Switch (SWCH) 10-Q 9 Aug 22 2022 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2022	Aug. 01, 2022
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	001-38231
Entity Registrant Name	Switch, Inc.
Entity Incorporation, State or Country Code	NV
Entity Tax Identification Number	82-1883953
Entity Address, Address Line One	7135 S. Decatur Boulevard
Entity Address, City or Town	Las Vegas,
Entity Address, State or Province	NV
Entity Address, Postal Zip Code	89118
City Area Code	(702)
Local Phone Number	444-4111
Title of 12(b) Security	Class A common stock, par value $0.001
Trading Symbol	SWCH
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0001710583
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Class A Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		156,794,670
Class B Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		88,104,048
Class C Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		0

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
CURRENT ASSETS:
Cash and cash equivalents	$ 31,226	$ 48,325
Restricted cash	0	1,890
Accounts receivable, net of allowance for credit losses of $395 and $361, respectively	20,597	18,368
Prepaid expenses	8,470	10,265
Other current assets, net of allowance for credit losses of $3	6,539	4,624
Total current assets	66,832	83,472
Property and equipment, net	2,386,870	2,237,059
Long-term deposit	38,741	13,504
Deferred income taxes	328,389	295,699
Intangible assets, net	123,342	125,758
Goodwill	106,350	106,350
Other assets, net of allowance for credit losses of $94 and $91, respectively	59,583	56,776
TOTAL ASSETS	3,110,107	2,918,618
CURRENT LIABILITIES:
Long-term debt, current portion	4,000	4,000
Accounts payable	35,691	55,262
Accrued salaries and benefits	10,075	6,786
Accrued interest	8,646	8,577
Accrued expenses and other	18,878	18,285
Accrued construction payables	28,946	31,093
Deferred revenue, current portion	21,395	16,905
Customer deposits	16,998	16,335
Swap liability, current portion	1,796	8,062
Operating lease liability, current portion	3,138	3,281
Liabilities under tax receivable agreement, current portion	75,108	0
Total current liabilities	224,671	168,586
Long-term debt, net	1,780,904	1,611,962
Operating lease liability	31,276	32,157
Finance lease liability	57,316	57,376
Deferred revenue	23,854	25,921
Liabilities under tax receivable agreement	0	395,615
Other long-term liabilities	935	8,360
TOTAL LIABILITIES	2,118,956	2,299,977
Commitments and contingencies (Note 5)
STOCKHOLDERS’ EQUITY:
Preferred stock, $0.001 par value per share, 10,000 shares authorized, none issued and outstanding	0	0
Additional paid in capital	392,972	352,984
Retained earnings (accumulated deficit)	350,567	(23,022)
Accumulated other comprehensive loss	(568)	(568)
Total Switch, Inc. stockholders’ equity	743,216	329,637
Noncontrolling interest	247,935	289,004
TOTAL STOCKHOLDERS’ EQUITY	991,151	618,641
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	3,110,107	2,918,618
Class A Common Stock
STOCKHOLDERS’ EQUITY:
Class A common stock, $0.001 par value per share, 750,000 shares authorized, 150,767 and 145,187 shares issued and outstanding, respectively	151	145
Class B Common Stock
STOCKHOLDERS’ EQUITY:
Class A common stock, $0.001 par value per share, 750,000 shares authorized, 150,767 and 145,187 shares issued and outstanding, respectively	94	98
Class C Common Stock
STOCKHOLDERS’ EQUITY:
Class A common stock, $0.001 par value per share, 750,000 shares authorized, 150,767 and 145,187 shares issued and outstanding, respectively	$ 0	$ 0

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Accounts receivable, allowance for credit losses	$ 395	$ 361
Other current assets, allowance for credit losses	3	3
Other assets, allowance for credit losses	$ 94	$ 91
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Class A Common Stock
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	750,000,000	750,000,000
Common stock, shares issued (in shares)	150,767,000	145,187,000
Common stock, shares outstanding (in shares)	150,767,000	145,187,000
Class B Common Stock
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	300,000,000	300,000,000
Common stock, shares issued (in shares)	94,131,000	98,331,000
Common stock, shares outstanding (in shares)	94,131,000	98,331,000
Class C Common Stock
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	75,000,000	75,000,000
Common stock, shares issued (in shares)	0	0
Common stock, shares outstanding (in shares)	0	0

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Comprehensive Income [Abstract]
Revenue	$ 168,185	$ 141,690	$ 332,794	$ 272,556
Cost of revenue	101,352	76,994	195,843	148,687
Gross profit	66,833	64,696	136,951	123,869
Selling, general and administrative expense	45,647	39,875	88,518	74,873
Income from operations	21,186	24,821	48,433	48,996
Other income (expense):
Interest expense, including $662, $620, $1,324, and $1,203, respectively, in amortization of debt issuance costs and original issue discount	(14,186)	(10,198)	(27,383)	(18,955)
Gain (loss) on swaps	2,353	(2,970)	16,002	235
Equity in net losses of investments	0	(379)	0	(599)
Gain on sale of equity method investment	0	0	0	5,374
Gain on termination of tax receivable agreement	372,784	0	372,784	0
Other	406	321	881	3,592
Total other income (expense)	361,357	(13,226)	362,284	(10,353)
Income before income taxes	382,543	11,595	410,717	38,643
Income tax expense	(1,803)	(1,911)	(6,043)	(4,565)
Net income	380,740	9,684	404,674	34,078
Less: net income attributable to noncontrolling interest	3,905	5,323	15,046	18,076
Net income attributable to Switch, Inc.	$ 376,835	$ 4,361	$ 389,628	$ 16,002
Net income per share (Note 9):
Basic (in dollars per share)	$ 2.51	$ 0.03	$ 2.62	$ 0.12
Diluted (in dollars per share)	$ 1.51	$ 0.03	$ 1.60	$ 0.12
Weighted average shares used in computing net income per share (Note 9):
Basic (in shares)	150,036	130,163	148,861	128,412
Diluted (in shares)	251,089	245,527	250,422	131,660
Other comprehensive loss:
Foreign currency translation adjustment, net of reclassification adjustment and tax of $0	$ 0	$ 0	$ 0	$ (474)
Comprehensive income	380,740	9,684	404,674	33,604
Less: comprehensive income attributable to noncontrolling interest	3,905	5,323	15,046	17,663
Comprehensive income attributable to Switch, Inc.	$ 376,835	$ 4,361	$ 389,628	$ 15,941

Consolidated Statements of Co_2

Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Statement [Abstract]
Amortization of debt issuance costs and original issue discount	$ 662	$ 620	$ 1,324	$ 1,203
Foreign currency translation adjustment, tax	$ 0	$ 0	$ 0	$ 0

