Cover Page
Cover Page | 12 Months Ended |
Dec. 31, 2020shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Entity Registrant Name | SOHU.COM LIMITED |
Entity Central Index Key | 0001734107 |
Document Period End Date | Dec. 31, 2020 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Accelerated Filer |
Entity Emerging Growth Company | false |
Entity Common Stock, Shares Outstanding | 39,306,323 |
Entity Shell Company | false |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | FY |
Document Annual Report | true |
Document Transition Report | false |
Entity Interactive Data Current | Yes |
Document Accounting Standard | U.S. GAAP |
Document Shell Company Report | false |
Entity File Number | 001-38511 |
Entity Incorporation, State or Country Code | E9 |
Document Registration Statement | false |
Entity Address, Address Line One | Level 18, Sohu.com Media Plaza Block 3, No. 2 Kexueyuan South Road, Haidian District |
Entity Address, City or Town | Beijing |
Entity Address, Postal Zip Code | 100190 |
Entity Address, Country | CN |
ICFR Auditor Attestation Flag | true |
Business Contact [Member] | |
Document Information [Line Items] | |
Contact Personnel Name | Joanna Lv |
Entity Address, Address Line One | Level 18, Sohu.com Media Plaza Block 3, No. 2 Kexueyuan South Road, Haidian District |
Entity Address, City or Town | Beijing |
Entity Address, Postal Zip Code | 100190 |
Entity Address, Country | CN |
Country Region | 86 |
City Area Code | 10 |
Local Phone Number | 6272 6666 |
Contact Personnel Email Address | IR@sohu-inc.com |
American Depositary Shares [Member] | |
Document Information [Line Items] | |
Title of 12(b) Security | American Depositary Shares, each representing one ordinary share, par value US$0.001 per share |
Trading Symbol | SOHU |
Security Exchange Name | NASDAQ |
Common Stock [Member] | |
Document Information [Line Items] | |
Title of 12(b) Security | Ordinary shares |
No Trading Symbol Flag | true |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 217,057 | $ 162,662 |
Restricted cash | 330,791 | 3,290 |
Short-term investments | 100,745 | 321,483 |
Accounts receivable, net (including $2,006 and $2,096, respectively, due from a related party as of December 31, 2019 and 2020) | 87,521 | 126,081 |
Prepaid and other current assets (including $33,329 and $34,123, respectively, due from a related party as of December 31, 2019 and 2020) | 106,590 | 97,531 |
Assets held for sale (current) | 1,412,168 | 1,304,621 |
Total current assets | 2,254,872 | 2,015,668 |
Fixed assets, net | 337,674 | 337,682 |
Goodwill | 48,434 | 47,390 |
Long-term investments, net | 31,634 | 30,987 |
Intangible assets, net | 4,842 | 9,922 |
Restricted time deposits | 101,519 | 240 |
Prepaid non-current assets | 1,006 | 1,882 |
Other assets | 42,140 | 30,413 |
Assets held for sale (non-current) | 0 | 217,680 |
Total assets | 2,822,121 | 2,691,864 |
Current liabilities: | ||
Accounts payable (including accounts payable of consolidated variable interest entities ("VIEs") without recourse to the Company of $8,595 and $11,145, respectively, as of December 31, 2019 and 2020) | 107,611 | 121,318 |
Accrued liabilities (including accrued liabilities of consolidated VIEs without recourse to the Company of $50,913 and $46,888, respectively, as of December 31, 2019 and 2020) | 157,513 | 157,861 |
Receipts in advance and deferred revenue (including receipts in advance and deferred revenue of consolidated VIEs without recourse to the Company of $38,754 and $43,076, respectively, as of December 31, 2019 and 2020) | 52,055 | 50,321 |
Accrued salary and benefits (including accrued salary and benefits of consolidated VIEs without recourse to the Company of $6,420 and $7,698, respectively, as of December 31, 2019 and 2020) | 100,826 | 86,666 |
Tax payables (including tax payables of consolidated VIEs without recourse to the Company of $3,666 and $4,422, respectively, as of December 31, 2019 and 2020) | 28,006 | 25,997 |
Short-term bank loans (including short-term bank loans of consolidated VIEs without recourse to the Company of nil as of both December 31, 2019 and 2020) | 315,550 | 114,528 |
Other short-term liabilities (including other short-term liabilities of consolidated VIEs without recourse to the Company of $21,598 and $25,028, respectively, as of December 31, 2019 and 2020, and due to a related party of $33,536 and $34,123, respectively, as of December 31, 2019 and 2020.) | 106,171 | 91,065 |
Liabilities held for sale (current) (including liabilities held for sale (current) of consolidated VIEs without recourse to the Company of $138,303 and $187,712, respectively, as of December 31, 2019 and 2020) | 416,998 | 453,111 |
Total current liabilities | 1,284,730 | 1,100,867 |
Long-term accounts payable (including long-term accounts payable of consolidated VIEs without recourse to the Company of nil as of both December 31, 2019 and 2020) | 3,202 | 767 |
Long-term bank loans (including long-term bank loans of consolidated VIEs without recourse to the Company of nil as of both December 31, 2019 and 2020) | 92,000 | 0 |
Long-term tax liabilities (including long-term tax liabilities of consolidated VIEs without recourse to the Company of $13,220 and $14,134, respectively, as of December 31, 2019 and 2020) | 188,760 | 181,640 |
Deferred tax liabilities (including deferred tax liabilities of consolidated VIEs without recourse to the Company of $1,998 and $2,014, respectively, as of December 31, 2019 and 2020) | 217,593 | 95,904 |
Other long-term liabilities (including other long-term liabilities of consolidated VIEs without recourse to the Company of nil and $286, respectively, as of December 31, 2019 and 2020) | 3,855 | 83 |
Liabilities held for sale (non-current) (including liabilities held for sale (non-current) of consolidated VIEs without recourse to the Company of $1,130 and nil, respectively, as of December 31, 2019 and 2020) | 0 | 5,686 |
Total long-term liabilities | 505,410 | 284,080 |
Total liabilities | 1,790,140 | 1,384,947 |
Commitments and contingencies | ||
Sohu.com Limited shareholders' equity: | ||
Ordinary Shares: $0.001 par value per share (75,400 shares authorized; 39,269 shares and 39,306 shares, respectively, issued and outstanding as of December 31, 2019 and 2020) | 39 | 39 |
Additional paid-in capital | 952,733 | 948,201 |
Accumulated other comprehensive income | 29,189 | 24,351 |
Accumulated deficit | (634,592) | (544,137) |
Total Sohu.com Limited shareholders' equity | 347,369 | 428,454 |
Noncontrolling interest | 684,612 | 878,463 |
Total shareholders' equity | 1,031,981 | 1,306,917 |
Total liabilities and shareholders' equity | $ 2,822,121 | $ 2,691,864 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Accounts receivable due from a related party | $ 2,096,000 | $ 2,006,000 |
Prepaid and other current assets due from a related party | 34,123,000 | 33,329,000 |
Accounts payable | 107,611,000 | 121,318,000 |
Accrued liabilities | 157,513,000 | 157,861,000 |
Receipts in advance and deferred revenue | 52,055,000 | 50,321,000 |
Accrued salary and benefits | 100,826,000 | 86,666,000 |
Tax payables | 28,006,000 | 25,997,000 |
Short-term bank loans | 315,550,000 | 114,528,000 |
Other short-term liabilities | 106,171,000 | 91,065,000 |
Due to a related party | 34,123,000 | 33,536,000 |
Liabilities held for sale (current) | 416,998,000 | 453,111,000 |
Long-term accounts payable | 3,202,000 | 767,000 |
Long-term bank loans | 92,000,000 | 0 |
Long-term tax liabilities | 188,760,000 | 181,640,000 |
Deferred tax liabilities | 217,593,000 | 95,904,000 |
Other long-term liabilities | 3,855,000 | 83,000 |
Liabilities held for sale (non-current) | $ 0 | $ 5,686,000 |
Ordinary Share, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Ordinary Share, shares authorized (in shares) | 75,400 | 75,400 |
Ordinary Share, shares issued (in shares) | 39,306 | 39,269 |
Ordinary Share, shares outstanding (in shares) | 39,306 | 39,269 |
Variable Interest Entity Primary Beneficiary [Member] | ||
Accounts payable | $ 11,145,000 | $ 8,595,000 |
Accrued liabilities | 46,888,000 | 50,913,000 |
Receipts in advance and deferred revenue | 43,076,000 | 38,754,000 |
Accrued salary and benefits | 7,698,000 | 6,420,000 |
Tax payables | 4,422,000 | 3,666,000 |
Short-term bank loans | 0 | 0 |
Other short-term liabilities | 25,028,000 | 21,598,000 |
Liabilities held for sale (current) | 187,712,000 | 138,303,000 |
Long-term accounts payable | 0 | 0 |
Long-term bank loans | 0 | 0 |
Long-term tax liabilities | 14,134,000 | 13,220,000 |
Deferred tax liabilities | 2,014,000 | 1,998,000 |
Other long-term liabilities | 286,000 | 0 |
Liabilities held for sale (non-current) | $ 0 | $ 1,130,000 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income /(Loss) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues: | |||
Revenues | $ 749,890 | $ 673,803 | $ 690,175 |
Cost of revenues: | |||
Cost of revenues | 217,437 | 243,647 | 289,016 |
Gross profit | 532,453 | 430,156 | 401,159 |
Operating expenses: | |||
Product development | 241,941 | 234,852 | 246,155 |
Sales and marketing | 159,787 | 204,665 | 236,898 |
General and administrative | 57,354 | 54,591 | 70,129 |
Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions | 0 | 7,245 | 16,369 |
Total operating expenses | 459,082 | 501,353 | 569,551 |
Operating profit/(loss) | 73,371 | (71,197) | (168,392) |
Other income, net | 25,993 | 7,963 | 30,701 |
Interest income (including interest income generated from a related party of $1,051, $1,015 and $810, respectively, for 2018, 2019 and 2020) | 7,369 | 6,103 | 16,036 |
Interest expense (including interest expense generated from a related party of $519, $818, and $588, respectively, for 2018, 2019 and 2020) | (6,234) | (14,370) | (17,538) |
Exchange difference | (3,800) | 1,430 | 3,301 |
Income /(loss) before income tax expense /(benefit) | 96,699 | (70,071) | (135,892) |
Income tax expense /(benefit) | 133,226 | 28,428 | (14,586) |
Net loss from continuing operations | (36,527) | (98,499) | (121,306) |
Net income/(loss) from discontinued operations, net of tax | (91,793) | 55,108 | 53,947 |
Net loss | (128,320) | (43,391) | (67,359) |
Less: Net income from continuing operations attributable to the noncontrolling interest shareholders | 18,448 | 58,223 | 41,732 |
Less: Net income/(loss) from discontinued operations attributable to the noncontrolling interest shareholders | (60,656) | 47,722 | 50,991 |
Net loss from continuing operations attributable to Sohu.com Limited | (54,975) | (156,722) | (163,038) |
Net income/(loss) from discontinued operations attributable to Sohu.com Limited | (31,137) | 7,386 | 2,956 |
Net loss attributable to Sohu.com Limited | (86,112) | (149,336) | (160,082) |
Net loss | (128,320) | (43,391) | (67,359) |
Foreign currency translation adjustments | 11,972 | (13,069) | (37,339) |
Other comprehensive income/(loss) | 11,972 | (13,069) | (37,339) |
Comprehensive loss | (116,348) | (56,460) | (104,698) |
Less: Comprehensive income/(loss) attributable to noncontrolling interest shareholders | (35,074) | 93,244 | 61,376 |
Comprehensive loss attributable to Sohu.com Limited | $ (81,274) | $ (149,704) | $ (166,074) |
Basic net (loss)/income per share attributable to Sohu.com Limited [Abstract] | |||
Continuing operations | $ (1.39) | $ (3.99) | $ (4.18) |
Discontinued operations | (0.79) | 0.19 | 0.07 |
Net loss per share | $ (2.18) | $ (3.80) | $ (4.11) |
Shares used in computing basic net (loss)/income per share attributable to Sohu.com Limited | 39,452 | 39,249 | 38,959 |
Diluted net (loss)/income per share attributable to Sohu.com Limited [Abstract] | |||
Continuing operations diluted | $ (1.40) | $ (4.01) | $ (4.20) |
Discontinued operations, diluted | (0.79) | 0.18 | 0.07 |
Net loss per share | $ (2.19) | $ (3.83) | $ (4.13) |
Shares used in computing diluted net (loss)/income per share attributable to Sohu.com Limited | 39,452 | 39,249 | 38,959 |
Brand advertising [Member] | |||
Revenues: | |||
Revenues | $ 146,526 | $ 175,056 | $ 232,339 |
Cost of revenues: | |||
Cost of revenues | 105,604 | 126,406 | 184,473 |
Online games [Member] | |||
Revenues: | |||
Revenues | 536,684 | 440,902 | 389,788 |
Cost of revenues: | |||
Cost of revenues | 91,526 | 88,992 | 60,981 |
Others [Member] | |||
Revenues: | |||
Revenues | 66,680 | 57,845 | 68,048 |
Cost of revenues: | |||
Cost of revenues | $ 20,307 | $ 28,249 | $ 43,562 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income /(Loss) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Interest income from a related party | $ 810 | $ 1,015 | $ 1,051 |
Interest expense from a related party | 588 | 818 | 519 |
Brand advertising [Member] | |||
Revenues from a related party | 227 | 174 | 224 |
Others [Member] | |||
Revenues from a related party | 3,752 | 3,796 | 2,187 |
Cost of revenue from a related party | $ 0 | $ 57 | $ 237 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Cash flows from operating activities: | ||||
Net loss | $ (128,320) | $ (43,391) | $ (67,359) | |
Net income/(loss) from discontinued operations, net of tax | (91,793) | 55,108 | 53,947 | |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||||
Amortization of intangible assets and purchased video content in prepaid expense | 14,386 | 38,842 | 58,064 | |
Depreciation | 25,466 | 28,225 | 32,109 | |
Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions | 0 | 7,245 | 16,369 | |
Share-based compensation expense | 14,480 | 2,350 | (12,108) | |
Impairment of long-term investment | [1] | 384 | 23,154 | 0 |
Impairment of other intangible assets and other assets | 4,156 | 5,903 | 10,797 | |
Research and development expense allocation | 0 | 0 | (671) | |
Investment loss /(gain) from equity investments | 465 | (2,960) | 3,968 | |
Allowance for credit losses | 4,884 | 4,725 | 5,449 | |
Gain from sale of equity investments | 0 | 0 | (134) | |
Change in fair value of financial instruments | 1,784 | (1,185) | 11,201 | |
Others | (390) | (786) | 152 | |
Changes in assets and liabilities: | ||||
Accounts receivables | 10,998 | (13,152) | 39,979 | |
Prepaid and other assets | (10,276) | 5,574 | 5,758 | |
Accounts payable | (3,358) | (160) | (1,628) | |
Receipts in advance and deferred revenue | (96) | (3,689) | (524) | |
Tax liabilities | 8,683 | (2,253) | (79,238) | |
Deferred tax | 102,626 | 11,202 | 43,194 | |
Accrued liabilities and other short-term liabilities | (3,252) | (22,803) | (34,593) | |
Net cash provided by/(used in) continuing operating activities | 163,394 | (18,267) | (52,143) | |
Net cash provided by/(used in) discontinued operating activities | (68,187) | 228,857 | 136,168 | |
Net cash provided by operating activities | 95,207 | 210,590 | 84,025 | |
Cash flows from investing activities: | ||||
Purchase of fixed assets | (6,339) | (15,081) | (25,217) | |
Purchase of intangible and other assets | (27,441) | (50,583) | (96,317) | |
Purchase of long-term investments | (114) | (12,290) | (727) | |
Return of funds from a third party | 0 | 0 | 5,264 | |
Proceeds from financial instruments | 1,423,600 | 883,991 | 1,783,772 | |
Purchase of financial instruments | (1,206,777) | (1,022,049) | (1,499,491) | |
Proceeds received from sale of equity investment | 0 | 0 | 12,073 | |
Other cash proceeds related to investing activities | 1,464 | 1,198 | 789 | |
Net cash provided by/(used in) continuing investing activities | 184,393 | (214,814) | 180,146 | |
Net cash provided by/(used in) discontinued investing activities | 235,374 | (228,406) | (639,390) | |
Net cash provided by/(used in) investing activities | 419,767 | (443,220) | (459,244) | |
Cash flows from financing activities: | ||||
Proceeds from long-term bank loans | 92,000 | 0 | 251,738 | |
Proceeds from short-term bank loans | 315,550 | 58,035 | 74,056 | |
Exercise of share-based awards in subsidiaries | 0 | 7 | 11 | |
Repayments of loans from banks | (113,952) | (371,973) | (67,011) | |
Acquisition of noncontrolling interests in Changyou Merger | (191,803) | 0 | 0 | |
Distribution of Changyou dividend to noncontrolling interest shareholders | 0 | (165,817) | (162,461) | |
Net cash provided by/(used in) continuing financing activities | 101,795 | (479,748) | 96,333 | |
Net cash provided by/(used in) discontinued financing activities | (8,209) | (33,415) | 1 | |
Net cash provided by/(used in) financing activities | 93,586 | (513,163) | 96,334 | |
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted time deposits | 36,984 | (10,047) | (19,544) | |
Net increase /(decrease) in cash, cash equivalents, restricted cash, and restricted time deposits | 645,544 | (755,840) | (298,429) | |
Cash, cash equivalents, restricted cash and restricted time deposits at beginning of year | 314,026 | 1,069,866 | 1,368,295 | |
Cash, cash equivalents, restricted cash and restricted time deposits at end of year | 959,570 | 314,026 | 1,069,866 | |
Less: Cash, cash equivalents, restricted cash and restricted time deposits of discontinued operations, end of year | 310,203 | 147,834 | 187,867 | |
Cash, cash equivalents, restricted cash and restricted time deposits of continuing operations, end of year | 649,367 | 166,192 | 881,999 | |
Supplemental cash flow disclosures from continuing operations: | ||||
Cash paid for income taxes | (35,705) | (27,781) | (38,737) | |
Cash paid for interest expense | (3,778) | (12,947) | (12,563) | |
Barter transactions | 4,039 | 4,357 | 6,587 | |
Supplemental schedule of non-cash investing activity from continuing operations: | ||||
Changes in payables and other liabilities related to fixed assets and intangible assets additions | $ (20,964) | $ (24,568) | $ (31,406) | |
[1] | In the fourth quarter of 2019, the Sohu Group recognized impairment losses of $23.2 million for equity investments. |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - USD ($) $ in Thousands | Total | Ordinary Shares [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income [Member] | Accumulated Deficit [Member] | Noncontrolling Interest [Member] |
Beginning balance at Dec. 31, 2017 | $ 1,817,237 | $ 45 | $ 1,098,455 | $ (143,858) | $ 38,212 | $ (242,220) | $ 1,066,603 |
Share-based compensation expense | 2,095 | 0 | (5,559) | 0 | 0 | 0 | 7,654 |
Settlement/Adjustment of share-based awards in subsidiary | 1,811 | 0 | 9,839 | 0 | 0 | 0 | (8,028) |
Distribution of Changyou dividend to noncontrolling interest shareholders | (162,461) | 0 | 0 | 0 | 0 | 0 | (162,461) |
Liquidation of Sohu.com Inc. | 0 | (6) | (143,852) | 143,858 | 0 | 0 | 0 |
Net income /(loss) attributable to Sohu.com Limited and noncontrolling interest shareholders | (67,359) | 0 | 0 | 0 | 0 | (160,082) | 92,723 |
Disposal of a majority-owned subsidiary | (2,113) | 0 | 0 | 0 | 0 | 0 | (2,113) |
Accumulated other comprehensive loss | (37,339) | 0 | 0 | 0 | (5,992) | 0 | (31,347) |
Others | 1,080 | 0 | 0 | 0 | 0 | 0 | 1,080 |
Ending balance at Dec. 31, 2018 | 1,552,951 | 39 | 958,883 | 0 | 24,719 | (394,801) | 964,111 |
Impact of adoption of new accounting standard | 0 | 0 | 0 | 0 | (7,501) | 7,501 | 0 |
Share-based compensation expense | 18,251 | 0 | 1,045 | 0 | 0 | 0 | 17,206 |
Settlement/Adjustment of share-based awards in subsidiary | 698 | 0 | 2,555 | 0 | 0 | 0 | (1,857) |
Distribution of Changyou dividend to noncontrolling interest shareholders | (166,507) | 0 | 0 | 0 | 0 | 0 | (166,507) |
Net income /(loss) attributable to Sohu.com Limited and noncontrolling interest shareholders | (43,391) | 0 | 0 | 0 | 0 | (149,336) | 105,945 |
Repurchase of Sogou Class A Ordinary Shares from noncontrolling shareholders | (42,016) | 0 | (14,282) | 0 | 0 | 0 | (27,734) |
Accumulated other comprehensive loss | (13,069) | 0 | 0 | 0 | (368) | 0 | (12,701) |
Ending balance at Dec. 31, 2019 | 1,306,917 | 39 | 948,201 | 0 | 24,351 | (544,137) | 878,463 |
Share-based compensation expense | 18,115 | 0 | 1,935 | 0 | 0 | 0 | 16,180 |
Settlement/Adjustment of share-based awards in subsidiary | 1,862 | 0 | 2,476 | 0 | 0 | 0 | (614) |
Modification of share-based awards in Changyou | (10,506) | 0 | 0 | 0 | 0 | 0 | (10,506) |
Net income /(loss) attributable to Sohu.com Limited and noncontrolling interest shareholders | (128,320) | 0 | 0 | 0 | 0 | (86,112) | (42,208) |
Repurchase of Sogou Class A Ordinary Shares from noncontrolling shareholders | (8,301) | 0 | (2,847) | 0 | 0 | 0 | (5,454) |
Acquisition of noncontrolling interests in Changyou Merger | (191,803) | 0 | 2,937 | 0 | (38,059) | 0 | (156,681) |
Acquisition of a partially-held subsidiary | 642 | 0 | 31 | 0 | 0 | 0 | 611 |
Accumulated other comprehensive loss | 50,031 | 0 | 0 | 0 | 42,897 | 0 | 7,134 |
Ending balance at Dec. 31, 2020 | 1,031,981 | 39 | 952,733 | 0 | 29,189 | (634,592) | 684,612 |
Impact of adoption of new accounting standard | $ (6,656) | $ 0 | $ 0 | $ 0 | $ 0 | $ (4,343) | $ (2,313) |
The Company and Nature of Opera
The Company and Nature of Operations | 12 Months Ended |
Dec. 31, 2020 | |
THE COMPANY AND NATURE OF OPERATIONS [Abstract] | |
The Company and Nature of Operations | 1. THE COMPANY AND NATURE OF OPERATIONS Nature of Operations and Organization Sohu.com Limited was incorporated in the Cayman Islands on May 30, 2003 as a direct wholly-owned subsidiary of Sohu.com Inc., which was incorporated in Delaware in August 1996 and was the ultimate parent company of the Sohu Group (as defined below) until its dissolution on May 31, 2018. On July 17, 2000, Sohu.com Inc. completed an initial public offering (“IPO”) of shares of its common stock on NASDAQ trading under the symbol “SOHU.” On May 31, 2018, pursuant to a proposal for the dissolution of Sohu.com Inc. and adoption of a plan of complete liquidation and dissolution of Sohu.com Inc. that was approved by the stockholders of Sohu.com Inc. at a special meeting of stockholders held on May 29, 2018, Sohu.com Inc. was dissolved, all outstanding shares of the common stock of Sohu.com Inc. were delisted and cancelled, and American Depositary Shares (“ADSs”) representing all outstanding ordinary shares of Sohu.com Limited were distributed on a share-for-share top-tier, The Sohu Group is a leading Chinese online media, game and search service group providing comprehensive online products and services on PCs and mobile devices in China. The Sohu Group, which consists of “Sohu,” which when referred to in this report, unless the context requires otherwise, excludes the businesses and the corresponding subsidiaries and VIEs of Changyou.com Limited (“Changyou”) and Sogou Inc. (“Sogou”), Changyou and Sogou. Changyou and Sogou are the indirect controlled subsidiaries of the Company. Sohu is a leading Chinese language online media content and services provider; Changyou is a leading online game developer and operator in China that engages primarily in the development, operation and licensing of online games for PCs and mobile devices; and Sogou is an innovator in search and a leader in China’s Internet industry. Most of the Sohu Group’s operations are conducted through the Group’s China-based subsidiaries and VIEs. Changyou completed its IPO on NASDAQ in April 2009, trading under the symbol “CYOU.” On April 17, 2020, Sohu acquired all outstanding shares of Changyou that it did not already beneficially own pursuant to the merger (the “Changyou Merger”) of an indirect newly-formed wholly-owned subsidiary (“Changyou Merger Co.”) with and into Changyou, with Changyou being the company surviving the Changyou Merger, and resulting in Changyou being delisted from NASDAQ and continuing as a privately-held company wholly-owned directly and indirectly by Sohu. Because prior to the completion of Changyou Merger, Sohu.com Limited, or its predecessor Sohu.com Inc., was the controlling shareholder of Changyou, Sohu.com Limited consolidated Changyou in its consolidated financial statements, and recognized noncontrolling interests reflecting economic interests in Changyou held by Changyou’s former shareholders or beneficial owners other than Sohu.com Limited. As a result of the completion of Sohu’s acquisition of the noncontrolling interests in Changyou on April 17, 2020, Sohu.com Limited holds 100% of the combined total of Changyou’s outstanding ordinary shares and 100% of the total voting power in Changyou and consolidates Changyou in its consolidated financial statements with no noncontrolling interests being recognized except for noncontrolling interests reflecting economic interests in Changyou’s subsidiaries. Sogou completed its IPO on the New York Stock Exchange (the “NYSE”) in November 2017 trading under the symbol “SOGO.” On September 29, 2020, Sogou entered into a definitive agreement and plan of merger (as amended on December 1, 2020, the “Sogou Merger Agreement”) with THL A21 Limited (“THL”), TitanSupernova Limited (“Tencent Merger Sub”), and Tencent Mobility Limited (“TML”), each of which is a direct or indirect wholly-owned subsidiary of Tencent Holdings Limited (“Tencent”), which contemplates that Tencent Merger Sub will be merged with and into Sogou in an all-cash As Sohu.com Limited, or its predecessor Sohu.com Inc., is the controlling shareholder of Sogou, Sohu.com Limited consolidates Sogou in its consolidated financial statements as discontinued operations, and recognizes noncontrolling interests reflecting economic interests in Sogou held by shareholders or beneficial owners other than Sohu.com Limited (the “Sogou noncontrolling shareholders”). The consolidated financial statements of Sohu.com Limited represent the continuation of the financial statements of Sohu.com Inc., reflecting the assets and liabilities, accumulated deficit and other equity balances of Sohu.com Inc. immediately before Sohu.com Inc.’s dissolution on May 31, 2018. Through the operation of Sohu and Changyou, the Sohu Group generates brand advertising revenues, online game revenues, and other revenues. Brand advertising and online games are the Sohu Group’s core businesses. The Sohu Group also generates search and search-related advertising revenues through the discontinued operations of Sogou. The principal subsidiaries and VIEs through which the Group conducts its business operations as of December 31, 2020 are described below: Name of Entity Date of Place of Effective Subsidiaries: For Sohu: Sohu.com (Hong Kong) Limited (“Sohu HK”) Incorporated on April 19, 2000 Hong Kong 100 % Beijing Sohu New Era Information Technology Co., Ltd. (“Sohu Era”) Incorporated on July 25, 2003 People’s Republic of China 100 % Sohu.com (Search) Limited (“Sohu Search”) Incorporated on October 28, 2005 Cayman Islands 100 % Beijing Sohu New Media Information Technology Co., Ltd. (“Sohu Media”) Incorporated on June 19, 2006 People’s Republic of China 100 % Sohu.com (Game) Limited (“Sohu Game”) Incorporated on February 11, 2008 Cayman Islands 100 % Beijing Sohu New Momentum Information Technology Co., Ltd. (“Sohu New Momentum”) Incorporated on May 31, 2010 People’s Republic of China 100 % Fox Video Limited (“Sohu Video”) Incorporated on July 26, 2011 Cayman Islands 100 % Fox Information Technology (Tianjin) Limited (“Video Tianjin”) Incorporated on November 17, 2011 People’s Republic of China 100 % Sohu Focus Limited (“Sohu Focus”) Incorporated on July 11, 2013 Cayman Islands 100 % For Changyou: Changyou.com Limited (“Changyou”) Incorporated on August 6, 2007 Cayman Islands 100 % Changyou.com (HK) Limited (“Changyou HK”) Incorporated on August 13, 2007 Hong Kong 100 % Beijing AmazGame Age Internet Technology Co., Ltd. (“AmazGame”) Incorporated on September 26, 2007 People’s Republic of China 100 % Beijing Changyou Gamespace Software Technology Co., Ltd. (“Gamespace”) Incorporated on October 29, 2009 People’s Republic of China 100 % Changyou.com Korea LLC (“Changyou Korea”) Incorporated on January 7, 2010 Korea 100 % Beijing Changyou Chuangxiang Software Technology Co., Ltd. (“Changyou Chuangxiang”) Incorporated on November 8, 2016 People’s Republic of China 100 % For Sogou: Sogou Inc. (“Sogou”) Incorporated on December 23, 2005 Cayman Islands 34 % Sogou (BVI) Limited (“Sogou BVI”) Incorporated on December 23, 2005 British Virgin Islands 34 % Beijing Sogou Technology Development Co., Ltd. (“Sogou Technology”) Incorporated on February 8, 2006 People’s Republic of China 34 % Sogou Hong Kong Limited (“Sogou HK”) Incorporated on December 12, 2007 Hong Kong 34 % Vast Creation Advertising Media Services Limited (“Vast Creation”) Acquired on November 30, 2011 Hong Kong 34 % Beijing Sogou Network Technology Co., Ltd (“Sogou Network”) Incorporated on March 29, 2012 People’s Republic of China 34 % Sogou (Shantou) Internet Microcredit Co., Ltd. (“Sogou Microcredit”) Incorporated on November 22, 2017 People’s Republic of China 34 % Sogou (Hangzhou) Intelligent Technology Co., Ltd. (“Sogou Hangzhou”) Incorporated on April 28, 2018 People’s Republic of China 34 % Shantou Ying Zhong Bai Fu Financing Guarantee Co., Ltd. (“Sogou Financing Guarantee”) Incorporated on July 24, 2019 People’s Republic of China 34 % VIEs: For Sohu: Beijing Century High-Tech Investment Co., Ltd. (“High Century”) Incorporated on December 28, 2001 People’s Republic of China 100 % Beijing Heng Da Yi Tong Information Technology Co., Ltd. (“Heng Da Yi Tong”) Incorporated on February 7, 2002 People’s Republic of China 100 % Beijing Sohu Internet Information Service Co., Ltd. (“Sohu Internet”) Incorporated on July 31, 2003 People’s Republic of China 100 % Beijing Sohu Donglin Advertising Co., Ltd. (“Donglin”) Incorporated on May 17, 2010 People’s Republic of China 100 % Tianjin Jinhu Culture Development Co., Ltd (“Tianjin Jinhu”) Incorporated on November 24, 2011 People’s Republic of China 100 % Beijing Focus Interactive Information Service Co., Ltd. (“Focus Interactive”) Incorporated on July 15, 2014 People’s Republic of China 100 % For Changyou: Beijing Gamease Age Digital Technology Co., Ltd. (“Gamease”) Incorporated on August 23, 2007 People’s Republic of China 100 % Shanghai ICE Information Technology Co., Ltd. (“Shanghai ICE”) Acquired on May 28, 2010 People’s Republic of China 100 % Beijing Guanyou Gamespace Digital Technology Co., Ltd. (“Guanyou Gamespace”) Incorporated on August 5, 2010 People’s Republic of China 100 % For Sogou: Beijing Sogou Information Service Co., Ltd.(“Sogou Information”) Incorporated on December 28, 2005 People’s Republic of China 34 % Chengdu Easypay Technology Co., Ltd. (“Chengdu Easypay”) Incorporated on January 19, 2015 People’s Republic of China 34 % Sohu’s Business Brand Advertising Busines s Sohu’s main business is the brand advertising business, which offers to users, over Sohu’s matrices of Chinese language online media, various content, products and services across multiple Internet-enabled devices such as mobile phones, tablets and PCs. The majority of Sohu’s products and services are provided in China through Sohu Media Portal, Sohu Video and Focus. • Sohu Media Portal. • Sohu Video. • Focus. Revenues generated by the brand advertising business are classified as brand advertising revenues in the Sohu Group’s consolidated statements of comprehensive income. Other Sohu Business Sohu also engages in the other business, which consists primarily of paid subscription services, interactive broadcasting services, and sub-licensing Changyou’s Business Changyou’s business lines consist of the online game business and the platform channel business, which consists primarily of online advertising and mobile game distribution services. Before ceasing its operations in August 2019, Changyou also operated a cinema advertising business, which consisted primarily of the acquisition from operators of movie theaters, and the sale to advertisers, of pre-film Online Game Business Changyou’s online game business offers PC games and mobile games to game players. All of Changyou’s games are operated under the item-based revenue model, meaning that game players can play the games for free, but may choose to pay for virtual items, which are non-physical PC Games PC games are interactive online games that are accessed and played simultaneously by hundreds of thousands of game players through personal computers and require that local client-end client-end Mobile Games Mobile games are played on mobile devices and require an Internet connection. In the second quarter of 2017, Changyou launched a mobile game, Legacy TLBB (“Legacy TLBB Mobile”), which is operated by Tencent under license from Changyou. For the year ended December 31, 2020, revenues from Legacy TLBB Mobile were $88.3 million, accounting for approximately 16% of Changyou’s online game revenues, approximately 16% of Changyou’s total revenues, and approximately 12% of the Sohu Group’s total revenues. Platform Channel Business Changyou’s platform channel business consists primarily of the operation of the 17173.com Website. Prior to RaidCall’s ceasing operations in March 2019 and the sale of MoboTap Inc. (“MoboTap”) in March 2018, Changyou’s platform channel business also included RaidCall and MoboTap. 