volatility 72 % 70 % 70 % - 72 % 68 % - 70 % Risk-free interest rate 2.77 % 0.74 % 1.76 % - 2.77 % 0.50 % - 0.74 % Dividend yield — — — — Weighted average grant date fair value per share $ 3.26 $ 14.54 $ 6.05 $ 18.86 ESPP We estimate the fair value of shares to be issued under the ESPP using the Black-Scholes option pricing model. For the three and six months ended June 30, 2022 and 2021, the fair value of shares to be issued under the ESPP was estimated using the following assumptions: Six Months Ended June 30, 2022 2021 Expected term in years 0.5 – 2.0 0.5 - 2.0 Expected volatility 70 % 68 % Risk-free interest rate 0.60 % – 1.31 % 0.07 % - 0.13 % Dividend yield — — Weighted average grant date fair value per share $ 5.42 $ 29.26

Net Loss Per Share

Net Loss Per Share	6 Months Ended
	Jun. 30, 2022
Net Loss Per Share [Abstract]
Net Loss Per Share	NOTE 10. NET LOSS PER SHARE Basic net loss per share is computed by dividing net loss by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share is computed using the weighted average number of shares of common stock outstanding and potential shares assuming the dilutive effect of the convertible senior notes, using the if-converted method, and outstanding stock options, restricted stock units and common stock issuable pursuant to our employee stock purchase plan, or ESPP, using the treasury stock method. The following table presents the calculation of the basic and diluted net loss per share amounts presented in the Condensed Consolidated Statements of Operations and Comprehensive Loss (in thousands, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Numerator: Net loss $ ( 71,394 ) $ ( 41,001 ) $ ( 152,893 ) $ ( 128,436 ) Denominator: Basic Weighted average shares used in computing basic net loss 224,499 198,568 223,400 196,690 Basic net loss per share $ ( 0.32 ) $ ( 0.21 ) $ ( 0.68 ) $ ( 0.65 ) Diluted Weighted average shares used in computing diluted net loss per share 224,499 198,568 223,400 196,690 Diluted net loss per share $ ( 0.32 ) $ ( 0.21 ) $ ( 0.68 ) $ ( 0.65 ) The following outstanding shares issuable upon conversion of the convertible senior notes, common stock options, restricted stock units (“RSUs”), with time-based vesting and performance-based vesting and ESPP shares expected to be purchased, were excluded from the computation of diluted net loss per share for the periods presented because including them would have had an anti-dilutive effect. See Note 9. Stockholders’ Equity in Part I, Item 1 of this Quarterly Report on Form 10-Q for detailed information on RSUs with time-based vesting and RSUs with performance-based vesting. Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Shares issuable upon conversion of convertible senior notes 20,690 20,690 20,690 20,690 Options to purchase common stock 15,602 12,335 15,602 12,335 RSUs 8,392 6,820 8,392 6,820 ESPP shares 1,931 2,336 1,931 2,336 These potentially dilutive securities have been excluded from the computation of diluted net loss per share as the effect would be to reduce the net loss per share. Therefore, the weighted-average number of shares of common stock outstanding used to calculate both basic and diluted net loss per share is the same. As described in Note 2. Business Acquisition s in Part I, Item 1 of this Quarterly Report on Form 10-Q, the contingently issuable shares would be due upon the achievement of a milestone.

Revenue

Revenue	6 Months Ended
	Jun. 30, 2022
Revenue [Abstract]
Revenue	NOTE 11. REVENUE A summary of our revenue by geographic location for the three and six months ended June 30, 2022 and 2021 is as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Americas $ 21,722 $ 14,347 $ 40,804 $ 26,504 Europe, Middle East and Africa 5,735 6,494 11,435 14,819 Asia-Pacific 8,010 9,769 16,401 18,284 Total $ 35,467 $ 30,610 $ 68,640 $ 59,607 A summary of our revenue by category for the three and six months ended June 30, 2022 and 2021 is as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Instrument revenue $ 15,619 $ 14,282 $ 31,169 $ 29,221 Consumable revenue 14,556 12,251 27,250 22,615 Product revenue 30,175 26,533 58,419 51,836 Service and other revenue 5,292 4,077 10,221 7,771 Total revenue $ 35,467 $ 30,610 $ 68,640 $ 59,607

