ContextLogic 10-Q 3 Aug 23 2023 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares shares in Thousands	6 Months Ended
	Jun. 30, 2023	Jul. 31, 2023
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2023
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q2
Entity Registrant Name	ContextLogic Inc.
Entity Central Index Key	0001822250
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		23,782
Entity Shell Company	false
Entity Small Business	true
Entity Emerging Growth Company	false
Title of 12(b) Security	Class A Common Stock, $0.0001 par value
Trading Symbol	WISH
Security Exchange Name	NASDAQ
Entity File Number	001-39775
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	27-2930953
Entity Address, Address Line One	One Sansome Street 33rd Floor
Entity Address, City or Town	San Francisco
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	94104
City Area Code	415
Local Phone Number	432-7323
Document Quarterly Report	true
Document Transition Report	false

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Millions	Jun. 30, 2023	Dec. 31, 2022	Jun. 30, 2022
Current assets:
Cash and cash equivalents	$ 318	$ 506	$ 693
Marketable securities	213	213
Funds receivable	4	14
Prepaid expenses and other current assets	30	44
Total current assets	565	777
Property and equipment, net	9	9
Right-of-use assets	6	9
Other assets	4	4
Total assets	584	799
Current liabilities:
Accounts payable	36	53
Merchants payable	87	120
Refunds liability	3	6
Accrued liabilities	110	130
Total current liabilities	236	309
Lease liabilities, non-current	9	13
Other liabilities	2
Total liabilities	247	322
Commitments and contingencies (Note 7)
Stockholders’ equity:
Preferred stock, $0.0001 par value: 100 shares authorized as of June 30, 2023 and December 31, 2022; No shares issued and outstanding as of June 30, 2023 and December 31, 2022
Common stock, $0.0001 par value: 3,000,000 shares authorized as of June 30, 2023 and December 31, 2022; 23,781 and 23,164 shares issued and outstanding as of June 30, 2023 and December 31, 2022
Additional paid-in capital	3,448	3,411
Accumulated other comprehensive loss	(13)	(5)
Accumulated deficit	(3,098)	(2,929)
Total stockholders’ equity	337	477	$ 682
Total liabilities and stockholders’ equity	$ 584	$ 799

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - $ / shares	Jun. 30, 2023	Dec. 31, 2022
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	100,000,000	100,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	3,000,000,000	3,000,000,000
Common stock, shares issued	23,781,000	23,164,000
Common stock, shares outstanding	23,781,000	23,164,000

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) - USD ($) shares in Thousands, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Revenue	$ 78	$ 134	$ 174	$ 323
Cost of revenue	62	92	138	217
Gross profit	16	42	36	106
Operating expenses:
Sales and marketing	39	56	76	101
Product development	38	46	89	112
General and administrative	22	31	47	46
Total operating expenses	99	133	212	259
Loss from operations	(83)	(91)	(176)	(153)
Other income, net:
Interest and other income, net	6	2	10	4
Loss before provision for income taxes	(77)	(89)	(166)	(149)
Provision for income taxes	3	1	3	1
Net loss	$ (80)	$ (90)	$ (169)	$ (150)
Net loss per share, basic	$ (3.38)	$ (4.05)	$ (7.21)	$ (6.77)
Net loss per share, diluted	$ (3.38)	$ (4.05)	$ (7.21)	$ (6.77)
Weighted-average shares used in computing net loss per share, basic	23,651	22,241	23,451	22,146
Weighted-average shares used in computing net loss per share, diluted	23,651	22,241	23,451	22,146

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Statement of Comprehensive Income [Abstract]
Net loss	$ (80)	$ (90)	$ (169)	$ (150)
Other comprehensive loss:
Unrealized holding losses on derivatives and marketable securities, net of tax	(4)	(4)	(4)	(5)
Foreign currency translation adjustment	(4)	(4)	(4)	(4)
Comprehensive loss	$ (88)	$ (98)	$ (177)	$ (159)

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (unaudited) - USD ($) shares in Thousands, $ in Millions	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit
Beginning balance at Dec. 31, 2021	$ 818		$ 3,360	$ 3	$ (2,545)
Beginning balance, Shares at Dec. 31, 2021		21,949
Issuance of common stock upon exercise of options for cash, Shares		38
Issuance of common stock upon settlement of restricted stock units, Shares		430
Shares withheld related to net share settlement	(5)		(5)
Shares withheld related to net share settlement, Shares		(104)
Issuance of common stock through ESPP	1		1
Issuance of common stock through ESPP, Shares		23
Stock-based compensation	27		27
Other comprehensive gain (loss), net	(9)			(9)
Net loss	(150)				(150)
Ending balance at Jun. 30, 2022	682		3,383	(6)	(2,695)
Ending balance, Shares at Jun. 30, 2022		22,336
Beginning balance at Mar. 31, 2022	755		3,358	2	(2,605)
Beginning balance, Shares at Mar. 31, 2022		22,127
Issuance of common stock upon settlement of restricted stock units, Shares		290
Shares withheld related to net share settlement	(5)		(5)
Shares withheld related to net share settlement, Shares		(104)
Issuance of common stock through ESPP	1		1
Issuance of common stock through ESPP, Shares		23
Stock-based compensation	29		29
Other comprehensive gain (loss), net	(8)			(8)
Net loss	(90)				(90)
Ending balance at Jun. 30, 2022	682		3,383	(6)	(2,695)
Ending balance, Shares at Jun. 30, 2022		22,336
Beginning balance at Dec. 31, 2022	$ 477		3,411	(5)	(2,929)
Beginning balance, Shares at Dec. 31, 2022	23,164	23,164
Fractional shares issued due to reverse stock split, Shares		201
Issuance of common stock upon settlement of restricted stock units, Shares		631
Shares withheld related to net share settlement	$ (4)		(4)
Shares withheld related to net share settlement, Shares		(244)
Issuance of common stock through ESPP, Shares		29
Stock-based compensation	41		41
Other comprehensive gain (loss), net	(8)			(8)
Net loss	(169)				(169)
Ending balance at Jun. 30, 2023	$ 337		3,448	(13)	(3,098)
Ending balance, Shares at Jun. 30, 2023	23,781	23,781
Beginning balance at Mar. 31, 2023	$ 411		3,434	(5)	(3,018)
Beginning balance, Shares at Mar. 31, 2023		23,341
Fractional shares issued due to reverse stock split, Shares		201
Issuance of common stock upon settlement of restricted stock units, Shares		311
Shares withheld related to net share settlement	(1)		(1)
Shares withheld related to net share settlement, Shares		(101)
Issuance of common stock through ESPP, Shares		29
Stock-based compensation	15		15
Other comprehensive gain (loss), net	(8)			(8)
Net loss	(80)				(80)
Ending balance at Jun. 30, 2023	$ 337		$ 3,448	$ (13)	$ (3,098)
Ending balance, Shares at Jun. 30, 2023	23,781	23,781

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash flows from operating activities:
Net loss	$ (169)	$ (150)
Adjustments to reconcile net loss to net cash provided by used in operating activities:
Noncash inventory write downs		3
Depreciation and amortization	2	4
Noncash lease expense	2	3
Impairment of lease assets and property and equipment	1	6
Stock-based compensation expense	41	27
Net (accretion) amortization of discounts and premiums on marketable securities	(4)	1
Other	(5)	(2)
Changes in operating assets and liabilities:
Funds receivable	10	5
Prepaid expenses, other current and noncurrent assets	14	2
Accounts payable	(16)	(12)
Merchants payable	(33)	(52)
Accrued and refund liabilities	(18)	(42)
Lease liabilities	(4)	(4)
Other current and noncurrent liabilities	(1)	(2)
Net cash used in operating activities	(180)	(213)
Cash flows from investing activities:
Purchases of property and equipment and development of internal use software	(3)	(2)
Purchases of marketable securities	(170)	(226)
Maturities of marketable securities	176	137
Net cash used in investing activities	3	(91)
Cash flows from financing activities:
Proceeds from issuance of common stock through employee equity incentive plans		1
Payment of taxes related to RSU settlement	(4)	(5)
Net cash used in financing activities	(4)	(4)
Foreign currency effects on cash, cash equivalents and restricted cash	(7)	(9)
Net decrease in cash, cash equivalents and restricted cash	(188)	(317)
Cash, cash equivalents and restricted cash at beginning of period	513	1,018
Cash, cash equivalents and restricted cash at end of period	325	701
Reconciliation of cash, cash equivalents, and restricted cash to the condensed consolidated balance sheets:
Cash and cash equivalents	318	693
Restricted cash included in prepaid and other current assets in the condensed consolidated balance sheets	7	8
Cash, cash equivalents and restricted cash at end of period	$ 325	701
Supplemental cash flow disclosures:
Cash paid for income taxes, net of refunds		$ 6

