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Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2011	May 05, 2011
Document and Entity Information
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2011
Document Fiscal Year Focus	2011
Document Fiscal Period Focus	Q1
Entity Registrant Name	AKAMAI TECHNOLOGIES INC
Entity Central Index Key	0001086222
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		186,706,999

Consolidated Balance Sheets - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2011	Dec. 31, 2010
Current assets:
Cash and cash equivalents	$ 217,174	$ 231,866
Marketable securities (including restricted securities of $51 and $272 at March 31, 2011 and December 31, 2010, respectively)	346,395	375,005
Accounts receivable, net of reserves of $6,068 and $5,232 at March 31, 2011 and December 31, 2010, respectively	169,656	175,366
Prepaid expenses and other current assets	55,455	48,029
Deferred income tax assets	28,134	28,201
Total current assets	816,814	858,467
Property and equipment, net	266,968	255,929
Marketable securities (including restricted securities of $45 at March 31, 2011 and December 31, 2010)	693,668	636,531
Goodwill	452,914	452,914
Other intangible assets, net	58,179	62,456
Deferred income tax assets	74,831	75,226
Other assets	11,425	11,153
Total assets	2,374,799	2,352,676
Current liabilities:
Accounts payable	28,548	26,375
Accrued expenses and other current liabilities	84,778	94,661
Deferred revenue	20,447	23,808
Accrued restructuring	322	307
Total current liabilities	134,095	145,151
Other liabilities	26,574	26,278
Deferred revenue	3,942	3,642
Total liabilities	$ 164,611	$ 175,071
Commitments, contingencies and guarantees (Note 14)
Stockholders' equity:
Preferred stock, $0.01 par value; 5,000,000 shares authorized; 700,000 shares designated as Series A Junior Participating Preferred Stock; no shares issued or outstanding
Common stock, $0.01 par value; 700,000,000 shares authorized; 193,741,730 shares issued and 186,932,838 shares outstanding at March 31, 2011 and 192,383,121 shares issued and 186,603,380 outstanding at December 31, 2010	1,937	1,924
Additional paid-in capital	4,991,764	4,970,278
Accumulated other comprehensive income (loss)	(2,458)	(5,741)
Treasury stock, at cost, 6,808,892 shares at March 31, 2011 and 5,779,741 shares at December 31, 2010	(201,077)	(158,261)
Accumulated deficit	(2,579,978)	(2,630,595)
Total stockholders' equity	2,210,188	2,177,605
Total liabilities and stockholders' equity	$ 2,374,799	$ 2,352,676

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2011	Dec. 31, 2010
Consolidated Balance Sheets
Marketable securities, restricted securities	$ 51	$ 272
Accounts receivable, net of reserves	6,068	5,232
Marketable securities, restricted securities	$ 45	$ 45
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares designated as Series A Junior Participating Preferred Stock	700,000	700,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	700,000,000	700,000,000
Common stock, shares issued	193,741,730	192,383,121
Common stock, shares outstanding	186,932,838	186,603,380
Treasury stock, shares	6,808,892	5,779,741

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2011	Mar. 31, 2010
Consolidated Statements of Operations
Revenues	$ 275,953	$ 240,029
Costs and operating expenses:
Cost of revenues	89,068	67,474
Research and development	12,594	13,179
Sales and marketing	53,365	49,668
General and administrative	43,901	39,550
Amortization of other intangible assets	4,277	4,108
Total costs and operating expenses	203,205	173,979
Income from operations	72,748	66,050
Interest income	2,951	3,250
Interest expense		(709)
Other expense, net	(1,035)	(75)
Gain on investments, net	9	121
Income before provision for income taxes	74,673	68,637
Provision for income taxes	24,056	27,759
Net income	$ 50,617	$ 40,878
Net income per weighted average share:
Basic	$ 0.27	$ 0.24
Diluted	$ 0.26	$ 0.22
Shares used in per share calculations:
Basic	186,849	171,101
Diluted	191,383	189,013

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2011	Mar. 31, 2010
Cash flows from operating activities:
Net income	$ 50,617	$ 40,878
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	41,134	32,960
Stock-based compensation expense	15,712	19,108
Provision for deferred income taxes, net		24,638
Amortization of deferred financing costs		210
Provision for doubtful accounts	322	1,153
Excess tax benefits from stock-based compensation	(9,012)	(3,173)
Loss on investments and disposal of property and equipment, net	117	19
Changes in operating assets and liabilities, net of effects of acquisitions:
Accounts receivable	7,557	2,582
Prepaid expenses and other current assets	(6,076)	(11,378)
Accounts payable, accrued expenses and other current liabilities	(8,391)	(13,320)
Deferred revenue	(3,453)	(2,409)
Accrued restructuring		(45)
Other non-current assets and liabilities	(16)	(3,470)
Net cash provided by operating activities	88,511	87,753
Cash flows from investing activities:
Cash paid for acquisition of business, net of cash acquired	(175)
Purchases of property and equipment	(35,600)	(28,203)
Capitalization of internal-use software costs	(10,635)	(6,987)
Purchases of short- and long-term marketable securities	(275,615)	(232,065)
Proceeds from sales of short- and long-term marketable securities	110,034	73,562
Proceeds from maturities of short- and long-term marketable securities	137,233	113,995
Increase in other investments		(500)
Proceeds from the sale of property and equipment	25	23
Decrease in restricted investments held for security deposits	221	8
Net cash used in investing activities	(74,512)	(80,167)
Cash flows from financing activities:
Proceeds from the issuance of common stock under stock option plans	3,959	4,046
Excess tax benefits from stock-based compensation	9,012	3,173
Repurchases of common stock	(43,678)	(22,245)
Net cash used in financing activities	(30,707)	(15,026)
Effects of exchange rate changes on cash and cash equivalents	2,016	(641)
Net decrease in cash and cash equivalents	(14,692)	(8,081)
Cash and cash equivalents at beginning of period	231,866	181,305
Cash and cash equivalents at end of period	217,174	173,224
Supplemental disclosure of cash flow information:
Cash paid for income taxes	9,482	6,557
Non-cash financing and investing activities:
Capitalization of stock-based compensation, net of impairments	$ 1,824	1,477
Common stock issued upon conversion of 1% convertible senior notes		30
Common stock returned upon settlement of escrow claims related to prior business acquisitions		$ (125)

Nature of Business and Basis of Presentation	3 Months Ended
Nature of Business and Basis of Presentation	Mar. 31, 2011
Nature of Business and Basis of Presentation
Nature of Business and Basis of Presentation	1. Nature of Business and Basis of Presentation Akamai Technologies, Inc. ("Akamai" or the "Company") provides services for accelerating and improving the delivery of content and applications over the Internet. Akamai's globally distributed platform comprises thousands of servers in hundreds of networks in approximately 70 countries. The Company was incorporated in Delaware in 1998 and is headquartered in Cambridge, Massachusetts. Akamai currently operates in one industry segment: providing services for accelerating and improving delivery of content and applications over the Internet. The accompanying interim consolidated financial statements are unaudited and have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information. These financial statements include the accounts of Akamai and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in the accompanying financial statements. Certain information and footnote disclosures normally included in the Company's annual audited consolidated financial statements and accompanying notes have been condensed or omitted in these interim financial statements. Accordingly, the unaudited consolidated financial statements included herein should be read in conjunction with the audited consolidated financial statements and accompanying notes included in Akamai's annual report on Form 10-K for the year ended December 31, 2010, filed with the Securities and Exchange Commission on March 1, 2011. The results of operations presented in this quarterly report on Form 10-Q are not necessarily indicative of the results of operations that may be expected for any future periods. In the opinion of management, these unaudited consolidated financial statements include all adjustments and accruals, consisting only of normal recurring adjustments that are necessary for a fair statement of the results of all interim periods reported herein.

