Stock-based compensation expense was $1.1 billion, $1.4 billion, and $1.6 billion in 2023, 2024, and 2025, respectively. The income tax benefit recognized on the consolidated statement of operations on stock-based compensation expense was $227 million, $273 million, and $317 million, in 2023, 2024, and 2025, respectively.

In 2023 and 2024, the Company recorded income tax benefits of $435 million and $39 million, respectively, related to vested or exercised awards. In 2025, the Company recorded an immaterial amount of income tax expense for these awards. These amounts do not reflect indirect impacts, primarily from the research and development tax credit.

In 2018, the Company adopted the 2018 Equity Incentive Plan (the “2018 Plan”). A total of 50.0 million shares of Class B common stock were reserved for issuance under the 2018 Plan and the 13.2 million shares remaining for issuance under a prior plan were added to the number of shares available under the 2018 Plan.

In 2020, the Company adopted the 2020 Incentive Award Plan (the “2020 Plan,” and together with the 2018 Plan, and a plan assumed in connection with a 2019 acquisition, the “Plans”). Under the 2020 Plan, 62.1 million shares of Class A common stock were initially reserved for issuance. The number of shares initially reserved for issuance pursuant to awards under the 2020 Plan will be increased by (i) the number of shares subject to awards outstanding under the 2018 Plan and the Assumed Equity Incentive Plan, as of the effective date of the 2020 Plan that subsequently terminate, are exchanged for cash, surrendered or repurchased, or are tendered or withheld to satisfy any exercise price or tax withholding obligations and (ii) an annual increase on the first day of each year beginning in 2022 and ending in 2030, equal to the lesser of (a) 5% of the shares of all series of the Company’s common stock outstanding on the last day of the immediately preceding year and (b) such smaller number of shares of stock as determined by the Company’s board of directors; provided, however, that no more than 371.2 million shares of stock may be issued upon the exercise of incentive stock options.


	Outstanding Stock Options			Outstanding Restricted Stock Units
	Number of Shares	Weighted- Average Exercise Price		Number of Shares	Weighted- Average Grant Date Fair Value
Balances as of December 31, 2023	7	$	71.76	30	$	85.35
Granted	1	168.18		13	153.36

Exercised/Vested	(3)	41.55		(11)	119.00
Canceled	—	—		(2)	143.07
Balances as of December 31, 2024	5	93.53		30	97.93
Granted	1	139.80		16	136.11

Exercised/Vested	(1)	53.34		(11)	138.98
Canceled	—	—		(3)	140.20
Balances as of December 31, 2025	5	$	108.28	32	$	99.64


	Number of Shares	Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life (years)	Aggregate Intrinsic Value
Options outstanding as of December 31, 2024	5	$	93.53	5.43	$	260
Options exercisable as of December 31, 2024	4	80.55		4.69	253
Options outstanding as of December 31, 2025	5	108.28		5.79	203
Options exercisable as of December 31, 2025	4	94.05		4.48	199

In May 2023, 11.2 million stock options were exercised in cashless transactions pursuant to which the Company withheld and retired 5.7 million shares of common stock, valued at their fair market value on the exercise date, to cover the related $567 million of employee withholding tax and $36 million of exercise cost.

In 2023, 2024, and 2025, the aggregate intrinsic value of stock options exercised was $1.6 billion, $254 million, and $82 million, respectively, and the total grant-date fair value of stock options that vested was $44 million, $51 million, and $46 million, respectively.

As of December 31, 2025, there was $114 million of total unrecognized compensation cost related to stock option awards granted under the Plans. The unrecognized cost as of December 31, 2025 is expected to be recognized over a weighted-average period of 2.9 years.

RSUs are measured at the fair market value of the underlying stock at the grant date and the expense is recognized over the requisite service period. The service-based vesting condition for these awards is generally satisfied over four years.

The Company maintains a 401(k) defined contribution benefit plan that covers substantially all of its domestic employees. The plan allows U.S. employees to make voluntary pre-tax contributions in certain investments at the discretion of the employee, up to maximum annual contribution subject to Internal Revenue Code limitations. The Company’s contributions to the plan was $27 million, $30 million, and $35 million in 2023, 2024, and 2025, respectively.