FAIR VALUE MEASUREMENTS
The Company's financial instruments consisted of cash equivalents, short-term and long-term investments, accounts receivable, accounts payable, and revolving lines of credit.
The valuation techniques used to measure fair value are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect internal market assumptions. These two types of inputs create the following fair value hierarchy: Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs for which little or no market data exists, therefore requiring an entity to develop its own assumptions. The Company classifies its financial instruments according to the prescribed criteria.
The fair value of money market fund deposits, cash equivalent term deposits, accounts receivable, accounts payable and drawings on revolving lines of credit is reasonably close to their carrying amounts due to the short maturity of most of these instruments or as a result of the competitive market interest rates, which have been negotiated. The fair value of the Company's commercial paper, corporate bonds, U.S. Treasury and agency obligations and term deposits are based on Level 2 inputs.
The following table presents fair value information related to the Company's assets and liabilities measured at amortized cost on the Consolidated Balance Sheets:
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| Fair Value Measurements at December 31, 2025 |
| | Total | | Level 1 | | Level 2 | | Level 3 |
| Assets | | | | | | | |
| Cash equivalents: | | | | | | | |
| Money market fund deposits | $ | 173,538 | | | $ | 173,538 | | | $ | — | | | $ | — | |
| | | | | | | |
| | | | | | | |
| | | | | | | |
| Term deposits | 58,782 | | | — | | | 58,782 | | | — | |
| | | | | | | |
| Total cash equivalents | 232,320 | | | 173,538 | | | 58,782 | | | — | |
| Short-term investments: | | | | | | | |
| Corporate bonds | 264,431 | | | — | | | 264,431 | | | — | |
| Commercial paper | 101,922 | | | — | | | 101,922 | | | — | |
| U.S. Treasury and agency obligations | 66,469 | | | — | | | 66,469 | | | — | |
| | | | | | | |
| Term deposits | 3,104 | | | — | | | 3,104 | | | — | |
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| Total short-term investments | 435,926 | | | — | | | 435,926 | | | — | |
| Long-term investments: | | | | | | | |
| Corporate bonds | 52,294 | | | — | | | 52,294 | | | — | |
| U.S. Treasury and agency obligations | 24,300 | | | — | | | 24,300 | | | — | |
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| | | | | | | |
| Total long-term investments | 76,594 | | | — | | | 76,594 | | | — | |
| Total | $ | 744,840 | | | $ | 173,538 | | | $ | 571,302 | | | $ | — | |
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| | Fair Value Measurements at December 31, 2024 |
| | Total | | Level 1 | | Level 2 | | Level 3 |
| Assets | | | | | | | |
| Cash equivalents: | | | | | | | |
| Money market fund deposits | $ | 77,855 | | | $ | 77,855 | | | $ | — | | | $ | — | |
| Commercial paper | 163,589 | | | — | | | 163,589 | | | — | |
| U.S. Treasury and agency obligations | 47,770 | | | — | | | 47,770 | | | — | |
| Term deposits | 45,079 | | | — | | | 45,079 | | | — | |
| Corporate bonds | 15,777 | | | — | | | 15,777 | | | — | |
| Total cash equivalents | 350,070 | | | 77,855 | | | 272,215 | | | — | |
| | | | | | | |
| Short-term investments: | | | | | | | |
| Commercial paper | 219,355 | | | — | | | 219,355 | | | — | |
| Corporate bonds | 60,306 | | | — | | | 60,306 | | | — | |
| U.S. Treasury and agency obligations | 27,348 | | | — | | | 27,348 | | | — | |
| | | | | | | |
| Term deposits | 3,048 | | | — | | | 3,048 | | | — | |
| | | | | | | |
| Total short-term investments | 310,057 | | | — | | | 310,057 | | | — | |
| Total | $ | 660,127 | | | $ | 77,855 | | | $ | 582,272 | | | $ | — | |
There were no impairments for the investments considered held-to-maturity at December 31, 2025 and December 31, 2024. There were no current expected credit loss allowances for the investments considered held-to-maturity at December 31, 2025 and 2024. The Company holds highly-rated held-to-maturity instruments that are within five years of maturity.
The following table presents the effective maturity dates of debt investments, which are held-to-maturity:
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| December 31, 2025 | | December 31, 2024 |
| Book Value | | Fair Value | | Book Value | | Fair Value |
| Investment maturity | | | | | | | |
| | | | | | | |
| Less than 1 year | $ | 435,538 | | | $ | 435,926 | | | $ | 310,152 | | | $ | 310,057 | |
| 1 through 5 years | 76,533 | | | 76,594 | | | — | | | — | |
| Total | $ | 512,071 | | | $ | 512,520 | | | $ | 310,152 | | | $ | 310,057 | |
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