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Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2018	Apr. 13, 2018
Document and Entity Information [Abstract]
Entity Registrant Name	LIMELIGHT NETWORKS, INC.
Entity Central Index Key	0001391127
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		110,661,239

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Current assets:
Cash and cash equivalents	$ 19,863	$ 20,912
Marketable securities	23,832	28,404
Accounts receivable, net	32,433	32,381
Income taxes receivable	224	98
Prepaid expenses and other current assets	5,717	5,397
Total current assets	82,069	87,192
Property and equipment, net	27,371	28,991
Marketable securities, less current portion	40	40
Deferred income taxes	1,546	1,506
Goodwill	77,027	77,054
Other assets	2,174	1,665
Total assets	190,227	196,448
Current liabilities:
Accounts payable	10,376	4,439
Deferred revenue	950	1,187
Income taxes payable	72	452
Provision for litigation	18,000	18,000
Other current liabilities	11,495	18,507
Total current liabilities	40,893	42,585
Deferred income taxes	159	144
Deferred revenue, less current portion	16	16
Provision for litigation, less current portion	4,500	9,000
Other long-term liabilities	411	558
Total liabilities	45,979	52,303
Commitments and contingencies
Stockholders’ equity:
Convertible preferred stock, $0.001 par value; 7,500 shares authorized; no shares issued and outstanding	0	0
Common stock, $0.001 par value; 300,000 shares authorized; 110,657 and 110,824 shares issued and outstanding at March 31, 2018 and December 31, 2017, respectively	111	111
Additional paid-in capital	500,305	502,312
Accumulated other comprehensive loss	(7,861)	(8,328)
Accumulated deficit	(348,307)	(349,950)
Total stockholders’ equity	144,248	144,145
Total liabilities and stockholders’ equity	$ 190,227	$ 196,448

Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2018	Dec. 31, 2017
Statement of Financial Position [Abstract]
Convertible Preferred Stock, Par Value (in usd per share)	$ 0.001	$ 0.001
Convertible Preferred Stock, Shares Authorized	7,500,000	7,500,000
Convertible Preferred Stock, Shares Issued	0	0
Convertible Preferred Stock, Shares Outstanding	0	0
Common Stock, Par Value (in usd per share)	$ 0.001	$ 0.001
Common Stock, Shares Authorized	300,000,000	300,000,000
Common Stock, Shares Issued	110,657,000	110,824,000
Common Stock, Shares Outstanding	110,657,000	110,824,000

Unaudited Consolidated Statements of Operations - USD ($)
shares in Thousands, $ in Thousands

3 Months Ended

Mar. 31, 2018

Mar. 31, 2017

Income Statement [Abstract]

Revenues

$ 52,114

$ 44,735

Cost of revenue:

Cost of services

^[1]

21,054

19,007

Depreciation — network

4,380

4,557

Total cost of revenue

25,434

23,564

Gross profit

26,680

21,171

Operating expenses:

General and administrative

9,522

8,514

Sales and marketing

10,280

9,267

Research and development

6,339

6,220

Depreciation and amortization

588

589

Total operating expenses

26,729

24,590

Operating loss

(49)

(3,419)

Other income (expense):

Interest expense

(59)

(14)

Interest income

130

117

Other, net

112

Total other income

183

190

Income (loss) before income taxes

134

(3,229)

Income tax (benefit) expense

(15)

108

Net income (loss)

$ 149

$ (3,337)

Net loss per share, Basic and diluted:

Basic (in dollars per share)

$ 0.00

$ (0.03)

Diluted (in dollars per share)

$ 0.00

$ (0.03)

Weighted average shares used in per share calculation:

Basic weighted average outstanding shares of common stock

110,761

107,363

Diluted (shares)

118,909

107,363

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Unaudited Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 149	$ (3,337)
Other comprehensive income, net of tax:
Unrealized (loss) gain on investments	(24)	30
Foreign exchange translation gain	491	941
Other comprehensive income	467	971
Comprehensive income (loss)	$ 616	$ (2,366)

Unaudited Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Operating activities
Net income (loss)	$ 149	$ (3,337)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	4,968	5,146
Share-based compensation	3,367	3,075
Foreign currency remeasurement loss	110	289
Deferred income taxes	41	(50)
Gain on sale of property and equipment	(16)	(75)
Accounts receivable charges	218	249
Amortization of premium on marketable securities	33	83
Changes in operating assets and liabilities:
Accounts receivable	(270)	978
Prepaid expenses and other current assets	882	914
Income taxes receivable	(124)	29
Other assets	(495)	(3)
Accounts payable and other current liabilities	(2,286)	(1,160)
Deferred revenue	130	(302)
Income taxes payable	(397)	(4)
Payments for provision for litigation	(4,500)	(4,500)
Other long term liabilities	(151)	(197)
Net cash provided by operating activities	1,659	1,135
Investing activities
Purchases of marketable securities	0	(4,526)
Sale and maturities of marketable securities	4,515	7,250
Purchases of property and equipment	(1,990)	(5,745)
Proceeds from sale of property and equipment	16	58
Net cash provided by (used in) by investing activities	2,541	(2,963)
Financing activities
Payments of employee tax withholdings related to restricted stock vesting	(1,606)	(1,036)
Cash paid for purchase of common stock	(3,800)	0
Proceeds from employee stock plans	30	111
Net cash used in financing activities	(5,376)	(925)
Effect of exchange rate changes on cash and cash equivalents	127	171
Net decrease in cash and cash equivalents	(1,049)	(2,582)
Cash and cash equivalents, beginning of period	20,912	21,734
Cash and cash equivalents, end of period	19,863	19,152
Supplemental disclosure of cash flow information
Cash paid during the period for interest	59	4
Cash paid during the period for income taxes, net of refunds	$ 451	$ 124

Nature of Business	3 Months Ended
Nature of Business	Mar. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Business	Nature of Business Limelight operates a globally distributed, high-performance network and provides a suite of integrated services marketed under the Limelight Orchestrate Platform which include content delivery, video content management, website and web application acceleration, website and content security, and cloud storage services. We were incorporated in Delaware in 2003, and have operated in the Phoenix metropolitan area since 2001 and elsewhere throughout the United States since 2003. We began international operations in 2004.