Consolidated Statement of Stock

Consolidated Statement of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Class A Common Stock	Common Stock Class A Common Stock	Common Stock Class B Common Stock	Additional Paid in Capital	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Loss	Noncontrolling Interest
Beginning balance (in shares) at Dec. 31, 2020			119,009	121,640
Beginning balance at Dec. 31, 2020	$ 610,967		$ 119	$ 122	$ 266,129	$ 9	$ 79	$ 344,509
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	24,394					11,641		12,753
Equity-based compensation expense	7,297				6,359			938
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax (shares)			812
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax	(5,474)		$ 1		(5,622)			147
Dividends declared	(6,562)					(6,562)
Distributions to noncontrolling interest	(5,696)							(5,696)
Exchanges of noncontrolling interest for Class A common stock (in shares)			7,725	7,725
Exchanges of noncontrolling interest for Class A common stock			$ 8	$ (8)	22,364			(22,364)
Recognition of tax receivable agreement liability resulting from exchanges of noncontrolling interest for Class A common stock	(32,477)				(32,477)
Net deferred tax asset resulting from changes in outside basis difference on investment in Switch, Ltd.	26,752				26,752
Foreign currency translation adjustment	(474)						(61)	(413)
Ending balance (in shares) at Mar. 31, 2021			127,546	113,915
Ending balance at Mar. 31, 2021	$ 618,727		$ 128	$ 114	283,505	5,088	18	329,874
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Dividends declared (in dollars per share)	$ 0.05
Beginning balance (in shares) at Dec. 31, 2020			119,009	121,640
Beginning balance at Dec. 31, 2020	$ 610,967		$ 119	$ 122	266,129	9	79	344,509
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	34,078
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax (shares)		11,000
Ending balance (in shares) at Jun. 30, 2021			131,090	110,638
Ending balance at Jun. 30, 2021	622,326		$ 131	$ 111	295,785	2,733	18	323,548
Beginning balance (in shares) at Mar. 31, 2021			127,546	113,915
Beginning balance at Mar. 31, 2021	618,727		$ 128	$ 114	283,505	5,088	18	329,874
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	9,684					4,361		5,323
Equity-based compensation expense	7,528				6,906			622
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax (shares)			21
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax	$ (153)				(777)			624
Issuance of Class A common stock upon exercise of stock options (in shares)	181
Issuance of Class A common stock upon exercise of stock options	$ 3,070				1,232			1,838
Issuance of restricted stock awards (in shares)			65
Dividends declared	(6,716)					(6,716)
Distributions to noncontrolling interest	(5,532)							(5,532)
Exchanges of noncontrolling interest for Class A common stock (in shares)			3,277	3,277
Exchanges of noncontrolling interest for Class A common stock			$ 3	$ (3)	9,201			(9,201)
Recognition of tax receivable agreement liability resulting from exchanges of noncontrolling interest for Class A common stock	(14,973)				(14,973)
Net deferred tax asset resulting from changes in outside basis difference on investment in Switch, Ltd.	10,691				10,691
Ending balance (in shares) at Jun. 30, 2021			131,090	110,638
Ending balance at Jun. 30, 2021	$ 622,326		$ 131	$ 111	295,785	2,733	18	323,548
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Dividends declared (in dollars per share)	$ 0.05
Beginning balance (in shares) at Dec. 31, 2021			145,187	98,331
Beginning balance at Dec. 31, 2021	$ 618,641		$ 145	$ 98	352,984	(23,022)	(568)	289,004
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	23,934					12,793		11,141
Equity-based compensation expense	6,681				6,681
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax (shares)			957
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax	$ (11,549)		$ 1		(11,209)			(341)
Issuance of Class A common stock upon exercise of stock options (in shares)	144
Issuance of Class A common stock upon exercise of stock options	$ 2,445		$ 1		2,611			(167)
Dividends declared	(7,959)					(7,959)
Distributions to noncontrolling interest	(4,931)							(4,931)
Exchanges of noncontrolling interest for Class A common stock (in shares)			2,558	2,558
Exchanges of noncontrolling interest for Class A common stock			$ 2	$ (2)	7,766			(7,766)
Recognition of tax receivable agreement liability resulting from exchanges of noncontrolling interest for Class A common stock	(16,841)				(16,841)
Net deferred tax asset resulting from changes in outside basis difference on investment in Switch, Ltd.	15,294				15,294
Ending balance (in shares) at Mar. 31, 2022			148,846	95,773
Ending balance at Mar. 31, 2022	$ 625,715		$ 149	$ 96	357,286	(18,188)	(568)	286,940
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Dividends declared (in dollars per share)	$ 0.0525
Beginning balance (in shares) at Dec. 31, 2021			145,187	98,331
Beginning balance at Dec. 31, 2021	$ 618,641		$ 145	$ 98	352,984	(23,022)	(568)	289,004
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	404,674
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax (shares)		4,200
Termination of tax receivable agreement								(35,400)
Ending balance (in shares) at Jun. 30, 2022			150,767	94,131
Ending balance at Jun. 30, 2022	991,151		$ 151	$ 94	392,972	350,567	(568)	247,935
Beginning balance (in shares) at Mar. 31, 2022			148,846	95,773
Beginning balance at Mar. 31, 2022	625,715		$ 149	$ 96	357,286	(18,188)	(568)	286,940
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	380,740					376,835		3,905
Equity-based compensation expense	6,980				6,980
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax (shares)			36
Issuance of Class A common stock upon settlement of restricted stock units, net of shares withheld for tax	$ (593)				(2,533)			1,940
Issuance of Class A common stock upon exercise of stock options (in shares)	195
Issuance of Class A common stock upon exercise of stock options	$ 3,328				3,555			(227)
Issuance of restricted stock awards (in shares)			48
Dividends declared	(8,080)					(8,080)
Distributions to noncontrolling interest	(4,942)							(4,942)
Exchanges of noncontrolling interest for Class A common stock (in shares)			1,642	1,642
Exchanges of noncontrolling interest for Class A common stock			$ 2	$ (2)	4,245			(4,245)
Termination of tax receivable agreement	(35,436)							(35,436)
Net deferred tax asset resulting from changes in outside basis difference on investment in Switch, Ltd.	23,439				23,439
Ending balance (in shares) at Jun. 30, 2022			150,767	94,131
Ending balance at Jun. 30, 2022	$ 991,151		$ 151	$ 94	$ 392,972	$ 350,567	$ (568)	$ 247,935
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Dividends declared (in dollars per share)	$ 0.0525

Consolidated Statement of Sto_2

Consolidated Statement of Stockholders' Equity (Parenthetical) - $ / shares	3 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021
Statement of Stockholders' Equity [Abstract]
Dividends declared (in dollars per share)	$ 0.0525	$ 0.0525	$ 0.05	$ 0.05

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 404,674	$ 34,078
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization of property and equipment	97,342	80,076
Amortization of customer relationships	3,125	417
Loss on disposal of property and equipment	238	179
Deferred income taxes	6,043	4,565
Amortization of debt issuance costs and original issue discount	1,324	1,203
Credit loss expense (benefit)	210	(19)
Unrealized gain on swaps	(20,085)	(4,999)
Equity in net losses on investments	0	599
Gain on termination of tax receivable agreement	(372,784)	0
Gain on sale of equity method investment	0	(5,374)
Equity-based compensation	13,661	14,825
Amortization of portfolio energy credits	819	0
Cost of revenue for sales-type leases	0	150
Changes in operating assets and liabilities:
Accounts receivable	(2,994)	(6,466)
Prepaid expenses	1,795	2,814
Other current assets	(308)	(332)
Other assets	2,772	(1,197)
Accounts payable	(3,086)	4,434
Accrued salaries and benefits	3,289	4,078
Accrued interest	69	1,529
Accrued expenses and other	4,271	1,242
Deferred revenue	2,423	1,421
Customer deposits	663	949
Operating lease liabilities	(1,112)	(2,104)
Other long-term liabilities	(365)	(246)
Net cash provided by operating activities	141,984	131,822
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of a business, net of cash acquired	(3,678)	(409,094)
Acquisition of property and equipment	(285,947)	(195,786)
Purchase of portfolio energy credits	(1,382)	(1,756)
Purchase of equity method investment	0	(2,200)
Proceeds from sale of equity method investment	0	4,900
Proceeds from sale of equity method investment	378	2,033
Net cash used in investing activities	(290,629)	(601,903)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from borrowings, net of original issue discount	170,000	520,000
Payment of debt issuance costs	0	(4,158)
Repayment of borrowings, including finance lease liabilities	(2,063)	(20,075)
Change in long-term deposit	(5,649)	(385)
Payment of tax withholdings upon settlement of restricted stock unit awards	(12,713)	(5,942)
Proceeds from exercise of stock options	5,773	3,070
Dividends paid to Class A common stockholders	(15,722)	(12,923)
Distributions paid to noncontrolling interest	(9,970)	(11,441)
Net cash provided by financing activities	129,656	468,146
NET DECREASE IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH	(18,989)	(1,935)
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH—Beginning of period	50,215	90,719
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH—End of period	31,226	88,784
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid for interest, net of amounts capitalized	26,310	16,419
SUPPLEMENTAL DISCLOSURES OF NON-CASH INVESTING AND FINANCING INFORMATION:
(Decrease) increase in liabilities incurred to acquire property and equipment	(18,778)	24,897
(Decrease) increase in accrued construction payables incurred related to long-term deposit	(1,452)	2,560
Increase in liabilities incurred related to deferred debt issuance costs	0	544
Increase in liabilities related to remaining purchase price for the acquisition of a business	0	6,507
Decrease in noncontrolling interest as a result of exchanges for Class A common stock	(12,011)	(31,565)
Recognition of liabilities under tax receivable agreement	52,277	47,450
Increase in deferred tax asset resulting from changes in outside basis difference on investment in Switch, Ltd.	38,733	37,443
Right-of-use assets obtained in exchange for new operating lease liabilities	1,167	7,839
Decrease in distributions payable on unvested common units	(97)	(213)
Increase in dividends payable on unvested restricted stock units	317	355
Dividends payable settled with shares of Class A common stock	571	315
Increase in liabilities related to purchase of portfolio energy credits	146	0
RECONCILIATION OF CASH, CASH EQUIVALENTS, AND RESTRICTED CASH:
Cash and cash equivalents	31,226	84,816
Restricted cash	0	3,968
Total cash, cash equivalents, and restricted cash	$ 31,226	$ 88,784