17173.com Website The 17173.com Website provides news, electronic forums, online videos, and other online game information services to game players, as well as mobile game distribution services. Changyou generates online advertising revenues from providing advertising services to third-party advertisers on the 17173.com Website and online game revenues from mobile game distribution services. RaidCall Prior to ceasing operations in March 2019, RaidCall provided online music and entertainment services, primarily in Taiwan. IVAS revenues that were generated by RaidCall are classified as other revenues in the Sohu Group’s consolidated statements of comprehensive income. Cinema Advertising Business (Discontinued) Prior to ceasing its operations in August 2019, Changyou also operated a cinema advertising business, which consisted primarily of the acquisition from operators of movie theaters, and the sale to advertisers, of pre-film Changyou’s Share Structure As a result of the completion of the Changyou Merger on April 17, 2020, Sohu held, and continues to hold, 100% of the combined total of Changyou’s outstanding ordinary shares and 100% of the total voting power in Changyou. Sohu consolidates Changyou in its consolidated financial statements and, prior to the completion of the Changyou Merger on April 17, 2020, also provided for noncontrolling interests reflecting ordinary shares in Changyou held by shareholders other than the Company (“Changyou noncontrolling shareholders”). Sogou’s Business (Discontinued) On September 29, 2020, Sohu, Sohu Search, and Tencent Merger Sub entered into the Tencent/Sohu Sogou Share Purchase Agreement. Upon the signing of the Tencent/Sohu Sogou Share Purchase Agreement, Sogou met the criteria for discontinued operations. Accordingly, the results of operations for Sogou’s search and search-related business and other business have been excluded from Sohu’s results from continuing operations. Revenues that were generated by Sogou’s search and search-related business and other business are reflected as discontinued operations in the Sohu Group’s consolidated statements of comprehensive income. Search and Search-related Business The search and search-related business consists primarily of search and search-related advertising services offered by Sogou. Search and search-related advertising services enable advertisers’ promotional links to be displayed on Sogou’s search results pages and other Internet properties and third parties’ Internet properties where the links are relevant to the subject and content of searches and such properties. Sogou’s advertising services expand distribution of advertisers’ promotional links and advertisements by leveraging traffic on third parties’ Internet properties, including Web content, software, and mobile applications. The search and search-related business benefits from Sogou’s collaboration with Tencent Holdings Limited (together with its subsidiaries, “Tencent”), which provides Sogou access to traffic and content generated from products and services provided by Tencent. Other Sogou Business Sogou also offers IVAS, primarily with respect to the operation of Web games and mobile games developed by third parties, and offers other products and services, including smart hardware products and online lending and microcredit services. Initial Public Offering of Sogou On November 13, 2017, Sogou completed its IPO on the NYSE, trading under the symbol “SOGO.” Proceeds to Sogou from the IPO were approximately $622.1 million, after deducting underwriting discounts and commissions and offering expenses. Following the completion of Sogou’s IPO, pursuant to the Voting Agreement among Sohu, Tencent, and Sogou (the “Voting Agreement”) that took effect upon the completion of Sogou’s IPO, Sohu has the right to appoint a majority of Sogou’s Board of Directors, and Sohu continues to consolidate Sogou in Sohu’s financial statements and provide for noncontrolling interests reflecting ordinary shares in Sogou held by shareholders other than Sohu. In the fourth quarter of 2017, Sohu recognized a one-time paid-in Sogou’s Share Structure Sogou’s Ordinary Shares are divided into Sogou Class A Ordinary Shares and Sogou Class B Ordinary Shares. Holders of Sogou Class A Ordinary Shares and holders of Sogou Class B Ordinary Shares have identical rights with the exception of voting and conversion rights. Each Sogou Class A Ordinary Share is entitled to one vote per share and is not convertible. Each Sogou Class B Ordinary Share is entitled to ten votes per share and is convertible into one Sogou Class A Ordinary Share at any time. As of December 31, 2020, Sogou had a combined total of 387,590,916 Sogou Class A Ordinary Shares and Sogou Class B Ordinary Shares issued and outstanding, consisting of: (i) Sohu: 127,200,000 Sogou Class B Ordinary Shares held by Sohu for its own account, and 3,717,250 Sogou Class A Ordinary Shares held by Sohu for the purpose of issuance upon the exercise of outstanding share-based awards and future share-based awards; (ii) Tencent: 151,557,875 Sogou Class B Ordinary Shares; (iii) Photon: 24,686,863 Sogou Class A Ordinary Shares; and (iv) Shareholders other than Sohu, Tencent, and Photon: 80,428,928 Sogou Class A Ordinary Shares, including Sogou Class A Ordinary Shares represented by Sogou ADSs. The total number of Sogou outstanding shares listed above include 1,899,000 Sogou Class A Ordinary Shares that are outstanding for legal purposes, but have been determined to be Sogou treasury stock for accounting purposes. Voting Agreement between Sohu, Tencent and Sogou Pursuant to the Voting Agreement, Sohu and Tencent agreed that, subject to certain exceptions, (1) within three years following the completion of Sogou’s IPO, Sohu will vote all Sogou Class B Ordinary Shares and any Sogou Class A Ordinary Shares held by it and Tencent will vote 45,578,896 of its Sogou Class B Ordinary Shares to elect a Board of Directors consisting of seven directors, four of whom will be appointed by Sohu, two of whom will be appointed by Tencent, and the seventh of whom will be Sogou’s then chief executive officer, and (2) . The effect of these provisions is to give Sohu the power to appoint a majority of Sogou’s Board of Directors, and to give Tencent the power to appoint directors within three years following the completion of Sogou’s IPO and at least director after three years after the completion of Sogou’s IPO. The Voting Agreement also provides that, subject to certain conditions, for so long as Sohu and Tencent together hold more than % of the total voting power of the Sogou Class A Ordinary Shares and the Sogou Class B Ordinary Shares, Sohu or Tencent may remove and replace any director appointed by it. These provisions of the Voting Agreement are also reflected in Sogou’s Third Amended and Restated Memorandum of Association (“Sogou’s Amended and Restated Memorandum of Association”) and Seventh Amended and Restated Articles of Association (“Sogou’s Amended and Restated Articles of Association”). Due to the additional voting power of the Sogou Class B Ordinary Shares held by Sohu and Tencent, as of the date of this report Sohu holds approximately 34% of the total of Sogou’s outstanding Class A and Class B Ordinary Shares and controls approximately 44% of the total voting power of the combined total of Sogou’s outstanding Class A and Class B Ordinary Shares; Tencent has an indirect shareholding of approximately 39% of the total of Sogou’s outstanding Class A and Class B Ordinary Shares and controls approximately 52% of the total voting power of the combined total of Sogou’s outstanding Class A and Class B Ordinary Shares; and Sohu and Tencent together have the power to decide all matters that may be brought to a vote of Sogou’s shareholders. The Voting Agreement and Sogou’s Amended and Restated Articles of Association also specify that for so long as Sohu or Tencent holds not less than 15% of Sogou’s issued shares (calculated on a fully diluted basis), consent from the holder of 15% or more (either or both of Sohu or Tencent, as the case may be) will be required (1) to amend Sogou’s Amended and Restated Memorandum of Association or Amended and Restated Articles of Association, (2) to make material changes in Sogou’s principal lines of business, (3) to issue any additional Sogou Class B Ordinary Shares, (4) to create any new class or series of shares that is pari passu with or senior to the Sogou Class A Ordinary Shares, (5) for Sogou to approve a liquidation, dissolution or winding up of Sogou, or a merger or consolidation resulting in a change in control, or any disposition of all or substantially all of Sogou’s assets, or (6) for Sogou to enter into any transactions with affiliates of Sohu, other than in the ordinary course of business. Of these corporate actions that are subject to consent of Sohu or Tencent (as applicable), shareholder approval is required under the Companies Law of the Cayman Islands for any amendment of Sogou’s Amended and Restated Memorandum of Association or Amended and Restated Articles of Association, any winding-up The Voting Agreement and Sogou’s Amended and Restated Articles of Association also specify that if at any time Sohu alone holds more than 50% of the total voting power of the Sogou Class A Ordinary Shares and the Sogou Class B Ordinary Shares, the voting arrangements with respect to the size and composition of Sogou’s Board of Directors will be automatically suspended until such time within five years after the completion of Sogou’s IPO as Sohu’s voting power again drops to 50% or less, in which case the original voting arrangements will be reinstated, provided that Tencent will only be required to vote the lower of 45,578,896 Sogou Class B Ordinary Shares held by it or such number as would give Sohu combined voting power of 50.1%. If such a suspension continues after the fifth anniversary of the completion of Sogou’s IPO, the voting arrangements with respect to the size and composition of Sogou’s Board of Directors will terminate. All of the Sogou Class B Ordinary Shares held by Sohu will be converted into Sogou Class A Ordinary Shares if there is a transaction resulting in change of control of Sohu that was not approved by Sohu’s board of directors, if specified competitors of Tencent control Sohu, or if a majority of Sohu’s board of directors consist of nominees of specified competitors of Tencent. The provisions with respect to the size and composition of Sogou’s Board of Directors set out in the Voting Agreement and Sogou’s Amended and Restated Articles of Association will terminate upon occurrence of any such event. Such arrangements will also terminate (1) if Dr. Charles Zhang, the chairman of the board of directors of Sohu and the chief executive officer, both ceases being the chairman of the board of directors of Sohu and ceases being the single largest beneficial owner of Sohu’s outstanding shares; (2) if Sohu transfers 30% or more of the Sogou Class B Ordinary Shares that Sohu held upon the completion of Sogou’s IPO; (3) if Sogou fails to provide irrevocable instructions to the person maintaining Sogou’s register of members to accept instructions from Tencent, under certain circumstances, with respect to the conversion of Sogou Class B Ordinary Shares held by Sohu; (4) or Sogou changes, without Tencent’s consent, the person that maintains Sogou’s register of members; (5) or if Tencent ceases to own any Sogou Class B Ordinary Shares. Under the Voting Agreement, Sohu and Tencent are subject to certain restrictions on transfer of their Sogou Class A and Class B Ordinary Shares. In particular, a transfer of Sogou Class B Ordinary Shares by either Sohu or Tencent, respectively, to any person or entity that is not a direct or indirect wholly-owned subsidiary of Sohu or Tencent, respectively, will cause such Sogou Class B Ordinary Shares to be converted into Sogou Class A Ordinary Shares. Voting Agreement between Sohu, Photon and Sogou Management Sohu may be deemed to have beneficial ownership attributable to shared voting power of Sogou Class A Ordinary Shares beneficially owned by Photon Group Limited (“Photon”), an investment vehicle of the Company’s Chairman and Chief Executive Officer Charles Zhang, Sogou’s chief executive officer Xiaochuan Wang, and certain other members of the Sogou management, as a result of a voting agreement by and among Sohu, Photon, Mr. Wang and the other members of Sogou management, pursuant to which Photon, Mr. Wang, and the other members of Sogou Management have agreed to vote their Sogou Class A Ordinary Shares (not including shares acquired by Mr. Wang in the public market following Sogou’s IPO) to elect Sohu’s designees to Sogou’s Board of Directors. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Summary of Significant Accounting Policies | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Discontinued operations A component of a reporting entity or a group of components of a reporting entity that are disposed of or meet the criteria to be classified as held for sale should be reported in discontinued operations if the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. Discontinued operations are reported when a component of an entity comprising operations and cash flows that can be clearly distinguished, operationally and for financial reporting purposes, from the rest of the entity is classified as held for disposal or has been disposed of, if the component either (1) represents a strategic shift or (2) has a major impact on an entity’s financial results and operations. In the statement of financial position, the assets and liabilities of the discontinued operation are presented separately in the asset and liability sections, respectively, of the statement of financial position and prior periods are presented on a comparative basis. In the consolidated statements of comprehensive income, results from discontinued operations are reported separately from the income and expenses from continuing operations and prior periods are presented on a comparative basis. Cash flows for discontinued operations are presented separately in the consolidated statements of cash flows. In order to present the financial effects of the continuing operations and discontinued operations, revenues and expenses arising from intra-group transactions are eliminated except for those revenues and expenses that are considered to continue after the disposal of the discontinued operations. Accounting Standards The consolidated financial statements have been prepared in accordance with United States of America generally accepted accounting principles (“U.S. GAAP”) to reflect the financial position and results of operations of the Sohu Group. Use of Estimates The preparation of these financial statements requires the Sohu Group to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues, costs and expenses, and related disclosures. On an on-going Basis of Consolidation and Recognition of Noncontrolling Interest The Sohu Group’s consolidated financial statements include the accounts of the Company and its subsidiaries and consolidated VIEs. All intra-Group transactions are eliminated except for revenues and expenses arising from intra-group transactions that are considered to continue after the disposal of the discontinued operations. VIE Consolidation The Sohu Group’s VIEs are wholly or partially owned by certain employees of the Group as nominee shareholders. For consolidated VIEs, management made evaluations of the relationships between the Sohu Group and the VIEs and the economic benefit flow of contractual arrangements with the VIEs. In connection with such evaluation, management also took into account the fact that, as a result of such contractual arrangements, the Group controls the shareholders’ voting interests in these VIEs. As a result of such evaluation, management concluded that the Sohu Group is the primary beneficiary of its consolidated VIEs. Noncontrolling Interest Recognition Noncontrolling interests are recognized to reflect the portion of the equity of subsidiaries and VIEs which is not attributable, directly or indirectly, to the controlling shareholders. Currently, the noncontrolling interests in the Sohu Group’s consolidated financial statements primarily consist of noncontrolling interests for Changyou and Sogou. Noncontrolling Interest for Changyou Prior to the completion of the Changyou Merger on April 17, 2020, Sohu consolidated Changyou in its consolidated financial statements, and also recognized noncontrolling interest reflecting the economic interest in Changyou held by Changyou noncontrolling shareholders. Changyou’s net income/(loss) attributable to the Changyou noncontrolling shareholders is recorded as noncontrolling interest in the Sohu Group’s consolidated statements of comprehensive income, based on the noncontrolling shareholders’ share of the economic interest in Changyou. Changyou’s cumulative results of operations attributable to the Changyou noncontrolling shareholders, along with changes in shareholders’ equity, adjustment for share-based compensation expense in relation to those share-based awards which are unvested and vested but not yet settled and adjustment for changes in the Company’s ownership in Changyou, are recorded as noncontrolling interest in the Sohu Group’s consolidated balance sheets. As a result of the completion of Sohu’s acquisition of the noncontrolling interests in Changyou on April 17, 2020, Sohu holds 100% of the combined total of Changyou’s outstanding ordinary shares and 100% of the total voting power in Changyou. Sohu consolidates Changyou in its consolidated financial statements, and no noncontrolling interests are recognized except for noncontrolling interests reflecting economic interests in Changyou’s subsidiaries held by shareholders other than Changyou. Noncontrolling Interest for Sogou Prior to the completion of Sogou’s IPO in November 2017, the Company controlled the election of a majority of the Board of Directors of Sogou pursuant to a shareholders’ agreement that expired upon the completion of the IPO. Following the completion of Sogou’s IPO, pursuant to the Voting Agreement and Sogou’s Amended and Restated Articles of Association, the Company still has the right to appoint a majority of Sogou’s Board of Directors. As Sogou’s controlling shareholder, the Company consolidates Sogou in its consolidated financial statements as discontinued operations, and recognizes noncontrolling interest reflecting economic interests in Sogou held by Sogou noncontrolling shareholders. Sogou’s net income/(loss) attributable to the Sogou noncontrolling interest shareholders is recorded as net income/(loss) from discontinued operations attributable to the noncontrolling interest shareholders in the Company’s consolidated statements of comprehensive income. Sogou’s cumulative results of operations attributable to the Sogou noncontrolling shareholders, based on their share of the economic interest in Sogou, along with changes in shareholders’ equity and adjustment for share-based compensation expense in relation to share-based awards that are unvested and vested but not yet settled and adjustment for changes in the Sohu Group’s ownership percentage in Sogou, are recorded as noncontrolling interest in the Sohu Group’s consolidated balance sheets. Segment Reporting The Sohu Group’s segments are business units that offer different services and are reviewed separately by the chief operating decision maker (the “CODM”), or the decision-making group, in deciding how to allocate resources and in assessing performance. The Group’s CODM is the Company’s Chief Executive Officer. Revenue Recognition Impact of Adoption of ASC 606 On January 1, 2018, the Sohu Group adopted ASC 606, applying the modified retrospective method to contracts that were not completed as of January 1, 2018. The adoption of ASC 606 did not have a material impact on the Company’s accumulated deficit as of January 1, 2018. Results for reporting periods beginning on or after January 1, 2018 are presented under ASC 606, while prior-period amounts are not adjusted and continue to be reported in accordance with the Group’s historic accounting under ASC 605. Under ASC 605, advertising-for-advertising advertising-for-advertising Under ASC 606, revenues are recognized when control of the promised goods or services is transferred to the Group’s customers, in an amount that reflects the consideration the Group expects to be entitled to in exchange for those goods or services. The recognition of revenues involves certain management judgments, including estimated lives of virtual items purchased by game players, the estimation of the fair value of an advertising-for-advertising licensed-out The following table presents the Group’s revenues disaggregated by products and services: Year Ended December 31, 2018 (in thousands) Sohu Changyou Total Brand advertising: Sohu Media Portal $ 127,612 0 127,612 Sohu Video 53,886 0 53,886 Focus 31,144 0 31,144 17173.com Website 0 19,697 19,697 Online games: PC games 0 236,743 236,743 Mobile games 0 151,737 151,737 Other games 0 1,308 1,308 Others 61,974 6,074 68,048 Total $ 274,616 415,559 690,175 Year Ended December 31, 2019 (in thousands) Sohu Changyou Total Brand advertising: Sohu Media Portal $ 94,692 0 94,692 Sohu Video 34,529 0 34,529 Focus 32,120 0 32,120 17173.com Website 0 13,715 13,715 Online games: PC games 0 267,752 267,752 Mobile games 0 172,718 172,718 Other games 0 432 432 Others 57,082 763 57,845 Total $ 218,423 455,380 673,803 Year Ended December 31, 2020 (in thousands) Sohu Changyou Total Brand advertising: Sohu Media Portal $ 86,293 0 86,293 Sohu Video 25,312 0 25,312 Focus 23,281 0 23,281 17173.com Website 0 11,640 11,640 Online games: PC games 0 353,737 353,737 Mobile games 0 182,947 182,947 Other games 0 0 0 Others 66,658 22 66,680 Total $ 201,544 548,346 749,890 Brand Advertising Revenues Brand advertising revenues are generated from brand advertising services. Certain customers may receive sales rebates, which are accounted for as variable consideration. The Group estimates the annual expected revenue volume from each agent with reference to its historical results. Sales rebates will reduce revenues recognized. The Group recognizes revenue for the amount of fees it receives from its advertisers, after deducting sales rebates and net of value-added tax (“VAT”). There have not been any significant changes, and the Group believes that there will not be significant changes, to its estimates of variable consideration. Brand Advertising Revenues Revenue Recognition of Multiple Performance Obligations The Group’s contracts with customers may include multiple performance obligations. For such arrangements, the Group allocates revenues to each performance obligation based on its relative standalone selling price. The Group generally determines the standalone selling price of each distinct performance obligation based on the prices charged to customers when sold on a standalone basis. Where a standalone selling price is not directly observable, the Group generally estimates the selling price based on the prices at which performance obligations of a similar nature and geography are charged to customers. Most of such contracts have all performance obligations completed within the same quarter. Pricing Model Through mobile devices and PCs, the Group provides advertisement placements to its advertisers on different Internet platforms and in different formats, which include banners, links, logos, buttons, full screen, pre-roll, mid-roll, in-feed Currently the Group has three main types of pricing models, consisting of the Fixed Price model, the Cost Per Impression (“CPM”) model and the Cost Per Click (“CPC”) model. (i) Fixed Price model Under the Fixed Price model, a contract is signed to establish a fixed price for the advertising services to be provided. Given that the advertisers benefit from displayed advertisements evenly over the period the advertisements are displayed, the Group recognizes revenue on a straight-line basis over the period of display, provided all revenue recognition criteria have been met. (ii) CPM model Under the CPM model, the unit price for each qualifying display is fixed and stated in the contract with the advertiser. A qualifying display is defined as the appearance of an advertisement, where the advertisement meets criteria specified in the contract. Given that the fees are priced consistently throughout the contract and the unit prices are fixed in accordance with the Group’s pricing practices for similar advertisers, the Group recognizes revenue based on the fixed unit prices and the number of qualifying displays upon their occurrence, provided all revenue recognition criteria have been met. (iii) CPC model Under the CPC model, there is no fixed price for advertising services stated in the contract with the advertiser and the unit price for each click is auction-based. The Group charges advertisers on a per-click Online Game Revenues Changyou’s online game revenues are generated primarily from its self-operated and licensed-out in-game Changyou is the principal of its self-operated games. Changyou hosts the games on its own servers and is responsible for the sale and marketing of the games as well as customer service. Accordingly, revenues are recorded gross of revenue sharing-payments to third-party developers and/or mobile APP stores, but net of VAT and discounts to game card distributors where applicable. Changyou obtains revenues from the sale of in-game PC Games Proceeds from Changyou’s self-operated PC games are collected from players and third-party game card distributors through sales of Changyou’s game points on its online payment platform and prepaid game cards. Changyou’s self-operated PC games are either developed in house or licensed from third-party developers. For licensed PC games, Changyou remits a pre-agreed Mobile Games Self-operated Mobile Games For self-operated mobile games, Changyou sells game points to its game players via third-party mobile APP stores. The mobile APP stores in turn pay Changyou proceeds after deducting their share of pre-agreed Changyou’s self-operated mobile games are either developed in house or licensed from or jointly developed with third-party developers. For licensed and jointly-developed mobile games, Changyou remits a pre-agreed Licensed Out Mobile Games Changyou also authorizes third parties to operate its mobile games. Licensed out games include mobile games developed in house, such as Changyou’s mobile game Legacy TLBB Mobile, and mobile games jointly developed with third-party developers. Changyou receives monthly revenue-based royalty payments from the third-party licensee operators. Changyou receives additional up-front pre-agreed Other Revenues Sohu Other revenues attributable to Sohu consist primarily of revenues from paid subscription services, interactive broadcasting services, and sub-licensing Changyou Other revenues attributable to Changyou are primarily from IVAS. Revenues generated from Changyou’s IVAS were derived primarily from software applications for PCs and mobile devices offered by RaidCall, which ceased operations in March 2019. Prior to March 2018, IVAS revenues also included revenues generated from the Dolphin Browser operated by MoboTap. Revenues from IVAS are recognized during the period the services are rendered or items are consumed under the gross method, as Changyou is the principal obligor for provision of the services. As of August 12, 2019, the Sohu Group ceased consolidating Changyou’s cinema advertising business in its consolidated financial statements and, accordingly, the financial results of the cinema advertising business are excluded from the Sohu Group’s results from continuing operations and are presented in separate line items as discontinued operations in the consolidated financial statements, and retrospective adjustments to the Sohu Group’s historical audited consolidated financial statements have been made in order to provide a consistent basis of comparison. Contract Balances Timing of revenue recognition may differ from the timing of invoicing to customers. Accounts receivable represent amounts invoiced and revenue recognized prior to invoicing, when the Group has satisfied its performance obligations and has the unconditional right to payment. The allowance for credit losses is estimated based upon the Group’s assessment of various factors, including past collection experience and consideration of current and future economic conditions and other factors that may affect the Group’s customers’ ability to pay. Contract assets as of December 31, 2020 were not material. The allowance for credit losses was $7.0 million and $4.0 million, respectively, as of December 31, 2020 and December 31, 2019. Receipts in advance and deferred revenue relate to unsatisfied performance obligations at the end of the period and primarily consist of fees received from game players in the online game business and from advertisers in the brand advertising business. Due to the generally short-term duration of the contracts, the majority of the performance obligations are satisfied in the following reporting period. The amount of revenue recognized that was included in the receipts in advance and deferred revenue balance at the beginning of the period was $42.6 million for the year ended December 31, 2020. There was no significant change in the contract assets and contract liability balances during 2020. Revenue recognized in 2020 from performance obligations related to prior years was not material. Practical Expedients The Group has used the following practical expedients as allowed under ASC 606: (i) The transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied has not been disclosed, as substantially all of the Group’s contracts have a duration of one year or less. (ii) Payment terms and conditions vary by contract type, although terms generally include a requirement of prepayment or payment within one year or less. In instances where the timing of revenue recognition differs from the timing of invoicing, the Group has determined that its contracts generally do not include a significant financing component. (iii) The Group applied the portfolio approach in determining the commencement date of consumption