Overview, Basis of Presentation

Overview, Basis of Presentation and Significant Accounting Policies	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Overview, Basis of Presentation and Significant Accounting Policies	NOTE 1. OVERVIEW, BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES ContextLogic Inc. (“Wish” or the “Company”) is a mobile ecommerce company that provides a shopping experience that is mobile-first and discovery-based, which connects merchants’ products to users based on user preferences. The Company generates revenue from marketplace and logistics services provided to merchants. The Company was incorporated in the state of Delaware in June 2010 and is headquartered in San Francisco, California, with operations domestically and internationally. Reverse Stock Split On April 10, 2023, the Company filed a certificate of amendment (the “Reverse Stock Split Amendment”) to the Company’s Restated Certificate of Incorporation with the Secretary of State of Delaware to effect a 1-for-30 Reverse Stock Split of the Company's Class A common stock ("common stock"), which became effective on April 11, 2023. The Reverse Stock Split Amendment did not reduce the number of authorized shares of common stock, which remains at 3 billion, and did not change the par value of the common stock, which remains at $ 0.0001 per share. As a result of the Reverse Stock Split, every thirty shares of the common stock were combined into one issued and outstanding share of common stock and no fractional shares were issued. Instead, to any holder who would have otherwise been entitled to receive a fractional share of common stock, the Company issued such holder an additional fractional share, such that, when combined with the fractional share otherwise issuable as a result of the Reverse Stock Split, equaled a whole share of common stock. All share and per share information has been retroactively adjusted to reflect the reverse stock split for all periods presented. Basis of Presentation and Consolidation The accompanying condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”). The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The interim financial data as of June 30, 2023 and for the three and six months ended June 30, 2023 and 2022 is unaudited. In the opinion of management, the interim financial data includes all adjustments, consisting only of normal recurring adjustments, necessary to a fair statement of the results for the interim periods. The consolidated balance sheet as of December 31, 2022 is derived from audited financial statements, however, it does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, which was filed with the SEC on February 27, 2023 (the “2022 Form 10-K”). Use of Estimates The preparation of condensed consolidated financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosures of contingent assets and liabilities at the date of the condensed consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. These estimates form the basis for judgments the Company makes about the carrying values of its assets and liabilities that are not readily available from other sources. These estimates include, but are not limited to, fair value of financial instruments, useful lives of long-lived assets, fair value of derivative instruments, incremental borrowing rate applied to lease accounting, contingent liabilities, redemption probabilities associated with Wish Cash, allowances for refunds and chargebacks and uncertain tax positions. Segments The Company manages its operations and allocates resources as a single operating segment. The Company’s chief operating decision-maker is its Chief Executive Officer (“CEO”) who makes operating decisions, assesses financial performance and allocates resources based on condensed consolidated financial information. As such, the Company has determined that it operates in one reportable segment. Concentrations of Risk Credit Risk — Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, funds receivable and marketable securities. The Company’s cash and cash equivalents are held on deposit with creditworthy institutions. Although the Company’s deposits exceed federally insured limits, the Company has not experienced any losses in such accounts. The Company invests its excess cash in money market accounts, U.S. Treasury notes, U.S. Treasury bills, commercial paper, corporate bonds, and non-U.S. government securities. The Company is exposed to credit risk in the event of a default by the financial institutions holding its cash, cash equivalents and marketable securities for the amounts reflected on the condensed consolidated balance sheets. The Company’s investment policy limits investments to certain types of debt securities issued by the U.S. government, its agencies and institutions with investment-grade credit ratings and places restrictions on maturities and concentration by type and issuer. The Company maintains certain bank accounts in China. The Company manages the counterparty risk associated with these funds through diversification with major financial institutions and monitors the concentration of this credit risk on a monthly basis. The total cash balance in these accounts represented approximately 37 % and 24 % of the Company’s total cash and cash equivalents as of June 30, 2023 and December 31, 2022, respectively. The Company's derivative financial instruments expose it to credit risk to the extent that the counterparties may be unable to meet the terms of the arrangement. The Company seeks to mitigate such risk by limiting its counterparties to, and by spreading the risk across, major financial institutions. In addition, the potential risk of loss with any one counterparty resulting from this type of credit risk is monitored on a monthly basis. The Company is not required to pledge, nor is it entitled to receive, collateral related to its foreign exchange derivative transactions. The Company is exposed to credit risk in the event of a default by its Payment Service Providers (“PSPs”). The Company does not generate revenue from PSPs. Significant changes in the Company’s relationship with its PSPs could adversely affect users’ ability to process transactions on the Company’s marketplaces, thereby impacting the Company’s operating results. The following PSPs each represented 10% or more of the Company’s funds receivable balance: June 30, December 31, 2023 2022 PSP 1 68 % 32 % PSP 2 26 % 56 % Services Risk — The Company serves all its users using third-party data center and hosting providers. The Company has disaster recovery protocols at the third-party service providers. Even with these procedures for disaster recovery in place, access to the Company’s service could be significantly interrupted, resulting in an adverse effect on its operating results and financial position. No significant interruptions of service were known to have occurred during the three and six months ended June 30, 2023 and 2022. Summary of Significant Accounting Policies There have been no changes to the Company’s significant accounting policies described in its 2022 Form 10-K, filed with the SEC on February 27, 2023, that have had a material impact on its condensed consolidated financial statements. Accounting Pronouncements The Company has reviewed recent accounting pronouncements and concluded they are either not applicable to the business or no material impact is expected on the condensed consolidated financial statements as a result of future adoption.

Disaggregation of Revenue

Disaggregation of Revenue	6 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	NOTE 2. DISAGGREGATION OF REVENUE The Company generates revenue from marketplace and logistics services provided to its customers. Revenue is recognized as the Company transfers control of promised goods or services to its customers in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company considers both the merchant and the user to be customers, depending on the revenue stream. The Company evaluates whether it is appropriate to recognize revenue on a gross or net basis based upon its evaluation of whether the Company obtains control of the specified goods or services by considering if it is primarily responsible for fulfillment of the promise, has inventory risk and has latitude in establishing pricing and selecting suppliers, among other factors. Based on these factors, marketplace revenue is generally recognized on a net basis and logistics revenue is generally recognized on a gross basis. Revenue excludes any amounts collected on behalf of third parties, including indirect taxes. Marketplace Revenue The Company provides a mix of marketplace services to its customers. The Company provides merchants access to its marketplace where merchants display and sell their products to users. The Company also provides ProductBoost services to help merchants promote their products within the Company’s marketplace. Marketplace revenue includes commission fees collected in connection with user purchases of the merchants’ products. The commission fees vary depending on factors such as geography, product category, Wish Standards' tier, item value and dynamic pricing. The Company recognizes revenue when a user’s order is processed and the related order information has been made available to the merchant. Commission fees are recognized net of estimated refunds and chargebacks. Marketplace revenue also includes ProductBoost revenue generated by increasing exposure for a merchant’s relevant products within the Company's marketplace. The Company recognizes ProductBoost revenue based on the number of impressions delivered, or clicks by users. Logistics Revenue The Company’s logistics offering for merchants is designed for direct end-to-end single order shipment from a merchant’s location to the user. Logistics services include transportation and delivery of the merchant’s products to the user. Merchants are required to prepay for logistics services on a per order basis. The Company recognizes revenue over time as the merchant simultaneously receives and consumes the logistics services benefit as the logistics services are performed. The Company uses an output method of progress based on days in transit as it best depicts the Company’s progress toward complete satisfaction of the performance obligation. The following table shows the disaggregated revenue for the applicable periods: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 (in millions) Core marketplace revenue $ 24 $ 54 $ 52 $ 144 ProductBoost revenue 6 11 14 25 Marketplace revenue 30 65 66 169 Logistics revenue 48 69 108 154 Revenue $ 78 $ 134 $ 174 $ 323 Refer to Note 11 – Geographical Information for the disaggregated revenue by geographical location.

Financial Instruments and Fair

Financial Instruments and Fair Value Measurement	6 Months Ended
	Jun. 30, 2023
Fair Value Disclosures [Abstract]
Financial Instruments and Fair Value Measurement	NOTE 3. FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENT The Company’s financial instruments consist of cash equivalents, marketable securities, funds receivable, derivative instruments, accounts payable, accrued liabilities and merchants payable. Cash equivalents’ carrying value approximates fair value at the balance sheet dates, due to the short period of time to maturity. Marketable securities and derivative instruments are recognized at fair value. Funds receivable, accounts payable, accrued liabilities and merchants payable carrying values approximate fair value due to the short time to the expected receipt or payment date. Assets and liabilities recognized at fair value on a recurring basis in the condensed consolidated balance sheets consisting of cash equivalents, marketable securities and derivative instruments are categorized based upon the level of judgment associated with the inputs used to measure their fair values. Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial assets and liabilities subject to fair value measurements on a recurring basis and the level of inputs used in such measurements are as follows: June 30, 2023 Total Level 1 Level 2 Level 3 (in millions) Financial assets: Cash equivalents: Money market funds $ 41 $ 41 $ — $ — Marketable securities: U.S. treasury bills $ 178 $ — $ 178 $ — Commercial paper 19 — 19 — Corporate bonds 13 — 13 — U.S. government agency 3 — 3 — Total marketable securities $ 213 $ — $ 213 $ — Prepaid and other current assets: Derivative assets $ 1 $ — $ 1 $ — Total financial assets $ 255 $ 41 $ 214 $ — Financial liabilities: Accrued liabilities: Derivative liabilities $ 8 $ — $ 8 $ — Total financial liabilities $ 8 $ — $ 8 $ — December 31, 2022 Total Level 1 Level 2 Level 3 (in millions) Financial assets: Cash equivalents: Money market funds $ 50 $ 50 $ — $ — Corporate bonds 2 — 2 $ — Total cash equivalents $ 52 $ 50 $ 2 $ — Marketable securities: U.S. treasury bills $ 173 $ — $ 173 $ — Commercial paper 7 — 7 — Corporate bonds 29 — 29 — Non-U.S. government 4 — 4 — Total marketable securities $ 213 $ — $ 213 $ — Prepaid and other current assets: Derivative assets $ 6 $ — $ 6 $ — Total financial assets $ 271 $ 50 $ 221 $ — Financial liabilities: Accrued liabilities: Derivative liabilities $ 2 $ — $ 2 $ — Total financial liabilities $ 2 $ — $ 2 $ — The Company classifies cash equivalents and marketable securities within Level 1 or Level 2 because the Company uses quoted market prices or alternative pricing sources and models utilizing market observable inputs to determine their fair value. The derivative asset and liability related to the Company’s foreign currency derivative contracts are classified within Level 2 of the fair value hierarchy as the valuation inputs are based on quoted prices and market observable data of similar instruments in active markets, including currency spot and forward rates. The following table summarizes the contractual maturities of the Company’s marketable securities: June 30, December 31, 2023 2022 Amortized Estimated Amortized Estimated (in millions) Due within one year $ 213 $ 213 $ 214 $ 213 Total marketable securities $ 213 $ 213 $ 214 $ 213 All of the Company’s available-for-sale marketable securities are subject to a periodic evaluation for a credit loss allowance and impairment review. The Company did not identify any of its available-for-sale marketable securities requiring an allowance for credit loss or as other-than-temporarily impaired in any of the periods presented. Additionally, the unrealized net loss and net gain on available-for-sale marketable securities as of June 30, 2023 and December 31, 2022, respectively, were insignificant.