Organization

Organization	6 Months Ended
	Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization	Organization Switch, Inc. was formed as a Nevada corporation in June 2017 for the purpose of completing an initial public offering (“IPO”) and related organizational transactions in order to carry on the business of Switch, Ltd. and its subsidiaries (collectively, “Switch,” and together with Switch, Inc., the “Company”). Switch is comprised of limited liability companies that provide colocation space and related services to global enterprises, financial companies, government agencies, and others that conduct critical business on the internet. Switch develops and operates data centers in Nevada, which are Tier IV Gold certified, Michigan, and Georgia, delivering redundant services with low latency and super capacity transport environments. I n June 2021, Switch, Ltd. acquired all of the equity interests of Data Foundry, LLC (“Data Foundry”) and certain real property interests used in connection with Data Foundry’s operations, including operating data centers in Texas. As the manager of Switch, Ltd., Switch, Inc. operates and controls all of the business and affairs of Switch. On May 11, 2022, the Company entered into a definitive merger agreement with an affiliate of DigitalBridge Group, Inc. and IFM Investors pursuant to an Agreement and Plan of Merger (the “Merger Agreement”) entered into by Switch, Inc., Switch, Ltd., Sunshine Bidco Inc., a Delaware corporation (“Parent”), Sunshine Merger Sub, Ltd., a Nevada limited liability company and a direct wholly owned subsidiary of Switch, Inc. (“Company Merger Sub”), and Sunshine Parent Merger Sub Inc., a Nevada corporation and a wholly owned subsidiary of Parent (“Parent Merger Sub”). The Merger Agreement provides that, upon the terms and subject to the conditions set forth therein, Parent Merger Sub will merge with and into Switch, Inc. with Switch, Inc. remaining as the surviving entity (the “Merger”), and immediately following the Merger, Company Merger Sub will merge with and into Switch Ltd. (the “LLC Merger” and, together with the Merger, the “Mergers”). Subject to the terms and conditions of the Merger Agreement, at the effective time of the Merger, the issued and outstanding shares of the Company’s Class A common stock will be acquired for $34.25 per share in an all-cash transaction, and any issued and outstanding shares of the Company’s Class B common stock shall be cancelled and converted into the right to receive cash consideration of $34.25 per share. The Mergers and the other transactions contemplated by the Merger Agreement (collectively, the “DigitalBridge/IFM Transaction”) are subject to the satisfaction of customary closing conditions, including the receipt of regulatory approvals and the satisfaction or waiver of the other conditions to the Mergers described in the Merger Agreement. The Mergers are expected to close during the fourth quarter of 2022. Upon completion of the DigitalBridge/IFM Transaction, the Company will no longer be traded or listed on any public securities exchange.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the rules and regulations of the Securities and Exchange Commission for quarterly reports on Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted. These consolidated financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. On June 7, 2021, Switch, Ltd. acquired all of the equity interests of Data Foundry and certain real property interests used in connection with Data Foundry’s operations for total cash consideration of $420.0 million, which includes $4.6 million of acquired cash, cash equivalents, and restricted cash. The Company has included the results of operations for Data Foundry in the consolidated financial statements from the date of acquisition. Management believes that the accompanying consolidated financial statements reflect all adjustments, which include only normal recurring adjustments, necessary for the fair statement of these consolidated financial statements. The consolidated results of operations for the three and six months ended June 30, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022, or for any other future annual or interim period. Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and all significant intercompany transactions and balances have been eliminated. As the sole manager of Switch, Ltd., Switch, Inc. identified itself as the primary beneficiary of Switch and began consolidating Switch in its consolidated financial statements as of October 11, 2017, the closing date of the IPO, resulting in a noncontrolling interest related to the common units of Switch, Ltd. (“Common Units”) held by members other than Switch, Inc. on its consolidated financial statements. As of January 2021, Switch, Inc. owns a majority economic interest in Switch. The Company periodically evaluates entities for consolidation either through ownership of a majority voting interest, or through means other than voting interest, in accordance with the Variable Interest Entity (“VIE”) accounting model. A VIE is an entity in which either (i) the equity investors as a group, if any, lack the power through voting or similar rights to direct the activities of such entity that most significantly impact such entity’s economic performance or (ii) the equity investment at risk is insufficient to finance that entity’s activities without additional subordinated financial support. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including, but not limited to, those related to the allowance for credit losses, useful lives of property and equipment, impairment of intangible assets, deferred income taxes, equity-based compensation, deferred revenue, incremental borrowing rate, fair value of performance obligations, fair value of assets acquired and liabilities assumed in business combinations, and probability assessments of exercising renewal options on leases. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable. Actual results could differ from these estimates. Significant Accounting Policies A description of the Company’s significant accounting policies is included in the audited financial statements within its Annual Report on Form 10-K for the year ended December 31, 2021. No other changes to significant accounting policies have occurred since December 31, 2021, with the exception of those detailed below. Concentration of Credit and Other Risks Although the Company operates primarily in Nevada, realization of its receivables and its future operations and cash flows could be affected by adverse economic conditions, both regionally and elsewhere in the United States. The Company’s largest customer and its affiliates comprised 13% of the Company’s revenue during each of the three and six months ended June 30, 2022 and 15% of the Company’s revenue during each of the three and six months ended June 30, 2021. Three customers accounted for 10% or more of total receivables, including net investments in sales-type leases, as of June 30, 2022. One customer accounted for 10% or more of total receivables, including net investments in sales-type leases, as of December 31, 2021. Revenue Recognition Contract Balances The opening and closing balances of the Company’s contract assets, net of allowance for credit losses, and deferred revenue are as follows: Contract Assets, Current Portion (1) Contract Assets (2) Deferred Revenue, Current Portion (3) Deferred Revenue (4) (in thousands) December 31, 2021 $ 190 $ 4,262 $ 16,905 $ 25,921 June 30, 2022 190 4,325 21,395 23,854 Change $ — $ 63 $ 4,490 $ (2,067) ________________________________________ (1) Amounts are included within other current assets on the Company’s consolidated balance sheets. (2) Amounts are included within other assets on the Company’s consolidated balance sheets. (3) Amounts include $1.5 million and $1.4 million of deferred revenue related to leases as of June 30, 2022 and December 31, 2021, respectively. (4) Amounts include $1.9 million and $2.8 million of deferred revenue related to leases as of June 30, 2022 and December 31, 2021, respectively. The differences between the opening and closing balances of the Company’s deferred revenue primarily result from timing differences between the Company’s satisfaction of performance obligations and the associated customer payments. Revenue recognized from the balance of deferred revenue as of December 31, 2021 was $2.2 million and $4.4 million during the three and six months ended June 30, 2022, respectively. For the three and six months ended June 30, 2022, no impairment losses related to contract assets were recognized on the consolidated statement of comprehensive income. Remaining Performance Obligations Remaining performance obligations represent contracted revenue that has not yet been recognized, which includes deferred revenue and amounts that will be invoiced and recognized in future periods. These amounts totaled $879.5 million as of June 30, 2022, 47%, 41%, and 9% of which is expected to be recognized over the next year, one three Fair Value Measurements Information about the Company’s financial assets and liabilities measured at fair value on a recurring basis is presented below: June 30, 2022 Balance Sheet Classification Carrying Value Level 1 Level 2 Level 3 (in thousands) Assets: Cash equivalents Cash and cash equivalents $ 1,015 $ 1,015 $ — $ — Power swaps Other assets $ 2,671 $ — $ 2,671 $ — Interest rate swaps Other current assets $ 2,316 $ — $ 2,316 $ — Interest rate swaps Other assets $ 2,127 $ — $ 2,127 $ — Liabilities: Power swaps Swap liability, current portion $ 1,796 $ — $ 1,796 $ — December 31, 2021 Balance Sheet Classification Carrying Value Level 1 Level 2 Level 3 (in thousands) Assets: Cash equivalents Cash and cash equivalents $ 17,959 $ 17,959 $ — $ — Liabilities: Interest rate swaps Swap liability, current portion $ 8,062 $ — $ 8,062 $ — Interest rate swaps Other long-term liabilities $ 6,706 $ — $ 6,706 $ — There were no transfers between levels of fair value hierarchy during the periods presented. The fair values of power swaps and interest rate swaps were measured using a present value of cash flow valuation technique based on forward pricing and yield curves for the same or similar financial instruments. Derivative Financial Instruments A derivative is a financial instrument whose value changes in response to an underlying variable, requires little or no initial net investment, and is settled at a future date. Derivatives are initially recognized on the consolidated balance sheets at fair value on the date on which the derivatives are entered into and subsequently re-measured at fair value. Derivatives are separated into their current and long-term components based on the timing of the estimated cash flows as of the end of each reporting period. Embedded derivatives included in hybrid instruments are treated and disclosed as separate derivatives when their economic characteristics and risks are not closely related to those of the host contract, the terms of the embedded derivative are the same as those of a stand-alone derivative, and the combined contract is not measured at fair value through earnings. The financial host contracts are accounted for and measured using the applicable GAAP of the relevant financial instrument category. The method of recognizing fair value gains and losses depends on whether the derivatives are designated as hedging instruments, and if so, the nature of the hedge relationship. All gains and losses from changes in the fair values of derivatives that do not qualify for hedge accounting are recognized immediately in earnings. Cash flows from derivatives not designated as hedging instruments are classified in accordance with the nature of the derivative instrument and how it is used in the context of the Company’s business. The Company enters into interest rate swap agreements to manage its interest rate risk associated with variable-rate borrowings. In January and February 2019, Switch, Ltd. entered into four interest rate swap agreements; whereby, Switch, Ltd. will pay a weighted average fixed interest rate (excluding the applicable interest margin) of 2.48% on notional amounts corresponding to borrowings of $400.0 million in exchange for receipts on the same notional amount at a variable interest rate based on the applicable LIBOR at the time of payment. The interest rate swap agreements mature in June 2024 and are not designated as hedging instruments. Resulting gains and losses from these derivatives, inclusive of periodic net settlement amounts, were recorded in gain (loss) on swaps on the consolidated statements of comprehensive income. The Company recorded gains on interest rate swaps of $3.5 million and $15.1 million for the three and six months ended June 30, 2022, respectively. The Company recorded a loss on interest rate swaps of $0.8 million for the three months ended June 30, 2021 and a gain on interest rate swaps of $2.4 million for the six months ended June 30, 2021. The Company enters into power swap agreements to manage its exposure to adverse changes in the price of power. In March and April 2022, Switch, Ltd. entered into four power swap agreements comprising power paid at fixed prices in exchange for receipts on power sales based on the variable prices at the time of settlement. The power swap agreements mature in September 2022 and September 2024 and are not designated as hedging instruments. Resulting gains and losses from these derivatives, inclusive of periodic net settlement amounts, were recorded in gain (loss) on swaps on the consolidated statements of comprehensive income. The Company recorded a loss on power swaps of $1.1 million for the three months ended June 30, 2022 and a gain on power swaps of $0.9 million for the six months ended June 30, 2022. The Company recorded a loss on power swaps of $2.2 million for the three and six months ended June 30, 2021 as a result of power swap agreements entered into in June 2021, which matured in August 2021. Recent Accounting Pronouncements The Company’s management has evaluated all of the recently issued, but not yet effective, accounting standards that have been issued or proposed by the Financial Accounting Standards Board or other standards-setting bodies through the filing date of these financial statements and does not believe the future adoption of any such pronouncements will have a material effect on the Company’s financial position, results of operations, and cash flows.