Organization and Significant _2

Organization and Significant Accounting Policies (Policy)	6 Months Ended
	Jun. 30, 2022
Organization and Significant Accounting Policies[Abstract]
Basis of Presentation and Consolidation	Basis of Presentation and Consolidation Our unaudited condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States, or U.S. GAAP, as set forth in the Financial Accounting Standards Board, or FASB, Accounting Standards Codification, or ASC. The unaudited condensed consolidated financial statements include the accounts of Pacific Biosciences and our wholly owned subsidiaries. Certain information and footnote disclosures typically included in our audited financial statements have been condensed or omitted. The accompanying unaudited condensed consolidated financial statements have been prepared on a consistent basis with the December 31, 2021 audited consolidated financial statements and include all adjustments, consisting of only normal recurring adjustments, necessary to fairly state our financial position, results of operations, comprehensive income (loss), and cash flows for the period, but are not necessarily indicative of the results to be expected for the entire year or any future periods. All intercompany transactions and balances have been eliminated.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes to the financial statements. On an ongoing basis, we evaluate our significant estimates including, but not limited to, the valuation of inventory, the determination of stand-alone selling prices for revenue recognition, the fair value of contingent consideration, the valuation of acquired intangible assets, the fair value of certain equity awards, the useful lives assigned to long-lived assets, the computation of provisions for income taxes, the borrowing rate used in calculating the operating lease right-of-use assets and operating lease liabilities, the probability associated with variable payments under partnership development agreements, and the valuations related to our convertible senior notes. While the extent of the potential impact of the ongoing COVID-19 pandemic on our business is highly uncertain, we considered information available related to assumptions and estimates used to determine the results reported and asset valuations as of June 30, 2022. Actual results could differ materially from these estimates.
Cash, Cash Equivalents and Investments	Cash, Cash Equivalents, and Investments We consider all highly liquid investments purchased with an original maturity of 90 days or less to be cash equivalents. Cash equivalents may be comprised of money market funds, certificates of deposit, commercial paper, corporate bonds and notes, and government agencies’ securities. We classify our investments in debt securities as available-for sale and report the investments at fair value in current assets. We evaluate our available-for-sale investments in unrealized loss positions and assess whether the unrealized loss is credit-related. Unrealized gains and losses that are not credit-related are recognized in accumulated other comprehensive (loss) income in stockholders’ equity. Realized gains and losses, expected credit losses, as well as interest income, on available-for-sale securities are also reported in other income, net. The cost used in the determination of gains and losses of securities sold is based on the specific identification method. The cost of marketable securities is adjusted for the amortization of premiums and discounts to expected maturity. Premium and discount amortization is recorded in other income, net. Our investment portfolio at any point in time contains investments in cash deposits, money market funds, commercial paper, corporate debt securities and U.S. government and agency securities with high credit ratings. We have established guidelines regarding diversification and maturities of investments with the objectives of maintaining safety and liquidity, while maximizing yield.
Concentration and Credit Risks	Concentration and Other Risks For the three months ended June 30, 2022, one customer accounted for approximately 11 % of total revenue during the period. For the six months ended June 30, 2022, no customers exceeded 10%. For the three and six months ended June 30, 2021, one customer accounted for approximately 17 % and 14 % of total revenue during the period. No other customers exceeded 10% during those periods. As of June 30, 2022, 57 % of our accounts receivable were from domestic customers, compared to 53 % as of December 31, 2021. As of June 30, 2022, one customer represented 11 % of our accounts receivable, while no customer represented 10% or greater of our net accounts receivable as of December 31, 2021.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Recently Adopted Accounting Standards There are no accounting standards updates (“ASUs”) that have been recently adopted.
Significant Accounting Policies	Significant Accounting Policies There have been no changes to our significant accounting policies as disclosed in the Annual Report on Form 10-K for the fiscal year ended December 31, 2021, however, as a result of certain changes to the standard contractual terms and conditions with customers implemented during the quarter ended March 31, 2022, we concluded that a change in the application of our accounting policy, in accordance with ASC 606, was appropriate. Specifically, we modified the standard contractual terms with customers during the first quarter of 2022, to reflect transfer of title and risk of loss and right to invoice upon delivery. We also updated the terms of the warranty provided with the instrument to remove the service component. As a result, the warranty is no longer a separate performance obligation and, accordingly, we accrue for the cost of the assurance warranty when revenue of the instrument is recognized. In addition, because of technical enhancements associated with our more recent instrument releases, including the Sequel IIe systems, installation services are now distinct from the instrument itself. Therefore, instrument revenue is now recognized upon transfer of control of the asset to the customer, which is generally upon delivery for sales made to our non-distributor customers.
Fair Value Of Financial Instruments Policy	Fair Value of Financial Instruments Fair value is the exchange price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy established under GAAP requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of inputs that may be used to measure fair value are as follows:  Level 1: quoted prices in active markets for identical assets or liabilities;  Level 2: inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and  Level 3: unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. We consider an active market as one in which transactions for the asset or liability occurs with sufficient frequency and volume to provide pricing information on an ongoing basis. Conversely, we view an inactive market as one in which there are few transactions for the asset or liability, the prices are not current, or price quotations vary substantially either over time or among market makers. Where appropriate, our non-performance risk, or that of our counterparty, is considered in determining the fair values of liabilities and assets, respectively. We classify our cash deposits and money market funds within Level 1 of the fair value hierarchy because they are valued using bank balances or quoted market prices. We classify our investments as Level 2 instruments based on market pricing and other observable inputs. We did not classify any of our investments within Level 3 of the fair value hierarchy. Assets and liabilities measured at fair value are classified in their entirety based on the lowest level input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the entire fair value measurement requires management to make judgments and consider factors specific to the asset or liability. The carrying amount of our accounts receivable, prepaid expenses, other current assets, accounts payable, accrued expenses and other liabilities, current, approximate fair value due to their short maturities. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following table sets forth the fair value of our financial assets and liabilities that were measured on a recurring basis as of June 30, 2022 and December 31, 2021 respectively:

Business Acquisition (Tables)

Business Acquisition (Tables)	6 Months Ended
	Jun. 30, 2022
Omniome, Inc [Member]
Business Acquisition [Line Items]
Schedule of Business Acquisitions, by Acquisition	Cash and cash equivalents $ 15,338 Property and equipment, net 6,123 Operating lease right-of-use assets, net 18,095 In-process research and development ("IPR&D") 400,000 Goodwill 390,665 Other assets 3,203 Deferred income tax liability ( 91,814 ) Liabilities assumed ( 26,821 ) Total consideration transferred $ 714,789
Circulomics, Inc [Member]
Business Acquisition [Line Items]
Schedule of Business Acquisitions, by Acquisition Consideration Tranferred	Cash and cash equivalents $ 987 Property and equipment, net 214 Intangible assets 11,360 Goodwill 19,309 Other assets 467 Deferred income tax liability ( 2,672 ) Liabilities assumed ( 118 ) Total consideration transferred $ 29,547

Financial Instruments (Tables)

Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2022
Financial Instruments [Abstract]
Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis	June 30, 2022 December 31, 2021 (in thousands) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents 102,612 207,833 — 310,445 327,315 133,410 — 460,725 Investments: Commercial paper — 120,495 — 120,495 — 187,632 — 187,632 Corporate debt securities — 46,810 — 46,810 — 8,968 — 8,968 U.S. government & agency securities — 421,401 — 421,401 — 387,075 — 387,075 Total investments — 588,706 — 588,706 — 583,675 — 583,675 Short-term restricted cash 300 — — 300 500 — — 500 Long-term restricted cash 2,922 — — 2,922 4,592 — — 4,592 Total assets measured at fair value $ 105,834 $ 796,539 $ — $ 902,373 $ 332,407 $ 717,085 $ — $ 1,049,492 Liabilities Contingent consideration $ — $ — $ 163,216 $ 163,216 $ — $ — $ 169,717 $ 169,717 Total liabilities measured at fair value $ — $ — $ 163,216 $ 163,216 $ — $ — $ 169,717 $ 169,717
Changes in the estimated fair value of contingent consideration liabilities [Table Text Block]	(in thousands) Level 3 Beginning balance as of December 31, 2021 $ 169,717 Change in estimated fair value ( 6,501 ) Ending balance as of June 30, 2022 $ 163,216
Summary of Cash, Cash Equivalents and Investments	As of June 30, 2022 Gross Gross Amortized unrealized unrealized Fair (in thousands) Cost gains losses Value Cash and cash equivalents 310,508 8 ( 71 ) 310,445 Investments: Commercial paper 120,899 — ( 404 ) 120,495 Corporate debt securities 47,083 — ( 273 ) 46,810 U.S. government & agency securities 426,118 70 ( 4,787 ) 421,401 Total investments 594,100 70 ( 5,464 ) 588,706 Total cash, cash equivalents and investments $ 904,608 $ 78 $ ( 5,535 ) $ 899,151 Short-term restricted cash $ 300 $ — $ — $ 300 Long-term restricted cash $ 2,922 $ — $ — $ 2,922 As of December 31, 2021 Gross Gross Amortized unrealized unrealized Fair (in thousands) Cost gains losses Value Cash and cash equivalents 460,731 — ( 5 ) 460,725 Investments: Commercial paper 187,705 — ( 73 ) 187,632 Corporate debt securities 8,964 9 ( 5 ) 8,968 U.S. government & agency securities 388,088 1 ( 1,014 ) 387,075 Total investments 584,757 10 ( 1,092 ) 583,675 Total cash, cash equivalents and investments $ 1,045,488 $ 10 $ ( 1,097 ) $ 1,044,400 Short-term restricted cash $ 500 $ — $ — $ 500 Long-term restricted cash $ 4,592 $ — $ — $ 4,592
Summary of Contractual Maturities of Cash Equivalents and Available-for-Sale Investments	(in thousands) Fair Value Due in one year or less $ 687,193 Due after one year through five years 109,346 Total investments $ 796,539

Balance Sheet Components (Table

Balance Sheet Components (Tables)	6 Months Ended
	Jun. 30, 2022
Balance Sheet Components [Abstract]
Components of Inventory	June 30, December 31, (in thousands) 2022 2021 Purchased materials $ 15,451 $ 7,993 Work in process 12,808 8,611 Finished goods 7,862 7,995 Inventory $ 36,121 $ 24,599
Schedule of definite-lived intangible assets from business acquisitions	As of June 30, 2022 As of December 31, 2021 Estimated Gross Net Gross Net Useful Life Carrying Accumulated Carrying Carrying Accumulated Carrying (in years) Amount Amortization Amount Amount Amortization Amount Developed technology 15 $ 11,000 $ ( 672 ) $ 10,328 $ 11,000 $ ( 306 ) $ 10,694 Customer relationships 2 360 ( 165 ) 195 360 ( 75 ) 285 Total $ 11,360 $ ( 837 ) $ 10,523 $ 11,360 $ ( 381 ) $ 10,979
Estimated Future Amortization Expense Of Acquisition-Related Intangible Assets With Definite Lives	(in thousands) Remainder of 2022 $ 457 2023 838 2024 733 2025 733 2026 733 2027 and thereafter 7,029 Total $ 10,523
Changes in Reserve for Product Warranties	Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Balance at beginning of period $ 1,174 $ 179 $ 594 $ 161 Additions charged to cost of product revenue 912 412 1,865 615 Repairs and replacements ( 477 ) ( 320 ) ( 850 ) ( 505 ) Balance at end of period $ 1,609 $ 271 $ 1,609 $ 271
Future Principal Payments , Fiscal Year Maturity	(in thousands) Remainder of 2022 $ 838 2023 1,842 2024 490 Total $ 3,170

Convertible Senior Notes (Table

Convertible Senior Notes (Tables)	6 Months Ended
	Jun. 30, 2022
Convertible Senior Notes [Abstract]
Schedule of Net Carrying Amount	June 30, December 31, (in thousands) 2022 2021 Principal amount $ 900,000 $ 900,000 Unamortized debt issuance costs ( 3,626 ) ( 3,933 ) Net carrying amount $ 896,374 $ 896,067
Schedule of Interest Expense	Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Contractual interest expense $ 3,375 $ 3,375 $ 6,750 $ 5,063 Amortization of debt issuance costs 154 151 307 227 Total interest expense $ 3,529 $ 3,526 $ 7,057 $ 5,290

