Edgio (EGIOQ) 10-Q 18 Apr 19 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2019	Apr. 12, 2019
Document and Entity Information [Abstract]
Entity Registrant Name	LIMELIGHT NETWORKS, INC.
Entity Central Index Key	0001391127
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		114,885,188

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 16,499	$ 25,383
Marketable securities	22,142	25,083
Accounts receivable, net	29,505	26,041
Income taxes receivable	124	122
Prepaid expenses and other current assets	12,276	14,789
Total current assets	80,546	91,418
Property and equipment, net	32,996	27,378
Operating lease right of use assets	3,012	0
Marketable securities, less current portion	40	40
Deferred income taxes	1,508	1,462
Goodwill	76,707	76,407
Other assets	4,199	2,220
Total assets	199,008	198,925
Current liabilities:
Accounts payable	17,858	9,216
Deferred revenue	1,524	1,883
Operating lease liability obligations	1,620	0
Income taxes payable	186	124
Provision for litigation	4,500	9,000
Other current liabilities	11,656	12,922
Total current liabilities	37,344	33,145
Operating lease liability obligations, less current portion	1,630	0
Deferred income taxes	128	152
Deferred revenue, less current portion	105	42
Other long-term liabilities	263	435
Total liabilities	39,470	33,774
Commitments and contingencies
Stockholders’ equity:
Convertible preferred stock, $0.001 par value; 7,500 shares authorized; no shares issued and outstanding	0	0
Common stock, $0.001 par value; 300,000 shares authorized; 114,874 and 114,246 shares issued and outstanding at March 31, 2019 and December 31, 2018, respectively	115	114
Additional paid-in capital	516,251	513,682
Accumulated other comprehensive loss	(9,657)	(10,033)
Accumulated deficit	(347,171)	(338,612)
Total stockholders’ equity	159,538	165,151
Total liabilities and stockholders’ equity	$ 199,008	$ 198,925

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Convertible Preferred Stock, Par Value (in dollars per share)	$ 0.001	$ 0.001
Convertible Preferred Stock, Shares Authorized	7,500,000	7,500,000
Convertible Preferred Stock, Shares Issued	0	0
Convertible Preferred Stock, Shares Outstanding	0	0
Common Stock, Par Value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, Shares Authorized	300,000,000	300,000,000
Common Stock, Shares Issued	114,874,000	114,246,000
Common Stock, Shares Outstanding	114,874,000	114,246,000

Unaudited Consolidated Statemen

Unaudited Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Income Statement [Abstract]
Revenue	$ 43,280	$ 52,114
Cost of revenue:
Cost of services	22,941	21,054
Depreciation — network	4,317	4,380
Total cost of revenue	27,258	25,434
Gross profit	16,022	26,680
Operating expenses:
General and administrative	7,535	9,522
Sales and marketing	10,972	10,280
Research and development	5,901	6,339
Depreciation and amortization	245	588
Total operating expenses	24,653	26,729
Operating loss	(8,631)	(49)
Other income (expense):
Interest expense	(10)	(59)
Interest income	212	130
Other, net	(6)	112
Total other income	196	183
(Loss) income before income taxes	(8,435)	134
Income tax expense (benefit)	124	(15)
Net (loss) income	$ (8,559)	$ 149
Net loss per share, Basic and diluted:
Basic (in dollars per share)	$ (0.07)	$ 0
Diluted (in dollars per share)	$ (0.07)	$ 0
Weighted average shares used in per share calculation:
Basic (shares)	114,410	110,761
Diluted (shares)	114,410	118,909

Unaudited Consolidated Statem_2

Unaudited Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Statement of Comprehensive Income [Abstract]
Net (loss) income	$ (8,559)	$ 149
Other comprehensive income (loss), net of tax:
Unrealized gain (loss) on investments	29	(24)
Foreign exchange translation gain	347	491
Other comprehensive income	376	467
Comprehensive (loss) income	$ (8,183)	$ 616

Unaudited Consolidated Statem_3

Unaudited Consolidated Statements of Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cumulative effect of accounting change	$ 1,496				$ 1,496
Beginning balance, shares at Dec. 31, 2017		110,824
Beginning balance at Dec. 31, 2017	144,145	$ 111	$ 502,314	$ (8,328)	(349,952)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	149				149
Change in unrealized loss on available-for-sale investments, net of taxes	(24)			(24)
Foreign currency translation adjustment, net of taxes	491			491
Exercise of common stock options, shares		10
Exercise of common stock options	30		30
Vesting of restricted stock units, shares		1,228
Vesting of restricted stock units	0	$ 1	(1)
Restricted stock units surrendered in lieu of withholding taxes, shares		(405)
Restricted stock units surrendered in lieu of withholding taxes	(1,606)		(1,606)
Purchases of common stock, shares		(1,000)
Purchases of common stock	(3,800)	$ (1)	(3,799)
Share-based compensation	3,367		3,367
Ending balance, shares at Mar. 31, 2018		110,657
Ending balance at Mar. 31, 2018	$ 144,248	$ 111	500,305	(7,861)	(348,307)
Beginning balance, shares at Dec. 31, 2018	114,246	114,246
Beginning balance at Dec. 31, 2018	$ 165,151	$ 114	513,682	(10,033)	(338,612)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	(8,559)				(8,559)
Change in unrealized loss on available-for-sale investments, net of taxes	29			29
Foreign currency translation adjustment, net of taxes	347			347
Exercise of common stock options, shares		5
Exercise of common stock options	8		8
Vesting of restricted stock units, shares		928
Vesting of restricted stock units	0	$ 1	(1)
Restricted stock units surrendered in lieu of withholding taxes, shares		(305)
Restricted stock units surrendered in lieu of withholding taxes	(894)		(894)
Share-based compensation	$ 3,456		3,456
Ending balance, shares at Mar. 31, 2019	114,874	114,874
Ending balance at Mar. 31, 2019	$ 159,538	$ 115	$ 516,251	$ (9,657)	$ (347,171)

Unaudited Consolidated Statem_4

Unaudited Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Operating activities
Net (loss) income	$ (8,559)	$ 149
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization	4,562	4,968
Share-based compensation	3,456	3,367
Foreign currency remeasurement loss	10	110
Deferred income taxes	(51)	41
Gain on sale of property and equipment	(30)	(16)
Accounts receivable charges	257	218
Amortization of premium on marketable securities	12	33
Changes in operating assets and liabilities:
Accounts receivable	(3,720)	(270)
Prepaid expenses and other current assets	(474)	882
Income taxes receivable	(2)	(124)
Other assets	(1,737)	(495)
Accounts payable and other current liabilities	2,243	(2,286)
Deferred revenue	(297)	130
Income taxes payable	62	(397)
Payments related to litigation, net	(1,520)	(4,500)
Other long term liabilities	(175)	(151)
Net cash (used in) provided by operating activities	(5,963)	1,659
Investing activities
Purchases of marketable securities	(9,266)	0
Sale and maturities of marketable securities	12,224	4,515
Purchases of property and equipment	(5,018)	(1,990)
Proceeds from sale of property and equipment	29	16
Net cash (used in) provided by investing activities	(2,031)	2,541
Financing activities
Payments of employee tax withholdings related to restricted stock vesting	(894)	(1,606)
Cash paid for purchase of common stock	0	(3,800)
Proceeds from employee stock plans	8	30
Net cash used in financing activities	(886)	(5,376)
Effect of exchange rate changes on cash and cash equivalents	(4)	127
Net decrease in cash and cash equivalents	(8,884)	(1,049)
Cash and cash equivalents, beginning of period	25,383	20,912
Cash and cash equivalents, end of period	16,499	19,863
Supplemental disclosure of cash flow information
Cash paid during the period for interest	10	59
Cash paid during the period for income taxes, net of refunds	$ 116	$ 451

