| Consolidated financial statement details |
3. Condensed consolidated financial statement details The following section provides details of selected balance sheet items. Inventory | | | | | | | | | | | | | | | | (in thousands) | September 30, 2022 | | December 31, 2021 | Components | $ | 32,906 | | | $ | 10,761 | | Finished goods | 120,488 | | | 75,648 | | Total inventory | $ | 153,394 | | | $ | 86,409 | |
Property and equipment, net | | | | | | | | | | | | | | | | | | (in thousands) | | | September 30, 2022 | | December 31, 2021 | | Leasehold improvements | | | $ | 32,916 | | | $ | 33,764 | | | Production, engineering and other equipment | | | 46,289 | | | 45,641 | | | Tooling | | | 11,743 | | | 13,537 | | | Computers and software | | | 18,135 | | | 20,771 | | | Furniture and office equipment | | | 4,879 | | | 5,614 | | | Tradeshow equipment and other | | | 1,970 | | | 1,970 | | | Construction in progress | | | 511 | | | 480 | | Gross property and equipment | | | 116,443 | | | 121,777 | | | Less: Accumulated depreciation and amortization | | | (101,142) | | | (102,774) | | Property and equipment, net | | | $ | 15,301 | | | $ | 19,003 | |
Other long-term assets | | | | | | | | | | | | (in thousands) | September 30, 2022 | | December 31, 2021 | Point of purchase (POP) displays | $ | 2,177 | | | $ | 2,510 | | Long-term deferred tax assets | 275,456 | | | 274,430 | | Deposits and other | 8,876 | | | 8,237 | | | Intangible assets, net | 15 | | | 62 | | | Other long-term assets | $ | 286,524 | | | $ | 285,239 | |
Intangible assets are comprised of purchased technology, which have a useful life between 20-72 months, and an indefinite life asset. Amortization expense was zero and $0.1 million for the three months ended September 30, 2022 and 2021, and $0.1 million and $1.1 million for the nine months ended September 30, 2022 and 2021, respectively. As of September 30, 2022, all of the Company’s purchased technology intangible assets were fully amortized. Accrued expenses and other current liabilities | | | | | | | | | | | | | | (in thousands) | September 30, 2022 | | December 31, 2021 | | Accrued liabilities | $ | 30,454 | | | $ | 34,989 | | Accrued sales incentives | 35,492 | | | 34,117 | | | Employee related liabilities | 4,497 | | | 19,024 | | Return liability | 5,401 | | | 9,263 | | Warranty liability | 7,631 | | | 8,268 | | Inventory received | 2,287 | | | 7,169 | | Customer deposits | 2,957 | | | 2,760 | | Purchase order commitments | 790 | | | 1,369 | | | | | | Other | 9,606 | | | 11,613 | | | Accrued expenses and other current liabilities | $ | 99,115 | | | $ | 128,572 | |
Product warranty | | | | | | | | | | | | | | | | | | | | | | | | | | | Three months ended September 30, | | Nine months ended September 30, | (in thousands) | 2022 | | 2021 | | 2022 | | 2021 | | | Beginning balance | $ | 7,860 | | | $ | 7,621 | | | $ | 8,842 | | | $ | 8,523 | | | | Charged to cost of revenue | 5,801 | | | 4,560 | | | 13,049 | | | 11,329 | | | | Settlement of warranty claims | (5,743) | | | (4,272) | | | (13,973) | | | (11,943) | | | | Warranty liability | $ | 7,918 | | | $ | 7,909 | | | $ | 7,918 | | | $ | 7,909 | | | |
At September 30, 2022 and December 31, 2021, $7.6 million and $8.3 million, respectively, of the warranty liability was recorded as a component of accrued expenses and other current liabilities, and $0.3 million and $0.5 million, respectively, was recorded as a component of other long-term liabilities.
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