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	6 Months Ended
	Jun. 30, 2022
Summary of Time-Based RSUs Activity	Weighted average Number grant date of shares fair value Outstanding at December 31, 2021 7,392 $ 19.78 Granted 3,948 11.22 Vested ( 2,026 ) 14.90 Forfeited ( 922 ) 21.46 Outstanding at June 30, 2022 8,392 $ 16.75
Schedule of Stock-Based Compensation Expense	Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Cost of revenue $ 988 $ 1,906 $ 2,746 $ 2,898 Research and development 7,748 4,310 16,713 7,357 Sales, general and administrative 10,283 9,589 22,263 15,715 Total stock-based compensation expense $ 19,019 $ 15,805 $ 41,722 $ 25,970
Schedule of Fair Value of Employee Stock Options	Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Expected term in years 4.6 4.6 4.6 4.6 Expected volatility 72 % 70 % 70 % - 72 % 68 % - 70 % Risk-free interest rate 2.77 % 0.74 % 1.76 % - 2.77 % 0.50 % - 0.74 % Dividend yield — — — — Weighted average grant date fair value per share $ 3.26 $ 14.54 $ 6.05 $ 18.86
Schedule of Fair Value of Employee Stock Purchase Plan	Six Months Ended June 30, 2022 2021 Expected term in years 0.5 – 2.0 0.5 - 2.0 Expected volatility 70 % 68 % Risk-free interest rate 0.60 % – 1.31 % 0.07 % - 0.13 % Dividend yield — — Weighted average grant date fair value per share $ 5.42 $ 29.26
Time-based stock options [Member]
Summary of Stock Option Activity	Stock Options Outstanding Weighted Number average of shares Exercise price exercise price Outstanding at December 31, 2021 12,159 $ 1.16 – 46.37 $ 11.38 Granted 4,611 4.61 – 16.58 10.65 Exercised ( 421 ) 1.16 – 8.90 4.21 Canceled ( 1,050 ) 2.47 – 46.37 23.98 Outstanding at June 30, 2022 15,299 $ 1.16 – 46.37 $ 10.67
Performance-based stock options [Member]
Summary of Stock Option Activity	Stock Options Outstanding Weighted Number average of shares Exercise price exercise price Outstanding at December 31, 2021 304 $ 4.71 – 4.90 $ 4.71 Granted — — — Exercised — — — Canceled ( 1 ) 4.71 – 4.90 4.75 Outstanding at June 30, 2022 303 $ 4.71 – 4.90 $ 4.71

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	6 Months Ended
	Jun. 30, 2022
Net Loss Per Share [Abstract]
Computation of Basic and Diluted Net Loss per Share	Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Numerator: Net loss $ ( 71,394 ) $ ( 41,001 ) $ ( 152,893 ) $ ( 128,436 ) Denominator: Basic Weighted average shares used in computing basic net loss 224,499 198,568 223,400 196,690 Basic net loss per share $ ( 0.32 ) $ ( 0.21 ) $ ( 0.68 ) $ ( 0.65 ) Diluted Weighted average shares used in computing diluted net loss per share 224,499 198,568 223,400 196,690 Diluted net loss per share $ ( 0.32 ) $ ( 0.21 ) $ ( 0.68 ) $ ( 0.65 )
Antidilutive Shares Excluded from Computation of Diluted Net Loss per Share	Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Shares issuable upon conversion of convertible senior notes 20,690 20,690 20,690 20,690 Options to purchase common stock 15,602 12,335 15,602 12,335 RSUs 8,392 6,820 8,392 6,820 ESPP shares 1,931 2,336 1,931 2,336

Revenue (Tables)

Revenue (Tables)	6 Months Ended
	Jun. 30, 2022
Revenue [Abstract]
Schedule of Revenue by Geographic Location	Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Americas $ 21,722 $ 14,347 $ 40,804 $ 26,504 Europe, Middle East and Africa 5,735 6,494 11,435 14,819 Asia-Pacific 8,010 9,769 16,401 18,284 Total $ 35,467 $ 30,610 $ 68,640 $ 59,607
Summary of Revenue by Category	Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Instrument revenue $ 15,619 $ 14,282 $ 31,169 $ 29,221 Consumable revenue 14,556 12,251 27,250 22,615 Product revenue 30,175 26,533 58,419 51,836 Service and other revenue 5,292 4,077 10,221 7,771 Total revenue $ 35,467 $ 30,610 $ 68,640 $ 59,607

Organization and Significant _3

Organization and Significant Accounting Policies (Narrative) (Details) $ in Thousands		1 Months Ended	3 Months Ended		6 Months Ended		12 Months Ended
	Feb. 09, 2021 USD ($)	Feb. 28, 2021 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2021	Jun. 30, 2022 USD ($) customer	Jun. 30, 2021 customer	Dec. 31, 2021 USD ($) customer
Summary Of Significant Accounting Policies [Line Items]
Contingent repayment liability | $			$ 163,216		$ 163,216		$ 169,717
Single customer with 10% or greater [Member]
Summary Of Significant Accounting Policies [Line Items]
Number of customers | customer							0
Sales Revenue, Net [Member] | Single customer with 10% or greater [Member] | Customer Concentration Risk [Member]
Summary Of Significant Accounting Policies [Line Items]
Number of customers | customer					0	0
Sales Revenue, Net [Member] | One Customer [Member] | Customer Concentration Risk [Member]
Summary Of Significant Accounting Policies [Line Items]
Concentration risk, percentage			11%	17%		14%
Accounts Receivable [Member] | Domestic Customers [Member] | Customer Concentration Risk [Member]
Summary Of Significant Accounting Policies [Line Items]
Concentration risk, percentage					57%		53%
Accounts Receivable [Member] | One Customer [Member] | Customer Concentration Risk [Member]
Summary Of Significant Accounting Policies [Line Items]
Concentration risk, percentage					11%
Convertible Senior Notes [Member]
Summary Of Significant Accounting Policies [Line Items]
Principal amount of notes | $	$ 900,000	$ 900,000
Maturity date	Feb. 15, 2028	Feb. 15, 2028

Business Acquisitions (Narrativ

Business Acquisitions (Narrative) (Details) - USD ($) $ in Thousands	Sep. 20, 2021	Jul. 20, 2021	Jun. 30, 2022	Dec. 31, 2021
Business Acquisition [Line Items]
Fair value of contingent consideration			$ 163,216	$ 169,717
Circulomics, Inc [Member]
Business Acquisition [Line Items]
Total cash paid		$ 29,500
Achievement of milestone [Member] | Omniome, Inc [Member]
Business Acquisition [Line Items]
Total cash paid	$ 100,000
Fair value of share consideration	100,000
Fair value of contingent consideration	200,000
Stock options issued by PacBio in replacement of Omniome’s unvested options	$ 4,100
Percentage of outstanding shares of common to be issued in merger	19.90%
Issuance of common stock in Private Placement, net of issuance costs shares	11,500,000