Nature of Business

Nature of Business	3 Months Ended
	Mar. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Business	Nature of Business Limelight Networks Inc., a provider of digital content delivery, online video delivery, cloud security, edge computing and cloud storage services, empowers customers to provide exceptional digital experiences. Limelight’s edge services platform includes a globally distributed, high performance private network, intelligent software, and expert support services that enable current and future workflows. We were incorporated in Delaware in 2003, and have operated in the Phoenix metropolitan area since 2001 and elsewhere throughout the United States since 2003. We began international operations in 2004.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC. They do not include all of the information and footnotes required by U.S. generally accepted accounting principles (U.S. GAAP) for complete financial statements. Such interim financial information is unaudited but reflects all adjustments that are, in the opinion of management, necessary for the fair presentation of the interim periods presented and of a normal recurring nature. This quarterly report on Form 10-Q should be read in conjunction with our audited financial statements and footnotes included in our annual report on Form 10-K for the fiscal year ended December 31, 2018. All information is presented in thousands, except per share amounts and where specifically noted. The consolidated financial statements include accounts of Limelight and our wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated. In addition, certain other reclassifications have been made to prior year amounts to conform to the current year presentation. Use of Estimates The preparation of the consolidated financial statements and related disclosures in conformity with U.S. GAAP requires management to make judgments, assumptions, and estimates that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results and outcomes may differ from those estimates. The results of operations presented in this quarterly report on Form 10-Q are not necessarily indicative of the results that may be expected for the year ending December 31, 2019, or for any future periods. Recent Accounting Standards Adopted Accounting Standards In February 2016, the FASB issued ASU No. 2016-02, which establishes a right-of-use (ROU) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for most leases. In July 2018, the FASB issued ASU No. 2018-11, which amends the guidance to add a method of adoption whereby the issuer may elect to recognize a cumulative effect adjustment at the beginning of the period of adoption. ASU No. 2018-11 does not require comparative period financial information to be adjusted. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. ASU 2016-02 defines a lease as a contract, or part of a contract, that conveys the right to control the use of identified property, plant or equipment for a period of time in exchange for consideration. To determine whether a contract conveys the right to control the use of the identified asset for a period of time, the customer has to have both (1) the right to obtain substantially all of the economic benefits from the use of the identified asset and (2) the right to direct the use of the identified asset, a contract does not contain an identified asset if the supplier has a substantive right to substitute such asset ("the leasing criteria"). Upon review of our co-location and bandwidth arrangements, we have determined that such arrangements did not meet the leasing criteria, and therefore, were not included in our ROU asset and lease liability obligations on our balance sheet. We have determined that our real estate leases with terms in excess of one year and which do not include an option to purchase the underlying asset, do meet the leasing criteria. On January 1, 2019, we adopted ASU No. 2016-02, applying the package of practical expedients to leases that commenced before the effective date whereby we elected to not reassess the following: (i) whether any expired or existing contracts contain leases; (ii) the lease classification for any expired or existing leases; and (iii) initial direct costs for any existing leases. We elected to apply the transition provisions as of January 1, 2019, the date of adoption, and we recorded lease ROU assets and related liabilities on our balance sheet of $3.6 million related to our operating leases. We have no financing leases. There was no change to our consolidated statements of operations or cash flows. In June 2018, the FASB issued ASU 2018-07, which simplifies several aspects of the accounting for nonemployee share-based payment transactions resulting from expanding the scope of Topic 718, Compensation-Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees. The amendments specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. The amendments also clarify that Topic 718 does not apply to share-based payments used to effectively provide (1) financing to the issuer or (2) awards granted in conjunction with selling goods or services to customers as part of a contract accounted for under Topic 606, Revenue from Contracts with Customers. We adopted this guidance effective January 1, 2019. The adoption of this guidance did not have a material impact on our consolidated financial statements and related disclosures. Recently Issued Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13, which requires measurement and recognition of expected credit losses for financial assets held. This guidance is effective for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The standard is to be applied through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. We do not plan to early adopt this ASU. We are in the process of evaluating the potential impact of adopting this new accounting standard on our consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-04, which simplifies the accounting for goodwill impairment. The updated guidance eliminates Step 2 of the impairment test, which requires entities to calculate the implied fair value of goodwill to measure a goodwill impairment charge. Instead, entities will record an impairment charge based on the excess of a reporting unit’s carrying amount over its fair value, determined in Step 1. This guidance will become effective for us in fiscal years beginning after December 15, 2019, including interim periods within that reporting period. We will adopt this guidance using a prospective approach. Earlier adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We do not plan to early adopt this accounting standard, and we are currently evaluating the impact of this guidance on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, which removes, modifies and adds to the disclosure requirements on fair value measurements in Topic 820. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. This guidance will become effective for us in fiscal years beginning after December 15, 2019, including interim periods within that reporting period. Early adoption is permitted upon issuance of this updated guidance. An entity is permitted to early adopt any removed or modified disclosures upon issuance of this updated guidance and delay adoption of the additional disclosures until their effective date. We do not plan to early adopt this accounting standard, and we are currently evaluating the impact of this guidance on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-15 , to help entities evaluate the accounting for fees paid by a customer in a cloud computing arrangement (hosting arrangement) by providing guidance for determining when the arrangement includes a software license. The amendments align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected by the amendments . This guidance will become effective for us in fiscal years beginning after December 15, 2019. Early adoption is permitted, including adoption in any interim period. We do not plan to early adopt this accounting standard, and we are currently evaluating the impact of this guidance on our consolidated financial statements. Revenue Recognition Revenues are recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. Our customers generally execute contracts with terms of one year or longer, which are referred to as recurring revenue contracts or long-term contracts. These contracts generally allow the customer access to our network and commit the customer to a minimum monthly level of usage with additional charges applicable for actual usage above the monthly minimum commitment, or are entirely usage based. We define usage as customer data sent or received using our content delivery service, or content that is hosted or cached by us at the request or direction of our customers. For contracts that contain minimum monthly commitments, we recognize revenue equal to the greater of the minimum monthly committed amount or actual usage, if actual usage exceeds the monthly committed amount, using the right to invoice practical expedient allowable under Topic 606. For contracts that contain minimum commitments over the contractual term, we estimate an amount of variable consideration by using either the expected value method or the most likely amount method. We include estimates of variable consideration in revenue only when we have a high degree of confidence that revenue will not be reversed in a subsequent reporting period. We believe that the expected value method is the most appropriate estimate of the amount of variable consideration. These customers have entered into contracts with contract terms generally from one to four years. As of March 31, 2019, we have approximately $7,800 of remaining unsatisfied performance obligations. We recognized revenue of approximately $2,700 and $1,000 , respectively, during the three months ended March 31, 2019 and 2018, related to these types of contracts with our customers. We expect to recognize approximately 75% of the remaining unsatisfied performance obligations in 2019, approximately 20% in 2020 and the remaining in 2021. We may charge the customer an installation fee when services are first activated. We do not charge installation fees for contract renewals. Installation fees are not distinct within the context of the overall contractual commitment with the customer to perform our content delivery service and are therefore recognized initially as deferred revenue and recognized as revenue ratably over the estimated life of the customer arrangement. We also derive revenue from services and events sold as discrete, non-recurring events or based solely on usage. For these services, we recognize revenue when control of promised goods or services is transferred to customers at an amount that reflects the consideration to which we expect to be entitled to in exchange for those goods or services. At the inception of a customer contract for service, we make an assessment as to that customer’s ability to pay for the services provided. If we subsequently determine that collection from the customer is not probable, we record an allowance for doubtful accounts and bad debt expense or deferred revenue for that customer’s unpaid invoices and cease recognizing revenue for continued services provided until it is probable that revenue will not be reversed in a subsequent reporting period. Our standard payment terms vary by the type and location of our customer. Leases We determine if an arrangement is a lease at inception. Operating leases are included in ROU assets, and lease liability obligations in our consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liability obligations represent our obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. We have lease agreements with lease and non-lease components and account for such components as a single lease component. As most of our leases do not provide an implicit rate, we estimated our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. We use the implicit rate when readily determinable. The ROU asset also includes any lease payments made and excludes lease incentives and lease direct costs. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense is recognized on a straight-line basis over the lease term. Please refer to Note 16 for additional information. Share-Based Compensation We account for our share-based compensation awards using the fair-value method. The grant date fair value was determined using the Black-Scholes-Merton pricing model. The Black-Scholes-Merton valuation calculation requires us to make key assumptions such as future stock price volatility, expected terms, risk-free rates, and dividend yield. Our expected volatility is derived from our volatility rate as a publicly traded company. The expected term is based on our historical experience. The risk-free interest factor is based on the United States Treasury yield curve in effect at the time of the grant for zero coupon United States Treasury notes with maturities of approximately equal to each grant’s expected term. We have never paid cash dividends and do not currently intend to pay cash dividends, and therefore, we have assumed a 0% dividend yield. We develop an estimate of the number of share-based awards that will be forfeited due to employee turnover. We will continue to use judgment in evaluating the expected term, volatility, and forfeiture rate related to our own share-based awards on a prospective basis, and in incorporating these factors into the model. If our actual experience differs significantly from the assumptions used to compute our share-based compensation cost, or if different assumptions had been used, we may have recorded too much or too little share-based compensation cost. We apply the straight-line attribution method to recognize compensation costs associated with awards that are not subject to graded vesting. For awards that are subject to graded vesting and performance based awards, we recognize compensation costs separately for each vesting tranche. We also estimate when and if performance-based awards will be earned. If an award is not considered probable of being earned, no amount of share-based compensation is recognized. If the award is deemed probable of being earned, related compensation expense is recorded over the estimated service period. To the extent our estimates of awards considered probable of being earned changes, the amount of share-based compensation recognized will also change.

Investments in Marketable Secur

Investments in Marketable Securities	3 Months Ended
	Mar. 31, 2019
Investments, Debt and Equity Securities [Abstract]
Investments in Marketable Securities	Investments in Marketable Securities The following is a summary of marketable securities (designated as available-for-sale) at March 31, 2019 : Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Certificate of deposit $ 40 $ — $ — $ 40 Corporate notes and bonds 22,146 — 4 22,142 Total marketable securities $ 22,186 $ — $ 4 $ 22,182 The amortized cost and estimated fair value of marketable securities at March 31, 2019 , by maturity, are shown below: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Available-for-sale securities Due in one year or less $ 20,244 $ — $ 3 $ 20,241 Due after one year and through five years 1,942 — 1 1,941 $ 22,186 $ — $ 4 $ 22,182 The following is a summary of marketable securities (designated as available-for-sale) at December 31, 2018 : Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Certificate of deposit $ 40 $ — $ — $ 40 Corporate notes and bonds 25,115 — 32 25,083 Total marketable securities $ 25,155 $ — $ 32 $ 25,123 The amortized cost and estimated fair value of marketable securities at December 31, 2018 , by maturity, are shown below: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Available-for-sale securities Due in one year or less $ 25,115 $ — $ 32 $ 25,083 Due after one year and through five years 40 — — 40 $ 25,155 $ — $ 32 $ 25,123

Accounts Receivable, net

Accounts Receivable, net	3 Months Ended
	Mar. 31, 2019
Receivables [Abstract]
Accounts Receivable, net	Accounts Receivable, net Accounts receivable, net include: March 31, December 31, 2019 2018 Accounts receivable $ 30,576 $ 27,040 Less: credit allowance (190 ) (250 ) Less: allowance for doubtful accounts (881 ) (749 ) Total accounts receivable, net $ 29,505 $ 26,041

Prepaid Expenses and Other Curr

Prepaid Expenses and Other Current Assets	3 Months Ended
	Mar. 31, 2019
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid Expenses and Other Current Assets	Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets include: March 31, December 31, 2019 2018 Settlement and patent license receivable $ 2,980 $ 5,960 Prepaid bandwidth and backbone 819 1,395 VAT receivable 2,488 2,022 Prepaid expenses and insurance 2,155 1,816 Vendor deposits and other 3,834 3,596 Total prepaid expenses and other current assets $ 12,276 $ 14,789

Property and Equipment, net

Property and Equipment, net	3 Months Ended
	Mar. 31, 2019
Property, Plant and Equipment [Abstract]
Property and Equipment, net	Property and Equipment, net Property and equipment, net include: March 31, December 31, 2019 2018 Network equipment $ 113,575 $ 105,760 Computer equipment and software 8,552 8,711 Furniture and fixtures 603 703 Leasehold improvements 4,685 4,587 Other equipment 156 156 Total property and equipment 127,571 119,917 Less: accumulated depreciation (94,575 ) (92,539 ) Total property and equipment, net $ 32,996 $ 27,378 Depreciation expense related to property and equipment classified in operating expense was $245 and $588 for the three months ended March 31, 2019 and 2018 , respectively.