Balance Sheet Components

Balance Sheet Components	6 Months Ended
	Jun. 30, 2023
Balance Sheet Related Disclosures [Abstract]
Balance Sheet Components	NOTE 4. BALANCE SHEET COMPONENTS Accrued Liabilities Accrued liabilities consist of the following: June 30, December 31, 2023 2022 (in millions) Logistics costs (1) $ 29 $ 44 Deferred revenue and customer deposits (2) 14 18 Wish Cash liability (3) 13 14 Sales and indirect taxes (4) 13 15 Other 41 39 Total accrued liabilities $ 110 $ 130 (1) Logistics costs decreased by $ 15 million or 34 % primarily due to lower shipping volumes during the second quarter of 2023 compared to the fourth quarter of 2022. (2) Deferred revenue and customer deposits decreased by $ 4 million or 22 % primarily due to lower logistics volumes during the second quarter of 2023 compared to the fourth quarter of 2022. The amount of revenue recognized during the six months ended June 30, 2023 that was included in the December 31, 2022 balance was $ 13 million. (3) While the Company will continue to honor all Wish Cash presented for payment, it may determine the likelihood of redemption to be remote for certain Wish Cash liability balances due to, among other things, long periods of inactivity. In these circumstances, to the extent the Company determines there is no requirement for remitting Wish Cash balances to government agencies under unclaimed property laws, the portion of Wish Cash liability balances not expected to be redeemed are recognized in core marketplace revenue. Wish Cash liability breakage recognized in core marketplace revenue during the six months ended June 30, 2023 was approximately $ 1 million. (4) Sales and indirect taxes decreased by $ 2 million or 13 % primarily due to less taxes collected in connection with lower order volumes during the second quarter of 2023 compared to the fourth quarter of 2022.

Derivative Financial Instrument

Derivative Financial Instruments	6 Months Ended
	Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	NOTE 5. DERIVATIVE FINANCIAL INSTRUMENTS The Company conducts business in certain foreign currencies throughout its worldwide operations, and various entities hold monetary assets or liabilities, earn revenues, or incur costs in currencies other than the entity’s functional currency. As a result, the Company is exposed to foreign exchange gains or losses which impact the Company’s operating results. The Company bills its users in their local currencies, primarily in U.S. dollars and Euros, and the Company makes payments to merchants for products sold on the Company’s platforms in various currencies through third party payment service providers, which creates exposure to currency rate fluctuations. The Company hedges these exposures to reduce the risk that its earnings and cash flows will be adversely affected by changes in exchange rates. As part of the Company’s foreign currency risk mitigation strategy, the Company enters into derivative contracts and foreign exchange forward contracts with up to twelve months in duration to hedge exposures for variability in U.S.-dollar equivalent of non-U.S.-dollar denominated cash flows associated with its forecasted revenue related transactions. The Company’s derivatives transactions are not collateralized and do not include collateralization agreements with counterparties. The Company does not use derivative financial instruments for speculative or trading purposes. Volume of Derivative Activity Total gross notional amounts for outstanding derivatives (recognized at fair value) as of the end of period consist of the following: June 30, December 31, 2023 2022 (in millions) Cash flow hedges $ 120 $ 168 Non-designated hedges 11 11 Total $ 131 $ 179 Fair Value of Derivative Financial Instruments June 30, December 31, 2023 2022 Assets (1) Liabilities (2) Assets (1) Liabilities (2) (in millions) Derivative designated as hedging instruments Cash flow hedges $ — $ 3 $ 2 $ — Derivative not designated as hedging instruments Foreign currency forward contracts $ 1 $ 5 $ 4 $ 2 Total derivatives $ 1 $ 8 $ 6 $ 2 (1) Derivative assets are included within prepaid and other current assets in the condensed consolidated balance sheets. (2) Derivative liabilities are included within "other" in accrued liabilities in the condensed consolidated balance sheets. Derivatives in Cash Flow Hedging Relationships The changes in accumulated other comprehensive income (loss) resulting from cash flow hedging were as follows: June 30, December 31, 2023 2022 (in millions) Balance at the beginning of the period $ 2 $ 2 Other comprehensive loss before reclassifications ( 5 ) ( 6 ) Amounts recognized in core marketplace revenue and reclassified out of — 6 Balance at the end of the period $ ( 3 ) $ 2 The Company recognizes changes in fair value of the cash flow hedges of foreign currency denominated merchants payable in accumulated other comprehensive loss in its condensed consolidated balance sheets until the forecasted transaction occurs. When the forecasted transaction affects earnings, the Company reclassifies the related gain or loss on the cash flow hedge to core marketplace revenue. All amounts in other comprehensive income at period end are expected to be reclassified to earnings within 12 months. In the event the underlying forecasted transaction does not occur, or it becomes probable that it will not occur, the Company reclassifies the gain or loss on the related cash flow hedge from accumulated other comprehensive loss to core marketplace revenue. For the three and six months ended June 30, 2023 and 2022, there were no net gains or losses recognized in core marketplace revenue relating to hedges of forecasted transactions that did not occur or were not probable to occur. The Company classifies cash flows related to its cash flow hedges as operating activities in its condensed consolidated statements of cash flows. Derivatives Not Designated as Hedging Instruments The net gains and losses on the change in fair value of the Company’s foreign exchange forward contracts not designated as hedging instruments recognized in other income, net in the condensed consolidated statements of operations were approximately net losses of $ 4 million for both the three and six months ended June 30, 2023, and were approximately net losses of $ 5 million and $ 4 million for each of the three and six months ended June 30, 2022, respectively. The Company classifies cash flows related to its non-designated hedging instruments as operating activities in its condensed consolidated statements of cash flows.

Operating Leases

Operating Leases	6 Months Ended
	Jun. 30, 2023
Leases [Abstract]
Operating Leases	NOTE 6. OPERATING LEASES The Company leases its facilities and data center colocations under operating leases with various expiration dates through 2027. Total operating lease cost was $ 1 million and $ 2 million for the three and six months ended June 30, 2023, respectively, and $ 2 million and $ 4 million for the three and six months ended June 30, 2022, respectively. Short-term lease costs, variable lease costs and sublease income were not material. As of June 30, 2023 and December 31, 2022, the Company’s condensed consolidated balance sheets included right-of-use assets in the amount of $ 6 million and $ 9 million, respectively, and current lease liabilities in the amount of $ 7 million and $ 7 million in accrued liabilities, respectively, and $ 9 million and $ 13 million in lease liabilities, non-current, respectively. As of June 30, 2023 and December 31, 2022, the weighted-average remaining lease term was 2 and 3 years, respectively, and the weighted-average discount rate used to determine the net present value of the lease liabilities was 6 % for both periods. Supplemental cash flow information for the Company’s operating leases was as follows: Six Months Ended, June 30, June 30, 2023 2022 (in millions) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 4 $ 5 The maturities of the Company’s operating lease liabilities are as follows: June 30, 2023 Year ending December 31, (in millions) 2023 (remaining six months) $ 4 2024 7 2025 4 2026 1 2027 1 Total lease payments 17 Less: imputed interest ( 1 ) Present value of lease liabilities $ 16

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 7. COMMITMENTS AND CONTINGENCIES Revolving Credit Facility In November 2020, the Company entered into a five-year $ 280 million senior secured revolving credit facility (the “Revolving Credit Facility”). If the Company is able to secure additional lender commitments and satisfy certain other conditions, the aggregate facility commitments can be increased by up to $ 100 million through an accordion option. The Company also enters into letters of credit from time to time, which reduces its borrowing capacity under the Revolving Credit Facility. Interest on any borrowings under the Revolving Credit Facility accrues at either adjusted LIBOR plus 1.50 % or at an alternative base rate plus 0.50 %, at the Company’s election, and the Company is required to pay a commitment fee that accrues at 0.25 % per annum on the unused portion of the aggregate commitments under the Revolving Credit Facility. The Company is required to pay a fee that accrues at 1.50 % per annum on the average daily amount available to be drawn under any letters of credit outstanding under the Revolving Credit Facility. The Revolving Credit Facility contains customary conditions to borrowing, events of default and covenants, including covenants that restrict the Company’s ability (and the ability of certain of the Company’s subsidiaries) to incur indebtedness, grant liens, make certain fundamental changes and asset sales, make distributions to stockholders, make investments or engage in transactions with affiliates. It also contains a minimum liquidity financial covenant of $ 350 million, which includes unrestricted cash and any available borrowing capacity under the Revolving Credit Facility. The obligations under the Revolving Credit Facility are secured by liens on substantially all of the Company’s domestic assets and are guaranteed by any material domestic subsidiaries, subject to customary exceptions. A standby letter of credit in the amount of approximately $ 7 million has been issued under the Revolving Credit Facility in conjunction with the lease of the Company’s headquarters in San Francisco, California. As of June 30, 2023, the Company had no t made any borrowings under the Revolving Credit Facility and it was in compliance with the related financial covenants. Fees incurred under the Revolving Credit Facility were insignificant for the three and six months ended June 30, 2023 and 2022. Purchase Obligations Effective September 1, 2022, the Company entered into an amendment to a colocation and cloud services arrangement committing the Company to make payments of $ 85 million for services over 3 years. As of June 30, 2023, the remaining commitment under this amended agreement was approximately $ 56 million and is payable within the next three years. Legal Contingencies and Proceedings Beginning in May 2021, four putative class action lawsuits were filed in the U.S. District Court for the Northern District of California against the Company, its directors, certain of its officers and the underwriters named in its initial public offering (“IPO”) registration statement alleging violations of securities laws based on statements made in its registration statement on Form S-1 filed with the SEC in connection with its IPO and seeking monetary damages. One of these cases has since been dismissed by the plaintiff and the remaining three have been coordinated and consolidated. In May 2022, the Court appointed lead plaintiffs, who subsequently filed an amended consolidated class action complaint pursuant to Sections 11 and 15 of the Securities Act and Sections 10(b) and 20(a) of the Exchange Act. On April 10, 2023, the plaintiffs filed an amended complaint and assert only claims made under Sections 11 and 15 of the Securities Act. The Company believes these lawsuits are without merit and intends to vigorously defend them. Based on the preliminary nature of the proceedings in these cases, the Company cannot estimate a range of potential losses at this point in time. In August 2021, a shareholder derivative action purportedly brought on behalf of the Company, Patel v. Szulczewski, was filed in the U.S. District Court for the Northern District of California alleging that the Company’s directors and officers made or caused the Company to make false and/or misleading statements about the Company’s business operations and financial prospects in various public filings. Plaintiff asserts claims for breach of fiduciary duties, unjust enrichment, abuse of control, gross mismanagement, waste of corporate assets, violations of Section 14(a) of the Exchange Act, and for contribution under Sections 10(b) and 21D of the Exchange Act and is seeking monetary damages. This matter is currently stayed. The Company believes this lawsuit is without merit and it intends to vigorously defend it. Based on the preliminary nature of the proceedings in these cases, the Company cannot estimate a range of potential losses at this time. In November 2021, France’s Directorate General for Competition, Consumer Affairs and Repression of Fraud (“DGCCRF”) issued an injunction delisting the Wish “App” from Google Play and the Apple App Store, and blocking Wish from appearing in Google, Bing and Qwant search results on the premise that unsafe products or products of poor quality are available for purchase on Wish. On March 10, 2023, the DGCCRF determined that the Company is in compliance with the injunction and applicable regulatory requirements, and lifted the injunction. As a result, the Company has been relisted and has returned to the application stores, such as Google Play and the Apple App Store, and search engines, such as Google, Bing and Qwant, in France. Although the underlying case reviewing the legal question of whether the agency has the power to delist any company remains pending, the Company no longer believes there is a reasonable possibility of a material loss. As of June 30, 2023, in the opinion of management, there were no other legal contingency matters that arose in the ordinary course of business, either individually or in aggregate, that would have a material adverse effect on the financial position, results of operations, or cash flows of the Company. Given the unpredictable nature of legal proceedings, the Company bases its estimate on the information available at the time of the assessment. As additional information becomes available, the Company will reassess the potential liability and may revise the estimate.