Business Acquisitions (Schedule

Business Acquisitions (Schedule by Acquisitions) (Details) - USD ($) $ in Thousands	Sep. 20, 2021	Jul. 20, 2021	Jun. 30, 2022	Dec. 31, 2021
Business Combination, Consideration Transferred [Abstract]
Fair value of contingent consideration			$ 163,216	$ 169,717
Major classes of assets and liabilities allocated to total fair value of consideration transferred
Goodwill			$ 409,974	$ 409,974
Circulomics, Inc [Member]
Business Combination, Consideration Transferred [Abstract]
Total cash paid		$ 29,500
Major classes of assets and liabilities allocated to total fair value of consideration transferred
Cash and cash equivalents		987
Property and equipment, net		214
Intangible assets, finite lived		11,360
Goodwill		19,309
Other assets		467
Deferred income tax liability		(2,672)
Liabilities assumed		(118)
Total consideration transferred		$ 29,547
Omniome, Inc [Member]
Major classes of assets and liabilities allocated to total fair value of consideration transferred
Cash and cash equivalents	$ 15,338
Property and equipment, net	6,123
Operating lease right-of-use assets, net	18,095
In-process research and development ("IPR&D")	400,000
Goodwill	390,665
Other assets	3,203
Deferred income tax liability	(91,814)
Liabilities assumed	(26,821)
Total consideration transferred	$ 714,789

Invitae Collaboration (Narrativ

Invitae Collaboration (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Development and Commercialization of Significant Agreements Transactions [Line Items]
Term of Amended and Restated Agreement				Amended and Restated Agreement shall continue until June 30, 2028
Revenue	$ 35,467	$ 30,610	$ 68,640	$ 59,607
Deferred revenue, non-current	1,827		1,827		$ 25,049
Deferred revenue, current	32,084		32,084		10,977
Product [Member]
Development and Commercialization of Significant Agreements Transactions [Line Items]
Revenue	30,175	$ 26,533	58,419	$ 51,836
Invitae Corporation [Member] | Development Agreement [Member]
Development and Commercialization of Significant Agreements Transactions [Line Items]
Deferred revenue, non-current	23,500		23,500
Invitae Corporation [Member] | Amended and Restated Agreement [Member]
Development and Commercialization of Significant Agreements Transactions [Line Items]
Deferred revenue, non-current					$ 23,500
Deferred revenue, current	21,400		$ 21,400
Invitae Corporation [Member] | Product [Member]
Development and Commercialization of Significant Agreements Transactions [Line Items]
Revenue	$ 3,700

Termination of Merger with Il_2

Termination of Merger with Illumina (Narrative) (Details) - USD ($) $ in Thousands		1 Months Ended	3 Months Ended	6 Months Ended
	Feb. 09, 2021	Feb. 28, 2021	Mar. 31, 2020	Jun. 30, 2021
Merger Termination [Line Items]
(Loss)/Gain from Continuation Advances from Illumina		$ (52,000)		$ (52,000)
Equity or debt financing that must be raised in a single transaction			$ 100,000
Illumina, FC Ops Corp [Member]
Merger Termination [Line Items]
(Loss)/Gain from Continuation Advances from Illumina			$ 52,000
Convertible Senior Notes [Member]
Merger Termination [Line Items]
Principal amount of notes	$ 900,000	$ 900,000
Debt instrument, stated interest rate	1.50%	1.50%
Maturity date	Feb. 15, 2028	Feb. 15, 2028

Financial Instruments (Narrativ

Financial Instruments (Narrative) (Details) - USD ($) $ in Thousands		1 Months Ended	3 Months Ended	6 Months Ended
	Feb. 09, 2021	Feb. 28, 2021	Jun. 30, 2022	Jun. 30, 2022
Financial Instruments [Line Items]
Change in estimated fair value of the liability			$ 5,438	$ 6,501
Level 3 [Member]
Financial Instruments [Line Items]
Change in estimated fair value of the liability				$ 6,501
Convertible Senior Notes [Member]
Financial Instruments [Line Items]
Debt Instrument Face Amount	$ 900,000	$ 900,000
Debt Instrument Interest Rate Stated Percentage	1.50%	1.50%
Debt Instrument, Maturity Date	Feb. 15, 2028	Feb. 15, 2028
Measurement Input, Discount Rate [Member] | Contingent consideration liability [Member] | Maximum [Member] | B Credit Rating [Member]
Financial Instruments [Line Items]
Debt Instrument Interest Rate Stated Percentage			10.20%	10.20%
Measurement Input, Discount Rate [Member] | Contingent consideration liability [Member] | Minimum [Member] | B- Credit Rating [Member]
Financial Instruments [Line Items]
Debt Instrument Interest Rate Stated Percentage			10%	10%

Financial Instrument (Summary o

Financial Instrument (Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Assets
Cash and cash equivalents	$ 310,445	$ 460,725
Total investments	588,706	583,675
Short-term restricted cash	300	500
Long-term restricted cash	2,922	4,592
Total assets measured at fair value	902,373	1,049,492
Liabilities
Fair value of contingent consideration	163,216	169,717
Total liabilities measured at fair value	163,216	169,717
Commercial paper, not included with cash and cash equivalents [Member]
Assets
Total investments	120,495	187,632
Corporate debt securities [Member]
Assets
Total investments	46,810	8,968
U.S. government & agency securities, not included with cash and cash equivalents [Member]
Assets
Total investments	421,401	387,075
Level 1 [Member]
Assets
Cash and cash equivalents	102,612	327,315
Short-term restricted cash	300	500
Long-term restricted cash	2,922	4,592
Total assets measured at fair value	105,834	332,407
Level 2 [Member]
Assets
Cash and cash equivalents	207,833	133,410
Total investments	588,706	583,675
Total assets measured at fair value	796,539	717,085
Level 2 [Member] | Commercial paper, not included with cash and cash equivalents [Member]
Assets
Total investments	120,495	187,632
Level 2 [Member] | Corporate debt securities [Member]
Assets
Total investments	46,810	8,968
Level 2 [Member] | U.S. government & agency securities, not included with cash and cash equivalents [Member]
Assets
Total investments	421,401	387,075
Level 3 [Member]
Liabilities
Fair value of contingent consideration	163,216	169,717
Total liabilities measured at fair value	$ 163,216	$ 169,717