Property and Equipment, Net

Property and Equipment, Net	6 Months Ended
	Jun. 30, 2022
Property, Plant and Equipment [Abstract]
Property and Equipment, Net	Property and Equipment, Net Property and equipment, net consists of the following: June 30, December 31, 2022 2021 (in thousands) Land and land improvements $ 340,863 $ 322,808 Buildings, building improvements, and leasehold improvements 750,797 695,378 Substation equipment 19,780 19,780 Data center equipment 1,655,274 1,559,241 Vehicles 2,146 2,045 Core network equipment 47,068 43,086 Fiber facilities 15,575 14,647 Computer equipment, furniture and fixtures 55,743 53,194 Finance lease right-of-use assets 75,933 75,933 Construction in progress 389,279 319,623 Property and equipment, gross 3,352,458 3,105,735 Less: accumulated depreciation and amortization (965,588) (868,676) Property and equipment, net $ 2,386,870 $ 2,237,059 Accumulated amortization for finance lease right-of-use assets totaled $17.8 million and $16.7 million as of June 30, 2022 and December 31, 2021, respectively. During the six months ended June 30, 2022 and 2021, capitalized interest was $5.7 million and $2.8 million, respectively. Total depreciation and amortization of property and equipment recognized on the consolidated statements of comprehensive income was as follows: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Cost of revenue $ 48,181 $ 40,226 $ 94,619 $ 77,955 Selling, general and administrative expense 1,328 1,059 2,723 2,121 Total depreciation and amortization of property and equipment $ 49,509 $ 41,285 $ 97,342 $ 80,076

Long-Term Debt

Long-Term Debt	6 Months Ended
	Jun. 30, 2022
Debt Disclosure [Abstract]
Long-Term Debt	Long-Term Debt Long-term debt consists of the following: June 30, December 31, 2022 2021 (in thousands) 3.75% senior unsecured notes, due September 2028 $ 600,000 $ 600,000 4.125% senior unsecured notes, due June 2029 500,000 500,000 Term loan facility, interest paid at the defined LIBOR rate plus applicable interest margin (3.62% and 2.10% at June 30, 2022 and December 31, 2021, respectively), due July 2028 397,000 399,000 Revolving credit facility, interest paid at the defined LIBOR rate plus applicable interest margin (3.39% and 1.85% at June 30, 2022 and December 31, 2021, respectively), due July 2026 300,000 130,000 Long-term debt, gross 1,797,000 1,629,000 Less: unamortized debt issuance costs and original issue discount (12,096) (13,038) 1,784,904 1,615,962 Less: long-term debt, current (4,000) (4,000) Long-term debt, net $ 1,780,904 $ 1,611,962 As of June 30, 2022, the Company had $193.1 million of available borrowing capacity under its revolving credit facility, net of outstanding letters of credit. The estimated fair value of the Company’s long-term debt as of June 30, 2022 and December 31, 2021 was approximately $1.78 billion and $1.65 billion, respectively, compared to its carrying value, excluding debt issuance costs and original issue discount, of $1.80 billion and $1.63 billion, respectively. The estimated fair value of the Company’s long-term debt was based on Level 2 inputs using quoted market prices on or about June 30, 2022 and December 31, 2021, respectively.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	. Commitments and Contingencies Purchase Commitments In March 2022, Switch, Ltd. entered into a power purchase and sale agreement to purchase an aggregate firm commitment of 474,650 megawatt-hours, or a purchase commitment of $25.7 million, inclusive of scheduling services, during a term of 19 months, which started on May 1, 2022. Additional franchise tax amounts may be due based on the data center location where the purchased power is used. Future power purchase commitments for the remainder of 2022 and 2023 are $6.5 million and $17.4 million, respectively, with no additional commitments upon termination of the agreement thereafter. In May 2022, in connection with the execution of the Merger Agreement, Switch, Ltd. entered into a purchase and sale agreement with entities in which a member of the Company’s Board of Directors has beneficial ownership interests for the acquisition of land and a data center building currently being leased from these entities for a total purchase price of $300.0 million, of which $21.0 million was paid as a nonrefundable deposit and recorded in long-term deposit on the consolidated balance sheet as of June 30, 2022. Pursuant to the purchase and sale agreement, the closing on the acquisition of the purchased property will be conditioned upon, among other things, the consummation of the Mergers. Operating Leases During the three months ended June 30, 2022 and 2021, lease costs related to operating leases were $1.9 million and $1.7 million, respectively. During the six months ended June 30, 2022 and 2021, lease costs related to operating leases were $3.8 million and $3.4 million, respectively. Related party lease costs included in these amounts were $1.1 million and $1.2 million for the three months ended June 30, 2022 and 2021, respectively, and $2.3 million and $2.4 million for the six months ended June 30, 2022 and 2021, respectively. Legal Proceedings Seven lawsuits have been filed by purported stockholders of the Company relating to the Mergers: Palkon v. Rob Roy et al., Case No. A-22-853216-B (Nev. Eight Jud. Dist. Ct., May 26, 2022) (the “Palkon Action”), O’Dell v. Switch, Inc., et al., Civil Action No. 1:22-cv-05246 (S.D.N.Y. June 22, 2022) (the “O’Dell Action”), Bushansky v. Switch, Inc. et al., Civil Action No. 1:22-cv-05347 (S.D.N.Y June 24, 2022) (the “Bushansky Action”), Brown v. Switch, Inc. et al., Civil Action No. 1:22-cv-05360 (S.D.N.Y June 24, 2022) (the “Brown Action”), Redfield v. Switch, Inc., et al., Civil Action No. 1:22-cv-05518 (S.D.N.Y. June 28, 2022) (the “Redfield Action”), Waterman v. Switch, Inc. et al., Civil Action No. 1:22-cv-05523 (S.D.N.Y. June 29, 2022) (the “Waterman Action”), and Wilhelm v. Switch, Inc. et al., Civil Action No. 1:22-cv-05785 (S.D.N.Y. July 7, 2022) (the “Wilhelm Action”, and collectively with the Palkon Action, the O’Dell Action, the Bushansky Action, the Brown Action, the Redfield Action and the Waterman Action, the “Actions”). The Palkon Action names as defendants the Company’s Board of Directors, DigitalBridge, IFM Investors Pty Ltd, and certain affiliates of the Company and alleges, among other things, that the Company’s Board of Directors breached their fiduciary duties in approving the Mergers, and that DigitalBridge, IFM Investors Pty Ltd, and the certain affiliates of the Company named as defendants aided and abetted such breaches. Upon the Stipulation of the Parties, the Court ordered that the plaintiff must file an amended complaint on or before October 3, 2022. The defendants’ responses to the amended complaint are due sixty (60) days after the amended complaint is filed. If the defendants respond to the amended complaint by motion(s), the plaintiff must file any opposition(s) within sixty (60) days thereafter, and the defendants must file any replies within thirty (30) days after the plaintiff’s opposition(s) are filed. The O’Dell Action, the Bushansky Action, and the Brown Action name as defendants the Company and its Board of Directors, and allege, among other things, that the Preliminary Proxy Statement on Schedule 14A of the Company filed on June 16, 2022 (the “Preliminary Proxy Statement”) omits material information with respect to the Mergers, rendering the Preliminary Proxy Statement false and misleading in violation of Sections 14(a) and 20(a) of the Exchange Act. The Redfield Action, the Waterman Action, and the Wilhelm Action allege similar disclosure deficiencies with respect to the Definitive Proxy Statement filed by the Company on Schedule 14A on June 27, 2022 (the “Definitive Proxy Statement”). The Actions seek, among other relief, an order enjoining the Mergers or rescission if the Mergers are consummated. In addition, eight purported stockholders sent letters to the Company alleging similar deficiencies in the Definitive Proxy Statement, or, in some cases, the Preliminary Proxy Statement, as those noted in the above-referenced Actions (collectively, the “Demand Letters”). The Company believes that the claims in the Actions and Demand Letters are without merit and intends to vigorously defend against them. The Company vigorously denies that the Preliminary Proxy Statement or the Definitive Proxy Statement is deficient in any respect. The Company believes that the claims asserted in the Actions and Demand Letters are without merit and no further disclosure is required to supplement the Definitive Proxy Statement under applicable laws. However, solely to moot the unmeritorious disclosure claims and minimize the risk, costs, burden, nuisance and uncertainties inherent in litigation, the Company supplemented the disclosures contained in the Definitive Proxy Statement on July 25, 2022 (the “Supplemental Disclosures”) which should be read in conjunction with the Definitive Proxy Statement. Nothing in the Supplemental Disclosures will be deemed an admission of the legal necessity or materiality under any applicable laws for any of the disclosures set forth therein. The outcomes of the legal proceedings are inherently unpredictable, subject to significant uncertainties, and could be material to the Company’s financial condition, results of operations, and cash flows for a particular period. Management has determined that based on proceedings to date, it is currently unable to determine the probability of the outcome of these actions or the range of reasonably possible loss, if any.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Income TaxesThe Company recorded net increases in deferred tax assets of $23.4 million and $10.7 million during the three months ended June 30, 2022 and 2021, respectively, and $38.7 million and $37.4 million during the six months ended June 30, 2022 and 2021, respectively, with a corresponding increase to additional paid in capital, inclusive of the impact of the $75.1 million liability recorded in connection with the executed amendment to the tax receivable agreement as noted below, resulting from changes in the outside basis difference on Switch, Inc.’s investment in Switch, Ltd. The Company has determined that it is more-likely-than-not that it will be able to realize this deferred tax asset in the future, inclusive of any potential effects of the Merger Agreement. Tax Receivable Agreement The Company has recorded a liability under the tax receivable agreement of $75.1 million and $395.6 million as of June 30, 2022 and December 31, 2021, respectively, of which $45.0 million and $190.7 million is owed to certain named executive officers of the Company, certain members of its Board of Directors, and certain beneficial owners of more than 5% of the Company’s Class A or Class B common stock (and immediate family members of the foregoing) as of June 30, 2022 and December 31, 2021, respectively. The tax receivable agreement provided for the payment of 85% of the amount of the tax benefits, if any, that Switch, Inc. was deemed to realize as a result of increases in the tax basis of its ownership in Switch, Ltd. related to exchanges of noncontrolling interest for Class A common stock. Concurrent with the execution of the Merger Agreement in May 2022, the Company executed an amendment to the tax receivable agreement, which provides that in exchange for the termination of the tax receivable agreement, each member party thereto is entitled to receive a payment in cash of $0.37 per Common Unit on the earlier of the closing of a change of control transaction, as defined by the tax receivable agreement, or December 31, 2022. Accordingly, during the three and six months ended June 30, 2022, a gain on termination of tax receivable agreement of $372.8 million, with no corresponding tax impact, was recorded on the consolidated statements of comprehensive income and $35.4 million was recorded to noncontrolling interest for Common Units not yet exchanged.