Equity Award Activity and Stock

Equity Award Activity and Stock-Based Compensation	6 Months Ended
	Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]
Equity Award Activity and Stock-Based Compensation	NOTE 8. EQUITY Award activity and STOCK-based compensation Equity Award Activity A summary of activity under the equity plans and related information is as follows: Options Outstanding RSUs Outstanding Number of Weighted- Weighted- Number of (in thousands) (in thousands) Balances at December 31, 2022 67 $ 31.17 9.5 2,399 Granted 299 $ 15.03 2,519 Vested — $ — ( 632 ) Forfeited or cancelled — $ — ( 610 ) Balances at June 30, 2023 366 $ 18.00 9.5 3,676 The weighted-average grant date fair value of restricted stock was $ 7.97 and $ 14.48 per share for the three and six months ended June 30, 2023, respectively, and $ 53.87 and $ 55.25 per share for the three and six months ended June 30, 2022, respectively. As of June 30, 2023, 995 thousand shares remained available for grant under the Company’s equity incentive plans. CEO Transition In February 2023, the Board appointed Jun Yan as the Company's CEO, who was then serving as the Company's interim CEO. According to the terms of his new employment agreement, Mr. Yan was granted (i) 167 thousand RSUs with an aggregate grant date fair value of $ 3 million and (ii) options to purchase 299 thousand shares of the Company's common stock at an exercise price $ 15.03 per share with an aggregate grant date fair value of $ 3 million. These RSUs and options will become vested and exercisable, respectively, in periodic installments over a 2 -year term, subject to the CEO's continued service with the Company. The option award has a term of 10 years. Mr. Yan's equity awards granted under his previous employment agreement as interim CEO will continue to vest according to the terms of that agreement. Stock Option Valuation The fair value of options was estimated using the Black-Scholes option pricing model which takes into account inputs such as the exercise price, the value of the underlying shares as of the grant date, expected term, expected volatility, risk free interest rate, and dividend yield. The fair value of the options was determined using the methods and assumptions discussed below: • The expected term of the options was determined using the “simplified” method as prescribed in the SEC’s Staff Accounting Bulletin No. 107, whereby the expected life equals the arithmetic average of the vesting term and the original contractual term of the option due to the Company’s lack of sufficient historical data. • The risk-free interest rate was based on the interest rate payable on the U.S. Treasury securities in effect at the time of grant for a period that is commensurate with the assumed expected term. • The expected volatility was based on the historical volatility of the publicly traded common stock of peer group companies blended with the limited historical volatility of the Company’s own common stock weighted to reflect the short trading period of the Company’s stock since its IPO in December 2020. • The expected dividend yield was zero because the Company has not historically paid and does not expect to pay a dividend on its ordinary shares in the foreseeable future. A summary of the assumptions used in the Black-Scholes option pricing model to determine the fair value of the options is as follows: Six months ended 2023 2022 Expected term (in years) 5.55 6.10 Risk free interest rate 4.15 % 1.70 % Volatility 91.51 % 73.20 % Dividend yield — — Estimated fair value per share $ 11.27 $ 56.10 Stock-Based Compensation Expense Total stock-based compensation expense included in the condensed consolidated statements of operations is as follows: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 (in millions) Cost of revenue $ 1 $ 3 $ 2 $ 2 Sales and marketing 1 2 2 3 Product development 9 14 25 28 General and administrative 4 10 12 ( 6 ) Total stock-based compensation (1)(2) $ 15 $ 29 $ 41 $ 27 (1) Total stock-based compensation for the three months June 30, 2023 decreased by $ 14 million compared to the three months ended June 30, 2022. This decrease was primarily due to (i) stock-based compensation of outstanding equity awards during the second quarter of 2023 was based off a lower weighted average grant date fair value compared to that of outstanding equity awards from the same period in 2022 and (ii) the departures of the Company's former Chief Product Officer ("CPO") and Chief Administrative Officer ("CAO") during the first quarter of 2023. (2) Total stock-based compensation for the six months ended June 30, 2023 increased by $ 14 million compared to the six months ended June 30, 2022 primarily due to (i) accelerated vesting of the Company's former CPO and CAO's RSUs upon their departures in accordance to their separation agreements during the first quarter of 2023, and (ii) forfeitures originating from the resignation of the Company’s former CEO, and modifications to the Company’s former Executive Chair’s equity awards, both during the first quarter of 2022. These contributing factors were partially offset by stock-based compensation of outstanding equity awards during the six months ended June 2023 was based off a lower weighted average grant date fair value compared to that of outstanding equity awards from the same period in 2022. The Company will recognize the remaining $ 3 million and $ 115 million of unrecognized stock-based compensation expense over a weighted-average period of approximately 1.5 years and 2.3 years related to options and RSUs, respectively. Employee Stock Purchase Plan The Company’s Employee Stock Purchase Plan (“ESPP”) allows eligible employees to purchase shares of the Company’s common stock at a discount through payroll deductions of up to 15 % of eligible compensation, subject to caps of $ 25,000 in any calendar year and 166 shares on any purchase date. The ESPP provides for 24-month offering periods, generally beginning in November and May of each year, and each offering period consists of four six-month purchase periods. During the three and six months ended June 30, 2023, 29 thousand shares of common stock were purchased under the ESPP for an aggregate amount less than $ 1 million. On each purchase date, participating employees will purchase common stock at a price per share equal to 85 % of the lesser of the fair market value of the Company’s common stock on (i) the first trading day of the applicable offering period, or (ii) the last trading day of each purchase period in the applicable offering period. If the stock price of the Company's common stock on any purchase date in an offering period is lower than the stock price on the enrollment date of that offering period, the offering period will immediately reset after the purchase of shares on such purchase date and automatically roll into a new offering period (ESPP reset). During the three and six months ended June 30, 2023, there was an ESPP reset that resulted in an additional expense of approximately $ 1 million, which is being recognized over an offering period ending May 20, 2025 .

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2023
Income Tax Disclosure [Abstract]
Income Taxes	NOTE 9. INCOME TAXES The Company’s tax provision for the interim periods is determined using an estimate of the annual effective tax rate, adjusted for discrete items, if any, that arise during the period. Each quarter, the Company assesses its estimate of the annual effective tax rate, and if the estimated annual effective tax rate changes, the Company makes a cumulative adjustment in the period of change. The Company’s quarterly tax provision and the estimate of the annual effective tax rate is subject to fluctuation due to several factors, including variability in pre-tax earnings, the geographic distribution of the pre-tax earnings, tax law changes, non-deductible expenses, such as stock-based compensation, and changes in the estimate of the valuation allowance. The provision for income taxes was $ 3 million for each of the three and six months ended June 30, 2023, and was $ 1 million for each of the three and six months ended June 30, 2022. The increase in the provision for income taxes was primarily related to an increase in unrecognized tax benefits during the three months ended June 30, 2023, in addition to the increase in pre-tax earnings of the Company’s international operations. The Company continues to maintain a valuation allowance on its domestic net deferred tax assets which is excluded from the annual effective tax rate estimate. The Company had $ 14 million and $ 9 million of unrecognized tax benefits as of June 30, 2023 and December 31, 2022, respectively. Most of these unrecognized tax benefits, if recognized, would not affect the effective tax rate, however, approximately $ 2 million of the unrecognized tax benefits would have a rate impact. The interest and penalties associated with the unrecognized tax benefits for the three and six months ended June 30, 2023 and 2022 were immaterial. The Company files income tax returns in the U.S. federal jurisdiction, and various state and foreign jurisdictions. The Company is not currently under examination by income tax authorities in federal, state or other jurisdictions. All tax returns will remain open for examination by the federal and state authorities for three and four years, respectively, from the date of utilization of any net operating loss or credits. Certain tax years are subject to foreign income tax examinations by tax authorities until the statute of limitations expire.

Net Loss Per Share

Net Loss Per Share	6 Months Ended
	Jun. 30, 2023
Earnings Per Share [Abstract]
Net Loss Per Share	NOTE 10. Net loss per share The following table sets forth the computation of basic and diluted net loss per share: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 ($ in millions, shares in thousands, except per share data) Numerator: Net loss $ ( 80 ) $ ( 90 ) $ ( 169 ) $ ( 150 ) Denominator: Weighted-average shares used in computing net loss per share, basic and diluted 23,651 22,241 23,451 22,146 Net loss per share, basic and diluted $ ( 3.38 ) $ ( 4.05 ) $ ( 7.21 ) $ ( 6.77 ) The following outstanding shares of potentially dilutive securities were excluded from the computation of diluted net loss per share because including them would have had an anti-dilutive effect: As of June 30, 2023 2022 (in thousands) Common stock options outstanding 366 1,677 Unvested restricted stock units outstanding 3,676 2,651 Employee stock purchase plan 117 68 Total 4,159 4,396

Geographical Information

Geographical Information	6 Months Ended
	Jun. 30, 2023
Segment Reporting [Abstract]
Geographical Information	NOTE 11. GEOGRAPHICAL INFORMATION The Company believes it is relevant to disclose geographical revenue information on both a demand basis, determined by the ship-to address of the user, and on a supply basis, determined by the location of the merchants’ operations. Core marketplace revenue by geographic area based on the ship-to address of the user was as follows: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 (in millions) Europe $ 12 50 % $ 18 33 % $ 26 50 % $ 52 36 % North America (1) 9 38 % 28 52 % 19 36 % 71 49 % South America 1 4 % 2 4 % 2 4 % 5 4 % Other 2 8 % 6 11 % 5 10 % 16 11 % Core marketplace revenue (2) $ 24 100 % $ 54 100 % $ 52 100 % $ 144 100 % (1) United States accounted for $ 7 million and $ 15 million of core marketplace revenue for the three and six months ended June 30, 2023, respectively and $ 22 million and $ 57 million for the three and six months ended June 30, 2022, respectively. (2) Core marketplace revenue included a $ 2 million net loss for both the three months ended June 30, 2023 and 2022, and a zero net loss for both the six months ended June 30, 2023 and 2022, from our cash flow hedging program. China accounted for substantially all of marketplace and logistics revenue during the three and six months ended June 30, 2023 and 2022 based on the location of the merchants’ operations. Marketplace and logistics revenue from merchants based in the United States was immaterial in both periods presented. The Company’s long-lived tangible assets, which consist of property and equipment, net and operating lease right-of-use assets, net, was as follows: June 30, December 31, 2023 2022 ($ in millions, except percentages) United States $ 10 67 % $ 13 72 % China 4 27 % 4 22 % Other (1) 1 6 % 1 6 % Total property and equipment, net and right-of-use assets $ 15 100 % $ 18 100 % (1) Long-lived tangible assets outside the United States and China were primarily located in Canada.