Financial Instruments (Changes

Financial Instruments (Changes in estimated fair value of contingent consideration) (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2022
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Beginning balance		$ 169,717
Change in estimated fair value	$ (5,438)	(6,501)
Ending balance	163,216	163,216
Level 3 [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Beginning balance		169,717
Change in estimated fair value		(6,501)
Ending balance	$ 163,216	$ 163,216

Financial Instruments (Summary

Financial Instruments (Summary of Cash, Cash Equivalents and Investments) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Schedule of Available-for-sale Securities [Line Items]
Total investments in debt securities	$ 796,539
Cash, cash equivalents and investments [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	904,608	$ 1,045,488
Gross unrealized gains	78	10
Gross unrealized losses	(5,535)	(1,097)
Total investments in debt securities	899,151	1,044,400
Cash and cash equivalents [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	310,508	460,731
Gross unrealized gains	8
Gross unrealized losses	(71)	(5)
Total investments in debt securities	310,445	460,725
Investments [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	594,100	584,757
Gross unrealized gains	70	10
Gross unrealized losses	(5,464)	(1,092)
Total investments in debt securities	588,706	583,675
Commercial paper, not included with cash and cash equivalents [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	120,899	187,705
Gross unrealized losses	(404)	(73)
Total investments in debt securities	120,495	187,632
Corporate debt securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	47,083	8,964
Gross unrealized gains		9
Gross unrealized losses	(273)	(5)
Total investments in debt securities	46,810	8,968
U.S. government & agency securities, not included with cash and cash equivalents [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	426,118	388,088
Gross unrealized gains	70	1
Gross unrealized losses	(4,787)	(1,014)
Total investments in debt securities	421,401	387,075
Long-term restricted cash [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	2,922	4,592
Total investments in debt securities	2,922	4,592
Short-Term Restricted Cash [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	300	500
Total investments in debt securities	$ 300	$ 500

Financial Instruments (Summar_2

Financial Instruments (Summary of Contractual Maturities of Cash Equivalents and Available-for-Sale Investments) (Details) $ in Thousands	Jun. 30, 2022 USD ($)
Cash, Cash Equivalents and Investments [Abstract]
Due in one year or less	$ 687,193
Due after one year through five years	109,346
Total investments	$ 796,539

Balance Sheet Components (Narra

Balance Sheet Components (Narrative) (Details)	1 Months Ended	3 Months Ended	6 Months Ended
	Sep. 30, 2021 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)	Oct. 31, 2015 USD ($)
Balance Sheet Components [Line Items]
Percentage of fee to prepay debt			4
Short-term restricted cash		$ 300,000	$ 300,000	$ 500,000
Long-term restricted cash		2,922,000	2,922,000	4,592,000
May 1 annual decrease to long-term restricted cash			500,000
Goodwill impairment		0
Deferred revenue, current		32,084,000	32,084,000	10,977,000
Deferred revenue, non-current		1,827,000	1,827,000	25,049,000
Revenue recognized			$ 9,200,000
Deferred service revenue, noncurrent, recognition period			5 years
Prepaid expenses and other current assets		7,657,000	$ 7,657,000	7,394,000
Omniome, Inc [Member]
Balance Sheet Components [Line Items]
Long-term restricted cash	$ 1,600,000	0	0	1,600,000
Short term debt acquired	1,300,000
Long-term debt acquired	$ 3,000,000
Debt Instrument, Term	43 months
Debt Instrument Interest Rate Stated Percentage	17%
Omniome, Inc [Member] | In Process Research and Development [Member]
Balance Sheet Components [Line Items]
Indefinite-lived Intangible Assets (Excluding Goodwill)	$ 400,000,000
Security Deposit [Member]
Balance Sheet Components [Line Items]
Short-term restricted cash		300,000	300,000	500,000
O’Brien Lease Agreement [Member]
Balance Sheet Components [Line Items]
Long-term restricted cash		2,500,000	2,500,000	$ 3,000,000	$ 4,500,000
Additional long-term restricted cash			400,000
Service [Member]
Balance Sheet Components [Line Items]
Deferred revenue		33,900,000	33,900,000
Deferred revenue, current		32,100,000	32,100,000
Prepaid expenses and other current assets		600,000	600,000
Service contract [Member]
Balance Sheet Components [Line Items]
Deferred revenue, non-current		$ 1,800,000	$ 1,800,000

Balance Sheet Components (Compo

Balance Sheet Components (Components of Inventory) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Balance Sheet Components [Abstract]
Purchased materials	$ 15,451	$ 7,993
Work in process	12,808	8,611
Finished goods	7,862	7,995
Inventory	$ 36,121	$ 24,599

Balance Sheet Components (Defin

Balance Sheet Components (Definite-lived Intangible Assets from Business Acquisitions) (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 11,360	$ 11,360
Accumulated Amortization	(837)	(381)
Net Carrying Amount	10,523	10,979
Developed Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	11,000	11,000
Accumulated Amortization	(672)	(306)
Net Carrying Amount	$ 10,328	10,694
Estimated Useful Life (in years)	15 years
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 360	360
Accumulated Amortization	(165)	(75)
Net Carrying Amount	$ 195	$ 285
Estimated Useful Life (in years)	2 years

Balance Sheet Components (Estim

Balance Sheet Components (Estimated Future Amortization Expense Of Acquisition-Related Intangible Assets With Definite Lives) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Balance Sheet Components [Abstract]
2022	$ 457
2023	838
2024	733
2025	733
2026	733
2027 and thereafter	7,029
Finite-Lived Intangible Assets, Net	$ 10,523	$ 10,979