and the estimated lives of virtual items for the recognition of games revenue, given that the effect of applying a portfolio approach to a group game players’ behaviors would not differ materially from considering each one of them individually. (iv) The Group generally expenses sales commissions when incurred because the amortization period would be one year or less. These costs are recorded within sales and marketing expenses. Cost of Revenue s Cost of Brand Advertising Revenues Cost of brand advertising revenues mainly consists of content and license costs, salary and benefits expenses, and bandwidth service costs. For self-developed video content, production costs incurred in excess of the amount of revenue contracted for are expensed as incurred. Cost of Online Game Revenues Cost of online game revenues mainly consists of revenue-sharing payments, salary and benefits expenses, bandwidth service costs, tax surcharges, depreciation and amortization expenses, content and license costs, and other direct costs. Cost of Other Revenues Cost of other revenues mainly consists of revenue-sharing payments related to interactive broadcasting services, content and license costs related to paid subscription services, revenue-sharing payments related to paid subscription services. Product Development Expenses Product development expenses mainly consist of salary and benefits expenses, content and license costs, depreciation and amortization expenses, professional fees, share-based compensation, and facilities expenses. These expenses are incurred for the enhancement and maintenance of the Sohu Group’s Internet platforms as well as for its products and services. The development costs of online games are expensed as incurred, including the development costs of online games prior to the establishment of technological feasibility and maintenance costs after the online games are available for marketing. Sales and Marketing Expenses Sales and marketing expenses mainly consist of advertising and promotional expenses, salary and benefits expenses, travel and entertainment expenses, and facilities expenses. Advertising and promotional expenses generally represent the expenses of promotions to create or stimulate a positive image of the Sohu Group or a desire to subscribe for the Group’s products and services. Advertising and promotional expenses are expensed as incurred. General and Administrative Expenses General and administrative expenses mainly consist of salary and benefits expenses, professional fees, share-based compensation, bad debts, travel and entertainment expenses, and facilities expenses. Share-based Compensation Expense Sohu (excluding Sohu Video), Changyou, Sogou, and Sohu Video have incentive plans for the granting of share-based awards, including share options and restricted share units, to members of the boards of directors, management and other key employees. For share-based awards for which a grant date has occurred, share-based compensation expense is recognized as costs and expenses in the consolidated statements of comprehensive income based on the fair value of the related share-based awards on their grant dates. For share-based awards for which the service inception date precedes the grant date, share-based compensation expense is recognized as costs and expenses in the consolidated statements of comprehensive income beginning on the service inception date and is re-measured After the completion of the Changyou Merger, the board of directors of Sohu (the “Sohu Board”) approved a modification plan for the granted but unvested share options under the Changyou 2014 Share Incentive Plan and the Changyou 2019 Share Incentive Plan (the “Changyou Plans’ Modification”). After the Changyou Plans’ Modification, liability will be accrued over the service period based on a fixed price of $5.39 per Changyou Class A ordinary share, which equals the Changyou Merger consideration of $5.40 per Changyou Class A ordinary share minus the per-share exercise price of $0.01 of such options. No subsequent fair value re-measurement will be made given the award is an obligation based on a fixed amount underlying such vested share options. Sohu (excluding Sohu Video), Changyou, and Sogou Share-based Awards Sohu (excluding Sohu Video) Share-based Awards In determining the fair value of share options granted by Sohu (excluding Sohu Video) as share-based awards, the public market price of the underlying shares at each reporting date was used, and a binomial valuation model was applied. In determining the fair value of restricted share units granted, the public market price of the underlying shares on the grant dates was applied. Upon the dissolution of Sohu.com Inc. on May 31, 2018, Sohu.com Limited assumed all then existing obligations of Sohu.com Inc. with respect to equity incentive awards that had been granted under Sohu.com Inc.’s Amended and Restated 2010 Stock Incentive Plan (the “Sohu 2010 Stock Incentive Plan”) and remained outstanding, and such awards were converted into the right to receive upon exercise or settlement Sohu.com Limited’s ordinary shares under the Sohu.com Limited 2018 Share Incentive Plan (the “Sohu 2018 Share Incentive Plan”) rather than shares of the common stock of Sohu.com Inc., subject to the other terms of such outstanding awards. Options for the purchase of Sohu.com Limited’s ordinary shares, including options converted from those contractually granted under the Sohu 2010 Stock Incentive Plan, are subject to vesting in four equal installments over a period of four years, with each installment vesting upon satisfaction of a service period requirement and certain subjective performance targets. Under ASC 718-10-25, 718-10-55, re-measured Changyou Share-based Awards Options for the purchase of Changyou Class A ordinary shares contractually granted under the Changyou 2014 Share Incentive Plan and the Changyou 2019 Share Incentive Plan are subject to vesting in four equal installments over a period of four years, with each installment vesting upon satisfaction of a service period requirement and certain subjective performance targets. Under ASC 718-10-25, 718-10-55, re-measured After the Changyou Plans’ Modification, a portion of the share options previously granted under the Changyou 2014 Share Incentive Plan that became vested after the completion of the Changyou Merger were settled by Changyou at a fixed price of $5.39 per Changyou Class A ordinary share, which equals the Changyou Merger consideration of $5.40 per Changyou Class A ordinary share minus the per-share re-measurement As of December 31, 2020, 4,210,000 of these Changyou share options had been granted and had become vested on their respective vesting dates, as a mutual understanding of the subjective performance targets had been reached between Changyou and the recipients, the targets had been satisfied, and the service period requirements had been fulfilled. Cumulative share-based compensation expense of $15.7 million was accrued based on the fixed price of $5.39 per Changyou Class A ordinary share. Sogou Share-based Award s In determining the fair value of share options granted by Sogou as share-based awards, a binomial valuation model was applied. The determination of the fair value is affected by the fair value of the ordinary shares as well as assumptions regarding a number of complex and subjective variables, including risk-free interest rates, exercise multiples, expected forfeiture rates, expected share price volatility rates, and expected dividends. The fair values of the ordinary shares were determined based on the trading price of Sogou ADSs in the public market. Before Sogou’s adoption of ASU 2018-07 non-employees 505-50 non-employees 2018-07, non-employees Compensation Expense Recognition For options and restricted share units granted with respect to Sohu (excluding Sohu Video) and Changyou shares, compensation expense is recognized on an accelerated basis upon the requisite service period and certain subjective performance targets being met. For share options granted with respect to Sogou shares, compensation expense is recognized over the estimated period during which the service period requirement and performance target will be met, which is usually within one year, or, after the performance target of Sogou’s completion of an IPO was met upon the completion of Sogou’s IPO on November 13, 2017, on an accelerated basis over the requisite service period, or, for options with only service period requirement, on an accelerated basis over the requisite service period. For Tencent restricted share units that Tencent had granted to employees who transferred to Sogou with the Soso search and search-related businesses, compensation expense is recognized by Sogou on an accelerated basis over the requisite service period, and the fair value of the share-based compensation is re-measured Sohu Video Share-based Awards On January 4, 2012, Sohu Video, the holding entity of Sohu’s video division, adopted a 2011 Share Incentive Plan (the “Sohu Video Share Incentive Plan”) which provides for the issuance of up to 25,000,000 ordinary shares of Sohu Video (representing approximately 10% of the outstanding Sohu Video shares on a fully-diluted basis) to management and key employees of the video division and to Sohu management. As of December 31, 2020, grants of options for the purchase of 16,368,200 ordinary shares of Sohu Video had been contractually made, of which options for the purchase of 4,972,800 ordinary shares were vested. For purposes of ASC 718-10-25, grant date 718-10-55, re-measured, re-measure, Taxation PRC Corporate Income Tax Income taxes are accounted for using an asset and liability approach which requires the recognition of income taxes payable or refundable for the current year and deferred tax liabilities and assets for the future tax consequences of events that have been recognized in the Group’s financial statements or tax returns. Deferred income taxes are determined based on the differences between the accounting basis and the tax basis of assets and liabilities and are measured using the currently enacted tax rates and laws. Deferred tax assets are reduced by a valuation allowance, if based on available evidence, it is considered that it is more likely than not that some portion of or all of the deferred tax assets will not be realized. In making such determination, the Group considers factors including future reversals of existing taxable temporary differences, future profitability, and tax planning strategies. If events were to occur in the future that would allow the Group to realize more of its deferred tax assets than the presently recorded net amount, an adjustment would be made to the deferred tax assets that would increase income for the period when those events occurred. If events were to occur in the future that would require the Group to realize less of its deferred tax assets than the presently recorded net amount, an adjustment would be made to the valuation allowance against deferred tax assets that would decrease income for the period when those events occurred. Significant management judgment is required in determining income tax expense and deferred tax assets and liabilities. The Group’s deferred tax assets are related to net operating losses and temporary differences between accounting basis and tax basis for its China-based Subsidiaries and VIEs, which are subject to corporate income tax in the PRC under the PRC Corporate Income Tax Law (the “CIT Law”). PRC Withholding Tax on Dividends The CIT Law imposes a 10% withholding income tax on dividends distributed by foreign invested enterprises in the PRC to their immediate holding companies outside Mainland China. A lower withholding tax rate may be applied if there is a tax treaty between Mainland China and the jurisdiction of the foreign holding company. A holding company in Hong Kong, for example, will be subject to a 5% withholding tax rate under an arrangement between the PRC and the Hong Kong Special Administrative Region on the “Avoidance of Double Taxation and Prevention of Fiscal Evasion with Respect to Taxes on Income,” if such holding company is considered a non-PRC PRC Value Added Tax On May 1, 2016, the transition from the imposition of PRC business tax to the imposition of VAT was expanded to all industries in China, and all of the Sohu Group’s revenues have been subject to VAT since that date. To record VAT payable, the Group adopted the net presentation method, which presents the difference between the output VAT (at rates of 6% or 17% for the period from January 1, 2018 to April 30, 2018, at rates of 6% or 16% for the period from May 1, 2018 to March 31, 2019, and at rates of 6% or 13% after April 1, 2019) and the available input VAT amount (at the rate applicable to the supplier). U.S. Corporate Income Tax Sohu.com Inc., which was formerly the top-tier one-time Certain activities conducted in the PRC resulted in U.S. corporate income taxes being imposed on Sohu.com Inc. when its subsidiaries that were controlled foreign corporations (“CFCs”) generated income that was subject to Subpart F of the U.S. Internal Revenue Code (“Subpart F”). Generally, passive income, such as rents, royalties, interest, dividends, and gains from disposal of the company’s investments, is among the types of income subject to taxation under Subpart F. Any income taxable under Subpart F was taxable in the U.S. at the applicable federal corporate income tax rate. Subpart F income also included certain income from intra-Group transactions between Sohu.com Inc.’s non-U.S. non-U.S. non-U.S. non-U.S. . To the extent that portions of Sohu.com Inc.’s U.S. taxable income, such as Subpart F income or global intangible low-taxed Treatment of Toll Charge Related to the U.S. TCJA Beginning in the fourth quarter of 2017, the Sohu Group had recognized a provisional amount of income tax expense for the Toll Charge of $219 million, which represented management’s estimate of the amount of the Toll Charge that would have been payable by Sohu.com Inc. based on the deemed repatriation to the United States of its share of previously deferred earnings of certain of its non-U.S. For the fourth quarter of 2018, the Sohu Group’s management re-evaluated The tax benefit recognized and the unrecognized tax benefit in relation to the Toll Charge may be subject to further adjustment in subsequent periods based on facts and circumstances that arose after December 31, 2020, such as any IRS assessments upon audit and management’s further judgment and estimates. Uncertain Tax Positions The Sohu Group is subject to various taxes in different jurisdictions, but primarily the PRC. Management reviews regularly the adequacy of the provisions for taxes as they relate to the Group’s income and transactions. In order to assess uncertain tax positions, the Group applies a more likely than not t |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations Disclosure | 3. DISCONTINUED OPERATIONS Discontinued Operation of Sogou Upon the signing of the Tencent/Sohu Sogou Share Purchase Agreement on September 29, 2020, Sogou met the criteria for discontinued operations. Accordingly, the results of operations for Sogou’s business have been excluded from Sohu’s results from continuing operations in the Sogou Group’s consolidated statements of comprehensive income and are presented in separate line items as discontinued operations. Retrospective adjustments to the historical statements have been made in order to provide a consistent basis of comparison. Additionally, as of December 31, 2019 and December 31, 2020, the related assets and liabilities associated with the discontinued operations with respect to Sogou were classified as assets held for sale and liabilities held for sale associated with discontinued operations in the consolidated balance sheets to provide comparable financial information. The following tables set forth the assets, liabilities, results of operations and cash flows of discontinued operations with respect to Sogou, that were included in the Sohu Group’s consolidated financial statements (in thousands): As of December 31, As of December 31, ASSETS Cash and cash equivalents $ 142,464 $ 287,185 Restricted cash 5,370 23,018 Short-term investments 995,350 774,618 Account and financing receivables, net 134,635 73,656 Prepaid and other current assets 26,802 28,946 Long-term investments, ne t 63,345 74,004 Fixed assets, net 110,006 89,089 Goodwill 5,534 6,527 Intangible assets, net 1,514 1,446 Other assets 37,281 53,679 Total assets associated with discontinued operations $ 1,522,301 $ 1,412,168 LIABILITIES Accounts payable $ 132,085 $ 122,695 Accrued liabilities 91,949 68,582 Receipts in advance 67,902 64,414 Accrued salary and benefits 24,167 25,350 Taxes payable 76,688 64,082 Other short-term liabilities 60,320 61,154 Long-term liabilities 5,686 10,721 Total liabilities associated with discontinued operations $ 458,797 $ 416,998 Year Ended December 31, 2018 2019 2020 Revenues $ 1,124,158 $ 1,172,252 $ 924,664 Cost of revenues 693,470 738,454 722,614 Gross profit 430,688 433,798 202,050 Operating expenses: Research and development (1) 201,739 190,402 193,376 Sales and marketing (1) 146,194 138,291 102,523 General and administrative (1) 38,072 40,670 29,271 Total operating expenses 386,005 369,363 325,170 Operating profit/(loss) 44,683 64,435 (123,120 ) Interest income 8,037 4,443 2,807 Foreign currency exchange gain/(loss) 5,725 1,849 (7,767 ) Other income, net (1) 41,490 21,127 38,633 Income/(loss) before income tax expense 99,935 91,854 (89,447 ) Income tax expense 1,153 2,748 2,346 Net income/(loss) from discontinued operations, net of tax 98,782 89,106 (91,793 ) (1) Expenses generated from marketing services among the Sohu and Sogou, and leasing expenses generated from a building that Sohu leases to Sogou are not eliminated because those expenses are considered to continue after the disposal of the discontinued operations. Year Ended December 31, 2018 2019 2020 Net cash provided by/(used in) discontinued operating activities $ 132,746 $ 219,516 $ (68,187 ) Net cash provided by/(used in) discontinued investing activities (638,672 ) (217,598 ) 235,374 Net cash provided by/(used in) discontinued financing activities 1 (33,415 ) (8,209 ) Discontinued Operation of Shanghai Jingmao In May 2010, Changyou acquired 50% of the equity interests in Shanghai Jingmao Culture Communication Co., Ltd. (“Shanghai Jingmao”) and an affiliate of Shanghai Jingmao, which were primarily engaged in the cinema advertising business. In January 2011, Changyou acquired the remaining 50% of the equity interests in Shanghai Jingmao and its affiliate for total consideration of approximately $3.0 million. In the fourth quarter of 2011, a full impairment loss of $5.2 million on goodwill was recognized for the cinema advertising business. During the second quarter of 2019, after assessing the collectability of the assets of the cinema advertising business, including receivables and prepayments, Changyou recognized a $17.0 million asset impairment charge for the cinema advertising business. Changyou ceased operating the cinema advertising business and wound down the business in August 2019 as a result of a Chinese court in Shanghai having granted a petition by Shanghai Jingmao for bankruptcy relief on August 12, 2019. Accordingly, the results of operations for Changyou’s cinema advertising business have been excluded from Changyou’s results from continuing operations in the consolidated statements of comprehensive income and are presented in separate line items as discontinued operations. Retrospective adjustments to the historical statements have been made in order to provide a consistent basis of comparison. Additionally, as of December 31, 2018, the related assets and liabilities associated with the discontinued operations were classified as assets/liabilities associated with discontinued operations in the consolidated balance sheets to provide comparable financial information. Changyou recognized nil disposal gain/loss for the years ended December 31, 2019 and 2020. However, Changyou may recognize disposal gain/loss in the future, depending on developments in the bankruptcy proceedings in the Chinese court. The following tables set forth the results of operations and cash flows of discontinued operations with respect to Changyou’s cinema advertising business, that were included in the Group’s consolidated financial statements (in thousands): Year Ended December 31, 2018 2019 (1) Revenues $ 70,202 $ 37,323 Cost of revenues 89,233 43,857 Gross loss (19,031 ) (6,534 ) Operating expenses: Sales and marketing 20,288 8,807 General and administrative 4,965 18,583 Total operating expenses 25,253 27,390 Operating loss (44,284 ) (33,924 ) Interest income 6 7 Other income/(expense), net (557 ) 61 Loss before income tax expense (44,835 ) (33,856 ) Income tax expense 0 142 Net loss from discontinued operations, net of tax (44,835 ) (33,998 ) Year Ended December 31, 2018 2019 (1) Net cash provided by discontinued operating activities $ 3,422 $ 9,341 Net cash used in discontinued investing activities (718 ) (10,808 ) Net cash provided by/(used in) discontinued financing activities 0 0 Note (1): Includes the financial results of the discontinued operations from January 1, 2019 to August 12, 2019. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2020 | |
SEGMENT INFORMATION [Abstract] | |
Segment Information | 4. SEGMENT INFORMATION The Sohu Group’s segments are business units that offer different services and are reviewed separately by the CODM, or the decision making group, in deciding how to allocate resources and in assessing performance. The Group’s CODM is the Company’s Chief Executive Officer. There are two segments in the Group, consisting of the Sohu segment, and the Changyou segment . The following tables present summary information by segment (in thousands): Year Ended December 31, 2018 Sohu Changyou Eliminations Consolidated Revenues $ 274,670 $ 415,561 $ (56 ) $ 690,175 Segment cost of revenues (218,184 ) (71,626 ) 56 (289,754 ) Segment gross profit 56,486 343,935 0 400,421 SBC (1) in cost of revenues 707 31 0 738 Gross profit 57,193 343,966 0 401,159 Operating expenses: Product development (123,743 ) (126,593 ) (1 ) (250,337 ) Sales and marketing (203,307 ) (34,512 ) (1 ) (237,820 ) General and administrative (47,738 ) (28,657 ) 0 (76,395 ) Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions 0 (16,369 ) 0 (16,369 ) SBC (1) in operating expenses 4,940 6,430 0 11,370 Total operating expenses (369,848 ) (199,701 ) (2 ) (569,551 ) Operating profit/(loss) (312,655 ) 144,265 (2 ) (168,392 ) Other income 30,701 Interest income 16,036 Interest expense (17,538 ) Exchange difference 3,301 Loss before income tax expense (135,892 ) Income tax benefit 14,586 Net loss from continuing operations (121,306 ) Net income from discontinued operations 53,947 Net loss $ (67,359 ) Note (1): “SBC” stands for share-based compensation expense. Year Ended December 31, 2019 Sohu Changyou Eliminations Consolidated Revenues $ 218,442 $ 455,380 $ (19 ) $ 673,803 Segment cost of revenues (148,258 ) (95,268 ) 21 (243,505 ) Segment gross profit 70,184 360,112 2 430,298 SBC (1) in cost of revenues (23 ) (120 ) 1 (142 ) Gross profit 70,161 359,992 3 430,156 Operating expenses: Product development (113,761 ) (119,726 ) 0 (233,487 ) Sales and marketing (155,226 ) (49,768 ) 2 (204,992 ) General and administrative (31,330 ) (22,074 ) (17 ) (53,421 ) Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions (7,245 ) 0 0 (7,245 ) SBC (1) in operating expenses (1,023 ) (1,185 ) 0 (2,208 ) Total operating expenses (308,585 ) (192,753 ) (15 ) (501,353 ) Operating profit/(loss) (238,424 ) 167,239 (12 ) (71,197 ) Other income 7,963 Interest income 6,103 Interest expense (14,370 ) Exchange difference 1,430 Loss before income tax expense (70,071 ) Income tax expense (28,428 ) Net loss from continuing operations (98,499 ) Net income from discontinued operations 55,108 Net loss $ (43,391 ) Note (1): “SBC” stands for share-based compensation expense. Year Ended December 31, 2020 Sohu Changyou Eliminations Consolidated Revenues $ 201,544 $ 548,346 $ 0 $ 749,890 Segment cost of revenues (122,362 ) (94,362 ) 7 (216,717 ) Segment gross profit 79,182 453,984 7 533,173 SBC (1) in cost of revenues (177 ) (543 ) 0 (720 ) Gross profit 79,005 453,441 7 532,453 Operating expenses: Product development (97,681 ) (136,934 ) 0 (234,615 ) Sales and marketing (106,057 ) (53,272 ) 0 (159,329 ) General and administrative (25,861 ) (25,517 ) 0 (51,378 ) SBC (1) in operating expenses (1,759 ) (12,001 ) 0 (13,760 ) Total operating expenses (231,358 ) (227,724 ) 0 (459,082 ) Operating profit/(loss) (152,353 ) 225,717 7 73,371 Other income 25,993 Interest income 7,369 Interest expense (6,234 ) Exchange difference (3,800 ) Income before income tax expense 96,699 Income tax expense (133,226 ) Net loss from continuing operations (36,527 ) Net loss from discontinued operations (91,793 ) Net loss $ (128,320 ) Note (1): “SBC” stands for share-based compensation expense. As of December 31, 2019 Sohu Changyou Eliminations Consolidated Cash and cash equivalents $ 68,229 $ 94,433 $ 0 $ 162,662 Accounts receivable, net 70,252 55,829 0 126,081 Fixed assets, net 177,978 159,713 (9 ) 337,682 Total assets (1) $ 1,721,801 $ 1,871,685 $ (2,423,923 ) $ 1,169,563 Note (1): The elimination for segment assets mainly consists of elimination of intra-Group loans between Sohu and Changyou, and elimination of long-term investments in subsidiaries and consolidated VIEs. As of December 31, 2020 Sohu Changyou Eliminations Consolidated Cash and cash equivalents $ 56,977 $ 160,080 $ 0 $ 217,057 Accounts receivable, net 60,886 26,635 0 87,521 Fixed assets, net 174,700 162,976 (2 ) 337,674 Total assets (1) $ 1,632,736 $ 2,478,705 $ (2,701,488 ) $ 1,409,953 Note (1): The elimination for segment assets mainly consists of elimination of intra-Group loans between Sohu and Changyou, and elimination of long-term investments in subsidiaries and consolidated VIEs. |
Share-based Compensation Expens
Share-based Compensation Expense | 12 Months Ended |
Dec. 31, 2020 | |
SHARE-BASED COMPENSATION EXPENSE [Abstract] | |
Share-based Compensation Expense | 5. SHARE-BASED COMPENSATION EXPENSE Sohu (excluding Sohu Video), Changyou, and Sohu Video have incentive plans for the granting of share-based awards, including share options and restricted share units, to members of the boards of directors, management and other key employees. Share-based compensation expense was recognized in costs and expenses for the years ended December 31, 2018, 2019 and 2020 as follows (in thousands): Year Ended December 31, Share-based compensation expense 2018 2019 2020 Cost of revenues $ (739 ) $ 142 $ 720 Product development expenses (4,182 ) 1,364 7,325 Sales and marketing expenses (920 ) (326 ) 460 General and administrative expenses (6,267 ) 1,170 5,975 $ (12,108 ) $ 2,350 $ 14,480 Share-based compensation expense was recognized for share awards of Sohu (excluding Sohu Video), Changyou and Sohu Video as follows (in thousands): Year Ended December 31, Share-based compensation expense 2018 2019 2020 For Sohu (excluding Sohu Video) share-based awards $ (5,100 ) $ 1,940 $ 2,633 For Changyou share-based awards (6,461 ) 1,305 12,545 For Sohu Video share-based awards (547 ) (895 ) (698 ) $ (12,108 ) $ 2,350 $ 14,480 The negative amounts in the tables above resulted from re-measured There was no c |
Advertising and Promotional Exp
Advertising and Promotional Expenses, included in Sales and Marketing Expenses | 12 Months Ended |
Dec. 31, 2020 | |
ADVERTISING AND PROMOTIONAL EXPENSES, INCLUDED IN SALES AND MARKETING EXPENSES [Abstract] | |
Advertising and Promotional Expenses, included in Sales and Marketing Expenses | 6. ADVERTISING AND PROMOTIONAL EXPENSES, INCLUDED IN SALES AND MARKETING EXPENSES Advertising and promotional expenses are included in sales and marketing expenses, and generally represent the expenses of promotions to create or stimulate a positive image of the Sohu Group or a desire to subscribe for the Group’s products and services. Advertising expenses are expensed as incurred. For the years ended December 31, 2020, 2019 and 2018, advertising and promotional expenses recognized in the consolidated statements of comprehensive income were $84.7 million, $124.6 million and $137.6 million, respectively. |
OTHER INCOME, NET
OTHER INCOME, NET | 12 Months Ended |
Dec. 31, 2020 | |
OTHER INCOME /(EXPENSE), NET [Abstract] | |
Other Income /(Expense), net | 7. OTHER INCOME, NET The following table summarizes the Sohu Group’s other income/(expense) (in thousands): Year Ended December 31, 2018 2019 2020 Rental income from Sogou (1) 8,392 8,029 9,793 Individual tax refund and additional deduction of PRC value-added tax (2) 0 907 6,169 Government grant 5,342 5,763 5,928 Gain from the changes in fair value of financial instruments (3) 17,999 11,113 4,303 Write-off of unpaid long-term accounts payable 0 0 47 Investment income/(expense) (3,448 ) 3,004 3 Impairment loss on equity investments (4) 0 (23,154 ) (384 ) Donations 0 (283 ) (1,460 ) Others 2,416 2,584 1,594 $ 30,701 $ 7,963 $ 25,993 Note (1): Sogou currently leases from Sohu, on an arms-length basis, office space at Sohu.com Internet Plaza under a lease that expires on December 31, 2022 and may be renewed subject to terms to be agreed to by Sohu and Sogou. Rental income consisted solely of the income from this lease. The cash receipts from this lease within operating activities for 2020, 2019 and 2018 were $12.1 million, $8.4 million and $8.0 million, respectively. Note (2): The increase for 2020 compared to 2019 mainly consisted of an individual tax refund of $2.6 million and an additional deduction of PRC value-added tax of $2.1 million. Note (3): The decrease for 2020 compared to 2019 and the decrease for 2019 compared to 2018 were mainly due to a decrease in income earned from investments in financial instruments. Note (4): In the fourth quarter of 2019, the Sohu Group recognized impairment losses of $23.2 million for equity investments. |
Balance Sheet Components
Balance Sheet Components | 12 Months Ended |
Dec. 31, 2020 | |
BALANCE SHEET COMPONENTS [Abstract] | |
Balance Sheet Components | 8. BALANCE SHEET COMPONENTS (IN THOUSANDS) As of December 31, 2019 2020 Accounts receivable, net Accounts receivable $ 130,037 94,528 Allowance for credit losses (3,956 ) (7,007 ) $ 126,081 87,521 The following table presents the movement of allowances for credit losses for the years of 2018, 2019 and 2020: Balance at the Changes on initial 2016-13 Additional Write-offs Exchange Balance at the 2018 4,487 0 5,449 (1,940 ) (422 ) 7,574 2019 7,574 0 4,724 (8,237 ) (105 ) 3,956 2020 3,956 3,383 2,419 (3,231 ) 480 7,007 As of December 31, 2019 2020 Prepaid and other current assets Matching loan due from a related party (See Note 9) $ 33,329 $ 34,123 Prepaid taxes 26,274 25,043 Prepaid content and license 12,964 11,029 Prepaid cost of revenue 7,175 10,120 Receivables from third party payment platforms 3,435 5,488 Interest receivable from bank deposits with original maturities of three months or less 1,012 3,875 Prepaid professional fees 610 2,365 Prepaid rental deposit 2,891 2,310 Prepaid office rent and facilities expenses 601 696 Employee advances 1,249 587 Others 7,991 10,954 $ 97,531 $ 106,590 Prepaid non-current Prepaid PRC income tax for the sale of assets associated with 17173.com by Sohu to Changyou $ 1,882 $ 1,006 $ 1,882 $ 1,006 Other short-term liabilities Matching loans due to a related party (See Note 9) 33,536 34,123 Contingent liability related to Shanghai Jingmao liquidation (1) 23,900 23,900 Deposits related to Focus 19,101 21,936 Share-based awards in Changyou 0 13,292 Contract deposits from advertisers 3,060 3,036 Lease liabilities 2,510 1,107 Consideration payable for equity investment 740 751 Others 8,218 8,026 $ 91,065 $ 106,171 Note (1): The contingent liability represents the aggregate of estimated potential payments to third parties in connection with the liquidation of Shanghai Jingmao. The stated amount of the contingent liability reflects Changyou’s best estimate as of December 31, 2019 and 2020 pursuant to ASC 450-20. Receipts in advance and deferred revenue Receipts in advance relating to: brand advertising business $ 7,097 $ 5,214 online game business 5,524 7,869 other business 6,490 6,029 Total receipts in advance 19,111 19,112 Deferred revenue 31,210 32,943 $ 50,321 $ 52,055 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2020 | |