Goodwill

Goodwill	3 Months Ended
	Mar. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	Goodwill We have recorded goodwill as a result of past business acquisitions. Goodwill is recorded when the purchase price paid for an acquisition exceeds the estimated fair value of the net identified tangible and intangible assets acquired. In each of our acquisitions, the objective of the acquisition was to expand our product offerings and customer base and to achieve synergies related to cross selling opportunities, all of which contributed to the recognition of goodwill. No indicators of impairment were identified as of March 31, 2019 . Foreign currency translation adjustments increased the carrying amount of goodwill by $ 300 for the three months ended March 31, 2019 .

Other Current Liabilities

Other Current Liabilities	3 Months Ended
	Mar. 31, 2019
Other Liabilities Disclosure [Abstract]
Other Current Liabilities	Other Current Liabilities Other current liabilities include: March 31, December 31, 2019 2018 Accrued compensation and benefits $ 6,405 $ 7,528 Accrued cost of revenue 2,681 2,361 Deferred rent — 145 Accrued legal fees 24 22 Other accrued expenses 2,546 2,866 Total other current liabilities $ 11,656 $ 12,922

Line of Credit

Line of Credit	3 Months Ended
	Mar. 31, 2019
Debt Disclosure [Abstract]
Line of Credit	Line of Credit In February 2018, we entered into a Fourth Amendment (Fourth Amendment) to the Loan and Security Agreement (the Credit Agreement) with Silicon Valley Bank (SVB) originally entered into in November 2015. Under the Fourth Amendment, we increased the maximum principal commitment amount to $20,000 . Our borrowing capacity is the lesser of the commitment amount or 80% of eligible accounts receivable. All outstanding borrowings owed under the Credit Agreement become due and payable no later than the final maturity date of November 2, 2020. As of March 31, 2019 , we had no outstanding borrowings, and we had availability under the Credit Agreement of approximately $20,000 . We had no outstanding borrowings at December 31, 2018, and we had availability under the Credit Agreement of approximately $20,000 . As of March 31, 2019 , borrowings under the Credit Agreement bear interest at the current prime rate minus 0.25% . In the event of default, obligations shall bear interest at a rate per annum that is 3% above the then applicable rate. Amendment fees and other commitment fees are included in interest expense. During the three months ended March 31, 2019 and 2018, there was no interest expense, and fees expense and amortization was $10 and $59 , respectively. Any borrowings are secured by essentially all of our domestic personal property, with a negative pledge on intellectual property. SVB’s security interest in our foreign subsidiaries is limited to 65% of voting stock of each such foreign subsidiary. We are required to maintain a minimum liquidity of $10,000 at all times, measured quarterly, with a minimum of $5,000 of the $10,000 in cash at SVB. In addition, we are required to maintain an Adjusted Quick Ratio of at least 1.0 to 1.0. We are also subject to certain customary limitations on our ability to, among other things, incur debt, grant liens, make acquisitions and other investments, make certain restricted payments such as dividends, dispose of assets or undergo a change in control. As of March 31, 2019 , we were in compliance with all covenants under the Credit Agreement.

Contingencies

Contingencies	3 Months Ended
	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Contingencies	Contingencies Legal Matters Akamai ‘703 Litigation In June 2006, Akamai Technologies, Inc. (Akamai) and the Massachusetts Institute of Technology (MIT) filed a lawsuit against us in the United States District Court for the District of Massachusetts alleging that we were infringing multiple patents assigned to MIT and exclusively licensed by MIT to Akamai. In August 2016, we entered into a settlement and license agreement with Akamai with respect to U.S. Patent No. 6,108,703 (the ’703 patent) and certain other related patents, which settled all asserted and unasserted claims with respect to the licensed patents. The terms of the agreement require us to pay $54,000 over twelve equal quarterly installments, which began on August 1, 2016. We recorded a charge in the quarter ended June 30, 2016 for the full, undiscounted amount of $54,000 . As of March 31, 2019 , there remained $4,500 due to Akamai under the terms of the settlement and license agreement. Other Akamai Litigation In November 2015, we filed a lawsuit against Akamai and XO Communications in the District Court for the Eastern District of Virginia alleging the infringement of six of our patents covering a broad range of inventions that we believe are critical to the effective and efficient delivery of bytes by a content delivery network (the Akamai and XO Litigation). Akamai also filed counterclaims in April 2016, alleging the infringement of five of its patents. We filed an answer to Akamai’s counterclaims, denying each of the allegations of infringement in May 2016. In February 2016, Akamai filed a complaint against us in the District Court for the District of Massachusetts alleging infringement of three of its patents. In April 2016, Akamai amended its complaint by withdrawing one of the asserted patents. In April 2016, we filed our answer to the complaint, denying each of the allegations of infringement, and asserting two counterclaims alleging infringement of two of our patents. In December 2016, Akamai filed a second complaint against us in the District Court for the District of Massachusetts alleging infringement of three additional patents, and we later filed our answer to the complaint, denying each of the allegations of infringement. The two cases were ultimately consolidated into a single action by the court. On April 9, 2018, we entered into a definitive settlement and patent license agreement where the parties agreed to (i) license certain patents to the other party, (ii) a covenant not to sue for three years for certain patents related to the licensed patents, and (iii) settle all outstanding legal disputes between the parties. The terms of the agreement also require Akamai to pay to Limelight a total of $14,900 over five equal quarterly installments. As of March 31, 2019, there remained $2,980 due from Akamai. We include litigation expenses in general and administrative expenses as incurred, as reported in the consolidated statement of operations. Other Matters We are subject to various other legal proceedings and claims, either asserted or unasserted, arising in the ordinary course of business. While the outcome of these claims cannot be predicted with certainty, management does not believe the outcome of any of these matters will have a material adverse effect on our business, financial position, results of operations, or cash flows. Litigation relating to the content delivery services industry is not uncommon, and we are, and from time to time have been, subject to such litigation. No assurances can be given with respect to the extent or outcome of any such litigation in the future. Taxes We are subject to indirect taxation in various states and foreign jurisdictions. Laws and regulations that apply to communications and commerce conducted over the Internet are becoming more prevalent, both in the United States and internationally, and may impose additional burdens on us conducting business online or providing Internet-related services. Increased regulation could negatively affect our business directly, as well as the businesses of our customers, which could reduce their demand for our services. For example, tax authorities in various states and abroad may impose taxes on the Internet-related revenue we generate based on regulations currently being applied to similar but not directly comparable industries. There are many transactions and calculations where the ultimate tax determination is uncertain. In addition, domestic and international taxation laws are subject to change. In the future, we may come under audit, which could result in changes to our tax estimates. We believe we maintain adequate tax reserves, that are not material in amount, to offset potential liabilities that may arise upon audit. Although we believe our tax estimates and associated reserves are reasonable, the final determination of tax audits and any related litigation could be materially different than the amounts established for tax contingencies. To the extent these estimates ultimately prove to be inaccurate, the associated reserves would be adjusted, resulting in the recording of a benefit or expense in the period in which a change in estimate or a final determination is made.

Net (Loss) Income per Share

Net (Loss) Income per Share	3 Months Ended
	Mar. 31, 2019
Earnings Per Share [Abstract]
Net (Loss) Income per Share	Net (Loss) Income per Share We calculate basic and diluted (loss) income per weighted average share. We use the weighted-average number of shares of common stock outstanding during the period for the computation of basic (loss) income per share. Diluted (loss) income per share include the dilutive effect of all potentially dilutive common stock, including awards granted under our equity incentive compensation plans in the weighted-average number of shares of common stock outstanding. The following table sets forth the components used in the computation of basic and diluted net (loss) income per share for the periods indicated (in thousands, except per share data): Three Months Ended March 31, 2019 2018 Net (loss) income $ (8,559 ) $ 149 Basic weighted average outstanding shares of common stock 114,410 110,761 Basic weighted average outstanding shares of common stock 114,410 110,761 Dilutive effect of stock options, restricted stock units, and other equity incentive plans — 8,148 Diluted weighted average outstanding shares of common stock 114,410 118,909 Basic net (loss) income per share $ (0.07 ) $ — Diluted net (loss) income per share: $ (0.07 ) $ — For the three months ended March 31, 2019 and 2018 , respectively, the following potentially dilutive common stock, including awards granted under our equity incentive compensation plans, were excluded from the computation of diluted net (loss) income per share because including them would have been anti-dilutive. Three Months Ended March 31, 2019 2018 Employee stock purchase plan 307 — Stock options 2,056 3,443 Restricted stock units 939 753 3,302 4,196

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2019
Equity [Abstract]
Stockholders' Equity	Stockholders’ Equity Common Stock On March 14, 2017, our board of directors authorized a $25,000 share repurchase program. Any shares repurchased under this program will be canceled and returned to authorized but unissued status. During the three months ended March 31, 2019 , we did no t repurchase any shares under the repurchase program. During the three months ended March 31, 2018, we purchased and canceled 1,000 shares for $3,800 , including commissions and fees. As of March 31, 2019 , there remained $21,200 under this share repurchase program. Amended and Restated Equity Incentive Plan We established the 2007 Equity Incentive Plan, or the 2007 Plan, which allows for the grant of equity, including stock options and restricted stock unit awards. In June 2016, our stockholders approved the Amended and Restated Equity Incentive Plan, or the Restated 2007 Plan, which amended and restated the 2007 Plan. Approval of the Restated 2007 Plan replaced the terms and conditions of the 2007 Plan with the terms and conditions of the Restated 2007 Plan, and extended the term of the plan to April 2026. There was no increase in the aggregate amount of shares available for issuance. The total number of shares authorized for issuance under the Restated 2007 Plan as of March 31, 2019 was approximately 10,303 . Employee Stock Purchase Plan In June 2013, our stockholders approved our 2013 Employee Stock Purchase Plan (ESPP). The ESPP allows participants to purchase our common stock at a 15% discount of the lower of the beginning or end of the offering period using the closing price on that day. During the three months ended March 31, 2019, we did no t issue any shares under the ESPP. As of March 31, 2019 , shares reserved for issuance to employees under this plan totaled 34 , and we held employee contributions of $841 (included in other current liabilities) for future purchases under the ESPP. Preferred Stock Our board of directors has authorized the issuance of up to 7,500 shares of preferred stock at March 31, 2019 . The preferred stock may be issued in one or more series pursuant to a resolution or resolutions providing for such issuance duly adopted by the board of directors. As of March 31, 2019 , the board of directors had not adopted any resolutions for the issuance of preferred stock.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	3 Months Ended
	Mar. 31, 2019
Equity [Abstract]
Accumulated Other Comprehensive Loss	Accumulated Other Comprehensive Loss Changes in the components of accumulated other comprehensive loss, net of tax, for the three months ended March 31, 2019 , was as follows: Unrealized Gains (Losses) on Foreign Available for Currency Sale Securities Total Balance, December 31, 2018 $ (9,992 ) $ (41 ) $ (10,033 ) Other comprehensive income before reclassifications 347 29 376 Amounts reclassified from accumulated other comprehensive loss — — — Net current period other comprehensive income 347 29 376 Balance, March 31, 2019 $ (9,645 ) $ (12 ) $ (9,657 )

