Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2020 | May 05, 2020 | |
Entity Listings [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-38897 | |
Entity Registrant Name | FASTLY, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 27-5411834 | |
Entity Address, Address Line One | 475 Brannan Street, Suite 300 | |
Entity Address, City or Town | San Francisco | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94107 | |
City Area Code | 844 | |
Local Phone Number | 432-7859 | |
Title of 12(b) Security | Class A Common Stock, $0.00002 par value | |
Trading Symbol | FSLY | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0001517413 | |
Current Fiscal Year End Date | --03-31 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Common Class A | ||
Entity Listings [Line Items] | ||
Entity Common Stock, Shares Outstanding | 72,700,000 | |
Common Class B | ||
Entity Listings [Line Items] | ||
Entity Common Stock, Shares Outstanding | 23,600,000 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 22,501 | $ 16,142 |
Marketable securities | 94,084 | 114,967 |
Accounts receivable, net of allowance for doubtful accounts of $1,821 and $1,816 as of March 31, 2020 and December 31, 2019, respectively | 43,017 | 37,136 |
Restricted cash | 70,087 | 70,087 |
Prepaid expenses and other current assets | 12,139 | 10,991 |
Total current assets | 241,828 | 249,323 |
Property and equipment, net | 69,069 | 60,037 |
Goodwill | 348 | 372 |
Intangible assets, net | 1,089 | 1,125 |
Other assets | 11,512 | 10,112 |
Total assets | 323,846 | 320,969 |
Current liabilities: | ||
Accounts payable | 9,457 | 4,602 |
Accrued expenses | 20,218 | 19,878 |
Current portion of long-term debt | 5,291 | 4,472 |
Other current liabilities | 5,430 | 8,169 |
Total current liabilities | 40,396 | 37,121 |
Long-term debt, less current portion | 26,043 | 25,158 |
Other long-term liabilities | 1,357 | 1,038 |
Total liabilities | 67,796 | 63,317 |
Commitments and contingencies (Note 9) | ||
Stockholders’ equity: | ||
Class A and Class B common stock | 2 | 2 |
Additional paid-in capital | 459,360 | 449,463 |
Accumulated other comprehensive income | 687 | 196 |
Accumulated deficit | (203,999) | (192,009) |
Total stockholders’ equity | 256,050 | 257,652 |
Total liabilities and stockholders’ equity | $ 323,846 | $ 320,969 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 1,821 | $ 1,816 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Income Statement [Abstract] | ||
Revenue | $ 62,924 | $ 45,556 |
Cost of revenue | 27,265 | 19,718 |
Gross profit | 35,659 | 25,838 |
Operating expenses: | ||
Research and development | 14,298 | 10,176 |
Sales and marketing | 19,168 | 15,039 |
General and administrative | 14,169 | 8,700 |
Total operating expenses | 47,635 | 33,915 |
Loss from operations | (11,976) | (8,077) |
Interest income | 719 | 416 |
Interest expense | (316) | (1,235) |
Other income (expense), net | 402 | (776) |
Loss before income taxes | (11,171) | (9,672) |
Income taxes | 819 | 55 |
Net loss | $ (11,990) | $ (9,727) |
Net loss per share attributable to common stockholders, basic and diluted (in USD per share) | $ (0.13) | $ (0.38) |
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted (in shares) | 95,401 | 25,290 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Statement of Other Comprehensive Income [Abstract] | ||
Net loss | $ (11,990) | $ (9,727) |
Other comprehensive income: | ||
Foreign currency translation adjustment | 13 | 27 |
Income on investments in available-for-sale-securities | 478 | 29 |
Total other comprehensive income | 491 | 56 |
Comprehensive loss | $ (11,499) | $ (9,671) |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS’ EQUITY (DEFICIT) - USD ($) $ in Thousands | Total | Common Class B | Convertible Preferred Stock | Common Stock | Common StockCommon Class A | Common StockCommon Class B | Additional Paid-in Capital | Treasury Stock | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit |
Convertible Preferred Stock, beginning balance (in shares) at Dec. 31, 2018 | 53,630,213 | |||||||||
Convertible Preferred Stock, beginning balance at Dec. 31, 2018 | $ 219,584 | |||||||||
Convertible Preferred Stock, ending balance (in shares) at Mar. 31, 2019 | 53,630,213 | |||||||||
Convertible Preferred Stock, ending balance at Mar. 31, 2019 | $ 219,584 | |||||||||
Beginning balance (in shares) at Dec. 31, 2018 | 25,025,836 | |||||||||
Beginning balance at Dec. 31, 2018 | $ (131,927) | $ 1 | $ 16,403 | $ (2,109) | $ (36) | $ (146,186) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Exercise of stock options (in shares) | 449,751 | |||||||||
Exercise of stock options | 639 | 639 | ||||||||
Vesting of early exercised stock options (in shares) | 40,524 | |||||||||
Vesting of early exercised stock options | 155 | 155 | ||||||||
Stock-based compensation | 1,467 | 1,467 | ||||||||
Repayment of stockholder note (in shares) | 5,297 | |||||||||
Repayment of stockholder note | 12 | 12 | ||||||||
Net loss | (9,727) | (9,727) | ||||||||
Other comprehensive income | 56 | 56 | ||||||||
Ending balance (in shares) at Mar. 31, 2019 | 25,521,408 | |||||||||
Ending balance at Mar. 31, 2019 | (133,598) | $ 1 | 18,676 | $ (2,109) | 20 | (150,186) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Impact of change in accounting policy | $ 5,727 | |||||||||
Convertible Preferred Stock, beginning balance (in shares) at Dec. 31, 2019 | 0 | |||||||||
Convertible Preferred Stock, ending balance (in shares) at Mar. 31, 2020 | 0 | |||||||||
Beginning balance (in shares) at Dec. 31, 2019 | 60,954,694 | 33,863,021 | ||||||||
Beginning balance at Dec. 31, 2019 | $ 257,652 | $ 1 | $ 1 | 449,463 | 196 | (192,009) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Exercise of stock options (in shares) | 1,107,000 | 1,106,688 | 0 | |||||||
Exercise of stock options | $ 3,174 | 3,174 | ||||||||
Vesting of early exercised stock options (in shares) | 36,590 | |||||||||
Vesting of early exercised stock options | 146 | 146 | ||||||||
Stock-based compensation | 6,577 | 6,577 | ||||||||
Conversion of Class B to Class A Stock (in shares) | 53,600,000 | 9,727,897 | 9,727,897 | |||||||
Net loss | (11,990) | (11,990) | ||||||||
Other comprehensive income | 491 | 491 | ||||||||
Ending balance (in shares) at Mar. 31, 2020 | 71,789,279 | 24,171,714 | ||||||||
Ending balance at Mar. 31, 2020 | 256,050 | $ 1 | $ 1 | $ 459,360 | $ 687 | $ (203,999) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Impact of change in accounting policy | $ 0 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cash flows from operating activities: | ||
Net loss | $ (11,990) | $ (9,727) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 4,715 | 3,738 |
Amortization of deferred rent | 204 | 17 |
Amortization of debt issuance costs | 19 | 159 |
Stock-based compensation | 6,329 | 1,467 |
Provision for doubtful accounts | 150 | 602 |
Change in fair value of preferred stock warrant liabilities | 0 | 706 |
Other adjustments | (39) | (224) |
Interest paid on capital leases | (119) | (77) |
Loss on disposals of property and equipment | 0 | 36 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (6,031) | (4,586) |
Prepaid expenses and other current assets | (1,148) | (931) |
Other assets | (1,400) | (1,860) |
Accounts payable | 3,112 | 1,686 |
Accrued expenses | (1,495) | (507) |
Other liabilities | 507 | (582) |
Net cash used in operating activities | (7,186) | (10,083) |
Cash flows from investing activities: | ||
Purchases of marketable securities | 0 | (20,088) |
Sales of marketable securities | 0 | 3,578 |
Maturities of marketable securities | 21,400 | 17,700 |
Purchases of property and equipment | (10,221) | (4,025) |
Capitalized internal-use software | (1,437) | (759) |
Net cash provided by (used in) investing activities | 9,742 | (3,594) |
Cash flows from financing activities: | ||
Repayments of notes payable | 0 | (2,488) |
Repayments of capital leases | (1,541) | (336) |
Proceeds from employee stock purchase plan | 2,133 | 0 |
Proceeds from exercise of vested stock options | 3,174 | 639 |
Proceeds from early exercise of stock options | 0 | 250 |
Proceeds from payment of stockholder note | 0 | 12 |
Net cash provided by (used in) financing activities | 3,766 | (1,923) |
Effects of exchange rate changes on cash, cash equivalents, and restricted cash | 37 | (8) |
Net increase in cash, cash equivalents, and restricted cash | 6,359 | (15,608) |
Cash, cash equivalents, and restricted cash at beginning of period | 86,229 | 36,963 |
Cash, cash equivalents, and restricted cash at end of period | 92,588 | 21,355 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | 155 | 1,446 |
Cash paid for income taxes, net of refunds received | 814 | 2 |
Property and equipment additions not yet paid in cash | 5,628 | 32 |
Vesting of early-exercised stock options | 146 | 155 |
Capital lease outstanding from current year addition | 3,226 | 4,082 |
Stock-based compensation capitalized to internal-use software | 248 | 0 |
Reconciliation of cash, cash equivalents, and restricted cash as shown in the statements of cash flows | ||
Total cash, cash equivalents, and restricted cash | $ 92,588 | $ 21,355 |
Nature of Business
Nature of Business | 3 Months Ended |
Mar. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Business | Nature of Business Fastly, Inc. has built an edge cloud platform that can process, serve, and secure its customer’s applications as close to their end users as possible. As of March 31, 2020 , our edge network spans 72 Points-of-Presence ("POPs") across 55 markets around the world. We were incorporated in Delaware in 2011 and are headquartered in San Francisco, California. As used herein, "Fastly," "we," "our," "the Company," and similar terms include Fastly, Inc. and its subsidiaries, unless the context indicates otherwise. Stock Split On May 3, 2019, we implemented a 1-for- 2 reverse stock split of our stock. All shares of common stock, stock-based instruments, and per-share data included in these financial statements give effect to the stock split and the changes in authorized shares have been adjusted retroactively for all periods presented. Initial Public Offering ("IPO") On May 21, 2019 we completed an IPO in which we sold 12,937,500 shares of our newly authorized Class A common stock, which included 1,687,500 shares sold pursuant to the exercise by the underwriters of an option to purchase additional shares, at the public offering price of $16.00 per share. We received net proceeds of $192.5 million , after deducting underwriting discounts and commissions, from sales of our shares in the IPO. The net proceeds include additional proceeds of $25.1 million , net of underwriters' discounts and commissions, from the exercise of the underwriters' option to purchase an additional 1,687,500 shares of our Class A common stock. Prior to the closing of the IPO, all shares of common stock then outstanding were reclassified as Class B common stock. Immediately upon the closing of the IPO, all shares of convertible preferred stock then outstanding were converted into 53,630,213 shares of Class B common stock on a one |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation The interim unaudited condensed consolidated financial statements and accompanying notes have been prepared in accordance with United States generally accepted accounting principles ("U.S. GAAP") along with instructions to Form 10-Q and Article 10 of Securities and Exchange Commission ("SEC") Regulation S-X. Certain changes in presentation have been made to conform the prior period presentation to the current period reporting. We have made certain presentation changes to distinguish and disclose as separate line items, the sales proceeds from marketable securities and the sales proceeds from our maturities of marketable securities in the Condensed Consolidated Statements of Cash Flows. We have also made certain presentation changes to distinguish and disclose as separate line items, the cash flows from purchases of property and equipment from the cash flows associated with capitalized internal-use software in the Condensed Consolidated Statements of Cash Flows. Principles of Consolidation The accompanying interim condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. Unaudited Interim Financial Statements The accompanying interim condensed consolidated balance sheet as of March 31, 2020 , the related interim condensed consolidated statements of operations, the condensed consolidated statements of comprehensive loss, and the condensed consolidated statements of convertible preferred stock and stockholders' equity (deficit) for the three months ended March 31, 2020 and 2019 , the condensed consolidated statements of cash flows for the three months ended March 31, 2020 and 2019 , and the related footnote disclosures are unaudited. The unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. GAAP. In management’s opinion, the unaudited financial statements have been prepared on the same basis as the audited financial statements and include all adjustments, which include only normal recurring adjustments necessary for the fair presentation of our financial position as of March 31, 2020 . The results for the three months ended March 31, 2020 are not necessarily indicative of the results expected for the full fiscal year or any other periods. Use of Estimates The preparation of our condensed consolidated financial statements requires us to make estimates, judgments, and assumptions that affect the reported amounts of assets, liabilities, revenue, costs and expenses, and related disclosures. Actual results and outcomes could differ significantly from our estimates, judgments, and assumptions. Significant estimates, judgments, and assumptions used in these financial statements include, but are not limited to, those related to revenue, accounts receivable and related reserves, useful lives and realizability of long-lived assets, income tax reserves, and accounting for stock-based compensation. Estimates are periodically reviewed in light of changes in circumstances, facts, and experience. The effects of material revisions in estimates are reflected in the condensed consolidated financial statements in the period of change and prospectively from the date of the change in estimate.The ongoing global COVID-19 pandemic has impacted many operational aspects of our business and may continue to do so in the future. We assessed the impact that COVID-19 had on our results of operations, including, but not limited to an assessment of our allowance for doubtful accounts, the carrying value of short-term and long-term investments, the carrying value of goodwill and other long-lived assets, and the impact to revenue recognition and cost of revenues. While the COVID-19 pandemic has not had a material adverse impact on our financial operations to date, the future impacts of the pandemic and any resulting economic impact are largely unknown and rapidly evolving. We will continue to actively monitor the impact that COVID-19 has on the results of our business operations, and may make decisions required by federal, state or local authorities, or that are determined to be in the best interests of our employees, customers, partners, suppliers and stockholders. As a result our estimates and judgments may change materially as new events occur or additional