RELATED PARTY TRANSACTIONS [Abstract] | |
Related Party Transactions | 9. RELATED PARTY TRANSACTIONS Under an agreement between Sohu and Fox Financial Technology Group Limited (“Fox Financial,” formerly known as “SoEasy Internet Finance Group Limited”) entered into in August 2014, Sohu invested $4.8 million and $16.1 million, respectively, in Fox Financial in August 2014 and April 2015. In February 2016, Sohu invested an additional $10.5 million in Fox Financial. Changyou’s Loan Arrangements with Fox Financial Commencing in April 2015, certain subsidiaries of Changyou and certain subsidiaries of Fox Financial entered into a series of loan agreements pursuant to which the subsidiaries of Changyou were entitled to draw down HK dollar-denominated or U.S. dollar-denominated loans from the Fox Financial subsidiaries and the Fox Financial subsidiaries were entitled to draw down equivalent RMB-denominated loans from the subsidiaries of Changyou, to facilitate each other’s business operations. All of the loans carry a fixed rate of interest which approximates the current market interest rate. In December 2018 and 2019, Changyou entered into supplemental agreements with Fox Financial pursuant to which all accrued and unpaid interest on the loans as of December 31, 2018 and December 31, 2019 was added to the principal of the corresponding loans. In December 2019, Changyou entered into a supplemental agreement with Fox Financial which states that Fox Financial undertakes and agrees to provide to Changyou a guaranty of the repayment obligation of Fox Financial and to deposit an amount equal to the US dollar denominated loan principal and corresponding interest owed by Changyou to Fox Financial as a security deposit. If Fox Financial fails to repay the RMB-denominated loan principal and corresponding interest based on RMB owed to Changyou, then the security deposit will be applied to repayment of the loan principal and corresponding interest owed to Changyou. The security deposit will be required to be replenished by Fox Financial if it is insufficient to repay the loan principal and corresponding interest of the RMB-denominated loan owed to Changyou, and any remaining surplus after the repayment of the RMB-denominated loan principal and interest will be returned to Fox Financial. The parties entered into an additional supplemental agreement, in which Changyou undertakes and agrees to provide to Fox Financial a guaranty of Changyou’s repayment obligation and to deposit an amount equal to the RMB-denominated loan principal and corresponding interest owed by Fox Financial to Changyou as a security deposit. If Changyou fails to repay the loan principal and corresponding interest, then the security deposit will be applied to repayment of the loan principal and corresponding interest owed to Fox Financial. The security deposit will be required to be replenished by Changyou if it is insufficient to repay the loan principal and corresponding interest to Fox Financial, and the remaining security deposit (if any) will be returned to Changyou if there is any surplus after the repayment of the US dollar denominated loan principal and interest. As of December 31, 2020, the loan arrangements had expired and no new supplemental agreements were signed. Under supplemental agreements of guaranty between Changyou and Fox Financial entered into in December 2019, if Fox Financial failed to repay the RMB - RMB-denominated As of the date of this report, the loan arrangements have not been settled, and a settlement plan is under discussion. RMB-denominated As of December 31, 2019 and December 31, 2020, Changyou had U.S. dollar-denominated loans payable to Fox Financial in a total RMB-denominated |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2020 | |
FAIR VALUE MEASUREMENTS [Abstract] | |
Fair Value Measurements | 10. FAIR VALUE MEASUREMENTS Fair Value of Financial Instruments U.S. GAAP establishes a three-tier hierarchy to prioritize the inputs used in the valuation methodologies in measuring the fair value of financial instruments. This hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three-tier fair value hierarchy is: Level 1 - observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - include other inputs that are directly or indirectly observable in the market place. Level 3 - unobservable inputs which are supported by little or no market activity. The Sohu Group’s financial instruments consist primarily of cash equivalents, restricted cash, short-term investments, accounts receivable, financing receivables, prepaid and other current assets, long-term investments, restricted time deposits, accounts payable, accrued liabilities, receipts in advance and deferred revenue, short-term bank loans, other short-term liabilities, long-term bank loans and long-term accounts payable. Financial Instruments Measured at Fair Value The following table sets forth the financial instruments, measured at fair value by level within the fair value hierarchy, as of December 31, 2019 (in thousands): Fair value measurements at reporting date using Items As of Quoted Prices Significant Significant Cash equivalents $ 112,349 $ 0 $ 112,349 $ 0 Restricted cash 3,290 0 3,290 0 Restricted time deposits 240 0 240 0 Short-term investments 321,483 0 321,483 0 Equity investments with readily determinable fair values 9,320 9,320 0 0 The following table sets forth the financial instruments, measured at fair value by level within the fair value hierarchy, as of December 31, 2020 (in thousands): Fair value measurements at reporting date using Items As of Quoted Prices Significant Significant Cash equivalents $ 173,655 $ 0 $ 173,655 $ 0 Restricted cash 330,791 0 330,791 0 Restricted time deposits 101,519 0 101,519 0 Short-term investments 100,745 0 100,745 0 Equity investments with readily determinable fair values 9,457 9,457 0 0 Cash Equivalents The Sohu Group’s cash equivalents mainly consist of time deposits with original maturities of three months or less, notice deposits, and highly liquid investments that are readily convertible to known amounts of cash. The fair values of cash equivalents are determined based on the pervasive interest rates in the market. The Group classifies the valuation techniques that use the pervasive interest rates input as Level 2 of fair value measurements. Generally, there are no quoted prices in active markets for identical cash equivalents at the reporting date. In order to determine the fair value, the Group must use the discounted cash flow method and observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Restricted Cash and Restricted Time Deposits Restricted cash and restricted time deposits are valued based on the prevailing interest rates in the market using the discounted cash flow method. The Sohu Group classifies the valuation techniques that use these inputs as Level 2 of fair value measurements. Changyou Loans from Offshore Banks, Secured by Time Deposits In 2018, Changyou drew down loans from the Hong Kong branches of PRC banks, which were secured by an equivalent or greater amount of RMB deposits by Changyou in the PRC branches of the banks. The loans from the Hong Kong branches of the lending banks were repaid in April 2019 by Changyou and the RMB deposits in the PRC branches of the banks were released. In the fourth quarter of 2020, Changyou drew down from an offshore branch of a PRC bank a loan of $215.6 million that was secured by an equivalent amount of RMB deposits by Changyou in the PRC branch of the bank and a mortgage on a building owned by Sohu. The loan carries a floating rate of interest based on the London Inter-Bank Offered Rate (“LIBOR”). The loan from the offshore branch of the lending bank was classified as short-term bank loan based on its payment term. The RMB deposits in the PRC securing the offshore loan are treated as restricted cash on our consolidated balance sheets. For the years ended December 31, 2020 and 2019, interest income from the restricted time deposits securing the loans were $0.1 million and $0.5 million, respectively, and expense for interest on the loans was $0.1 million and $2.1 million, respectively. In the second quarter of 2020, Changyou pledged deposit certificates in connection with the Sohu Group’s financing of the Changyou Merger. As of December 31, 2020, Changyou had pledged deposit certificates in the amount of $ Short-term Investments In accordance with ASC 825, for investments in financial instruments with a variable interest rate indexed to performance of underlying assets, the Sohu Group elected the fair value method at the date of initial recognition and carried these investments at fair value. Changes in the fair value are reflected in the consolidated statements of comprehensive income as other income/(expense). To estimate fair value, the Group refers to the quoted rate of return provided by banks at the end of each period using the discounted cash flow method. The Group classifies the valuation techniques that use these inputs as Level 2 of fair value measurements. As of December 31, 2020 and December 31, 2019, the Sohu Group’s investment in these financial instruments was $100.7 million and $321.5 million, respectively. The investment instruments were issued by commercial banks in China, and have a variable interest rate indexed to performance of underlying assets. Since these investments’ maturity dates are within one year, they are classified as short-term investments. For the years ended December 31, 2020 and 2019, the Sohu Group recorded gains from changes in the fair value of short-term investments in the amounts of $4.3 million and $11.1 million, respectively, in the consolidated statements of comprehensive income. Equity Investments ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities, The Group measures equity investments under the equity method and equity investments without readily determinable fair values at fair value on a non-recurring Equity Investments Accounted for Using the Equity Method For investments in common stock or in-substance non-recurring non-recurring Equity Investments with Readily Determinable Fair Values Effective as of January 1, 2018, all equity investments in unconsolidated entities (other than those accounted for using the equity method of accounting) will generally be measured at fair value through earnings. There will no longer be an available-for-sale Equity investments with readily determinable fair values are valued using the market approach based on the quoted prices in active markets at the reporting date. The Group classifies the valuation techniques that use these inputs as Level 1 of fair value measurements. Equity Investments without Readily Determinable Fair Values Based on ASU 2016-01, If this measurement alternative is elected, changes in the carrying value of the equity investment will be required to be made whenever there are observable price changes in transactions for identical or similar investments of the same issuer. The implementation guidance notes that an entity should make a “reasonable effort” to identify price changes that are known or that can reasonably be known. When observable price changes were identified, the Group used the back-solve method to re-measure non-recurring Short-term Receivables and Payables Accounts receivable and prepaid and other current assets are financial assets with carrying values that approximate fair value due to their short-term nature. Short-term accounts payable, accrued liabilities, receipts in advance and deferred revenue, short-term bank loans and other short-term liabilities are financial liabilities with carrying values that approximate fair value due to their short-term nature. For short-term receivables and payables, the Group estimated fair values using the discounted cash flow method. The Group classifies the valuation technique as Level 2 of fair value measurements. Short-term Bank Loans For short-term bank loans, the rates of interest under the agreements with the lending banks were determined based on the prevailing interest rates in the market. The Sohu Group estimated fair values using the discounted cash flow method and classifies the valuation techniques that use these inputs as Level 2 of fair value measurements. • Factoring contract with recourse with HongKong and Shanghai Banking Corporation Limited (“HSBC”) In May 2017, Sohu entered into a factoring contract with recourse with HSBC, pursuant to which Sohu may borrow from HSBC from time to time up to a combined aggregate of RMB180.0 million (or $26.2 million), which is the upper limit reviewed by HSBC at least annually. The loan is secured by up to RMB198.0 million (or $28.8 million) of Sohu’s accounts receivable and guaranteed by Sohu Media. Interest accrues on the principal amounts of the loans outstanding at an annual rate agreed to by HSBC and Sohu upon drawdown. In June 2019, Sohu terminated the factoring contract with recourse with HSBC, and the accounts receivable of Sohu was released from the pledge. As of both December 31, 2020 and December 31, 2019, the total outstanding balance of the loan was nil. • Credit agreements with Industrial and Commercial Bank of China Limited (“ICBC”) In September 2017, Sohu entered into credit agreements with ICBC pursuant to which Sohu was entitled to borrow from ICBC from time to time until March 31, 2018 up to a combined aggregate of RMB800 million (or $116.6 million). The loan is secured by the pledge of Sohu’s building which serves as Sohu’s corporate headquarters in Beijing (“Sohu’s headquarters”). Interest accrues on the principal amounts of the loans outstanding at an annual rate equal to the Loan Prime Rate (“LPR”) published by the National Interbank Funding Center, plus 1.2%. The outstanding principal amount of the loan will be payable in four equal installments, with the first installment payable 18 months after the drawdown and the other three installments payable semi-annually at the end of each of the three successive six-month In July 2020, Sohu repaid all of the outstanding balance under the loan arrangements with ICBC and Sohu’s headquarters were released from the pledge. As of December 31, 2020 and December 31, 2019, the total outstanding balance of the loan was nil and RMB400 million (or $57.3 million), respectively. • Credit agreements with the China Merchants Bank Co., Ltd. (“CMB”) In April 2018, Sohu entered into credit agreements with CMB pursuant to which Sohu was entitled to borrow from CMB from time to time until March 22, 2021 up to an aggregate of RMB700 million (or approximately $102.0 million) (the “CMB Loan”). In April 2018, Sohu made an initial drawdown under the CMB Loan with a term of 12 months in the amount of RMB400 million (or $58.3 million) (the “First Drawdown”). The proceeds of the First Drawdown were used to repay in full the outstanding balance and all accrued and unpaid interest under credit agreements between Sohu and Ping An Bank. The CMB Loan was secured by a pledge of Sohu’s building, which was released from the pledge after Ping An Bank received such repayment. Interest accrued on the outstanding principal balance at a rate of 6% per year. In April 2019, the outstanding principal amount of the First Drawdown was repaid in full. In June 2018, Sohu made a drawdown under the CMB Loan with a term of 24 months in the amount of RMB300 million (or approximately $43.7 million) (the “Subsequent Drawdown”). Interest accrued on the outstanding principal balance at a rate of 6% per year. The outstanding principal amount of the Subsequent Drawdown was payable in four installments. The first installment of RMB45 million (or $6.7 million) was paid in December 2018; the second and third installments of RMB90 million (or $13.1 million) in the aggregate were paid early in June 2019; and the fourth installment of RMB165 million (or $23.3million) was paid early in July 2019. In April 2019 and May 2019, Sohu made drawdowns under the CMB Loan with a term of 12 months in the aggregate amount of RMB399 million ($59.3 million). Interest accrues on the outstanding principal balances at a rate of 5.1% per year. The outstanding principal amount of each drawdown will be due and payable 12 months after such drawdown. In May 2020, Sohu repaid all of the outstanding balance under the loan arrangements with CMB and the pledge of Sohu’s building was released. As of December 31, 2020 and December 31, 2019, the total outstanding balance of the CMB loan was nil • Credit agreement with Industrial and Commercial Bank of China Limited, Tokyo Branch (“ICBC Tokyo”) On April 3, 2020, the Company’s indirect wholly-owned subsidiary Sohu.com (Game) Limited (“Sohu Game”), as borrower, and Sohu.com Limited, as guarantor, entered into a facility agreement (the “Facility Agreement”) with ICBC Tokyo pursuant to which ICBC Tokyo agreed to provide a term loan facility of up to $250 million (the “Term Facility”), subject to customary conditions, to be used to finance the consummation of the Changyou Merger and the related transactions and to pay related fees and expenses associated with the Changyou Merger. The Term Facility consisted of (i) a one-year “One-Year One-Year one-year One-Year One-Year The obligations of Sohu Game as borrower under the Term Facility were initially fully guaranteed by Sohu.com Limited, and were initially secured by first priority share pledges over 97.9% of the outstanding equity interests in Changyou. In the second quarter of 2020, Changyou pledged deposit certificates evidencing an RMB deposit in the amount of $192 million in the aggregate at an exchange rate of RMB7.20 to $1.00 Long-term Payables Long-term payables mainly consist of long-term accounts payable, long-term bank loans, long-term After the Changyou Plans’ Modification, long term payables also include liabilities accrued over the option holders’ service periods with a fixed price of $5.39 per Changyou Class A ordinary share. Long-term accounts payable are financial liabilities with carrying values that approximate fair value due to any changes in fair value, after considering the discount rate, being immaterial. For long-term accounts payable, the Group estimated fair values using the discounted cash flow method. The Sohu Group classifies the valuation technique as Level 2 of fair value measurements. Assets Measured at Fair Value on a Nonrecurring Basis The following table sets forth assets measured at fair value on a nonrecurring basis by level within the fair value hierarchy as of December 31, 2019 and 2020 (in thousands) Fair value measurements at reporting date using Items As of Quoted Prices in Significant Other Significant Purchased video content recorded in prepaid and other assets $ 3,115 $ 0 $ 0 $ 3,115 Intangible assets, net 9,922 0 0 9,922 Goodwill 47,390 0 0 47,390 Fair value measurements at reporting date using Items As of Quoted Prices in Significant Other Significant Purchased video content recorded in prepaid and other assets $ 2,585 $ 0 $ 0 $ 2,585 Intangible assets, net 4,842 0 0 4,842 Goodwill 48,434 0 0 48,434 Purchased Video Content Recorded in Prepaid and Other Assets The impairment losses recognized in prepaid and other assets were mainly due to impairment losses for Sohu Video’s purchased video content. See Note 14 - Intangible Assets, Net. Intangible Assets Intangible assets mainly comprise purchased video content, operating rights for licensed games, domain names and trademarks, computer software, and developed technologies. The impairment losses recognized for intangible assets were mainly due to impairment losses for the domain name related to the 56.com Website and Sohu Video’s purchased video content. See Note 14 - Intangible Assets, Net. Goodwill Goodwill represents the excess of the purchase price over the fair value of the identifiable assets and liabilities acquired as a result of the Group’s acquisitions of interests in its subsidiaries and consolidated VIEs. See Note 13 - Goodwill. |
Lease
Lease | 12 Months Ended |
Dec. 31, 2020 | |
LEASES [Abstract] | |
Leases | 11. LEASE The Group has entered into operating lease agreements, primarily for offices in China with lease periods expiring between 2020 and 2025. The determination of whether an arrangement is or contains a lease is made at the inception of the lease by evaluating whether the arrangement conveys the right to use an identified asset and whether the Group obtains substantially all of the economic benefits from and has the ability to direct the use of the asset. Operating lease assets and liabilities are included on the Group’s consolidated balance sheets beginning January 1, 2019. The right-of-use Operating lease assets and liabilities are recognized at the present value of the future lease payments at the lease commencement date. The Group uses its incremental borrowing rate in determining the present value of the future lease payments, because the interest rate implicit in most of the leases is not readily determinable. The Group estimates its incremental borrowing rate for each leased asset based on the interest rate the Group would incur to borrow an amount equal to the lease payments on a collateralized basis over a similar term in a similar economic environment. Certain lease agreements contain an option for the Group to renew a lease for a term agreed to by the Group and the lessor or an option to terminate a lease earlier than the maturity date. The Group considers these options, which may be elected at the Group’s sole discretion, in determining the lease term on a lease-by-lease The Group’s lease agreements generally contain lease and non-lease Non-lease non-lease non-lease Components of operating lease expense are as follows (in thousands): Year ended December 31, 2019 2020 Operating lease expense $ 4,858 $ 3,985 Short-term lease expense 244 297 Total operating lease expense $ 5,102 $ 4,282 Supplemental cash flow information related to leases are as follows (in thousands): Year ended December 31, 2019 2020 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 5,013 $ 3,206 Year ended December 31, 2019 2020 Right-of-use Operating leases $ 134 $ 5,351 The following table presents supplemental balanc e Year ended December 31, 2019 2020 Assets: Operating lease right-of-use $ 3,323 $ 4,998 Liabilities: Current lease liabilities 2,510 1,107 Non-current 83 3,855 Total operating lease liabilities $ 2,593 $ 4,962 Maturities of lease liabilities under operating leases as of December 31, 2020 are as follows (in thousands): 2021 $ 1,957 2022 1,785 2023 1,421 2024 191 2025 95 Thereafter 0 Total future lease payments 5,449 Less: imputed interest (487 ) Total present value of lease liabilities $ 4,962 As of December 31, 2020, operating leases recognized in lease liabilities had a weighted average remaining lease term of 3.0 years and a weighted average discount rate of 5.7%. As of December 31, 2020, liabilities for leases that had been entered into, but the term of which had not yet commenced, amounted to $1.9 million. |
Fixed Assets
Fixed Assets | 12 Months Ended |
Dec. 31, 2020 | |
FIXED ASSETS [Abstract] | |
Fixed Assets | 12. FIXED ASSETS The following table summarizes the Sohu Group’s fixed assets (in thousands): As of December 31, 2019 2020 Office buildings $ 366,686 $ 392,045 Computer equipment and hardware 133,451 132,021 Leasehold and building improvements 34,251 36,649 Office furniture 6,609 6,841 Vehicles 3,239 3,729 Fixed assets, gross 544,236 571,285 Accumulated depreciation (206,554 ) (233,611 ) Fixed assets, net $ 337,682 $ 337,674 For the years ended December 31, 2020, 2019 and 2018, depreciation expenses for fixed assets were $25.5 million, $28.2 million and $32.1 million, respectively. |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2020 | |
GOODWILL [Abstract] | |
Goodwill | 13. GOODWILL Changes in the carrying value of goodwill by segment are as follows (in thousands): Sohu Changyou Total Balance as of December 31, 2018 Goodwill 69,627 180,543 250,170 Accumulated impairment losses (32,246 ) (170,286 ) (202,532 ) $ 37,381 $ 10,257 $ 47,638 Transactions in 2019 Foreign currency translation adjustment (248 ) 0 (248 ) Impairment losses 0 0 0 Balance as of December 31, 2019 $ 37,133 $ 10,257 $ 47,390 Balance as of December 31, 2019 Goodwill 69,379 180,543 249,922 Accumulated impairment losses (32,246 ) (170,286 ) (202,532 ) $ 37,133 $ 10,257 $ 47,390 Transactions in 2020 Foreign currency translation adjustment 1,044 0 1,044 Impairment losses 0 0 0 Balance as of December 31, 2020 $ 38,177 $ 10,257 $ 48,434 Balance as of December 31, 2020 Goodwill 70,423 180,543 250,966 Accumulated impairment losses (32,246 ) (170,286 ) (202,532 ) $ 38,177 $ 10,257 $ 48,434 There was one reporting unit under the Sohu segment. After Changyou ceased operations of RaidCall and the cinema advertising business, the reporting units under the Changyou segment consisted of the Changyou online game business and the 17173.com Website. The Changyou online game business was the only reporting unit with goodwill under the Changyou segment. In the fourth quarter of 2020, the Sohu Group tested goodwill for impairment at the reporting unit level. The Group performed impairment tests using the qualitative and quantitative methods. For the Sohu segments, impairment tests were conducted by quantitatively comparing the fair values of the reporting units to their carrying amounts. The Sohu segments estimated the fair values by weighting the results from the income approach and market approach. The valuation approach considers a number of factors that include expected future cash flows, revenue growth rates, discount rates, and requires Sohu to make certain assumptions and estimates regarding future profitability of the business. The market approach considers earnings multipliers based on market data of comparable companies engaged in similar business. For the Changyou segment, Changyou first qualitatively assessed whether it was more likely than not that the fair values of the reporting segments were less than their carrying amounts. For those reporting units where it was more likely than not that their fair values were less than their carrying amounts, Changyou performed the quantitative goodwill impairment test. Changyou estimated the fair values using the income approach considering factors that included expected future cash flows, growth rates and discount rates. As of December 31, 2020, for the Sohu and Changyou segments, management concluded that the fair values of the reporting units exceeded their carrying values, indicating that the goodwill of the reporting units was not impaired. In March 2019 and August 2019, respectively, Changyou ceased its RaidCall and cinema advertising business operations. Accordingly, there were no impairments for these two units, as the carrying values of both RaidCall and the cinema advertising business were nil before their cessation. As of December 31, 2019, for the Sohu segment and the businesses in the Changyou segment, management concluded that the fair values of the reporting units exceeded their carrying values, indicating that the goodwill of the reporting units was not |
Intangible Assets, Net
Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2020 | |
INTANGIBLE ASSETS, NET [Abstract] | |
Intangible Assets, Net | 14. INTANGIBLE ASSETS, NET As of December 31, 2019 Items Gross Accumulated Impairment Net Purchased video content $ 217,610 $ (179,167 ) $ (35,940 ) $ 2,503 Operating rights for licensed games 47,227 (27,992 ) (12,365 ) 6,870 Domain names and trademarks 26,301 (9,896 ) (16,176 ) 229 Computer software 13,273 (12,953 ) 0 320 Developed technologies 8,200 (868 ) (7,332 ) 0 Others 2,738 (903 ) (1,835 ) 0 Total $ 315,349 $ (231,779 ) $ (73,648 ) $ 9,922 As of December 31, 2020 Items Gross Accumulated Impairment Net Purchased video content $ 212,999 $ (161,160 ) $ (50,088 ) $ 1,751 Operating rights for licensed games 51,856 (35,017 ) (14,026 ) 2,813 Domain names and trademarks 27,536 (10,243 ) (17,219 ) 74 Computer software 11,749 (11,545 ) 0 204 Developed technologies 8,699 (918 ) (7,781 ) 0 Others 2,928 (966 ) (1,962 ) 0 Total $ 315,767 $ (219,849 ) $ (91,076 ) $ 4,842 Impairment Losses In 2020, Sohu recognized a $1.5 million impairment loss related to Sohu Video’s purchased video content pursuant to the Sohu Group’s policy on impairment of overseas content. Changyou recognized a $2.7 million impairment loss related to content and game licenses, of which $0.8 million was recognized as impairment of intangible assets and $1.9 million was recognized as impairment of prepaid and other current assets. In 2019, Sohu recognized a $7.2 million impairment loss for a domain name related to the 56.com Website, mainly due to enhanced restrictions that Chinese regulatory authorities imposed on the broadcasting industry, which had an adverse effect on the operation of the 56.com Website. Also in 2019, Sohu recognized a $4.0 million impairment loss related to Sohu Video’s purchased video content pursuant to the Sohu Group’s policy on impairment of overseas content. In 2018, Sohu recognized $10.4 million in losses related to Sohu Video’s purchased video content, of which $9.8 million was recognized as impairment of intangible assets and $0.6 million was recognized as impairment of prepaid and other current assets, as Sohu Video’s revenues for 2018 did not meet management’s expectations. Amortization In 2020, 2019 and 2018, amortization of intangible assets was $14.4 million, $38.8 million and $58.1 million, respectively. As of December 31, 2020, amortization expenses for future periods are estimated to be as follows: For the year ended December 31, (in thousands) 2021 3,346 2022 1,177 2023 279 2024 40 2025 0 Thereafter 0 Total expected amortization expense $ 4,842 |
Taxation
Taxation | 12 Months Ended |
Dec. 31, 2020 | |
TAXATION [Abstract] | |