Share-Based Compensation

Share-Based Compensation	3 Months Ended
	Mar. 31, 2019
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share-Based Compensation	Share-Based Compensation The following table summarizes the components of share-based compensation expense included in our consolidated statement of operations: Three Months Ended March 31, 2019 2018 Share-based compensation expense by type: Stock options $ 1,042 $ 1,061 Restricted stock units 2,250 2,166 ESPP 164 140 Total share-based compensation expense $ 3,456 $ 3,367 Share-based compensation expense: Cost of services $ 411 $ 357 General and administrative expense 2,094 1,810 Sales and marketing expense 484 603 Research and development expense 467 597 Total share-based compensation expense $ 3,456 $ 3,367 Unrecognized share-based compensation expense totaled approximately $22,598 at March 31, 2019 , of which $7,449 related to stock options and $15,149 related to restricted stock units. We currently expect to recognize share-based compensation expense of $9,053 during the remainder of 2019, $8,349 in 2020 and the remainder thereafter based on scheduled vesting of the stock options and restricted stock units outstanding at March 31, 2019 . On February 1, 2019, the compensation committee of our board of directors approved a stock for salary program wherein eligible participants elected to receive payment of his or her base salary in shares of our common stock beginning on February 1, 2019. The shares of common stock will be issued under our Amended and Restated 2007 Equity Incentive Plan. Eligible program participants include our Chief Executive Officer and his direct reports. The stock for salary program permits eligible participants to receive 0 , 25 , 50 , 75 , or 100% of his or her 2019 salary (including any increases that may occur during the year) in shares of our common stock. On the last trading day of each calendar month, each participant will receive the number of shares of our common stock determined by dividing (i) 1/12th of his or her enrolled salary by (ii) the trailing 30-day closing average of our common stock, rounded up to the nearest whole share. Once an election is made, it runs for the full year 2019 and is irrevocable and the program will automatically terminate on the earlier to occur of January 1, 2020 or the date upon which Limelight's common stock trades on the Nasdaq at $4.00 per share or greater. Participation levels may not be changed after the close of the enrollment period. Once purchased, there is no vesting period for the shares. During 2019, our Chief Executive Officer and two of his direct reports have elected to participate in the program. Each of the three participants elected to receive 50% of their respective salary in stock. As a result of their participation in the program, we will issue 33 shares of common stock and recorded $101 of share based compensation expense during the three months ended March 31, 2019.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2019
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions In July 2006, an aggregate of 39,869,960 shares of Series B Preferred Stock was issued at a purchase price of $3.26 per share to certain accredited investors in a private placement transaction. As a result of this transaction, entities affiliated with Goldman, Sachs & Co., one of the lead underwriters of our initial public offering (IPO), became holders of more than 10% of our common stock. On June 14, 2007, upon the closing of our IPO, all outstanding shares of our Series B Preferred Stock automatically converted into shares of common stock on a 1 -for-1 share basis. Between November 2017 and March 2018, investment partnerships affiliated with Goldman Sachs & Co. LLC and Goldman Sachs Group, Inc. sold 30,272,493 shares that they had acquired upon the conversation of their Series B Preferred Stock at the time of the Company’s IPO in June 2007. As of March 31, 2019 , Goldman, Sachs & Co. owned less than 1% of our outstanding common stock. We had no other material related party transactions during the three months ended March 31, 2019 and 2018.

Operating Leases - Right of Use

Operating Leases - Right of Use Assets and Purchase Commitments	3 Months Ended
	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Operating Leases - Right of Use Assets and Purchase Commitments	Right of Use Assets and Purchase Commitments Right of Use Assets We have various operating leases for office space that expire through 2022. Below is a summary of our right of use assets and liabilities as of March 31, 2019. Right-of-use assets $ 3,012 Lease liability obligations, current $ 1,620 Lease liability obligations, less current portion 1,630 Total lease liability obligations $ 3,250 Weighted-average remaining lease term 2.50 years Weighted-average discount rate 5.25 % During the three months ended March 31, 2019, we recognized approximately $966 in operating lease costs. Operating lease costs of $144 are included in cost of revenue and $822 are included in operating expenses in our consolidated statement of operations. During the three months ended March 31, 2019, operating cash flows from operating leases was $238 . Approximate future minimum lease payments for our right of use assets over the remaining lease periods as of March 31, 2019 , are as follows: Remainder of 2019 $ 1,354 2020 1,310 2021 728 2022 55 2023 — Thereafter — Total minimum payments 3,447 Less: amount representing interest 197 Total $ 3,250 As of March 31, 2019, we have additional operating leases for office space that has not yet commenced of approximately $12.7 million . This lease is expected to commence in August 2019, with a term of approximately 11 years . Purchase Commitments We have long-term commitments for bandwidth usage and co-location with various networks and internet service providers. These commitments did not meet the definition of a ROU asset/lease under ASU No. 2016-02. The following summarizes our minimum commitments for future periods as of March 31, 2019 : Remainder of 2019 $ 20,317 2020 7,790 2021 2,918 2022 496 2023 — Thereafter — Total minimum payments $ 31,521

Concentrations

Concentrations	3 Months Ended
	Mar. 31, 2019
Risks and Uncertainties [Abstract]
Concentrations	Concentrations During the three months ended March 31, 2019 and 2018, respectively, we had one customer, Amazon, who represented 10% or more of our total revenue. Revenue from customers located within the United States, our country of domicile, was $23,976 for the three months ended March 31, 2019 , compared to $30,554 for the three months ended March 31, 2018 . During the three months ended March 31, 2019 , based on customer location, we had three countries, the United States, Japan, and the United Kingdom, that accounted for 10% or more of our total revenue. For the three months ended March 31, 2018, based on customer location, we had two countries, the United States, and the United Kingdom, that accounted for 10% or more of our total revenue.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2019
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Income taxes for the interim periods presented have been included in the accompanying consolidated financial statements on the basis of an estimated annual effective tax rate. Based on an estimated annual effective tax rate and discrete items, income tax expense (benefit) for the three months ended March 31, 2019 and 2018, was $ 124 and $(15) , respectively. Income tax expense (benefit) was different than the statutory income tax rate primarily due to us providing for a valuation allowance on deferred tax assets in certain jurisdictions, and the recording of state and foreign tax expense for the three month periods. We file income tax returns in jurisdictions with varying statutes of limitations. Tax years 2015 through 2018 remain subject to examination by federal tax authorities. Tax years 2014 through 2018 generally remain subject to examination by state tax authorities. As of March 31, 2019 , we are not under any federal or state examination for income taxes. For the three months ended March 31, 2019, there was no impact to income tax expense related to the Global Intangible Low-Taxed Income inclusion (GILTI) as a result of our NOL and valuation allowance position. We do not expect the GILTI to have a material impact on future earnings due to our NOL and valuation allowance position.

Segment Reporting and Geographi

Segment Reporting and Geographic Areas	3 Months Ended
	Mar. 31, 2019
Segment Reporting [Abstract]
Segment Reporting and Geographic Areas	Segment Reporting and Geographic Areas Our chief operating decision maker (our Chief Executive Officer) reviews our financial information presented on a consolidated basis for purposes of allocating resources and evaluating our financial performance. We operate in one industry segment — content delivery and related services and we operate in three geographic areas — Americas, Europe, Middle East, and Africa (EMEA), and Asia Pacific. Revenue by geography is based on the location of the customer from which the revenue is earned. The following table sets forth our revenue by geographic area: Three Months Ended March 31, 2019 2018 Americas $ 25,035 58 % $ 32,578 63 % EMEA 7,265 17 % 11,793 23 % Asia Pacific 10,980 25 % 7,743 15 % Total revenue $ 43,280 100 % $ 52,114 100 % The following table sets forth the individual countries and their respective revenue for those countries whose revenue exceeded 10% of our total revenue: Three Months Ended March 31, Country / Region 2019 2018 United States / Americas 23,976 30,554 United Kingdom / EMEA 5,129 8,969 Japan / Asia Pacific 5,823 4,309 The following table sets forth long-lived assets by geographic area in which the assets are located: March 31, December 31, 2019 2018 Americas $ 22,106 $ 18,349 International 10,890 9,029 Total long-lived assets $ 32,996 $ 27,378