Recent Accounting Pronouncements	3 Months Ended
Recent Accounting Pronouncements	Mar. 31, 2011
Recent Accounting Pronouncements
Recent Accounting Pronouncements	2. Recent Accounting Pronouncements In December 2010, the Financial Accounting Standards Board issued an accounting standard update for business combinations specifically related to the disclosures of supplementary pro forma information for business combinations. This guidance specifies that pro forma disclosures should be reported as if the business combination that occurred during the current year had occurred as of the beginning of the comparable prior annual reporting period and the pro forma disclosures must include a description of material, nonrecurring pro forma adjustments. This standard is effective for business combinations with an acquisition date of January 1, 2011 or later. The adoption of the guidance did not have a material impact on the Company's financial position or results of operations.

Business Acquisition	3 Months Ended
Business Acquisition	Mar. 31, 2011
Business Acquisition
Business Acquisition	3. Business Acquisition In June 2010, the Company acquired substantially all of the assets and liabilities of Velocitude LLC ("Velocitude"), in exchange for payment of approximately $12.0 million in cash. In addition, the Company recorded a liability of $2.4 million for contingent consideration related to the expected achievement of certain post-closing milestones. During the three months ended March 31, 2011, the Company paid $0.2 million related to achievement of some of these milestones and decreased the fair value of the liability by $0.4 million which was recorded as a reduction to general and administrative expenses. The Company expects to pay $0.4 million of contingent consideration during the remainder of 2011. The acquisition of the assets of Velocitude was intended to further Akamai's strategic position in the mobile market and was accounted for using the purchase method of accounting. The Company allocated $11.6 million of the cost of the acquisition to goodwill and $2.8 million to other intangible assets.

Marketable Securities and Investments

3 Months Ended

Mar. 31, 2011

Marketable Securities and Investments

Marketable Securities and Investments

4. Marketable Securities and Investments

The Company accounts for financial assets and liabilities in accordance with a fair value measurement accounting standard. The accounting standard provides a framework for measuring fair value under GAAP and requires expanded disclosures regarding fair value measurements. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The accounting standard also establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs, where available, and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:

Level 1 — Quoted prices in active markets for identical assets or liabilities.

Level 2 — Observable inputs, other than Level 1 prices, such as quoted prices in active markets for similar assets and liabilities, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data.

Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities, including certain pricing models, discounted cash flow methodologies and similar techniques.

The following is a summary of marketable securities and other investment-related assets held at March 31, 2011 and December 31, 2010 (in thousands):


As of March 31, 2011	Cost		Gross Unrealized					Other-than- temporary Impairment Gains (Losses)		Aggregate Fair Value		Classified on Balance Sheet
			Gross Unrealized									Short-term Marketable Securities		Long-term Marketable Securities
			Gains		Losses							Short-term Marketable Securities		Long-term Marketable Securities
*Available-for-sale securities:*
Certificates of deposit	$	96	$	—	$	—		$	—	$	96	$	51	$	45
Commercial paper		39,981		13		—			—		39,994		39,994		—
U.S. corporate debt securities		665,041		1,323		(639	)		—		665,725		297,740		367,985
U.S. government agency obligations		209,947		89		(256	)		—		209,780		8,610		201,170
Auction rate securities		136,750		—		(12,282	)		—		124,468		—		124,468

	$	1,051,815	$	1,425	$	(13,177	)	$	—	$	1,040,063	$	346,395	$	693,668

As of December 31, 2010	Cost		Gross Unrealized					Other-than- temporary Impairment Gains (Losses)		Aggregate Fair Value		Classified on Balance Sheet
												Classified on Balance Sheet
												Short-term Marketable Securities		Long-term Marketable Securities
			Gains		Losses							Short-term Marketable Securities		Long-term Marketable Securities
*Available-for-sale securities:*
Certificates of deposit	$	96	$	—	$	—		$	—	$	96	$	51	$	45
Commercial paper		59,912		34		(2	)		—		59,944		59,944		—
U.S. corporate debt securities		651,855		1,416		(736	)		—		652,535		301,625		350,910
U.S. government agency obligations		161,722		102		(119	)		—		161,705		13,385		148,320
Auction rate securities		150,800		—		(13,544	)		—		137,256		—		137,256

	$	1,024,385	$	1,552	$	(14,401	)	$	—	$	1,011,536	$	375,005	$	636,531

Unrealized gains and unrealized temporary losses on investments classified as available-for-sale are included within accumulated other comprehensive income (loss). Upon realization, those amounts are reclassified from accumulated other comprehensive income (loss) to gain (loss) on investments, net in the statement of operations. Realized gains and losses and gains and losses on other-than-temporary impairments on investments are reflected in the income statement as gain (loss) on investments, net. As of March 31, 2011, the Company had recorded $136.8 million of auction rate securities at cost with gross unrealized losses that have been in a continuous loss position for more than 12 months.

The following table details the fair value measurements within the fair value hierarchy of the Company's financial assets, including investments and cash equivalents, at March 31, 2011 and December 31, 2010 (in thousands):


	Total Fair Value at March 31, 2011		Fair Value Measurements at Reporting Date Using
	Total Fair Value at March 31, 2011		Level 1		Level 2		Level 3
Money market funds	$	42,000	$	42,000	$	—	$	—
Certificates of deposit		96		96		—		—
Commercial paper		39,994		—		39,994		—
U.S. corporate debt securities		665,725		—		665,725		—
U.S. government agency obligations		209,780		—		209,780		—
Auction rate securities		124,468		—		—		124,468

	$	1,082,063	$	42,096	$	915,499	$	124,468


	Total Fair Value at December 31, 2010		Fair Value Measurements at Reporting Date Using
	Total Fair Value at December 31, 2010		Level 1		Level 2		Level 3
Money market funds	$	55,648	$	55,648	$	—	$	—
Certificates of deposit		96		96		—		—
Commercial paper		59,944		—		59,944		—
U.S. corporate debt securities		652,535		—		652,535		—
U.S. government agency obligations		161,705		—		161,705		—
Auction rate securities		137,256		—		—		137,256

	$	1,067,184	$	55,744	$	874,184	$	137,256

The following table reflects the activity for the Company's major classes of financial assets measured at fair value using Level 3 inputs, consisting solely of auction rate securities ("ARS"), for the three months ended March 31, 2011 (in thousands):


	Auction Rate Securities
Balance as of December 31, 2010	$	137,256
Redemptions of securities		(14,050	)
Unrealized gain included in accumulated other comprehensive income (loss), net		1,262

Balance as of March 31, 2011	$	124,468

As of March 31, 2011, the Company had grouped money market funds and certificates of deposit using a Level 1 valuation because market prices for such investments are readily available in active markets. As of March 31, 2011, the Company had grouped commercial paper, U.S. government agency obligations and U.S. corporate debt securities using a Level 2 valuation because quoted prices for identical or similar assets are available in markets that are not active. As of March 31, 2011, the Company's assets grouped using a Level 3 valuation consisted of ARS.

Historically, the carrying value (par value) of the Company's ARS holdings approximated fair market value due to the resetting of variable interest rates in a "Dutch auction" process. Beginning in mid-February 2008 and continuing throughout the period ended March 31, 2011, however, the auctions for ARS then held by the Company failed. As a result, the interest rates on ARS reset to the maximum rate per the applicable investment offering statements. The Company will not be able to liquidate affected ARS until a future auction on these investments is successful, a buyer is found outside the auction process, the securities are called or refinanced by the issuer, or the securities mature. Due to these liquidity issues, the Company used a discounted cash flow analysis to determine the estimated fair value of these investments. The discounted cash flow analysis considered the timing of expected future successful auctions, the impact of extended periods of maximum interest rates, collateralization of underlying security investments and the creditworthiness of the issuer. The discounted cash flow analysis as of March 31, 2011 assumed a weighted average discount rate of 2.96% and expected term of five years. The discount rate was determined using a proxy based upon the current market rates for recent debt offerings. The expected term was based on management's estimate of future liquidity. As a result, as of March 31, 2011, the Company has estimated an aggregate loss of $12.3 million, which was related to the impairment of ARS deemed to be temporary and included in accumulated other comprehensive income (loss) within stockholders' equity. The discounted cash flow analysis performed as of December 31, 2010 for ARS assumed a weighted average discount rate of 3.21% and expected term of five years. As a result, as of that date, the Company estimated an aggregate loss of $13.5 million, which was related to the impairment of ARS deemed to be temporary and included in accumulated other comprehensive income (loss) within stockholders' equity.