Equity-Based Compensation

Equity-Based Compensation	6 Months Ended
	Jun. 30, 2022
Share-based Payment Arrangement [Abstract]
Equity-Based Compensation	Equity-Based Compensation Total equity-based compensation recognized on the consolidated statements of comprehensive income was as follows: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Cost of revenue $ 508 $ 597 $ 1,030 $ 1,187 Selling, general and administrative expense 6,472 6,931 12,631 13,638 Total equity-based compensation $ 6,980 $ 7,528 $ 13,661 $ 14,825

Non-controlling Interest

Non-controlling Interest	6 Months Ended
	Jun. 30, 2022
Noncontrolling Interest [Abstract]
Noncontrolling Interest	Noncontrolling Interest Ownership Switch, Inc. owns an economic interest in Switch, Ltd., where “economic interest” means the right to receive any distributions, whether cash, property, or securities of Switch, Ltd., in connection with Common Units. Switch, Inc. presents interest held by noncontrolling interest holders within noncontrolling interest in the consolidated financial statements. During the six months ended June 30, 2022 and 2021, Switch, Inc. issued an aggregate of 4.2 million shares and 11.0 million shares, respectively, of Class A common stock to members in connection with such members’ redemptions of an equivalent number of Common Units and corresponding cancellation and retirement of an equivalent number of Switch, Inc.’s Class B common stock. Such retired shares of Class B common stock may not be reissued. The redemptions occurred pursuant to the terms of the Switch operating agreement entered into in connection with the Company’s IPO. The ownership of the Common Units is summarized as follows: June 30, 2022 December 31, 2021 Units (in thousands) Ownership % Units (in thousands) Ownership % Switch, Inc.’s ownership of Common Units (1) 150,719 61.6 % 145,116 59.6 % Noncontrolling interest holders’ ownership of Common Units 94,131 38.4 % 98,331 40.4 % Total Common Units 244,850 100.0 % 243,447 100.0 % ________________________________________ (1) Common Units held by Switch, Inc. exclude 48,000 and 71,000 Common Units underlying unvested restricted stock awards as of June 30, 2022 and December 31, 2021, respectively. The Company uses the weighted average ownership percentages during the period to calculate the income or loss before income taxes attributable to Switch, Inc. and the noncontrolling interest holders of Switch, Ltd.

Net Income Per Share

Net Income Per Share	6 Months Ended
	Jun. 30, 2022
Earnings Per Share [Abstract]
Net Income Per Share	Net Income Per Share The following table sets forth the calculation of basic and diluted net income per share: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands, except per share data) Net income per share: Numerator—basic: Net income attributable to Switch, Inc.—basic $ 376,835 $ 4,361 $ 389,628 $ 16,002 Numerator—diluted: Net income attributable to Switch, Inc.—basic $ 376,835 $ 4,361 $ 389,628 $ 16,002 Effect of dilutive securities: Shares of Class B and Class C common stock 3,088 3,055 11,769 — Net income attributable to Switch, Inc.—diluted $ 379,923 $ 7,416 $ 401,397 $ 16,002 Denominator—basic: Weighted average shares outstanding—basic 150,036 130,163 148,861 128,412 Net income per share—basic $ 2.51 $ 0.03 $ 2.62 $ 0.12 Denominator—diluted: Weighted average shares outstanding—basic 150,036 130,163 148,861 128,412 Weighted average effect of dilutive securities: Stock options 4,845 2,453 4,509 1,963 Restricted stock units 1,366 1,455 1,317 1,180 Dividend equivalent units 28 43 27 44 Restricted stock awards 52 53 52 50 Performance-vesting restricted stock units 105 23 53 11 Shares of Class B and Class C common stock 94,657 111,337 95,603 — Weighted average shares outstanding—diluted 251,089 245,527 250,422 131,660 Net income per share—diluted $ 1.51 $ 0.03 $ 1.60 $ 0.12 Shares of Class B and Class C common stock do not share in the earnings or losses of Switch, Inc. and are therefore not participating securities. As such, separate calculations of basic and diluted net income per share for each of Class B and Class C common stock under the two-class method have not been presented. The following table presents potentially dilutive securities excluded from the computation of diluted net income per share for the periods presented because their effect would have been anti-dilutive. Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Restricted stock awards (1) 48 65 48 65 Performance-vesting restricted stock units (1) 226 — 226 — Shares of Class B and Class C common stock (2) — — — 110,638 ________________________________________ (1) Represents the number of instruments outstanding at the end of the period. Application of the treasury stock method would reduce this amount if they had a dilutive effect and were included in the computation of diluted net income per share. (2) Shares of Class B and Class C common stock at the end of the period are considered potentially dilutive shares of Class A common stock under application of the if-converted method.

Segment Reporting

Segment Reporting	6 Months Ended
	Jun. 30, 2022
Segment Reporting [Abstract]
Segment Reporting	Segment Reporting The Company’s chief operating decision maker is its Chief Executive Officer. The Company manages its operations as a single operating segment for the purposes of assessing performance and making operating decisions. All of the Company’s assets are maintained in the United States, although the Company holds an equity method investment in an entity with foreign operations. The Company derives almost all of its revenue from sales to customers in the United States, based upon the billing address of the customer. Revenue derived from customers outside the United States, based upon the billing address of the customer, was less than 2% of revenue for each of the three and six months ended June 30, 2022 and 2021. The Company’s revenue is comprised of the following: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Colocation $ 133,789 $ 114,298 $ 265,721 $ 221,599 Connectivity 31,484 24,910 61,441 46,796 Other 2,912 2,482 5,632 4,161 Total revenue $ 168,185 $ 141,690 $ 332,794 $ 272,556