information becomes available to us. Concentrations of Credit Risk Financial instruments that potentially subject us to significant concentration of credit risk consist primarily of cash, cash equivalents, marketable securities, and accounts receivable. The primary focus of our investment strategy is to preserve capital and meet liquidity requirements. Our investment policy addresses the level of credit exposure by limiting the concentration in any one corporate issuer or sector and establishing a minimum allowable credit rating. To manage the risk exposure, we invest cash equivalents and marketable securities in a variety of fixed income securities, including government and investment-grade debt securities and money market funds. We place our cash primarily in checking and money market accounts with reputable financial institutions. Deposits held with these financial institutions may exceed the amount of insurance provided on such deposits, if any. Concentrations of credit risk with respect to accounts receivable are primarily limited to certain customers to which we make substantial sales. Our customer base consists of a large number of geographically dispersed customers diversified across several industries. To reduce risk, we routinely assess the financial strength of our customers. Based on such assessments, we believe that our accounts receivable credit risk exposure is limited. One customer accounted for 10.5% of revenue for the three months ended March 31, 2020 , and 14.6% of the total accounts receivable balance as of March 31, 2020 . No customer accounted for more than 10% of revenue for the three months ended March 31, 2019 , or more than 10% of the total accounts receivable balance as of December 31, 2019 . Significant Accounting Policies There have been no material changes to our significant accounting policies as compared to those described in “Note 2 – Summary of Significant Accounting Policies” of our Annual Report on Form 10-K for the fiscal year ended December 31, 2019. New Accounting Pronouncements to be Adopted We are an emerging growth company as defined in Jumpstart Our Business Startups Act of 2012 ("JOBS Act"). For as long as we continue to be an emerging growth company, we intend to take advantage of certain exemptions from various public company reporting requirements, including delaying adoption of new or revised accounting standards until those standards apply to private companies. In the event that we no longer qualify as an emerging growth company, we will no longer be permitted to use these reporting exemptions. In February 2016, the FASB issued new guidance, Accounting Standard Update No. 2016-02, Leases (Topic 842) ("ASU 2016-02"), which establishes the principles to report transparent and economically neutral information about the assets and liabilities that arise from leases. Accordingly, this new standard introduces a lessee model that brings most operating leases on the balance sheet and also aligns certain of the underlying principles of the new lessor model with those in the new revenue recognition standard. We are currently evaluating the appropriate transition method and impact of this guidance on our condensed consolidated financial statements and related disclosures. We expect the the standard to be effective for our interim and annual periods beginning after December 15, 2020. In June 2016, FASB issued new guidance, ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which introduces a new methodology for accounting for credit losses on financial instruments, including available-for-sale debt securities. The guidance establishes a new “expected loss model” that requires entities to estimate current expected credit losses on financial instruments by using all practical and relevant information. Any expected credit losses are to be reflected as allowances rather than reductions in the amortized cost of available-for-sale debt securities. We are currently evaluating the impact of this guidance on our condensed consolidated financial statements and related disclosures. We expect the the standard to be effective for our interim and annual periods beginning after December 15, 2020. In August 2018, the FASB issued Accounting Standards Update No. 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (ASC 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement ("ASU 2018-15"). This guidance provides that implementation costs be evaluated for capitalization using the same criteria as that used for internal-use software development costs, with amortization expense being recorded in the same income statement expense line as the hosted service costs and over the expected term of the hosting arrangement. We are currently evaluating the impact of this guidance on our condensed consolidated financial statements and related disclosures. We expect the the standard to be effective for our interim and annual periods beginning after December 15, 2020. On December 18, 2019, the FASB released ASU 2019-12 which affects general principles within Topic 740, Income Taxes. The amendments of ASU 2019-12 are meant to simplify and reduce the cost of accounting for income taxes. The FASB has stated that the ASU is being issued as part of its Simplification Initiative, which is meant to reduce complexity in accounting standards by improving certain areas of generally accepted accounting principles (GAAP) without compromising information provided to users of financial statements. We are currently evaluating the impact of this guidance on our condensed consolidated financial statements and related disclosures. We expect the the standard to be effective for our interim and annual periods beginning after December 15, 2020. |
Revenue
Revenue | 3 Months Ended |
Mar. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Revenue recognition Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration we expect to receive in exchange for those products or services. We enter into contracts that can include various combinations of products and services, each of which are distinct and accounted for as separate performance obligations. Revenue is recognized net of any taxes collected from customers, which are subsequently remitted to governmental authorities. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account in Topic 606. Our contracts with customers often include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. For contracts with multiple performance obligations, we allocate the contract transaction price to each performance obligation using our estimate of the standalone selling price ("SSP") of each distinct good or service in the contract. Judgment is required to determine the SSP for each distinct performance obligation. We analyze separate sales of our products and services as a basis for estimating the SSP of our products and services. We then use that SSP as the basis for allocating the transaction price when our product and services are sold together in a contract with multiple performance obligations. In instances where SSP is not directly observable, such as when we do not sell the product or service separately, we determine the SSP using information that may include market conditions and other observable inputs. We typically have more than one SSP for individual products and services due to the stratification of those products and services by customers and circumstances. In these instances, we may use information, such geographic region and distribution channel, in determining the SSP. The transaction price in a contract is typically equal to the minimum commit price in the contract less any discounts provided. Because our typical contracts represent distinct services delivered over time with the same pattern of transfer to the customer, usage-based consideration primarily related to actual consumption over the minimum commit levels is allocated to the period to which it relates. The amount of consideration recognized for usage above the minimum commit price is limited to the amount we expect to be entitled to receive in exchange for providing services. We have elected to apply the practical expedient for estimating and disclosing the variable consideration when variable consideration is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied promise to transfer a distinct good or service that forms part of a single performance obligation from our remaining performance obligations under these contracts. Performance obligations represent stand-ready obligations that are satisfied over time as the customer simultaneously receives and consumes the benefits provided by us. These obligations can be content delivery, security, professional services, support, edge cloud platform services, and others. Accordingly, our revenue is recognized over time, consistent with the pattern of benefit provided to the customer over the term of the agreement. At times, customers may request changes that either amend, replace, or cancel existing contracts. Judgment is required to determine whether the specific facts and circumstances within the contracts should be accounted for as a separate contract or as a modification. Nature of products and services We primarily derive revenue from the sale of services to customers executing contracts in which the standard contract term is one year, although terms may vary by contract. Most of our contracts are non-cancelable over the contractual term. These contracts commit the customer to a minimum monthly level of usage and specify the rate at which the customer must pay for actual usage above the monthly minimum. Revenue by geography is based on the billing address of the customer. The following table presents our net revenue by geographic region: Three months ended March 31, 2020 2019 (in thousands) United States $ 41,008 $ 33,422 All other countries 21,916 12,134 Total revenue $ 62,924 $ 45,556 The majority of our revenue is derived from enterprise customers, which are defined as customers with revenue in excess of $100,000 over the previous 12-month period. The following table presents our net revenue for enterprise and non-enterprise customers: Three months ended March 31, 2020 2019 (in thousands) Enterprise customers $ 55,806 $ 39,044 Non-enterprise customers 7,118 6,512 Total revenue $ 62,924 $ 45,556 Contract balances The timing of revenue recognition may differ from the timing of invoicing to customers. We have an unconditional right to consideration when we invoice our customers and record a receivable. We record a contract asset when revenue is recognized prior to invoicing, or a contract liability (deferred revenue) when revenue is recognized subsequent to invoicing. Deferred revenue includes amounts billed to customers for which revenue has not been recognized and consists of the unearned portions of edge cloud platform usage. Our payment terms and conditions vary by contract type, but our standard terms are that payments are due within 15 days from the date of invoice. The following tables present our contract assets, contract liabilities, and certain information related to these balances as of and for the three months ended March 31, 2020, as of December 31, 2019, and for the three months ended March 31, 2019: As of March 31, 2020 As of December 31, 2019 (in thousands) Contract assets $ 305 $ 271 Contract liabilities $ 852 $ 317 Three months ended March 31, 2020 2019 (in thousands) Revenue recognized in the period from: Amounts included in contract liability at the beginning of the period $ 178 $ 936 Remaining performance obligations As of March 31, 2020 , we had $71.0 million of remaining performance obligations, which includes deferred revenue and amounts that will be invoiced and recognized in future periods. We apply the practical expedient of ASC 606, which gives us the optional exemption from disclosing certain information about our remaining performance obligations for our service contracts for which the original contract duration is one year or less, such as the aggregate transaction price allocated to the performance obligations that are unsatisfied (or partially unsatisfied) as of the end of the reporting period. The typical contract term is one year, although terms may vary by contract. We expect to recognize 88% of this balance over the next 12 months and the remainder within the following year. Costs to obtain a contract We capitalize incremental costs associated with obtaining customer contracts, specifically for sales commissions. These costs are deferred on our Condensed Consolidated Balance Sheets and amortized over the expected period of benefit on a straight-line basis. Based on the nature of our unique technology and services, the rate at which we continually enhance and update our technology, and our historical customer retention, the expected period of benefit is determined to be approximately five years . Amortization is recorded within the sales and marketing line item on the accompanying Condensed Consolidated Statements of Operations. The incremental costs associated with obtaining customer contracts, the majority of which are deferred commissions, are included in other assets on the accompanying Condensed Consolidated Balance Sheets. As of March 31, 2020 and December 31, 2019 , our costs to obtain contracts were as follows: As of March 31, 2020 As of December 31, 2019 (in thousands) Deferred commissions $ 7,944 $ 6,804 During the three months ended March 31, 2020 and 2019 , we recognized $0.7 million and $0.5 million |
Investments and Fair Value Meas