The ARS the Company holds are primarily AAA-rated bonds, most of which are collateralized by federally guaranteed student loans as part of the Federal Family Education Loan Program through the U.S. Department of Education. The Company believes the quality of the collateral underlying these securities will enable it to recover the Company's principal balance.

Despite the failed auctions, the Company continues to receive cash flows in the form of specified interest payments from the issuers of ARS. In addition, the Company does not believe it will be required to sell the ARS prior to a recovery of par value and currently intends to hold the investments until such time because it believes it has sufficient cash and other marketable securities on-hand and from projected cash flows from operations.

As of March 31, 2011 and December 31, 2010, the Company classified $124.5 million and $137.3 million, respectively, of ARS as long-term marketable securities on its consolidated balance sheet due to management's estimate of its inability to liquidate these investments within the following twelve months. Contractual maturities of the Company's marketable securities held at March 31, 2011 and December 31, 2010 were as follows (in thousands):


	March 31, 2011		December 31, 2010
*Available-for-sale securities:*
Due in 1 year or less	$	346,394	$	375,005
Due after 1 year through 5 years		569,201		499,275
Due after 5 years		124,468		137,256

	$	1,040,063	$	1,011,536

Accounts Receivable

3 Months Ended

Mar. 31, 2011

Accounts Receivable

Accounts Receivable

5. Accounts Receivable

Net accounts receivable consisted of the following (in thousands):


	March 31, 2011			December 31, 2010
Trade accounts receivable	$	120,196		$	116,212
Unbilled accounts		55,528			64,386

Gross accounts receivable		175,724			180,598

Allowance for doubtful accounts		(1,585	)		(1,329	)
Reserve for cash-basis customers		(4,483	)		(3,903	)

Total accounts receivable reserves		(6,068	)		(5,232	)

Accounts receivable, net	$	169,656		$	175,366

The Company's accounts receivable balance includes unbilled amounts that represent revenues recorded for customers that are typically billed monthly in arrears. The Company records reserves against its accounts receivable balance. These reserves consist of allowances for doubtful accounts and reserves for cash-basis customers. Increases and decreases in the allowance for doubtful accounts are included as a component of general and administrative expenses. The Company's reserve for cash-basis customers increases as services are provided to customers where collection is no longer assured. Increases to the reserve for cash-basis customers are recorded as reductions of revenues. The reserve decreases and revenue is recognized when and if cash payments are received.

Estimates are used in determining these reserves and are based upon the Company's review of outstanding balances on a customer-specific, account-by-account basis. The allowance for doubtful accounts is based upon a review of customer receivables from prior sales with collection issues where the Company no longer believes that the customer has the ability to pay for services previously provided. The Company also performs ongoing credit evaluations of its customers. If such an evaluation indicates that payment is no longer reasonably assured for services provided, any future services provided to that customer will result in the creation of a cash-basis reserve until the Company receives consistent payments. The Company does not have any off-balance sheet credit exposure related to its customers.

Accrued Expenses and Other Current Liabilities

3 Months Ended

Mar. 31, 2011

Accrued Expenses and Other Current Liabilities

Accrued Expenses and Other Current Liabilities

6. Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consisted of the following (in thousands):


	March 31, 2011		December 31, 2010
Payroll and other related benefits	$	31,858	$	51,591
Bandwidth and co-location		20,247		21,787
Property, use and other taxes		26,559		15,849
Professional service fees		3,532		2,678
Contingent consideration		375		990
Other		2,207		1,766

Total	$	84,778	$	94,661

Net Income per Share

3 Months Ended

Mar. 31, 2011

Net Income per Share

Net Income per Share

7. Net Income per Share

Basic net income per share is computed using the weighted average number of common shares outstanding during the applicable period. Diluted net income per share is computed using the weighted average number of common shares outstanding during the period, plus the dilutive effect of potential common stock. Potential common stock consists of shares issuable pursuant to stock options, deferred stock units, restricted stock units ("RSUs") and convertible notes.

The following table sets forth the components used in the computation of basic and diluted net income per common share (in thousands, except per share data):


	For the Three Months Ended March 31,
	2011		2010
Numerator:
Net income	$	50,617	$	40,878
Add back of interest expense on 1% convertible senior notes (net of tax)		—		422

Numerator for diluted net income per common share	$	50,617	$	41,300

Denominator:
Denominator for basic net income per common share		186,849		171,101
Effect of dilutive securities:
Stock options		3,353		3,442
Effect of escrow contingencies		—		339
RSUs and deferred stock units		1,181		1,202
Assumed conversion of 1% convertible senior notes		—		12,929

Denominator for diluted net income per common share		191,383		189,013

Basic net income per common share	$	0.27	$	0.24
Diluted net income per common share	$	0.26	$	0.22

Outstanding options to acquire an aggregate of 1.8 million and 2.2 million shares of common stock for the three months ended March 31, 2011 and 2010, respectively, were excluded from the calculation of diluted earnings per share because the exercise prices of these stock options were greater than the average market price of the Company's common stock during the respective periods because the effect of including these options would be anti-dilutive. Additionally, 3.2 million and 3.5 million shares of common stock issuable in respect of outstanding performance-based RSUs were excluded from the computation of diluted net income per share for the three months ended March 31, 2011 and 2010, respectively, because the performance conditions had not been met as of those dates.

The calculation of assumed proceeds used to determine the diluted weighted average shares outstanding under the treasury stock method in the periods presented was adjusted by tax windfalls and shortfalls associated with all of the Company's outstanding stock awards. Such windfalls and shortfalls are computed by comparing the tax deductible amount of outstanding stock awards to their grant date fair values and multiplying the results by the applicable statutory tax rate. A positive result creates a windfall, which increases the assumed proceeds, and a negative result creates a shortfall, which reduces the assumed proceeds.

Stockholders' Equity

3 Months Ended

Mar. 31, 2011

Stockholders' Equity

Stockholders' Equity

8. Stockholders' Equity

Stock Repurchase Program

On April 29, 2009, the Company announced that its Board of Directors had authorized a stock repurchase program permitting purchases of up to $100.0 million of the Company's common stock from time to time on the open market or in privately negotiated transactions. On April 28, 2010, the Company announced that its Board of Directors had authorized an extension of the stock repurchase program permitting purchases of an additional $150.0 million of the Company's common stock from time to time over the next 12 months commencing in May 2010 on the open market or in privately negotiated transactions. On April 19, 2011, the Company's Board of Directors authorized an extension permitting purchases of an additional $150.0 million over the next 12 months commencing in May 2011. The timing and amount of any shares repurchased will be determined by the Company's management based on its evaluation of market conditions and other factors. Subject to applicable securities laws, the Company may choose to suspend or discontinue the repurchase program at any time.

During the three months ended March 31, 2011, the Company repurchased 1.0 million shares of its common stock for $42.8 million. During the three months ended March 31, 2010, the Company repurchased 0.8 million shares of its common stock for $21.9 million. As of March 31, 2011, the Company had $48.9 million remaining available for future purchases of shares under the current repurchase program; the unused balance of such may not be carried forward after the expiration of the applicable 12-month repurchase program period on May 2, 2011. Additionally, as of March 31, 2011, the Company had prepaid approximately $1.5 million for purchases of its common stock with a settlement date in early April 2011.