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2022
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events In July 2022, the Company borrowed $20.0 million under its revolving credit facility. In July and August 2022, Switch, Inc. issued an aggregate of 0.2 million and 5.9 million shares, respectively, of Class A common stock to members in connection with such members’ redemptions of an equivalent number of Common Units and corresponding cancellation and retirement of an equivalent number of shares of Class B common stock. Such retired shares of Class B common stock may not be reissued. The redemptions occurred pursuant to the terms of the Switch operating agreement entered into in connection with the Company’s IPO. In August 2022, Switch, Inc.’s Board of Directors declared a dividend of $0.0525 per share of Class A common stock, for a total estimated to be $8.2 million, to be paid on September 1, 2022 to holders of record as of August 22, 2022. Prior to the payment of this dividend, Switch, Ltd. will make a cash distribution to all holders of record of Common Units, including Switch, Inc., of $0.0525 per Common Unit, for a total estimated to be $12.9 million. In August 2022, Switch, Inc.’s stockholders voted to approve the Mergers and the other transactions contemplated by the Merger Agreement at a special meeting of stockholders held for that purpose.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the rules and regulations of the Securities and Exchange Commission for quarterly reports on Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted. These consolidated financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. On June 7, 2021, Switch, Ltd. acquired all of the equity interests of Data Foundry and certain real property interests used in connection with Data Foundry’s operations for total cash consideration of $420.0 million, which includes $4.6 million of acquired cash, cash equivalents, and restricted cash. The Company has included the results of operations for Data Foundry in the consolidated financial statements from the date of acquisition. Management believes that the accompanying consolidated financial statements reflect all adjustments, which include only normal recurring adjustments, necessary for the fair statement of these consolidated financial statements. The consolidated results of operations for the three and six months ended June 30, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022, or for any other future annual or interim period.
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and all significant intercompany transactions and balances have been eliminated. As the sole manager of Switch, Ltd., Switch, Inc. identified itself as the primary beneficiary of Switch and began consolidating Switch in its consolidated financial statements as of October 11, 2017, the closing date of the IPO, resulting in a noncontrolling interest related to the common units of Switch, Ltd. (“Common Units”) held by members other than Switch, Inc. on its consolidated financial statements. As of January 2021, Switch, Inc. owns a majority economic interest in Switch. The Company periodically evaluates entities for consolidation either through ownership of a majority voting interest, or through means other than voting interest, in accordance with the Variable Interest Entity (“VIE”) accounting model. A VIE is an entity in which either (i) the equity investors as a group, if any, lack the power through voting or similar rights to direct the activities of such entity that most significantly impact such entity’s economic performance or (ii) the equity investment at risk is insufficient to finance that entity’s activities without additional subordinated financial support.
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including, but not limited to, those related to the allowance for credit losses, useful lives of property and equipment, impairment of intangible assets, deferred income taxes, equity-based compensation, deferred revenue, incremental borrowing rate, fair value of performance obligations, fair value of assets acquired and liabilities assumed in business combinations, and probability assessments of exercising renewal options on leases. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable. Actual results could differ from these estimates.
Concentration of Credit and Other Risks	Concentration of Credit and Other Risks Although the Company operates primarily in Nevada, realization of its receivables and its future operations and cash flows could be affected by adverse economic conditions, both regionally and elsewhere in the United States. The Company’s largest customer and its affiliates comprised 13% of the Company’s revenue during each of the three and six months ended June 30, 2022 and 15% of the Company’s revenue during each of the three and six months ended June 30, 2021. Three customers accounted for 10% or more of total receivables, including net investments in sales-type leases, as of June 30, 2022. One customer accounted for 10% or more of total receivables, including net investments in sales-type leases, as of December 31, 2021.
Revenue Recognition	Revenue Recognition Contract Balances ended June 30, 2022, no impairment losses related to contract assets were recognized on the consolidated statement of comprehensive income. Remaining Performance Obligations Remaining performance obligations represent contracted revenue that has not yet been recognized, which includes deferred revenue and amounts that will be invoiced and recognized in future periods. These amounts totaled $879.5 million as of June 30, 2022, 47%, 41%, and 9% of which is expected to be recognized over the next year, one three
Revenue from Contract with Customer	Revenue Recognition Contract Balances The opening and closing balances of the Company’s contract assets, net of allowance for credit losses, and deferred revenue are as follows: Contract Assets, Current Portion (1) Contract Assets (2) Deferred Revenue, Current Portion (3) Deferred Revenue (4) (in thousands) December 31, 2021 $ 190 $ 4,262 $ 16,905 $ 25,921 June 30, 2022 190 4,325 21,395 23,854 Change $ — $ 63 $ 4,490 $ (2,067) ________________________________________ (1) Amounts are included within other current assets on the Company’s consolidated balance sheets. (2) Amounts are included within other assets on the Company’s consolidated balance sheets. (3) Amounts include $1.5 million and $1.4 million of deferred revenue related to leases as of June 30, 2022 and December 31, 2021, respectively. (4) Amounts include $1.9 million and $2.8 million of deferred revenue related to leases as of June 30, 2022 and December 31, 2021, respectively. The differences between the opening and closing balances of the Company’s deferred revenue primarily result from timing differences between the Company’s satisfaction of performance obligations and the associated customer payments. Revenue recognized from the balance of deferred revenue as of December 31, 2021 was $2.2 million and $4.4 million during the three and six months ended June 30, 2022, respectively. For the three and six months ended June 30, 2022, no impairment losses related to contract assets were recognized on the consolidated statement of comprehensive income. Remaining Performance Obligations Remaining performance obligations represent contracted revenue that has not yet been recognized, which includes deferred revenue and amounts that will be invoiced and recognized in future periods. These amounts totaled $879.5 million as of June 30, 2022, 47%, 41%, and 9% of which is expected to be recognized over the next year, one three
Fair Value Transfer	There were no transfers between levels of fair value hierarchy during the periods presented.
Fair Value Measurements	Fair Value Measurements Information about the Company’s financial assets and liabilities measured at fair value on a recurring basis is presented below: June 30, 2022 Balance Sheet Classification Carrying Value Level 1 Level 2 Level 3 (in thousands) Assets: Cash equivalents Cash and cash equivalents $ 1,015 $ 1,015 $ — $ — Power swaps Other assets $ 2,671 $ — $ 2,671 $ — Interest rate swaps Other current assets $ 2,316 $ — $ 2,316 $ — Interest rate swaps Other assets $ 2,127 $ — $ 2,127 $ — Liabilities: Power swaps Swap liability, current portion $ 1,796 $ — $ 1,796 $ — December 31, 2021 Balance Sheet Classification Carrying Value Level 1 Level 2 Level 3 (in thousands) Assets: Cash equivalents Cash and cash equivalents $ 17,959 $ 17,959 $ — $ — Liabilities: Interest rate swaps Swap liability, current portion $ 8,062 $ — $ 8,062 $ — Interest rate swaps Other long-term liabilities $ 6,706 $ — $ 6,706 $ — There were no transfers between levels of fair value hierarchy during the periods presented. The fair values of power swaps and interest rate swaps were measured using a present value of cash flow valuation technique based on forward pricing and yield curves for the same or similar financial instruments.
Derivative Financial Instruments	Derivative Financial Instruments A derivative is a financial instrument whose value changes in response to an underlying variable, requires little or no initial net investment, and is settled at a future date. Derivatives are initially recognized on the consolidated balance sheets at fair value on the date on which the derivatives are entered into and subsequently re-measured at fair value. Derivatives are separated into their current and long-term components based on the timing of the estimated cash flows as of the end of each reporting period. Embedded derivatives included in hybrid instruments are treated and disclosed as separate derivatives when their economic characteristics and risks are not closely related to those of the host contract, the terms of the embedded derivative are the same as those of a stand-alone derivative, and the combined contract is not measured at fair value through earnings. The financial host contracts are accounted for and measured using the applicable GAAP of the relevant financial instrument category. The method of recognizing fair value gains and losses depends on whether the derivatives are designated as hedging instruments, and if so, the nature of the hedge relationship. All gains and losses from changes in the fair values of derivatives that do not qualify for hedge accounting are recognized immediately in earnings. Cash flows
Recent Accounting Pronouncements	Recent Accounting Pronouncements The Company’s management has evaluated all of the recently issued, but not yet effective, accounting standards that have been issued or proposed by the Financial Accounting Standards Board or other standards-setting bodies through the filing date of these financial statements and does not believe the future adoption of any such pronouncements will have a material effect on the Company’s financial position, results of operations, and cash flows.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Opening and Closing Balances of the Company's Contract Assets and Deferred Revenue	The opening and closing balances of the Company’s contract assets, net of allowance for credit losses, and deferred revenue are as follows: Contract Assets, Current Portion (1) Contract Assets (2) Deferred Revenue, Current Portion (3) Deferred Revenue (4) (in thousands) December 31, 2021 $ 190 $ 4,262 $ 16,905 $ 25,921 June 30, 2022 190 4,325 21,395 23,854 Change $ — $ 63 $ 4,490 $ (2,067) ________________________________________ (1) Amounts are included within other current assets on the Company’s consolidated balance sheets. (2) Amounts are included within other assets on the Company’s consolidated balance sheets. (3) Amounts include $1.5 million and $1.4 million of deferred revenue related to leases as of June 30, 2022 and December 31, 2021, respectively. (4) Amounts include $1.9 million and $2.8 million of deferred revenue related to leases as of June 30, 2022 and December 31, 2021, respectively.
Fair Value Measurements	Information about the Company’s financial assets and liabilities measured at fair value on a recurring basis is presented below: June 30, 2022 Balance Sheet Classification Carrying Value Level 1 Level 2 Level 3 (in thousands) Assets: Cash equivalents Cash and cash equivalents $ 1,015 $ 1,015 $ — $ — Power swaps Other assets $ 2,671 $ — $ 2,671 $ — Interest rate swaps Other current assets $ 2,316 $ — $ 2,316 $ — Interest rate swaps Other assets $ 2,127 $ — $ 2,127 $ — Liabilities: Power swaps Swap liability, current portion $ 1,796 $ — $ 1,796 $ — December 31, 2021 Balance Sheet Classification Carrying Value Level 1 Level 2 Level 3 (in thousands) Assets: Cash equivalents Cash and cash equivalents $ 17,959 $ 17,959 $ — $ — Liabilities: Interest rate swaps Swap liability, current portion $ 8,062 $ — $ 8,062 $ — Interest rate swaps Other long-term liabilities $ 6,706 $ — $ 6,706 $ —

Property and Equipment, Net (Ta

Property and Equipment, Net (Tables)	6 Months Ended
	Jun. 30, 2022
Property, Plant and Equipment [Abstract]
Components of Property and Equipment, Net	Property and equipment, net consists of the following: June 30, December 31, 2022 2021 (in thousands) Land and land improvements $ 340,863 $ 322,808 Buildings, building improvements, and leasehold improvements 750,797 695,378 Substation equipment 19,780 19,780 Data center equipment 1,655,274 1,559,241 Vehicles 2,146 2,045 Core network equipment 47,068 43,086 Fiber facilities 15,575 14,647 Computer equipment, furniture and fixtures 55,743 53,194 Finance lease right-of-use assets 75,933 75,933 Construction in progress 389,279 319,623 Property and equipment, gross 3,352,458 3,105,735 Less: accumulated depreciation and amortization (965,588) (868,676) Property and equipment, net $ 2,386,870 $ 2,237,059
Depreciation and Amortization of Property and Equipment	Total depreciation and amortization of property and equipment recognized on the consolidated statements of comprehensive income was as follows: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Cost of revenue $ 48,181 $ 40,226 $ 94,619 $ 77,955 Selling, general and administrative expense 1,328 1,059 2,723 2,121 Total depreciation and amortization of property and equipment $ 49,509 $ 41,285 $ 97,342 $ 80,076

Long-Term Debt (Tables)

Long-Term Debt (Tables)	6 Months Ended
	Jun. 30, 2022
Debt Disclosure [Abstract]
Summary of Long-Term Debt	Long-term debt consists of the following: June 30, December 31, 2022 2021 (in thousands) 3.75% senior unsecured notes, due September 2028 $ 600,000 $ 600,000 4.125% senior unsecured notes, due June 2029 500,000 500,000 Term loan facility, interest paid at the defined LIBOR rate plus applicable interest margin (3.62% and 2.10% at June 30, 2022 and December 31, 2021, respectively), due July 2028 397,000 399,000 Revolving credit facility, interest paid at the defined LIBOR rate plus applicable interest margin (3.39% and 1.85% at June 30, 2022 and December 31, 2021, respectively), due July 2026 300,000 130,000 Long-term debt, gross 1,797,000 1,629,000 Less: unamortized debt issuance costs and original issue discount (12,096) (13,038) 1,784,904 1,615,962 Less: long-term debt, current (4,000) (4,000) Long-term debt, net $ 1,780,904 $ 1,611,962

Equity-Based Compensation (Tabl

Equity-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2022
Share-based Payment Arrangement [Abstract]
Equity-Based Compensation	Total equity-based compensation recognized on the consolidated statements of comprehensive income was as follows: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Cost of revenue $ 508 $ 597 $ 1,030 $ 1,187 Selling, general and administrative expense 6,472 6,931 12,631 13,638 Total equity-based compensation $ 6,980 $ 7,528 $ 13,661 $ 14,825