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2019
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements As of March 31, 2019 , and December 31, 2018 , we held certain assets and liabilities that were required to be measured at fair value on a recurring basis. The following is a summary of fair value measurements at March 31, 2019 : Fair Value Measurements at Reporting Date Using Description Total Quoted Prices In Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds (2) $ 1,959 $ 1,959 $ — $ — Certificate of deposit (1) 40 — 40 — Corporate notes and bonds (1) 22,142 — 22,142 — Total assets measured at fair value $ 24,141 $ 1,959 $ 22,182 $ — ____________ (1) Classified in marketable securities (2) Classified in cash and cash equivalents The following is a summary of fair value measurements at December 31, 2018 : Fair Value Measurements at Reporting Date Using Description Total Quoted Prices In Active Markets for Identical Assets Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds (2) $ 752 $ 752 $ — $ — Certificate of deposit (1) 40 — 40 — Corporate notes and bonds (1) 25,083 — 25,083 — Total assets measured at fair value $ 25,875 $ 752 $ 25,123 $ — ____________ (1) Classified in marketable securities (2) Classified in cash and cash equivalents The carrying amount of cash equivalents approximates fair value because their maturity is less than three months. The carrying amount of short-term and long-term marketable securities approximates fair value as the securities are marked to market as of each balance sheet date with any unrealized gains and losses reported in stockholders’ equity. The carrying amount of accounts receivable, accounts payable and accrued liabilities approximates fair value due to the short-term maturity of the amounts.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC. They do not include all of the information and footnotes required by U.S. generally accepted accounting principles (U.S. GAAP) for complete financial statements. Such interim financial information is unaudited but reflects all adjustments that are, in the opinion of management, necessary for the fair presentation of the interim periods presented and of a normal recurring nature. This quarterly report on Form 10-Q should be read in conjunction with our audited financial statements and footnotes included in our annual report on Form 10-K for the fiscal year ended December 31, 2018. All information is presented in thousands, except per share amounts and where specifically noted. The consolidated financial statements include accounts of Limelight and our wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated. In addition, certain other reclassifications have been made to prior year amounts to conform to the current year presentation.
Use of Estimates	Use of Estimates The preparation of the consolidated financial statements and related disclosures in conformity with U.S. GAAP requires management to make judgments, assumptions, and estimates that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results and outcomes may differ from those estimates. The results of operations presented in this quarterly report on Form 10-Q are not necessarily indicative of the results that may be expected for the year ending December 31, 2019, or for any future periods.
Recent Accounting Standards	Recent Accounting Standards Adopted Accounting Standards In February 2016, the FASB issued ASU No. 2016-02, which establishes a right-of-use (ROU) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for most leases. In July 2018, the FASB issued ASU No. 2018-11, which amends the guidance to add a method of adoption whereby the issuer may elect to recognize a cumulative effect adjustment at the beginning of the period of adoption. ASU No. 2018-11 does not require comparative period financial information to be adjusted. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. ASU 2016-02 defines a lease as a contract, or part of a contract, that conveys the right to control the use of identified property, plant or equipment for a period of time in exchange for consideration. To determine whether a contract conveys the right to control the use of the identified asset for a period of time, the customer has to have both (1) the right to obtain substantially all of the economic benefits from the use of the identified asset and (2) the right to direct the use of the identified asset, a contract does not contain an identified asset if the supplier has a substantive right to substitute such asset ("the leasing criteria"). Upon review of our co-location and bandwidth arrangements, we have determined that such arrangements did not meet the leasing criteria, and therefore, were not included in our ROU asset and lease liability obligations on our balance sheet. We have determined that our real estate leases with terms in excess of one year and which do not include an option to purchase the underlying asset, do meet the leasing criteria. On January 1, 2019, we adopted ASU No. 2016-02, applying the package of practical expedients to leases that commenced before the effective date whereby we elected to not reassess the following: (i) whether any expired or existing contracts contain leases; (ii) the lease classification for any expired or existing leases; and (iii) initial direct costs for any existing leases. We elected to apply the transition provisions as of January 1, 2019, the date of adoption, and we recorded lease ROU assets and related liabilities on our balance sheet of $3.6 million related to our operating leases. We have no financing leases. There was no change to our consolidated statements of operations or cash flows. In June 2018, the FASB issued ASU 2018-07, which simplifies several aspects of the accounting for nonemployee share-based payment transactions resulting from expanding the scope of Topic 718, Compensation-Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees. The amendments specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. The amendments also clarify that Topic 718 does not apply to share-based payments used to effectively provide (1) financing to the issuer or (2) awards granted in conjunction with selling goods or services to customers as part of a contract accounted for under Topic 606, Revenue from Contracts with Customers. We adopted this guidance effective January 1, 2019. The adoption of this guidance did not have a material impact on our consolidated financial statements and related disclosures. Recently Issued Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13, which requires measurement and recognition of expected credit losses for financial assets held. This guidance is effective for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The standard is to be applied through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. We do not plan to early adopt this ASU. We are in the process of evaluating the potential impact of adopting this new accounting standard on our consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-04, which simplifies the accounting for goodwill impairment. The updated guidance eliminates Step 2 of the impairment test, which requires entities to calculate the implied fair value of goodwill to measure a goodwill impairment charge. Instead, entities will record an impairment charge based on the excess of a reporting unit’s carrying amount over its fair value, determined in Step 1. This guidance will become effective for us in fiscal years beginning after December 15, 2019, including interim periods within that reporting period. We will adopt this guidance using a prospective approach. Earlier adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We do not plan to early adopt this accounting standard, and we are currently evaluating the impact of this guidance on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, which removes, modifies and adds to the disclosure requirements on fair value measurements in Topic 820. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. This guidance will become effective for us in fiscal years beginning after December 15, 2019, including interim periods within that reporting period. Early adoption is permitted upon issuance of this updated guidance. An entity is permitted to early adopt any removed or modified disclosures upon issuance of this updated guidance and delay adoption of the additional disclosures until their effective date. We do not plan to early adopt this accounting standard, and we are currently evaluating the impact of this guidance on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-15 , to help entities evaluate the accounting for fees paid by a customer in a cloud computing arrangement (hosting arrangement) by providing guidance for determining when the arrangement includes a software license. The amendments align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected by the amendments . This guidance will become effective for us in fiscal years beginning after December 15, 2019. Early adoption is permitted, including adoption in any interim period. We do not plan to early adopt this accounting standard, and we are currently evaluating the impact of this guidance on our consolidated financial statements. Revenue Recognition Revenues are recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. Our customers generally execute contracts with terms of one year or longer, which are referred to as recurring revenue contracts or long-term contracts. These contracts generally allow the customer access to our network and commit the customer to a minimum monthly level of usage with additional charges applicable for actual usage above the monthly minimum commitment, or are entirely usage based. We define usage as customer data sent or received using our content delivery service, or content that is hosted or cached by us at the request or direction of our customers. For contracts that contain minimum monthly commitments, we recognize revenue equal to the greater of the minimum monthly committed amount or actual usage, if actual usage exceeds the monthly committed amount, using the right to invoice practical expedient allowable under Topic 606. For contracts that contain minimum commitments over the contractual term, we estimate an amount of variable consideration by using either the expected value method or the most likely amount method. We include estimates of variable consideration in revenue only when we have a high degree of confidence that revenue will not be reversed in a subsequent reporting period. We believe that the expected value method is the most appropriate estimate of the amount of variable consideration. These customers have entered into contracts with contract terms generally from one to four years. As of March 31, 2019, we have approximately $7,800 of remaining unsatisfied performance obligations. We recognized revenue of approximately $2,700 and $1,000 , respectively, during the three months ended March 31, 2019 and 2018, related to these types of contracts with our customers. We expect to recognize approximately 75% of the remaining unsatisfied performance obligations in 2019, approximately 20% in 2020 and the remaining in 2021. We may charge the customer an installation fee when services are first activated. We do not charge installation fees for contract renewals. Installation fees are not distinct within the context of the overall contractual commitment with the customer to perform our content delivery service and are therefore recognized initially as deferred revenue and recognized as revenue ratably over the estimated life of the customer arrangement. We also derive revenue from services and events sold as discrete, non-recurring events or based solely on usage. For these services, we recognize revenue when control of promised goods or services is transferred to customers at an amount that reflects the consideration to which we expect to be entitled to in exchange for those goods or services. At the inception of a customer contract for service, we make an assessment as to that customer’s ability to pay for the services provided. If we subsequently determine that collection from the customer is not probable, we record an allowance for doubtful accounts and bad debt expense or deferred revenue for that customer’s unpaid invoices and cease recognizing revenue for continued services provided until it is probable that revenue will not be reversed in a subsequent reporting period. Our standard payment terms vary by the type and location of our customer. Leases We determine if an arrangement is a lease at inception. Operating leases are included in ROU assets, and lease liability obligations in our consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liability obligations represent our obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. We have lease agreements with lease and non-lease components and account for such components as a single lease component. As most of our leases do not provide an implicit rate, we estimated our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. We use the implicit rate when readily determinable. The ROU asset also includes any lease payments made and excludes lease incentives and lease direct costs. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense is recognized on a straight-line basis over the lease term. Please refer to Note 16 for additional information. Share-Based Compensation We account for our share-based compensation awards using the fair-value method. The grant date fair value was determined using the Black-Scholes-Merton pricing model. The Black-Scholes-Merton valuation calculation requires us to make key assumptions such as future stock price volatility, expected terms, risk-free rates, and dividend yield. Our expected volatility is derived from our volatility rate as a publicly traded company. The expected term is based on our historical experience. The risk-free interest factor is based on the United States Treasury yield curve in effect at the time of the grant for zero coupon United States Treasury notes with maturities of approximately equal to each grant’s expected term. We have never paid cash dividends and do not currently intend to pay cash dividends, and therefore, we have assumed a 0% dividend yield. We develop an estimate of the number of share-based awards that will be forfeited due to employee turnover. We will continue to use judgment in evaluating the expected term, volatility, and forfeiture rate related to our own share-based awards on a prospective basis, and in incorporating these factors into the model. If our actual experience differs significantly from the assumptions used to compute our share-based compensation cost, or if different assumptions had been used, we may have recorded too much or too little share-based compensation cost. We apply the straight-line attribution method to recognize compensation costs associated with awards that are not subject to graded vesting. For awards that are subject to graded vesting and performance based awards, we recognize compensation costs separately for each vesting tranche. We also estimate when and if performance-based awards will be earned. If an award is not considered probable of being earned, no amount of share-based compensation is recognized. If the award is deemed probable of being earned, related compensation expense is recorded over the estimated service period. To the extent our estimates of awards considered probable of being earned changes, the amount of share-based compensation recognized will also change.
Revenue Recognition	Revenue Recognition Revenues are recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. Our customers generally execute contracts with terms of one year or longer, which are referred to as recurring revenue contracts or long-term contracts. These contracts generally allow the customer access to our network and commit the customer to a minimum monthly level of usage with additional charges applicable for actual usage above the monthly minimum commitment, or are entirely usage based. We define usage as customer data sent or received using our content delivery service, or content that is hosted or cached by us at the request or direction of our customers. For contracts that contain minimum monthly commitments, we recognize revenue equal to the greater of the minimum monthly committed amount or actual usage, if actual usage exceeds the monthly committed amount, using the right to invoice practical expedient allowable under Topic 606. For contracts that contain minimum commitments over the contractual term, we estimate an amount of variable consideration by using either the expected value method or the most likely amount method. We include estimates of variable consideration in revenue only when we have a high degree of confidence that revenue will not be reversed in a subsequent reporting period. We believe that the expected value method is the most appropriate estimate of the amount of variable consideration. These customers have entered into contracts with contract terms generally from one to four years. As of March 31, 2019, we have approximately $7,800 of remaining unsatisfied performance obligations. We recognized revenue of approximately $2,700 and $1,000 , respectively, during the three months ended March 31, 2019 and 2018, related to these types of contracts with our customers. We expect to recognize approximately 75% of the remaining unsatisfied performance obligations in 2019, approximately 20% in 2020 and the remaining in 2021. We may charge the customer an installation fee when services are first activated. We do not charge installation fees for contract renewals. Installation fees are not distinct within the context of the overall contractual commitment with the customer to perform our content delivery service and are therefore recognized initially as deferred revenue and recognized as revenue ratably over the estimated life of the customer arrangement. We also derive revenue from services and events sold as discrete, non-recurring events or based solely on usage. For these services, we recognize revenue when control of promised goods or services is transferred to customers at an amount that reflects the consideration to which we expect to be entitled to in exchange for those goods or services. At the inception of a customer contract for service, we make an assessment as to that customer’s ability to pay for the services provided. If we subsequently determine that collection from the customer is not probable, we record an allowance for doubtful accounts and bad debt expense or deferred revenue for that customer’s unpaid invoices and cease recognizing revenue for continued services provided until it is probable that revenue will not be reversed in a subsequent reporting period. Our standard payment terms vary by the type and location of our customer.
Leases	Leases We determine if an arrangement is a lease at inception. Operating leases are included in ROU assets, and lease liability obligations in our consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liability obligations represent our obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. We have lease agreements with lease and non-lease components and account for such components as a single lease component. As most of our leases do not provide an implicit rate, we estimated our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. We use the implicit rate when readily determinable. The ROU asset also includes any lease payments made and excludes lease incentives and lease direct costs. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense is recognized on a straight-line basis over the lease term.
Share-Based Compensation	Share-Based Compensation We account for our share-based compensation awards using the fair-value method. The grant date fair value was determined using the Black-Scholes-Merton pricing model. The Black-Scholes-Merton valuation calculation requires us to make key assumptions such as future stock price volatility, expected terms, risk-free rates, and dividend yield. Our expected volatility is derived from our volatility rate as a publicly traded company. The expected term is based on our historical experience. The risk-free interest factor is based on the United States Treasury yield curve in effect at the time of the grant for zero coupon United States Treasury notes with maturities of approximately equal to each grant’s expected term. We have never paid cash dividends and do not currently intend to pay cash dividends, and therefore, we have assumed a 0% dividend yield. We develop an estimate of the number of share-based awards that will be forfeited due to employee turnover. We will continue to use judgment in evaluating the expected term, volatility, and forfeiture rate related to our own share-based awards on a prospective basis, and in incorporating these factors into the model. If our actual experience differs significantly from the assumptions used to compute our share-based compensation cost, or if different assumptions had been used, we may have recorded too much or too little share-based compensation cost. We apply the straight-line attribution method to recognize compensation costs associated with awards that are not subject to graded vesting. For awards that are subject to graded vesting and performance based awards, we recognize compensation costs separately for each vesting tranche. We also estimate when and if performance-based awards will be earned. If an award is not considered probable of being earned, no amount of share-based compensation is recognized. If the award is deemed probable of being earned, related compensation expense is recorded over the estimated service period. To the extent our estimates of awards considered probable of being earned changes, the amount of share-based compensation recognized will also change.