Stock-Based Compensation Expense

The following table summarizes the components of total stock-based compensation expense included in the Company's consolidated statements of operations for the three months ended March 31, 2011 and 2010 (in thousands):


	For the Three Months Ended March 31,
	2011			2010
Stock-based compensation expense by type of award:
Stock options	$	3,786		$	3,769
RSUs		12,120			15,684
Shares issued under the Employee Stock Purchase Plan		1,630			1,132
Amounts capitalized as internal-use software		(1,824	)		(1,477	)

Total stock-based compensation before income taxes		15,712			19,108
Less: Income tax benefit		(5,062	)		(7,728	)

Total stock-based compensation, net of taxes	$	10,650		$	11,380

Effect of stock-based compensation on income by line item:
Cost of revenues	$	555		$	701
Research and development expense		2,762			3,993
Sales and marketing expense		6,846			9,024
General and administrative expense		5,549			5,390
Provision for income taxes		(5,062	)		(7,728	)

Total cost related to stock-based compensation, net of taxes	$	10,650		$	11,380

In addition to the amounts of stock-based compensation reported in the table above, the Company's consolidated statements of operations for the three months ended March 31, 2011 and 2010 also included stock-based compensation reflected as a component of amortization of capitalized internal-use software; such additional stock-based compensation was $2.1 million and $1.9 million during such three-month periods, respectively, before tax.

Comprehensive Income

3 Months Ended

Mar. 31, 2011

Comprehensive Income

Comprehensive Income

9. Comprehensive Income

The following table presents the calculation of comprehensive income and its components (in thousands):


	For the Three Months Ended March 31,
	2011			2010
Net income	$	50,617		$	40,878

Other comprehensive income (loss):
Foreign currency translation adjustments		2,606			(1,786	)
Change in unrealized gain (loss) on investments, net		1,097			9
Income tax expense related to unrealized gain (loss) on investments, net		(420	)		(3	)

Other comprehensive income (loss)		3,283			(1,780	)

Comprehensive income	$	53,900		$	39,098

Accumulated other comprehensive income (loss) consisted of (in thousands):


	March 31, 2011			December 31, 2010
Foreign currency translation adjustment	$	4,709		$	2,103
Net unrealized gain (loss) on investments, net of tax of $4,585 at March 31, 2011 and $5,005 at December 31, 2010		(7,167	)		(7,844	)

Total accumulated other comprehensive income (loss)	$	(2,458	)	$	(5,741	)

Goodwill and Other Intangible Assets

3 Months Ended

Mar. 31, 2011

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

10. Goodwill and Other Intangible Assets

The Company recorded goodwill and other intangible assets as a result of business acquisitions that occurred from 2000 through 2010. The Company also acquired license rights from the Massachusetts Institute of Technology in 1999.

Other intangible assets that are subject to amortization consist of the following (in thousands):


	March 31, 2011
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Completed technology	$	36,731	$	(18,025	)	$	18,706
Customer relationships		88,700		(53,273	)		35,427
Non-compete agreements		8,340		(4,370	)		3,970
Trademarks and trade names		800		(724	)		76
Acquired license rights		490		(490	)		—

Total	$	135,061	$	(76,882	)	$	58,179


	December 31, 2010
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Completed technology	$	36,731	$	(16,520	)	$	20,211
Customer relationships		88,700		(50,832	)		37,868
Non-compete agreements		8,340		(4,070	)		4,270
Trademarks and trade names		800		(693	)		107
Acquired license rights		490		(490	)		—

Total	$	135,061	$	(72,605	)	$	62,456

Aggregate expense related to amortization of other intangible assets for the three months ended March 31, 2011 and 2010 was $4.3 million and $4.1 million, respectively. Based on the Company's other intangible assets as of March 31, 2011, aggregate expense related to amortization of other intangible assets is expected to be $12.6 million for the remainder of 2011, and $15.9 million, $13.1 million, $7.6 million and $5.1 million for fiscal years 2012, 2013, 2014 and 2015, respectively.

Concentration of Credit Risk	3 Months Ended
Concentration of Credit Risk	Mar. 31, 2011
Concentration of Credit Risk
Concentration of Credit Risk	11. Concentration of Credit Risk Financial instruments that subject the Company to credit risk consist of cash and cash equivalents, marketable securities and accounts receivable. The Company maintains the majority of its cash, cash equivalents and marketable securities balances principally with domestic financial institutions that the Company believes are of high credit standing. At March 31, 2011 and December 31, 2010, the Company held ARS, with an estimated fair value of $124.5 million and $137.3 million, respectively, that have experienced failed auctions preventing the Company from liquidating those investments. Based on its ability to access its cash and short-term investments and its expected cash flows, the Company does not anticipate the current lack of liquidity with respect to these ARS to have a material impact on its financial condition or results of operations during 2011. As of March 31, 2011, the Company had recorded a pre-tax cumulative unrealized loss of $12.3 million related to the temporary impairment of the ARS, which was included in accumulated other comprehensive loss on its consolidated balance sheet. See Note 4. Concentrations of credit risk with respect to accounts receivable are limited to certain customers to which the Company makes substantial sales. The Company's customer base consists of a large number of geographically dispersed customers diversified across numerous industries. To reduce risk, the Company routinely assesses the financial strength of its customers. Based on such assessments, the Company believes that its accounts receivable credit risk exposure is limited. No customer accounted for more than 10% of accounts receivable as of March 31, 2011. As of December 31, 2010, one customer had an account receivable balance greater than 10% of accounts receivable. The Company believes that, at March 31, 2011, concentration of credit risk related to accounts receivable is not significant.

Segment and Geographic Information	3 Months Ended
Segment and Geographic Information	Mar. 31, 2011
Segment and Geographic Information
Segment and Geographic Information	12. Segment and Geographic Information Akamai's chief decision-maker, as defined under the authoritative guidance that discusses disclosures about segments of an enterprise and related information, is the Chief Executive Officer and the executive management team. As of March 31, 2011, Akamai operated in one industry segment: providing services for accelerating and improving the delivery of content and applications over the Internet. The Company is not organized by market and is managed and operated as one business. A single management team that reports to the Chief Executive Officer or the President comprehensively manages the entire business. The Company does not operate any material separate lines of business or separate business entities with respect to its services. Accordingly, the Company does not accumulate discrete financial information with respect to separate product lines and does not have separately reportable segments as defined in the guidance. The Company deploys its servers into networks worldwide. As of March 31, 2011, the Company had $179.3 million and $87.7 million of property and equipment, net of accumulated depreciation, located in the United States and in foreign locations, respectively. As of December 31, 2010, the Company had $174.9 million and $81.0 million of property and equipment, net of accumulated depreciation, located in the United States and in foreign locations, respectively. Akamai sells its services through a direct sales force located both domestically and abroad. For the three months ended March 31, 2011 approximately 30% of the Company's revenues were derived from operations located outside of the United States, including 18% derived from Europe. For the three months ended March 31, 2010 approximately 28% of the Company's revenues were derived from operations located outside of the United States, including 18% derived from Europe. No single country outside the United States accounted for 10% or more of revenues during these periods. For each of the three months ended March 31, 2011 and 2010, no customer accounted for 10% or more of total revenues.

Income Taxes	3 Months Ended
Income Taxes	Mar. 31, 2011
Income Taxes
Income Taxes	13. Income Taxes The Company's effective income tax rate, including discrete items, was 32.2% and 40.4% for the three months ended March 31, 2011 and 2010, respectively. The effective income tax rate is based upon the estimated income for the year, the estimated composition of the income in different jurisdictions and discrete adjustments, if any, in the applicable quarterly periods including settlements of tax audits or assessments, the resolution or identification of tax position uncertainties, and acquisitions of other companies. The discrete items also include the tax effect of disqualifying dispositions of incentive stock options and shares purchased under its Employee Stock Purchase Plan. For the three months ended March 31, 2011, the effective income tax rate was lower than the federal statutory tax rate mainly due to the composition of income in foreign jurisdictions that is taxed at lower rates compared to the statutory tax rates in the United States. For the three months ended March 31, 2010, the effective income tax rate was higher than the federal statutory tax rate mainly due to the effects of accounting for stock-based compensation in accordance with the authoritative guidance for share-based payments, and state income tax expense.

Commitments, Contingencies and Guarantees

3 Months Ended

Mar. 31, 2011

Commitments, Contingencies and Guarantees

Commitments, Contingencies and Guarantees

14. Commitments, Contingencies and Guarantees

Operating Lease Commitments

The Company leases its facilities under non-cancelable operating leases. These operating leases expire at various dates through December 2019 and generally require the payment of real estate taxes, insurance, maintenance and operating costs.