Non-controlling Interest (Table

Non-controlling Interest (Tables)	6 Months Ended
	Jun. 30, 2022
Noncontrolling Interest [Abstract]
Ownership of Common Units	The ownership of the Common Units is summarized as follows: June 30, 2022 December 31, 2021 Units (in thousands) Ownership % Units (in thousands) Ownership % Switch, Inc.’s ownership of Common Units (1) 150,719 61.6 % 145,116 59.6 % Noncontrolling interest holders’ ownership of Common Units 94,131 38.4 % 98,331 40.4 % Total Common Units 244,850 100.0 % 243,447 100.0 % ________________________________________

Net Income Per Share (Tables)

Net Income Per Share (Tables)	6 Months Ended
	Jun. 30, 2022
Earnings Per Share [Abstract]
Calculation of Basic and Diluted Net Income Per Share	The following table sets forth the calculation of basic and diluted net income per share: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands, except per share data) Net income per share: Numerator—basic: Net income attributable to Switch, Inc.—basic $ 376,835 $ 4,361 $ 389,628 $ 16,002 Numerator—diluted: Net income attributable to Switch, Inc.—basic $ 376,835 $ 4,361 $ 389,628 $ 16,002 Effect of dilutive securities: Shares of Class B and Class C common stock 3,088 3,055 11,769 — Net income attributable to Switch, Inc.—diluted $ 379,923 $ 7,416 $ 401,397 $ 16,002 Denominator—basic: Weighted average shares outstanding—basic 150,036 130,163 148,861 128,412 Net income per share—basic $ 2.51 $ 0.03 $ 2.62 $ 0.12 Denominator—diluted: Weighted average shares outstanding—basic 150,036 130,163 148,861 128,412 Weighted average effect of dilutive securities: Stock options 4,845 2,453 4,509 1,963 Restricted stock units 1,366 1,455 1,317 1,180 Dividend equivalent units 28 43 27 44 Restricted stock awards 52 53 52 50 Performance-vesting restricted stock units 105 23 53 11 Shares of Class B and Class C common stock 94,657 111,337 95,603 — Weighted average shares outstanding—diluted 251,089 245,527 250,422 131,660 Net income per share—diluted $ 1.51 $ 0.03 $ 1.60 $ 0.12
Potentially Dilutive Securities Excluded from the Computation of Diluted Net Income Per Share	The following table presents potentially dilutive securities excluded from the computation of diluted net income per share for the periods presented because their effect would have been anti-dilutive. Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Restricted stock awards (1) 48 65 48 65 Performance-vesting restricted stock units (1) 226 — 226 — Shares of Class B and Class C common stock (2) — — — 110,638 ________________________________________ (1) Represents the number of instruments outstanding at the end of the period. Application of the treasury stock method would reduce this amount if they had a dilutive effect and were included in the computation of diluted net income per share. (2) Shares of Class B and Class C common stock at the end of the period are considered potentially dilutive shares of Class A common stock under application of the if-converted method.

Segment Reporting (Tables)

Segment Reporting (Tables)	6 Months Ended
	Jun. 30, 2022
Segment Reporting [Abstract]
Composition of Revenue	The Company’s revenue is comprised of the following: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Colocation $ 133,789 $ 114,298 $ 265,721 $ 221,599 Connectivity 31,484 24,910 61,441 46,796 Other 2,912 2,482 5,632 4,161 Total revenue $ 168,185 $ 141,690 $ 332,794 $ 272,556

Organization (Details)

Organization (Details) - Merger Agreement	May 11, 2022 $ / shares
Class A Common Stock
Business Acquisition [Line Items]
Share price (in dollars per share)	$ 34.25
Class B Common Stock
Business Acquisition [Line Items]
Share price (in dollars per share)	$ 34.25

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Basis of Presentation (Details) - Data Foundry $ in Millions	Jun. 07, 2022 USD ($)
Business Acquisition [Line Items]
Cash consideration for acquisition	$ 420
Cash acquired in acquisition	$ 4.6

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Concentrations of Credit and Other Risks (Details) - customer	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Concentration Risk [Line Items]
Number of customers	3		3		1
Customer Concentration Risk | Revenue | Major Customers
Concentration Risk [Line Items]
Concentration risk percentage	13%	15%	13%	15%
Customer Concentration Risk | Accounts Receivable | Major Customers
Concentration Risk [Line Items]
Concentration risk percentage			10%		10%

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($)	3 Months Ended	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Accounting Policies [Abstract]
Revenue recognized	$ 4,400,000	$ 4,400,000	$ 2,200,000
Impairment losses related to contract balances	$ 0	$ 0

Summary of Significant Accoun_7

Summary of Significant Accounting Policies - Opening and Closing Balances of the Company's Contract Assets and Deferred Revenue (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Contract assets, current portion
Beginning balance	$ 190
Ending balance	190
Change	0
Contract assets
Beginning balance	4,262
Ending balance	4,325
Change	63
Deferred Revenue, Current
Beginning balance	16,905
Ending balance	21,395
Change	4,490
Deferred Revenue
Beginning balance	25,921
Ending balance	23,854
Change	(2,067)
Deferred revenue related to leases, current portion	1,500	$ 1,400
Deferred revenue related to leases, noncurrent portion	$ 1,900	$ 2,800

Summary of Significant Accoun_8

Summary of Significant Accounting Policies - Remaining Performance Obligations (Details) $ in Millions	Jun. 30, 2022 USD ($)
Revenue from External Customer [Line Items]
Remaining performance obligation	$ 879.5
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01
Revenue from External Customer [Line Items]
Percent of remaining performance obligation expected to be recognized	47%
Period over which the remaining performance obligation is expected to be recognized	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01
Revenue from External Customer [Line Items]
Percent of remaining performance obligation expected to be recognized	41%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | Minimum
Revenue from External Customer [Line Items]
Period over which the remaining performance obligation is expected to be recognized	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-07-01 | Maximum
Revenue from External Customer [Line Items]
Period over which the remaining performance obligation is expected to be recognized	3 years
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01
Revenue from External Customer [Line Items]
Percent of remaining performance obligation expected to be recognized	9%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | Minimum
Revenue from External Customer [Line Items]
Period over which the remaining performance obligation is expected to be recognized	3 years
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-07-01 | Maximum
Revenue from External Customer [Line Items]
Period over which the remaining performance obligation is expected to be recognized	5 years

Summary of Significant Accoun_9

Summary of Significant Accounting Policies - Fair Value Measurements (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash equivalents	$ 1,015	$ 17,959
Level 1
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash equivalents	1,015	17,959
Power swaps | Other assets
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	2,671
Power swaps | Other assets | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	2,671
Power swaps | Swap liability, current portion
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Interest rate swaps	1,796
Power swaps | Swap liability, current portion | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Interest rate swaps	1,796
Interest rate swaps | Other assets
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	2,127
Interest rate swaps | Other assets | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	2,127
Interest rate swaps | Other current assets
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	2,316
Interest rate swaps | Other current assets | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	$ 2,316
Interest rate swaps | Swap liability, current portion
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Interest rate swaps		8,062
Interest rate swaps | Swap liability, current portion | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Interest rate swaps		8,062
Interest rate swaps | Other long-term liabilities
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Interest rate swaps		6,706
Interest rate swaps | Other long-term liabilities | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Interest rate swaps		$ 6,706

Summary of Significant Accou_10

Summary of Significant Accounting Policies - Derivative Financial Instruments (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2022 USD ($) derivative	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($) derivative	Jun. 30, 2021 USD ($)	Feb. 28, 2019 USD ($) derivative
Interest rate swaps
Derivative Instruments, Gain (Loss) [Line Items]
Number of derivative agreements | derivative					4
Weighted average fixed interest rate on notional amounts					2.48%
Notional amount					$ 400,000,000
Gain (loss) on swaps	$ 3,500,000	$ (800,000)	$ 15,100,000	$ 2,400,000
Power swaps
Derivative Instruments, Gain (Loss) [Line Items]
Number of derivative agreements | derivative	4		4
Gain (loss) on swaps	$ (1,100,000)	$ (2,200,000)	$ 900,000	$ (2,200,000)

Property and Equipment, Net - C

Property and Equipment, Net - Components of Property and Equipment, Net (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 3,352,458	$ 3,105,735
Less: accumulated depreciation and amortization	(965,588)	(868,676)
Property and equipment, net	2,386,870	2,237,059
Land and land improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	340,863	322,808
Buildings, building improvements, and leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	750,797	695,378
Substation equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	19,780	19,780
Data center equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,655,274	1,559,241
Vehicles
Property, Plant and Equipment [Line Items]
Property and equipment, gross	2,146	2,045
Core network equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	47,068	43,086
Fiber facilities
Property, Plant and Equipment [Line Items]
Property and equipment, gross	15,575	14,647
Computer equipment, furniture and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment, gross	55,743	53,194
Finance lease right-of-use assets
Property, Plant and Equipment [Line Items]
Property and equipment, gross	75,933	75,933
Construction in progress
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 389,279	$ 319,623

Property and Equipment, Net - N

Property and Equipment, Net - Narrative (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Property, Plant and Equipment [Abstract]
Accumulated amortization for capitalized leased assets	$ 17.8		$ 16.7
Capitalized interest	$ 5.7	$ 2.8

Property and Equipment, Net - D

Property and Equipment, Net - Depreciation and Amortization of Property and Equipment (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Property, Plant and Equipment [Line Items]
Depreciation and amortization of property and equipment	$ 49,509	$ 41,285	$ 97,342	$ 80,076
Cost of revenue
Property, Plant and Equipment [Line Items]
Depreciation and amortization of property and equipment	48,181	40,226	94,619	77,955
Selling, general and administrative expense
Property, Plant and Equipment [Line Items]
Depreciation and amortization of property and equipment	$ 1,328	$ 1,059	$ 2,723	$ 2,121