Reduction In Workforce

Reduction In Workforce	6 Months Ended
	Jun. 30, 2023
Restructuring and Related Activities [Abstract]
Restructuring Costs	NOTE 12. REDUCTION IN WORKFORCE In January 2023, the Company announced a plan to reduce its workforce by up to 150 employees, representing approximately 17 % of the Company's then global workforce. The reduction in workforce ("RIF") was intended to refocus the Company's operations to support its ongoing business prioritization efforts, better align resources, and improve operational efficiencies. In connection with the RIF, the Company incurred a one-time charge of approximately $ 3 million in severance and other personnel reduction costs. The implementation of the RIF was substantially complete by the end of the second quarter of 2023. The following table is a summary of the changes in severance and other personnel reduction liabilities, included within accrued liabilities on the condensed consolidated balance sheets, in connection with the RIF: June 30, (in millions) Balance at the beginning of the period $ — Severance and other personnel reduction costs 3 Cash payments during the period ( 3 ) Balance at the end of the period $ —

Subsequent Event

Subsequent Event	6 Months Ended
	Jun. 30, 2023
Subsequent Events [Abstract]
Subsequent Event	NOTE 13. SUBSEQUENT EVENTS In August 2023, the Company announced a plan to further reduce the Company’s workforce by approximately 255 employees, representing about 34 % of the Company’s current global workforce. This includes approximately 160 employees in the United States, representing about 41 % of the Company's domestic workforce and approximately 95 non-U.S. employees, representing about 26 % of the Company's international workforce. The August 2023 reduction in workforce (the “August RIF”) is intended to refocus the Company’s operations to support its ongoing business prioritization efforts, better align resources, and improve operational efficiencies. The Company estimates that it will incur non-recurring charges of approximately $ 9 million in connection with the August RIF primarily related to employee severance and other personnel reduction costs. The Company expects that the majority of these charges will be incurred in the third quarter of 2023 and that the implementation of the August RIF will be substantially complete by the end of 2023.

Overview, Basis of Presentati_2

Overview, Basis of Presentation and Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation and Consolidation	Basis of Presentation and Consolidation The accompanying condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”). The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The interim financial data as of June 30, 2023 and for the three and six months ended June 30, 2023 and 2022 is unaudited. In the opinion of management, the interim financial data includes all adjustments, consisting only of normal recurring adjustments, necessary to a fair statement of the results for the interim periods. The consolidated balance sheet as of December 31, 2022 is derived from audited financial statements, however, it does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, which was filed with the SEC on February 27, 2023 (the “2022 Form 10-K”).
Use of Estimates	Use of Estimates The preparation of condensed consolidated financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosures of contingent assets and liabilities at the date of the condensed consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. These estimates form the basis for judgments the Company makes about the carrying values of its assets and liabilities that are not readily available from other sources. These estimates include, but are not limited to, fair value of financial instruments, useful lives of long-lived assets, fair value of derivative instruments, incremental borrowing rate applied to lease accounting, contingent liabilities, redemption probabilities associated with Wish Cash, allowances for refunds and chargebacks and uncertain tax positions.
Segments	Segments The Company manages its operations and allocates resources as a single operating segment. The Company’s chief operating decision-maker is its Chief Executive Officer (“CEO”) who makes operating decisions, assesses financial performance and allocates resources based on condensed consolidated financial information. As such, the Company has determined that it operates in one reportable segment.
Concentration of Risk	Concentrations of Risk Credit Risk — Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, funds receivable and marketable securities. The Company’s cash and cash equivalents are held on deposit with creditworthy institutions. Although the Company’s deposits exceed federally insured limits, the Company has not experienced any losses in such accounts. The Company invests its excess cash in money market accounts, U.S. Treasury notes, U.S. Treasury bills, commercial paper, corporate bonds, and non-U.S. government securities. The Company is exposed to credit risk in the event of a default by the financial institutions holding its cash, cash equivalents and marketable securities for the amounts reflected on the condensed consolidated balance sheets. The Company’s investment policy limits investments to certain types of debt securities issued by the U.S. government, its agencies and institutions with investment-grade credit ratings and places restrictions on maturities and concentration by type and issuer. The Company maintains certain bank accounts in China. The Company manages the counterparty risk associated with these funds through diversification with major financial institutions and monitors the concentration of this credit risk on a monthly basis. The total cash balance in these accounts represented approximately 37 % and 24 % of the Company’s total cash and cash equivalents as of June 30, 2023 and December 31, 2022, respectively. The Company's derivative financial instruments expose it to credit risk to the extent that the counterparties may be unable to meet the terms of the arrangement. The Company seeks to mitigate such risk by limiting its counterparties to, and by spreading the risk across, major financial institutions. In addition, the potential risk of loss with any one counterparty resulting from this type of credit risk is monitored on a monthly basis. The Company is not required to pledge, nor is it entitled to receive, collateral related to its foreign exchange derivative transactions. The Company is exposed to credit risk in the event of a default by its Payment Service Providers (“PSPs”). The Company does not generate revenue from PSPs. Significant changes in the Company’s relationship with its PSPs could adversely affect users’ ability to process transactions on the Company’s marketplaces, thereby impacting the Company’s operating results. The following PSPs each represented 10% or more of the Company’s funds receivable balance: June 30, December 31, 2023 2022 PSP 1 68 % 32 % PSP 2 26 % 56 % Services Risk — The Company serves all its users using third-party data center and hosting providers. The Company has disaster recovery protocols at the third-party service providers. Even with these procedures for disaster recovery in place, access to the Company’s service could be significantly interrupted, resulting in an adverse effect on its operating results and financial position. No significant interruptions of service were known to have occurred during the three and six months ended June 30, 2023 and 2022.
Accounting Pronouncements	Accounting Pronouncements The Company has reviewed recent accounting pronouncements and concluded they are either not applicable to the business or no material impact is expected on the condensed consolidated financial statements as a result of future adoption.

Overview, Basis of Presentati_3

Overview, Basis of Presentation and Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Schedule of PSPs Each Represented 10% or More of Funds Receivable Balance	The following PSPs each represented 10% or more of the Company’s funds receivable balance: June 30, December 31, 2023 2022 PSP 1 68 % 32 % PSP 2 26 % 56 %

Disaggregation of Revenue (Tabl

Disaggregation of Revenue (Tables)	6 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
Summary of Disaggregated Revenue	The following table shows the disaggregated revenue for the applicable periods: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 (in millions) Core marketplace revenue $ 24 $ 54 $ 52 $ 144 ProductBoost revenue 6 11 14 25 Marketplace revenue 30 65 66 169 Logistics revenue 48 69 108 154 Revenue $ 78 $ 134 $ 174 $ 323

Financial Instruments and Fai_2

Financial Instruments and Fair Value Measurement (Tables)	6 Months Ended
	Jun. 30, 2023
Fair Value Disclosures [Abstract]
Schedule of Financial Assets and Liabilities Subject to Fair Value Measurements on Recurring Basis	Financial assets and liabilities subject to fair value measurements on a recurring basis and the level of inputs used in such measurements are as follows: June 30, 2023 Total Level 1 Level 2 Level 3 (in millions) Financial assets: Cash equivalents: Money market funds $ 41 $ 41 $ — $ — Marketable securities: U.S. treasury bills $ 178 $ — $ 178 $ — Commercial paper 19 — 19 — Corporate bonds 13 — 13 — U.S. government agency 3 — 3 — Total marketable securities $ 213 $ — $ 213 $ — Prepaid and other current assets: Derivative assets $ 1 $ — $ 1 $ — Total financial assets $ 255 $ 41 $ 214 $ — Financial liabilities: Accrued liabilities: Derivative liabilities $ 8 $ — $ 8 $ — Total financial liabilities $ 8 $ — $ 8 $ — December 31, 2022 Total Level 1 Level 2 Level 3 (in millions) Financial assets: Cash equivalents: Money market funds $ 50 $ 50 $ — $ — Corporate bonds 2 — 2 $ — Total cash equivalents $ 52 $ 50 $ 2 $ — Marketable securities: U.S. treasury bills $ 173 $ — $ 173 $ — Commercial paper 7 — 7 — Corporate bonds 29 — 29 — Non-U.S. government 4 — 4 — Total marketable securities $ 213 $ — $ 213 $ — Prepaid and other current assets: Derivative assets $ 6 $ — $ 6 $ — Total financial assets $ 271 $ 50 $ 221 $ — Financial liabilities: Accrued liabilities: Derivative liabilities $ 2 $ — $ 2 $ — Total financial liabilities $ 2 $ — $ 2 $ —
Schedule of Contractual Maturities of Marketable Securities	The following table summarizes the contractual maturities of the Company’s marketable securities: June 30, December 31, 2023 2022 Amortized Estimated Amortized Estimated (in millions) Due within one year $ 213 $ 213 $ 214 $ 213 Total marketable securities $ 213 $ 213 $ 214 $ 213

Balance Sheet Components (Table

Balance Sheet Components (Tables)	6 Months Ended
	Jun. 30, 2023
Balance Sheet Related Disclosures [Abstract]
Schedule of Accrued Liabilities	Accrued liabilities consist of the following: June 30, December 31, 2023 2022 (in millions) Logistics costs (1) $ 29 $ 44 Deferred revenue and customer deposits (2) 14 18 Wish Cash liability (3) 13 14 Sales and indirect taxes (4) 13 15 Other 41 39 Total accrued liabilities $ 110 $ 130 (1) Logistics costs decreased by $ 15 million or 34 % primarily due to lower shipping volumes during the second quarter of 2023 compared to the fourth quarter of 2022. (2) Deferred revenue and customer deposits decreased by $ 4 million or 22 % primarily due to lower logistics volumes during the second quarter of 2023 compared to the fourth quarter of 2022. The amount of revenue recognized during the six months ended June 30, 2023 that was included in the December 31, 2022 balance was $ 13 million. (3) While the Company will continue to honor all Wish Cash presented for payment, it may determine the likelihood of redemption to be remote for certain Wish Cash liability balances due to, among other things, long periods of inactivity. In these circumstances, to the extent the Company determines there is no requirement for remitting Wish Cash balances to government agencies under unclaimed property laws, the portion of Wish Cash liability balances not expected to be redeemed are recognized in core marketplace revenue. Wish Cash liability breakage recognized in core marketplace revenue during the six months ended June 30, 2023 was approximately $ 1 million. (4) Sales and indirect taxes decreased by $ 2 million or 13 % primarily due to less taxes collected in connection with lower order volumes during the second quarter of 2023 compared to the fourth quarter of 2022.