The expected minimum aggregate future obligations under non-cancelable leases as of March 31, 2011 were as follows (in thousands):


	Operating Leases
Remaining 2011	$	19,419
2012		22,699
2013		20,984
2014		20,104
2015		19,457
Thereafter		56,102

Total	$	158,765

Purchase Commitments

The Company has long-term commitments for bandwidth usage and co-location services with various network and Internet service providers. For the remainder of 2011 and for the years ending December 31, 2012, 2013, 2014 and 2015, the minimum commitments pursuant to these contracts in effect as of March 31, 2011, are $63.9 million, $14.8 million, $1.8 million, $45,000 and $33,000, respectively. As of March 31, 2011, the Company had entered into purchase orders with various vendors for aggregate purchase commitments of $81.6 million, which are expected to be paid over the next twelve months.

Litigation

Between July 2, 2001 and November 7, 2001, purported class action lawsuits seeking monetary damages were filed in the U.S. District Court for the Southern District of New York against the Company as well as against the underwriters of its October 28, 1999 initial public offering of common stock. The complaints were filed allegedly on behalf of persons who purchased the Company's common stock during different time periods, all beginning on October 28, 1999 and ending on various dates. The complaints are similar and allege violations of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended, primarily based on the allegation that the underwriters received undisclosed compensation in connection with the Company's initial public offering. On April 19, 2002, a single consolidated amended complaint was filed, reiterating in one pleading the allegations contained in the previously filed separate actions. The consolidated amended complaint defines the alleged class period as October 28, 1999 through December 6, 2000. A Special Litigation Committee of the Company's Board of Directors authorized management to negotiate a settlement of the pending claims substantially consistent with a Memorandum of Understanding that was negotiated among class plaintiffs, all issuer defendants and their insurers. The parties negotiated a settlement that was subject to approval by the District Court. On February 15, 2005, the Court issued an Opinion and Order preliminarily approving the settlement, provided that the defendants and plaintiffs agree to a modification narrowing the scope of the bar order set forth in the original settlement agreement. On June 25, 2007, the District Court signed an order terminating the settlement. On August 25, 2009, the plaintiffs filed a motion for final approval of a new proposed settlement (among plaintiffs, the underwriter defendants, the issuer defendants and the insurers for the issuer defendants), plan of distribution of the settlement fund, and certification of the settlement classes. On October 5, 2009, the District Court issued an opinion and order granting plaintiffs' motion for final approval of the settlement, approval of the plan of distribution of the settlement fund, and certification of the settlement classes. An order and final judgment was entered on November 4, 2009. Notices of appeal of the District Court's October 5, 2009 opinion and order have been filed in the United States Court of Appeals for the Second Circuit. If the District Court's order is upheld on appeal, the Company would have no material liability in connection with this litigation, and the litigation would be resolved. The Company has recorded no liability for this matter as of March 31, 2011.

In addition, on or about October 3, 2007, a purported Akamai shareholder filed a complaint in the U.S. District Court for the Western District of Washington, against the underwriters involved in its 1999 initial public offering of common stock, alleging violations of Section 16(b) of the Exchange Act of 1934, as amended. The complaint alleges that the combined number of shares of the Company's common stock beneficially owned by the lead underwriters and certain unnamed officers, directors and principal shareholders exceeded ten percent of its outstanding common stock from the date of the Company's initial public offering on October 29, 1999, through at least October 28, 2000. The complaint further alleges that those entities and individuals were thus subject to the reporting requirements of Section 16(a) and the short-swing trading prohibition of Section 16(b) and failed to comply with those provisions. The complaint seeks to recover from the lead underwriters any "short-swing profits" obtained by them in violation of Section 16(b). The Company was named as a nominal defendant in the action but has no liability for the asserted claims. None of the Company's directors or officers serving in such capacities at the time of its initial public offering are currently named as defendants in this action, but there can be no guarantee that the complaint will not be amended or a new complaint or suit filed to name such directors or officers as defendants in this action or another action alleging a violation of the same provisions of the Securities Exchange Act of 1934, as amended. On March 12, 2009, the Court granted a joint motion by the Company and other issuer defendants to dismiss the complaint without prejudice on the grounds that the plaintiff had failed to make an adequate demand on the Company prior to filing her complaint. In its order, the Court stated it would not permit the plaintiff to amend her demand letters while pursuing her claims in the litigation. Because the Court dismissed the case on the grounds that it lacked subject matter jurisdiction, it did not specifically reach the issue of whether the plaintiff's claims were barred by the applicable statute of limitations. However, the Court also granted a Joint Motion to Dismiss by the underwriter defendants in the action with respect to cases involving non-moving issuers, holding that the cases were barred by the applicable statute of limitations because the issuers' shareholders had notice of the potential claims more than five years prior to filing suit. Ms. Simmonds appealed. On December 2, 2010, the Ninth Circuit Court of Appeals affirmed the District Court's decision to dismiss the moving issuers' cases (including the Company's) on the grounds that plaintiff's demand letters were insufficient to put the issuers on notice of the claims asserted against them and further ordered that the dismissals be made with prejudice. The Ninth Circuit, however, reversed and remanded the District Court's decision on the underwriters' motion to dismiss as to the claims arising from the non-moving issuers' IPOs, finding plaintiff's claims were not time-barred under the applicable statute of limitations. On January 18, 2011, the Ninth Circuit denied various parties' petitions for rehearing and for rehearing en banc but stayed its rulings to allow for appeals to the United States Supreme Court. The Company does not expect the results of this action to have a material adverse effect on its business, results of operations or financial condition. The Company has recorded no liability for this matter as of March 31, 2011.

The Company is party to various other litigation matters that management considers routine and incidental to its business. Management does not expect the results of any of these routine actions to have a material adverse effect on the Company's business, results of operations or financial condition.

Guarantees

The Company has identified guarantees in accordance with the authoritative guidance for guarantor's accounting and disclosure requirements for guarantees, including indirect guarantees of indebtedness of others—which is an interpretation of previous accounting statements and rescission of previous guidance. This guidance elaborates on the existing disclosure requirements for most guarantees, including loan guarantees such as standby letters of credit. The guidance also clarifies that at the time an entity issues a guarantee, that entity must recognize an initial liability for the fair value, or market value, of the obligation it assumes under the guarantee and must disclose that information in its interim and annual financial statements. The Company evaluates losses for guarantees under the statement for accounting for contingencies, as interpreted by the guidance for guarantor's accounting and disclosure requirements for guarantees, including direct guarantees of indebtedness of others. The Company considers such factors as the degree of probability that the Company would be required to satisfy the liability associated with the guarantee and the ability to make a reasonable estimate of the amount of loss. To date, the Company has not encountered material costs as a result of such obligations and has not accrued any liabilities related to such obligations in its financial statements. The fair value of the Company's outstanding guarantees as of March 31, 2011 was determined to be immaterial.

Subsequent Event

3 Months Ended

Mar. 31, 2011

Subsequent Event

Subsequent Event

15. Subsequent Event

In April 2011, the Company announced that its Board of Directors authorized a second $150.0 million extension of its stock repurchase program permitting purchases of the Company's common stock from time to time on the open market or in privately negotiated transactions over a twelve-month period commencing in May 2011. The timing and amount of any shares repurchased will be determined by the Company's management based on its evaluation of market conditions and other factors. The Company may choose to suspend or discontinue the repurchase program at any time.