Balance Sheet Components (Chang

Balance Sheet Components (Changes in Reserve for Product Warranties) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Balance Sheet Components [Abstract]
Balance at beginning of period	$ 1,174	$ 179	$ 594	$ 161
Additions charged to cost of product revenue	912	412	1,865	615
Repairs and replacements	(477)	(320)	(850)	(505)
Balance at end of period	$ 1,609	$ 271	$ 1,609	$ 271

Balance Sheet Components (Futur

Balance Sheet Components (Future Principal Payments) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Long-term Debt, Fiscal Year Maturity [Abstract]
Long-term Debt	$ 896,374	$ 896,067
Omniome, Inc [Member]
Long-term Debt, Fiscal Year Maturity [Abstract]
2022	838
2023	1,842
2024	490
Long-term Debt	$ 3,170

Convertible Senior Notes (Narra

Convertible Senior Notes (Narrative) (Details) - Convertible Senior Notes [Member] - USD ($)			1 Months Ended
	Feb. 16, 2021	Feb. 09, 2021	Feb. 28, 2021	Jun. 30, 2022
Debt Instrument [Line Items]
Principal amount of notes		$ 900,000,000	$ 900,000,000
Debt instrument, stated interest rate		1.50%	1.50%
Maturity date		Feb. 15, 2028	Feb. 15, 2028
Issuance date	Feb. 16, 2021
Shares issued conversion rate per $1,000 principal amount	22.9885
Principal amount for conversion rate	$ 1,000
Conversion price per share	$ 43.50
Debt redemption, percentage of conversion price	150%
Debt redemption, trading days	20 days
Debt redemption, consecutive trading days	30 days
Redemption price, percentage	100%
Debt issuance costs				$ 4,500,000
Debt instrument, effective interest rate				1.60%
Fair value of convertible debt				$ 559,800,000
Each Day During the First 180 Days [Member]
Debt Instrument [Line Items]
Additional interest in the event of default	0.25%
181st Day to 360th Day [Member]
Debt Instrument [Line Items]
Additional interest in the event of default	0.50%

Convertible Senior Notes (Sched

Convertible Senior Notes (Schedule of Net Carrying Amount) (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Convertible Senior Notes [Abstract]
Principal amount	$ 900,000	$ 900,000
Unamortized debt issuance costs	(3,626)	(3,933)
Net carrying amount	$ 896,374	$ 896,067

Convertible Senior Notes (Sch_2

Convertible Senior Notes (Schedule of Interest Expense) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Convertible Senior Notes [Abstract]
Contractual interest expense	$ 3,375	$ 3,375	$ 6,750	$ 5,063
Amortization of debt issuance costs	154	151	307	227
Total interest expense	$ 3,529	$ 3,526	$ 7,057	$ 5,290

Commitments and Contingencies (

Commitments and Contingencies (Narrative) (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Commitments and Contingencies [Abstract]
Additional liability associated with indemnification obligations	$ 0	$ 0

Stockholders' Equity (Narrative

Stockholders' Equity (Narrative) (Details) $ in Millions					1 Months Ended	3 Months Ended	6 Months Ended
	May 25, 2022 shares	Nov. 22, 2021 shares	Sep. 20, 2021 item shares	Apr. 18, 2021 shares	Feb. 28, 2022 shares	Jun. 30, 2022 USD ($) shares	Jun. 30, 2022 USD ($) shares	Jun. 30, 2021 shares	Dec. 02, 2020 shares	Aug. 04, 2020 shares
Omniome Plan [Member]
Stockholders' Equity [Line Items]
Exchange ratio | item			0.259204639
Shares authorized			2,494,128
ESPP [Member]
Stockholders' Equity [Line Items]
Shares issued							1,316,923	983,180
Additional common stock reserved for issuance					4,000,000
Common stock remain available for issuance						10,493,750	10,493,750
Stock-based compensation expense | $						$ 2.3	$ 5.6
2020 Equity Incentive Plan [Member]
Stockholders' Equity [Line Items]
Shares authorized										11,000,000
Additional common stock reserved for issuance	18,000,000
Common stock remain available for issuance						19,500,000	19,500,000
2020 Inducement Equity Incentive Plan [Member]
Stockholders' Equity [Line Items]
Shares authorized									2,500,000
Additional common stock reserved for issuance		360,000		750,000
Time-based and performance-based options [Member]
Stockholders' Equity [Line Items]
Stock-based compensation expense | $						$ 7	$ 14.5
RSUs with performance-based vesting [Member]
Stockholders' Equity [Line Items]
Stock-based compensation expense | $						$ 9.7	$ 21.6

Stockholders' Equity (Summary o

Stockholders' Equity (Summary of Stock Option Activity) (Details) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
$1.16 – 46.37 [Member] | Time-based stock option [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number of shares, Outstanding at December 31, 2021	12,159
Number of shares, Outstanding at June 30, 2022		12,159
Exercise price, lower range		$ 1.16
Exercise price, upper range		46.37
Weighted average exercise price, Outstanding at December 31, 2021	$ 11.38
Weighted average exercise price, Outstanding at June 30, 2022		$ 11.38
$4.61 – 16.58 [Member] | Time-based stock option [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number of shares, Granted	4,611
Exercise price, lower range	$ 4.61
Exercise price, upper range	16.58
Weighted average exercise price, Granted	$ 10.65
$4.71 - $4.90 [Member] | Performance-based stock options [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number of shares, Outstanding at December 31, 2021	304
Number of shares, Canceled	(1)
Number of shares, Outstanding at June 30, 2022	303	304
Exercise price, lower range	$ 4.71	$ 4.71
Exercise price, upper range	4.90	4.90
Exercise price, lower range, Canceled	4.71
Exercise price, upper range, Canceled	4.90
Weighted average exercise price, Outstanding at December 31, 2021	4.71
Weighted average exercise price, Canceled	4.75
Weighted average exercise price, Outstanding at June 30, 2022	$ 4.71	$ 4.71
$1.16 - 8.90 [Member] | Time-based stock option [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number of shares, Exercised	(421)
Exercise price, lower range	$ 1.16
Exercise price, upper range	8.90
Weighted average exercise price, Exercised	$ 4.21
$2.47 – 46.37 [Member] | Time-based stock option [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number of shares, Canceled	(1,050)
Exercise price, lower range	$ 2.47
Exercise price, upper range	46.37
Weighted average exercise price, Canceled	$ 23.98
$1.16 – 46.37 [Member] | Time-based stock option [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number of shares, Outstanding at June 30, 2022	15,299
Exercise price, lower range	$ 1.16
Exercise price, upper range	46.37
Weighted average exercise price, Outstanding at June 30, 2022	$ 10.67