Investments and Fair Value Measurements | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Investments and Fair Value Measurements | Investments and Fair Value Measurements Our total cash, cash equivalents and marketable securities consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Cash and cash equivalents: Cash $ 8,503 $ 11,623 Money market funds 13,998 2,020 Commercial paper — 2,499 Total cash and cash equivalents $ 22,501 $ 16,142 Marketable securities: Corporate notes and bonds $ 9,024 $ 17,470 Commercial paper 2,498 5,481 U.S. Treasury securities 68,713 78,160 Asset-backed securities 13,849 13,856 Total marketable securities $ 94,084 $ 114,967 Available-for-Sale Investments The following table summarizes adjusted cost, gross unrealized gains and losses, and fair value related to available-for-sale securities classified as marketable securities on the accompanying Condensed Consolidated Balance Sheets as of March 31, 2020 and December 31, 2019 : As of March 31, 2020 Amortized Gross Gross Fair (in thousands) Corporate notes and bonds $ 9,051 $ — $ (27 ) $ 9,024 Commercial paper 2,498 — — 2,498 U.S. Treasury securities 68,106 607 — 68,713 Asset-backed securities 13,854 — (5 ) 13,849 Total available-for-sale investments $ 93,509 $ 607 $ (32 ) $ 94,084 As of December 31, 2019 Amortized Cost Gross Unrealized Gain Gross Unrealized Loss Fair Value (in thousands) Corporate notes and bonds $ 17,462 $ 9 $ (1 ) $ 17,470 Commercial paper 5,481 — — 5,481 U.S. Treasury securities 78,075 85 — 78,160 Asset-backed securities 13,852 4 — 13,856 Total available-for-sale investments $ 114,870 $ 98 $ (1 ) $ 114,967 The majority of our securities classified as available-for-sale as of March 31, 2020 have contractual maturities of one year or less. Certain securities held and classified as available-for-sale as of March 31, 2020 have contractual maturities greater than one year; however, we do not intend to hold these securities to maturity. Consistent with our intentions to hold the securities for less than 12 months we classify all securities as short-term. As of December 31, 2019 , all securities classified as available-for-sale had contractual maturities of one year or less. There were no securities in a continuous loss position for 12 months or longer as of March 31, 2020 and December 31, 2019 . Investments are reviewed periodically to identify possible other-than-temporary impairments. No impairment loss has been recorded on the securities included in the tables above, as we believe that the decrease in fair value of these securities is temporary. Fair Value of Financial Instruments For certain of our financial instruments, including cash held in banks, accounts receivable, and accounts payable, the carrying amounts approximate fair value due to their short maturities, and are therefore excluded from the fair value tables below. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There is a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: Level 1—Observable inputs such as quoted prices in active markets for identical assets or liabilities; Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3—Unobservable inputs that are supported by little or no market activity, which require management judgment or estimation. We measure our cash equivalents, marketable securities, and restricted cash at fair value. We classify our cash equivalents, marketable securities and restricted cash within Level 1 or Level 2 because we value these investments using quoted market prices or alternative pricing sources and models utilizing market observable inputs. The fair value of our Level 1 financial assets is based on quoted market prices of the identical underlying security. The fair value of our Level 2 financial assets is based on inputs that are directly or indirectly observable in the market, including the readily available pricing sources for the identical underlying security that may not be actively traded. Financial assets and liabilities measured and recorded at fair value on a recurring basis consisted of the following types of instruments: As of March 31, 2020 Level 1 Level 2 Level 3 Total (in thousands) Cash equivalents: Money market funds $ 13,998 $ — $ — $ 13,998 Total cash equivalents 13,998 — — 13,998 Marketable securities: Corporate notes and bonds — 9,024 — 9,024 Commercial paper — 2,498 — 2,498 U.S. Treasury securities — 68,713 — 68,713 Asset-backed securities — 13,849 — 13,849 Total marketable securities — 94,084 — 94,084 Restricted cash: Money market funds 70,087 — — 70,087 Total restricted cash 70,087 — — 70,087 Total financial assets $ 84,085 $ 94,084 $ — $ 178,169 As of December 31, 2019 Level 1 Level 2 Level 3 Total (in thousands) Cash equivalents: Money market funds $ 2,020 $ — $ — $ 2,020 U.S. Treasury securities — 2,499 — 2,499 Total cash equivalents 2,020 2,499 — 4,519 Marketable securities: Corporate notes and bonds — 17,470 — 17,470 Commercial paper — 5,481 — 5,481 U.S. Treasury securities — 78,160 — 78,160 Asset-backed securities — 13,856 — 13,856 Total marketable securities — 114,967 — 114,967 Restricted cash: Money market funds 70,087 — — 70,087 Total restricted cash 70,087 — — 70,087 Total financial assets $ 72,107 $ 117,466 $ — $ 189,573 There were no transfers of assets and liabilities measured at fair value between Level 1 and Level 2, or between Level 2 and Level 3, during the three months ended March 31, 2020 and 2019 . |
Balance Sheet Information
Balance Sheet Information | 3 Months Ended |
Mar. 31, 2020 | |
Balance Sheet Related Disclosures [Abstract] | |
Balance Sheet Information | Balance Sheet Information Property and equipment, net Property and equipment, net consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Computer and networking equipment $ 101,593 $ 89,830 Leasehold improvements 3,278 3,285 Furniture and fixtures 679 681 Office equipment 616 579 Internal-use software 15,586 13,901 Property and equipment, gross $ 121,752 $ 108,276 Accumulated depreciation and amortization (52,683 ) (48,239 ) Property and equipment, net $ 69,069 $ 60,037 Depreciation and amortization expense on property and equipment for the three months ended March 31, 2020 and 2019 was approximately $4.7 million and $3.7 million , respectively. Included in these amounts was amortization expense for capitalized internal-use software costs of approximately $0.6 million and $0.8 million for the three months ended March 31, 2020 and 2019 , respectively. As of March 31, 2020 and December 31, 2019 , the unamortized balance of capitalized internal-use software costs on our Condensed Consolidated Balance Sheets was approximately $9.6 million and $8.5 million , respectively. Accrued expenses Accrued expenses consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Accrued compensation and related benefits $ 9,666 $ 8,734 Sales and use tax payable 4,500 3,938 Accrued colocation and bandwidth costs 2,519 3,237 Other accrued liabilities 3,533 3,969 Total accrued expenses $ 20,218 $ 19,878 Other Current Liabilities Other current liabilities consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Liability for early-exercised stock options (see Note 11) $ 385 $ 467 Deferred revenue 852 317 Accrued computer and networking equipment 3,896 7,060 Other current liabilities 297 325 Total other current liabilities $ 5,430 $ 8,169 Other Long-Term Liabilities Other long-term liabilities consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Deferred rent $ 1,016 $ 634 Other long-term liabilities 341 404 Total other long-term liabilities $ 1,357 $ 1,038 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 3 Months Ended |
Mar. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The changes in the carrying amount of goodwill for the three months ended March 31, 2020 are as follows: Three months ended (in thousands) Balance as of December 31, 2019 $ 372 Foreign currency translation (24 ) Balance as of March 31, 2020 $ 348 Intangible assets are comprised of internet protocol address costs and domain name costs that are subject to amortization. We did not purchase additional internet protocol addresses and domain names during the three months ended March 31, 2020 and 2019 . As of March 31, 2020 and December 31, 2019 , our intangible assets consisted of the following: As of March 31, 2020 As of December 31, 2019 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value (in thousands) Finite-lived intangible assets Internet protocol addresses $ 1,448 $ (398 ) $ 1,050 $ 1,448 $ (362 ) $ 1,086 Domain name 39 — 39 39 — 39 Total finite-lived intangible assets $ 1,487 $ (398 ) $ 1,089 $ 1,487 $ (362 ) $ 1,125 The annual expected amortization expense of intangible assets subject to amortization as of March 31, 2020 is as follows: As of March 31, 2020 (in thousands) Remainder of 2020 $ 119 2021 158 2022 158 2023 148 2024 145 Thereafter 361 Total $ 1,089 We perform tests for impairment of goodwill and long-lived assets on an annual basis as of October 31 or more frequently if events or changes in circumstances indicate that the long-lived assets might be impaired. We did not record any impairment charges during the three months ended March 31, 2020 and 2019 . The aggregate expense related to amortization of intangible assets for both the three months ended March 31, 2020 and the three months ended March 31, 2019 were less than $0.1 million . |
Debt Instruments
Debt Instruments | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt Instruments | Debt Instruments Capital Lease Agreement In June 2017, we entered into a Capital Lease Agreement with an equipment provider for $5.0 million in network equipment, at an annual interest rate of 5.24% over a term of four years . In March 2018, we entered into an additional agreement with the equipment provider for $0.5 million in network equipment at an annual interest rate of 5.38% over a term of four years . In February 2019 and March 2019, we entered into additional agreements with the equipment provider for $2.9 million and $1.3 million , respectively, in network equipment, at an annual interest rate of 5.38% over terms of three years . In August 2019, we entered into an additional agreement with the equipment provider for $1.3 million in network equipment at an annual interest rate of 6.33% over a term of three years. In November 2019, we entered into an additional capital lease agreement with the equipment provider for $2.2 million in network equipment at an annual interest rate of 5.69% over a term of three years . In December 2019, we entered into an additional agreement with the equipment provider for $1.0 million , at an annual interest rate of 5.42% over terms of three years . The additional agreement for December 2019, incorporates the same terms and conditions as those under the Capital Lease Agreement entered into in June 2017. In January 2020 and March 2020, we entered into additional agreements with the equipment provider for $1.0 million , and $2.3 million , respectively, at an annual interest rate of 5.42% over terms of three years for both agreements. Both the additional agreements incorporate the same terms and conditions as those under the Capital Lease Agreement entered into in June 2017. As of March 31, 2020 and December 31, 2019 , $11.2 million and $9.5 million was outstanding under the Capital Lease Agreement. The agreement provides for a bargain purchase price at the end of the term. The amortization of leased assets is included in depreciation and amortization expense. Cash Collateralized Revolving Credit Agreement In November 2019, we entered into a Revolving Credit Agreement for an aggregate commitment amount of $70.0 million with a maturity date of November 3, 2022. The amount of borrowings available under the Revolving Credit Agreement at any time are collateralized by our cash, which is classified as restricted cash on our balance sheets. The interest rate associated with each advance under the Revolving Credit Agreement is equal to the sum of LIBOR for the applicable interest period plus 1.50% which is a per annum rate based on outstanding borrowings. The commitment fee is 0.20% per annum based on the average daily unused amount of the commitment amount. Interest payments on outstanding borrowings are due on the last day of each interest period and payments for the commitment fee are due at the end of each calendar quarter. As of both March 31, 2020 and December 31, 2019 , the outstanding balance on the Revolving Credit Agreement was $20.3 million . The following table reflects the carrying values of the debt and capital lease agreements as of March 31, 2020 and December 31, 2019 : As of March 31, As of December 31, 2020 2019 (in thousands) Liability component: Principal amount—Cash Collateralized Revolving Credit Agreement $ 20,300 $ 20,300 Less: unamortized debt issuance costs (200 ) (219 ) Less: current portion of long-term debt — — Long-term debt, less current portion—Cash Collateralized Revolving Credit Agreement $ 20,100 $ 20,081 Principal amount—Capital Lease Agreement 11,234 9,549 Less: current portion of long-term debt (5,291 ) (4,472 ) Long-term debt, less current portion—Capital Lease Agreement $ 5,943 $ 5,077 Total long-term debt, less current portion $ 26,043 $ 25,158 Contractual future repayments for our debt and capital lease obligations as of March 31, 2020 are as follows: Principal Interest Total (in thousands) Remainder of 2020 $ 3,704 $ 1,867 $ 5,571 2021 4,838 2,072 6,910 2022 22,758 21,140 43,898 2023 234 2 236 2024 — — — Thereafter — — — Total $ 31,534 $ 25,081 $ 56,615 Interest expense related to debt for the three months ended March 31, 2020 and 2019 was $0.3 million and $1.2 million |
Common Stock Warrant Liabilitie
Common Stock Warrant Liabilities | 3 Months Ended |
Mar. 31, 2020 | |
Warrants and Rights Note Disclosure [Abstract] | |
Common Stock Warrant Liabilities | Common Stock Warrant Liabilities Prior to the IPO, we issued convertible preferred stock warrants in conjunction with prior the issuances of debt. We recorded these warrants to purchase convertible preferred stock as a liability on the consolidated balance sheets at fair value upon issuance as the warrants were exercisable for contingently redeemable preferred stock which was classified outside of stockholders' equity (deficit). The liability associated with these warrants were subject to remeasurement at each balance sheet date, with changes in fair value recorded in the consolidated statement of operations and comprehensive Loss as other expense, net. On May 17, 2019, immediately upon closing of the IPO, our warrants to purchase convertible preferred stock were automatically converted to warrants to purchase an equal number of shares of our Class B common stock. As a result, the warrant was remeasured a final time, immediately prior to the closing of the IPO, and reclassified to additional paid-in capital within stockholders' equity. Changes in the fair value were recorded within other expense, net on the consolidated statement of operations. In the three months ended March 31, 2020 there were no exercises of Class B common stock warrants. In the three months ended March 31, 2019, there were no exercises of preferred stock warrants. As of March 31, 2020 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Operating Lease Commitments We lease our facilities under non-cancelable operating leases. These operating leases expire at various dates through July 2027 and generally require the payment of real estate taxes, insurance, maintenance, and operating costs. There have been no material changes to our operating lease commitments as compared to those described in our most recently filed Annual Report on Form 10-K for the fiscal year ended December 31, 2019. We recognize rent expense on a straight-line basis over the lease period and have accrued for rent expense incurred but not paid. Rent expense for the three months ended March 31, 2020 and 2019 was $2.3 million and $1.8 million , respectively. During the three months ended March 31, 2020 and 2019 , we also had sublease agreements with tenants of various properties vacated by us. The amount earned from our sublease tenants was approximately $0.3 million and $0.3 million during the three months ended March 31, 2020 and 2019 , respectively. Purchase Commitments As of March 31, 2020 , we had long-term commitments for cost of revenue related agreements (i.e., bandwidth usage, colocation, peering and other managed services with various networks, internet service providers ("ISPs") and other third-party vendors). Our minimum future commitments related to cost of revenue related agreements as of March 31, 2020 were as follows: Cost of Revenue Commitments (in thousands) Remainder of 2020 $ 33,184 2021 13,290 2022 4,790 2023 284 2024 72 Thereafter — Total $ 51,620 We also have long-term commitments for various non-cancelable software as a service ("SaaS") agreements. There have been no material changes to our purchase commitments related to SaaS agreements as compared to those described in our most recently filed Annual Report on Form 10-K for the fiscal year ended December 31, 2019. Legal Matters We are party to various disputes that management considers routine and incidental to its business. Management does not expect the results of any of these routine actions to have a material effect on our business, results of operations, financial condition, or cash flows. Indemnification We enter into standard indemnification agreements in the ordinary course of business. Pursuant to these agreements, we agree to indemnify, hold harmless, and reimburse the indemnified party for losses suffered or incurred by the indemnified party, generally our business partners or customers, in connection with our provision of its services. Generally, these obligations are limited to claims relating to infringement of a patent, copyright, or other intellectual property right, breach of the Company’s security or data protection obligations, or the Company’s negligence, willful misconduct, or violation of law. Subject to applicable statutes of limitation, the term of these indemnification agreements is generally for the duration of the agreement. The maximum potential amount of future payments we could be required to make under these indemnification agreements is unlimited; however, we carry insurance that covers certain third-party claims relating to our services and could limit our exposure in that respect. We have agreed to indemnify each of our officers and directors during his or her lifetime for certain events or occurrences that happen by reason of the fact that the officer or director is, was, or has agreed to serve as an officer or director of the Company. We have director and officer insurance policies that may limit our exposure and may enable us to recover a portion of certain future amounts paid. To date, we have not encountered material costs as a result of such indemnification obligations and have not accrued any related liabilities in our financial statements. In assessing whether to establish an accrual, we consider such factors as the degree of probability of an unfavorable outcome and the ability to make a reasonable estimate of the amount of loss. |