Marketable Securities and Investments (Tables)

3 Months Ended

Mar. 31, 2011

Marketable Securities and Investments

Marketable Securities


As of March 31, 2011	Cost		Gross Unrealized					Other-than- temporary Impairment Gains (Losses)		Aggregate Fair Value		Classified on Balance Sheet
			Gross Unrealized									Short-term Marketable Securities		Long-term Marketable Securities
			Gains		Losses							Short-term Marketable Securities		Long-term Marketable Securities
*Available-for-sale securities:*
Certificates of deposit	$	96	$	—	$	—		$	—	$	96	$	51	$	45
Commercial paper		39,981		13		—			—		39,994		39,994		—
U.S. corporate debt securities		665,041		1,323		(639	)		—		665,725		297,740		367,985
U.S. government agency obligations		209,947		89		(256	)		—		209,780		8,610		201,170
Auction rate securities		136,750		—		(12,282	)		—		124,468		—		124,468

	$	1,051,815	$	1,425	$	(13,177	)	$	—	$	1,040,063	$	346,395	$	693,668

As of December 31, 2010	Cost		Gross Unrealized					Other-than- temporary Impairment Gains (Losses)		Aggregate Fair Value		Classified on Balance Sheet
												Classified on Balance Sheet
												Short-term Marketable Securities		Long-term Marketable Securities
			Gains		Losses							Short-term Marketable Securities		Long-term Marketable Securities
*Available-for-sale securities:*
Certificates of deposit	$	96	$	—	$	—		$	—	$	96	$	51	$	45
Commercial paper		59,912		34		(2	)		—		59,944		59,944		—
U.S. corporate debt securities		651,855		1,416		(736	)		—		652,535		301,625		350,910
U.S. government agency obligations		161,722		102		(119	)		—		161,705		13,385		148,320
Auction rate securities		150,800		—		(13,544	)		—		137,256		—		137,256

	$	1,024,385	$	1,552	$	(14,401	)	$	—	$	1,011,536	$	375,005	$	636,531

Schedule of Fair Value Measurement


	Total Fair Value at March 31, 2011		Fair Value Measurements at Reporting Date Using
	Total Fair Value at March 31, 2011		Level 1		Level 2		Level 3
Money market funds	$	42,000	$	42,000	$	—	$	—
Certificates of deposit		96		96		—		—
Commercial paper		39,994		—		39,994		—
U.S. corporate debt securities		665,725		—		665,725		—
U.S. government agency obligations		209,780		—		209,780		—
Auction rate securities		124,468		—		—		124,468

	$	1,082,063	$	42,096	$	915,499	$	124,468


	Total Fair Value at December 31, 2010		Fair Value Measurements at Reporting Date Using
	Total Fair Value at December 31, 2010		Level 1		Level 2		Level 3
Money market funds	$	55,648	$	55,648	$	—	$	—
Certificates of deposit		96		96		—		—
Commercial paper		59,944		—		59,944		—
U.S. corporate debt securities		652,535		—		652,535		—
U.S. government agency obligations		161,705		—		161,705		—
Auction rate securities		137,256		—		—		137,256

	$	1,067,184	$	55,744	$	874,184	$	137,256

Schedule of Activity of Major Classes of Assets Measured at Fair Value Using Level 3 Inputs


	Auction Rate Securities
Balance as of December 31, 2010	$	137,256
Redemptions of securities		(14,050	)
Unrealized gain included in accumulated other comprehensive income (loss), net		1,262

Balance as of March 31, 2011	$	124,468

Schedule of Contractual Maturities of Marketable Securities and Other Investment Related Assets


	March 31, 2011		December 31, 2010
*Available-for-sale securities:*
Due in 1 year or less	$	346,394	$	375,005
Due after 1 year through 5 years		569,201		499,275
Due after 5 years		124,468		137,256

	$	1,040,063	$	1,011,536

Accounts Receivable (Tables)

3 Months Ended

Mar. 31, 2011

Accounts Receivable

Schedule of Accounts Receivable


	March 31, 2011			December 31, 2010
Trade accounts receivable	$	120,196		$	116,212
Unbilled accounts		55,528			64,386

Gross accounts receivable		175,724			180,598

Allowance for doubtful accounts		(1,585	)		(1,329	)
Reserve for cash-basis customers		(4,483	)		(3,903	)

Total accounts receivable reserves		(6,068	)		(5,232	)

Accounts receivable, net	$	169,656		$	175,366

Accrued Expenses and Other Current Liabilities (Tables)

3 Months Ended

Mar. 31, 2011

Accrued Expenses and Other Current Liabilities

Schedule of Accrued Expenses and Other Current Liabilities


	March 31, 2011		December 31, 2010
Payroll and other related benefits	$	31,858	$	51,591
Bandwidth and co-location		20,247		21,787
Property, use and other taxes		26,559		15,849
Professional service fees		3,532		2,678
Contingent consideration		375		990
Other		2,207		1,766

Total	$	84,778	$	94,661

Net Income per Share (Tables)

3 Months Ended

Mar. 31, 2011

Net Income per Share

Schedule of Components Used in Diluted and Basic Income Per Common Share


	For the Three Months Ended March 31,
	2011		2010
Numerator:
Net income	$	50,617	$	40,878
Add back of interest expense on 1% convertible senior notes (net of tax)		—		422

Numerator for diluted net income per common share	$	50,617	$	41,300

Denominator:
Denominator for basic net income per common share		186,849		171,101
Effect of dilutive securities:
Stock options		3,353		3,442
Effect of escrow contingencies		—		339
RSUs and deferred stock units		1,181		1,202
Assumed conversion of 1% convertible senior notes		—		12,929

Denominator for diluted net income per common share		191,383		189,013

Basic net income per common share	$	0.27	$	0.24
Diluted net income per common share	$	0.26	$	0.22

Stockholders' Equity (Tables)

3 Months Ended

Mar. 31, 2011

Stockholders' Equity

Schedule of Stock-Based Compensation Expense


	For the Three Months Ended March 31,
	2011			2010
Stock-based compensation expense by type of award:
Stock options	$	3,786		$	3,769
RSUs		12,120			15,684
Shares issued under the Employee Stock Purchase Plan		1,630			1,132
Amounts capitalized as internal-use software		(1,824	)		(1,477	)

Total stock-based compensation before income taxes		15,712			19,108
Less: Income tax benefit		(5,062	)		(7,728	)

Total stock-based compensation, net of taxes	$	10,650		$	11,380

Effect of stock-based compensation on income by line item:
Cost of revenues	$	555		$	701
Research and development expense		2,762			3,993
Sales and marketing expense		6,846			9,024
General and administrative expense		5,549			5,390
Provision for income taxes		(5,062	)		(7,728	)

Total cost related to stock-based compensation, net of taxes	$	10,650		$	11,380

Comprehensive Income (Tables)

3 Months Ended

Mar. 31, 2011

Comprehensive Income

Schedule of Comprehensive Income


	For the Three Months Ended March 31,
	2011			2010
Net income	$	50,617		$	40,878

Other comprehensive income (loss):
Foreign currency translation adjustments		2,606			(1,786	)
Change in unrealized gain (loss) on investments, net		1,097			9
Income tax expense related to unrealized gain (loss) on investments, net		(420	)		(3	)

Other comprehensive income (loss)		3,283			(1,780	)

Comprehensive income	$	53,900		$	39,098

Schedule of Accumulated Other Comprehensive Income (Loss)


	March 31, 2011			December 31, 2010
Foreign currency translation adjustment	$	4,709		$	2,103
Net unrealized gain (loss) on investments, net of tax of $4,585 at March 31, 2011 and $5,005 at December 31, 2010		(7,167	)		(7,844	)

Total accumulated other comprehensive income (loss)	$	(2,458	)	$	(5,741	)

Goodwill and Other Intangible Assets (Tables)

3 Months Ended

Mar. 31, 2011

Goodwill and Other Intangible Assets

Schedule of Other Intangible Assets


	March 31, 2011
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Completed technology	$	36,731	$	(18,025	)	$	18,706
Customer relationships		88,700		(53,273	)		35,427
Non-compete agreements		8,340		(4,370	)		3,970
Trademarks and trade names		800		(724	)		76
Acquired license rights		490		(490	)		—

Total	$	135,061	$	(76,882	)	$	58,179


	December 31, 2010
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Completed technology	$	36,731	$	(16,520	)	$	20,211
Customer relationships		88,700		(50,832	)		37,868
Non-compete agreements		8,340		(4,070	)		4,270
Trademarks and trade names		800		(693	)		107
Acquired license rights		490		(490	)		—