Investments in Marketable Sec_2

Investments in Marketable Securities (Tables)	3 Months Ended
	Mar. 31, 2019
Investments, Debt and Equity Securities [Abstract]
Summary of Marketable Securities (Designated as Available-for-Sale)	The following is a summary of marketable securities (designated as available-for-sale) at March 31, 2019 : Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Certificate of deposit $ 40 $ — $ — $ 40 Corporate notes and bonds 22,146 — 4 22,142 Total marketable securities $ 22,186 $ — $ 4 $ 22,182 The following is a summary of marketable securities (designated as available-for-sale) at December 31, 2018 : Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Certificate of deposit $ 40 $ — $ — $ 40 Corporate notes and bonds 25,115 — 32 25,083 Total marketable securities $ 25,155 $ — $ 32 $ 25,123
Amortized Cost and Estimated Fair Value of Marketable Securities (designated as available-for-sale) by maturity	The amortized cost and estimated fair value of marketable securities at December 31, 2018 , by maturity, are shown below: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Available-for-sale securities Due in one year or less $ 25,115 $ — $ 32 $ 25,083 Due after one year and through five years 40 — — 40 $ 25,155 $ — $ 32 $ 25,123 The amortized cost and estimated fair value of marketable securities at March 31, 2019 , by maturity, are shown below: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Available-for-sale securities Due in one year or less $ 20,244 $ — $ 3 $ 20,241 Due after one year and through five years 1,942 — 1 1,941 $ 22,186 $ — $ 4 $ 22,182

Accounts Receivable, net (Table

Accounts Receivable, net (Tables)	3 Months Ended
	Mar. 31, 2019
Receivables [Abstract]
Summary of Accounts Receivable, net	Accounts receivable, net include: March 31, December 31, 2019 2018 Accounts receivable $ 30,576 $ 27,040 Less: credit allowance (190 ) (250 ) Less: allowance for doubtful accounts (881 ) (749 ) Total accounts receivable, net $ 29,505 $ 26,041

Prepaid Expenses and Other Cu_2

Prepaid Expenses and Other Current Assets (Tables)	3 Months Ended
	Mar. 31, 2019
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid Expenses and Other Current Assets	Prepaid expenses and other current assets include: March 31, December 31, 2019 2018 Settlement and patent license receivable $ 2,980 $ 5,960 Prepaid bandwidth and backbone 819 1,395 VAT receivable 2,488 2,022 Prepaid expenses and insurance 2,155 1,816 Vendor deposits and other 3,834 3,596 Total prepaid expenses and other current assets $ 12,276 $ 14,789

Property and Equipment, net (Ta

Property and Equipment, net (Tables)	3 Months Ended
	Mar. 31, 2019
Property, Plant and Equipment [Abstract]
Property and Equipment, net	Property and equipment, net include: March 31, December 31, 2019 2018 Network equipment $ 113,575 $ 105,760 Computer equipment and software 8,552 8,711 Furniture and fixtures 603 703 Leasehold improvements 4,685 4,587 Other equipment 156 156 Total property and equipment 127,571 119,917 Less: accumulated depreciation (94,575 ) (92,539 ) Total property and equipment, net $ 32,996 $ 27,378

Other Current Liabilities (Tabl

Other Current Liabilities (Tables)	3 Months Ended
	Mar. 31, 2019
Other Liabilities Disclosure [Abstract]
Other Current Liabilities	Other current liabilities include: March 31, December 31, 2019 2018 Accrued compensation and benefits $ 6,405 $ 7,528 Accrued cost of revenue 2,681 2,361 Deferred rent — 145 Accrued legal fees 24 22 Other accrued expenses 2,546 2,866 Total other current liabilities $ 11,656 $ 12,922

Net (Loss) Income per Share (T

Net (Loss) Income per Share (Tables)	3 Months Ended
	Mar. 31, 2019
Earnings Per Share [Abstract]
Computation of Basic and Diluted Net Income (Loss) Per Share	The following table sets forth the components used in the computation of basic and diluted net (loss) income per share for the periods indicated (in thousands, except per share data): Three Months Ended March 31, 2019 2018 Net (loss) income $ (8,559 ) $ 149 Basic weighted average outstanding shares of common stock 114,410 110,761 Basic weighted average outstanding shares of common stock 114,410 110,761 Dilutive effect of stock options, restricted stock units, and other equity incentive plans — 8,148 Diluted weighted average outstanding shares of common stock 114,410 118,909 Basic net (loss) income per share $ (0.07 ) $ — Diluted net (loss) income per share: $ (0.07 ) $ —
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	For the three months ended March 31, 2019 and 2018 , respectively, the following potentially dilutive common stock, including awards granted under our equity incentive compensation plans, were excluded from the computation of diluted net (loss) income per share because including them would have been anti-dilutive. Three Months Ended March 31, 2019 2018 Employee stock purchase plan 307 — Stock options 2,056 3,443 Restricted stock units 939 753 3,302 4,196

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	3 Months Ended
	Mar. 31, 2019
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Loss	Changes in the components of accumulated other comprehensive loss, net of tax, for the three months ended March 31, 2019 , was as follows: Unrealized Gains (Losses) on Foreign Available for Currency Sale Securities Total Balance, December 31, 2018 $ (9,992 ) $ (41 ) $ (10,033 ) Other comprehensive income before reclassifications 347 29 376 Amounts reclassified from accumulated other comprehensive loss — — — Net current period other comprehensive income 347 29 376 Balance, March 31, 2019 $ (9,645 ) $ (12 ) $ (9,657 )

Share-Based Compensation (Table

Share-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2019
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Components of Share-based Compensation Expense	The following table summarizes the components of share-based compensation expense included in our consolidated statement of operations: Three Months Ended March 31, 2019 2018 Share-based compensation expense by type: Stock options $ 1,042 $ 1,061 Restricted stock units 2,250 2,166 ESPP 164 140 Total share-based compensation expense $ 3,456 $ 3,367 Share-based compensation expense: Cost of services $ 411 $ 357 General and administrative expense 2,094 1,810 Sales and marketing expense 484 603 Research and development expense 467 597 Total share-based compensation expense $ 3,456 $ 3,367

Operating Leases - Right of U_2

Operating Leases - Right of Use Assets and Purchase Commitments (Tables)	3 Months Ended
	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Summary of Right-of-use Assets and Liabilities	Below is a summary of our right of use assets and liabilities as of March 31, 2019. Right-of-use assets $ 3,012 Lease liability obligations, current $ 1,620 Lease liability obligations, less current portion 1,630 Total lease liability obligations $ 3,250 Weighted-average remaining lease term 2.50 years Weighted-average discount rate 5.25 %
Future Minimum Lease Payments Over Remaining Lease Periods	Approximate future minimum lease payments for our right of use assets over the remaining lease periods as of March 31, 2019 , are as follows: Remainder of 2019 $ 1,354 2020 1,310 2021 728 2022 55 2023 — Thereafter — Total minimum payments 3,447 Less: amount representing interest 197 Total $ 3,250
Minimum Purchase Commitments	The following summarizes our minimum commitments for future periods as of March 31, 2019 : Remainder of 2019 $ 20,317 2020 7,790 2021 2,918 2022 496 2023 — Thereafter — Total minimum payments $ 31,521