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Summary of Total Gross Notional Amounts of Outstanding Derivatives	Total gross notional amounts for outstanding derivatives (recognized at fair value) as of the end of period consist of the following: June 30, December 31, 2023 2022 (in millions) Cash flow hedges $ 120 $ 168 Non-designated hedges 11 11 Total $ 131 $ 179
Schedule of Fair Value of Derivative Financial Instruments	Fair Value of Derivative Financial Instruments June 30, December 31, 2023 2022 Assets (1) Liabilities (2) Assets (1) Liabilities (2) (in millions) Derivative designated as hedging instruments Cash flow hedges $ — $ 3 $ 2 $ — Derivative not designated as hedging instruments Foreign currency forward contracts $ 1 $ 5 $ 4 $ 2 Total derivatives $ 1 $ 8 $ 6 $ 2 (1) Derivative assets are included within prepaid and other current assets in the condensed consolidated balance sheets. (2) Derivative liabilities are included within "other" in accrued liabilities in the condensed consolidated balance sheets.
Schedule of Changes in Accumulated Other Comprehensive Income (Loss)	The changes in accumulated other comprehensive income (loss) resulting from cash flow hedging were as follows: June 30, December 31, 2023 2022 (in millions) Balance at the beginning of the period $ 2 $ 2 Other comprehensive loss before reclassifications ( 5 ) ( 6 ) Amounts recognized in core marketplace revenue and reclassified out of — 6 Balance at the end of the period $ ( 3 ) $ 2

Operating Leases (Tables)

Operating Leases (Tables)	6 Months Ended
	Jun. 30, 2023
Leases [Abstract]
Supplemental Cash Flow Information for Operating Leases	Supplemental cash flow information for the Company’s operating leases was as follows: Six Months Ended, June 30, June 30, 2023 2022 (in millions) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 4 $ 5
Maturities of Operating Lease Liabilities	The maturities of the Company’s operating lease liabilities are as follows: June 30, 2023 Year ending December 31, (in millions) 2023 (remaining six months) $ 4 2024 7 2025 4 2026 1 2027 1 Total lease payments 17 Less: imputed interest ( 1 ) Present value of lease liabilities $ 16

Equity Award Activity and Sto_2

Equity Award Activity and Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]
Summary of Activity Under Equity Plans and Related Information	A summary of activity under the equity plans and related information is as follows: Options Outstanding RSUs Outstanding Number of Weighted- Weighted- Number of (in thousands) (in thousands) Balances at December 31, 2022 67 $ 31.17 9.5 2,399 Granted 299 $ 15.03 2,519 Vested — $ — ( 632 ) Forfeited or cancelled — $ — ( 610 ) Balances at June 30, 2023 366 $ 18.00 9.5 3,676
Summary of Assumptions Used in Black-Scholes Option Pricing Model	A summary of the assumptions used in the Black-Scholes option pricing model to determine the fair value of the options is as follows: Six months ended 2023 2022 Expected term (in years) 5.55 6.10 Risk free interest rate 4.15 % 1.70 % Volatility 91.51 % 73.20 % Dividend yield — — Estimated fair value per share $ 11.27 $ 56.10
Summary of Stock-Based Compensation Expense	Total stock-based compensation expense included in the condensed consolidated statements of operations is as follows: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 (in millions) Cost of revenue $ 1 $ 3 $ 2 $ 2 Sales and marketing 1 2 2 3 Product development 9 14 25 28 General and administrative 4 10 12 ( 6 ) Total stock-based compensation (1)(2) $ 15 $ 29 $ 41 $ 27 (1) Total stock-based compensation for the three months June 30, 2023 decreased by $ 14 million compared to the three months ended June 30, 2022. This decrease was primarily due to (i) stock-based compensation of outstanding equity awards during the second quarter of 2023 was based off a lower weighted average grant date fair value compared to that of outstanding equity awards from the same period in 2022 and (ii) the departures of the Company's former Chief Product Officer ("CPO") and Chief Administrative Officer ("CAO") during the first quarter of 2023. (2) Total stock-based compensation for the six months ended June 30, 2023 increased by $ 14 million compared to the six months ended June 30, 2022 primarily due to (i) accelerated vesting of the Company's former CPO and CAO's RSUs upon their departures in accordance to their separation agreements during the first quarter of 2023, and (ii) forfeitures originating from the resignation of the Company’s former CEO, and modifications to the Company’s former Executive Chair’s equity awards, both during the first quarter of 2022. These contributing factors were partially offset by stock-based compensation of outstanding equity awards during the six months ended June 2023 was based off a lower weighted average grant date fair value compared to that of outstanding equity awards from the same period in 2022.

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	6 Months Ended
	Jun. 30, 2023
Earnings Per Share [Abstract]
Computation of Basic and Diluted Net Loss Per Share	The following table sets forth the computation of basic and diluted net loss per share: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 ($ in millions, shares in thousands, except per share data) Numerator: Net loss $ ( 80 ) $ ( 90 ) $ ( 169 ) $ ( 150 ) Denominator: Weighted-average shares used in computing net loss per share, basic and diluted 23,651 22,241 23,451 22,146 Net loss per share, basic and diluted $ ( 3.38 ) $ ( 4.05 ) $ ( 7.21 ) $ ( 6.77 )
Summary of Outstanding Shares of Potentially Dilutive Securities Excluded from Computation of Diluted Net Loss Per Share	The following outstanding shares of potentially dilutive securities were excluded from the computation of diluted net loss per share because including them would have had an anti-dilutive effect: As of June 30, 2023 2022 (in thousands) Common stock options outstanding 366 1,677 Unvested restricted stock units outstanding 3,676 2,651 Employee stock purchase plan 117 68 Total 4,159 4,396

Geographical Information (Table

Geographical Information (Tables)	6 Months Ended
	Jun. 30, 2023
Segment Reporting [Abstract]
Summary of Revenue by Geographic Area	Core marketplace revenue by geographic area based on the ship-to address of the user was as follows: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 (in millions) Europe $ 12 50 % $ 18 33 % $ 26 50 % $ 52 36 % North America (1) 9 38 % 28 52 % 19 36 % 71 49 % South America 1 4 % 2 4 % 2 4 % 5 4 % Other 2 8 % 6 11 % 5 10 % 16 11 % Core marketplace revenue (2) $ 24 100 % $ 54 100 % $ 52 100 % $ 144 100 % (1) United States accounted for $ 7 million and $ 15 million of core marketplace revenue for the three and six months ended June 30, 2023, respectively and $ 22 million and $ 57 million for the three and six months ended June 30, 2022, respectively. (2) Core marketplace revenue included a $ 2 million net loss for both the three months ended June 30, 2023 and 2022, and a zero net loss for both the six months ended June 30, 2023 and 2022, from our cash flow hedging program.
Summary of Property and Equipment, Net and Operating Lease Right-of-Use Assets, Net	The Company’s long-lived tangible assets, which consist of property and equipment, net and operating lease right-of-use assets, net, was as follows: June 30, December 31, 2023 2022 ($ in millions, except percentages) United States $ 10 67 % $ 13 72 % China 4 27 % 4 22 % Other (1) 1 6 % 1 6 % Total property and equipment, net and right-of-use assets $ 15 100 % $ 18 100 % (1) Long-lived tangible assets outside the United States and China were primarily located in Canada.

Reduction In Workforce (Tables)

Reduction In Workforce (Tables)	6 Months Ended
	Jun. 30, 2023
Restructuring and Related Activities [Abstract]
Summary of Changes in Severance and Other Personnel Reduction Liabilities Included Accrued Liabilities	The following table is a summary of the changes in severance and other personnel reduction liabilities, included within accrued liabilities on the condensed consolidated balance sheets, in connection with the RIF: June 30, (in millions) Balance at the beginning of the period $ — Severance and other personnel reduction costs 3 Cash payments during the period ( 3 ) Balance at the end of the period $ —

Overview, Basis of Presentati_4

Overview, Basis of Presentation and Significant Accounting Policies - Additional Information (Details)		6 Months Ended	12 Months Ended
	Apr. 11, 2023 $ / shares shares	Jun. 30, 2023 Segment $ / shares shares	Dec. 31, 2022 $ / shares shares
Class Of Stock [Line Items]
Entity Incorporation, State or Country Code		DE
Entity incorporation, date		Jun. 30, 2010
Reverse stock split	1-for-30	Reverse Stock Split, every thirty shares of the common stock were combined into one issued and outstanding share of common stock and no fractional shares were issued.
Common stock, par value | $ / shares	$ 0.0001	$ 0.0001	$ 0.0001
Common stock, shares authorized | shares	3,000,000,000	3,000,000,000	3,000,000,000
Number of operating segment		1
Number of reportable segment		1
Percentage of concentrations of risk, cash and cash equivalents		37%	24%

Overview, Basis of Presentati_5

Overview, Basis of Presentation and Significant Accounting Policies - Schedule of PSPs Each Represented 10% or More of Funds Receivable Balance (Details) - Funds Receivable - Credit Concentration Risk	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
PSP 1
Concentration Risk [Line Items]
Percentage of funds receivable balance	68%	32%
PSP 2
Concentration Risk [Line Items]
Percentage of funds receivable balance	26%	56%

Disaggregation of Revenue - Sum

Disaggregation of Revenue - Summary of Disaggregated Revenue (Details) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Disaggregation Of Revenue [Line Items]
Revenue		$ 78	$ 134	$ 174	$ 323
Core Marketplace Revenue
Disaggregation Of Revenue [Line Items]
Revenue	[1]	24	54	52	144
ProductBoost Revenue
Disaggregation Of Revenue [Line Items]
Revenue		6	11	14	25
Marketplace Revenue
Disaggregation Of Revenue [Line Items]
Revenue		30	65	66	169
Logistics Revenue
Disaggregation Of Revenue [Line Items]
Revenue		$ 48	$ 69	$ 108	$ 154
[1] Core marketplace revenue included a $ 2 million net loss for both the three months ended June 30, 2023 and 2022, and a zero net loss for both the six months ended June 30, 2023 and 2022, from our cash flow hedging program.