Total	$	135,061	$	(72,605	)	$	62,456

Commitments, Contingencies and Guarantees (Tables)

3 Months Ended

Mar. 31, 2011

Commitments, Contingencies and Guarantees

Minimum Aggregate Future Obligations Under Non-cancelable Leases


	Operating Leases
Remaining 2011	$	19,419
2012		22,699
2013		20,984
2014		20,104
2015		19,457
Thereafter		56,102

Total	$	158,765

Business Acquisition (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended
Business Acquisition (Details) - USD ($) $ in Thousands	Jun. 30, 2010	Mar. 31, 2011	Dec. 31, 2010
Business Acquisition [Line Items]
Cash payment for achievement of post closing milestones		$ 200
Contingent consideration		375	$ 990
Velocitude [Member]
Business Acquisition [Line Items]
Cost of acquisition of all assets and liabilities	$ 12,000
Liabilities for contingent consideration related to post closing milestones	$ 2,400
Business acquisition purchase price allocation for goodwill		11,600
Identifiable intangible assets		2,800
General and Administrative Expenses [Member]
Business Acquisition [Line Items]
Decrease in fair value of liability		$ 400

Marketable Securities and Investments (Narrative) (Details) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2011 USD ($)	Dec. 31, 2010 USD ($)
Marketable Securities and Investments
Cash flow analysis weighted average discount rate	2.96%	3.21%
Cash flow analysis expected term (in years)	5	5
Estimated aggregate loss related to impairment of auction rate securities included in accumulated other comprehensive income loss	$ 12.3	$ 13.5
Estimated aggregate loss related to impairment of auction rate securities	136.8
Auction rate securities classified as long term marketable securities on balance sheet	$ 124.5	$ 137.3

Marketable Securities and Investments (Marketable Securities) (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2011	Dec. 31, 2010
Statement [Line Items]
Available-for-sale securities, cost	$ 1,051,815	$ 1,024,385
Gross unrealized gains, trading securities	1,425	1,552
Gross unrealized losses	(13,177)	(14,401)
Aggregate Fair value	1,040,063	1,011,536
Short-term marketable securities	346,395	375,005
Long-term marketable securities	693,668	636,531
Certificates of Deposit [Member]
Statement [Line Items]
Available-for-sale securities, cost	96	96
Aggregate Fair value	96	96
Short-term marketable securities	51	51
Long-term marketable securities	45	45
Commercial Paper [Member]
Statement [Line Items]
Available-for-sale securities, cost	39,981	59,912
Gross unrealized gains, trading securities	13	34
Gross unrealized losses		(2)
Aggregate Fair value	39,994	59,944
Short-term marketable securities	39,994	59,944
U.S. Corporate Debt Securities [Member]
Statement [Line Items]
Available-for-sale securities, cost	665,041	651,855
Gross unrealized gains, trading securities	1,323	1,416
Gross unrealized losses	(639)	(736)
Aggregate Fair value	665,725	652,535
Short-term marketable securities	297,740	301,625
Long-term marketable securities	367,985	350,910
U.S. Government Agencies Obligations [Member]
Statement [Line Items]
Available-for-sale securities, cost	209,947	161,722
Gross unrealized gains, trading securities	89	102
Gross unrealized losses	(256)	(119)
Aggregate Fair value	209,780	161,705
Short-term marketable securities	8,610	13,385
Long-term marketable securities	201,170	148,320
Auction Rate Securities [Member]
Statement [Line Items]
Available-for-sale securities, cost	136,750	150,800
Gross unrealized losses	(12,282)	(13,544)
Aggregate Fair value	124,468	137,256
Long-term marketable securities	$ 124,468	$ 137,256

Marketable Securities and Investments (Schedule of Fair Value Measurement) (Details) - USD ($) $ in Thousands	Mar. 31, 2011	Dec. 31, 2010
Total Fair Value [Member]
Statement [Line Items]
Investments	$ 1,082,063	$ 1,067,184
Total Fair Value [Member] \| Money Market Funds [Member]
Statement [Line Items]
Investments	42,000	55,648
Total Fair Value [Member] \| Certificates of Deposit [Member]
Statement [Line Items]
Investments	96	96
Total Fair Value [Member] \| Commercial Paper [Member]
Statement [Line Items]
Investments	39,994	59,944
Total Fair Value [Member] \| U.S. Corporate Debt Securities [Member]
Statement [Line Items]
Investments	665,725	652,535
Total Fair Value [Member] \| U.S. Government Agencies Obligations [Member]
Statement [Line Items]
Investments	209,780	161,705
Total Fair Value [Member] \| Auction Rate Securities [Member]
Statement [Line Items]
Investments	124,468	137,256
Level 1 [Member]
Statement [Line Items]
Investments	42,096	55,744
Level 1 [Member] \| Money Market Funds [Member]
Statement [Line Items]
Investments	42,000	55,648
Level 1 [Member] \| Certificates of Deposit [Member]
Statement [Line Items]
Investments	96	96
Level 2 [Member]
Statement [Line Items]
Investments	915,499	874,184
Level 2 [Member] \| Commercial Paper [Member]
Statement [Line Items]
Investments	39,994	59,944
Level 2 [Member] \| U.S. Corporate Debt Securities [Member]
Statement [Line Items]
Investments	665,725	652,535
Level 2 [Member] \| U.S. Government Agencies Obligations [Member]
Statement [Line Items]
Investments	209,780	161,705
Level 3 [Member]
Statement [Line Items]
Investments	124,468	137,256
Level 3 [Member] \| Money Market Funds [Member]
Statement [Line Items]
Investments
Level 3 [Member] \| Certificates of Deposit [Member]
Statement [Line Items]
Investments
Level 3 [Member] \| Commercial Paper [Member]
Statement [Line Items]
Investments
Level 3 [Member] \| U.S. Corporate Debt Securities [Member]
Statement [Line Items]
Investments
Level 3 [Member] \| U.S. Government Agencies Obligations [Member]
Statement [Line Items]
Investments
Level 3 [Member] \| Auction Rate Securities [Member]
Statement [Line Items]
Investments	$ 124,468	$ 137,256

Marketable Securities and Investments (Schedule of Activity of Major Classes of Assets Measured at Fair Value Using Level 3 Inputs) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2011 USD ($)
Marketable Securities and Investments
Beginning balance	$ 137,256
Redemptions of securities	(14,050)
Unrealized gains included in accumulated other comprehensive income (loss), net	1,262
Ending balance	$ 124,468

Marketable Securities and Investments (Schedule of Contractual Maturities of Marketable Securities and Other Investment Related Assets) (Details) - USD ($) $ in Thousands	Mar. 31, 2011	Dec. 31, 2010
Marketable Securities and Investments
Available-for-sale securities due in 1 year or less	$ 346,394	$ 375,005
Available-for-sale securities due after 1 year through 5 years	569,201	499,275
Available-for-sale securities due after 5 years	124,468	137,256
Available-for-sale Securities, Total	$ 1,040,063	$ 1,011,536

Accounts Receivable (Schedule of Accounts Receivable) (Details) - USD ($) $ in Thousands	Mar. 31, 2011	Dec. 31, 2010
Accounts Receivable
Trade accounts receivable	$ 120,196	$ 116,212
Unbilled accounts	55,528	64,386
Gross accounts receivable	175,724	180,598
Allowance for doubtful accounts	(1,585)	(1,329)
Reserve for cash-basis customers	(4,483)	(3,903)
Total accounts receivable reserves	(6,068)	(5,232)
Accounts receivable, net	$ 169,656	$ 175,366

Accrued Expenses and Other Current Liabilities (Schedule of Accrued Expenses and Other Current Liabilities) (Details) - USD ($) $ in Thousands	Mar. 31, 2011	Dec. 31, 2010
Accrued Expenses and Other Current Liabilities
Payroll and other related benefits	$ 31,858	$ 51,591
Bandwidth and co-location	20,247	21,787
Property, use and other taxes	26,559	15,849
Professional service fees	3,532	2,678
Contingent consideration	375	990
Other	2,207	1,766
Total	$ 84,778	$ 94,661