Convertible Preferred Stock
Convertible Preferred Stock | 3 Months Ended |
Mar. 31, 2020 | |
Temporary Equity Disclosure [Abstract] | |
Convertible Preferred Stock | Convertible Preferred Stock Prior to the IPO, we had seven outstanding series of Convertible Preferred Stock each with a par value of $0.00002 per share, convertible at the option of the holder, that was classified as temporary equity on our consolidated balance sheet. On May 17, 2019, immediately upon closing of the IPO, our convertible preferred stock was automatically converted to shares of our Class B common stock. As of both March 31, 2020 and December 31, 2019, we had no |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Stockholders' Equity Common Stock Our Amended and Restated Certificate of Incorporation, as amended and restated in May 2019, authorizes the issuance of 1.0 billion shares of Class A common stock and 94.1 million shares of Class B common stock, and 10.0 million shares of preferred stock, each at a par value per share of $0.00002 . Holders of Class A common stock are entitled to one vote per share and holders of Class B common stock are entitled to 10 votes per share. Preferred stockholders, do not have voting rights. As of March 31, 2020 and December 31, 2019 , 24.2 million and 33.9 million shares of Class B common stock were issued and outstanding, respectively. As of March 31, 2020 and December 31, 2019 , 71.8 million and 61.0 million shares of Class A common stock were issued and outstanding, respectively. As of both March 31, 2020 and December 31, 2019 , no shares of preferred stock were issued and outstanding. Equity Incentive Plans In March 2011, our stockholders approved our 2011 Equity Incentive Plan ("2011 Plan") which allows for the issuance of incentive stock options, nonstatutory stock options, stock appreciation rights, restricted stock awards, and restricted stock unit awards ("RSUs") to employees, directors, and consultants of the Company. Options granted under our 2011 Plan are exercisable for shares of our Class B common stock. As of both March 31, 2020 and December 31, 2019 , there were 23.6 million shares of Class B common stock reserved for issuance under the 2011 Plan. As of both March 31, 2020 and December 31, 2019 , there were no shares of Class B common stock available for issuance pursuant to future grants under the 2011 Plan. In May 2019, in conjunction with our IPO, our Board and stockholders approved our 2019 Equity Incentive Plan (the "2019 Plan") which allows for the issuance of incentive stock options, non-statutory stock options, stock appreciation rights, RSUs, performance-based stock awards, and other forms of equity compensation, which are collectively referred to as stock awards. Additionally, the 2019 Plan provides for the grant of performance cash awards. Options are exercisable for shares of our Class A common stock. No further awards will be issued under the 2011 Plan. As of March 31, 2020 and December 31, 2019 , there were 19.2 million shares and 14.4 million shares of Class A common stock reserved for issuance under the 2019 Plan, respectively. As of March 31, 2020 and December 31, 2019 , there were 16.0 million and 12.4 million Class A common stock available for issuance under the 2019 Plan, respectively. In May 2019, in conjunction with our IPO, our Board and stockholders approved the Employee Stock Purchase Plan ("ESPP"). The ESPP allows eligible employees to purchase shares of our Class A common stock through payroll deductions of up to 15% of their eligible compensation, subject to a maximum of $25,000 per calendar year. As of March 31, 2020 and December 31, 2019 , there were 3.5 million shares and 2.5 million shares of Class A common stock reserved for issuance under the ESPP, respectively. As of March 31, 2020 and December 31, 2019 , there were 3.1 million shares and 2.2 million shares of Class A common stock available for future issuance under the ESPP, respectively. Stock Options Options granted under the 2011 Plan are exercisable for Class B common stock and generally expire within 10 years from the date of grant and generally vest over four years , at the rate of 25% on the first anniversary of the date of grant and ratably on a monthly basis over the remaining 36-month period thereafter based on continued service. Options granted under the 2019 Plan are exercisable for Class A common stock and generally expire within 10 years from the date of grant and generally vest over four years , at the rate of 25% on the first anniversary of the date of grant and ratably on a monthly basis over the remaining 36-month period thereafter based on continued service. Forfeitures are recognized as they occur. The following table summarizes stock option activity during the three months ended March 31, 2020 : Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value (in thousands) (in years) (in thousands) Outstanding at December 31, 2019 11,269 $ 4.68 7.3 $ 173,471 Granted — — Exercised (1,107 ) 2.68 Cancelled/forfeited (61 ) 6.94 Outstanding at March 31, 2020 10,101 $ 4.89 7.2 $ 142,692 Vested and exercisable at March 31, 2020 6,443 $ 3.00 6.4 $ 102,947 The total pre-tax intrinsic value of options exercised during the three months ended March 31, 2020 and 2019 was $20.2 million and $3.2 million , respectively. The total grant date fair value of employee options vested for the three months ended March 31, 2020 and 2019 was $2.3 million and $1.4 million , respectively. The weighted average grant-date fair value for options granted to employees during the three months ended March 31, 2019 was $5.10 . There were no options granted during the three months ended March 31, 2020 . We estimate the fair value of stock options on the date of grant using the Black-Scholes option-pricing model. Each of the Black-Scholes inputs is subjective and generally requires significant judgments to determine. We estimated the fair value of stock option awards using the Black-Scholes option pricing model with the following weighted-average assumptions: Three months ended March 31, 2020 2019 Fair value of common stock N/A $10.32 Expected term (in years) N/A 6.02 Risk-free interest rate N/A 2.50% Expected volatility N/A 40.0% Dividend yield N/A —% During the three months ended March 31, 2020 and 2019 , we recorded stock-based compensation expense from stock options of approximately $1.8 million and $1.5 million , respectively. As of March 31, 2020 , total unrecognized stock-based compensation cost related to outstanding unvested stock options that are expected to vest was $16.2 million . This unrecognized stock-based compensation cost is expected to be recognized over a weighted-average period of approximately 2.58 years. Early Exercise of Stock Options Certain stock options granted by the Company are exercisable at the date of grant, with unvested shares subject to repurchase by the Company in the event of voluntary or involuntary termination of employment of the stockholder. Such exercises are recorded as a liability on the accompanying Condensed Consolidated Balance Sheets and reclassified into equity as the options vest. As of March 31, 2020 and December 31, 2019 , a total of 163,305 and 199,895 shares of Class B Common Stock were subject to repurchase by the Company at the lower of (i) the fair market value of such shares on the date of repurchase, or (ii) the original exercise price of such shares. The corresponding exercise value of approximately $0.7 million and $0.9 million as of March 31, 2020 and December 31, 2019 , respectively, is recorded in other current liabilities and other liabilities on the accompanying Condensed Consolidated Balance Sheets. The activity of non-vested shares as a result of early exercise of options granted to employees and non-employees, is as follows: Three months ended March 31, 2020 (in thousands) Beginning balance as of December 31, 2019 200 Early exercise of options — Vested (37 ) Repurchased — Ending balance as of March 31, 2020 163 RSUs We began granting RSUs under the 2019 Plan during the fiscal year ended December 31, 2019 . The fair value of RSUs is based on the grant date fair value and is expensed on a straight-line basis over the applicable vesting period. RSUs typically vest over four years , at the rate of 25% on the first anniversary of the vest date and ratably on a quarterly basis over the remaining 36-month period thereafter, based on continued service. Forfeitures are recognized as they occur. The following table summarizes RSU activity during the three months ended March 31, 2020 : Shares Weighted- Average Grant Date Fair Value Per Share (in thousands) Nonvested RSUs as of December 31, 2019 1,641 $ 20.07 Granted 1,072 20.03 Vested — Cancelled/forfeited (11 ) 20.04 RSUs outstanding as of March 31, 2020 2,702 $ 20.04 During the three months ended March 31, 2020 , we recognized stock-based compensation expense related to RSUs of $4.1 million . There was no stock-based compensation expense recognized related to RSUs during the three months ended March 31, 2019 . As of March 31, 2020 , total unrecognized stock-based compensation cost related to non-vested RSUs was $47.9 million . This unrecognized stock-based compensation cost is expected to be recognized over a weighted-average period of approximately 3.16 years. Performance-based Stock Units ("PSUs") In March 2020, the Company granted a maximum total of 87,918 shares of performance-based restricted stock unit awards ("PSUs") to certain employees of the company, pursuant to the Company’s 2019 Equity Incentive Plan. The PSUs represents the right of the employees to be issued on a future date, one ( 1 ) share of Class A common stock for each RSU received that will vest on the applicable vesting date. The issuance of the underlying shares occurs upon approval by the Compensation Committee of the Board of Directors based on the level of achievement of certain Company and individual performance goals set by the Compensation Committee for year ending December 31, 2020 and their continued service with the Company. Subject to employees’ continuous service with the Company through each vesting date, 25% of the number of RSUs credited to them upon certification of achievement will vest on February 15, 2021, May 15, 2021, August 15, 2021, and November 15, 2021, respectively. As of the three months ended March 31, 2020, none of these performance conditions have been set or met. We expect to record stock-based compensation related to these PSUs once it is considered probable that the performance conditions will be met. ESPP The ESPP allows eligible employees to purchase shares of our common stock through payroll deductions of up to 15% of their eligible compensation. The ESPP provides for six-month offering periods, commencing in May and November of each year. At the end of each offering period employees are able to purchase shares at 85% of the lower of the fair market value of our Class A common stock on the first trading day of the offering period or on the date of purchase. We estimate the fair value of shares to be issued under the ESPP on the first day of the offering period using the Black-Scholes valuation model. The inputs to the Black-Scholes option pricing model are our stock price on the first date of the offering period, the risk-free interest rate, the estimated volatility of our stock price over the term of the offering period, the expected term of the offering period and the expected dividend rate. Stock-based compensation expense related to the ESPP is recognized on a straight-line basis over the offering period. Forfeitures are recognized as they occur. We estimated the fair value of shares granted under the ESPP on the first date of the offering period using the Black-Scholes option pricing model with the following assumptions: Three months ended March 31, 2020 2019 Fair value of common stock $6.02 N/A Expected term (in years) 0.50 N/A Risk-free interest rate 1.59% N/A Expected volatility 43.0% N/A Dividend yield —% N/A During the three months ended March 31, 2020 , we withheld $2.2 million in contributions from employees, and recognized $0.7 million in stock-based compensation expense related to the ESPP. No contributions were withheld, and no stock-based compensation expense was recognized related to the ESPP in the three months ended March 31, 2019 . No common stock was issued under the ESPP in the three months ended March 31, 2020 . Stock-based Compensation Expense The following table summarizes the components of total stock-based compensation expense included in the accompanying Condensed Consolidated Statements of Operations: Three months ended March 31, 2020 2019 (in thousands) Stock-based compensation expense by caption: Cost of revenue $ 615 $ 144 Research and development 1,671 432 Sales and marketing 1,483 369 General and administrative 2,560 522 Total $ 6,329 $ 1,467 |
Net Loss Per Share Attributable