Taxation | 15. TAXATION Income Tax PRC Corporate Income Tax The majority of the subsidiaries and VIEs of the Sohu Group are based in mainland China and are subject to income taxes in the PRC. These China-based subsidiaries and VIEs conduct substantially all of the Sohu Group’s operations, and generate most of the Sohu Group’s income or losses. The CIT Law applies an income tax rate of 25% to all enterprises but grants preferential tax treatment to HNTEs, Software Enterprises, and KNSEs. Principal Entities Qualified as HNTEs Under preferential tax treatment, HNTEs can enjoy an income tax rate of 15%, but need to re-apply As of December 31, 2020, the following principal entities of the Sohu Group were qualified as HNTEs and were entitled to an income tax rate of 15%. For Sohu • Sohu New Momentum. Sohu New Momentum qualified as an HNTE for the years 2019 through 2021, and will need to re-apply • Sohu Internet and Video Tianjin. Sohu Internet and Video Tianjin qualified as HNTEs for the years 2018 through 2020, and will need to re-apply • Sohu Media. Sohu Media re-applied re-apply For Changyou • Gamespace and Changyou Chuangxiang. Gamespace and Changyou Chuangxiang qualified as HNTEs for the years 2019 through 2021, and will need to re-apply • Gamease and AmazGame. Gamease and AmazGame re-applied re-apply For Sogou • Sogou Network. Sogou Network qualified as an HNTE for the years 2019 through 2021, and will need to re-apply • Sogou Information. Sogou Information qualified as an HNTE for the years 2018 through 2020, and will need to re-apply • Sogou Technology. Sogou Technology re-applied re-apply Principal Entities Qualified as KNSEs The CIT Law and its implementing regulations provide that a Software Enterprise is entitled to an income tax exemption for two years beginning with its first profitable year and a 50% reduction to a rate of 12.5% for the subsequent three years. An entity that qualifies as a KNSE is entitled to a further reduced preferential income tax rate of 10%. Enterprises wishing to enjoy the status of a Software Enterprise or a KNSE must perform a self-assessment each year to ensure they meet the criteria for qualification and file required supporting documents with the tax authorities before using the preferential CIT rates. These enterprises will be subject to the tax authorities’ assessment each year as to whether they are entitled to use the relevant preferential CIT treatments. If at any time during the preferential tax treatment years an enterprise uses the preferential CIT rates but the relevant authorities determine that it fails to meet applicable criteria for qualification, the relevant authorities may revoke the enterprise’s Software Enterprise or KNSE status . For Changyou • AmazGame. In 2020, AmazGame completed a self-assessment and filed required supporting documents for KNSE status for 2019. Also in 2020, AmazGame was qualified as a KNSE after the relevant government authorities’ assessment and became entitled to a preferential income tax rate of 10% for 2019. In 2021, AmazGame expects to follow the appropriate rules and procedures of the relevant government authorities in order to maintain its KNSE status for 2020. • Changyou Chuangxiang. In 2020, Changyou Chuangxiang completed a self-assessment and filed required supporting documents for KNSE status for 2019. In 2020, Changyou Chuangxiang was qualified as a KNSE after the relevant government authorities’ assessment and became entitled to a preferential income tax rate of 10% for 2019. In 2021, Changyou Chuangxiang expects to follow the appropriate rules and procedures of the relevant government authorities in order to maintain its KNSE status for 2020. U.S. Corporate Income Tax Sohu.com Inc., which was formerly the top-tier one-time Certain activities conducted in the PRC resulted in U.S. corporate income taxes being imposed on Sohu.com Inc. when its subsidiaries that were controlled foreign corporations (“CFCs”) generated income that was subject to Subpart F of the U.S. Internal Revenue Code (“Subpart F”). Generally, passive income, such as rents, royalties, interest, dividends, and gains from disposal of the company’s investments, is among the types of income subject to taxation under Subpart F. Any income taxable under Subpart F was taxable in the U.S. at the applicable federal corporate income tax rate. Subpart F income also included certain income from intra-Group transactions between Sohu.com Inc.’s non-U.S. subsidiaries and VIEs and Changyou’s non-U.S. subsidiaries and VIEs or Sogou’s non-U.S. subsidiaries and VIEs, or where Sohu.com Inc.’s non-U.S. subsidiaries or VIEs made an “investment in U.S. property,” such as holding the stock in, or making a loan to, a U.S. corporation. Under a provision of the U.S. tax code commonly referred to as the CFC look-through rule, Sohu.com Inc. did not have to treat dividends received by its CFC subsidiaries as Subpart F income includible in Sohu.com Inc.’s taxable income in the U.S. To the extent that portions of Sohu.com Inc.’s U.S. taxable income, such as Subpart F income or GILTI, as applicable, had been determined to be from sources outside of the U.S., subject to certain limitations, Sohu.com Inc. may have been entitled to claim foreign tax credits to offset its U.S. income tax liabilities. Following the enactment of the U.S. TCJA, if dividends that Sohu.com Inc. received from its subsidiaries after January 1, 2018 were determined to be from sources outside of the U.S., subject to certain limitations, Sohu.com Inc. would generally not have been required to pay U.S. corporate income tax on those dividends. Liabilities for U.S. corporate income tax were accrued in the Company’s consolidated statements of comprehensive income and estimated tax payments were made when required by U.S. law. Treatment of Toll Charge Related to the U.S. TCJA Beginning in the fourth quarter of 2017, the Sohu Group had recognized a provisional amount of income tax expense for the Toll Charge of $219 million, which represented management’s estimate of the amount of the Toll Charge that would have been payable by Sohu.com Inc. based on the deemed repatriation to the United States of its share of previously deferred earnings of certain of its non-U.S. For the fourth quarter of 2018, the Sohu Group’s management re-evaluated The tax benefit recognized and the unrecognized tax benefit in relation to the Toll Charge may be subject to further adjustment in subsequent periods based on facts and circumstances that arose after December 31, 2020, such as any IRS assessments upon audit and management’s further judgment and estimates. Cayman Island Tax Under the current tax laws of the Cayman Islands, the Group is not subject to tax on its income or capital gains. In addition, no Cayman Islands withholding tax will be imposed upon the payment of dividends by the Group to its shareholders. Hong Kong Tax The Group’s subsidiaries incorporated in Hong Kong are subject to profits tax in Hong Kong at the rate of 16.5% for each of the years ended December 31, 2018, 2019 and 2020. Composition of Income Tax Expense Sohu.com Inc., which was the former top-tier top-tier The components of income before income taxes are as follows (in thousands): Year ended December 31, 2018 2019 2020 Income/(loss) before income tax expense Income/(loss) from China operations $ (76,585 ) $ (89,150 ) $ 154,514 Income/(loss) from non-China (59,307 ) 19,079 (57,815 ) Total income/(loss) before income tax expense from continuing operations $ (135,892 ) $ (70,071 ) $ 96,699 Income tax expense applicable to China operations Current tax $ 14,578 $ 9,026 $ 24,255 Deferred tax 48,907 11,191 102,652 Subtotal income tax expense applicable to China operations 63,485 20,217 126,907 Non-China (78,540 ) 7,887 6,207 Non-China 469 324 112 Total income tax expense/(benefit) from continuing operations $ (14,586 ) $ 28,428 $ 133,226 In 2020, of the $133.2 million total income tax expense, $126.9 million was for PRC tax, resulting primarily from accrued regular income tax expense of $40.7 million and additional income withholding tax of $88 million recognized by Changyou due to a revised policy with respect to Changyou’s PRC subsidiaries regarding their distribution of cash dividends, offset by a reversal of PRC income tax expense of $6.9 million by Changyou due to preferential tax rates that Changyou’s subsidiaries were entitled to as KNSEs; and $6 million was for U.S. corporate income tax, resulting primarily from accrued interest on an unrecognized tax benefit. In 2019, of the $28.4 million total income tax expense, $20.2 million was for PRC tax, resulting primarily from accrued regular income tax expense of $32.6 million, offset by a reversal of PRC income tax expense of $19.5 million by Changyou due to preferential tax rates that Changyou’s subsidiaries were entitled to as KNSE and Software enterprises, and $8 million was for U.S. corporate income tax, resulting primarily from accrued interest on an unrecognized tax benefit. For the fourth quarter of 2018, the Sohu Group’s management re-evaluated The combined effects of the income tax exemption and reduction available to the Group are as follows (in thousands, except per share data): Year Ended December 31, 2018 2019 2020 Tax holiday effect $ 23,271 $ 7,981 $ 16,174 Basic net income per share effect 0.60 0.20 0.41 Effective Tax Rate The CIT Law applies an income tax rate of 25% to all enterprises, but grants preferential tax treatment to HNTEs, Software Enterprises, and KNSEs. The U.S. TCJA significantly modified the U.S. Internal Revenue Code by, among other things, reducing the statutory U.S. federal corporate income tax rate from 35% to 21% for taxable years beginning after December 31, 2017; limiting and/or eliminating many business deductions; migrating the U.S. to a territorial tax system with a one-time The following is reconciliation between the statutory rate and the Group’s effective tax rate. For 2018, 2019 and 2020, the statutory rate represented the PRC statutory rate of 25%. The table does not reflect any accruals related to the Toll Charge. See “ U.S. Corporate Income Tax Treatment of Toll Charge Related to the U.S. TCJA. Year Ended December 31, 2018 2019 2020 Statutory Rate: 25 % 25 % 25 % Effect of tax holidays applicable to subsidiaries and consolidated VIEs (1) 17 % 11 % (17 %) Tax differential from statutory rate applicable to subsidiaries and consolidated VIEs (1 %) 7 % 9 % Effect of withholding taxes (2) (39 %) (12 %) 109 % Changes in valuation allowance for deferred tax assets (29 %) (71 %) 27 % Research and development super-deduction 4 % 12 % (9 %) Others (24 %) (1 %) (13 %) (47 %) (29 %) 131 % Note (1): The reversal of income tax for preferential income tax rates that Changyou’s subsidiaries and VIEs were entitled to as KNSEs or Software Enterprises for 2018, 2019 and 2020 was included in the “Effect of tax holidays applicable to subsidiaries and consolidated VIEs” in the above table. Note (2): The effective tax rate for 2018 was mainly due to additional income withholding tax of $47 million that was recognized in the first quarter of 2018 due to a revised policy for Changyou’s PRC subsidiaries with respect to their distribution of cash dividends. The revised policy was adopted to facilitate the distribution of a special cash dividend in the aggregate amount of approximately $500.0 million that was declared by Changyou’s Board of Directors on April 5, 2018. The change for 2020 was mainly due to additional income withholding tax of $88 million that was recognized in the second quarter of 2020 due to a revised policy with respect to Changyou’s PRC subsidiaries regarding their distribution of cash dividends. PRC Withholding Tax on Dividends The CIT Law imposes a 10% withholding income tax on dividends distributed by foreign invested enterprises in the PRC to their immediate holding companies outside Mainland China. A lower withholding tax rate may be applied if there is a tax treaty between Mainland China and the jurisdiction of the foreign holding company. A holding company in Hong Kong, for example, will be subject to a 5% withholding tax rate under an arrangement between the PRC and the Hong Kong Special Administrative Region on the “Avoidance of Double Taxation and Prevention of Fiscal Evasion with Respect to Taxes on Income,” if such holding company is considered a non-PRC Before 2018, in order to fund the distribution of a dividend to shareholders of the Sohu Group’s majority-owned subsidiary Changyou, Changyou’s management determined to cause one of its PRC subsidiaries to declare and distribute a cash dividend of all of its stand-alone 2012 earnings and half of its stand-alone subsequent years’ earnings to its direct overseas parent company, Changyou HK, and adopted as a policy for such subsequent years for its PRC subsidiaries a limit on payment of dividends to their direct overseas parent companies of one-half With the exception of that dividend, the Sohu Group does not intend to have any of its PRC subsidiaries or VIEs distribute any undistributed profits of such subsidiaries or VIEs to their direct overseas parent companies, but rather intends that such profits will be permanently reinvested by such subsidiaries and VIEs for their PRC operations. As of December 31, 2020, the total amount of undistributed profits from the PRC subsidiaries and VIEs for which no withholding tax had been accrued was $783.8 million, and the unrecognized tax liabilities were $78.4 million. PRC Value-Added Tax On May 1, 2016, the transition from the imposition of PRC business tax to the imposition of VAT was expanded to all industries in China, and as a result all of the Sohu Group’s revenues have been subject to VAT since that date. To record VAT payable, the Group adopted the net presentation method, which presents the difference between the output VAT (at rates of 6% or 17% for the period from January 1, 2018 to April 30, 2018, at rates of 6% or 16% for the period from May 1, 2018 to March 31, 2019, and at rates of 6% or 13% after April 1, 2019) and the available input VAT amount (at the rate applicable to the supplier). Deferred Tax Assets and Liabilities Significant components of the Group’s deferred tax assets and liabilities consist of the following (in thousands): As of December 31, 2019 2020 Deferred tax assets: Net operating loss from operations $ 277,478 $ 325,797 Accrued bonus and commissions 8,539 10,613 Intangible assets transfer 916 690 Others 10,947 8,692 Total deferred tax assets 297,880 345,792 Less: Valuation allowance (283,711 ) (326,755 ) Net deferred tax asset s $ 14,169 $ 19,037 Deferred tax liabilities Withholding tax for dividend $ (86,834 ) $ (206,594 ) Others (9,070 ) (10,999 ) Total deferred tax liabilities $ (95,904 ) $ (217,593 ) Net deferred tax assets are recorded under other assets in the consolidated balance sheets. As of December 31, 2020, the Group had net operating losses from PRC entities of approximately $1.56 billion available to offset against future net profit for income tax purposes. The Group anticipates that it is more likely than not that these net operating losses may not be utilized based on its estimate of the operation performance of these PRC entities; therefore, $318.5 million in deferred tax assets generated from net operating losses were offset by a valuation allowance. The following table sets forth the movement of the valuation allowances for deferred tax assets for the years presented (in thousands): For the Year Ended 2018 2019 2020 Beginning balance $ 233,910 250,524 283,711 Provision for the year 34,496 44,634 36,363 Reversal for the year (6,891 ) (7,311 ) (12,637 ) Foreign currency translation adjustment (10,991 ) (4,136 ) 19,318 Ending balance $ 250,524 283,711 326,755 In 2020, $13.8 million of PRC net operating losses generated from previous years expired. Pursuant to a public announcement issued by the PRC State Administration of Taxation in August 2018, net operating losses of entities not qualified as HNTEs will expire between 2021 and 2025 if not utilized and those of entities qualified as HNTEs will expire in 2030. Uncertain Tax Positions The following table summarizes the Group’s unrecognized tax benefit from January 1, 2018 to December 31, 2020 (in thousands): As of December 31, 2018 2019 2020 Beginning balance $ 31,138 $ 174,363 $ 181,640 Increases /(decreases) related to prior year tax positions (1,190 ) 7,277 7,120 Increases related to current year tax positions 144,415 0 0 Ending balance $ 174,363 $ 181,640 $ 188,760 The increase in 2020 was mainly due to $6 million in interest recognized in connection with an unrecognized tax benefit for the year ended December 31, 2020. The increase in 2019 was mainly due to $8 million interest recognized in connection with an unrecognized tax benefit for the year ended December 31, 2019. The material jurisdictions in which the Group is subject to potential examination include China and the United States. In general, the PRC tax authorities have up to five years, and the U.S. IRS has up to three years and in certain cases up to six years, to conduct examinations of the tax filings of the Group. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2020 | |
COMMITMENTS AND CONTINGENCIES [Abstract] | |
Commitments and Contingencies | 16. COMMITMENTS AND CONTINGENCIES Commitments The following table sets forth the Group’s commitments as of December 31, 2020 (in thousands): 2021 2022 2023 2024 2025 Thereafter Total Royalties and expenditures for licensed content of games $ 28,423 7,870 0 0 0 0 36,293 Purchase of bandwidth 14,084 150 102 0 0 0 14,336 Interest payment commitment 6,623 1,458 1,334 628 0 0 10,043 Operating lease obligations 4,144 3,647 1,165 73 37 0 9,066 Purchase of content and services — others 6,715 236 19 0 0 0 6,970 Purchase of content and services — video 5,398 1,006 0 0 0 0 6,404 Others 518 24 0 0 0 0 542 Total Payments Required $ 65,905 14,391 2,620 701 37 0 83,654 Litigation The Sohu Group is a party to various litigation matters which it considers routine and incidental to its business. The Sohu Group records a liability when the likelihood of an unfavorable outcome is probable and the amount of loss can be reasonably estimated. The Sohu Group evaluates, on a regular basis, developments in litigation matters that could affect the amount of liability that has been previously accrued and makes adjustments as appropriate. Management believes that the total liabilities to the Sohu Group that may arise as a result of currently pending legal proceedings will not have a material adverse effect on the Group’s business, results of operations, financial condition and cash flows. As of December 31, 2020, Sohu and Changyou had no significant litigation contingencies. PRC Law and Regulations The Chinese market in which the Sohu Group operates poses certain macro-economic and regulatory risks and uncertainties. These uncertainties extend to the ability to operate an Internet business and to conduct brand advertising, search and search-related advertising, online game, and other services in the PRC. Though the PRC has, since 1978, implemented a wide range of market-oriented economic reforms, continued reforms and progress towards a full market-oriented economy are uncertain. In addition, the telecommunication, information, and media industries remain highly regulated. Restrictions are currently in place and are unclear with respect to which segments of these industries foreign-owned entities, like the Sohu Group, may operate. The Chinese government may issue from time to time new laws or new interpretations of existing laws to regulate areas such as telecommunication, information and media. The Sohu Group’s legal structure and scope of operations in China could be subject to restrictions, which could result in limits on its ability to conduct business in the PRC. Certain risks related to PRC law that could affect the Sohu Group’s VIE structure are discussed in Note 17 - VIEs. Regulatory risks also encompass interpretation by PRC tax authorities of current tax law, including the applicability of certain preferential tax treatments. The Sohu Group’s sales, purchase and expense transactions are generally denominated in RMB and a significant portion of its assets and liabilities are denominated in RMB. The RMB is not freely convertible into foreign currencies. In China, foreign exchange transactions are required by law to be transacted only by authorized financial institutions. Remittances in currencies other than RMB by its subsidiaries in China may require certain supporting documentation in order to effect the remittance. |
VIEs
VIEs | 12 Months Ended |
Dec. 31, 2020 | |
VIES [Abstract] | |
VIEs | 17. VIEs Background PRC laws and regulations prohibit or restrict foreign ownership of companies that operate Internet information and content, Internet access, online games, mobile, value added telecommunications and certain other businesses in which the Sohu Group is engaged or could be deemed to be engaged. Consequently, the Sohu Group conducts certain of its operations and businesses in the PRC through its VIEs. The Sohu Group consolidates in its consolidated financial statements all of the VIEs of which the Group is the primary beneficiary. VIEs Consolidated within the Sohu Group The Sohu Group adopted the guidance of accounting for VIEs, which requires VIEs to be consolidated by the primary beneficiary of the entity. Management made evaluations of the relationships between the Sohu Group and its VIEs and the economic benefit flow of contractual arrangements with the VIEs. In connection with such evaluation, management also took into account the fact that, as a result of contractual arrangements with its consolidated VIEs, the Sohu Group controls the shareholders’ voting interests in those VIEs. As a result of such evaluation, the management concluded that the Sohu Group is the primary beneficiary of the VIEs which the Group consolidates. All of the consolidated VIEs are incorporated and operated in the PRC, and the Group’s principal VIEs are directly or indirectly owned by Dr. Charles Zhang, the Sohu Group’s Chairman and Chief Executive Officer, or other executive officers and employees of the Sohu Group identified below. Capital for the consolidated VIEs was funded by the Sohu Group through loans provided to Dr. Charles Zhang and other executive officers and employees, and was initially recorded as loans to related parties. These loans are eliminated for accounting purposes against the capital of the VIEs upon consolidation. Under contractual agreements with the Sohu Group, Dr. Charles Zhang and those other executive officers and employees of the Sohu Group who are shareholders of the consolidated VIEs are required to transfer their ownership in these entities to the Group, if permitted by PRC laws and regulations, or, if not so permitted, to designees of the Group at any time as requested by the Group to repay the loans outstanding. All voting rights of the consolidated VIEs are assigned to the Sohu Group, and the Group has the right to designate all directors and senior management personnel of the consolidated VIEs, and also has the obligation to absorb losses of the consolidated VIEs. Dr. Charles Zhang and those other executive officers and employees of the Sohu Group who are shareholders of the consolidated VIEs have pledged their shares in the consolidated VIEs as collateral for the loans. As of December 31, 2020, the aggregate amount of these loans was $7.6 million. Under its contractual arrangements with the consolidated VIEs, the Sohu Group has the power to direct activities of the VIEs, and can have assets transferred freely out of the VIEs without any restrictions. Therefore, the Group considers that there is no asset of a consolidated VIE that can be used only to settle obligations of the VIEs, except for registered capital and PRC statutory reserves of the VIEs. As of December 31, 2020, the registered capital and PRC statutory reserves of the consolidated VIEs totaled $103.9 million. As all of the consolidated VIEs are incorporated as limited liability companies under the PRC Company Law, creditors of the consolidated VIEs do not have recourse to the general credit of the Sohu Group for any of the liabilities of the consolidated VIEs. Currently there is no contractual arrangement that could require the Sohu Group to provide additional financial support to the consolidated VIEs. As the Sohu Group is conducting certain business in the PRC mainly through the consolidated VIEs, the Group may provide such support on a discretionary basis in the future, which could expose the Group to a loss. The Sohu Group classified the consolidated VIEs within the Sohu Group as principal VIEs or immaterial VIEs based on certain criteria, such as the VIEs’ total assets or revenues. The following is a summary of the principal VIEs within the Sohu Group: Basic Information for Principal VIEs and Subsidiaries of Principal VIEs For Sohu • High Century High Century was incorporated in 2001. As of December 31, 2020, Dr. Charles Zhang and Wei Li held 80% and 20% interests, respectively, in this entity. • Heng Da Yi Tong Heng Da Yi Tong was incorporated in 2002. As of December 31, 2020, Dr. Charles Zhang and Wei Li held 80% and 20% interests, respectively, in this entity. • Sohu Internet Sohu Internet was incorporated in 2003. As of December 31, 2020, High Century held a 100% interest in this entity. • Donglin Donglin was incorporated in 2010. As of December 31, 2020, Sohu Internet held a 100% interest in this entity. • Tianjin Jinhu Tianjin Jinhu was incorporated in 2011. As of December 31, 2020, Xiufeng Deng and Xuemei Zhang each held a 50% interest in this entity. • Focus Interactive Focus Interactive was incorporated in July 2014. As of December 31, 2020, Heng Da Yi Tong held 100% of the equity interests in this entity. For Changyou • Gamease Gamease was incorporated in 2007. As of December 31, 2020, High Century held a 100% interest in this entity. • Shanghai ICE Shanghai ICE was acquired by Changyou in 2010. As of December 31, 2020, Gamease held a 100% interest in this entity. • Guanyou Gamespace Guanyou Gamespace was incorporated in 2010. As of December 31, 2020, Beijing Changyou Star Digital Technology Co., Ltd (“Changyou Star”) held a 100% interest in this entity. For Sogou • Sogou Information Sogou Information was incorporated in 2005. As of December 31, 2020, Xiaochuan Wang, Sogou’s Chief Executive Officer, High Century and Tencent held 10%, 45% and 45% interests, respectively, in this entity. • Chengdu Easypay Chengdu Easypay was incorporated in 2015. As of December 31, 2020, Sogou Information held 100% of the equity interests in this entity. Financial Information The following financial information of the Sohu Group’s consolidated VIEs (including subsidiaries of VIEs) is included in the accompanying consolidated financial statements (in thousands): As of December 31, 2019 2020 ASSETS: Cash and cash equivalent s $ 40,535 $ 47,028 Restricted cash 1,132 1,211 Accounts receivable, net 67,403 47,234 Prepaid and other current assets 13,586 15,385 Short-term investments 0 153 Intra-Group receivables due from the Company’s subsidiaries 400,338 506,659 Assets held for sale (current) 121,347 113,011 Total current assets 644,341 730,681 Long-term investments, net 17,488 17,307 Fixed assets, net 639 295 Intangible assets, net 6,832 3,173 Goodwill 32,782 33,670 Other non-current 14,754 15,134 Assets held for sale (non-current) 32,244 0 Total assets $ 749,080 $ 800,260 LIABILITIES: Accounts payable $ 8,595 $ 11,145 Accrued liabilities 50,913 46,888 Receipts in advance and deferred revenue 38,754 43,076 Other current liabilities 31,684 37,148 Intra-Group payables due to the Company’s subsidiaries 300,601 332,794 Liabilities held for sale (current) 138,303 187,712 Total current liabilities 568,850 658,763 Long-term tax liabilities 13,220 14,134 Deferred tax liabilities 1,998 2,014 Intra-Group payables due to the Company’s subsidiaries 18,599 19,338 Other long-term liabilities 0 286 Liabilities held for sale (non-current) 1,130 0 Total liabilities $ 603,797 $ 694,535 As of December 31, 2018 2019 2020 Net revenue $ 499,861 $ 511,957 $ 583,187 Net income from continuing operations 1,098 19,607 41,756 Net loss from discontinued operations $ (19,534 ) $ (1,491 ) $ (82,329 ) Year ended December 31, 2018 2019 2020 Net cash provided by/(used in) continuing operating activities $ 18,268 $ (2,038 ) $ 5,224 Net cash provided by/(used in) discontinued operating activities 51,657 (5,046 ) (13,244 ) Net cash provided by/(used in) operating activities 69,925 (7,084 ) (8,020 ) Net cash provided by/(used in) investing activities (1,110 ) (441 ) 47 Net cash provided by/(used in) discontinued investing activities (48,161 ) (18,040 ) 7,797 Net cash provided by/(used in) investing activities (49,271 ) (18,481 ) 7,844 Net cash provided by continuing financing activities 650 0 0 Net cash provided by discontinued financing activities 0 8,601 152 Net cash provided by financing activities $ 650 $ 8,601 $ 152 Summary of Significant Agreements Currently in Effect Agreements between Subsidiaries, Consolidated VIEs and Nominee Shareholders Loan and share pledge agreement Loan and share pledge agreement Loan agreements and equity pledge agreements Exclusive equity interest purchase right agreements Business operation agreement Powers of Attorney Loan agreements and equity pledge agreements VIE-related VIE-related VIE-related Equity interest purchase right agreements Powers of attorney Business operation agreements Loan and share pledge agreements free-and VIE-related VIE-related VIE-related Exclusive equity interest purchase right agreements Business operation agreement Powers of Attorney Business Arrangements between Subsidiaries and Consolidated VIEs Exclusive technology consulting and service agreement Exclusive technology consulting and service agreement Technology support and utilization agreements Services and maintenance agreements Exclusive technology consulting and service agreement Certain of the contractual arrangements described above between the VIEs and the related wholly-owned subsidiaries of the Sohu Group are silent regarding renewals. However, because the VIEs are controlled by the Sohu Group through powers of attorney granted to the Sohu Group by the shareholders of the VIEs, the contractual arrangements can be, and are expected to be, renewed at the subsidiaries’ election. VIE-Related It is possible that the Sohu Group’s operation of certain of its operations and businesses through VIEs could be found by PRC authorities to be in violation of PRC law and regulations prohibiting or restricting foreign ownership of companies that engage in such operations and businesses. If a finding were made by PRC authorities that the Sohu Group’s operation of certain of its operations and businesses through VIEs is prohibited, regulatory authorities with jurisdiction over the licensing and operation of such operations and businesses would have broad discretion in dealing with such a violation, including levying fines, confiscating the Sohu Group’s income, revoking the business or operating licenses of the affected businesses, requiring the Sohu Group to restructure its ownership structure or operations, or requiring the Sohu Group to discontinue all or any portion of its operations. Any of these actions could cause significant disruption to the Sohu Group’s business operations, and have a severe adverse impact on the Sohu Group’s cash flows, financial position, and operating performance. The Sohu Group’s management considers the possibility of such a finding by PRC regulatory authorities to be remote. In addition, it is possible that the contracts among the Sohu Group, the Sohu Group’s VIEs and shareholders of its VIEs would not be enforceable in China if PRC government authorities or courts were to find that such contracts contravene PRC law and regulations or are otherwise not enforceable for public policy reasons. In the event that the Sohu Group was unable to enforce these contractual arrangements, the Sohu Group would not be able to exert effective control over the affected VIEs. Consequently, such VIEs’ results of operations, assets and liabilities would not be included in the Sohu Group’s consolidated financial statements. If such were the case, the Sohu Group’s cash flows, financial position and operating performance would be severely adversely affected. The Sohu Group’s contractual arrangements with respect to its consolidated VIEs are in place. The Sohu Group’s management believes that such contracts are enforceable, and considers the possibility remote that PRC regulatory authorities with jurisdiction over the Sohu Group’s operations and contractual relationships would find the contracts to be unenforceable. The Sohu Group’s operations and businesses rely on the operations and businesses of its VIEs, which hold certain recognized and unrecognized revenue-producing assets. The recognized revenue-producing assets include goodwill and intangible assets acquired through business acquisitions. Goodwill primarily represents the expected synergies from combining an acquired business with the Sohu Group. Intangible assets acquired through business acquisitions mainly consist of customer relationships, non-compete |
