We hold strategic investments primarily in privately held companies, which consist of equity securities without readily determinable fair values, and to a lesser extent, debt securities. These strategic investments are primarily recorded at fair value on a non-recurring basis. The estimation of fair value for these privately held strategic investments requires the use of significant unobservable inputs, such as the issuance of new equity by the company, and as a result, we deem these assets as Level 3 financial instruments within the fair value measurement framework.


	As of December 31,
	2025		2024

	(in thousands)
Initial cost	$	115,761	$	106,052
Cumulative upward adjustments	145,932		146,201
Cumulative downward adjustments, including impairments	(77,956)		(63,910)
Carrying value	$	183,737	$	188,343


	Year Ended December 31,
	2025		2024		2023

	(in thousands)
Gains (losses) recognized on strategic investments sold during the period, net	$	2,109	$	(60)	$	—
Unrealized gains on strategic investments still held at the reporting date	586		334		1,368
Unrealized losses, including impairments, on strategic investments still held at the reporting date	(15,304)		(7,703)		(28,423)
Gains (losses) on strategic investments, net	$	(12,609)	$	(7,429)	$	(27,055)

Gains and losses on all strategic investments are included within other income (expense), net on our consolidated statements of operations and included as an adjustment to reconcile net loss to net cash provided by (used in) operating activities in our consolidated statements of cash flows. Strategic investments are included within other assets on our consolidated balance sheets.