Net Loss Per Share Attributable to Common Stockholders | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share Attributable to Common Stockholders | Net Loss Per Share Attributable to Common Stockholders We compute net loss per share using the two-class method required for multiple classes of common stock and participating securities. The rights of the holders of the Class A common stock and Class B common stock are identical, except with respect to voting and conversion. Accordingly, the Class A common stock and Class B common stock share equally in our net losses. Prior to the IPO, our participating securities also included convertible preferred stock. The holders of convertible preferred stock did not have a contractual obligation to share in our losses, and as a result, net losses were not allocated to these participating securities. The following table sets forth the calculation of basic and diluted net loss per share attributable to common stockholders during the periods presented. The shares issued in the IPO, the shares issued pursuant to the exercise by the underwriters of an option to purchase additional shares, and the shares of Class A and Class B common stock issued upon conversion of the outstanding shares of convertible preferred stock in the IPO are included in the table below weighted for the period outstanding: Three months ended March 31, 2020 2019 Class A (1) Class B (2) Class A Class B (2) (in thousands, except per share amounts) Net loss attributable to common stockholders $ (8,196 ) $ (3,794 ) N/A $ (9,727 ) Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted 65,210 30,191 N/A 25,290 Net loss per share attributable to common stockholders, basic and diluted $ (0.13 ) $ (0.13 ) N/A $ (0.38 ) __________ (1) Class A common stock includes the issuance of 12.9 million shares of Class A common stock issued by us in connection with our IPO and shares issued upon the exercise of options subsequent to our IPO. (2) Class B common stock includes, for all periods presented, the conversion of all of our preferred stock into an aggregate of 53.6 million shares of our Class B common stock upon closing of the IPO. Since we were in a loss position for the periods presented, basic net loss per share is the same as diluted net loss per share, as the inclusion of all potential common shares outstanding would have been anti-dilutive. The potential shares of common stock that were excluded from the computation of diluted net loss per share attributable to common stockholders for the period presented because including them would have been antidilutive are as follows: Number of Shares As of March 31, 2020 2019 (in thousands) Convertible preferred stock — 53,630 Stock options 10,101 8,073 RSUs 2,702 — Early exercised stock options 163 260 Common stock warrants 183 — Convertible preferred stock warrants — 519 Shares issuable pursuant to the ESPP 185 — Performance-based Stock Units 88 — Total 13,422 62,482 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Our provision for income taxes for interim periods is determined using an estimate of our annual effective tax rate, adjusted for discrete items, if any, that arise during the period. Each quarter, we update our estimate of the annual effective tax rate, and if the estimated annual effective tax rate changes, we make a cumulative adjustment in such period. In the three months ended March 31, 2020 and 2019 , we recorded income tax expenses of $0.8 million and $0.1 million , respectively. We continue to maintain a full valuation allowance on our U.S. Federal and state net deferred tax assets. The tax expense for the three months ended March 31, 2020 and 2019 was primarily due to foreign and state income tax expense. On March 27, 2020, the “Coronavirus Aid, Relief and Economic Security (CARES) Act” was signed into law (the "CARES Act"). The CARES Act includes provisions relating to refundable payroll tax credits, deferment of the employer portion of certain payroll taxes, net operating loss carryback periods, alternative minimum tax credit refunds, modifications to the net interest deduction limitations and technical corrections to tax depreciation methods for qualified improvement property. We intend to utilize the provision to defer payment of certain payroll taxes beginning in the second quarter of 2020. Any deferred payments will be accrued for as a liability and included in our condensed consolidated balance sheet for the applicable period. We are continuing to evaluate the other provisions of the CARES Act, but do not expect them to have a material impact on our consolidated financial statements. |
Information About Revenue and G
Information About Revenue and Geographic Areas | 3 Months Ended |
Mar. 31, 2020 | |
Segment Reporting [Abstract] | |
Information About Revenue and Geographic Areas | Information About Revenue and Geographic Areas We consider operating segments to be components of the Company in which separate financial information is available and is evaluated regularly by our Chief Operating Decision Maker ("CODM") in deciding how to allocate resources and in assessing performance. Our CODM is the Chief Executive Officer ("CEO"). The CEO reviews financial information presented on a consolidated basis, accompanied by information about revenue, customer size, and industry vertical for purposes of allocating resources and evaluating financial performance. We have determined that we operate under one business activity with no segment managers who are held accountable for operations, operating results, or plans for levels or components below the consolidated unit level. Accordingly, we have determined that we have a single reporting segment and operating unit structure. Revenue Revenue by geography is based on the billing address of the customer. Refer to Note 3, "Revenue" for more information on net revenue by geographic region. Long-Lived Assets The following table presents long-lived assets by geographic region: As of March 31, As of December 31, 2020 2019 (in thousands) United States $ 43,818 $ 40,747 All other countries 25,251 19,290 Total long-lived assets $ 69,069 $ 60,037 |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions In July 2016, a stockholder borrowed approximately $0.1 million to exercise stock options for 53,125 shares of common stock pursuant to a promissory note from the stockholder. The note bears interest at a rate of 1.77% . In June 2019, the promissory note was repaid in full. Prior to repayment, for the purposes of the financial statements, the shares were not reported as exercised, issued, or outstanding. This stockholder is not one of our executive officers or directors. There were no outstanding balances as of both March 31, 2020 and December 31, 2019 . |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The interim unaudited condensed consolidated financial statements and accompanying notes have been prepared in accordance with United States generally accepted accounting principles ("U.S. GAAP") along with instructions to Form 10-Q and Article 10 of Securities and Exchange Commission ("SEC") Regulation S-X. |
Principles of Consolidation and Unaudited Interim Financial Statements | Principles of Consolidation The accompanying interim condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. Unaudited Interim Financial Statements The accompanying interim condensed consolidated balance sheet as of March 31, 2020 , the related interim condensed consolidated statements of operations, the condensed consolidated statements of comprehensive loss, and the condensed consolidated statements of convertible preferred stock and stockholders' equity (deficit) for the three months ended March 31, 2020 and 2019 , the condensed consolidated statements of cash flows for the three months ended March 31, 2020 and 2019 , and the related footnote disclosures are unaudited. The unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. GAAP. In management’s opinion, the unaudited financial statements have been prepared on the same basis as the audited financial statements and include all adjustments, which include only normal recurring adjustments necessary for the fair presentation of our financial position as of March 31, 2020 . The results for the three months ended March 31, 2020 are not necessarily indicative of the results expected for the full fiscal year or any other periods. |
Use of Estimates | Use of Estimates The preparation of our condensed consolidated financial statements requires us to make estimates, judgments, and assumptions that affect the reported amounts of assets, liabilities, revenue, costs and expenses, and related disclosures. Actual results and outcomes could differ significantly from our estimates, judgments, and assumptions. Significant estimates, judgments, and assumptions used in these financial statements include, but are not limited to, those related to revenue, accounts receivable and related reserves, useful lives and realizability of long-lived assets, income tax reserves, and accounting for stock-based compensation. Estimates are periodically reviewed in light of changes in circumstances, facts, and experience. The effects of material revisions in estimates are reflected in the condensed consolidated financial statements in the period of change and prospectively from the date of the change in estimate.The ongoing global COVID-19 pandemic has impacted many operational aspects of our business and may continue to do so in the future. We assessed the impact that COVID-19 had on our results of operations, including, but not limited to an assessment of our allowance for doubtful accounts, the carrying value of short-term and long-term investments, the carrying value of goodwill and other long-lived assets, and the impact to revenue recognition and cost of revenues. While the COVID-19 pandemic has not had a material adverse impact on our financial operations to date, the future impacts of the pandemic and any resulting economic impact are largely unknown and rapidly evolving. We will continue to actively monitor the impact that COVID-19 has on the results of our business operations, and may make decisions required by federal, state or local authorities, or that are determined to be in the best interests of our employees, customers, partners, suppliers and stockholders. As a result our estimates and judgments may change materially as new events occur or additional information becomes available to us. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject us to significant concentration of credit risk consist primarily of cash, cash equivalents, marketable securities, and accounts receivable. The primary focus of our investment strategy is to preserve capital and meet liquidity requirements. Our investment policy addresses the level of credit exposure by limiting the concentration in any one corporate issuer or sector and establishing a minimum allowable credit rating. To manage the risk exposure, we invest cash equivalents and marketable securities in a variety of fixed income securities, including government and investment-grade debt securities and money market funds. We place our cash primarily in checking and money market accounts with reputable financial institutions. Deposits held with these financial institutions may exceed the amount of insurance provided on such deposits, if any. Concentrations of credit risk with respect to accounts receivable are primarily limited to certain customers to which we make substantial sales. Our customer base consists of a large number of geographically dispersed customers diversified across several industries. To reduce risk, we routinely assess the financial strength of our customers. Based on such assessments, we believe that our accounts receivable credit risk exposure is limited. One customer accounted for 10.5% of revenue for the three months ended March 31, 2020 , and 14.6% of the total accounts receivable balance as of March 31, 2020 . No customer accounted for more than 10% of revenue for the three months ended March 31, 2019 , or more than 10% of the total accounts receivable balance as of December 31, 2019 |
Recently Adopted and Issued Accounting Pronouncements | New Accounting Pronouncements to be Adopted We are an emerging growth company as defined in Jumpstart Our Business Startups Act of 2012 ("JOBS Act"). For as long as we continue to be an emerging growth company, we intend to take advantage of certain exemptions from various public company reporting requirements, including delaying adoption of new or revised accounting standards until those standards apply to private companies. In the event that we no longer qualify as an emerging growth company, we will no longer be permitted to use these reporting exemptions. In February 2016, the FASB issued new guidance, Accounting Standard Update No. 2016-02, Leases (Topic 842) ("ASU 2016-02"), which establishes the principles to report transparent and economically neutral information about the assets and liabilities that arise from leases. Accordingly, this new standard introduces a lessee model that brings most operating leases on the balance sheet and also aligns certain of the underlying principles of the new lessor model with those in the new revenue recognition standard. We are currently evaluating the appropriate transition method and impact of this guidance on our condensed consolidated financial statements and related disclosures. We expect the the standard to be effective for our interim and annual periods beginning after December 15, 2020. In June 2016, FASB issued new guidance, ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which introduces a new methodology for accounting for credit losses on financial instruments, including available-for-sale debt securities. The guidance establishes a new “expected loss model” that requires entities to estimate current expected credit losses on financial instruments by using all practical and relevant information. Any expected credit losses are to be reflected as allowances rather than reductions in the amortized cost of available-for-sale debt securities. We are currently evaluating the impact of this guidance on our condensed consolidated financial statements and related disclosures. We expect the the standard to be effective for our interim and annual periods beginning after December 15, 2020. In August 2018, the FASB issued Accounting Standards Update No. 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (ASC 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement ("ASU 2018-15"). This guidance provides that implementation costs be evaluated for capitalization using the same criteria as that used for internal-use software development costs, with amortization expense being recorded in the same income statement expense line as the hosted service costs and over the expected term of the hosting arrangement. We are currently evaluating the impact of this guidance on our condensed consolidated financial statements and related disclosures. We expect the the standard to be effective for our interim and annual periods beginning after December 15, 2020. On December 18, 2019, the FASB released ASU 2019-12 which affects general principles within Topic 740, Income Taxes. The amendments of ASU 2019-12 are meant to simplify and reduce the cost of accounting for income taxes. The FASB has stated that the ASU is being issued as part of its Simplification Initiative, which is meant to reduce complexity in accounting standards by improving certain areas of generally accepted accounting principles (GAAP) without compromising information provided to users of financial statements. We are currently evaluating the impact of this guidance on our condensed consolidated financial statements and related disclosures. We expect the the standard to be effective for our interim and annual periods beginning after December 15, 2020. |