Stockholders' Equity (Summary_2

Stockholders' Equity (Summary of Time-Based RSUs Activity) (Details) - RSUs with time-based vesting [Member]	6 Months Ended
	Jun. 30, 2022 $ / shares shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of shares, Outstanding at December 31, 2021 | shares	7,392
Number of shares, Granted | shares	3,948
Number of shares, Vested | shares	(2,026)
Number of shares, Forfeited | shares	(922)
Number of shares, Outstanding at June 30, 2022 | shares	8,392
Weighted average grant date fair value, Outstanding at December 31, 2021 | $ / shares	$ 19.78
Weighted average grant date fair value, Granted | $ / shares	11.22
Weighted average grant date fair value, Vested | $ / shares	14.90
Weighted average grant date fair value, Forfeited | $ / shares	21.46
Weighted average grant date fair value, Outstanding at June 30, 2022 | $ / shares	$ 16.75

Stockholders' Equity (Schedule

Stockholders' Equity (Schedule of Fair Value of Employee Stock Options) (Details) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Risk-free interest rate, minimum				1.76%
Options to purchase common stock [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected term in years	4 years 7 months 6 days	4 years 7 months 6 days	4 years 7 months 6 days	4 years 7 months 6 days
Expected volatility	72%	70%
Risk-free interest rate	2.77%	0.74%
Risk-free interest rate, minimum				0.50%
Risk-free interest rate, maximum			2.77%	0.74%
Weighted average grant date fair value per share	$ 3.26	$ 14.54	$ 6.05	$ 18.86
Options to purchase common stock [Member] | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected volatility			70%	68%
Options to purchase common stock [Member] | Maximum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected volatility			72%	70%

Stockholders' Equity (Schedul_2

Stockholders' Equity (Schedule of Fair Value of Employee Stock Purchase Plan) (Details) - $ / shares	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2022	Jun. 30, 2021
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Risk-free interest rate, minimum			1.76%
ESPP [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected volatility		70%	68%
Risk-free interest rate, minimum		0.60%	0.07%
Risk-free interest rate, maximum		1.31%	0.13%
Weighted average grant date fair value, Granted		$ 5.42	$ 29.26
ESPP [Member] | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected term in years	6 months		6 months
ESPP [Member] | Maximum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected term in years	2 years		2 years

Stockholders' Equity (Schedul_3

Stockholders' Equity (Schedule of Stock-Based Compensation Expense) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 19,019	$ 15,805	$ 41,722	$ 25,970
Cost of revenue [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	988	1,906	2,746	2,898
Research and development [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	7,748	4,310	16,713	7,357
Sales, general and administrative [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 10,283	$ 9,589	$ 22,263	$ 15,715

Net Loss Per Share (Computation

Net Loss Per Share (Computation Of Basic And Diluted Net Loss Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Numerator
Net loss	$ (71,394)	$ (41,001)	$ (152,893)	$ (128,436)
Basic
Weighted average shares used in computing basic net loss	224,499	198,568	223,400	196,690
Basic net loss per share	$ (0.32)	$ (0.21)	$ (0.68)	$ (0.65)
Diluted
Weighted average shares used in computing basic net loss per share	224,499	198,568	223,400	196,690
Weighted average shares used in computing diluted net loss per share	224,499	198,568	223,400	196,690
Diluted net loss per share	$ (0.32)	$ (0.21)	$ (0.68)	$ (0.65)

Net Loss Per Share (Antidilutiv

Net Loss Per Share (Antidilutive Shares Excluded From Computation Of Diluted Net Loss Per Share) (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Shares issuable upon conversion of convertible senior notes [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Antidilutive securities excluded from the computation of earnings per share	20,690	20,690	20,690	20,690
Warrants to purchase common stock [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Antidilutive securities excluded from the computation of earnings per share	15,602	12,335	15,602	12,335
RSUs [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Antidilutive securities excluded from the computation of earnings per share	8,392	6,820	8,392	6,820
ESPP [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Antidilutive securities excluded from the computation of earnings per share	1,931	2,336	1,931	2,336

Revenue (Schedule of Revenue by

Revenue (Schedule of Revenue by Geographic Location) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	$ 35,467	$ 30,610	$ 68,640	$ 59,607
Americas [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	21,722	14,347	40,804	26,504
Europe, Middle East and Africa [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	5,735	6,494	11,435	14,819
Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	$ 8,010	$ 9,769	$ 16,401	$ 18,284

Revenue (Summary of Revenue by

Revenue (Summary of Revenue by Category) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Product Information [Line Items]
Total revenue	$ 35,467	$ 30,610	$ 68,640	$ 59,607
Product [Member]
Product Information [Line Items]
Total revenue	30,175	26,533	58,419	51,836
Instrument [Member]
Product Information [Line Items]
Total revenue	15,619	14,282	31,169	29,221
Consumable [Member]
Product Information [Line Items]
Total revenue	14,556	12,251	27,250	22,615
Service and Other [Member]
Product Information [Line Items]
Total revenue	$ 5,292	$ 4,077	$ 10,221	$ 7,771