Summary of Significant Accounting Policies	3 Months Ended
Summary of Significant Accounting Policies	Mar. 31, 2018
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). They do not include all of the information and footnotes required by U.S. generally accepted accounting principles (U.S. GAAP) for complete financial statements. Such interim financial information is unaudited but reflects all adjustments that are, in the opinion of management, necessary for the fair presentation of the interim periods presented and of a normal recurring nature. This quarterly report on Form 10-Q should be read in conjunction with our audited financial statements and footnotes included in our annual report on Form 10-K for the fiscal year ended December 31, 2017. All information is presented in thousands, except per share amounts and where specifically noted. The consolidated financial statements include accounts of Limelight and our wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated. In addition, certain other reclassifications have been made to prior year amounts to conform to the current year presentation. Use of Estimates The preparation of the consolidated financial statements and related disclosures in conformity with U.S. GAAP requires management to make judgments, assumptions, and estimates that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results and outcomes may differ from those estimates. The results of operations presented in this quarterly report on Form 10-Q are not necessarily indicative of the results that may be expected for the year ending December 31, 2018, or for any future periods. Recent Accounting Standards Adopted Accounting Standards In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2014-09 (Topic 606) "Revenue from Contracts with Customers." Topic 606 supersedes the revenue recognition requirements in Accounting Standards Codification Topic 605 “Revenue Recognition” (Topic 605), and requires entities to recognize revenue when control of promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. On January 1, 2018, we adopted Topic 606 using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with our historic accounting under Accounting Standards Codification Topic 605. We recorded a net decrease to opening accumulated deficit of $1,496 as of January 1, 2018 due to the cumulative impact of adopting Topic 606, with the impact primarily related to the costs to obtain a customer contract ($1,129), specifically commissions and upfront incentive payments, and from the recognition of revenue from customers with contracts that contain minimum commitments billed ratably over the contract term ($367). The costs associated with obtaining a customer contract were previously expensed in the period they were incurred. Under Topic 606, these payments have been deferred on our consolidated balance sheets and amortized over the expected life of the customer contract. The impact to sales and marketing expense for the quarter ended March 31, 2018 was not material as a result of applying Topic 606. As of March 31, 2018, prepaid commissions were $1,141, with the short term portion of $639 included in prepaid expenses and other current assets, and the long term portion of $502 included in other assets. For customers with contracts that contain minimum commitments billed ratably over the contract term, previously, we either accrued or deferred revenue based on actual usage. Under Topic 606, we are required to evaluate the impact of estimating variable consideration related to these types of contracts. We use the expected value method to estimate the total revenue of the contract, constrained by the probability that there would not be a significant revenue reversal in a future period, and recognize a pro-rata share of the total revenue of the contract each month. We continue to evaluate the expected value of revenue over the term of the contract and adjust revenue recognition as appropriate. The impact to revenues for the quarter ended March 31, 2018 was an increase of $18 as a result of applying Topic 606. Revenue Recognition Revenues are recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. We derive revenue primarily from the sale of services that comprise components of our Orchestrate Platform. Our customers generally execute contracts with terms of one year or longer, which are referred to as recurring revenue contracts or long-term contracts. These contracts generally allow the customer access to our network and commit the customer to a minimum monthly level of usage with additional charges applicable for actual usage above the monthly minimum commitment, or are entirely usage based. We define usage as customer data sent or received using our content delivery service, or content that is hosted or cached by us at the request or direction of our customers. For contracts that contain minimum monthly commitments, we recognize revenue equal to the greater of the minimum monthly committed amount or actual usage, if actual usage exceeds the monthly committed amount, using the right to invoice practical expedient allowable under Topic 606. For contracts that contain minimum commitments over the contractual term, we estimate an amount of variable consideration by using either the expected value method or the most likely amount method. We include estimates of variable consideration in revenue only when we have a high degree of confidence that revenue will not be reversed in a subsequent reporting period. We believe that the expected value method is the most appropriate estimate of the amount of variable consideration. These customers have entered into contracts with contract terms generally from one to four years. We have approximately $2,800 of remaining unsatisfied performance obligations. We recognized revenue of approximately $1,000 in the quarter ended March 31, 2018 related to these types of contracts with our customers. We may charge the customer an installation fee when services are first activated. We do not charge installation fees for contract renewals. Installation fees are not distinct within the context of the overall contractual commitment with the customer to perform our content delivery service and are therefore recognized initially as deferred revenue and recognized as revenue ratably over the estimated life of the customer arrangement. We also derive revenue from services and events sold as discrete, non-recurring events or based solely on usage. For these services, we recognize revenue when control of promised goods or services is transferred to customers at an amount that reflects the consideration to which we expect to be entitled to in exchange for those goods or services. At the inception of a customer contract for service, we make an assessment as to that customer’s ability to pay for the services provided. If we subsequently determine that collection from the customer is not probable, we record an allowance for doubtful accounts and bad debt expense or deferred revenue for all of that customer’s unpaid invoices and cease recognizing revenue for continued services provided until it is probable that revenue will not be reversed in a subsequent reporting period. Our standard payment terms vary by the type and location of our customer. Arrangements with Multiple Performance Obligations Certain of our revenue arrangements consist of multi-element arrangements. Revenue arrangements with multiple performance obligations are divided into separate units of accounting if each performance obligation has stand-alone value to the customer. Our multiple-element arrangements may include a combination of some or all of the following: content delivery services, video content management services, performance services for website and web application acceleration and security, professional services, cloud storage and sale of equipment. Each of these products has stand-alone value and is sold separately. The performance obligations within multiple-element arrangements are provided over the same contract period, and therefore, revenue is recognized over the same period. Deferred Revenue Deferred revenue represents amounts billed to customers for which revenue has not been recognized. Deferred revenue primarily consists of the unearned portion of monthly billed service fees and prepayments made by customers for future period. In August 2016, the FASB issued ASU No. 2016-15, which amends ASC 230, to clarify guidance on the classification of certain cash receipts and payments in the statement of cash flows. The FASB issued ASU 2016-15 with the intent of reducing diversity in practice with respect to eight types of cash flows. This guidance is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. We have adopted this guidance effective January 1, 2018, and do not expect this new guidance to have a material impact on our consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, which clarifies when changes to the terms or conditions of a share-based payment award must be accounted for as modifications. ASU 2017-09 will reduce diversity in practice and result in fewer changes to the terms of an award being accounted for as modifications. Under ASU 2017-09, an entity will not apply modification accounting to a share-based payment award if the award's fair value, vesting conditions and classification as an equity or liability instrument are the same immediately before and after the change. ASU 2017-09 will be applied prospectively to awards modified on or after the adoption date. We have adopted this guidance effective January 1, 2018, and do not expect this new guidance to have a material impact on our consolidated financial statements. Recently Issued Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, which establishes a right-of-use model that requires a lessee to record a right-of-use asset and a lease liability on the balance sheet for most leases. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. This guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within that reporting period. We do not plan to early adopt this ASU. We are in the process of implementing changes to our systems, processes and controls, as part of our review of existing lease agreements, and are in the process of evaluating the potential impacts of this new guidance on our consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-04, which simplifies the accounting for goodwill impairment. The updated guidance eliminates Step 2 of the impairment test, which requires entities to calculate the implied fair value of goodwill to measure a goodwill impairment charge. Instead, entities will record an impairment charge based on the excess of a reporting unit’s carrying amount over its fair value, determined in Step 1. This guidance will become effective for us in fiscal years beginning after December 15, 2019, including interim periods within that reporting period. We will adopt this guidance using a prospective approach. Earlier adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We do not plan to early adopt this ASU, and we are currently evaluating the impact of this guidance on our consolidated financial statements.

Investments in Marketable Securities

3 Months Ended

Mar. 31, 2018

Investments, Debt and Equity Securities [Abstract]

Investments in Marketable Securities

The following is a summary of marketable securities (designated as available-for-sale) at March 31, 2018:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Certificate of deposits	$	40	$	—	$	—	$	40
Corporate notes and bonds	23,924		—		92		23,832
Total marketable securities	$	23,964	$	—	$	92	$	23,872

The amortized cost and estimated fair value of marketable securities at March 31, 2018, by maturity, are shown below:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Available-for-sale securities
Due in one year or less	$	23,924	$	—	$	92	$	23,832
Due after one year and through five years	40		—		—		40
	$	23,964	$	—	$	92	$	23,872

The following is a summary of marketable securities (designated as available-for-sale) at December 31, 2017:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Certificate of deposit	$	40	$	—	$	—	$	40
Corporate notes and bonds	28,472		—		68		28,404
Total marketable securities	$	28,512	$	—	$	68	$	28,444

The amortized cost and estimated fair value of marketable securities at December 31, 2017, by maturity, are shown below:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Available-for-sale securities
Due in one year or less	$	23,924	$	—	$	62	$	23,862
Due after one year and through five years	4,588		—		6		4,582
	$	28,512	$	—	$	68	$	28,444

Accounts Receivable, net

3 Months Ended

Mar. 31, 2018

Receivables [Abstract]

Accounts Receivable, net

Accounts receivable, net include:



	March 31,			December 31,
	2018			2017
Accounts receivable	$	33,552		$	33,519
Less: credit allowance	(240		)	(240		)
Less: allowance for doubtful accounts	(879		)	(898		)
Total accounts receivable, net	$	32,433		$	32,381

- Definition

The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses.

+ References + Details

Prepaid Expenses and Other Current Assets

3 Months Ended

Mar. 31, 2018

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets include:



	March 31,		December 31,
	2018		2017
Prepaid bandwidth and backbone	$	1,566	$	1,487
VAT receivable	1,567		1,454
Prepaid expenses and insurance	1,503		1,870
Vendor deposits and other	1,081		586
Total prepaid expenses and other current assets	$	5,717	$	5,397

Property and Equipment, net

3 Months Ended

Mar. 31, 2018

Property, Plant and Equipment [Abstract]

Property and Equipment, net

Property and equipment, net include:



	March 31,			December 31,
	2018			2017
Network equipment	$	107,772		$	107,916
Computer equipment and software	9,727			9,801
Furniture and fixtures	2,437			2,432
Leasehold improvements	4,263			3,969
Other equipment	181			183
Total property and equipment	124,380			124,301
Less: accumulated depreciation	(97,009		)	(95,310		)
Total property and equipment, net	$	27,371		$	28,991

Depreciation expense related to property and equipment classified in operating expense was $588 and $589 for the three months ended March 31, 2018 and 2017, respectively.

Goodwill	3 Months Ended
Goodwill	Mar. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	Goodwill We have recorded goodwill as a result of past business acquisitions. Goodwill is recorded when the purchase price paid for an acquisition exceeds the estimated fair value of the net identified tangible and intangible assets acquired. In each of our acquisitions, the objective of the acquisition was to expand our product offerings and customer base and to achieve synergies related to cross selling opportunities, all of which contributed to the recognition of goodwill. No interim indicators of impairment were identified as of March 31, 2018. Foreign currency translation adjustments decreased the carrying amount of goodwill by $27 for the three months ended March 31, 2018.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

Other Current Liabilities

3 Months Ended

Mar. 31, 2018

Other Liabilities Disclosure [Abstract]

Other Current Liabilities

Other current liabilities include:



	March 31,		December 31,
	2018		2017
Accrued compensation and benefits	$	4,562	$	12,181
Accrued cost of revenue	2,636		3,170
Deferred rent	238		434
Accrued legal fees	1,195		383
Other accrued expenses	2,864		2,339
Total other current liabilities	$	11,495	$	18,507

Line of Credit	3 Months Ended
Line of Credit	Mar. 31, 2018
Debt Disclosure [Abstract]
Line of Credit	Line of Credit In February 2018, we entered into a Fourth Amendment (Fourth Amendment) to the Loan and Security Agreement (the Credit Agreement) with Silicon Valley Bank (SVB) originally entered into in November 2015. Under the Fourth Amendment, we have increased the maximum principal commitment amount from $10,000 to $20,000. Our borrowing capacity is the lesser of the commitment amount or 80% of eligible accounts receivable. The Fourth Amendment extends the Credit Agreement one year. All outstanding borrowings owed under the Credit Agreement become due and payable no later than the final maturity date of November 2, 2020. As of March 31, 2018, we had no outstanding borrowings, and we had availability under the Credit Agreement of approximately $20,000. We had no outstanding borrowings at December 31, 2017, and we had availability under the Credit Agreement of approximately $10,000. As of March 31, 2018, borrowings under the Credit Agreement bear interest at the current prime rate minus 0.25%. In the event of default, obligations shall bear interest at a rate per annum that is 3% above the then applicable rate. We incurred an amendment fee of $50 upon entering into the Fourth Amendment. The amendment fee and other commitment fees are included in interest expense. During the three months ended March 31, 2018 and 2017, respectively, interest expense was $0 and $0, respectively, and fees expense and amortization was $59 and $14, respectively. Any borrowings are secured by essentially all of our domestic personal property, with a negative pledge on intellectual property. SVB’s security interest in our foreign subsidiaries is limited to 65% of voting stock of each such foreign subsidiary. Under the Fourth Amendment, we are required to maintain a minimum liquidity of $10,000 at all times, measured quarterly, with a minimum of $5,000 of the $10,000 in cash at SVB. In addition, we are required to maintain an Adjusted Quick Ratio of at least 1.0 to 1.0. We are also subject to certain customary limitations on our ability to, among other things, incur debt, grant liens, make acquisitions and other investments, make certain restricted payments such as dividends, dispose of assets or undergo a change in control. As of March 31, 2018, we were in compliance with all covenants under the Credit Agreement.