Revenue recognition | Revenue recognition Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration we expect to receive in exchange for those products or services. We enter into contracts that can include various combinations of products and services, each of which are distinct and accounted for as separate performance obligations. Revenue is recognized net of any taxes collected from customers, which are subsequently remitted to governmental authorities. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account in Topic 606. Our contracts with customers often include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. For contracts with multiple performance obligations, we allocate the contract transaction price to each performance obligation using our estimate of the standalone selling price ("SSP") of each distinct good or service in the contract. Judgment is required to determine the SSP for each distinct performance obligation. We analyze separate sales of our products and services as a basis for estimating the SSP of our products and services. We then use that SSP as the basis for allocating the transaction price when our product and services are sold together in a contract with multiple performance obligations. In instances where SSP is not directly observable, such as when we do not sell the product or service separately, we determine the SSP using information that may include market conditions and other observable inputs. We typically have more than one SSP for individual products and services due to the stratification of those products and services by customers and circumstances. In these instances, we may use information, such geographic region and distribution channel, in determining the SSP. The transaction price in a contract is typically equal to the minimum commit price in the contract less any discounts provided. Because our typical contracts represent distinct services delivered over time with the same pattern of transfer to the customer, usage-based consideration primarily related to actual consumption over the minimum commit levels is allocated to the period to which it relates. The amount of consideration recognized for usage above the minimum commit price is limited to the amount we expect to be entitled to receive in exchange for providing services. We have elected to apply the practical expedient for estimating and disclosing the variable consideration when variable consideration is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied promise to transfer a distinct good or service that forms part of a single performance obligation from our remaining performance obligations under these contracts. Performance obligations represent stand-ready obligations that are satisfied over time as the customer simultaneously receives and consumes the benefits provided by us. These obligations can be content delivery, security, professional services, support, edge cloud platform services, and others. Accordingly, our revenue is recognized over time, consistent with the pattern of benefit provided to the customer over the term of the agreement. At times, customers may request changes that either amend, replace, or cancel existing contracts. Judgment is required to determine whether the specific facts and circumstances within the contracts should be accounted for as a separate contract or as a modification. |
Fair value of financial instruments | Fair Value of Financial Instruments For certain of our financial instruments, including cash held in banks, accounts receivable, and accounts payable, the carrying amounts approximate fair value due to their short maturities, and are therefore excluded from the fair value tables below. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There is a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: Level 1—Observable inputs such as quoted prices in active markets for identical assets or liabilities; Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3—Unobservable inputs that are supported by little or no market activity, which require management judgment or estimation. We measure our cash equivalents, marketable securities, and restricted cash at fair value. We classify our cash equivalents, marketable securities and restricted cash within Level 1 or Level 2 because we value these investments using quoted market prices or alternative pricing sources and models utilizing market observable inputs. The fair value of our Level 1 financial assets is based on quoted market prices of the identical underlying security. The fair value of our Level 2 financial assets is based on inputs that are directly or indirectly observable in the market, including the readily available pricing sources for the identical underlying security that may not be actively traded. |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue by Geographic Area | Revenue by geography is based on the billing address of the customer. The following table presents our net revenue by geographic region: Three months ended March 31, 2020 2019 (in thousands) United States $ 41,008 $ 33,422 All other countries 21,916 12,134 Total revenue $ 62,924 $ 45,556 |
Revenue by Customer Type | The following table presents our net revenue for enterprise and non-enterprise customers: Three months ended March 31, 2020 2019 (in thousands) Enterprise customers $ 55,806 $ 39,044 Non-enterprise customers 7,118 6,512 Total revenue $ 62,924 $ 45,556 |
Contract Assets and Liabilities | The following tables present our contract assets, contract liabilities, and certain information related to these balances as of and for the three months ended March 31, 2020, as of December 31, 2019, and for the three months ended March 31, 2019: As of March 31, 2020 As of December 31, 2019 (in thousands) Contract assets $ 305 $ 271 Contract liabilities $ 852 $ 317 Three months ended March 31, 2020 2019 (in thousands) Revenue recognized in the period from: Amounts included in contract liability at the beginning of the period $ 178 $ 936 |
Costs to Obtain Contracts | As of March 31, 2020 and December 31, 2019 , our costs to obtain contracts were as follows: As of March 31, 2020 As of December 31, 2019 (in thousands) Deferred commissions $ 7,944 $ 6,804 |
Investments and Fair Value Me_2
Investments and Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Cash, Cash Equivalents, and Marketable Securities | Our total cash, cash equivalents and marketable securities consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Cash and cash equivalents: Cash $ 8,503 $ 11,623 Money market funds 13,998 2,020 Commercial paper — 2,499 Total cash and cash equivalents $ 22,501 $ 16,142 Marketable securities: Corporate notes and bonds $ 9,024 $ 17,470 Commercial paper 2,498 5,481 U.S. Treasury securities 68,713 78,160 Asset-backed securities 13,849 13,856 Total marketable securities $ 94,084 $ 114,967 |
Schedule of Available-For-Sale Investments | The following table summarizes adjusted cost, gross unrealized gains and losses, and fair value related to available-for-sale securities classified as marketable securities on the accompanying Condensed Consolidated Balance Sheets as of March 31, 2020 and December 31, 2019 : As of March 31, 2020 Amortized Gross Gross Fair (in thousands) Corporate notes and bonds $ 9,051 $ — $ (27 ) $ 9,024 Commercial paper 2,498 — — 2,498 U.S. Treasury securities 68,106 607 — 68,713 Asset-backed securities 13,854 — (5 ) 13,849 Total available-for-sale investments $ 93,509 $ 607 $ (32 ) $ 94,084 As of December 31, 2019 Amortized Cost Gross Unrealized Gain Gross Unrealized Loss Fair Value (in thousands) Corporate notes and bonds $ 17,462 $ 9 $ (1 ) $ 17,470 Commercial paper 5,481 — — 5,481 U.S. Treasury securities 78,075 85 — 78,160 Asset-backed securities 13,852 4 — 13,856 Total available-for-sale investments $ 114,870 $ 98 $ (1 ) $ 114,967 |
Financial Assets and Liabilities Measured and Recorded at Fair Value on a Recurring Basis | Financial assets and liabilities measured and recorded at fair value on a recurring basis consisted of the following types of instruments: As of March 31, 2020 Level 1 Level 2 Level 3 Total (in thousands) Cash equivalents: Money market funds $ 13,998 $ — $ — $ 13,998 Total cash equivalents 13,998 — — 13,998 Marketable securities: Corporate notes and bonds — 9,024 — 9,024 Commercial paper — 2,498 — 2,498 U.S. Treasury securities — 68,713 — 68,713 Asset-backed securities — 13,849 — 13,849 Total marketable securities — 94,084 — 94,084 Restricted cash: Money market funds 70,087 — — 70,087 Total restricted cash 70,087 — — 70,087 Total financial assets $ 84,085 $ 94,084 $ — $ 178,169 As of December 31, 2019 Level 1 Level 2 Level 3 Total (in thousands) Cash equivalents: Money market funds $ 2,020 $ — $ — $ 2,020 U.S. Treasury securities — 2,499 — 2,499 Total cash equivalents 2,020 2,499 — 4,519 Marketable securities: Corporate notes and bonds — 17,470 — 17,470 Commercial paper — 5,481 — 5,481 U.S. Treasury securities — 78,160 — 78,160 Asset-backed securities — 13,856 — 13,856 Total marketable securities — 114,967 — 114,967 Restricted cash: Money market funds 70,087 — — 70,087 Total restricted cash 70,087 — — 70,087 Total financial assets $ 72,107 $ 117,466 $ — $ 189,573 |
Balance Sheet Information (Tabl
Balance Sheet Information (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Balance Sheet Related Disclosures [Abstract] | |
Schedule of Property and Equipment, Net | Property and equipment, net consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Computer and networking equipment $ 101,593 $ 89,830 Leasehold improvements 3,278 3,285 Furniture and fixtures 679 681 Office equipment 616 579 Internal-use software 15,586 13,901 Property and equipment, gross $ 121,752 $ 108,276 Accumulated depreciation and amortization (52,683 ) (48,239 ) Property and equipment, net $ 69,069 $ 60,037 |
Schedule of Accrued Expenses | Accrued expenses consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Accrued compensation and related benefits $ 9,666 $ 8,734 Sales and use tax payable 4,500 3,938 Accrued colocation and bandwidth costs 2,519 3,237 Other accrued liabilities 3,533 3,969 Total accrued expenses $ 20,218 $ 19,878 |
Schedule of Other Current Liabilities | Other current liabilities consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Liability for early-exercised stock options (see Note 11) $ 385 $ 467 Deferred revenue 852 317 Accrued computer and networking equipment 3,896 7,060 Other current liabilities 297 325 Total other current liabilities $ 5,430 $ 8,169 |
Schedule of Other Long-Term Liabilities | Other long-term liabilities consisted of the following: As of March 31, As of December 31, 2020 2019 (in thousands) Deferred rent $ 1,016 $ 634 Other long-term liabilities 341 404 Total other long-term liabilities $ 1,357 $ 1,038 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Changes in the Carrying Amount of Goodwill | The changes in the carrying amount of goodwill for the three months ended March 31, 2020 are as follows: Three months ended (in thousands) Balance as of December 31, 2019 $ 372 Foreign currency translation (24 ) Balance as of March 31, 2020 $ 348 |
Schedule of Intangible Assets | As of March 31, 2020 and December 31, 2019 , our intangible assets consisted of the following: As of March 31, 2020 As of December 31, 2019 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value (in thousands) Finite-lived intangible assets Internet protocol addresses $ 1,448 $ (398 ) $ 1,050 $ 1,448 $ (362 ) $ 1,086 Domain name 39 — 39 39 — 39 Total finite-lived intangible assets $ 1,487 $ (398 ) $ 1,089 $ 1,487 $ (362 ) $ 1,125 |
Expected Amortization Expense of Intangible Assets | The annual expected amortization expense of intangible assets subject to amortization as of March 31, 2020 is as follows: As of March 31, 2020 (in thousands) Remainder of 2020 $ 119 2021 158 2022 158 2023 148 2024 145 Thereafter 361 Total $ 1,089 |
Debt Instruments (Tables)
Debt Instruments (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Carrying Values of Debt Agreements | The following table reflects the carrying values of the debt and capital lease agreements as of March 31, 2020 and December 31, 2019 : As of March 31, As of December 31, 2020 2019 (in thousands) Liability component: Principal amount—Cash Collateralized Revolving Credit Agreement $ 20,300 $ 20,300 Less: unamortized debt issuance costs (200 ) (219 ) Less: current portion of long-term debt — — Long-term debt, less current portion—Cash Collateralized Revolving Credit Agreement $ 20,100 $ 20,081 Principal amount—Capital Lease Agreement 11,234 9,549 Less: current portion of long-term debt (5,291 ) (4,472 ) Long-term debt, less current portion—Capital Lease Agreement $ 5,943 $ 5,077 Total long-term debt, less current portion $ 26,043 $ 25,158 |
Schedule of Contractual Future Repayments | Contractual future repayments for our debt and capital lease obligations as of March 31, 2020 are as follows: Principal Interest Total (in thousands) Remainder of 2020 $ 3,704 $ 1,867 $ 5,571 2021 4,838 2,072 6,910 2022 22,758 21,140 43,898 2023 234 2 236 2024 — — — Thereafter — — — Total $ 31,534 $ 25,081 $ 56,615 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Purchase Commitments | Our minimum future commitments related to cost of revenue related agreements as of March 31, 2020 were as follows: Cost of Revenue Commitments (in thousands) Remainder of 2020 $ 33,184 2021 13,290 2022 4,790 2023 284 2024 72 Thereafter — Total $ 51,620 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stock Option Activity | The following table summarizes stock option activity during the three months ended March 31, 2020 : Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value (in thousands) (in years) (in thousands) Outstanding at December 31, 2019 11,269 $ 4.68 7.3 $ 173,471 Granted — — Exercised (1,107 ) 2.68 Cancelled/forfeited (61 ) 6.94 Outstanding at March 31, 2020 10,101 $ 4.89 7.2 $ 142,692 Vested and exercisable at March 31, 2020 6,443 $ 3.00 6.4 $ 102,947 |
Employee Stock Purchase Plan, Valuation Assumptions | We estimated the fair value of stock option awards using the Black-Scholes option pricing model with the following weighted-average assumptions: Three months ended March 31, 2020 2019 Fair value of common stock N/A $10.32 Expected term (in years) N/A 6.02 Risk-free interest rate N/A 2.50% Expected volatility N/A 40.0% Dividend yield N/A —% We estimated the fair value of shares granted under the ESPP on the first date of the offering period using the Black-Scholes option pricing model with the following assumptions: Three months ended March 31, 2020 2019 Fair value of common stock $6.02 N/A Expected term (in years) 0.50 N/A Risk-free interest rate 1.59% N/A Expected volatility 43.0% N/A Dividend yield —% N/A |
Schedule of Unvested Exercised Options | The activity of non-vested shares as a result of early exercise of options granted to employees and non-employees, is as follows: Three months ended March 31, 2020 (in thousands) Beginning balance as of December 31, 2019 200 Early exercise of options — Vested (37 ) Repurchased — Ending balance as of March 31, 2020 163 |