Sohu.com Limited Shareholders'
Sohu.com Limited Shareholders' Equity | 12 Months Ended |
Dec. 31, 2020 | |
SOHU.COM LIMITED SHAREHOLDERS' EQUITY [Abstract] | |
Sohu.com Limited Shareholders' Equity | 18. SOHU.COM LIMITED SHAREHOLDERS’ EQUITY Summary of the Company’s outstanding shares (in thousands): Number of Outstanding Shares 2018 2019 2020 Balance, beginning of year 38,898 39,229 39,269 Issuance: 331 40 37 Balance, end of year 39,229 39,269 39,306 Share Incentive Plans Sohu (excluding Sohu Video), Changyou, Sogou, and Sohu Video have incentive plans for the granting of share-based awards, including options and restricted share units, to their directors, management and other key employees. 1) Sohu.com Limited Share-based Awards Sohu’s 2018 Share Incentive Plan On July 2, 2010, Sohu.com Inc.’s shareholders adopted the 2010 Stock Incentive Plan, which provides for the issuance of up to 1,500,000 shares of Sohu.com Inc.’s common stock, including stock issued pursuant to the vesting and settlement of restricted stock units and pursuant to the exercise of stock options. The maximum term of any share-based award granted under the Sohu 2010 Stock Incentive Plan is On April 2, 2018, Sohu.com Limited adopted the Sohu 2018 Share Incentive Plan, which provides for the issuance of up 1,148,565 ordinary shares of Sohu.com Limited. The Sohu 2018 Share Incentive Plan will expire in April 2028 Upon the dissolution of Sohu.com Inc. on May 31, 2018, Sohu.com Limited assumed all then existing obligations of Sohu.com Inc. with respect to equity incentive awards that had been granted under the Sohu 2010 Stock Incentive Plan and then remained outstanding, and such awards were converted into the right to receive upon exercise or settlement Sohu.com Limited’s ordinary shares under the Sohu 2018 Share Incentive Plan rather than shares of the common stock of Sohu.com Inc., subject to the other terms of such outstanding awards. As of December 31, 2020, 208,280 shares were available for grant under the Sohu 2018 Share Incentive Plan. i) Summary of Share Option Activity In February 2015, May 2016, September 2017 and November 2017, Sohu.com Inc.’s Board of Directors approved contractual grants to members of the Company’s management and key employees of options for the purchase of an aggregate of 1,068,000, 13,000, 32,000 and 6,000 shares of common stock of Sohu.com Inc., respectively, under the Sohu 2010 Stock Incentive Plan, with nominal exercise prices of $0.001, all of which were converted, on May 31, 2018, into the right to receive upon exercise Sohu.com Limited’s ordinary shares under the Sohu 2018 Share Incentive Plan. In February 2019, July 2019 and September 2020, Sohu.com Limited’s Board of Directors approved contractual grants to members of the Company’s management and key employees of options for the purchase of an aggregate of 20,000, 477,500 and 34,000 shares of ordinary shares of Sohu.com Limited, respectively, under the Sohu 2018 Share Incentive Plan, with nominal exercise prices of $0.001. These share options vest and become exercisable in Under ASC 718-10-25 ASC 718-10-55 re-measured As of December 31, 2020, 815,425 of these options had been granted and had become vested on their respective vesting dates, as a mutual understanding of the subjective performance targets was reached between the Company and the recipients, the targets had been satisfied, and the service period requirements had been fulfilled. The cumulative share-based compensation expense for these granted options has been adjusted and fixed based on their aggregate fair values, at their respective grant dates, of $26.4 million. A summary of option activity under the Sohu 2018 Share Incentive Plan as of and for the year ended December 31, 2020 is presented below: Options Number Of Shares Weighted Weighted Aggregate Outstanding as of January 1, 2020 128 $ 0.001 $ Granted 112 0.001 Exercised (43 ) 0.001 Forfeited or expired 0 Outstanding as of December 31, 2020 197 0.001 6.09 3,147 Vested as of December 31, 2020 197 0.001 6.09 3,147 Exercisable as of December 31, 2020 197 0.001 6.09 3,147 Note (1): The aggregated intrinsic value in the preceding table represents the difference between Sohu’s closing ADS price of $15.94 on December 31, 2020 and the nominal exercise price of the options. For the years ended December 31, 2020, 2019 and 2018, total share-based compensation expense recognized for these options was $2.6 million, $1.9 million and negative $5.1 million, respectively. The negative amounts resulted from re-measured 2) Changyou.com Limited Share-based Awards Changyou 2014 Share Incentive Plan On June 27, 2014, Changyou reserved 2,000,000 of its Class A ordinary shares under the Changyou.com Limited 2014 Share Incentive Plan (the “Changyou 2014 Share Incentive Plan”) for the purpose of making share incentive awards to certain members of its management and key employees. On November 2, 2014, Changyou’s Board approved an increase in the number of Class A ordinary shares reserved under the Changyou 2014 Share Incentive Plan from 2,000,000 to 6,000,000. The maximum term of any share right granted under the Changyou 2014 Share Incentive Plan is ten years from the grant date. The Changyou 2014 Share Incentive Plan will terminate in June 2024 i) Summary of Share Option Activity On November 2, 2014, Changyou approved the contractual grant of an aggregate of 2,416,000 Class A restricted share units to certain members of its management and certain other employees. On February 16, 2015, Changyou’s Board of Directors approved the conversion of 2,400,000 of these Class A restricted share units into options for the purchase of Class A ordinary shares at an exercise price of $0.01. On June 1, 2015, Changyou’s Board of Directors approved the contractual grant of options for the purchase of an aggregate of 1,998,000 Class A ordinary shares to certain members of its management and certain other employees at an exercise price of $0.01. On July 28, 2016, Changyou’s Board of Directors approved the contractual grant of options for the purchase of an aggregate of 100,000 Class A ordinary shares to certain member of its management at an exercise price of $0.01. On August 26, 2019, Changyou’s Board of Directors approved the grant, effective as of October 1, 2019, to a member of Changyou’s management and a Changyou employee of options for the purchase of an aggregate of 3,023,000 Class A ordinary shares at an exercise price of $0.01 per Class A ordinary share. These Changyou share options vest in four equal installments over a period of four years, with each installment vesting upon satisfaction of a service period requirement and the achievement of certain subjective performance targets. These Changyou share options are substantially similar to restricted share units except for the nominal exercise price, which would be zero for restricted share units. After the completion of the Changyou Merger, the Sohu Board approved the Changyou Plans’ Modification, pursuant to which, among other things, a portion of the share options previously granted under the Changyou 2014 Share Incentive Plan that became vested after the completion of the Changyou Merger were settled by Changyou at a fixed price of $5.39 per Changyou Class A ordinary share, which equals the Changyou Merger consideration of $5.40 per Changyou Class A ordinary share minus the per-share re-measurement Under ASC 718-10-25 ASC 718-10-55 re-measured Prior to the completion of Changyou Merger, to determine the fair value of these Changyou share options, the public market price of the underlying Changyou Class A ordinary shares at each reporting date was used and a binomial valuation model was applied. As of December 31, 2020, 3,732,750 of these Changyou share options had been granted and had become vested on their respective vesting dates, as a mutual understanding of the subjective performance targets had been reached between Changyou and the recipients, the targets had been satisfied, and the service period requirements had been fulfilled. The cumulative share-based compensation expense of $4.2 million for these granted share options was adjusted and fixed based on the aggregate amounts of the fair values of these granted share options at their respective grant dates for periods before the Changyou Plans’ Modification, and at a price of $5.39 per Changyou Class A ordinary share for periods after the Changyou Plans’ Modification. For the years ended December 31, 2020, 2019 and 2018, total share-based compensation expense recognized for share options under the Changyou 2014 Share Incentive Plan was $7.7 million, negative $1.9 million and negative $6.5 million, respectively. For the years ended December 31, 2020, 2019 and 2018, the total fair values of these Changyou share options vested on their respective vesting dates were $4.2 million, $1.0 million and $5.7 million, respectively. For the years ended December 31, 2020, 2019 and 2018, the total intrinsic value of share options exercised was $0.1 million, $6.6 million and $14.9 million, respectively. Changyou 2019 Share Incentive Plan On August 3, 2019, Changyou adopted and reserved for issuance 3,000,000 Class A ordinary shares under a new share incentive plan (the “Changyou 2019 Share Incentive Plan”). On August 26, 2019, Changyou’s Board of Directors approved the grant, effective as of October 1, 2019, to certain members of the Changyou’s management and certain other employees of options for the purchase of an aggregate of 1,909,000 Class A ordinary shares at an exercise price of $0.01. These Changyou share options vest in four equal installments over a period of four years, with each installment vesting upon satisfaction of a service period requirement and the achievement of certain subjective performance targets. After the completion of the Changyou Merger, the Sohu Board approved the Changyou Plans’ Modification, pursuant to which, among other things, none of the share options granted under the Changyou 2019 Share Incentive Plan will be exercisable, but can only be repurchased by Changyou following vesting at a fixed price of $5.39 per Changyou Class A ordinary share underlying such vested share options upon termination of the option holders’ employment or upon approval of the Chairman of the Sohu Board. As a result of the Changyou Plans’ Modification, share-based compensation expense will be accrued over the service period based on the fixed price of $5.39 per Changyou Class A ordinary share. No subsequent fair value re-measurement Under ASC 718-10-25 ASC 718-10-55 re-measured Prior to the completion of the Changyou Merger, to determine the fair value of Changyou share options, the public market price of the underlying Changyou Class A ordinary shares at each reporting date was used and a binomial valuation model was applied. As of December 31, 2020, 477,250 of the share options granted under the Changyou 2019 Share Incentive Plan had vested. The cumulative share-based compensation expense of $2.6 million for the granted share options was adjusted and fixed based on a price of $5.39 per Changyou Class A ordinary share after the Changyou Plans’ Modification. For the years ended December 31, 2020 and 2019, total share-based compensation expense recognized for these share options under the Changyou 2019 Share Incentive Plan was $4.8 million and $3.2 million, respectively. For the years ended December 31, 2020, the total value of these Changyou share options vested on their respective vesting dates was $ 2.6 3) Sogou Inc. Share-based Awards Sogou 2010 Share Incentive Plan Sogou adopted a share incentive plan on October 20, 2010, which was amended effective August 22, 2014 to increase the aggregate number of Sogou Class A Ordinary Shares issuable under the plan to 41,500,000 (as amended to date, the “Sogou 2010 Share Incentive Plan”). Awards of share rights granted under the Sogou 2010 Share Incentive Plan were made to management and other key employees of Sogou and of any present or future parents or subsidiaries or VIEs of Sogou. The Sogou 2010 Share Incentive Plan expired on October 19, 2020 and is no longer available for making new grants. The maximum term of any share incentive award granted under the Sogou 2010 Share Incentive Plan is ten years from the grant date. The options contractually granted under the Sogou 2010 Share Incentive Plan were placed in one of the following three categories: (i) Performance-based options, which vest and become exercisable either in (ii) Service-based options, which vest and become exercisable either in four equal installments or in two to four installments of specified share numbers over their specified vesting periods, with each installment vesting only upon a service period requirement being met; or (iii) IPO-based A summary of each of the above three categories of Sogou’s share options as of December 31, 2020 is presented below ( ) Contractually Granted (For Purposes of Share- Vested and Exercised Performance-based options 30,912 29,169 28,761 27,772 Service-based options 1,888 1,888 1,410 829 IPO-based 7,250 7,250 5,810 5,810 Total 40,050 38,307 35,981 34,411 A summary of Sogou share option activity under the Sogou 2010 Share Incentive Plan as of and for the year ended December 31, 2020 is presented below: Options Number Of Shares Weighted Weighted Aggregate Outstanding as of January 1, 2020 7,162 $ 0.377 4.45 $ Granted 1,099 0.001 Exercised (4,233 ) 0.426 Forfeited or expired (132 ) 0.001 Outstanding as of December 31, 2020 3,896 0.232 4.38 30,850 Vested as of December 31, 2020 and expected to vest thereafter 3,395 0.266 4.46 26,767 Exercisable as of December 31, 2020 1,570 0.001 5.77 12,794 Note (1): The aggregate intrinsic values in the preceding table represent the difference between Sogou’s closing price of $8.15 per Sogou ADS (each representing one Sogou Class A Ordinary Share) on December 31, 2020 and the exercise prices of the share options. For the years ended December 31, 2020, 2019 and 2018, total share-based compensation expense recognized for Sogou share options under the Sogou 2010 Share Incentive Plan was $ 7.4 13.5 Prior to the completion of Sogou’s IPO, the fair values of Sogou Class A Ordinary Shares were assessed using the income approach/discounted cash flow method or based on the mid-point . The fair value of the Sogou share options granted under the Sogou 2010 Incentive Plan was estimated on the date of grant with the assistance of a qualified professional appraiser, using the binomial valuation model with the following assumptions used: Assumptions Adopted 2018 2019 2020 Average risk-free interest rate 3.36%~3.51% 2.60%~2.86% 1.21%~1.66% Exercise multiple 2 2~3 2~3 Expected forfeiture rate (post-vesting) 12% 0%~12% 0% Weighted average expected option life 9 7 4 Volatility rate 40%~46% 36%~41% 38%~44% Dividend yield 0% 0% 0% Weighted average fair value of share options 12.26 4.05 4.48 Sogou estimated the risk-free rate based on the market yields of U.S. Treasury securities with an estimated country-risk differential as of the valuation date. An exercise multiple was estimated as the ratio of the fair value of the Sogou Class A Ordinary Shares over the exercise prices as of the time the options would be expected to be exercised, based on consideration of research studies regarding exercise patterns based on historical statistical data. In Sogou’s valuation analysis, a multiple of three was applied for management and a multiple of two was applied for other key employees. Sogou estimated the forfeiture rate to be 0% for the Sogou share options granted to Sogou management and 12% for the Sogou share options granted to Sogou’s other key employees. As Sogou’s ordinary shares had been publicly traded for slightly more than three years as of December 31, 2020, the expected volatility at the valuation date was estimated based on the historical volatility of specified comparable companies for the periods before the grant dates with length commensurate with the expected term of the Sogou share options. Sogou has no history or expectation of paying dividends on its ordinary shares. Accordingly, the dividend yield was estimated to be 0%. Sogou 2017 Share Incentive Plan In October 2017, Sogou adopted a share incentive plan (the “Sogou 2017 Share Incentive Plan”) which provides that the aggregate number of Sogou Class A Ordinary Shares issuable under the plan is 28,000,000. Share incentive awards may be granted under the Sogou 2017 Share Incentive Plan to Sogou’s management and employees and of any of its present or future parents or subsidiaries. The maximum term of any share incentive award granted under the Sogou 2017 Share Incentive Plan is ten years from the grant date. The options contractually granted under the Sogou 2017 Share Incentive Plan may be placed in one of the following two categories: (i) Performance-based options, which vest and become exercisable in four equal installments, with each installment vesting upon a service period requirement being met, as well as the employee grantee’s achievement, as determined by Sogou’s chief executive officer, of performance targets for the corresponding period specified by Sogou’s chief executive officer. For purposes of recognition of share-based compensation expense, each installment is considered to be granted as of the date that the performance targets have been set; or (ii) Service-based options, which vest and become exercisable in four equal installments, with each installment vesting only upon a service period requirement being met. A summary of each of the above two categories of Sogou’s share options as of December 31, 2020 is presented below ( ) Contractually Granted (For Purposes of Share- Vested and Exercised Performance-based options 192 55 44 17 Service-based options 994 994 324 173 Total 1,186 1,049 368 190 A summary of Sogou share option activity under the Sogou 2017 Share Incentive Plan as of and for the year ended December 31, 2020 is presented below: Options Number Of Shares Weighted Weighted Aggregate Outstanding as of January 1, 2020 798 $ 0.001 8.90 $ Granted 425 0.001 Exercised (142 ) 0.001 Forfeited or expired (222 ) 0.001 Outstanding as of December 31, 2020 859 0.001 8.51 7,000 Vested as of December 31, 2020 and expected to vest thereafter 680 0.001 8.46 5,541 Exercisable as of December 31, 2020 178 0.001 7.95 1,451 Note (1): The aggregate intrinsic value in the preceding table represents the difference between the closing price of $8.15 per Sogou ADS (each representing one Class A Ordinary Share) on December 31, 2020 and the exercise prices of the share options. For the years ended December 31, 2020, 2019 and 2018, total share-based compensation expense recognized for Sogou share options under the Sogou 2017 Share Incentive Plan was $1.6 million, $2.4 million and $1.6 million, respectively. As of December 31, 2020 there was $1.5 million of unrecognized compensation expense related to unvested Sogou share options. The expense is expected to be recognized over a weighted average period of 1.74 years. The method used to determine the fair value of the Sogou share options granted under the Sogou 2017 Share Incentive Plan was the same as the method used for the share options granted under the Sogou 2010 Incentive Plan as described above, except for the assumptions used in the binomial valuation model as presented below: Assumptions Adopted 2018 2019 2020 Average risk-free interest rate 3.41%~3.95% 2.37%~3.45% 1.20%~2.47% Exercise multiple 2 2~3 2~3 Expected forfeiture rate (post-vesting) 12% 0%~12% 0%~12% Weighted average expected option life 10 10 9 Volatility rate 40%~46% 41%~42% 39%~42% Dividend yield 0% 0% 0% Weighted average fair value of share options 10.09 4.87 4.95 Sohu Management Sogou Share Option Arrangement Under an arrangement (the “Sohu Management Sogou Share Option Arrangement”) that was approved by the boards of directors of Sohu and Sogou in March 2011, Sohu has the right to provide to members of Sohu’s Board of Directors, management and other key employees of the Sohu, and certain members of management and other key employees of Sogou the opportunity to purchase from Sohu up to 12,000,000 Sogou Class A Ordinary Shares at a fixed exercise price of $0.625 or $0.001 per share. Of these 12,000,000 Sogou Class A Ordinary Shares, 8,800,000 are Sogou Class A Ordinary Shares previously held by Sohu and 3,200,000 are Sogou Class A Ordinary Shares that were newly-issued on April 14, 2011 by Sogou to Sohu at a price of $0.625 per share, or a total of $2.0 million. As of December 31, 2020, Sohu had contractually granted options for the purchase of 8,305,000 Sogou Class A Ordinary Shares under the Sohu Management Sogou Share Option Arrangement. The options contractually granted under the Sohu Management Sogou Share Option Arrangement may be placed in one of the following two categories: (i) Performance-based options, which vest and become exercisable in four equal installments, with each installment vesting upon a service period requirement being met, as well as the Sogou Group’s achievement of performance targets for the corresponding period. All of these options vested and became exercisable before January 1, 2017. For purposes of recognition of share-based compensation expense, each installment is considered to be granted as of the date that the performance targets have been set; or (ii) Service-based options, which were granted to members of Sohu’s Board of Directors. All of these share options vested and became exercisable in 2015, as the service period requirement had been met. A summary of the above two categories of Sogou’s share options as of December 31, 2020 is presented below ( ) Contractually Granted (For Purposes of Share- Vested and Exercised Performance-based options 8,290 8,290 8,290 8,290 Service-based options 15 15 15 6 Total 8,305 8,305 8,305 8,296 A summary of Sogou share option activity under the Sohu Management Sogou Share Option Arrangement as of and for the year ended December 31, 2020 is presented below: Number Of Shares Weighted Weighted Aggregate Outstanding as of January 1, 2020 9 $ 0.001 5.38 $ Granted 0 Exercised 0 Forfeited or expired 0 Outstanding as of December 31, 2020 9 0.001 4.38 73 Vested as of December 31, 2020 9 0.001 4.38 73 Exercisable as of December 31, 2020 9 0.001 4.38 73 Note (1): The aggregate intrinsic values in the preceding table represent the difference between the closing price of $8.15 per Sogou ADS (each representing one Class A Ordinary Share) on December 31, 2020 and the exercise prices of the options. As all Sogou share options granted under the Sohu Management Sogou Share Option Arrangement vested before January 1, 2017, no share-based compensation expense was recognized for the years ended December 31, 2020, 2019, and 2018. Option Modification In the first and second quarter of 2013, a portion of the Sogou share options granted under the Sogou 2010 Share Incentive Plan and the Sohu Management Sogou Share Option Arrangement were exercised early, and the resulting Sogou ordinary shares were transferred to trusts with the original option grantees as beneficiaries. The trusts will distribute the Sogou ordinary shares to those beneficiaries in installments based on the vesting requirements under the original option agreements. Although these trust arrangements caused a modification of the terms of these Sogou share options, the modification was not considered substantive. Accordingly, no incremental fair value related to these Sogou ordinary shares resulted from the modification, and the remaining share-based compensation expense for these Sogou ordinary shares continued to be recognized over the original remaining vesting period. As of December 31, 2020, 1,899,000 Sogou Class A Ordinary Shares issued upon the early exercise of options granted under the Sogou 2010 Share Incentive Plan remained unvested in accordance with the vesting requirements under the original option agreements. All Sogou Class A Ordinary Shares issued upon such early exercise that have become vested have been included in the disclosures under the headings “Sogou 2010 Share Incentive Plan” and “Sohu Management Sogou Share Option Arrangement” above. In the first quarter of 2018, Sogou changed the vesting conditions of options for the purchase of 2,181,192 Sogou Class A Ordinary Shares contractually granted under the Sogou 2010 Share Incentive Plan by removing as a condition of vesting Sogou’s achievement of performance targets for the period corresponding to the vesting schedule. Of these options, options for the purchase of 1,601,427 Sogou Class A Ordinary Shares had not been deemed granted, because their performance targets for the current period had not been set, so the removal of the performance targets resulted in these options becoming subject to vesting only upon service-period requirements being met and being deemed granted immediately upon the effectiveness of the changes. For the remaining options for the purchase of 579,765 Sogou Class A Ordinary Shares, which had been deemed granted, the removal of the performance targets constituted a modification. The modification was not considered substantive, because their performance targets had been achieved before the modification. Based on valuation results, no incremental fair value related to these Sogou ordinary shares was recognized in connection with the modification, and the remaining share-based compensation expense for these Sogou ordinary shares continued to be recognized over the remaining vesting period. 4) Sohu Video Share-based Awards On January 4, 2012, Sohu Video adopted the Sohu Video Share Incentive Plan, under which 25,000,000 ordinary shares of Sohu Video are reserved for the purpose of making share incentive awards to management and key employees of Sohu Video and to Sohu management. The maximum term of any share incentive award granted under the Sohu Video Share Incentive Plan is ten years from the grant date. The Sohu Video Share Incentive Plan will expire on January 3, 2022. As of December 31, 2020, grants of options for the purchase of 16,368,200 ordinary shares of Sohu Video had been contractually made and were subject to vesting in four equal installments, with each installment vesting upon a service period requirement being met, as well as Sohu Video’s achievement of performance targets for the corresponding period. For purposes of ASC 718-10-25 For the years ended December 31, 2020, 2019 and 2018, total share-based compensation expense recognized for vested Sohu Video options under the Sohu Video Share Incentive Plan was negative $0.7 million, negative $0.9 million and negative $0.5 million, respectively. The fair value as of December 31, 2020 of the Sohu Video options contractually granted to management and key employees of Sohu Video and to Sohu management was estimated on the reporting date using the binomial valuation model, with the following assumptions used: Assumptions Adopted 2019 2020 Average risk-free interest rate 2.44 % 1.11 % Exercise multiple 2.8 2.8 Expected forfeiture rate (post-vesting) 14 % 5 % Weighted average expected option life 2.0 1.0 Volatility rate 53.9 % 57.3 % Dividend yield 0 0 Fair value 0.35 0.21 |
Noncontrolling Interest
Noncontrolling Interest | 12 Months Ended |
Dec. 31, 2020 | |
NONCONTROLLING INTEREST [Abstract] | |
Noncontrolling Interest | 19. NONCONTROLLING INTEREST Prior to the completion of the Changyou Merger on April 17, 2020, the noncontrolling interests in the Sohu Group’s consolidated financial statements primarily consisted of noncontrolling interests for Changyou and Sogou and, following the completion of the Changyou Merger, consist of noncontrolling interests for Sogou . Noncontrolling Interest in the Consolidated Balance Sheets As of December 31, 2020 and 2019, noncontrolling interest in the consolidated balance sheets was $0.68 billion and $0.88 billion, respectively. As of December 31, 2019 2020 Changyou $ 151,503 $ 1,321 Sogou 726,960 683,291 Total $ 878,463 $ 684,612 Noncontrolling Interest of Changyou As of December 31, 2020 and 2019, noncontrolling interest of Changyou of $ 1.3 million and $ 151.5 million, respectively, was recognized in the Sohu Group’s consolidated balance sheets, representing an economic interest of nil and 33 %, respectively, in Changyou’s net assets held by shareholders other than Sohu and reflecting the reclassification of Changyou’s share-based compensation expense from shareholders’ additional paid-in capital to noncontrolling interest. As a result of the completion of Sohu’s acquisition of the noncontrolling interests in Changyou on April 17, 2020, Sohu hold s 100 % of the combined total of Changyou’s outstanding ordinary shares, and the noncontrolling interests recognized in the Sohu Group’s consolidated balance sheets only reflected economic interests in Changyou’s subsidiaries held by shareholders other than Changyou. Noncontrolling Interest of Sogou As of December 31, 2020 and 2019, noncontrolling interest of Sogou of $683.3 million and $727.0 million, respectively, was recognized in the Sohu Group’s consolidated balance sheets, representing an economic interest of 66% and 66%, respectively, in Sogou’s net assets held by shareholders other than Sohu and reflecting the reclassification of Sogou’s share-based compensation expense from shareholders’ additional paid-in Noncontrolling Interest in the Consolidated Statements of Comprehensive Income/(Loss) For the years ended December 31, 2020, 2019 and 2018, respectively, the Sohu Group had net income of negative $42.2 million, net income of $105.9 million and net income of $92.7 million, respectively, attributable to the noncontrolling interest in the consolidated statements of comprehensive income/(loss). Year Ended December 31, 2018 2019 2020 Changyou $ 27,137 $ 46,990 $ 18,448 Sogou 65,586 58,955 (60,656 ) Total $ 92,723 $ 105,945 $ (42,208 ) Year Ended December 31, 2018 2019 2020 Net income from continuing operations attributable to noncontrolling shareholders $ 41,732 $ 58,223 $ 18,448 Net income/(loss) from discontinued operations attributable to noncontrolling shareholders 50,991 47,722 (60,656 ) Net income/(loss) attributable to noncontrolling interest shareholders $ 92,723 $ 105,945 $ (42,208 ) Noncontrolling Interest of Changyou For the years ended December 31, 2020, 2019 and 2018, respectively, a $18.4 million net income, a $47.0 million net income and a $27.1 million net income, respectively, attributable to the noncontrolling interest of Changyou was recognized in the Sohu Group’s consolidated statements of comprehensive income/(loss), representing a nil, 33% and 33%, respectively, of the economic interest in Changyou attributable to shareholders other than Sohu. Noncontrolling Interest of Sogou (Discontinued) For the years ended December 31, 2020, 2019 and 2018, respectively, a negative $60.7 million net income, a $59.0 million net income and a $65.6 million net income, respectively, attributable to the noncontrolling interest of Sogou was recognized in the Sohu Group’s consolidated statements of comprehensive income/(loss), representing Sogou’s net income/(loss) attributable to shareholders other than Sohu. |