Net Income per Share (Narrative) (Details) - shares shares in Millions	3 Months Ended
	Mar. 31, 2011	Mar. 31, 2010
Net Income per Share
Outstanding options, share based compensation	1.8	2.2
Restricted stock units	3.2	3.5

Net Income per Share (Schedule of Components Used in Diluted and Basic Income Per Common Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2011	Mar. 31, 2010
Net Income per Share
Net income	$ 50,617	$ 40,878
Add back of interest expense on 1% convertible senior notes (net of tax)		422
Numerator for diluted net income per common share	$ 50,617	$ 41,300
Denominator for basic net income per common share	186,849	171,101
Stock options	3,353	3,442
Effect of escrow contingencies		339
Restricted stock units and deferred stock units	1,181	1,202
Assumed conversion of 1% convertible senior notes		12,929
Denominator for diluted net income per common share	191,383	189,013
Basic net income per common share	$ 0.27	$ 0.24
Diluted net income per common share	$ 0.26	$ 0.22

Stockholders' Equity (Narrative) (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2011	Mar. 31, 2010	Apr. 19, 2011	Apr. 28, 2010	Apr. 29, 2009
Stockholders' Equity
Amount of common stock repurchases authorized			$ 150.0	$ 150.0	$ 100.0
Shares repurchased during period	1.0	0.8
Value of shares repurchased during period	$ 42.8	$ 21.9
Remaining amount available for future purchases of shares under approved repurchase program.	48.9
Value of prepaid stock repurchase	1.5
Additional stock-based compensation	$ 2.1	$ 1.9

Stockholders' Equity (Schedule of Stock Based Compensation Expense) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2011	Mar. 31, 2010
Statement [Line Items]
Total stock-based compensation before income taxes	$ 15,712	$ 19,108
Less: Income tax benefit	(5,062)	(7,728)
Total stock-based compensation, net of taxes	10,650	11,380
Provision for income taxes	(5,062)	(7,728)
Stock Based Options [Member]
Statement [Line Items]
Total stock-based compensation before income taxes	3,786	3,769
Restricted Stock Units [Member]
Statement [Line Items]
Total stock-based compensation before income taxes	12,120	15,684
1999 ESPP [Member]
Statement [Line Items]
Total stock-based compensation before income taxes	1,630	1,132
Capitalized Internal Use Software [Member]
Statement [Line Items]
Total stock-based compensation before income taxes	(1,824)	(1,477)
Cost of Revenue [Member]
Statement [Line Items]
Effect of stock-based compensation on income	555	701
Research and Development Expense [Member]
Statement [Line Items]
Effect of stock-based compensation on income	2,762	3,993
Sales and Marketing Expense [Member]
Statement [Line Items]
Effect of stock-based compensation on income	6,846	9,024
General and Administrative Expenses [Member]
Statement [Line Items]
Effect of stock-based compensation on income	$ 5,549	$ 5,390

Comprehensive Income (Schedule of Comprehensive Income) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2011	Mar. 31, 2010
Comprehensive Income
Net income	$ 50,617	$ 40,878
Foreign currency translation adjustments	2,606	(1,786)
Change in unrealized gain (loss) on investments, net	1,097	9
Income tax expense related to unrealized gain (loss) on investments, net	(420)	(3)
Other comprehensive income (loss)	3,283	(1,780)
Comprehensive income	$ 53,900	$ 39,098

Comprehensive Income (Schedule of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2011	Dec. 31, 2010
Comprehensive Income
Foreign currency translation adjustments	$ 4,709	$ 2,103
Net unrealized gain (loss) on investments, net of tax of $4,585 at March 31, 2011 and $5,005 at December 31, 2010	(7,167)	(7,844)
Total accumulated other comprehensive income (loss)	(2,458)	(5,741)
Tax portion of net unrealized (loss) gain on investments	$ 4,585	$ 5,005

Goodwill and Other Intangible Assets (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2011	Mar. 31, 2010
Goodwill and Other Intangible Assets
Amortization of other intangible assets	$ 4,277	$ 4,108
Future amortization expense recognized in remainder of current year	12,600
Future amortization expense 2012	15,900
Future amortization expense 2013	13,100
Future amortization expense 2014	7,600
Future amortization expense 2015	$ 5,100

Goodwill and Other Intangible Assets (Schedule of Other Intangible Assets) (Details) - USD ($) $ in Thousands	Mar. 31, 2011	Dec. 31, 2010
Statement [Line Items]
Gross carrying amount	$ 135,061	$ 135,061
Accumulated amortization	(76,882)	(72,605)
Net carrying amount	58,179	62,456
Completed Technologies [Member]
Statement [Line Items]
Gross carrying amount	36,731	36,731
Accumulated amortization	(18,025)	(16,520)
Net carrying amount	18,706	20,211
Customer Relationships [Member]
Statement [Line Items]
Gross carrying amount	88,700	88,700
Accumulated amortization	(53,273)	(50,832)
Net carrying amount	35,427	37,868
Non-Compete Agreements [Member]
Statement [Line Items]
Gross carrying amount	8,340	8,340
Accumulated amortization	(4,370)	(4,070)
Net carrying amount	3,970	4,270
Trademarks and Trade Names [Member]
Statement [Line Items]
Gross carrying amount	800	800
Accumulated amortization	(724)	(693)
Net carrying amount	76	107
Acquired License Rights [Member]
Statement [Line Items]
Gross carrying amount	490	490
Accumulated amortization	$ (490)	$ (490)

Concentration of Credit Risk (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2011	Dec. 31, 2010
Statement [Line Items]
Gross unrealized losses	$ 13,177	$ 14,401
Aggregate Fair value	$ 1,040,063	$ 1,011,536
Number of customers related to greater than 10% of accounts receivable	0	one
Auction Rate Securities [Member]
Statement [Line Items]
Gross unrealized losses	$ 12,282	$ 13,544
Aggregate Fair value	$ 124,468	$ 137,256

Segment and Geographic Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2011	Mar. 31, 2010	Dec. 31, 2010
Statement [Line Items]
Percentage of revenue from outside U.S.	30.00%	28.00%
Percentage of revenues related to Europe	18.00%	18.00%
Number of foreign countries greater than 10% revenue		0
Number of foreign countries for revenue allocation	0
Max amount percentage of revenue for single country		10.00%
Max amount percentage of revenue for single customer	10.00%
U.S. Property Plant And Equipment Net Of Accumulated Depreciation [Member]
Statement [Line Items]
Property and equipment, net	$ 179.3		$ 174.9
Foreign Property Plant And Equipment Net Of Accumulated Depreciation [Member]
Statement [Line Items]
Property and equipment, net	$ 87.7		$ 81.0

Income Taxes (Details)	3 Months Ended
Income Taxes (Details)	Mar. 31, 2011	Mar. 31, 2010
Income Taxes
Effective income tax rate	32.20%	40.40%

Commitments, Contingencies, and Guarantees (Narrative) (Details)	Mar. 31, 2011 USD ($)
Bandwidth and purchase order commitments
2011	$ 63,900,000
2012	14,800,000
2013	1,800,000
2014	45,000
2015	33,000
Aggregate purchase commitments for current year	$ 81,600,000

Commitments, Contingencies, and Guarantees (Minimum Aggregate Future Obligations Under Non-cancelable Leases) (Details) $ in Thousands	Mar. 31, 2011 USD ($)
Commitments, Contingencies and Guarantees
Remaining 2011	$ 19,419
2012	22,699
2013	20,984
2014	20,104
2015	19,457
Thereafter	56,102
Total	$ 158,765

Subsequent Event (Details) - USD ($) $ in Millions	Apr. 19, 2011	Apr. 28, 2010	Apr. 29, 2009
Subsequent Event
Amount of common stock repurchases authorized	$ 150.0	$ 150.0	$ 100.0