Schedule of Restricted Stock Units | The following table summarizes RSU activity during the three months ended March 31, 2020 : Shares Weighted- Average Grant Date Fair Value Per Share (in thousands) Nonvested RSUs as of December 31, 2019 1,641 $ 20.07 Granted 1,072 20.03 Vested — Cancelled/forfeited (11 ) 20.04 RSUs outstanding as of March 31, 2020 2,702 $ 20.04 |
Schedule of Stock-Based Compensation Expense | The following table summarizes the components of total stock-based compensation expense included in the accompanying Condensed Consolidated Statements of Operations: Three months ended March 31, 2020 2019 (in thousands) Stock-based compensation expense by caption: Cost of revenue $ 615 $ 144 Research and development 1,671 432 Sales and marketing 1,483 369 General and administrative 2,560 522 Total $ 6,329 $ 1,467 |
Net Loss Per Share Attributab_2
Net Loss Per Share Attributable to Common Stockholders (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The shares issued in the IPO, the shares issued pursuant to the exercise by the underwriters of an option to purchase additional shares, and the shares of Class A and Class B common stock issued upon conversion of the outstanding shares of convertible preferred stock in the IPO are included in the table below weighted for the period outstanding: Three months ended March 31, 2020 2019 Class A (1) Class B (2) Class A Class B (2) (in thousands, except per share amounts) Net loss attributable to common stockholders $ (8,196 ) $ (3,794 ) N/A $ (9,727 ) Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted 65,210 30,191 N/A 25,290 Net loss per share attributable to common stockholders, basic and diluted $ (0.13 ) $ (0.13 ) N/A $ (0.38 ) __________ (1) Class A common stock includes the issuance of 12.9 million shares of Class A common stock issued by us in connection with our IPO and shares issued upon the exercise of options subsequent to our IPO. (2) Class B common stock includes, for all periods presented, the conversion of all of our preferred stock into an aggregate of 53.6 million |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The potential shares of common stock that were excluded from the computation of diluted net loss per share attributable to common stockholders for the period presented because including them would have been antidilutive are as follows: Number of Shares As of March 31, 2020 2019 (in thousands) Convertible preferred stock — 53,630 Stock options 10,101 8,073 RSUs 2,702 — Early exercised stock options 163 260 Common stock warrants 183 — Convertible preferred stock warrants — 519 Shares issuable pursuant to the ESPP 185 — Performance-based Stock Units 88 — Total 13,422 62,482 |
Information About Revenue and_2
Information About Revenue and Geographic Areas (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Long-Lived Assets by Geographic Region | The following table presents long-lived assets by geographic region: As of March 31, As of December 31, 2020 2019 (in thousands) United States $ 43,818 $ 40,747 All other countries 25,251 19,290 Total long-lived assets $ 69,069 $ 60,037 |
Nature of Business (Details)
Nature of Business (Details) $ / shares in Units, $ in Millions | May 21, 2019USD ($)$ / sharesshares | May 03, 2019 | Mar. 31, 2020USD ($)locationshares |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Points of presence | location | 72 | ||
Common stock, stock split ratio | 0.5 | ||
Common Class A | |||
Class of Stock [Line Items] | |||
Shares issued (in shares) | 12,900,000 | ||
Common Class B | |||
Class of Stock [Line Items] | |||
Number of shares converted (in shares) | 53,600,000 | ||
Convertible securities, conversion ratio | 1 | ||
IPO | Common Class A | |||
Class of Stock [Line Items] | |||
Shares issued (in shares) | 12,937,500 | ||
Common stock price per share (in USD per share) | $ / shares | $ 16 | ||
Proceeds from initial public offering, net of underwriting discounts | $ | $ 192.5 | ||
Over-Allotment Option | Common Class A | |||
Class of Stock [Line Items] | |||
Shares issued (in shares) | 1,687,500 | ||
Proceeds from initial public offering, net of underwriting discounts | $ | $ 25.1 | ||
Common Stock | Common Class A | |||
Class of Stock [Line Items] | |||
Number of shares converted (in shares) | 9,727,897 | ||
Common Stock | Common Class B | |||
Class of Stock [Line Items] | |||
Number of shares converted (in shares) | 53,630,213 | 9,727,897 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) | 3 Months Ended |
Mar. 31, 2020 | |
Revenue | |
Concentration Risk [Line Items] | |
Concentration risk, percentage | 10.50% |
Accounts Receivable | |
Concentration Risk [Line Items] | |
Concentration risk, percentage | 14.60% |
Revenue - Revenue by Geographic
Revenue - Revenue by Geographic Area (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 62,924 | $ 45,556 |
United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 41,008 | 33,422 |
All other countries | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 21,916 | $ 12,134 |
Revenue - Revenue by Customer T
Revenue - Revenue by Customer Type (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 62,924 | $ 45,556 |
Enterprise customers | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 55,806 | 39,044 |
Non-enterprise customers | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 7,118 | $ 6,512 |
Revenue - Contract Assets and L
Revenue - Contract Assets and Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |||
Contract assets | $ 305 | $ 271 | |
Contract liabilities | 852 | $ 317 | |
Revenue recognized in the period from: | |||
Amounts included in contract liability at the beginning of the period | $ 178 | $ 936 |
Revenue - Remaining Performance
Revenue - Remaining Performance Obligation (Details) $ in Millions | Mar. 31, 2020USD ($) |
Revenue from Contract with Customer [Abstract] | |
Revenue performance obligation | $ 71 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-04-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation, percentage | 88.00% |
Remaining performance obligation, timing of satisfaction | 12 months |
Revenue - Costs to Obtain Contr
Revenue - Costs to Obtain Contracts (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |||
Capitalized contract costs, amortization period | 5 years | ||
Deferred commissions | $ 7,944 | $ 6,804 | |
Capitalized contract cost, amortization | $ 700 | $ 500 |
Investments and Fair Value Me_3
Investments and Fair Value Measurements - Cash, Cash Equivalent and Marketable Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 |
Debt Securities, Available-for-sale [Line Items] | |||
Cash and cash equivalents | $ 22,501 | $ 16,142 | $ 21,355 |
Marketable securities | 94,084 | 114,967 | |
Corporate notes and bonds | |||
Debt Securities, Available-for-sale [Line Items] | |||
Marketable securities | 9,024 | 17,470 | |
Commercial paper | |||
Debt Securities, Available-for-sale [Line Items] | |||
Marketable securities | 2,498 | 5,481 | |
U.S. Treasury securities | |||
Debt Securities, Available-for-sale [Line Items] | |||
Marketable securities | 68,713 | 78,160 | |
Asset-backed securities | |||
Debt Securities, Available-for-sale [Line Items] | |||
Marketable securities | 13,849 | 13,856 | |
Cash | |||
Debt Securities, Available-for-sale [Line Items] | |||
Cash and cash equivalents | 8,503 | 11,623 | |
Money market funds | |||
Debt Securities, Available-for-sale [Line Items] | |||
Cash and cash equivalents | 13,998 | 2,020 | |
Commercial paper | |||
Debt Securities, Available-for-sale [Line Items] | |||
Cash and cash equivalents | $ 0 | $ 2,499 |
Investments and Fair Value Me_4
Investments and Fair Value Measurements - Available-For-Sale Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 93,509 | $ 114,870 |
Gross Unrealized Gain | 607 | 98 |
Gross Unrealized Loss | (32) | (1) |
Fair Value | 94,084 | 114,967 |
Corporate notes and bonds | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 9,051 | 17,462 |
Gross Unrealized Gain | 0 | 9 |
Gross Unrealized Loss | (27) | (1) |
Fair Value | 9,024 | 17,470 |
Commercial paper | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 2,498 | 5,481 |
Gross Unrealized Gain | 0 | 0 |
Gross Unrealized Loss | 0 | 0 |
Fair Value | 2,498 | 5,481 |
U.S. Treasury securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 68,106 | 78,075 |
Gross Unrealized Gain | 607 | 85 |
Gross Unrealized Loss | 0 | 0 |
Fair Value | 68,713 | 78,160 |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 13,854 | 13,852 |
Gross Unrealized Gain | 0 | 4 |
Gross Unrealized Loss | (5) | 0 |
Fair Value | $ 13,849 | $ 13,856 |
Investments and Fair Value Me_5
Investments and Fair Value Measurements - Narrative (Details) - security | Mar. 31, 2020 | Dec. 31, 2019 |
Fair Value Disclosures [Abstract] | ||
Securities in a continuous loss position (in securities) | 0 | 0 |
Investments and Fair Value Me_6
Investments and Fair Value Measurements - Assets and Liabilities at Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | $ 13,998 | $ 4,519 | |
Marketable securities | 94,084 | 114,967 | |
Total restricted cash | 70,087 | 70,087 | $ 0 |
Total financial assets | 178,169 | 189,573 | |
Corporate notes and bonds | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 9,024 | 17,470 | |
Commercial paper | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 2,498 | 5,481 | |
U.S. Treasury securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 68,713 | 78,160 | |
Asset-backed securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 13,849 | 13,856 | |
Money market funds | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 13,998 | 2,020 | |
Total restricted cash | 70,087 | 70,087 | |
U.S. Treasury securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 2,499 | ||
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 13,998 | 2,020 | |
Marketable securities | 0 | 0 | |
Total restricted cash | 70,087 | 70,087 | |
Total financial assets | 84,085 | 72,107 | |
Level 1 | Corporate notes and bonds | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 0 | 0 | |
Level 1 | Commercial paper | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 0 | 0 | |
Level 1 | U.S. Treasury securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 0 | 0 | |
Level 1 | Asset-backed securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 0 | 0 | |
Level 1 | Money market funds | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 13,998 | 2,020 | |
Total restricted cash | 70,087 | 70,087 | |
Level 1 | U.S. Treasury securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | ||
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | 2,499 | |
Marketable securities | 94,084 | 114,967 | |
Total restricted cash | 0 | 0 | |
Total financial assets | 94,084 | 117,466 | |
Level 2 | Corporate notes and bonds | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 9,024 | 17,470 | |
Level 2 | Commercial paper | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 2,498 | 5,481 | |
Level 2 | U.S. Treasury securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 68,713 | 78,160 | |
Level 2 | Asset-backed securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 13,849 | 13,856 | |
Level 2 | Money market funds | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | 0 | |
Total restricted cash | 0 | 0 | |
Level 2 | U.S. Treasury securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 2,499 | ||
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | 0 | |
Marketable securities | 0 | 0 | |
Total restricted cash | 0 | 0 | |
Total financial assets | 0 | 0 | |
Level 3 | Corporate notes and bonds | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 0 | 0 | |
Level 3 | Commercial paper | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 0 | 0 | |
Level 3 | U.S. Treasury securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 0 | 0 | |
Level 3 | Asset-backed securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities | 0 | 0 | |
Level 3 | Money market funds | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | 0 | |
Total restricted cash | $ 0 | 0 | |
Level 3 | U.S. Treasury securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | $ 0 |
Balance Sheet Information - Pro
Balance Sheet Information - Property and equipment (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 121,752 | $ 108,276 |
Accumulated depreciation and amortization | (52,683) | (48,239) |
Property and equipment, net | 69,069 | 60,037 |
Computer and networking equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 101,593 | 89,830 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 3,278 | 3,285 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 679 | 681 |
Office equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 616 | 579 |
Internal-use software | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 15,586 | 13,901 |
Property and equipment, net | $ 9,600 | $ 8,500 |
Balance Sheet Information - Nar
Balance Sheet Information - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation and amortization | $ 4,700 | $ 3,700 | |
Property and equipment, net | 69,069 | $ 60,037 | |
Internal-use software | |||
Property, Plant and Equipment [Line Items] | |||
Depreciation and amortization | 600 | $ 800 | |
Property and equipment, net | $ 9,600 | $ 8,500 |
Balance Sheet Information - Acc
Balance Sheet Information - Accrued Expenses (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Balance Sheet Related Disclosures [Abstract] | ||
Accrued compensation and related benefits | $ 9,666 | $ 8,734 |
Sales and use tax payable | 4,500 | 3,938 |
Accrued colocation and bandwidth costs | 2,519 | 3,237 |
Other accrued liabilities | 3,533 | 3,969 |
Total accrued expenses | $ 20,218 | $ 19,878 |
Balance Sheet Information - Oth
Balance Sheet Information - Other Current Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Balance Sheet Related Disclosures [Abstract] | ||
Liability for early-exercised stock options (see Note 11) | $ 385 | $ 467 |
Deferred revenue | 852 | 317 |
Accrued computer and networking equipment | 3,896 | 7,060 |
Other current liabilities | 297 | 325 |
Other Liabilities, Current | $ 5,430 | $ 8,169 |
Balance Sheet Information - O_2
Balance Sheet Information - Other Long-Term Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Balance Sheet Related Disclosures [Abstract] | ||
Deferred rent | $ 1,016 | $ 634 |
Other long-term liabilities | 341 | 404 |
Other Liabilities, Noncurrent | $ 1,357 | $ 1,038 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Goodwill (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2020USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | $ 372 |
Foreign currency translation | (24) |
Goodwill, ending balance | $ 348 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying value | $ 1,487 | $ 1,487 |
Accumulated amortization | (398) | (362) |
Total finite-lived intangible assets | 1,089 | 1,125 |
Internet protocol addresses | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying value | 1,448 | 1,448 |
Accumulated amortization | (398) | (362) |
Total finite-lived intangible assets | 1,050 | 1,086 |
Domain name | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying value | 39 | 39 |
Accumulated amortization | 0 | 0 |
Total finite-lived intangible assets | $ 39 | $ 39 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Expected Amortization of Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2020 | $ 119 | |
2021 | 158 | |
