Fair Value of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2022

Fair Value of Financial Instruments

Summary of valuation of the financial instruments

The following summarizes the valuation of the Company’s financial instruments (in thousands). The tables do not include either cash on hand or assets and liabilities that are measured at historical cost or any basis other than fair value.

	Fair Value Measurements
	at December 31, 2022 Using
	Quoted Prices in		Significant Other
	Active Markets for		Observable
	Identical Assets		Inputs
Description	(Level 1)		(Level 2)		Total
Cash equivalents:
Money market funds	$	310,969	$	—	$	310,969
Corporate debt securities		—		3,249		3,249
Total cash equivalents	$	310,969	$	3,249	$	314,218
Short-term investments:
Corporate debt securities	$	—	$	501,014	$	501,014
Government debt securities		—		191,010		191,010
Total short-term investments	$	—	$	692,024	$	692,024
Total	$	310,969	$	695,273	$	1,006,242

5. Fair Value of Financial Instruments (Continued)

	Fair Value Measurements
	at January 1, 2022 Using
	Quoted Prices in		Significant Other		Significant
	Active Markets for		Observable		Unobservable
	Identical Assets		Inputs		Inputs
Description	(Level 1)		(Level 2)		(Level 3)		Total
Cash equivalents:
Money market funds	$	845,740	$	—	$	—	$	845,740
Corporate debt securities		—		3,552		—		3,552
Government debt securities		—		2,950		—		2,950
Total cash equivalents	$	845,740	$	6,502	$	—	$	852,242
Short-term investments:
Corporate debt securities	$	—	$	773,461	$	—	$	773,461
Government debt securities		71,509		119,612		—		191,121
Total short-term investments	$	71,509	$	893,073	$	—	$	964,582
Other assets, net:
Auction rate securities	$	—	$	—	$	4,980	$	4,980
Total	$	—	$	—	$	4,980	$	4,980
Total	$	917,249	$	899,575	$	4,980	$	1,821,804

Schedule of maturities of the Company's available-for-sale investments and money market funds

The following summarizes the contractual underlying maturities of the Company’s available-for-sale investments at December 31, 2022 (in thousands):

			Fair
	Cost		Value
Due in one year or less	$	462,096	$	454,957
Due after one year through ten years		243,957		237,561
Due after ten years		2,755		2,755
	$	708,808	$	695,273

5. Fair Value of Financial Instruments (Continued)

Schedule of available-for-sale investments in continuous unrealized loss position

The available-for-sale investments that were in a continuous unrealized loss position, aggregated by length of time that individual securities have been in a continuous loss position, were as follows (in thousands):

	Less Than 12 Months				12 Months or Greater				Total
			Gross				Gross				Gross
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
As of December 31, 2022	Value		Losses		Value		Losses		Value		Losses
Corporate debt securities	$	307,085	$	(5,297)	$	185,467	$	(4,090)	$	492,552	$	(9,387)
Government debt securities		76,651		(626)		100,209		(3,541)		176,860		(4,167)
	$	383,736	$	(5,923)	$	285,676	$	(7,631)	$	669,412	$	(13,554)

	Less Than 12 Months				12 Months or Greater				Total
			Gross				Gross				Gross
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
As of January 1, 2022	Value		Losses		Value		Losses		Value		Losses
Corporate debt securities	$	418,917	$	(1,451)	$	326	$	(1)	$	419,243	$	(1,452)
Government debt securities		126,957		(750)		—		—		126,957		(750)
Auction rate securities		—		—		4,980		(1,020)		4,980		(1,020)
	$	545,874	$	(2,201)	$	5,306	$	(1,021)	$	551,180	$	(3,222)

Summary of activity in Level 3 financial instruments

The following summarizes the activity in Level 3 financial instruments for the years ended December 31, 2022 and January 1, 2022 (in thousands):

Assets

	Year Ended
	December 31,		January 1,
Auction Rate Securities	2022		2022
Beginning balance	$	4,980	$	5,340
Sales (1)		(6,000)		—
Loss recognized in earnings		300		—
Gain (loss) included in other comprehensive income (loss)		720		(360)
Ending balance	$	—	$	4,980

(1) On May 31, 2022, the Company sold its prior remaining holding of auction-rate securities for $5.7 million.