Contingencies	3 Months Ended
Contingencies	Mar. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Contingencies	Contingencies Legal Matters Akamai ‘703 Litigation In June 2006, Akamai Technologies, Inc. (Akamai) and the Massachusetts Institute of Technology (MIT) filed a lawsuit against us in the United States District Court for the District of Massachusetts alleging that we were infringing multiple patents assigned to MIT and exclusively licensed by MIT to Akamai. In August 2016, we entered into a settlement and license agreement with Akamai with respect to U.S. Patent No. 6,108,703 (the ’703 patent) and certain other related patents, which settled all asserted and unasserted claims with respect to the licensed patents. The terms of the agreement require us to pay $54,000 over twelve equal quarterly installments, which began on August 1, 2016. We recorded a charge in the quarter ended June 30, 2016 for the full, undiscounted amount of $54,000. As of March 31, 2018, there remained $22,500 due to Akamai under the terms of the settlement and license agreement. Other Akamai Litigation In November 2015, we filed a lawsuit against Akamai and XO Communications in the District Court for the Eastern District of Virginia alleging the infringement of six of our patents covering a broad range of inventions that we believe are critical to the effective and efficient delivery of bytes by a content delivery network (the Akamai and XO Litigation). Akamai also filed counterclaims in April 2016, alleging the infringement of five of its patents. We filed an answer to Akamai’s counterclaims, denying each of the allegations of infringement in May 2016. In February 2016, Akamai filed a complaint against us in the District Court for the District of Massachusetts alleging infringement of three of its patents. In April 2016, Akamai amended its complaint by withdrawing one of the asserted patents. In April 2016, we filed our answer to the complaint, denying each of the allegations of infringement, and asserting two counterclaims alleging infringement of two of our patents. In December 2016, Akamai filed a second complaint against us in the District Court for the District of Massachusetts alleging infringement of three additional patents, and we later filed our answer to the complaint, denying each of the allegations of infringement. The two cases were ultimately consolidated into a single action by the court. On April 9, 2018, we entered into a definitive Settlement and Patent License Agreement (the Agreement) where the parties agreed to (i) license certain patents to the other party, (ii) a covenant not to sue for three years for certain patents related to the licensed patents, and (iii) settle all outstanding legal disputes between the parties. The terms of the Agreement also require Akamai to pay to Limelight a total of $14,900 over five equal quarterly installments. The first quarterly payment of $2,980 is scheduled to occur on May 9, 2018. Legal and other expenses associated with litigation have been significant. We include these litigation expenses in general and administrative expenses as incurred, as reported in the consolidated statement of operations. Other Matters We are subject to various other legal proceedings and claims, either asserted or unasserted, arising in the ordinary course of business. While the outcome of these claims cannot be predicted with certainty, management does not believe the outcome of any of these matters will have a material adverse effect on our business, financial position, results of operations, or cash flows. Litigation relating to the content delivery services industry is not uncommon, and we are, and from time to time have been, subject to such litigation. No assurances can be given with respect to the extent or outcome of any such litigation in the future. Taxes We are subject to indirect taxation in various states and foreign jurisdictions. Laws and regulations that apply to communications and commerce conducted over the Internet are becoming more prevalent, both in the United States and internationally, and may impose additional burdens on us conducting business online or providing Internet-related services. Increased regulation could negatively affect our business directly, as well as the businesses of our customers, which could reduce their demand for our services. For example, tax authorities in various states and abroad may impose taxes on the Internet-related revenue we generate based on regulations currently being applied to similar but not directly comparable industries. There are many transactions and calculations where the ultimate tax determination is uncertain. In addition, domestic and international taxation laws are subject to change. In the future, we may come under audit, which could result in changes to our tax estimates. We believe we maintain adequate tax reserves, that are not material in amount, to offset potential liabilities that may arise upon audit. Although we believe our tax estimates and associated reserves are reasonable, the final determination of tax audits and any related litigation could be materially different than the amounts established for tax contingencies. To the extent these estimates ultimately prove to be inaccurate, the associated reserves would be adjusted, resulting in the recording of a benefit or expense in the period in which a change in estimate or a final determination is made.

Net Loss per Share

3 Months Ended

Mar. 31, 2018

Earnings Per Share [Abstract]

Net Loss per Share

Net Income (Loss) per Share

We calculate basic and diluted income (loss) per weighted average share. We use the weighted-average number of shares of common stock outstanding during the period for the computation of basic income (loss) per share. Diluted income (loss) per share include the dilutive effect of all potentially dilutive common stock, including awards granted under our equity incentive compensation plans in the weighted-average number of shares of common stock outstanding.

The following table sets forth the components used in the computation of basic and diluted net income (loss) per share for the periods indicated:



	Three Months Ended March 31,
	2018		2017
Net income (loss)	$	149	$	(3,337	)
Basic weighted average outstanding shares of common stock	110,761		107,363
Basic weighted average outstanding shares of common stock	110,761		107,363
Dilutive effect of stock options, restricted stock units, and equity incentive plans	8,148		—
Dilutive weighted average outstanding shares of common stock	118,909		107,363
Basic net income (loss) per share	$	—	$	(0.03	)
Diluted net income (loss) per share:	$	—	$	(0.03	)

For the three months ended March 31, 2017, the following potentially dilutive common stock, including awards granted under our equity incentive compensation plans, were excluded from the computation of diluted net loss per share because including them would have been anti-dilutive.



Employee stock purchase plan		335
Stock options		282
Restricted stock units		1,878
		2,495

Stockholders' Equity	3 Months Ended
Stockholders' Equity	Mar. 31, 2018
Equity [Abstract]
Stockholders' Equity	Stockholders’ Equity Common Stock On March 14, 2017, our board of directors authorized a $25,000 share repurchase program. Any shares repurchased under this program will be canceled and returned to authorized but unissued status. This share repurchase program replaced the $9,500 remaining from the previously announced $15,000 share repurchase program. During the three months ended March 31, 2018, we purchased and canceled 1,000 shares for $3,800, including commissions and fees. During the three months ended March 31, 2017, we did not repurchase any shares under the repurchase programs. As of March 31, 2018, there remained $21,200 under this share repurchase program. Amended and Restated Equity Incentive Plan We established the 2007 Equity Incentive Plan, or the 2007 Plan, which allows for the grant of equity, including stock options and restricted stock unit awards. In June 2016, our stockholders approved the Amended and Restated Equity Incentive Plan, or the Restated 2007 Plan, which amended and restated the 2007 Plan. Approval of the Restated 2007 Plan replaced the terms and conditions of the 2007 Plan with the terms and conditions of the Restated 2007 Plan, and extended the term of the plan to April 2026. There was no increase in the aggregate amount of shares available for issuance. The total number of shares authorized for issuance under the Restated 2007 Plan as of March 31, 2018 was approximately 10,605. Employee Stock Purchase Plan In June 2013, our stockholders approved our 2013 Employee Stock Purchase Plan (ESPP). The ESPP allows participants to purchase our common stock at a 15% discount of the lower of the beginning or end of the offering period using the closing price on that day. During the three months ended March 31, 2018, we did not issue any shares under the ESPP. As of March 31, 2018, shares reserved for issuance to employees under this plan totaled 630, and we held employee contributions of $886 (included in other current liabilities) for future purchases under the ESPP. Preferred Stock Our board of directors has authorized the issuance of up to 7,500 shares of preferred stock at March 31, 2018. The preferred stock may be issued in one or more series pursuant to a resolution or resolutions providing for such issuance duly adopted by the board of directors. As of March 31, 2018, the board of directors had not adopted any resolutions for the issuance of preferred stock.

Accumulated Other Comprehensive Loss

3 Months Ended

Mar. 31, 2018

Equity [Abstract]

Accumulated Other Comprehensive Loss

Changes in the components of accumulated other comprehensive loss, net of tax, for the three months ended March 31, 2018, was as follows:



				Unrealized
				Gains (Losses) on
	Foreign			Available for
	Currency			Sale Securities			Total
Balance, December 31, 2017	$	(8,259	)	$	(69	)	$	(8,328	)
Other comprehensive income (loss) before reclassifications	491			(24		)	467
Amounts reclassified from accumulated other comprehensive loss	—			—			—
Net current period other comprehensive income (loss)	491			(24		)	467
Balance, March 31, 2018	$	(7,768	)	$	(93	)	$	(7,861	)

Share-Based Compensation

3 Months Ended

Mar. 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-Based Compensation

The following table summarizes the components of share-based compensation expense included in our consolidated statement of operations:



	Three Months Ended March 31,
	2018		2017
Share-based compensation expense by type:
Stock options	$	1,061	$	950
Restricted stock units	2,166		2,028
ESPP	140		97
Total share-based compensation expense	$	3,367	$	3,075
Share-based compensation expense:
Cost of services	$	357	$	359
General and administrative expense	1,810		1,534
Sales and marketing expense	603		620
Research and development expense	597		562
Total share-based compensation expense	$	3,367	$	3,075

Unrecognized share-based compensation expense totaled approximately $23,234 at March 31, 2018, of which $7,625 related to stock options and $15,609 related to restricted stock units. We currently expect to recognize share-based compensation expense of $9,306 during the remainder of 2018, $8,976 in 2019 and the remainder thereafter based on scheduled vesting of the stock options and restricted stock units outstanding at March 31, 2018.