Long-Term Debt - Summary of Lon

Long-Term Debt - Summary of Long-Term Debt (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Long-term debt, gross	$ 1,797,000	$ 1,629,000
Less: unamortized debt issuance costs and original issue discount	(12,096)	(13,038)
Long-term debt, net	1,784,904	1,615,962
Long-term debt, current portion	(4,000)	(4,000)
Long-term debt, net	$ 1,780,904	$ 1,611,962
Term Loan Facility
Debt Instrument [Line Items]
Interest rate	3.62%	2.10%
Revolving Credit Facility
Debt Instrument [Line Items]
Interest rate	3.39%	1.85%
Senior Unsecured Notes Due 2028 | Senior Notes
Debt Instrument [Line Items]
Long-term debt, gross	$ 600,000	$ 600,000
Interest rate	3.75%
Senior Unsecured Notes Due 2029 | Senior Notes
Debt Instrument [Line Items]
Long-term debt, gross	$ 500,000	500,000
Interest rate	4.125%
Term Loan Facility | Term Loan
Debt Instrument [Line Items]
Long-term debt, gross	$ 397,000	399,000
Revolving Credit Facility | Line of Credit
Debt Instrument [Line Items]
Long-term debt, gross	$ 300,000	$ 130,000

Long-Term Debt - Narrative (Det

Long-Term Debt - Narrative (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Estimated fair value of long-term debt	$ 1,780,000	$ 1,650,000
Aggregate principal amount of debt issued	1,797,000	1,629,000
Revolving Credit Facility | Line of Credit
Debt Instrument [Line Items]
Aggregate principal amount of debt issued	300,000	$ 130,000
Revolving Credit Facility | Line of Credit | Revolving Credit Facility
Debt Instrument [Line Items]
Available borrowing capacity	$ 193,100

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Thousands	1 Months Ended	3 Months Ended		6 Months Ended
	Mar. 31, 2022 USD ($) MWh	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	May 31, 2022 USD ($)
Other Commitments [Line Items]
Operating lease cost		$ 1,900	$ 1,700	$ 3,800	$ 3,400
Related party rent included in operating lease cost		$ 1,100	$ 1,200	$ 2,300	$ 2,400
Merger Agreement
Other Commitments [Line Items]
Purchase commitment						$ 300,000
Merger Agreement | Long-term deposits
Other Commitments [Line Items]
Purchase commitment						$ 21,000
Electricity
Other Commitments [Line Items]
Quantity required under purchase commitment (in megawatts per hour) | MWh	474,650
Purchase commitment	$ 25,700
Term of purchase commitment	19 months
Purchase commitment, remainder of year	$ 6,500
Purchase commitment, next year	$ 17,400

Income Taxes (Details)

Income Taxes (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	May 11, 2022	Dec. 31, 2021
Operating Loss Carryforwards [Line Items]
Deferred Tax Asset Partnership Outside Basis	$ 23,400,000	$ 10,700,000	$ 38,700,000	$ 37,400,000
Liability under tax receivable agreement	75,100,000		$ 75,100,000			$ 395,600,000
Percent of tax benefits realized that the company must make payments to holders for			85%
Gain on termination of tax receivable agreement	372,784,000	$ 0	$ 372,784,000	$ 0
Tax impact on gain from termination of tax receivable agreement	0		0
Termination of tax receivable agreement	35,436,000
Noncontrolling Interest
Operating Loss Carryforwards [Line Items]
Termination of tax receivable agreement	35,436,000		35,400,000
Merger Agreement | Common Units
Operating Loss Carryforwards [Line Items]
Share price (in dollars per share)					$ 0.37
Management, Board Members, and Immediate Family of Management or Board Members
Operating Loss Carryforwards [Line Items]
Liability under tax receivable agreement	$ 45,000,000		$ 45,000,000			$ 190,700,000

Equity-Based Compensation (Deta

Equity-Based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Equity-based compensation expense	$ 6,980	$ 7,528	$ 13,661	$ 14,825
Cost of revenue
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Equity-based compensation expense	508	597	1,030	1,187
Selling, general and administrative expense
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Equity-based compensation expense	$ 6,472	$ 6,931	$ 12,631	$ 13,638

Non-controlling Interest - Narr

Non-controlling Interest - Narrative (Details) - shares shares in Millions	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Class A Common Stock
Noncontrolling Interest [Line Items]
Issuance of common stock (in shares)	4.2	11

Non-controlling Interest - Owne

Non-controlling Interest - Ownership of Common Units (Details) - shares	Jun. 30, 2022	Dec. 31, 2021
Restricted stock awards
Noncontrolling Interest [Line Items]
Unvested awards (in shares)	48,000	71,000
Switch, Ltd.
Noncontrolling Interest [Line Items]
Switch, Inc.'s ownership of Common Units (in shares)	150,719,000	145,116,000
Noncontrolling interest holders’ ownership of Common Units (in shares)	94,131,000	98,331,000
Total Common Units (in shares)	244,850,000	243,447,000
Ownership percentage	61.60%	59.60%
Noncontrolling interest holders’ ownership of Common Units	38.40%	40.40%

Net Income Per Share - Calculat

Net Income Per Share - Calculation of Basic and Diluted Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Numerator—basic:
Net income attributable to Switch, Inc.—basic	$ 376,835	$ 4,361	$ 389,628	$ 16,002
Numerator—diluted:
Net income attributable to Switch, Inc.—diluted	$ 379,923	$ 7,416	$ 401,397	$ 16,002
Denominator—basic:
Weighted average shares outstanding—basic (in shares)	150,036	130,163	148,861	128,412
Basic net income per share (in dollars per share)	$ 2.51	$ 0.03	$ 2.62	$ 0.12
Denominator—diluted:
Weighted average shares outstanding—basic (in shares)	150,036	130,163	148,861	128,412
Weighted average effect of dilutive securities:
Weighted average shares outstanding - diluted (in shares)	251,089	245,527	250,422	131,660
Net income per share - diluted (in dollars per share)	$ 1.51	$ 0.03	$ 1.60	$ 0.12
Stock options
Weighted average effect of dilutive securities:
Weighted average shares outstanding - diluted (in shares)	4,845	2,453	4,509	1,963
Restricted stock units
Weighted average effect of dilutive securities:
Weighted average shares outstanding - diluted (in shares)	1,366	1,455	1,317	1,180
Dividend equivalent units
Weighted average effect of dilutive securities:
Weighted average shares outstanding - diluted (in shares)	28	43	27	44
Restricted stock awards
Weighted average effect of dilutive securities:
Weighted average shares outstanding - diluted (in shares)	52	53	52	50
Performance-vesting restricted stock units
Weighted average effect of dilutive securities:
Weighted average shares outstanding - diluted (in shares)	105	23	53	11
Shares of Class B and Class C common stock
Numerator—diluted:
Net income attributable to Switch, Inc.—diluted	$ 3,088	$ 3,055	$ 11,769	$ 0
Weighted average effect of dilutive securities:
Weighted average shares outstanding - diluted (in shares)	94,657	111,337	95,603	0

Net Income Per Share - Potentia

Net Income Per Share - Potentially Dilutive Securities Excluded from the Computation of Diluted Net Income Per Share (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of diluted net income per unit (in shares)	48	65	48	65
Performance-vesting restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of diluted net income per unit (in shares)	226	0	226	0
Shares of Class B and Class C common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of diluted net income per unit (in shares)	0	0	0	110,638

Segment Reporting - Narrative (

Segment Reporting - Narrative (Details) - segment	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenue, Major Customer [Line Items]
Number of operating segments			1	1
Outside of the United States | Revenue | Geographic Concentration Risk
Revenue, Major Customer [Line Items]
Concentration risk percentage	2%	2%	2%	2%

Segment Reporting - Composition

Segment Reporting - Composition of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenue from External Customer [Line Items]
Revenue	$ 168,185	$ 141,690	$ 332,794	$ 272,556
Colocation
Revenue from External Customer [Line Items]
Revenue	133,789	114,298	265,721	221,599
Connectivity
Revenue from External Customer [Line Items]
Revenue	31,484	24,910	61,441	46,796
Other
Revenue from External Customer [Line Items]
Revenue	$ 2,912	$ 2,482	$ 5,632	$ 4,161

Subsequent Events (Details)

Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions	1 Months Ended		3 Months Ended				6 Months Ended
	Aug. 31, 2022	Jul. 31, 2022	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Subsequent Event [Line Items]
Long-term debt, gross			$ 1,797,000				$ 1,797,000		$ 1,629,000
Dividends declared (in dollars per share)			$ 0.0525	$ 0.0525	$ 0.05	$ 0.05
Dividends declared			$ 8,080	$ 7,959	$ 6,716	$ 6,562
Class A Common Stock
Subsequent Event [Line Items]
Issuance of common stock (in shares)							4.2	11
Revolving Credit Facility | Line of Credit
Subsequent Event [Line Items]
Long-term debt, gross			$ 300,000				$ 300,000		$ 130,000
Subsequent Event | Class A Common Stock
Subsequent Event [Line Items]
Issuance of common stock (in shares)	5.9	0.2
Dividends declared (in dollars per share)	$ 0.0525
Dividends declared	$ 8,200
Subsequent Event | Common Units | Switch, Ltd.
Subsequent Event [Line Items]
Cash distribution (in dollars per share)	$ 0.0525
Estimated cash distribution	$ 12,900
Subsequent Event | Revolving Credit Facility | Line of Credit
Subsequent Event [Line Items]
Long-term debt, gross		$ 20,000