Segment Reporting and Geograp_2

Segment Reporting and Geographic Areas (Tables)	3 Months Ended
	Mar. 31, 2019
Segment Reporting [Abstract]
Revenue Earned by Geographic Area	The following table sets forth our revenue by geographic area: Three Months Ended March 31, 2019 2018 Americas $ 25,035 58 % $ 32,578 63 % EMEA 7,265 17 % 11,793 23 % Asia Pacific 10,980 25 % 7,743 15 % Total revenue $ 43,280 100 % $ 52,114 100 %
Schedules of Concentration of Revenue by Country	The following table sets forth the individual countries and their respective revenue for those countries whose revenue exceeded 10% of our total revenue: Three Months Ended March 31, Country / Region 2019 2018 United States / Americas 23,976 30,554 United Kingdom / EMEA 5,129 8,969 Japan / Asia Pacific 5,823 4,309
Long-lived Assets by Geographical Area	The following table sets forth long-lived assets by geographic area in which the assets are located: March 31, December 31, 2019 2018 Americas $ 22,106 $ 18,349 International 10,890 9,029 Total long-lived assets $ 32,996 $ 27,378

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2019
Fair Value Disclosures [Abstract]
Summary of Money Market Funds, Marketable Securities, Other Investment-related Assets and Current Liabilities	The following is a summary of fair value measurements at March 31, 2019 : Fair Value Measurements at Reporting Date Using Description Total Quoted Prices In Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds (2) $ 1,959 $ 1,959 $ — $ — Certificate of deposit (1) 40 — 40 — Corporate notes and bonds (1) 22,142 — 22,142 — Total assets measured at fair value $ 24,141 $ 1,959 $ 22,182 $ — ____________ (1) Classified in marketable securities (2) Classified in cash and cash equivalents The following is a summary of fair value measurements at December 31, 2018 : Fair Value Measurements at Reporting Date Using Description Total Quoted Prices In Active Markets for Identical Assets Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds (2) $ 752 $ 752 $ — $ — Certificate of deposit (1) 40 — 40 — Corporate notes and bonds (1) 25,083 — 25,083 — Total assets measured at fair value $ 25,875 $ 752 $ 25,123 $ — ____________ (1) Classified in marketable securities (2) Classified in cash and cash equivalents

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Jan. 01, 2019	Dec. 31, 2018
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Right-of-use assets	$ 3,012			$ 0
Lease liability	$ 3,250
Contract terms	These customers have entered into contracts with contract terms generally from one to four years.
Committed revenue from minimum commitment contracts	$ 7,800
Minimum commitment contracts revenue recognized in period	$ 2,700	$ 1,000
Expected dividend rate	0.00%
ASU 2018-11
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Right-of-use assets			$ 3,600
Lease liability			$ 3,600

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Performance Obligations (Details)	Mar. 31, 2019
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-04-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining unsatisfied performance obligations to be recognized period	3 years
Percent of remaining unsatisfied performance obligations to be recognized	75.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining unsatisfied performance obligations to be recognized period	1 year
Percent of remaining unsatisfied performance obligations to be recognized	20.00%

Investments in Marketable Sec_3

Investments in Marketable Securities (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 22,186	$ 25,155
Gross Unrealized Gains	0	0
Gross Unrealized Losses	4	32
Estimated Fair Value	22,182	25,123
Certificate of deposit
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	40	40
Gross Unrealized Gains	0	0
Gross Unrealized Losses	0	0
Estimated Fair Value	40	40
Corporate notes and bonds
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	22,146	25,115
Gross Unrealized Gains	0	0
Gross Unrealized Losses	4	32
Estimated Fair Value	$ 22,142	$ 25,083

Investments in Marketable Sec_4

Investments in Marketable Securities (Details 1) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 22,186	$ 25,155
Gross Unrealized Gains	0	0
Gross Unrealized Losses	4	32
Estimated Fair Value	22,182	25,123
Debt securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost, Due in one year or less	20,244	25,115
Amortized Cost, Due after one year and through five years	1,942	40
Amortized Cost	22,186	25,155
Gross Unrealized Gains, Due in one year or less	0	0
Gross Unrealized Gains, Due after one year and through five years	0	0
Gross Unrealized Gains	0	0
Gross Unrealized Losses, Due in one year or less	3	32
Gross Unrealized Losses, Due after one year and through five years	1	0
Gross Unrealized Losses	4	32
Estimated Fair Value, Due in one year or less	20,241	25,083
Estimated Fair Value, Due after one year and through five years	1,941	40
Estimated Fair Value	$ 22,182	$ 25,123

Accounts Receivable, net (Detai

Accounts Receivable, net (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Summary of Accounts Receivable, net
Accounts receivable	$ 30,576	$ 27,040
Less: credit allowance	(190)	(250)
Less: allowance for doubtful accounts	(881)	(749)
Total accounts receivable, net	$ 29,505	$ 26,041

Prepaid Expenses and Other Cu_3

Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Prepaid Expense and Other Assets, Current [Abstract]
Settlement and patent license receivable	$ 2,980	$ 5,960
Prepaid bandwidth and backbone	819	1,395
VAT receivable	2,488	2,022
Prepaid expenses and insurance	2,155	1,816
Vendor deposits and other	3,834	3,596
Total prepaid expenses and other current assets	$ 12,276	$ 14,789

Property and Equipment, net (De

Property and Equipment, net (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Property and equipment, net
Total property and equipment	$ 127,571	$ 119,917
Less: accumulated depreciation	(94,575)	(92,539)
Total property and equipment, net	32,996	27,378
Network equipment
Property and equipment, net
Total property and equipment	113,575	105,760
Computer equipment and software
Property and equipment, net
Total property and equipment	8,552	8,711
Furniture and fixtures
Property and equipment, net
Total property and equipment	603	703
Leasehold improvements
Property and equipment, net
Total property and equipment	4,685	4,587
Other equipment
Property and equipment, net
Total property and equipment	$ 156	$ 156

Property and Equipment, net (_2

Property and Equipment, net (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Property, Plant and Equipment [Abstract]
Operating expense depreciation	$ 245	$ 588

Goodwill (Details Textual)

Goodwill (Details Textual) $ in Thousands	3 Months Ended
	Mar. 31, 2019USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Foreign currency translation adjustment	$ 300

Other Current Liabilities (Deta

Other Current Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Other Liabilities Disclosure [Abstract]
Accrued compensation and benefits	$ 6,405	$ 7,528
Accrued cost of revenue	2,681	2,361
Deferred rent	0
Deferred rent		145
Accrued legal fees	24	22
Other accrued expenses	2,546	2,866
Total other current liabilities	$ 11,656	$ 12,922

Line of Credit (Details)

Line of Credit (Details) - Revolving Credit Facility - Credit Agreement	1 Months Ended	3 Months Ended
	Feb. 28, 2018USD ($)	Mar. 31, 2019USD ($)	Mar. 31, 2018USD ($)	Dec. 31, 2018USD ($)
Line of Credit Facility [Line Items]
Maximum borrowing amount	$ 20,000,000
Borrowing capacity limit, percent of accounts receivable	80.00%
Proceeds from line of credit		$ 0		$ 0
Current borrowing capacity		$ 20,000,000		$ 20,000,000
Increase in interest rate in event of default		3.00%
Interest expense		$ 0	$ 0
Commitment fees amortization		$ 10,000	$ 59,000
Voting stock percentage in foreign subsidiaries		65.00%
Line of credit facility, covenant compliance, minimum cash and revolver availability	$ 10,000,000
Line of credit facility, covenant compliance, minimum cash at lender	$ 5,000,000
Line of credit facility, covenant compliance, adjusted quick ratio	1
Alternative Base Rate
Line of Credit Facility [Line Items]
Variable rate minimum		0.25%

Contingencies (Details)

Contingencies (Details) $ in Thousands	Apr. 09, 2018USD ($)installment_payment	Aug. 01, 2016USD ($)installment_payment	Apr. 30, 2016Patentcounterclaim	Mar. 31, 2019USD ($)	Dec. 28, 2016Patent	Apr. 29, 2016Patent	Feb. 16, 2016Patent	Nov. 30, 2015Patent
Akamai '703 Litigation | Settled Litigation
Loss Contingencies [Line Items]
Provision for litigation | $		$ 54,000
Number of quarterly installment payments for litigation settlement | installment_payment		12
Litigation reserve, remaining amount due | $				$ 4,500
Akamai and XO Communications Litigation | Pending Litigation
Loss Contingencies [Line Items]
Number of company patents infringed								6
Akamai Litigation | Pending Litigation
Loss Contingencies [Line Items]
Number of patents company was infringing						5
Akamai Litigation | Settled Litigation
Loss Contingencies [Line Items]
Number of quarterly installment payments for litigation settlement | installment_payment	5
Period of agreement to not sue	3 years
Legal settlement awarded from other party | $	$ 14,900			$ 2,980
2016 Akamai Litigation | Pending Litigation
Loss Contingencies [Line Items]
Number of company patents infringed			2
Number of patents company was infringing							3
Number of patents company infringed, withdrawn			1
Number of counterclaims | counterclaim			2
Number of additional patents company infringed					3

Net (Loss) Income per Share (D

Net (Loss) Income per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Earnings Per Share [Abstract]
Net (loss) income	$ (8,559)	$ 149
Basic weighted average outstanding shares of common stock (in shares)	114,410	110,761
Dilutive effect of stock options, restricted stock units, and other equity incentive plans (in shares)	0	8,148
Diluted weighted average outstanding shares of common stock (in shares)	114,410	118,909
Basic net (loss) income per share (in dollars per share)	$ (0.07)	$ 0
Diluted net (loss) income per share (in dollars per share)	$ (0.07)	$ 0

Net (Loss) Income per Share -

Net (Loss) Income per Share - Dilutive Common Stock (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded outstanding options and restricted stock units (in shares)	3,302	4,196
Employee stock purchase plan
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded outstanding options and restricted stock units (in shares)	307	0
Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded outstanding options and restricted stock units (in shares)	2,056	3,443
Restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded outstanding options and restricted stock units (in shares)	939	753

Stockholders' Equity (Details)