Related Party Transactions	3 Months Ended
Related Party Transactions	Mar. 31, 2018
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions In July 2006, an aggregate of 39,869,960 shares of Series B Preferred Stock was issued at a purchase price of $3.26 per share to certain accredited investors in a private placement transaction. As a result of this transaction, entities affiliated with Goldman, Sachs & Co., one of the lead underwriters of our initial public offering (IPO), became holders of more than 10% of our common stock. On June 14, 2007, upon the closing of our IPO, all outstanding shares of our Series B Preferred Stock automatically converted into shares of common stock on a 1-for-1 share basis. Between November 2017 and March 2018, investment partnerships affiliated with Goldman Sachs & Co. LLC and Goldman Sachs Group, Inc. sold 30,272,493 shares that they had acquired upon the conversation of their Series B Preferred Stock at the time of the Company’s IPO in June 2007. As of March 31, 2018, Goldman, Sachs & Co. owned less than 1% of our outstanding common stock. We had no other material related party transactions during the three months ended March 31, 2018 and 2017.

Leases and Purchase Commitments

3 Months Ended

Mar. 31, 2018

Commitments and Contingencies Disclosure [Abstract]

Leases and Purchase Commitments

Operating Leases

We are committed to various non-cancellable operating leases for office space and office equipment which expire through 2022. Certain leases contain provisions for renewal options and rent escalations upon expiration of the initial lease terms. Approximate future minimum lease payments over the remaining lease periods as of March 31, 2018, are as follows:



Remainder of 2018	$	1,964
2019	1,386
2020	560
2021	359
2022	55
Thereafter	—
Total minimum payments	$	4,324

Purchase Commitments

We have long-term commitments for bandwidth usage and co-location with various networks and Internet service providers. The following summarizes minimum commitments as of March 31, 2018:



Remainder of 2018	$	25,503
2019	14,504
2020	1,567
2021	75
2022	2
Thereafter	—
Total minimum payments	$	41,651

Concentrations	3 Months Ended
Concentrations	Mar. 31, 2018
Risks and Uncertainties [Abstract]
Concentrations	Concentrations During the three months ended March 31, 2018 and 2017, respectively, we had one customer, Amazon, who represented 10% or more of our total revenue. Revenue from customers located within the United States, our country of domicile, was $30,554 for the three months ended March 31, 2018, compared to $27,374 for the three months ended March 31, 2017. During the three months ended March 31, 2018, based on customer location, we had two countries, the United States, and the United Kingdom, that accounted for 10% or more of our total revenue. For the three months ended March 31, 2017, we had three countries, the United States, Japan, and the United Kingdom, that accounted for 10% or more of our total revenue based on customer location.

Income Taxes	3 Months Ended
Income Taxes	Mar. 31, 2018
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Income taxes for the interim periods presented have been included in the accompanying consolidated financial statements on the basis of an estimated annual effective tax rate. Based on an estimated annual effective tax rate and discrete items, income tax (benefit) expense for the three months ended March 31, 2018 and 2017, was $(15) and $108, respectively. Income tax (benefit) expense was different than the statutory income tax rate primarily due to us providing for a valuation allowance on deferred tax assets in certain jurisdictions, and the recording of state and foreign tax expense for the three month periods. We file income tax returns in jurisdictions with varying statutes of limitations. Tax years 2014 through 2016 remain subject to examination by federal tax authorities. Tax years 2013 through 2016 generally remain subject to examination by state tax authorities. As of March 31, 2018, we are not under any federal or state examination for income taxes. On December 22, 2017, the Tax Cuts and Jobs Act (the Tax Act) significantly revised the U.S. corporate income tax law, by among other things, reducing the corporate income tax rate to 21% for tax years beginning in 2018, implementing a modified territorial system that includes a one-time transition tax on deemed repatriated earnings of foreign subsidiaries and creating new taxes on certain foreign sourced earnings. Also on December 22, 2017, The SEC staff issued Staff Accounting Bulletin (SAB) 118 to provide guidance for companies that are not able to complete their accounting for the income tax effects of the Tax Act in the period of enactment. SAB 118 provides for a measurement period of up to one year from the date of enactment. During the measurement period, companies need to reflect adjustments to any provisional amounts if it obtains, prepares or analyzes additional information about facts and circumstances that existed as of the enactment date that, if known, would have affected the income tax effects initially reported as provisional amounts. At March 31, 2018 we have not yet completed our analysis of the Tax Act; however, in certain circumstances, as described below, we have made a reasonable estimate of the effects of the Tax Act. Provisional Amounts Our deferred tax balances for the year ending December 31, 2017 reflected an estimated $41 tax benefit related to the re-measurement of a deferred tax liability on a long-lived asset. The remaining impact from the re-measurement of our net U.S. deferred tax asset at the lower 21% rate was offset by the valuation allowance. Our deferred tax balances for the year ending December 31, 2017 reflected the estimated impact from the one-time transition tax that we previously deferred from U.S. income taxes. The transition tax that we calculated resulted in an immaterial amount of additional federal taxable income. The additional taxable income from the transition tax was offset by net operating losses (NOLs) and did not result in cash taxes payable. There were no changes to the provisional amounts recorded as of December 31, 2017. We will consider the revaluation of our deferred balances and the one-time transition tax amounts as provisional amounts until our 2017 federal income tax return has been finalized. The tax provision incorporates assumptions made based upon the Company’s current interpretation of the Tax Act, and may change as we receive additional clarification and implementation guidance and as the interpretation of the Tax Act evolves over time. The Tax Act contains several base broadening provisions that became effective on January 1, 2018 that we do not expect to have a material impact on future earnings due to our NOL and valuation allowance position. Also effective for 2018 is a new Global Intangible Low-Taxed Income inclusion (GILTI). There was no impact to income tax expense (benefit) related to the GILTI as a result of our NOL and valuation allowance position. We do not expect the GILTI to have a material impact on future earnings due to our NOL and valuation allowance position.

Segment Reporting and Geographic Areas

3 Months Ended

Mar. 31, 2018

Segment Reporting [Abstract]

Segment Reporting and Geographic Areas

Our chief operating decision maker (whom is our Chief Executive Officer) reviews our financial information presented on a consolidated basis for purposes of allocating resources and evaluating our financial performance. We operate in one industry segment — content delivery and related services and we operate in three geographic areas — Americas, Europe, Middle East, and Africa (EMEA), and Asia Pacific.

Revenue by geography is based on the location of the customer from which the revenue is earned. The following table sets forth our revenue by geographic area:



	Three Months Ended March 31,
	2018				2017
Americas	$	32,578	62.5	%	$	28,196	63.0	%
EMEA	11,793		22.6	%	8,456		18.9	%
Asia Pacific	7,743		14.9	%	8,083		18.1	%
Total revenue	$	52,114	100.0	%	$	44,735	100.0	%

The following table sets forth the individual countries and their respective revenue for those countries whose revenue exceeded 10% of our total revenue:



	Three Months Ended March 31,
Country / Region	2018	2017
United States / Americas	30,554	27,374
United Kingdom / EMEA	8,969	4,576
Japan / Asia Pacific	—	4,752

The following table sets forth long-lived assets by geographic area in which the assets are located:



	March 31,		December 31,
	2018		2017
Americas	$	17,124	$	17,119
International	10,247		11,872
Total long-lived assets	$	27,371	$	28,991

Fair Value Measurements

3 Months Ended

Mar. 31, 2018

Fair Value Disclosures [Abstract]

Fair Value Measurements

As of March 31, 2018, and December 31, 2017, we held certain assets and liabilities that were required to be measured at fair value on a recurring basis.