Net Income_(Loss) per Share
Net Income/(Loss) per Share | 12 Months Ended |
Dec. 31, 2020 | |
NET INCOME/(LOSS) PER SHARE [Abstract] | |
Net Income/(Loss) per Share | 20. NET INCOME/(LOSS) PER SHARE Basic net income/(loss) per share is computed using the weighted average number of ordinary shares outstanding during the period. Diluted net income/(loss) per share is computed using the weighted average number of ordinary shares and, if dilutive, potential ordinary shares outstanding during the period. Potential ordinary shares comprise shares issuable upon the exercise or settlement of share-based awards using the treasury stock method. The dilutive effect of share-based awards with performance requirements is not considered before the performance targets are actually met. The computation of diluted net income/(loss) per share does not assume conversion, exercise, or contingent issuance of securities that would have an anti-dilutive effect (i.e. an increase in earnings per share amounts or a decrease in loss per share amounts) on net income/(loss) per share. Additionally, for purposes of calculating the numerator of diluted net income/(loss) per share, the net income/(loss) attributable to the Sohu Group is calculated as discussed below. The adjustment will not be made if there is an anti-dilutive effect. Changyou’s Net Income/(Loss) Attributable to Sohu Prior to the completion of the Changyou Merger on April 17, 2020, Changyou’s net income/(loss) attributable to Sohu was determined using the percentage that the weighted average number of Changyou shares held by Sohu represented of the weighted average number of Changyou ordinary shares and shares issuable upon the exercise or settlement of share-based awards under the treasury stock method, and not by using the percentage held by Sohu of the total economic interest in Changyou, which was used for the calculation of basic net income per share. After the completion of the Changyou Merger, Sohu holds 100% of the combined total of Changyou’s outstanding ordinary shares, so Changyou’s net income/(loss) is wholly attributable to Sohu. After the completion of the Changyou Merger, the Sohu Board approved the Changyou Plans’ Modification, pursuant to which, among other things, a portion of the share options previously granted under the Changyou 2014 Share Incentive Plan that became vested after the completion of the Changyou Merger were settled by Changyou at a fixed price of $5.39 per Changyou Class A ordinary share, which equals the Changyou Merger consideration of $5.40 per Changyou Class A ordinary share minus the per-share re-measurement In the calculation of Sohu’s diluted net income/(loss) per share, before the Sohu Board’s approval of the Changyou Plans’ Modification, a dilutive effect should be assumed. All of Changyou’s existing unvested restricted share units and share options, and vested restricted share units and share options that have not yet been settled or exercised, are treated as vested and settled under the treasury stock method, causing the percentage of the weighted average number of shares held by Sohu in Changyou to decrease. As a result, Changyou’s net income/(loss) attributable to Sohu on a diluted basis decreased accordingly. The effect of this calculation is presented as “incremental dilution from Changyou” in the table below. Assuming an anti-dilutive effect, all of these Changyou restricted share units and share options are excluded from the calculation of Sohu’s diluted net income/(loss) per share. As a result, Changyou’s net income/(loss) attributable to Sohu on a diluted basis equals the number used for the calculation of Sohu’s basic net income/(loss) per share. After the Changyou Plans’ Modification, all of Changyou’s previously granted share-based awards have been reclassified as obligation-based awards. Accordingly, all of those Changyou awards are excluded from the calculation of Sohu’s diluted net income/(loss) per share. Changyou’s net income/(loss) attributable to Sohu on a diluted basis equals the number used for the calculation of Sohu’s basic net income/(loss) per share. There have been no diluted effects resulting from Changyou’s existing unvested share options. Sogou’s Net Income/(Loss) Attributable to Sohu (Discontinued) Sogou’s net income/(loss) attributable to Sohu is determined using the percentage that the weighted average number of Sogou shares held by Sohu represents of the weighted average number of Sogou ordinary shares and shares issuable upon the exercise or settlement of share-based awards under the treasury stock method, and not by using the percentage held by Sohu of the total economic interest in Sogou, which is used for the calculation of basic net income per share. Sogou’s net income/(loss) attributable to Sohu is reflected as discontinued operations in the Sohu Group’s consolidated statements of comprehensive income. In the calculation of Sohu’s diluted net income/(loss) per share, assuming a dilutive effect, the percentage of Sohu’s shareholding in Sogou was calculated by treating convertible preferred shares issued by Sogou as having been converted at the beginning of the period and unvested Sogou share options with the performance targets achieved as well as vested but unexercised Sogou share options as having been exercised during the period. The dilutive effect of share-based awards with a performance requirement was not considered before the performance targets were actually met. The effect of this calculation is presented as “incremental dilution from Sogou” in the table below. Assuming an anti-dilutive effect, all of these Sogou shares and share options are excluded from the calculation of Sohu’s diluted income/(loss) per share. As a result, Sogou’s net income/(loss) attributable to Sohu on a diluted basis equals the number used for the calculation of Sohu’s basic net income/(loss) per share. For the year ended December 31, 2020, all of the Sogou share options had a dilutive effect, and therefore were included in the calculation of Sohu.com Limited’s diluted net income/(loss) per share. This impact is presented as “incremental dilution from Sogou” in the table below. The following table presents the calculation of the Sohu Group’s basic and diluted net loss per share (in thousands, except per share data). Year Ended December 31, 2018 2019 2020 Numerator: Net loss from continuing operations attributable to Sohu.com Limited, basic $ (163,038 ) $ (156,722 ) $ (54,975 ) Net income/(loss) from discontinued operations attributable to Sohu.com Limited, basic 2,956 7,386 (31,137 ) Net loss attributable to Sohu.com Limited, basic (160,082 ) $ (149,336 ) (86,112 ) Effect of dilutive securities: Incremental dilution from Changyou (381 ) (507 ) (392 ) Incremental dilution from Sogou (496 ) (606 ) 0 Net loss from continuing operations attributable to Sohu.com Limited, diluted (163,659 ) (157,282 ) (55,365 ) Net income/(loss) from discontinued operations attributable to Sohu.com Limited, diluted 2,700 6,833 (31,139 ) Net loss attributable to Sohu.com Limited, diluted $ (160,959 ) $ (150,449 ) (86,504 ) Denominator: Weighted average basic ordinary shares outstanding 38,959 39,249 39,452 Effect of dilutive securities: Share options and restricted share units 0 0 0 Weighted average diluted ordinary shares outstanding $ 38,959 $ 39,249 $ 39,452 Basic net loss per share attributable to Sohu.com Limited Continuing operations $ (4.18 ) $ (3.99 ) $ (1.39 ) Discontinued operations 0.07 0.19 (0.79 ) Net loss per share (4.11 ) (3.80 ) (2.18 ) Diluted net loss per share attributable to Sohu.com Limited Continuing operations $ (4.20 ) $ (4.01 ) $ (1.40 ) Discontinued operations 0.07 0.18 (0.79 ) Net loss per share (4.13 ) (3.83 ) (2.19 ) |
China Contribution Plan
China Contribution Plan | 12 Months Ended |
Dec. 31, 2020 | |
Retirement Benefits [Abstract] | |
China Contribution Plan | 21. CHINA CONTRIBUTION PLAN The Sohu Group’s subsidiaries and consolidated VIEs in China participate in a government-mandated multi-employer defined contribution plan pursuant to which certain retirement, medical and other welfare benefits are provided to employees. Chinese labor regulations require the Group’s subsidiaries and consolidated VIEs to pay to the local labor bureau a monthly contribution at a stated contribution rate based on the monthly compensation of qualified employees. The relevant local labor bureau is responsible for meeting all retirement benefit obligations; the Group’s China-based subsidiaries and consolidated VIEs have no further commitments beyond their monthly contributions. For the years ended December 31, 2020, 2019 and 2018, the Group’s China based subsidiaries and consolidated VIEs contributed a total of $59.2 million, $79.2 million and $89.9 million, respectively, to these funds. |
Profit Appropriation
Profit Appropriation | 12 Months Ended |
Dec. 31, 2020 | |
Profit Appropriation [Abstract] | |
Profit Appropriation | 22. PROFIT APPROPRIATION The Sohu Group’s China-based subsidiaries and VIEs are required to make appropriations to certain non-distributable On March 15, 2019, the Standing Committee of the National People’s Congress of the PRC issued the Law of the People’s Republic of China on Foreign Investment Law of the People’s Republic of China on Foreign Investment Enterprises Implementing Regulations of the Foreign Investment Law., Under the China Foreign Investment Enterprises Laws and its supplemental regulations those of the Group’s China-based subsidiaries that are considered under PRC law to be WFOEs are required to make appropriations from their after-tax “after-tax-profit non-distributable after-tax-profit after-tax-profit non-distributable Pursuant to the Company Law, those of the Group’s China-based subsidiaries that are considered under PRC law to be domestically funded enterprises, as well as the Group’s VIEs, are required to make appropriations from their after-tax-profit non-distributable after-tax-profit Upon certain regulatory approvals and subject to certain limitations, the general reserve fund and the statutory surplus fund can be used to offset prior year losses, if any, and can be converted into paid-in capital of the applicable entity. For the years ended December 31, 2020, 2019 and 2018, the total amount of profits contributed to these funds by the Group was $0.4 million, $10.4 million and $7.3 million, respectively. As of December 31, 2020 and 2019, the total amount of profits contributed to these funds by the Group was $81.1 million and $80.7 million, respectively. As a result of these and other restrictions under PRC laws and regulations, the Group’s China-based subsidiaries and VIEs are restricted in their ability to transfer a portion of their net assets in the form of non-distributable |
Concentration Risks
Concentration Risks | 12 Months Ended |
Dec. 31, 2020 | |
CONCENTRATION RISKS [Abstract] | |
Concentration Risks | 23. CONCENTRATION RISKS Because its operations are substantially conducted in the PRC, the Sohu Group is subject to PRC-related Operation Risk For the years ended December 31, 2020, 2019 and 2018, there were no revenues from customers that individually represent greater than 10% of the total online advertising revenues. For the year ended December 31, 2020, revenues from TLBB were $309.7 million, accounting for approximately 58% of Changyou’s online game revenues, approximately 56% of Changyou’s total revenues and approximately 41% of the Sohu Group’s total revenues. For the year ended December 31, 2020, revenues from Legacy TLBB Mobile were $88.3 million, accounting for approximately 16% of Changyou’s online game revenues, approximately 16% of Changyou’s total revenues, and approximately 12% of the Sohu Group’s total revenues. Financial instruments that potentially subject the Sohu Group to concentration risks consist primarily of cash and cash equivalents and short-term investments. Cash and cash equivalents in Sohu Group are mainly denominated in RMB and in U.S. dollars. Short-term investments are denominated in RMB. The Group may experience economic losses and negative impacts on earnings and equity as a result of fluctuations in the exchange rate between the U.S. dollar and the RMB. Moreover, the Chinese government imposes controls on the convertibility of RMB into foreign currencies and, in certain cases, the remittance of currency out of the PRC. The Group may experience difficulties in completing the administrative procedures necessary to obtain and remit foreign currency. Credit Risk As of December 31, 2020, approximately 95% of the Sohu Group’s cash and cash equivalents and short-term investments were held in 22 financial institutions in Mainland China. The remaining cash and cash equivalents and short-term investments were held primarily in financial institutions in Hong Kong and Macao. As of December 31, 2019, approximately 89% of the Sohu Group’s cash and cash equivalents and short-term investments were held in 23 financial institutions in Mainland China. The remaining cash and cash equivalents and short-term investments were held primarily in financial institutions in Hong Kong and Macao. The Sohu Group holds its cash and bank deposits at Chinese financial institutions that are among the largest and most respected in the PRC and at international financial institutions with high ratings from internationally-recognized rating agencies. The management chooses these institutions because of their reputations and track records for stability, and their known large cash reserves, and management periodically reviews these institutions’ reputations, track records, and reported reserves. Management expects that any additional institutions that the Sohu Group uses for its cash and bank deposits will be chosen with similar criteria for soundness. As a further means of managing its credit risk, the Sohu Group holds its cash and bank deposits in a number of different financial institutions. As of December 31, 2020 and 2019, the Sohu Group held its cash and bank deposits in different financial institutions and held no more than approximately 59% and 19%, respectively, of its total cash at any single institution. Under PRC law, it is generally required that a commercial bank in the PRC that holds third party cash deposits protect the depositors’ rights over and interests in their deposited money; PRC banks are subject to a series of risk control regulatory standards; and PRC bank regulatory authorities are empowered to take over the operation and management of any PRC bank that faces a material credit crisis. For the credit risk related to accounts receivable, the Sohu Group performs ongoing credit evaluations of its customers and, if necessary, maintains reserves for potential credit losses. Historically, such losses have been within management’s expectations. |
Restricted Net Assets
Restricted Net Assets | 12 Months Ended |
Dec. 31, 2020 | |
RESTRICTED NET ASSETS [Abstract] | |
Restricted Net Assets | 24. RESTRICTED NET ASSETS Relevant PRC law and regulations permit payment of dividends by PRC-based PRC-based after-tax PRC-based PRC-based |
Additional Information - Conden
Additional Information - Condensed Financial Statements | 12 Months Ended |
Dec. 31, 2020 | |
ADDITIONAL INFORMATION - CONDENSED FINANCIAL INFORMATION OF REGISTRANT [Abstract] | |
Additional - Condensed Financial Information of Registrant | 25. ADDITIONAL INFORMATION — CONDENSED FINANCIAL STATEMENTS The condensed financial statements of Sohu.com Limited have been prepared in accordance with Securities and Exchange Commission Regulation S-X 5-04 12-04. The Company records its investments in subsidiaries and VIEs under the equity method of accounting. Such investments and long-term loans to subsidiaries and VIEs are presented on the balance sheet as “Interests in subsidiaries and VIEs” and the loss of the subsidiaries and VIEs is presented as “Share of loss of subsidiaries and VIEs” in the statement of comprehensive income. The footnote disclosures contain supplemental information relating to the operations of the Company and, as such, these financial statements should be read in conjunction with the notes to the Consolidated Financial Statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. As of December 31, 2019 and 2020, there were no material contingencies, significant provisions for long-term obligations, or guarantees of the Company, except for those, if any, which have been separately disclosed in the consolidated financial statements. SOHU.COM LIMITED CONDENSED BALANCE SHEETS (In thousands) As of December 31, 2019 2020 ASSETS Current assets: Cash and cash equivalents $ 3,756 $ 586 Prepaid and other current assets 744 1,609 Due from subsidiaries and VIEs 530,182 528,218 Total current assets 534,682 530,413 Interests in subsidiaries and VIEs 22,093 0 Other assets, net 27,736 27,496 Total assets $ 584,511 $ 557,909 LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities 3,757 1,932 Deficit of investment in subsidiaries and VIEs 0 50,101 Long-term liabilities 152,300 158,507 Total liabilities 156,057 210,540 Shareholders’ equity: Ordinary Shares: $0.001 par value per share (75,400 shares authorized; 39,269 shares and 39,306 shares, respectively, issued and outstanding as of December 31, 2019 and 2020) 39 39 Additional paid-in 948,201 952,733 Accumulated other comprehensive income 24,351 29,189 Accumulated deficit (544,137 ) (634,592 ) Total shareholders’ equity 428,454 347,369 Total liabilities and shareholders’ equity $ 584,511 $ 557,909 SOHU.COM LIMITED CONDENSED STATEMENTS OF COMPREHENSIVE LOSS (In thousands) Year Ended December 31, 2018 2019 2020 Revenues $ 0 $ 0 $ 0 Cost of revenues 0 0 0 Gross profit 0 0 0 Operating expenses: General and administrative 12,206 2,320 1,613 Operating loss (12,206 ) (2,320 ) (1,613 ) Share of loss of subsidiaries and VIEs (232,307 ) (184,092 ) (77,221 ) Other income/(expense) 22 44,738 (1,083 ) Interest income 5,865 225 12 Loss before income tax expense/(benefit) (238,626 ) (141,449 ) (79,905 ) Income tax expense/(benefit) (78,544 ) 7,887 6,207 Net loss (160,082 ) (149,336 ) (86,112 ) Other comprehensive income/(loss) (13,494 ) 24,351 29,189 Comprehensive loss $ (173,576 ) $ (124,985 ) $ (56,923 ) SOHU.COM LIMITED CONDENSED STATEMENTS OF CASH FLOWS (In thousands) Year Ended December 31, 2018 2019 2020 Cash flows from operating activities: Net loss $ (160,082 ) $ (149,336 ) $ (86,112 ) Adjustments to reconcile net loss to net cash provided by operating activities: Investment loss from subsidiaries and VIEs 232,307 184,092 77,221 Share-based compensation expense/(benefit) (1,916 ) 395 0 Others (993 ) 0 0 Changes in current assets and liabilities: Due from subsidiaries and VIEs (2,963 ) (59,533 ) 1,964 Prepaid and other current assets (3,996 ) 425 (865 ) Tax liabilities (79,569 ) 7,886 6,207 Accrued liabilities 1,892 (3,715 ) (1,825 ) Net cash used in operating activities (15,320 ) (19,786 ) (3,410 ) Cash flows from investing activities: Dividend received 0 7,050 0 Net cash used in operating activities 0 7,050 0 Net decrease in cash, cash equivalents, restricted cash and restricted time deposits (15,320 ) (12,736 ) (3,410 ) Cash, cash equivalents, restricted cash and restricted time deposits at beginning of year 2,845 16,732 3,996 Cash and cash equivalents, restricted cash and restricted time deposits of Sohu.com Limited at the date of the liquidation of Sohu.com Inc. 29,207 0 0 Cash, cash equivalents, restricted cash and restricted time deposits at end of year $ 16,732 $ 3,996 $ 586 Reconciliation of cash, cash equivalents, and restricted time deposits to the condensed balance sheets: Cash and cash equivalents $ 16,492 $ 3,756 $ 586 Restricted time deposits included in other assets 240 240 0 Total cash, cash equivalents, restricted cash and restricted time deposits at end of year $ 16,732 $ 3,996 $ 586 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Polices) | 12 Months Ended |
Dec. 31, 2020 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Discontinued operations | Discontinued operations A component of a reporting entity or a group of components of a reporting entity that are disposed of or meet the criteria to be classified as held for sale should be reported in discontinued operations if the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. Discontinued operations are reported when a component of an entity comprising operations and cash flows that can be clearly distinguished, operationally and for financial reporting purposes, from the rest of the entity is classified as held for disposal or has been disposed of, if the component either (1) represents a strategic shift or (2) has a major impact on an entity’s financial results and operations. In the statement of financial position, the assets and liabilities of the discontinued operation are presented separately in the asset and liability sections, respectively, of the statement of financial position and prior periods are presented on a comparative basis. In the consolidated statements of comprehensive income, results from discontinued operations are reported separately from the income and expenses from continuing operations and prior periods are presented on a comparative basis. Cash flows for discontinued operations are presented separately in the consolidated statements of cash flows. In order to present the financial effects of the continuing operations and discontinued operations, revenues and expenses arising from intra-group transactions are eliminated except for those revenues and expenses that are considered to continue after the disposal of the discontinued operations. |
Accounting Standards | Accounting Standards The consolidated financial statements have been prepared in accordance with United States of America generally accepted accounting principles (“U.S. GAAP”) to reflect the financial position and results of operations of the Sohu Group. |
Use of Estimates | Use of Estimates The preparation of these financial statements requires the Sohu Group to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues, costs and expenses, and related disclosures. On an on-going |
Basis of Consolidation and Recognition of Noncontrolling Interest | Basis of Consolidation and Recognition of Noncontrolling Interest The Sohu Group’s consolidated financial statements include the accounts of the Company and its subsidiaries and consolidated VIEs. All intra-Group transactions are eliminated except for revenues and expenses arising from intra-group transactions that are considered to continue after the disposal of the discontinued operations. VIE Consolidation The Sohu Group’s VIEs are wholly or partially owned by certain employees of the Group as nominee shareholders. For consolidated VIEs, management made evaluations of the relationships between the Sohu Group and the VIEs and the economic benefit flow of contractual arrangements with the VIEs. In connection with such evaluation, management also took into account the fact that, as a result of such contractual arrangements, the Group controls the shareholders’ voting interests in these VIEs. As a result of such evaluation, management concluded that the Sohu Group is the primary beneficiary of its consolidated VIEs. Noncontrolling Interest Recognition Noncontrolling interests are recognized to reflect the portion of the equity of subsidiaries and VIEs which is not attributable, directly or indirectly, to the controlling shareholders. Currently, the noncontrolling interests in the Sohu Group’s consolidated financial statements primarily consist of noncontrolling interests for Changyou and Sogou. Noncontrolling Interest for Changyou Prior to the completion of the Changyou Merger on April 17, 2020, Sohu consolidated Changyou in its consolidated financial statements, and also recognized noncontrolling interest reflecting the economic interest in Changyou held by Changyou noncontrolling shareholders. Changyou’s net income/(loss) attributable to the Changyou noncontrolling shareholders is recorded as noncontrolling interest in the Sohu Group’s consolidated statements of comprehensive income, based on the noncontrolling shareholders’ share of the economic interest in Changyou. Changyou’s cumulative results of operations attributable to the Changyou noncontrolling shareholders, along with changes in shareholders’ equity, adjustment for share-based compensation expense in relation to those share-based awards which are unvested and vested but not yet settled and adjustment for changes in the Company’s ownership in Changyou, are recorded as noncontrolling interest in the Sohu Group’s consolidated balance sheets. As a result of the completion of Sohu’s acquisition of the noncontrolling interests in Changyou on April 17, 2020, Sohu holds 100% of the combined total of Changyou’s outstanding ordinary shares and 100% of the total voting power in Changyou. Sohu consolidates Changyou in its consolidated financial statements, and no noncontrolling interests are recognized except for noncontrolling interests reflecting economic interests in Changyou’s subsidiaries held by shareholders other than Changyou. Noncontrolling Interest for Sogou Prior to the completion of Sogou’s IPO in November 2017, the Company controlled the election of a majority of the Board of Directors of Sogou pursuant to a shareholders’ agreement that expired upon the completion of the IPO. Following the completion of Sogou’s IPO, pursuant to the Voting Agreement and Sogou’s Amended and Restated Articles of Association, the Company still has the right to appoint a majority of Sogou’s Board of Directors. As Sogou’s controlling shareholder, the Company consolidates Sogou in its consolidated financial statements as discontinued operations, and recognizes noncontrolling interest reflecting economic interests in Sogou held by Sogou noncontrolling shareholders. Sogou’s net income/(loss) attributable to the Sogou noncontrolling interest shareholders is recorded as net income/(loss) from discontinued operations attributable to the noncontrolling interest shareholders in the Company’s consolidated statements of comprehensive income. Sogou’s cumulative results of operations attributable to the Sogou noncontrolling shareholders, based on their share of the economic interest in Sogou, along with changes in shareholders’ equity and adjustment for share-based compensation expense in relation to share-based awards that are unvested and vested but not yet settled and adjustment for changes in the Sohu Group’s ownership percentage in Sogou, are recorded as noncontrolling interest in the Sohu Group’s consolidated balance sheets. Segment Reporting The Sohu Group’s segments are business units that offer different services and are reviewed separately by the chief operating decision maker (the “CODM”), or the decision-making group, in deciding how to allocate resources and in assessing performance. The Group’s CODM is the Company’s Chief Executive Officer. |
