GOODWILL AND INTANGIBLE ASSETS

12 Months Ended

Dec. 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

The Company performed its annual impairment analysis of goodwill during the fourth quarter of fiscal year 2024 and concluded that it was more likely than not that the fair value of its reporting unit exceeds its carrying amount. In assessing the qualitative factors, the Company considered the impact of these key factors: change in industry and competitive environment, growth in market capitalization, and budgeted-to-actual revenue performance for the twelve months ended December 31, 2024. There have been no triggering events identified affecting the valuation of goodwill subsequent to the annual impairment test.

Goodwill—As of December 31, 2024 and 2023, goodwill was $69.6 million.

Purchased Intangible Assets—The following table presents details of the Company’s purchased intangible assets as of December 31, 2024 and 2023 (in thousands).


	December 31, 2024						December 31, 2023
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Intangible assets subject to amortization:
Developed technology	$	5,400	$	(3,225)	$	2,175	$	5,400	$	(2,146)	$	3,254
Customer relationships	6,900		(1,725)		5,175		6,900		(1,034)		5,866
Total	$	12,300	$	(4,950)	$	7,350	$	12,300	$	(3,180)	$	9,120

The Company recognized amortization expense of $1.8 million, $1.8 million and $1.4 million, for the years ended December 31, 2024, 2023, and 2022, respectively.

The following table summarizes estimated future amortization expense for the Company’s intangible assets as of December 31, 2024 (in thousands):


	Amount
2025	$	1,770
2026	1,770
2027	705
2028	690
2029	690
2030 and thereafter	1,725
Total future amortization expense	$	7,350

Matterport, Inc./DE 10-K