2022 | 158 | |
2023 | 148 | |
2024 | 145 | |
Thereafter | 361 | |
Total finite-lived intangible assets | $ 1,089 | $ 1,125 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization of intangible assets | $ 0.1 | $ 0.1 |
Debt Instruments - Capital Leas
Debt Instruments - Capital Lease Agreement (Details) - USD ($) | 1 Months Ended | ||||||||
Dec. 31, 2019 | Nov. 30, 2019 | Mar. 31, 2019 | Mar. 31, 2018 | Jun. 30, 2017 | Mar. 31, 2020 | Jan. 31, 2020 | Aug. 31, 2019 | Feb. 28, 2019 | |
Debt Instrument [Line Items] | |||||||||
Capital lease obligations | $ 9,549,000 | $ 11,234,000 | |||||||
Capital Lease Obligations | |||||||||
Debt Instrument [Line Items] | |||||||||
Capital lease term | 4 years | 4 years | |||||||
Network equipment | Capital Lease Obligations | |||||||||
Debt Instrument [Line Items] | |||||||||
Capital lease, face amount | $ 1,000,000 | $ 2,200,000 | $ 1,300,000 | $ 500,000 | $ 5,000,000 | $ 2,300,000 | $ 1,000,000 | $ 1,300,000 | $ 2,900,000 |
Interest rate, stated percentage | 5.42% | 5.69% | 5.38% | 5.24% | 5.42% | 6.33% | 5.38% | ||
Capital lease term | 3 years | 3 years | 3 years | 3 years |
Debt Instruments - Credit Facil
Debt Instruments - Credit Facility (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2020 | Dec. 31, 2019 | Nov. 30, 2019 | |
Debt Instrument [Line Items] | |||
Amount of debt outstanding | $ 20,300,000 | $ 20,300,000 | |
Line of Credit | Second Lien Credit Facility | |||
Debt Instrument [Line Items] | |||
Debt facility, maximum borrowing amount | $ 70,000,000 | ||
Line of credit, unused capacity, commitment fee percentage | 0.20% | ||
Line of Credit | Second Lien Credit Facility | Prime Rate | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 1.50% |
Debt Instruments - Carrying Val
Debt Instruments - Carrying Values of Debt Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Debt Disclosure [Abstract] | ||
Principal amount—Cash Collateralized Revolving Credit Agreement | $ 20,300 | $ 20,300 |
Less: unamortized debt issuance costs | (200) | (219) |
Less: current portion of long-term debt | 0 | 0 |
Long-term debt, less current portion—Cash Collateralized Revolving Credit Agreement | 20,100 | 20,081 |
Principal amount—Capital Lease Agreement | 11,234 | 9,549 |
Less: current portion of long-term debt | (5,291) | (4,472) |
Long-term debt, less current portion—Capital Lease Agreement | 5,943 | 5,077 |
Total long-term debt, less current portion | $ 26,043 | $ 25,158 |
Debt Instruments - Maturities S
Debt Instruments - Maturities Schedule (Details) $ in Thousands | Mar. 31, 2020USD ($) |
Principal | |
Principal - Remainder of 2020 | $ 3,704 |
Principal - 2021 | 4,838 |
Principal - 2022 | 22,758 |
Principal - 2023 | 234 |
Principal - 2024 | 0 |
Principal - Thereafter | 0 |
Principal - Total | 31,534 |
Interest | |
Interest - Remainder of 2020 | 1,867 |
Interest - 2021 | 2,072 |
Interest - 2022 | 21,140 |
Interest - 2023 | 2 |
Interest - 2024 | 0 |
Interest - Thereafter | 0 |
Interest - Total | 25,081 |
Total | |
Total - Remainder of 2020 | 5,571 |
Total - 2021 | 6,910 |
Total - 2022 | 43,898 |
Total - 2023 | 236 |
Total - 2024 | 0 |
Total - Thereafter | 0 |
Total | $ 56,615 |
Debt Instruments - Narrative (D
Debt Instruments - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Debt Disclosure [Abstract] | ||
Interest expense | $ 0.3 | $ 1.2 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Rent expense | $ 2.3 | $ 1.8 |
Sublease income | $ 0.3 | $ 0.3 |
Commitments and Contingencies_2
Commitments and Contingencies - Purchase Commitments (Details) $ in Thousands | Mar. 31, 2020USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Remainder of 2020 | $ 33,184 |
2021 | 13,290 |
2022 | 4,790 |
2023 | 284 |
2024 | 72 |
Thereafter | 0 |
Total | $ 51,620 |
Convertible Preferred Stock (De
Convertible Preferred Stock (Details) | Mar. 31, 2020shares | Dec. 31, 2019shares | Dec. 31, 2018series_of_stock$ / shares |
Temporary Equity Disclosure [Abstract] | |||
Number of Preferred Stock series | series_of_stock | 7 | ||
Preferred Series par value (in dollars per share) | $ / shares | $ 0.00002 | ||
Shares issued (in shares) | 0 | 0 | |
Shares outstanding (in shares) | 0 | 0 |
Stockholders' Equity - Common S
Stockholders' Equity - Common Stock and Preferred Stock (Details) | Mar. 31, 2020shares | Dec. 31, 2019shares | May 31, 2019vote$ / sharesshares |
Class of Stock [Line Items] | |||
Preferred stock, shares authorized (in shares) | 10,000,000 | ||
Preferred stock, par value (in USD per share) | $ / shares | $ 0.00002 | ||
Preferred stock, shares issued (in shares) | 0 | 0 | |
Preferred stock, shares outstanding (in shares) | 0 | 0 | |
Common Class A | |||
Class of Stock [Line Items] | |||
Common stock, shares authorized (in shares) | 1,000,000,000 | ||
Common stock, par value (in USD per share) | $ / shares | $ 0.00002 | ||
Common stock, voting rights (votes per share) | vote | 1 | ||
Common stock, shares issued (in shares) | 71,800,000 | 61,000,000 | |
Common stock, shares outstanding (in shares) | 71,800,000 | 61,000,000 | |
Common Class B | |||
Class of Stock [Line Items] | |||
Common stock, shares authorized (in shares) | 94,100,000 | ||
Common stock, par value (in USD per share) | $ / shares | $ 0.00002 | ||
Common stock, voting rights (votes per share) | vote | 10 | ||
Common stock, shares issued (in shares) | 24,200,000 | 33,900,000 | |
Common stock, shares outstanding (in shares) | 24,200,000 | 33,900,000 |
Stockholders' Equity - Equity I
Stockholders' Equity - Equity Incentive Plans (Details) - USD ($) | 1 Months Ended | ||
May 31, 2019 | Mar. 31, 2020 | Dec. 31, 2019 | |
Shares issuable pursuant to the ESPP | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock, shares reserved for future issuance (in shares) | 3,500,000 | 2,500,000 | |
Common stock, shares available for future issuance (in shares) | 3,100,000 | 2,200,000 | |
Maximum deduction of eligible compensation, percent | 15.00% | ||
Maximum purchase value during offering period, per employee | $ 25,000 | ||
Common Class B | 2011 Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock, shares reserved for future issuance (in shares) | 23,600,000 | ||
Common stock, shares available for future issuance (in shares) | 0 | 0 | |
Common Class A | 2019 Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock, shares reserved for future issuance (in shares) | 19,200,000 | 14,400,000 | |
Common stock, shares available for future issuance (in shares) | 16,000,000 | 12,400,000 |
Stockholders' Equity - Stock Op
Stockholders' Equity - Stock Options (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Pre-tax intrinsic value | $ 20.2 | $ 3.2 |
Vesting of early exercised stock options | $ 2.3 | $ 1.4 |
Weighted-average grant date fair value (in USD per share) | $ 5.10 | |
2011 Equity Incentive Plan | Stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award expiration period | 10 years | |
Award vesting period | 4 years | |
Award vesting percentage per year | 25.00% | |
2019 Equity Incentive Plan | Stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award expiration period | 10 years | |
Award vesting period | 4 years | |
Award vesting percentage per year | 25.00% |
Stockholders' Equity - Stock _2
Stockholders' Equity - Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2020 | Dec. 31, 2018 | Mar. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||||
Options outstanding, beginning balance (in shares) | 11,269 | |||
Granted (in shares) | 0 | |||
Exercised (in shares) | (1,107) | |||
Cancelled/forfeited (in shares) | (61) | |||
Options outstanding, ending balance (in shares) | 10,101 | |||
Options vested and exercisable (in shares) | 6,443 | |||
Stock Options Weighted Average Exercise Price | ||||
Options outstanding, weighted average exercise price, beginning of period (in USD per share) | $ 4.89 | $ 4.89 | $ 4.68 | |
Granted, weighted average exercise price (in USD per share) | 0 | |||
Exercised, weighted average exercise price (in USD per share) | 2.68 | |||
Cancelled/forfeited, weighted average exercise price (in USD per share) | 6.94 | |||
Options outstanding, weighted average exercise price, end of period (in USD per share) | $ 4.89 | |||
Vested and exercisable, weighted-average exercise price (in USD per share) | $ 3 | |||
Stock Option Activity, Additional Disclosures | ||||
Weighted-average remaining contractual period | 7 years 2 months 12 days | 7 years 3 months 18 days | ||
Aggregate intrinsic value | $ 142,692 | $ 173,471 | ||
Vested and exercisable, weighted average contractual term | 6 years 4 months 24 days | |||
Vested and exercisable, aggregate intrinsic value | $ 102,947 |
Stockholders' Equity - Employee
Stockholders' Equity - Employee Stock Options (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 6,329 | $ 1,467 |
Unrecognized stock-based compensation cost | 16,200 | |
Stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Fair value of common stock | $ 10.32 | |
Expected term (in years) | 6 years 7 days | |
Risk-free interest rate | 2.50% | |
Expected volatility | 40.00% | |
Dividend yield | 0.00% | |
Stock-based compensation expense | $ 1,800 | $ 1,500 |
Weighted-average period of recognition | 2 years 6 months 29 days |
Stockholders' Equity - Early Ex
Stockholders' Equity - Early Exercise of Stock Options (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Beginning balance (in shares) | 199,895 | |
Ending balance (in shares) | 163,305 | |
Stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Other long-term liabilities | $ 0.7 | $ 0.9 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Beginning balance (in shares) | 200,000 | |
Early exercise of options (in shares) | 0 | |
Vested (in shares) | (37,000) | |
Repurchased (in shares) | 0 | |
Ending balance (in shares) | 163,000 |
Stockholders' Equity - RSUs, PS
Stockholders' Equity - RSUs, PSUs and ESPP (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Stock-based compensation expense | $ 6,329,000 | $ 1,467,000 |
RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting period | 4 years | |
Award vesting percentage per year | 25.00% | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Beginning balance (in shares) | 1,641,000 | |
Granted (in shares) | 1,072,000 | |
Vested (in shares) | 0 | |
Cancelled/forfeited (in shares) | (11,000) | |
Ending balance (in shares) | 2,702,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Beginning balance (in USD per share) | $ 20.07 | |
Granted (in USD per share) | 20.03 | |
Forfeited (in USD per share) | 20.04 | |
Ending balance (in USD per share) | $ 20.04 | |
Stock-based compensation expense | $ 4,100,000 | |
Unrecognized stock-based compensation cost | $ 47,900,000 | |
Weighted-average period of recognition | 3 years 1 month 28 days | |
Performance-based Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting percentage per year | 25.00% | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Granted (in shares) | 87,918 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Number of shares issued for each PSU (in shares) | 1 | |
Shares issuable pursuant to the ESPP | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Offering period duration | 6 months | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Stock-based compensation expense | $ 700,000 | 0 |
Maximum employee contribution as a percentage of salary | 15.00% | |
Purchase price of common stock, percent | 85.00% | |
Fair value of common stock | $ 6.02 | |
Expected term (in years) | 15 days | |
Risk-free interest rate | 1.59% | |
Expected volatility | 43.00% | |
Dividend yield | 0.00% | |
Contributions withheld for taxes | $ 2,200,000 | $ 0 |
Stock issued under ESPP (in shares) | 0 |
Stockholders' Equity - Stock-ba
Stockholders' Equity - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 6,329 | $ 1,467 |
Cost of revenue | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | 615 | 144 |
Research and development | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | 1,671 | 432 |
Sales and marketing | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | 1,483 | 369 |
General and administrative | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 2,560 | $ 522 |
Net Loss Per Share Attributab_3
Net Loss Per Share Attributable to Common Stockholders - Computation of EPS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Class of Stock [Line Items] | ||
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted (in shares) | 95,401 | 25,290 |
Net loss per share attributable to common shareholders, basic and diluted (in USD per share) | $ (0.13) | $ (0.38) |
Common Class A | ||
Class of Stock [Line Items] | ||
Net loss attributable to common stockholders | $ (8,196) | |
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted (in shares) | 65,210 | |
Net loss per share attributable to common shareholders, basic and diluted (in USD per share) | $ (0.13) | |
Shares issued (in shares) | 12,900 | |
Common Class B | ||
Class of Stock [Line Items] | ||
Net loss attributable to common stockholders | $ (3,794) | $ (9,727) |
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted (in shares) | 30,191 | 25,290 |
Net loss per share attributable to common shareholders, basic and diluted (in USD per share) | $ (0.13) | $ (0.38) |
Number of shares converted (in shares) | 53,600 |
Net Loss Per Share Attributab_4
Net Loss Per Share Attributable to Common Stockholders - Antidilutive Securities (Details) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities (in shares) | 13,422 | 62,482 |
Convertible preferred stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities (in shares) | 0 | 53,630 |
Stock options | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities (in shares) | 10,101 | 8,073 |
RSUs | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities (in shares) | 2,702 | 0 |
Early exercised stock options | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities (in shares) | 163 | 260 |
Warrant | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities (in shares) | 183 | 519 |
Shares issuable pursuant to the ESPP | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities (in shares) | 185 | 0 |
Performance-based Stock Units | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities (in shares) | 88 | 0 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | ||
Income taxes | $ 819 | $ 55 |
Information About Revenue and_3
Information About Revenue and Geographic Areas (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020USD ($)segment | Dec. 31, 2019USD ($) | |
Segment Reporting [Abstract] | ||
Number of reportable segments | segment | 1 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | $ 69,069 | $ 60,037 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | 43,818 | 40,747 |
All other countries | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | $ 25,251 | $ 19,290 |
Related Party Transactions (Det
Related Party Transactions (Details) - Related Party Promissory Note - Stockholder - USD ($) | 1 Months Ended | ||
Jul. 31, 2016 | Mar. 31, 2020 | Dec. 31, 2019 | |
Related Party Transaction [Line Items] | |||
Related party note receivable | $ 100,000 | ||
Number of shares converted (in shares) | 53,125 | ||
Interest rate of promissory note | 1.77% | ||
Promissory note, amount outstanding | $ 0 | $ 0 |
Uncategorized Items - fsly-10qx
Label | Element | Value |
Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 5,727,000 |