Financial Instruments and Fai_3

Financial Instruments and Fair Value Measurement - Schedule of Financial Assets and Liabilities Subject to Fair Value Measurements on Recurring Basis (Details) - USD ($) $ in Millions	Jun. 30, 2023	Dec. 31, 2022
Financial assets:
Derivative assets	$ 1	$ 6
Financial liabilities:
Derivative liabilities	8	2
Recurring
Financial assets:
Cash equivalents		52
Marketable securities	213	213
Derivative assets	1	6
Total financial assets	255	271
Financial liabilities:
Derivative liabilities	8	2
Total financial liabilities	8	2
Recurring | Level 1
Financial assets:
Cash equivalents		50
Total financial assets	41	50
Recurring | Level 2
Financial assets:
Cash equivalents		2
Marketable securities	213	213
Derivative assets	1	6
Total financial assets	214	221
Financial liabilities:
Derivative liabilities	8	2
Total financial liabilities	8	2
Recurring | Money Market Funds
Financial assets:
Cash equivalents	41	50
Recurring | Money Market Funds | Level 1
Financial assets:
Cash equivalents	41	50
Recurring | U.S. Treasury Bills
Financial assets:
Marketable securities	178	173
Recurring | U.S. Treasury Bills | Level 2
Financial assets:
Marketable securities	178	173
Recurring | Commercial Paper
Financial assets:
Marketable securities	19	7
Recurring | Commercial Paper | Level 2
Financial assets:
Marketable securities	19	7
Recurring | Corporate Bonds
Financial assets:
Cash equivalents		2
Marketable securities	13	29
Recurring | Corporate Bonds | Level 2
Financial assets:
Cash equivalents		2
Marketable securities	13	29
Recurring | U.S. government agency
Financial assets:
Marketable securities	3
Recurring | U.S. government agency | Level 2
Financial assets:
Marketable securities	$ 3
Recurring | Non-U.S. government
Financial assets:
Marketable securities		4
Recurring | Non-U.S. government | Level 2
Financial assets:
Marketable securities		$ 4

Financial Instruments and Fai_4

Financial Instruments and Fair Value Measurement - Schedule of Contractual Maturities of Marketable Securities (Details) - Recurring - USD ($) $ in Millions	Jun. 30, 2023	Dec. 31, 2022
Amortized Cost
Due within one year	$ 213	$ 214
Total marketable securities	213	214
Estimated Fair Value
Due within one year	213	213
Total marketable securities	$ 213	$ 213

Balance Sheet Components - Sche

Balance Sheet Components - Schedule of Accrued Liabilities (Details) - USD ($) $ in Millions	Jun. 30, 2023	Dec. 31, 2022
Accrued Liabilities, Current [Abstract]
Logistics costs	$ 29	$ 44
Deferred revenue and customer deposits	14	18
Wish Cash liability	13	14
Sales and indirect taxes	13	15
Other	41	39
Total accrued liabilities	$ 110	$ 130

Balance Sheet Components - Sc_2

Balance Sheet Components - Schedule of Accrued Liabilities (Parenthetical) (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2023
Accrued Liabilities, Current [Abstract]
Decrease in logistics costs	$ 15
Percentage of decrease in logistics costs due to lower shipping volumes	34%
Decrease in deferred revenue and customer deposits	$ 4
Percentage of decrease in deferred revenue and customer deposits due to lower logistics volumes	22%
Amount of revenue recognized		$ 13
Unredeemable wish cash balances in core marketplace revenue		$ 1
Decrease in sales and indirect taxes	$ 2
Percentage of decrease in sales and indirect taxes due to less taxes collected in connection with lower order volumes	13%

Derivative Financial Instrume_3

Derivative Financial Instruments - Additional Information (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Derivative Instruments And Hedging Activities Disclosures [Line Items]
Net gains or losses recognized in core marketplace revenue relating to hedges of forecasted transactions	$ 0	$ 0	$ 0	$ 0
Net gains or losses on change in fair value of foreign exchange forward contracts	$ 4,000,000	$ 5,000,000	$ 4,000,000	$ 4,000,000

Derivative Financial Instrume_4

Derivative Financial Instruments - Summary of Total Gross Notional Amounts of Outstanding Derivatives (Details) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Derivatives Fair Value [Line Items]
Total gross notional amounts of outstanding derivatives	$ 131,000,000	$ 179,000,000
Designated Hedges | Cash Flow Hedges
Derivatives Fair Value [Line Items]
Total gross notional amounts of outstanding derivatives	120,000,000	168,000,000
Non-designated Hedges
Derivatives Fair Value [Line Items]
Total gross notional amounts of outstanding derivatives	$ 11,000,000	$ 11,000,000

Derivative Financial Instrume_5

Derivative Financial Instruments - Schedule of Fair Value of Derivative Financial Instruments (Details) - USD ($) $ in Millions	Jun. 30, 2023	Dec. 31, 2022
Derivatives Fair Value [Line Items]
Derivative assets	$ 1	$ 6
Derivative Asset, Statement of Financial Position [Extensible Enumeration]	Prepaid Expense and Other Assets, Current	Prepaid Expense and Other Assets, Current
Derivative liabilities	$ 8	$ 2
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Accrued Liabilities, Current	Accrued Liabilities, Current
Designated Hedges | Cash Flow Hedges
Derivatives Fair Value [Line Items]
Derivative assets		$ 2
Derivative Asset, Statement of Financial Position [Extensible Enumeration]		Prepaid Expense and Other Assets, Current
Derivative liabilities	$ 3
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Accrued Liabilities, Current
Non-designated Hedges | Foreign Exchange Forward Contracts
Derivatives Fair Value [Line Items]
Derivative assets	$ 1	$ 4
Derivative Asset, Statement of Financial Position [Extensible Enumeration]	Prepaid Expense and Other Assets, Current	Prepaid Expense and Other Assets, Current
Derivative liabilities	$ 5	$ 2
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Accrued Liabilities, Current	Accrued Liabilities, Current

Derivative Financial Instrume_6

Derivative Financial Instruments - Schedule of Changes in Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Balance at the beginning of the period	$ 2	$ 2
Other comprehensive loss before reclassifications	(5)	(6)
Amounts recognized in core marketplace revenue and reclassified out of accumulated other comprehensive income		6
Balance at the end of the period	$ (3)	$ 2

Operating Leases - Additional I

Operating Leases - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Lessee Lease Description [Line Items]
Operating lease cost	$ 1	$ 2	$ 2	$ 4
Right-of-use assets	6		6		$ 9
Operating lease, liabilities current	$ 7		$ 7		$ 7
Operating lease, liability current, Statement of financial position [Extensible List]	Accrued liabilities		Accrued liabilities		Accrued liabilities
Lease liabilities, non-current	$ 9		$ 9		$ 13
Weighted-average remaining lease term	2 years		2 years		3 years
Weighted-average discount rate	6%		6%		6%

Operating Leases - Supplemental

Operating Leases - Supplemental Cash Flow Information for Operating Leases (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$ 4	$ 5

Operating Leases - Maturities o

Operating Leases - Maturities of Operating Lease Liabilities (Details) $ in Millions	Jun. 30, 2023 USD ($)
Leases [Abstract]
2023 (remaining six months)	$ 4
2024	7
2025	4
2026	1
2027	1
Total lease payments	17
Less: imputed interest	(1)
Present value of lease liabilities	$ 16

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Details)	1 Months Ended		6 Months Ended
	Sep. 30, 2022 USD ($)	Nov. 30, 2020 USD ($)	Jun. 30, 2023 USD ($) Case
Commitments And Contingencies Disclosure [Line Items]
Number of putative class action lawsuits | Case			4
Number of cases dismissed by plaintiff | Case			1
Number of cases coordinated and consolidated | Case			3
Colocation and Cloud Services Arrangement
Commitments And Contingencies Disclosure [Line Items]
Purchase obligations, remaining commitment			$ 56,000,000
Purchase commitment amount	$ 85,000,000
Purchase commitment, period	3 years
Revolving Credit Facility
Commitments And Contingencies Disclosure [Line Items]
Minimum liquidity financial covenant			350,000,000
Standby letter of credit			7,000,000
Borrowings under credit facility			$ 0
Senior Secured Debt | Revolving Credit Facility
Commitments And Contingencies Disclosure [Line Items]
Senior secured revolving credit facility, term		5 years
Senior secured revolving credit facility		$ 280,000,000
Commitment fee percentage on unused portion of aggregate commitments		0.25%
Commitment fee percentage		1.50%
Senior Secured Debt | Revolving Credit Facility | LIBOR
Commitments And Contingencies Disclosure [Line Items]
Revolving credit facility, variable interest rate		1.50%
Senior Secured Debt | Revolving Credit Facility | Alternative Base Rate
Commitments And Contingencies Disclosure [Line Items]
Revolving credit facility, variable interest rate		0.50%
Senior Secured Debt | Revolving Credit Facility | Maximum
Commitments And Contingencies Disclosure [Line Items]
Aggregate commitments		$ 100,000,000

Equity Award Activity and Sto_3

Equity Award Activity and Stock-Based Compensation - Summary of Activity Under Equity Plans and Related Information (Details) - $ / shares shares in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of Options, Beginning balance	67
Number of Options, Granted	299
Number of Options, Ending balance	366	67
Weighted-Average Exercise Price, Beginning balance	$ 31.17
Weighted-Average Exercise Price, Granted	15.03
Weighted-Average Exercise Price, Ending balance	$ 18	$ 31.17
Weighted-Average Remaining Contractual Term	9 years 6 months	9 years 6 months
Restricted Stock Units ("RSUs")
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of Restricted Stock Units, Beginning balance	2,399
Unvested share outstanding	2,519
Number of Restricted Stock Units, Vested	(632)
Number of Restricted Stock Units, Forfeited or cancelled	(610)
Number of Restricted Stock Units, Ending balance	3,676	2,399

