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Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Schedule of Income (Loss) before Provision for Income Taxes
Income (loss) before provision for income taxes consisted of the following:
Year Ended December 31,
202220212020
(In thousands)
United States$(60,374)$(59,370)$(104,551)
International4,723 4,018 3,925 
Total$(55,651)$(55,352)$(100,626)
Summary of Income Tax Expense
Provision for income taxes consisted of the following:
Year Ended December 31,
202220212020
(In thousands)
Current:
U.S. Federal$166 $— $— 
State87 21 84 
Foreign601 989 438 
854 1,010 522 
Deferred:
U.S. Federal— — — 
State— — — 
Foreign121 (333)103 
121 (333)103 
Total$975 $677 $625 
Schedule of Effective Income Tax Rate Reconciliation
The effective tax rate differed from the U.S. federal income tax rate as follows:
Year Ended December 31,
202220212020
Tax benefit at U.S. federal income tax rate21.0 %21.0 %21.0 %
State tax benefit, net of federal benefit1.9 %2.9 %4.4 %
Impact of international operations1.3 %1.3 %0.8 %
U.S. taxes on foreign entities— %(3.9)%2.5 %
Stock-based compensation(7.3)%(3.0)%(4.2)%
U.S. federal tax credits3.7 %1.6 %1.6 %
Change in valuation allowance(21.8)%(20.3)%(26.4)%
Non-deductible transaction costs(0.1)%(0.6)%(0.1)%
Other(0.5)%(0.2)%(0.2)%
Provision for income taxes(1.8)%(1.2)%(0.6)%
Schedule of Deferred Tax Assets and Liabilities
The significant components of net deferred tax assets consisted of the following:
As of December 31,
20222021
(In thousands)
Deferred Tax Assets:
Accruals and allowances$11,330 $10,369 
Net operating loss carryforwards22,622 26,236 
Stock-based compensation3,527 3,956 
Lease liabilities5,706 6,170 
Deferred revenue409 1,763 
Tax credit carryforwards11,510 8,100 
Depreciation and amortization3,307 3,989 
Capitalized research and development expenses40,016 26,186 
Total deferred tax assets98,427 86,769 
Deferred Tax Liabilities:
Operating lease right-of-use assets(3,174)(3,462)
Total deferred tax liabilities(3,174)(3,462)
Valuation Allowance(93,869)(81,742)
Net deferred tax assets$1,384 $1,565 
Schedule of Valuation Allowance for Deferred Income Tax Assets
Changes in valuation allowance for deferred tax assets were as follows:
 Year Ended December 31,
 202220212020
(In thousands)
Balance at the beginning of the period$81,742 $70,496 $43,917 
Additions (1)
16,798 11,246 26,579 
Deductions (2)
(4,671)— — 
Balance at the end of the period$93,869 $81,742 $70,496 
________________________
(1)    Additions are primarily increases in tax attribute carryforwards and capitalized expenditures for income tax purposes.
(2)     Deductions present the utilization of U.S. federal and state net operating losses and tax credit attributes.
Summary of Operating Loss Carryforwards
As of December 31, 2022, net operating loss carryforwards consisted of the following:
AmountBeginning Year of Expiration
(in thousands)
U.S. federal (1)
$8,642 2031
U.S. federal (1)(2)
82,547 Indefinite
California28,924 2028
Other states32,366 2023
_________________________
(1)All of the losses are subject to annual usage limitations under Internal Revenue Code Section 382.
(2)All of the losses are subject to usage limitation of 80% of taxable income in a year when the losses will be utilized.
Summary of Tax Credit Carryforwards
As of December 31, 2022, tax credit carryforwards consisted of the following:
AmountBeginning Year of Expiration
(in thousands)
U.S. federal$6,502 2039
California6,396 Indefinite
Foreign2,302 2041
Reconciliation of Gross Unrecognized Tax Benefits
A reconciliation of the beginning and ending amount of gross unrecognized tax benefits was as follows:
Year Ended December 31,
202220212020
(In thousands)
Balance at the beginning of the period$1,736 $1,355 $704 
Additions for tax positions taken during the current year765 444 503 
Additions (reductions) for tax positions taken during a prior year275 (58)148 
Reductions as a result of a lapse of the applicable statute of limitations(13)(5)— 
Balance at the end of the period$2,763 $1,736 $1,355