The following is a summary of fair value measurements at March 31, 2018:



			Fair Value Measurements at Reporting Date Using
Description	Total		Quoted Prices In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Money market funds (2)	$	1,673	$	1,673	$	—	$	—
Certificate of deposit (1)	40		—		40		—
Corporate notes and bonds (1)	23,832		—		23,832		—
Total assets measured at fair value	$	25,545	$	1,673	$	23,872	$	—

____________


(1)	Classified in marketable securities


(2)	Classified in cash and cash equivalents

The following is a summary of fair value measurements at December 31, 2017:



			Fair Value Measurements at Reporting Date Using
Description	Total		Quoted Prices In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Money market funds (2)	$	6,789	$	6,789	$	—	$	—
Certificate of deposit (1)	40		—		40		—
Corporate notes and bonds (1)	28,404		—		28,404		—
Total assets measured at fair value	$	35,233	$	6,789	$	28,444	$	—

____________


(1)	Classified in marketable securities


(2)	Classified in cash and cash equivalents

The carrying amount of cash equivalents approximates fair value because their maturity is less than three months. The carrying amount of short-term and long-term marketable securities approximates fair value as the securities are marked to market as of each balance sheet date with any unrealized gains and losses reported in stockholders’ equity. The carrying amount of accounts receivable, accounts payable and accrued liabilities approximates fair value due to the short-term maturity of the amounts.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Summary of Significant Accounting Policies (Policies)	3 Months Ended
Summary of Significant Accounting Policies (Policies)	Mar. 31, 2018
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). They do not include all of the information and footnotes required by U.S. generally accepted accounting principles (U.S. GAAP) for complete financial statements. Such interim financial information is unaudited but reflects all adjustments that are, in the opinion of management, necessary for the fair presentation of the interim periods presented and of a normal recurring nature. This quarterly report on Form 10-Q should be read in conjunction with our audited financial statements and footnotes included in our annual report on Form 10-K for the fiscal year ended December 31, 2017. All information is presented in thousands, except per share amounts and where specifically noted. The consolidated financial statements include accounts of Limelight and our wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated. In addition, certain other reclassifications have been made to prior year amounts to conform to the current year presentation.
Use of Estimates	Use of Estimates The preparation of the consolidated financial statements and related disclosures in conformity with U.S. GAAP requires management to make judgments, assumptions, and estimates that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results and outcomes may differ from those estimates. The results of operations presented in this quarterly report on Form 10-Q are not necessarily indicative of the results that may be expected for the year ending December 31, 2018, or for any future periods.
Recent Accounting Standards	Recent Accounting Standards Adopted Accounting Standards In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2014-09 (Topic 606) "Revenue from Contracts with Customers." Topic 606 supersedes the revenue recognition requirements in Accounting Standards Codification Topic 605 “Revenue Recognition” (Topic 605), and requires entities to recognize revenue when control of promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. On January 1, 2018, we adopted Topic 606 using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with our historic accounting under Accounting Standards Codification Topic 605. We recorded a net decrease to opening accumulated deficit of $1,496 as of January 1, 2018 due to the cumulative impact of adopting Topic 606, with the impact primarily related to the costs to obtain a customer contract ($1,129), specifically commissions and upfront incentive payments, and from the recognition of revenue from customers with contracts that contain minimum commitments billed ratably over the contract term ($367). The costs associated with obtaining a customer contract were previously expensed in the period they were incurred. Under Topic 606, these payments have been deferred on our consolidated balance sheets and amortized over the expected life of the customer contract. The impact to sales and marketing expense for the quarter ended March 31, 2018 was not material as a result of applying Topic 606. As of March 31, 2018, prepaid commissions were $1,141, with the short term portion of $639 included in prepaid expenses and other current assets, and the long term portion of $502 included in other assets. For customers with contracts that contain minimum commitments billed ratably over the contract term, previously, we either accrued or deferred revenue based on actual usage. Under Topic 606, we are required to evaluate the impact of estimating variable consideration related to these types of contracts. We use the expected value method to estimate the total revenue of the contract, constrained by the probability that there would not be a significant revenue reversal in a future period, and recognize a pro-rata share of the total revenue of the contract each month. We continue to evaluate the expected value of revenue over the term of the contract and adjust revenue recognition as appropriate. The impact to revenues for the quarter ended March 31, 2018 was an increase of $18 as a result of applying Topic 606. Revenue Recognition Revenues are recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. We derive revenue primarily from the sale of services that comprise components of our Orchestrate Platform. Our customers generally execute contracts with terms of one year or longer, which are referred to as recurring revenue contracts or long-term contracts. These contracts generally allow the customer access to our network and commit the customer to a minimum monthly level of usage with additional charges applicable for actual usage above the monthly minimum commitment, or are entirely usage based. We define usage as customer data sent or received using our content delivery service, or content that is hosted or cached by us at the request or direction of our customers. For contracts that contain minimum monthly commitments, we recognize revenue equal to the greater of the minimum monthly committed amount or actual usage, if actual usage exceeds the monthly committed amount, using the right to invoice practical expedient allowable under Topic 606. For contracts that contain minimum commitments over the contractual term, we estimate an amount of variable consideration by using either the expected value method or the most likely amount method. We include estimates of variable consideration in revenue only when we have a high degree of confidence that revenue will not be reversed in a subsequent reporting period. We believe that the expected value method is the most appropriate estimate of the amount of variable consideration. These customers have entered into contracts with contract terms generally from one to four years. We have approximately $2,800 of remaining unsatisfied performance obligations. We recognized revenue of approximately $1,000 in the quarter ended March 31, 2018 related to these types of contracts with our customers. We may charge the customer an installation fee when services are first activated. We do not charge installation fees for contract renewals. Installation fees are not distinct within the context of the overall contractual commitment with the customer to perform our content delivery service and are therefore recognized initially as deferred revenue and recognized as revenue ratably over the estimated life of the customer arrangement. We also derive revenue from services and events sold as discrete, non-recurring events or based solely on usage. For these services, we recognize revenue when control of promised goods or services is transferred to customers at an amount that reflects the consideration to which we expect to be entitled to in exchange for those goods or services. At the inception of a customer contract for service, we make an assessment as to that customer’s ability to pay for the services provided. If we subsequently determine that collection from the customer is not probable, we record an allowance for doubtful accounts and bad debt expense or deferred revenue for all of that customer’s unpaid invoices and cease recognizing revenue for continued services provided until it is probable that revenue will not be reversed in a subsequent reporting period. Our standard payment terms vary by the type and location of our customer. Arrangements with Multiple Performance Obligations Certain of our revenue arrangements consist of multi-element arrangements. Revenue arrangements with multiple performance obligations are divided into separate units of accounting if each performance obligation has stand-alone value to the customer. Our multiple-element arrangements may include a combination of some or all of the following: content delivery services, video content management services, performance services for website and web application acceleration and security, professional services, cloud storage and sale of equipment. Each of these products has stand-alone value and is sold separately. The performance obligations within multiple-element arrangements are provided over the same contract period, and therefore, revenue is recognized over the same period. Deferred Revenue Deferred revenue represents amounts billed to customers for which revenue has not been recognized. Deferred revenue primarily consists of the unearned portion of monthly billed service fees and prepayments made by customers for future period. In August 2016, the FASB issued ASU No. 2016-15, which amends ASC 230, to clarify guidance on the classification of certain cash receipts and payments in the statement of cash flows. The FASB issued ASU 2016-15 with the intent of reducing diversity in practice with respect to eight types of cash flows. This guidance is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. We have adopted this guidance effective January 1, 2018, and do not expect this new guidance to have a material impact on our consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, which clarifies when changes to the terms or conditions of a share-based payment award must be accounted for as modifications. ASU 2017-09 will reduce diversity in practice and result in fewer changes to the terms of an award being accounted for as modifications. Under ASU 2017-09, an entity will not apply modification accounting to a share-based payment award if the award's fair value, vesting conditions and classification as an equity or liability instrument are the same immediately before and after the change. ASU 2017-09 will be applied prospectively to awards modified on or after the adoption date. We have adopted this guidance effective January 1, 2018, and do not expect this new guidance to have a material impact on our consolidated financial statements. Recently Issued Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, which establishes a right-of-use model that requires a lessee to record a right-of-use asset and a lease liability on the balance sheet for most leases. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. This guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within that reporting period. We do not plan to early adopt this ASU. We are in the process of implementing changes to our systems, processes and controls, as part of our review of existing lease agreements, and are in the process of evaluating the potential impacts of this new guidance on our consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-04, which simplifies the accounting for goodwill impairment. The updated guidance eliminates Step 2 of the impairment test, which requires entities to calculate the implied fair value of goodwill to measure a goodwill impairment charge. Instead, entities will record an impairment charge based on the excess of a reporting unit’s carrying amount over its fair value, determined in Step 1. This guidance will become effective for us in fiscal years beginning after December 15, 2019, including interim periods within that reporting period. We will adopt this guidance using a prospective approach. Earlier adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We do not plan to early adopt this ASU, and we are currently evaluating the impact of this guidance on our consolidated financial statements.
Revenue Recognition	Revenue Recognition Revenues are recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. We derive revenue primarily from the sale of services that comprise components of our Orchestrate Platform. Our customers generally execute contracts with terms of one year or longer, which are referred to as recurring revenue contracts or long-term contracts. These contracts generally allow the customer access to our network and commit the customer to a minimum monthly level of usage with additional charges applicable for actual usage above the monthly minimum commitment, or are entirely usage based. We define usage as customer data sent or received using our content delivery service, or content that is hosted or cached by us at the request or direction of our customers. For contracts that contain minimum monthly commitments, we recognize revenue equal to the greater of the minimum monthly committed amount or actual usage, if actual usage exceeds the monthly committed amount, using the right to invoice practical expedient allowable under Topic 606. For contracts that contain minimum commitments over the contractual term, we estimate an amount of variable consideration by using either the expected value method or the most likely amount method. We include estimates of variable consideration in revenue only when we have a high degree of confidence that revenue will not be reversed in a subsequent reporting period. We believe that the expected value method is the most appropriate estimate of the amount of variable consideration. These customers have entered into contracts with contract terms generally from one to four years. We have approximately $2,800 of remaining unsatisfied performance obligations. We recognized revenue of approximately $1,000 in the quarter ended March 31, 2018 related to these types of contracts with our customers. We may charge the customer an installation fee when services are first activated. We do not charge installation fees for contract renewals. Installation fees are not distinct within the context of the overall contractual commitment with the customer to perform our content delivery service and are therefore recognized initially as deferred revenue and recognized as revenue ratably over the estimated life of the customer arrangement. We also derive revenue from services and events sold as discrete, non-recurring events or based solely on usage. For these services, we recognize revenue when control of promised goods or services is transferred to customers at an amount that reflects the consideration to which we expect to be entitled to in exchange for those goods or services. At the inception of a customer contract for service, we make an assessment as to that customer’s ability to pay for the services provided. If we subsequently determine that collection from the customer is not probable, we record an allowance for doubtful accounts and bad debt expense or deferred revenue for all of that customer’s unpaid invoices and cease recognizing revenue for continued services provided until it is probable that revenue will not be reversed in a subsequent reporting period. Our standard payment terms vary by the type and location of our customer. Arrangements with Multiple Performance Obligations Certain of our revenue arrangements consist of multi-element arrangements. Revenue arrangements with multiple performance obligations are divided into separate units of accounting if each performance obligation has stand-alone value to the customer. Our multiple-element arrangements may include a combination of some or all of the following: content delivery services, video content management services, performance services for website and web application acceleration and security, professional services, cloud storage and sale of equipment. Each of these products has stand-alone value and is sold separately. The performance obligations within multiple-element arrangements are provided over the same contract period, and therefore, revenue is recognized over the same period. Deferred Revenue Deferred revenue represents amounts billed to customers for which revenue has not been recognized. Deferred revenue primarily consists of the unearned portion of monthly billed service fees and prepayments made by customers for future period.