Stockholders' Equity (Details) - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018	Mar. 14, 2017
Equity, Class of Treasury Stock [Line Items]
Cash paid for purchase of common stock	$ 0	$ 3,800,000
Issuance of preferred stock authorized (in shares)	7,500,000		7,500,000
Employee Stock Purchase Plan
Equity, Class of Treasury Stock [Line Items]
Discount from market price for employees	15.00%
Shares issued (in shares)	0
Common Stock reserved for future options and restricted stock awards (in shares)	34,000
Employee funds held by company for future purchase of shares	$ 841,000
2007 Equity Incentive Plan
Equity, Class of Treasury Stock [Line Items]
Shares authorized for issuance under Restated 2007 Plan (in shares)	10,303,000
2017 Share Repurchase Program
Equity, Class of Treasury Stock [Line Items]
Stock repurchase amount authorized				$ 25,000,000
Shares purchased and canceled (in shares)	0	1,000,000
Cash paid for purchase of common stock		$ 3,800,000
Remaining authorized repurchase amount	$ 21,200,000

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	$ 165,151	$ 144,145
Other comprehensive income	376	467
Ending balance	159,538	144,248
Foreign Currency
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(9,992)
Other comprehensive income before reclassifications	347
Amounts reclassified from accumulated other comprehensive loss	0
Other comprehensive income	347
Ending balance	(9,645)
Unrealized Gains (Losses) on Available for Sale Securities
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(41)
Other comprehensive income before reclassifications	29
Amounts reclassified from accumulated other comprehensive loss	0
Other comprehensive income	29
Ending balance	(12)
Accumulated Other Comprehensive Loss
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(10,033)	(8,328)
Other comprehensive income before reclassifications	376
Amounts reclassified from accumulated other comprehensive loss	0
Other comprehensive income	376
Ending balance	$ (9,657)	$ (7,861)

Share-Based Compensation (Detai

Share-Based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Components of share-based compensation expense
Share-based compensation	$ 3,456	$ 3,367
Cost of services
Components of share-based compensation expense
Share-based compensation	411	357
General and administrative expense
Components of share-based compensation expense
Share-based compensation	2,094	1,810
Sales and marketing expense
Components of share-based compensation expense
Share-based compensation	484	603
Research and development expense
Components of share-based compensation expense
Share-based compensation	467	597
Stock options
Components of share-based compensation expense
Share-based compensation	1,042	1,061
Restricted stock units
Components of share-based compensation expense
Share-based compensation	2,250	2,166
ESPP
Components of share-based compensation expense
Share-based compensation	$ 164	$ 140

Share-Based Compensation (Det_2

Share-Based Compensation (Details Textual) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2019USD ($)Participant$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized share-based compensation expense total	$ 22,598
Share-based compensation expense, remainder of 2019	9,053
Share-based compensation expense, 2020	8,349
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized share-based compensation expense total	7,449
Restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized share-based compensation expense total	$ 15,149
Stock for Compensation Program
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock for compensation program, percentage of compensation, election option one	0.00%
Stock for compensation program, percentage of compensation, election option two	25.00%
Stock for compensation program, percentage of compensation, election option three	50.00%
Stock for compensation program, percentage of compensation, election option four	75.00%
Stock for compansation program, percentage of compensation, election option five	100.00%
Stock for compensation program, minimum price per share to terminate program (in dollars per share) | $ / shares	$ 4
Chief Executive Officer And Direct Reports | Stock for Compensation Program
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock for compensation program, number of participants | Participant	3
Number of shares issued to program participants | shares	33
Stock issued during period, share-based compensation	$ 101

Related Party Transactions (Det

Related Party Transactions (Details) - Goldman, Sachs & Co. Affiliates	Jun. 14, 2007	Jul. 31, 2006$ / sharesshares	Mar. 31, 2018shares	Mar. 31, 2019
Related Party Transaction [Line Items]
Ownership percentage				1.00%
Series B Preferred Stock
Related Party Transaction [Line Items]
Aggregate issuance of Series B Preferred Stock (in shares)		39,869,960
Aggregate issuance of Series B Preferred Stock, purchase price (in dollars per share) | $ / shares		$ 3.26
Preferred Stock conversion ratio	1
Common Stock
Related Party Transaction [Line Items]
Number of shares sold by related party			30,272,493

Operating Leases - Right of U_3

Operating Leases - Right of Use Assets and Purchase Commitments (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Operating Leased Assets [Line Items]
Right-of-use assets	$ 3,012	$ 0
Operating lease liability obligations	1,620	0
Operating lease liability obligations, less current portion	1,630	$ 0
Total lease liability obligations	$ 3,250
Weighted-average remaining lease term	2 years 6 months
Weighted-average discount rate	5.25%
Operating lease costs	$ 966
Operating cash flows from operating leases	238
Cost of Revenue
Operating Leased Assets [Line Items]
Operating lease costs	144
Operating Expenses
Operating Leased Assets [Line Items]
Operating lease costs	$ 822

Operating Leases - Right of U_4

Operating Leases - Right of Use Assets and Purchase Commitments (Details 1) $ in Thousands	3 Months Ended
	Mar. 31, 2019USD ($)
Future minimum lease payments over remaining lease periods
Remainder of 2019	$ 1,354
2020	1,310
2021	728
2022	55
2023	0
Thereafter	0
Total minimum payments	3,447
Less: amount representing interest	197
Total	3,250
Additional right-of-use that has not yet commenced	$ 12,700
Additional right-of-use that has not yet commenced, lease terms	11 years

Operating Leases - Right of U_5

Operating Leases - Right of Use Assets and Purchase Commitments (Details 2) $ in Thousands	Mar. 31, 2019USD ($)
Minimum purchase commitments
Remainder of 2019	$ 20,317
2019	7,790
2020	2,918
2021	496
2022	0
Thereafter	0
Total minimum payments	$ 31,521

Concentrations (Details)

Concentrations (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2019USD ($)customercountry	Mar. 31, 2018USD ($)customercountry
Concentration Risk [Line Items]
Number of customers who represented 10% or more of total revenue | customer	1	1
Revenue	$ 43,280	$ 52,114
Geographic concentration | Sales revenue
Concentration Risk [Line Items]
Number of countries accounting for 10% or more of revenue | country	3	2
United States / Americas | Geographic concentration | Sales revenue
Concentration Risk [Line Items]
Revenue	$ 23,976	$ 30,554

Income Taxes (Details Textual)

Income Taxes (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Income Tax Disclosure [Abstract]
Income tax expense (benefit)	$ 124	$ (15)

Segment Reporting and Geograp_3

Segment Reporting and Geographic Areas (Details Textual)	3 Months Ended
	Mar. 31, 2019SegmentLocation
Segment Reporting [Abstract]
Number of industry segment | Segment	1
Number of geographic areas | Location	3

Segment Reporting and Geograp_4

Segment Reporting and Geographic Areas (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Revenue earned by geographic area
Revenue	$ 43,280	$ 52,114
Americas
Revenue earned by geographic area
Revenue	25,035	32,578
EMEA
Revenue earned by geographic area
Revenue	7,265	11,793
Asia Pacific
Revenue earned by geographic area
Revenue	$ 10,980	$ 7,743
Sales revenue | Geographic concentration
Revenue earned by geographic area
Percent of revenue	100.00%	100.00%
Sales revenue | Geographic concentration | Americas
Revenue earned by geographic area
Percent of revenue	58.00%	63.00%
Sales revenue | Geographic concentration | EMEA
Revenue earned by geographic area
Percent of revenue	17.00%	23.00%
Sales revenue | Geographic concentration | Asia Pacific
Revenue earned by geographic area
Percent of revenue	25.00%	15.00%

Segment Reporting and Geograp_5

Segment Reporting and Geographic Areas Segment Reporting and Geographic Areas (Details 1) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Concentration Risk [Line Items]
Revenue	$ 43,280	$ 52,114
Geographic concentration | Sales revenue | United States / Americas
Concentration Risk [Line Items]
Revenue	23,976	30,554
Geographic concentration | Sales revenue | United Kingdom / EMEA
Concentration Risk [Line Items]
Revenue	5,129	8,969
Geographic concentration | Sales revenue | Japan / Asia Pacific
Concentration Risk [Line Items]
Revenue	$ 5,823	$ 4,309

Segment Reporting and Geograp_6

Segment Reporting and Geographic Areas (Details 2) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Long-lived assets by geographical area
Long-lived assets	$ 32,996	$ 27,378
Americas
Long-lived assets by geographical area
Long-lived assets	22,106	18,349
International
Long-lived assets by geographical area
Long-lived assets	$ 10,890	$ 9,029

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Recurring basis - USD ($) $ in Thousands	Mar. 31, 2019		Dec. 31, 2018
Assets:
Total assets measured at fair value	$ 24,141		$ 25,875
Money market funds
Assets:
Total assets measured at fair value	1,959	[1]	752	[2]
Certificate of deposit
Assets:
Total assets measured at fair value	40	[3]	40	[4]
Corporate notes and bonds
Assets:
Total assets measured at fair value	22,142	[3]	25,083	[4]
Quoted Prices In Active Markets for Identical Assets (Level 1)
Assets:
Total assets measured at fair value	1,959		752
Quoted Prices In Active Markets for Identical Assets (Level 1) | Money market funds
Assets:
Total assets measured at fair value	1,959	[1]	752	[2]
Quoted Prices In Active Markets for Identical Assets (Level 1) | Certificate of deposit
Assets:
Total assets measured at fair value	0	[3]	0	[4]
Quoted Prices In Active Markets for Identical Assets (Level 1) | Corporate notes and bonds
Assets:
Total assets measured at fair value	0	[3]	0	[4]
Significant Other Observable Inputs (Level 2)
Assets:
Total assets measured at fair value	22,182		25,123
Significant Other Observable Inputs (Level 2) | Money market funds
Assets:
Total assets measured at fair value	0	[1]	0	[2]
Significant Other Observable Inputs (Level 2) | Certificate of deposit
Assets:
Total assets measured at fair value	40	[3]	40	[4]
Significant Other Observable Inputs (Level 2) | Corporate notes and bonds
Assets:
Total assets measured at fair value	22,142	[3]	25,083	[4]
Significant Unobservable Inputs (Level 3)
Assets:
Total assets measured at fair value	0		0
Significant Unobservable Inputs (Level 3) | Money market funds
Assets:
Total assets measured at fair value	0	[1]	0	[2]
Significant Unobservable Inputs (Level 3) | Certificate of deposit
Assets:
Total assets measured at fair value	0	[3]	0	[4]
Significant Unobservable Inputs (Level 3) | Corporate notes and bonds
Assets:
Total assets measured at fair value	$ 0	[3]	$ 0	[4]
[1]	Classified in cash and cash equivalents
[2]	Classified in cash and cash equivalents
[3]	Classified in marketable securities
[4]	Classified in marketable securities