Equity Award Activity and Sto_4

Equity Award Activity and Stock-Based Compensation - Additional Information (Details) - USD ($)	1 Months Ended	3 Months Ended		6 Months Ended
	Feb. 28, 2023	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of Options, Granted				299,000
Number of shares available for grant		995,000		995,000
Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Additional stock based compensation expense				$ 1,000,000
Common stock shares purchased		29,000		29,000
Percentage of price per share				85%
Compensation expense recognition date				May 20, 2025
Employee Stock Purchase Plan | Common Stock
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based payment award, description				The ESPP provides for 24-month offering periods, generally beginning in November and May of each year, and each offering period consists of four six-month purchase periods.
Percentage of eligible compensation to purchase shares at discount		15%		15%
Maximum eligible compensation to purchase shares at discount				$ 25,000
Maximum number of shares eligible to purchase by an employee on purchase date				166
Mr. Jun Yan | 2022 Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period	2 years
Term of option award	10 years
Mr. Jun Yan | 2022 Employee Stock Purchase Plan | Class A Common Stock
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of Options, Granted	299,000
Options, Grant date Fair Value	$ 3,000,000
Exercise price	$ 15.03
Maximum | Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share based compensation expense		$ 1,000,000		$ 1,000,000
Restricted Stock Units ("RSUs")
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Weighted average grant date fair value, granted		$ 7.97	$ 53.87	$ 14.48	$ 55.25
Unrecognized compensation expenses		$ 115,000,000		$ 115,000,000
Unrecognized compensation expenses, recognition period				2 years 3 months 18 days
Restricted Stock Units ("RSUs") | Mr. Jun Yan | 2022 Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Restricted stock units, granted date fair value	$ 3,000,000
Number of Options, Granted	167,000
Stock Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unrecognized compensation expenses		$ 3,000,000		$ 3,000,000
Unrecognized compensation expenses, recognition period				1 year 6 months

Equity Award Activity and Sto_5

Equity Award Activity and Stock-Based Compensation - Summary of Assumptions Used in Black-Scholes Option Pricing Model (Details) - $ / shares	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Share-Based Payment Arrangement [Abstract]
Expected term (in years)	5 years 6 months 18 days	6 years 1 month 6 days
Risk free interest rate	4.15%	1.70%
Volatility	91.51%	73.20%
Estimated fair value per share	$ 11.27	$ 56.1

Equity Award Activity and Sto_6

Equity Award Activity and Stock Based Compensation - Summary of Stock-Based Compensation Expense (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Total stock-based compensation	$ 15	$ 29	$ 41	$ 27
Cost of Revenue
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Total stock-based compensation	1	3	2	2
Sales and Marketing
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Total stock-based compensation	1	2	2	3
Product Development
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Total stock-based compensation	9	14	25	28
General and Administrative
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Total stock-based compensation	$ 4	$ 10	$ 12	$ (6)

Equity Award Activity and Sto_7

Equity Award Activity and Stock Based Compensation - Summary of Stock-Based Compensation Expense (Parenthetical) (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]
Increase (decrease) in stock-based compensation expense	$ (14)	$ 14

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Income Taxes [Line Items]
Provision for income taxes	$ 3	$ 1	$ 3	$ 1
Unrecognized tax benefits	14		14		$ 9
Unrecognized tax benefits would have a rate impact	$ 2		$ 2

Net Loss Per Share - Computatio

Net Loss Per Share - Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Numerator:
Net loss	$ (80)	$ (90)	$ (169)	$ (150)
Denominator:
Weighted-average shares used in computing net loss per share, basic	23,651	22,241	23,451	22,146
Weighted-average shares used in computing net loss per share, diluted	23,651	22,241	23,451	22,146
Net loss per share, basic	$ (3.38)	$ (4.05)	$ (7.21)	$ (6.77)
Net loss per share, diluted	$ (3.38)	$ (4.05)	$ (7.21)	$ (6.77)

Net Loss Per Share - Summary of

Net Loss Per Share - Summary of Outstanding Shares of Potentially Dilutive Securities Excluded from Computation of Diluted Net Loss Per Share (Details) - shares shares in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share	4,159	4,396
Common Stock Options Outstanding
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share	366	1,677
Unvested Restricted Stock Units Outstanding
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share	3,676	2,651
Employee Stock Purchase Plan
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share	117	68

Geographical Information - Summ

Geographical Information - Summary of Revenue by Geographic Area (Details) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Entity Wide Revenue Major Customer [Line Items]
Revenue		$ 78	$ 134	$ 174	$ 323
Core Marketplace Revenue
Entity Wide Revenue Major Customer [Line Items]
Revenue	[1]	$ 24	$ 54	$ 52	$ 144
Core Marketplace Revenue | Revenue | Geographic Concentration Risk
Entity Wide Revenue Major Customer [Line Items]
Revenue percentage	[1]	100%	100%	100%	100%
Core Marketplace Revenue | Europe
Entity Wide Revenue Major Customer [Line Items]
Revenue		$ 12	$ 18	$ 26	$ 52
Core Marketplace Revenue | Europe | Revenue | Geographic Concentration Risk
Entity Wide Revenue Major Customer [Line Items]
Revenue percentage		50%	33%	50%	36%
Core Marketplace Revenue | North America
Entity Wide Revenue Major Customer [Line Items]
Revenue	[2]	$ 9	$ 28	$ 19	$ 71
Core Marketplace Revenue | North America | Revenue | Geographic Concentration Risk
Entity Wide Revenue Major Customer [Line Items]
Revenue percentage	[2]	38%	52%	36%	49%
Core Marketplace Revenue | South America
Entity Wide Revenue Major Customer [Line Items]
Revenue		$ 1	$ 2	$ 2	$ 5
Core Marketplace Revenue | South America | Revenue | Geographic Concentration Risk
Entity Wide Revenue Major Customer [Line Items]
Revenue percentage		4%	4%	4%	4%
Core Marketplace Revenue | Other
Entity Wide Revenue Major Customer [Line Items]
Revenue		$ 2	$ 6	$ 5	$ 16
Core Marketplace Revenue | Other | Revenue | Geographic Concentration Risk
Entity Wide Revenue Major Customer [Line Items]
Revenue percentage		8%	11%	10%	11%
[1] Core marketplace revenue included a $ 2 million net loss for both the three months ended June 30, 2023 and 2022, and a zero net loss for both the six months ended June 30, 2023 and 2022, from our cash flow hedging program. United States accounted for $ 7 million and $ 15 million of core marketplace revenue for the three and six months ended June 30, 2023, respectively and $ 22 million and $ 57 million for the three and six months ended June 30, 2022, respectively.

Geographical Information - Su_2

Geographical Information - Summary of Revenue by Geographic Area (Parenthetical) (Details) - USD ($)		3 Months Ended		6 Months Ended
		Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Entity Wide Revenue Major Customer [Line Items]
Revenue		$ 78,000,000	$ 134,000,000	$ 174,000,000	$ 323,000,000
Core Marketplace Revenue
Entity Wide Revenue Major Customer [Line Items]
Revenue	[1]	24,000,000	54,000,000	52,000,000	144,000,000
Net gains from cash flow hedging program		(2,000,000)	(2,000,000)	0	0
Core Marketplace Revenue | United States
Entity Wide Revenue Major Customer [Line Items]
Revenue		$ 7,000,000	$ 22,000,000	$ 15,000,000	$ 57,000,000
[1] Core marketplace revenue included a $ 2 million net loss for both the three months ended June 30, 2023 and 2022, and a zero net loss for both the six months ended June 30, 2023 and 2022, from our cash flow hedging program.

Geographical Information - Su_3

Geographical Information - Summary of Property and Equipment, Net and Operating Lease Right-of-Use Assets, Net (Details) - USD ($) $ in Millions		Jun. 30, 2023	Dec. 31, 2022
Revenue, Major Customer [Line Items]
Property and equipment, net and right-of-use assets	[1]	$ 15	$ 18
Property and equipment, net and right-of-use assets percentage	[1]	100%	100%
United States
Revenue, Major Customer [Line Items]
Property and equipment, net and right-of-use assets		$ 10	$ 13
Property and equipment, net and right-of-use assets percentage		67%	72%
CHINA
Revenue, Major Customer [Line Items]
Property and equipment, net and right-of-use assets		$ 4	$ 4
Property and equipment, net and right-of-use assets percentage		27%	22%
Other
Revenue, Major Customer [Line Items]
Property and equipment, net and right-of-use assets		$ 1	$ 1
Property and equipment, net and right-of-use assets percentage		6%	6%
[1] Long-lived tangible assets outside the United States and China were primarily located in Canada.

Reduction In Workforce - Additi

Reduction In Workforce - Additional Information (Details) $ in Millions	1 Months Ended	6 Months Ended
	Jan. 31, 2023 USD ($) Employee	Jun. 30, 2023 USD ($)
Restructuring and Related Activities [Abstract]
Reduction In workforce, number of positions reduced, percentage	17%
Reduction in workforce, number of positions reduced | Employee	150
Severance and other personnel reduction costs | $	$ 3	$ 3

Reduction In Workforce - Summar

Reduction In Workforce - Summary of Changes in Severance and Other Personnel Reduction Liabilities Included Accrued Liabilities (Details) - USD ($) $ in Millions	1 Months Ended	6 Months Ended
	Jan. 31, 2023	Jun. 30, 2023
Restructuring and Related Activities [Abstract]
Severance and other personnel reduction costs	$ 3	$ 3
Cash payments during the period		$ (3)

Subsequent Events - Additional

Subsequent Events - Additional Information (Details) $ in Millions		1 Months Ended	6 Months Ended
	Aug. 03, 2023 USD ($) Employee	Jan. 31, 2023 USD ($) Employee	Jun. 30, 2023 USD ($)
Subsequent Event [Line Items]
Reduction in workforce, number of positions reduced		150
Reduction In workforce, number of positions reduced, percentage		17%
Severance and other personnel reduction costs | $		$ 3	$ 3
Subsequent Event
Subsequent Event [Line Items]
Reduction in workforce, number of positions reduced	255
Reduction In workforce, number of positions reduced, percentage	34%
Severance and other personnel reduction costs | $	$ 9
Subsequent Event | United States
Subsequent Event [Line Items]
Reduction in workforce, number of positions reduced	160
Reduction In workforce, number of positions reduced, percentage	41%
Subsequent Event | Non-U.S.
Subsequent Event [Line Items]
Reduction in workforce, number of positions reduced	95
Reduction In workforce, number of positions reduced, percentage	26%