Investments in Marketable Securities (Tables)

3 Months Ended

Mar. 31, 2018

Investments, Debt and Equity Securities [Abstract]

Summary of Marketable Securities (designated as available-for-sale)

The following is a summary of marketable securities (designated as available-for-sale) at March 31, 2018:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Certificate of deposits	$	40	$	—	$	—	$	40
Corporate notes and bonds	23,924		—		92		23,832
Total marketable securities	$	23,964	$	—	$	92	$	23,872

The following is a summary of marketable securities (designated as available-for-sale) at December 31, 2017:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Certificate of deposit	$	40	$	—	$	—	$	40
Corporate notes and bonds	28,472		—		68		28,404
Total marketable securities	$	28,512	$	—	$	68	$	28,444

Amortized Cost and Estimated Fair Value of Marketable Securities (designated as available-for-sale) by maturity

The amortized cost and estimated fair value of marketable securities at March 31, 2018, by maturity, are shown below:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Available-for-sale securities
Due in one year or less	$	23,924	$	—	$	92	$	23,832
Due after one year and through five years	40		—		—		40
	$	23,964	$	—	$	92	$	23,872

The amortized cost and estimated fair value of marketable securities at December 31, 2017, by maturity, are shown below:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Available-for-sale securities
Due in one year or less	$	23,924	$	—	$	62	$	23,862
Due after one year and through five years	4,588		—		6		4,582
	$	28,512	$	—	$	68	$	28,444

- Definition

Tabular disclosure of available-for-sale securities which includes, but is not limited to, changes in the cost basis and fair value, fair value and gross unrealized gain (loss), fair values by type of security, contractual maturity and classification, amortized cost basis, contracts to acquire securities to be accounted for as available-for-sale, debt maturities, transfers to trading, change in net unrealized holding gain (loss) net of tax, continuous unrealized loss position fair value, aggregate losses qualitative disclosures, other than temporary impairment (OTTI) losses or other disclosures related to available for sale securities.

+ References + Details

Accounts Receivable, net (Tables)

3 Months Ended

Mar. 31, 2018

Receivables [Abstract]

Summary of Accounts Receivable, net

Accounts receivable, net include:



	March 31,			December 31,
	2018			2017
Accounts receivable	$	33,552		$	33,519
Less: credit allowance	(240		)	(240		)
Less: allowance for doubtful accounts	(879		)	(898		)
Total accounts receivable, net	$	32,433		$	32,381

Prepaid Expenses and Other Current Assets (Tables)

3 Months Ended

Mar. 31, 2018

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets include:



	March 31,		December 31,
	2018		2017
Prepaid bandwidth and backbone	$	1,566	$	1,487
VAT receivable	1,567		1,454
Prepaid expenses and insurance	1,503		1,870
Vendor deposits and other	1,081		586
Total prepaid expenses and other current assets	$	5,717	$	5,397

Property and Equipment, net (Tables)

3 Months Ended

Mar. 31, 2018

Property, Plant and Equipment [Abstract]

Property and Equipment, net

Property and equipment, net include:



	March 31,			December 31,
	2018			2017
Network equipment	$	107,772		$	107,916
Computer equipment and software	9,727			9,801
Furniture and fixtures	2,437			2,432
Leasehold improvements	4,263			3,969
Other equipment	181			183
Total property and equipment	124,380			124,301
Less: accumulated depreciation	(97,009		)	(95,310		)
Total property and equipment, net	$	27,371		$	28,991

Other Current Liabilities (Tables)

3 Months Ended

Mar. 31, 2018

Other Liabilities Disclosure [Abstract]

Other Current Liabilities

Other current liabilities include:



	March 31,		December 31,
	2018		2017
Accrued compensation and benefits	$	4,562	$	12,181
Accrued cost of revenue	2,636		3,170
Deferred rent	238		434
Accrued legal fees	1,195		383
Other accrued expenses	2,864		2,339
Total other current liabilities	$	11,495	$	18,507

Net Loss per Share (Tables)

3 Months Ended

Mar. 31, 2018

Earnings Per Share [Abstract]

Computation of Basic and Diluted Net Loss Per Share

The following table sets forth the components used in the computation of basic and diluted net income (loss) per share for the periods indicated:



	Three Months Ended March 31,
	2018		2017
Net income (loss)	$	149	$	(3,337	)
Basic weighted average outstanding shares of common stock	110,761		107,363
Basic weighted average outstanding shares of common stock	110,761		107,363
Dilutive effect of stock options, restricted stock units, and equity incentive plans	8,148		—
Dilutive weighted average outstanding shares of common stock	118,909		107,363
Basic net income (loss) per share	$	—	$	(0.03	)
Diluted net income (loss) per share:	$	—	$	(0.03	)

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share



Employee stock purchase plan		335
Stock options		282
Restricted stock units		1,878
		2,495

Accumulated Other Comprehensive Loss (Tables)

3 Months Ended

Mar. 31, 2018

Equity [Abstract]

Schedule of Accumulated Other Comprehensive Loss

Changes in the components of accumulated other comprehensive loss, net of tax, for the three months ended March 31, 2018, was as follows:



				Unrealized
				Gains (Losses) on
	Foreign			Available for
	Currency			Sale Securities			Total
Balance, December 31, 2017	$	(8,259	)	$	(69	)	$	(8,328	)
Other comprehensive income (loss) before reclassifications	491			(24		)	467
Amounts reclassified from accumulated other comprehensive loss	—			—			—
Net current period other comprehensive income (loss)	491			(24		)	467
Balance, March 31, 2018	$	(7,768	)	$	(93	)	$	(7,861	)

Share-Based Compensation (Tables)

3 Months Ended

Mar. 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Components of Share-based Compensation Expense

The following table summarizes the components of share-based compensation expense included in our consolidated statement of operations:



	Three Months Ended March 31,
	2018		2017
Share-based compensation expense by type:
Stock options	$	1,061	$	950
Restricted stock units	2,166		2,028
ESPP	140		97
Total share-based compensation expense	$	3,367	$	3,075
Share-based compensation expense:
Cost of services	$	357	$	359
General and administrative expense	1,810		1,534
Sales and marketing expense	603		620
Research and development expense	597		562
Total share-based compensation expense	$	3,367	$	3,075

Leases and Purchase Commitments (Tables)

3 Months Ended

Mar. 31, 2018

Commitments and Contingencies Disclosure [Abstract]

Future Minimum Lease Payments Over Remaining Lease Periods

Approximate future minimum lease payments over the remaining lease periods as of March 31, 2018, are as follows:



Remainder of 2018	$	1,964
2019	1,386
2020	560
2021	359
2022	55
Thereafter	—
Total minimum payments	$	4,324

Minimum Purchase Commitments

The following summarizes minimum commitments as of March 31, 2018:



Remainder of 2018	$	25,503
2019	14,504
2020	1,567
2021	75
2022	2
Thereafter	—
Total minimum payments	$	41,651

Segment Reporting and Geographic Areas (Tables)

3 Months Ended

Mar. 31, 2018

Segment Reporting [Abstract]

Revenue Earned by Geographic Area

The following table sets forth our revenue by geographic area:



	Three Months Ended March 31,
	2018				2017
Americas	$	32,578	62.5	%	$	28,196	63.0	%
EMEA	11,793		22.6	%	8,456		18.9	%
Asia Pacific	7,743		14.9	%	8,083		18.1	%
Total revenue	$	52,114	100.0	%	$	44,735	100.0	%

Schedules of Concentration of Revenue by Country

The following table sets forth the individual countries and their respective revenue for those countries whose revenue exceeded 10% of our total revenue:



	Three Months Ended March 31,
Country / Region	2018	2017
United States / Americas	30,554	27,374
United Kingdom / EMEA	8,969	4,576
Japan / Asia Pacific	—	4,752

Long-lived Assets by Geographical Area

The following table sets forth long-lived assets by geographic area in which the assets are located:



	March 31,		December 31,
	2018		2017
Americas	$	17,124	$	17,119
International	10,247		11,872
Total long-lived assets	$	27,371	$	28,991

Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2018

Fair Value Disclosures [Abstract]

Summary of Money Market Funds, Marketable Securities, Other Investment-related Assets and Current Liabilities

The following is a summary of fair value measurements at March 31, 2018:



			Fair Value Measurements at Reporting Date Using
Description	Total		Quoted Prices In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Money market funds (2)	$	1,673	$	1,673	$	—	$	—
Certificate of deposit (1)	40		—		40		—
Corporate notes and bonds (1)	23,832		—		23,832		—
Total assets measured at fair value	$	25,545	$	1,673	$	23,872	$	—

____________


(1)	Classified in marketable securities


(2)	Classified in cash and cash equivalents

The following is a summary of fair value measurements at December 31, 2017:



			Fair Value Measurements at Reporting Date Using
Description	Total		Quoted Prices In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Money market funds (2)	$	6,789	$	6,789	$	—	$	—
Certificate of deposit (1)	40		—		40		—
Corporate notes and bonds (1)	28,404		—		28,404		—
Total assets measured at fair value	$	35,233	$	6,789	$	28,444	$	—

____________


(1)	Classified in marketable securities


(2)	Classified in cash and cash equivalents

Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands		3 Months Ended
	Jan. 01, 2018	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Effect on accumulated deficit		$ (348,307)		$ (349,950)
Effect on revenues		52,114	$ 44,735
Committed revenue from minimum commitment contracts		2,800
Minimum commitment contracts revenue recognized in period		$ 1,000
Minimum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Minimum commitment contract term		1 year
Maximum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Minimum commitment contract term		4 years
ASU 2014-09 \| Difference between Revenue Guidance in Effect before and after Topic 606
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Effect on accumulated deficit	$ 1,496
Effect on sales commissions and incentive payments	(1,129)
Prepaid commissions		$ 1,141
Effect on revenues		18
ASU 2014-09 \| Difference between Revenue Guidance in Effect before and after Topic 606 \| Prepaid Expenses and Other Current Assets
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Prepaid commissions		639
ASU 2014-09 \| Difference between Revenue Guidance in Effect before and after Topic 606 \| Other Assets
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Prepaid commissions		$ 502
ASU 2014-09 \| Difference between Revenue Guidance in Effect before and after Topic 606 \| Commitments Billed Ratably Over the Contract Term
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Effect on revenues	$ (367)

Investments in Marketable Securities (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Summary of marketable securities (designated as available-for-sale)
Amortized Cost	$ 23,964	$ 28,512
Gross Unrealized Gains	0	0
Gross Unrealized Losses	92	68
Estimated Fair Value	23,872	28,444
Certificate of deposit
Summary of marketable securities (designated as available-for-sale)
Amortized Cost	40	40
Gross Unrealized Gains	0	0
Gross Unrealized Losses	0	0
Estimated Fair Value	40	40
Corporate notes and bonds
Summary of marketable securities (designated as available-for-sale)
Amortized Cost	23,924	28,472
Gross Unrealized Gains	0	0
Gross Unrealized Losses	92	68
Estimated Fair Value	$ 23,832	$ 28,404

Investments in Marketable Securities (Details 1) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Amortized cost and estimated fair value of marketable securities (designated as available-for-sale) by maturity
Amortized Cost	$ 23,964	$ 28,512
Gross Unrealized Gains	0	0
Gross Unrealized Losses	92	68
Estimated Fair Value	23,872	28,444
Debt securities
Amortized cost and estimated fair value of marketable securities (designated as available-for-sale) by maturity
Amortized Cost, Due in one year or less	23,924	23,924
Gross Unrealized Gains, Due in one year or less	0	0
Gross Unrealized Losses, Due in one year or less	92	62
Estimated Fair Value, Due in one year or less	23,832	23,862
Amortized Cost, Due after one year and through five years	40	4,588
Gross Unrealized Gains, Due after one year and through five years	0	0
Gross Unrealized Losses, Due after one year and through five years	0	6
Estimated Fair Value, Due after one year and through five years	40	4,582
Amortized Cost	23,964	28,512
Gross Unrealized Gains	0	0
Gross Unrealized Losses	92	68
Estimated Fair Value	$ 23,872	$ 28,444

Accounts Receivable, net (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Summary of Accounts Receivable, net
Accounts receivable	$ 33,552	$ 33,519
Less: credit allowance	(240)	(240)
Less: allowance for doubtful accounts	(879)	(898)
Total accounts receivable, net	$ 32,433	$ 32,381

Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Prepaid Expense and Other Assets, Current [Abstract]
Prepaid bandwidth and backbone	$ 1,566	$ 1,487
VAT receivable	1,567	1,454
Prepaid expenses and insurance	1,503	1,870
Vendor deposits and other	1,081	586
Total prepaid expenses and other current assets	$ 5,717	$ 5,397

Property and Equipment, net (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Property and equipment, net
Property and equipment, gross	$ 124,380	$ 124,301
Less: accumulated depreciation	(97,009)	(95,310)
Total property and equipment, net	27,371	28,991
Network equipment
Property and equipment, net
Property and equipment, gross	107,772	107,916
Computer equipment and software
Property and equipment, net
Property and equipment, gross	9,727	9,801
Furniture and fixtures
Property and equipment, net
Property and equipment, gross	2,437	2,432
Leasehold improvements
Property and equipment, net
Property and equipment, gross	4,263	3,969
Other equipment
Property and equipment, net
Property and equipment, gross	$ 181	$ 183

Property and Equipment, net (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Property, Plant and Equipment [Abstract]
Operating expense depreciation	$ 588	$ 589

Goodwill (Details Textual) $ in Thousands	3 Months Ended
Goodwill (Details Textual) $ in Thousands	Mar. 31, 2018 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Foreign currency translation adjustment	$ 27

Other Current Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Other Liabilities Disclosure [Abstract]
Accrued compensation and benefits	$ 4,562	$ 12,181
Accrued cost of revenue	2,636	3,170
Deferred rent	238	434
Accrued legal fees	1,195	383
Other accrued expenses	2,864	2,339
Total other current liabilities	$ 11,495	$ 18,507

Line of Credit (Details) - Revolving Credit Facility - Credit Agreement - USD ($)	1 Months Ended	3 Months Ended
	Feb. 28, 2018	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017	Nov. 02, 2015
Line of Credit Facility [Line Items]
Maximum borrowing amount	$ 20,000,000				$ 10,000,000
Borrowing capacity limit, percent of accounts receivable	80.00%
Proceeds from line of credit				$ 0
Current borrowing capacity		$ 20,000,000		$ 10,000,000
Increase in interest rate in event of default		3.00%
Commitment fee percentage paid at closing		5000000.00%
Interest expense, line of credit		$ 0	$ 0
Commitment fees amortization		$ 59,000	$ 14,000
Voting stock percentage in foreign subsidiaries		65.00%
Line of credit facility, covenant compliance, minimum cash and revolver availability	$ 10,000,000
Line of credit facility, covenant compliance, minimum cash at lender	$ 5,000,000
Alternative Base Rate
Line of Credit Facility [Line Items]
Variable rate minimum		0.25%

Contingencies (Details) $ in Thousands				1 Months Ended
Contingencies (Details) $ in Thousands	May 09, 2018 USD ($)	Apr. 09, 2018 USD ($) installment_payment	Aug. 01, 2016 USD ($) installment_payment	Apr. 30, 2016 Patent counterclaim	Dec. 31, 2017 USD ($)	Dec. 28, 2016 Patent	Apr. 29, 2016 Patent	Feb. 16, 2016 Patent	Nov. 30, 2015 Patent
Akamai '703 Litigation \| Settled Litigation
Loss Contingencies [Line Items]
Legal settlement awarded to other party \| $			$ (54,000)
Number of quarterly installment payments for litigation settlement \| installment_payment			12
Litigation reserve, remaining amount due \| $					$ 22,500
Akamai and XO Communications Litigation \| Pending Litigation
Loss Contingencies [Line Items]
Number of company patents infringed									6
Akamai Litigation \| Pending Litigation
Loss Contingencies [Line Items]
Number of patents Company was infringing							5
2016 Akamai Litigation \| Pending Litigation
Loss Contingencies [Line Items]
Number of company patents infringed				2
Number Of Patents Company Infringed, Additional						3
Number of patents Company was infringing								3
Number of patents company infringed, withdrawn				1
Number of counterclaims \| counterclaim				2
Forecast \| Akamai Litigation \| Settled Litigation
Loss Contingencies [Line Items]
Proceeds from legal settlement \| $	$ 2,980
Subsequent Event \| Akamai Litigation \| Settled Litigation
Loss Contingencies [Line Items]
Number of quarterly installment payments for litigation settlement \| installment_payment		5
Litigation Settlement, Period of Agreement to Not Sue		3 years
Legal settlement awarded from other party \| $		$ 14,900

Net Loss per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Earnings Per Share [Abstract]
Net income (loss)	$ 149	$ (3,337)
Basic weighted average outstanding shares of common stock	110,761	107,363
Dilutive effect of stock options, restricted stock units, and equity incentive plans	8,148	0
Dilutive weighted average outstanding shares of common stock	118,909	107,363
Basic net income (in dollars per share)	$ 0.00	$ (0.03)
Diluted net income (in dollars per share)	$ 0.00	$ (0.03)

Net Loss per Share Dilutive Common Stock (Details) shares in Thousands	3 Months Ended
	Mar. 31, 2017 shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded outstanding options and restricted stock units (in shares)	2,495
Employee stock purchase plan
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded outstanding options and restricted stock units (in shares)	335
Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded outstanding options and restricted stock units (in shares)	282
Restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded outstanding options and restricted stock units (in shares)	1,878

