Quarterly report pursuant to Section 13 or 15(d)

INTANGIBLE ASSETS AND INTERNAL-USE SOFTWARE, NET

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INTANGIBLE ASSETS AND INTERNAL-USE SOFTWARE, NET
 9 Months Ended
Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
INTANGIBLE ASSETS AND INTERNAL-USE SOFTWARE, NET
NOTE 9—INTANGIBLE ASSETS AND INTERNAL-USE SOFTWARE, NET
Intangible Assets
The following table provides the gross carrying value and accumulated amortization for each major class of intangible asset other than goodwill:
September 30, 2023 December 31, 2022
Gross
Carrying
Amount		 Accumulated
Amortization		 Net
Carrying
Amount		 Gross
Carrying
Amount		 Accumulated
Amortization		 Net
Carrying
Amount
Amortizable intangible assets:
Licenses $ 31,121  $ (16,336) $ 14,785  $ 21,040  $ (7,962) $ 13,078 
Acquired technology 15,003  (3,081) 11,922  15,003  (830) 14,173 
Customer relationships 12,000  (2,400) 9,600  12,000  (600) 11,400 
Trade names 2,740  (1,390) 1,350  2,740  (1,278) 1,462 
Internal-use software 162,547  (126,624) 35,923  145,798  (109,680) 36,118 
Other 139  (2) 137  —  —  — 
223,550  (149,833) 73,717  196,581  (120,350) 76,231 
Nonamortizable intangible assets:
Marketing Agreement with a related party 1,000  —  1,000  1,000  —  1,000 
Total intangible assets $ 224,550  $ (149,833) $ 74,717  $ 197,581  $ (120,350) $ 77,231 
During the three months ended September 30, 2023 and 2022, the Company capitalized internal-use software development costs of $5.5 million and $5.6 million, and during the nine months ended September 30, 2023 and 2022, capitalized internal-use software development costs were $17.9 million and $17.6 million, respectively.
During the three months ended September 30, 2023 and 2022, intangible asset and internal-use software amortization was $10.3 million and $7.4 million, respectively, and during the nine months ended September 30, 2023 and 2022, intangible asset and internal-use software amortization were $29.5 million and $22.2 million, respectively. The aggregate amortization expense for amortizable intangible assets and internal-use software is reflected in “Depreciation and amortization” in the Condensed Consolidated Statements of Operations.
The Company recorded a $1.1 million non-cash impairment charge within "Restructuring and related" in the Condensed Consolidated Statements of Operations during the three and nine months ended September 30, 2023. There were no impairment charges for intangible assets or internal-use software for the three months ended September 30, 2022. The
Company recorded an $8.4 million non-cash impairment charge within "Restructuring and related" in the Condensed Consolidated Statements of Operations during the nine months ended September 30, 2022.
Subsequent to September 30, 2023, the Company entered into certain licensing arrangements resulting in an increase of $32.0 million in "Intangible assets and internal-use software, net" within the Condensed Consolidated Balance Sheets with an offsetting liability related to the minimum guarantee liabilities.
As of September 30, 2023, the estimated annual amortization expense is as follows:
Year Ending December 31, Projected Amortization
Expense
Remaining 2023
 $ 10,691 
2024 34,346 
2025 15,468 
2026 8,269 
2027 4,129 
Thereafter 814 
Total $ 73,717