Property and Equipment, Net

6 Months Ended

Jun. 30, 2022

Property, Plant and Equipment [Abstract]

Property and equipment, net consisted of the following (in thousands):


	June 30, 2022		December 31, 2021
Data center equipment	$	26,065	$	25,338
Leased and financed data center equipment	61,001		50,419
Machinery and equipment	9,389		7,803
Computer equipment	2,168		1,631
Leasehold improvements	966		956

Total property and equipment	99,589		86,147
Less: accumulated depreciation	(51,286)		(43,079)
Total property and equipment, net	$	48,303	$	43,068

Depreciation expense was $4.0 million and $3.6 million for the three months ended June 30, 2022 and 2021, respectively, and was $8.3 million and $7.2 million for the six months ended June 30, 2022 and 2021, respectively. For the Company’s equipment under finance leases and collateralized financing obligations, accumulated depreciation was $19.3 million and $13.5 million as of June 30, 2022 and December 31, 2021, respectively. The carrying value of the Company’s equipment under finance lease agreements and lease financing obligations was $41.7 million and $36.9 million as of June 30, 2022 and December 31, 2021, respectively.

The Company recorded a loss of less than $0.1 million for the three and six months ended June 30, 2022, respectively, as a result of disposing of certain hard drives. During the three and six months ended June 30, 2021, no material gain or loss was realized related to the disposal of long-lived assets. These disposals occurred in the ordinary course of business, as the Company continuously evaluates its requirements for operating its data centers. The loss and gains are recorded as general and administrative expenses in the Company’s condensed statements of operations.

As of June 30, 2022 and December 31, 2021, substantially all of the Company’s assets were held in the United States.