Stockholders' Equity (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
Stockholders' Equity (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2015	Dec. 31, 2017	Mar. 14, 2017	Feb. 12, 2014
Equity, Class of Treasury Stock [Line Items]
Cash paid for purchase of common stock	$ 3,800	$ 0
Issuance of preferred stock authorized (in shares)	7,500,000			7,500,000
Employee Stock Purchase Plan
Equity, Class of Treasury Stock [Line Items]
Discount from market price for employees	15.00%
Shares issued (in shares)	0
Common Stock reserved for future options and restricted stock awards (in shares)	630,000
Employee funds held by company for future purchase of shares	$ 886
2007 Equity Incentive Plan
Equity, Class of Treasury Stock [Line Items]
Shares authorized for issuance under Restated 2007 Plan (in shares)	10,605,000
2017 Share Repurchase Program
Equity, Class of Treasury Stock [Line Items]
Stock repurchase amount authorized					$ 25,000
Shares purchased and canceled	1,000,000	0
Cash paid for purchase of common stock			$ 3,800
2012 Share Repurchase Program
Equity, Class of Treasury Stock [Line Items]
Stock repurchase amount authorized						$ 15,000
Remaining authorized repurchase amount					$ 9,500

Accumulated Other Comprehensive Loss (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018 USD ($)
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Accumulated other comprehensive income, beginning balance	$ 144,145
Accumulated other comprehensive income, ending balance	144,248
Foreign Currency
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Accumulated other comprehensive income, beginning balance	(8,259)
Other comprehensive income (loss) before reclassifications	491
Amounts reclassified from accumulated other comprehensive loss	0
Net current period other comprehensive income (loss)	491
Accumulated other comprehensive income, ending balance	(7,768)
Unrealized Gains (Losses) on Available for Sale Securities
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Accumulated other comprehensive income, beginning balance	(69)
Other comprehensive income (loss) before reclassifications	(24)
Amounts reclassified from accumulated other comprehensive loss	0
Net current period other comprehensive income (loss)	(24)
Accumulated other comprehensive income, ending balance	(93)
AOCI
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Accumulated other comprehensive income, beginning balance	(8,328)
Other comprehensive income (loss) before reclassifications	467
Amounts reclassified from accumulated other comprehensive loss	0
Net current period other comprehensive income (loss)	467
Accumulated other comprehensive income, ending balance	$ (7,861)

Share-Based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended
Share-Based Compensation (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Mar. 31, 2017
Components of share-based compensation expense
Share-based compensation	$ 3,367	$ 3,075
Cost of services
Components of share-based compensation expense
Share-based compensation	357	359
General and administrative expense
Components of share-based compensation expense
Share-based compensation	1,810	1,534
Sales and marketing expense
Components of share-based compensation expense
Share-based compensation	603	620
Research and development expense
Components of share-based compensation expense
Share-based compensation	597	562
Stock options
Components of share-based compensation expense
Share-based compensation	1,061	950
Restricted stock units
Components of share-based compensation expense
Share-based compensation	2,166	2,028
ESPP
Components of share-based compensation expense
Share-based compensation	$ 140	$ 97

Share-Based Compensation (Details Textual) $ in Thousands	Mar. 31, 2018 USD ($)
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Unrecognized share-based compensation expense total	$ 23,234
Share-based compensation expense, remainder of 2016	9,306
Share-based compensation expense, 2017	8,976
Stock options
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Unrecognized share-based compensation expense total	7,625
Restricted stock units
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Unrecognized share-based compensation expense total	$ 15,609

Related Party Transactions (Details) - Goldman, Sachs & Co. Affiliates [Member]	1 Months Ended	5 Months Ended	12 Months Ended
	Jul. 31, 2006 $ / shares shares	Mar. 31, 2018 shares	Dec. 31, 2017
Related Party Transaction [Line Items]
Ownership percentage		1.00%
Series B Preferred Stock
Related Party Transaction [Line Items]
Aggregate issuance of Series B Preferred Stock (in shares)	39,869,960
Aggregate issuance of Series B Preferred Stock, purchase price (in dollars per share) \| $ / shares	$ 3.26
Preferred Stock conversion ratio			1
Common Stock
Related Party Transaction [Line Items]
Number of shares sold by related party		30,272,493

Leases and Purchase Commitments (Details) $ in Thousands	Mar. 31, 2018 USD ($)
Future minimum lease payments over remaining lease periods
Remainder of 2018	$ 1,964
2019	1,386
2020	560
2021	359
2022	55
Thereafter	0
Total minimum payments	$ 4,324

Leases and Purchase Commitments (Details 1) $ in Thousands	Mar. 31, 2018 USD ($)
Minimum purchase commitments
Remainder of 2018	$ 25,503
2019	14,504
2020	1,567
2021	75
2022	2
Thereafter	0
Total minimum payments	$ 41,651

Concentrations (Details) $ in Thousands	3 Months Ended
Concentrations (Details) $ in Thousands	Mar. 31, 2018 USD ($) customer country	Mar. 31, 2017 USD ($) customer country
Concentration Risk [Line Items]
Number of customers who represented 10% or more of total revenue \| customer	1	1
Revenues	$ 52,114	$ 44,735
Geographic concentration \| Total revenue
Concentration Risk [Line Items]
Number of countries accounting for 10% or more of revenue \| country	2	3
United States \| Geographic concentration \| Total revenue
Concentration Risk [Line Items]
Revenues	$ 30,554	$ 27,374

Income Taxes (Details Textual) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
Income Taxes (Details Textual) - USD ($) $ in Thousands	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Income tax expense	$ (15)	$ 108
Re-measurement of deferred tax liabilities benefit			$ 41

Segment Reporting and Geographic Areas (Details Textual)	3 Months Ended
	Mar. 31, 2018 Segment Location
Segment Reporting [Abstract]
Number of industry segment \| Segment	1
Number of geographic areas \| Location	3

Segment Reporting and Geographic Areas (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenue earned by geographic area
Revenues	$ 52,114	$ 44,735
Americas
Revenue earned by geographic area
Revenues	32,578	28,196
EMEA
Revenue earned by geographic area
Revenues	11,793	8,456
Asia Pacific
Revenue earned by geographic area
Revenues	$ 7,743	$ 8,083
Geographic concentration
Revenue earned by geographic area
Percent of revenue	100.00%	100.00%
Geographic concentration \| Americas
Revenue earned by geographic area
Percent of revenue	62.50%	63.00%
Geographic concentration \| EMEA
Revenue earned by geographic area
Percent of revenue	22.60%	18.90%
Geographic concentration \| Asia Pacific
Revenue earned by geographic area
Percent of revenue	14.90%	18.10%

Segment Reporting and Geographic Areas Segment Reporting and Geographic Areas (Details 1) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Concentration Risk [Line Items]
Revenues	$ 52,114	$ 44,735
Geographic concentration \| Total revenue \| United States
Concentration Risk [Line Items]
Revenues	30,554	27,374
Geographic concentration \| Total revenue \| United Kingdom
Concentration Risk [Line Items]
Revenues	8,969	4,576
Geographic concentration \| Total revenue \| Japan
Concentration Risk [Line Items]
Revenues	$ 0	$ 4,752

Segment Reporting and Geographic Areas (Details 2) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Long-lived assets by geographical area
Long-lived assets	$ 27,371	$ 28,991
Americas
Long-lived assets by geographical area
Long-lived assets	17,124	17,119
International
Long-lived assets by geographical area
Long-lived assets	$ 10,247	$ 11,872

Fair Value Measurements (Details) - Recurring basis - USD ($)
$ in Thousands

Mar. 31, 2018

Dec. 31, 2017

Assets:

Total assets measured at fair value

$ 25,545

$ 35,233

Money market funds

Assets:

Total assets measured at fair value

1,673

^[1]

6,789

^[2]

Certificate of deposit

Assets:

Total assets measured at fair value

^[3]

^[4]

Corporate notes and bonds

Assets:

Total assets measured at fair value

23,832

^[3]

28,404

^[4]

Quoted Prices In Active Markets for Identical Assets (Level 1)

Assets:

Total assets measured at fair value

1,673

6,789

Quoted Prices In Active Markets for Identical Assets (Level 1) | Money market funds

Assets:

Total assets measured at fair value

1,673

^[1]

6,789

^[2]

Quoted Prices In Active Markets for Identical Assets (Level 1) | Certificate of deposit

Assets:

Total assets measured at fair value

^[3]

^[4]

Quoted Prices In Active Markets for Identical Assets (Level 1) | Corporate notes and bonds

Assets:

Total assets measured at fair value

^[3]

^[4]

Significant Other Observable Inputs (Level 2)

Assets:

Total assets measured at fair value

23,872

28,444

Significant Other Observable Inputs (Level 2) | Money market funds

Assets:

Total assets measured at fair value

^[1]

^[2]

Significant Other Observable Inputs (Level 2) | Certificate of deposit

Assets:

Total assets measured at fair value

^[3]

^[4]

Significant Other Observable Inputs (Level 2) | Corporate notes and bonds

Assets:

Total assets measured at fair value

23,832

^[3]

28,404

^[4]

Significant Unobservable Inputs (Level 3)

Assets:

Total assets measured at fair value

Significant Unobservable Inputs (Level 3) | Money market funds

Assets:

Total assets measured at fair value

^[1]

^[2]

Significant Unobservable Inputs (Level 3) | Certificate of deposit

Assets:

Total assets measured at fair value

^[3]

^[4]

Significant Unobservable Inputs (Level 3) | Corporate notes and bonds

Assets:

Total assets measured at fair value

$ 0

^[3]

$ 0

^[4]

[1]	Classified in cash and cash equivalents
[2]	Classified in cash and cash equivalents
[3]	Classified in marketable securities
[4]	Classified in marketable securities