Revenue Recognition | Revenue Recognition Impact of Adoption of ASC 606 On January 1, 2018, the Sohu Group adopted ASC 606, applying the modified retrospective method to contracts that were not completed as of January 1, 2018. The adoption of ASC 606 did not have a material impact on the Company’s accumulated deficit as of January 1, 2018. Results for reporting periods beginning on or after January 1, 2018 are presented under ASC 606, while prior-period amounts are not adjusted and continue to be reported in accordance with the Group’s historic accounting under ASC 605. Under ASC 605, advertising-for-advertising advertising-for-advertising Under ASC 606, revenues are recognized when control of the promised goods or services is transferred to the Group’s customers, in an amount that reflects the consideration the Group expects to be entitled to in exchange for those goods or services. The recognition of revenues involves certain management judgments, including estimated lives of virtual items purchased by game players, the estimation of the fair value of an advertising-for-advertising licensed-out The following table presents the Group’s revenues disaggregated by products and services: Year Ended December 31, 2018 (in thousands) Sohu Changyou Total Brand advertising: Sohu Media Portal $ 127,612 0 127,612 Sohu Video 53,886 0 53,886 Focus 31,144 0 31,144 17173.com Website 0 19,697 19,697 Online games: PC games 0 236,743 236,743 Mobile games 0 151,737 151,737 Other games 0 1,308 1,308 Others 61,974 6,074 68,048 Total $ 274,616 415,559 690,175 Year Ended December 31, 2019 (in thousands) Sohu Changyou Total Brand advertising: Sohu Media Portal $ 94,692 0 94,692 Sohu Video 34,529 0 34,529 Focus 32,120 0 32,120 17173.com Website 0 13,715 13,715 Online games: PC games 0 267,752 267,752 Mobile games 0 172,718 172,718 Other games 0 432 432 Others 57,082 763 57,845 Total $ 218,423 455,380 673,803 Year Ended December 31, 2020 (in thousands) Sohu Changyou Total Brand advertising: Sohu Media Portal $ 86,293 0 86,293 Sohu Video 25,312 0 25,312 Focus 23,281 0 23,281 17173.com Website 0 11,640 11,640 Online games: PC games 0 353,737 353,737 Mobile games 0 182,947 182,947 Other games 0 0 0 Others 66,658 22 66,680 Total $ 201,544 548,346 749,890 Brand Advertising Revenues Brand advertising revenues are generated from brand advertising services. Certain customers may receive sales rebates, which are accounted for as variable consideration. The Group estimates the annual expected revenue volume from each agent with reference to its historical results. Sales rebates will reduce revenues recognized. The Group recognizes revenue for the amount of fees it receives from its advertisers, after deducting sales rebates and net of value-added tax (“VAT”). There have not been any significant changes, and the Group believes that there will not be significant changes, to its estimates of variable consideration. Brand Advertising Revenues Revenue Recognition of Multiple Performance Obligations The Group’s contracts with customers may include multiple performance obligations. For such arrangements, the Group allocates revenues to each performance obligation based on its relative standalone selling price. The Group generally determines the standalone selling price of each distinct performance obligation based on the prices charged to customers when sold on a standalone basis. Where a standalone selling price is not directly observable, the Group generally estimates the selling price based on the prices at which performance obligations of a similar nature and geography are charged to customers. Most of such contracts have all performance obligations completed within the same quarter. Pricing Model Through mobile devices and PCs, the Group provides advertisement placements to its advertisers on different Internet platforms and in different formats, which include banners, links, logos, buttons, full screen, pre-roll, mid-roll, in-feed Currently the Group has three main types of pricing models, consisting of the Fixed Price model, the Cost Per Impression (“CPM”) model and the Cost Per Click (“CPC”) model. (i) Fixed Price model Under the Fixed Price model, a contract is signed to establish a fixed price for the advertising services to be provided. Given that the advertisers benefit from displayed advertisements evenly over the period the advertisements are displayed, the Group recognizes revenue on a straight-line basis over the period of display, provided all revenue recognition criteria have been met. (ii) CPM model Under the CPM model, the unit price for each qualifying display is fixed and stated in the contract with the advertiser. A qualifying display is defined as the appearance of an advertisement, where the advertisement meets criteria specified in the contract. Given that the fees are priced consistently throughout the contract and the unit prices are fixed in accordance with the Group’s pricing practices for similar advertisers, the Group recognizes revenue based on the fixed unit prices and the number of qualifying displays upon their occurrence, provided all revenue recognition criteria have been met. (iii) CPC model Under the CPC model, there is no fixed price for advertising services stated in the contract with the advertiser and the unit price for each click is auction-based. The Group charges advertisers on a per-click Online Game Revenues Changyou’s online game revenues are generated primarily from its self-operated and licensed-out in-game Changyou is the principal of its self-operated games. Changyou hosts the games on its own servers and is responsible for the sale and marketing of the games as well as customer service. Accordingly, revenues are recorded gross of revenue sharing-payments to third-party developers and/or mobile APP stores, but net of VAT and discounts to game card distributors where applicable. Changyou obtains revenues from the sale of in-game PC Games Proceeds from Changyou’s self-operated PC games are collected from players and third-party game card distributors through sales of Changyou’s game points on its online payment platform and prepaid game cards. Changyou’s self-operated PC games are either developed in house or licensed from third-party developers. For licensed PC games, Changyou remits a pre-agreed Mobile Games Self-operated Mobile Games For self-operated mobile games, Changyou sells game points to its game players via third-party mobile APP stores. The mobile APP stores in turn pay Changyou proceeds after deducting their share of pre-agreed Changyou’s self-operated mobile games are either developed in house or licensed from or jointly developed with third-party developers. For licensed and jointly-developed mobile games, Changyou remits a pre-agreed Licensed Out Mobile Games Changyou also authorizes third parties to operate its mobile games. Licensed out games include mobile games developed in house, such as Changyou’s mobile game Legacy TLBB Mobile, and mobile games jointly developed with third-party developers. Changyou receives monthly revenue-based royalty payments from the third-party licensee operators. Changyou receives additional up-front pre-agreed Other Revenues Sohu Other revenues attributable to Sohu consist primarily of revenues from paid subscription services, interactive broadcasting services, and sub-licensing Changyou Other revenues attributable to Changyou are primarily from IVAS. Revenues generated from Changyou’s IVAS were derived primarily from software applications for PCs and mobile devices offered by RaidCall, which ceased operations in March 2019. Prior to March 2018, IVAS revenues also included revenues generated from the Dolphin Browser operated by MoboTap. Revenues from IVAS are recognized during the period the services are rendered or items are consumed under the gross method, as Changyou is the principal obligor for provision of the services. As of August 12, 2019, the Sohu Group ceased consolidating Changyou’s cinema advertising business in its consolidated financial statements and, accordingly, the financial results of the cinema advertising business are excluded from the Sohu Group’s results from continuing operations and are presented in separate line items as discontinued operations in the consolidated financial statements, and retrospective adjustments to the Sohu Group’s historical audited consolidated financial statements have been made in order to provide a consistent basis of comparison. Contract Balances Timing of revenue recognition may differ from the timing of invoicing to customers. Accounts receivable represent amounts invoiced and revenue recognized prior to invoicing, when the Group has satisfied its performance obligations and has the unconditional right to payment. The allowance for credit losses is estimated based upon the Group’s assessment of various factors, including past collection experience and consideration of current and future economic conditions and other factors that may affect the Group’s customers’ ability to pay. Contract assets as of December 31, 2020 were not material. The allowance for credit losses was $7.0 million and $4.0 million, respectively, as of December 31, 2020 and December 31, 2019. Receipts in advance and deferred revenue relate to unsatisfied performance obligations at the end of the period and primarily consist of fees received from game players in the online game business and from advertisers in the brand advertising business. Due to the generally short-term duration of the contracts, the majority of the performance obligations are satisfied in the following reporting period. The amount of revenue recognized that was included in the receipts in advance and deferred revenue balance at the beginning of the period was $42.6 million for the year ended December 31, 2020. There was no significant change in the contract assets and contract liability balances during 2020. Revenue recognized in 2020 from performance obligations related to prior years was not material. Practical Expedients The Group has used the following practical expedients as allowed under ASC 606: (i) The transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied has not been disclosed, as substantially all of the Group’s contracts have a duration of one year or less. (ii) Payment terms and conditions vary by contract type, although terms generally include a requirement of prepayment or payment within one year or less. In instances where the timing of revenue recognition differs from the timing of invoicing, the Group has determined that its contracts generally do not include a significant financing component. (iii) The Group applied the portfolio approach in determining the commencement date of consumption and the estimated lives of virtual items for the recognition of games revenue, given that the effect of applying a portfolio approach to a group game players’ behaviors would not differ materially from considering each one of them individually. (iv) The Group generally expenses sales commissions when incurred because the amortization period would be one year or less. These costs are recorded within sales and marketing expenses. |
Cost of Revenues | Cost of Revenue s Cost of Brand Advertising Revenues Cost of brand advertising revenues mainly consists of content and license costs, salary and benefits expenses, and bandwidth service costs. For self-developed video content, production costs incurred in excess of the amount of revenue contracted for are expensed as incurred. Cost of Online Game Revenues Cost of online game revenues mainly consists of revenue-sharing payments, salary and benefits expenses, bandwidth service costs, tax surcharges, depreciation and amortization expenses, content and license costs, and other direct costs. Cost of Other Revenues Cost of other revenues mainly consists of revenue-sharing payments related to interactive broadcasting services, content and license costs related to paid subscription services, revenue-sharing payments related to paid subscription services. |
Product Development Expenses | Product Development Expenses Product development expenses mainly consist of salary and benefits expenses, content and license costs, depreciation and amortization expenses, professional fees, share-based compensation, and facilities expenses. These expenses are incurred for the enhancement and maintenance of the Sohu Group’s Internet platforms as well as for its products and services. The development costs of online games are expensed as incurred, including the development costs of online games prior to the establishment of technological feasibility and maintenance costs after the online games are available for marketing. |
Sales and Marketing Expenses | Sales and Marketing Expenses Sales and marketing expenses mainly consist of advertising and promotional expenses, salary and benefits expenses, travel and entertainment expenses, and facilities expenses. Advertising and promotional expenses generally represent the expenses of promotions to create or stimulate a positive image of the Sohu Group or a desire to subscribe for the Group’s products and services. Advertising and promotional expenses are expensed as incurred. |
General and Administrative Expenses | General and Administrative Expenses General and administrative expenses mainly consist of salary and benefits expenses, professional fees, share-based compensation, bad debts, travel and entertainment expenses, and facilities expenses. |
Share-based Compensation Expense | Share-based Compensation Expense Sohu (excluding Sohu Video), Changyou, Sogou, and Sohu Video have incentive plans for the granting of share-based awards, including share options and restricted share units, to members of the boards of directors, management and other key employees. For share-based awards for which a grant date has occurred, share-based compensation expense is recognized as costs and expenses in the consolidated statements of comprehensive income based on the fair value of the related share-based awards on their grant dates. For share-based awards for which the service inception date precedes the grant date, share-based compensation expense is recognized as costs and expenses in the consolidated statements of comprehensive income beginning on the service inception date and is re-measured After the completion of the Changyou Merger, the board of directors of Sohu (the “Sohu Board”) approved a modification plan for the granted but unvested share options under the Changyou 2014 Share Incentive Plan and the Changyou 2019 Share Incentive Plan (the “Changyou Plans’ Modification”). After the Changyou Plans’ Modification, liability will be accrued over the service period based on a fixed price of $5.39 per Changyou Class A ordinary share, which equals the Changyou Merger consideration of $5.40 per Changyou Class A ordinary share minus the per-share exercise price of $0.01 of such options. No subsequent fair value re-measurement will be made given the award is an obligation based on a fixed amount underlying such vested share options. Sohu (excluding Sohu Video), Changyou, and Sogou Share-based Awards Sohu (excluding Sohu Video) Share-based Awards In determining the fair value of share options granted by Sohu (excluding Sohu Video) as share-based awards, the public market price of the underlying shares at each reporting date was used, and a binomial valuation model was applied. In determining the fair value of restricted share units granted, the public market price of the underlying shares on the grant dates was applied. Upon the dissolution of Sohu.com Inc. on May 31, 2018, Sohu.com Limited assumed all then existing obligations of Sohu.com Inc. with respect to equity incentive awards that had been granted under Sohu.com Inc.’s Amended and Restated 2010 Stock Incentive Plan (the “Sohu 2010 Stock Incentive Plan”) and remained outstanding, and such awards were converted into the right to receive upon exercise or settlement Sohu.com Limited’s ordinary shares under the Sohu.com Limited 2018 Share Incentive Plan (the “Sohu 2018 Share Incentive Plan”) rather than shares of the common stock of Sohu.com Inc., subject to the other terms of such outstanding awards. Options for the purchase of Sohu.com Limited’s ordinary shares, including options converted from those contractually granted under the Sohu 2010 Stock Incentive Plan, are subject to vesting in four equal installments over a period of four years, with each installment vesting upon satisfaction of a service period requirement and certain subjective performance targets. Under ASC 718-10-25, 718-10-55, re-measured Changyou Share-based Awards Options for the purchase of Changyou Class A ordinary shares contractually granted under the Changyou 2014 Share Incentive Plan and the Changyou 2019 Share Incentive Plan are subject to vesting in four equal installments over a period of four years, with each installment vesting upon satisfaction of a service period requirement and certain subjective performance targets. Under ASC 718-10-25, 718-10-55, re-measured After the Changyou Plans’ Modification, a portion of the share options previously granted under the Changyou 2014 Share Incentive Plan that became vested after the completion of the Changyou Merger were settled by Changyou at a fixed price of $5.39 per Changyou Class A ordinary share, which equals the Changyou Merger consideration of $5.40 per Changyou Class A ordinary share minus the per-share re-measurement As of December 31, 2020, 4,210,000 of these Changyou share options had been granted and had become vested on their respective vesting dates, as a mutual understanding of the subjective performance targets had been reached between Changyou and the recipients, the targets had been satisfied, and the service period requirements had been fulfilled. Cumulative share-based compensation expense of $15.7 million was accrued based on the fixed price of $5.39 per Changyou Class A ordinary share. Sogou Share-based Award s In determining the fair value of share options granted by Sogou as share-based awards, a binomial valuation model was applied. The determination of the fair value is affected by the fair value of the ordinary shares as well as assumptions regarding a number of complex and subjective variables, including risk-free interest rates, exercise multiples, expected forfeiture rates, expected share price volatility rates, and expected dividends. The fair values of the ordinary shares were determined based on the trading price of Sogou ADSs in the public market. Before Sogou’s adoption of ASU 2018-07 non-employees 505-50 non-employees 2018-07, non-employees Compensation Expense Recognition For options and restricted share units granted with respect to Sohu (excluding Sohu Video) and Changyou shares, compensation expense is recognized on an accelerated basis upon the requisite service period and certain subjective performance targets being met. For share options granted with respect to Sogou shares, compensation expense is recognized over the estimated period during which the service period requirement and performance target will be met, which is usually within one year, or, after the performance target of Sogou’s completion of an IPO was met upon the completion of Sogou’s IPO on November 13, 2017, on an accelerated basis over the requisite service period, or, for options with only service period requirement, on an accelerated basis over the requisite service period. For Tencent restricted share units that Tencent had granted to employees who transferred to Sogou with the Soso search and search-related businesses, compensation expense is recognized by Sogou on an accelerated basis over the requisite service period, and the fair value of the share-based compensation is re-measured Sohu Video Share-based Awards On January 4, 2012, Sohu Video, the holding entity of Sohu’s video division, adopted a 2011 Share Incentive Plan (the “Sohu Video Share Incentive Plan”) which provides for the issuance of up to 25,000,000 ordinary shares of Sohu Video (representing approximately 10% of the outstanding Sohu Video shares on a fully-diluted basis) to management and key employees of the video division and to Sohu management. As of December 31, 2020, grants of options for the purchase of 16,368,200 ordinary shares of Sohu Video had been contractually made, of which options for the purchase of 4,972,800 ordinary shares were vested. For purposes of ASC 718-10-25, grant date 718-10-55, re-measured, re-measure, |
Taxation | Taxation PRC Corporate Income Tax Income taxes are accounted for using an asset and liability approach which requires the recognition of income taxes payable or refundable for the current year and deferred tax liabilities and assets for the future tax consequences of events that have been recognized in the Group’s financial statements or tax returns. Deferred income taxes are determined based on the differences between the accounting basis and the tax basis of assets and liabilities and are measured using the currently enacted tax rates and laws. Deferred tax assets are reduced by a valuation allowance, if based on available evidence, it is considered that it is more likely than not that some portion of or all of the deferred tax assets will not be realized. In making such determination, the Group considers factors including future reversals of existing taxable temporary differences, future profitability, and tax planning strategies. If events were to occur in the future that would allow the Group to realize more of its deferred tax assets than the presently recorded net amount, an adjustment would be made to the deferred tax assets that would increase income for the period when those events occurred. If events were to occur in the future that would require the Group to realize less of its deferred tax assets than the presently recorded net amount, an adjustment would be made to the valuation allowance against deferred tax assets that would decrease income for the period when those events occurred. Significant management judgment is required in determining income tax expense and deferred tax assets and liabilities. The Group’s deferred tax assets are related to net operating losses and temporary differences between accounting basis and tax basis for its China-based Subsidiaries and VIEs, which are subject to corporate income tax in the PRC under the PRC Corporate Income Tax Law (the “CIT Law”). PRC Withholding Tax on Dividends The CIT Law imposes a 10% withholding income tax on dividends distributed by foreign invested enterprises in the PRC to their immediate holding companies outside Mainland China. A lower withholding tax rate may be applied if there is a tax treaty between Mainland China and the jurisdiction of the foreign holding company. A holding company in Hong Kong, for example, will be subject to a 5% withholding tax rate under an arrangement between the PRC and the Hong Kong Special Administrative Region on the “Avoidance of Double Taxation and Prevention of Fiscal Evasion with Respect to Taxes on Income,” if such holding company is considered a non-PRC PRC Value Added Tax On May 1, 2016, the transition from the imposition of PRC business tax to the imposition of VAT was expanded to all industries in China, and all of the Sohu Group’s revenues have been subject to VAT since that date. To record VAT payable, the Group adopted the net presentation method, which presents the difference between the output VAT (at rates of 6% or 17% for the period from January 1, 2018 to April 30, 2018, at rates of 6% or 16% for the period from May 1, 2018 to March 31, 2019, and at rates of 6% or 13% after April 1, 2019) and the available input VAT amount (at the rate applicable to the supplier). U.S. Corporate Income Tax Sohu.com Inc., which was formerly the top-tier one-time Certain activities conducted in the PRC resulted in U.S. corporate income taxes being imposed on Sohu.com Inc. when its subsidiaries that were controlled foreign corporations (“CFCs”) generated income that was subject to Subpart F of the U.S. Internal Revenue Code (“Subpart F”). Generally, passive income, such as rents, royalties, interest, dividends, and gains from disposal of the company’s investments, is among the types of income subject to taxation under Subpart F. Any income taxable under Subpart F was taxable in the U.S. at the applicable federal corporate income tax rate. Subpart F income also included certain income from intra-Group transactions between Sohu.com Inc.’s non-U.S. non-U.S. non-U.S. non-U.S. . To the extent that portions of Sohu.com Inc.’s U.S. taxable income, such as Subpart F income or global intangible low-taxed Treatment of Toll Charge Related to the U.S. TCJA Beginning in the fourth quarter of 2017, the Sohu Group had recognized a provisional amount of income tax expense for the Toll Charge of $219 million, which represented management’s estimate of the amount of the Toll Charge that would have been payable by Sohu.com Inc. based on the deemed repatriation to the United States of its share of previously deferred earnings of certain of its non-U.S. For the fourth quarter of 2018, the Sohu Group’s management re-evaluated The tax benefit recognized and the unrecognized tax benefit in relation to the Toll Charge may be subject to further adjustment in subsequent periods based on facts and circumstances that arose after December 31, 2020, such as any IRS assessments upon audit and management’s further judgment and estimates. Uncertain Tax Positions The Sohu Group is subject to various taxes in different jurisdictions, but primarily the PRC. Management reviews regularly the adequacy of the provisions for taxes as they relate to the Group’s income and transactions. In order to assess uncertain tax positions, the Group applies a more likely than not threshold and a two-step two-step |
Net Income /(Loss) per Share | Net Income/(Loss) per Share Basic net income/(loss) per share is computed using the weighted average number of ordinary shares outstanding during the period. Diluted net income/(loss) per share is computed using the weighted average number of ordinary shares and, if dilutive, potential ordinary shares outstanding during the period. Potential ordinary shares comprise shares issuable upon the exercise or settlement of share-based awards using the treasury stock method. The dilutive effect of share-based awards with performance requirements is not considered before the performance targets are actually met. The computation of diluted net income/(loss) per share does not assume conversion, exercise, or contingent issuance of securities that would have an anti-dilutive effect (i.e. an increase in earnings per share amounts or a decrease in loss per share amounts) on net income/(loss) per share. Additionally, for purposes of calculating the numerator of diluted net income/(loss) per share, the net income/(loss) attributable to the Sohu Group is calculated as discussed below. The adjustment will not be made if there is an anti-dilutive effect. Changyou’s net income/(loss) attributable to Sohu Prior to the completion of the Changyou Merger on April 17, 2020, Changyou’s net income/(loss) attributable to Sohu was determined using the percentage that the weighted average number of Changyou shares held by Sohu represented of the weighted average number of Changyou ordinary shares and shares issuable upon the exercise or settlement of share-based awards under the treasury stock method, and not by using the percentage held by Sohu of the total economic interest in Changyou, which was used for the calculation of basic net income per share. After the completion of the Changyou Merger, Sohu holds 100% of the combined total of Changyou’s outstanding ordinary shares, so Changyou’s net income/(loss) is As a result of the Changyou Plans’ Modification, a portion of the share options previously granted under the Changyou 2014 Share Incentive Plan that became vested after the completion of the Changyou Merger were settled by Changyou at a fixed price of $5.39 per Changyou Class A ordinary share, which equals the Changyou Merger consideration of $5.40 per Changyou Class A ordinary share minus the per-share re-measurement In the calculation of Sohu’s diluted net income/(loss) per share, before the Changyou Plans’ Modification, a dilutive effect should be assumed. All of Changyou’s existing unvested restricted share units and share options, and vested restricted share units and share options that have not yet been settled or exercised, are treated as vested and settled by Changyou under the treasury stock method, causing the percentage of the weighted average number of shares held by Sohu in Changyou to decrease. As a result, Changyou’s net income/(loss) attributable to Sohu on a diluted basis decreased accordingly. Assuming an anti-dilutive effect, all of these Changyou restricted share units and share options are excluded from the calculation of Sohu’s diluted net income/(loss) per share. As a result, Changyou’s net income/(loss) attributable to Sohu on a diluted basis equals the number used for the calculation of Sohu’s basic net income/(loss) per share. As a result of the Changyou Plans’ Modification, all of Changyou’s previously granted share-based awards have been reclassified as obligation-based awards. Accordingly, all of those Changyou awards are excluded from the calculation of Sohu’s diluted net income/(loss) per share. Changyou’s net income/(loss) attributable to Sohu on a diluted basis equals the number used for the calculation of Sohu’s basis net income/(loss) per share. There have been no diluted effects resulting from Changyou’s existing unvested share options. Sogou’s net income/(loss) attributable to Sohu (Discontinued) Sogou’s net income/(loss) attributable to Sohu is determined using the percentage that the weighted average number of Sogou shares held by Sohu represents of the weighted average number of Sogou ordinary shares and shares issuable upon the exercise or settlement of share-based awards under the treasury stock method, and not by using the percentage held by Sohu of the total economic interest in Sogou, which is used for the calculation of basic net income per share. Sogou’s net income/(loss) attributable to Sohu is reflected as discontinued operations in the Sohu Group’s consolidated statements of comprehensive income. In the calculation of Sohu’s diluted net income/(loss) per share, assuming a dilutive effect, the percentage of Sohu’s shareholding in Sogou was calculated by treating convertible preferred shares issued by Sogou as having been converted at the beginning of the period and unvested Sogou share options with the performance targets achieved as well as vested but unexercised Sogou share options as having been exercised during the period. The dilutive effect of share-based awards with a performance requirement was not considered before the performance targets were actually met. Assuming an anti-dilutive effect, all of these Sogou shares and share options are excluded from the calculation of Sohu’s diluted income/(loss) per share. As a result, Sogou’s net income/(loss) attributable to Sohu on a diluted basis equals the number used for the calculation of Sohu’s basic net income/(loss) per share. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments U.S. GAAP establishes a three-tier hierarchy to prioritize the inputs used in the valuation methodologies in measuring the fair value of financial instruments. This hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three-tier fair value hierarchy is: Level 1 - observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - include other inputs that are directly or indirectly observable in the market place. Level 3 - unobservable inputs which are supported by little or no market activity . The Sohu Group’s financial instruments consist primarily of cash equivalents, restricted cash, short-term investments, accounts receivable, prepaid and other current assets, long-term investments, restricted time deposits, accounts payable, accrued liabilities, receipts in advance and deferred revenue, short-term bank loans, other short-term liabilities, long-term bank loans, and long-term accounts payable. |
Cash Equivalents | Cash Equivalents The Sohu Group’s cash equivalents mainly consist of time deposits with original maturities of three months or less, and highly liquid investments that are readily convertible to known amounts of cash. |
Short-term Investments | Short-term Investments For investments in financial instruments with a variable interest rate indexed to the performance of underlying assets, the Sohu Group elected the fair value method at the date of initial recognition and carried these investments subsequently at fair value. Changes in fair values are reflected in the consolidated statements of comprehensive income. |
Account Receivables, Net | Accounts Receivable, Net The carrying value of accounts receivable is reduced by an allowance that reflects the Sohu Group’s best estimate of the amounts that will not be collected. The Group makes estimations of the collectability of accounts receivable. Many factors are considered in estimating the general allowance, including reviewing delinquent accounts receivable, performing a customer credit analysis, and analyzing historical bad debt records and current and future economic trends. Accounts receivable are measured at amortized cost and reported on the consolidated balance sheets at the outstanding principals adjusted for any write-offs and any allowance for credit losses. |
Allowance for credit losses | Allowance for credit losses Effective on January 1, 2020, the Sohu Group adopted Accounting Standards Update (ASU) 2016-13, 2016-13”) The Sohu Group adopted ASU 2016-13 The following table shows the overall adjustments recognized for each individual line item (in thousands). December 31, 2019 ASU 2016-13 adjustment January 1, 2020 Allowance for credit losses Accounts receivable, net $ 126,081 $ (3,383 ) $ 122,698 Accounts receivable and financing receivables, net classified as assets held for sale (1) 134,635 (3,273 ) 131,362 Total assets 2,691,864 (6,656 ) 2,685,208 Shareholders’ equity Accumulated deficit (544,137 ) (6,656 ) (550,793 ) Note (1): Of the total adjustment of $3.3 million, $2.5 million was related to financing receivables. |
Accounts receivable, net | Accounts receivable, net The allowance for credit losses reflects the Sohu Group’s estimated expected losses. The Sohu Group estimates the allowance for credit losses, mainly based on past collection experience as well as consideration of current and future economic conditions and changes in the Sohu Group’s collection trends. The Sohu Group estimates the expected credit losses for accounts receivable with similar risk characteristics on a pool basis. For each pool, the Sohu Group first estimates its recovery period based on relevant historical accounts receivable collection information. Then the Sohu Group estimates the credit allowances based on the recovery period, the historical distribution of each aging bucket, and the impact of macroeconomic factors. Accounts receivable are written off when there is no reasonable expectation of recovery. Allowance for credit losses is presented as net impairment losses within operating profit. Subsequent recoveries of amounts previously written off are credited against the same line item. Accounts receivable, net, as of December 31, 2019 and 2020 consisted of the following (in thousands): As of December 31, 2019 2020 Accounts receivable, net Accounts receivable $ 130,037 $ 94,528 Less: Allowance for credit losses (3,956 ) (7,007 ) $ 126,081 $ 87,521 The following table presents the aging analysis of accounts receivable as of December 31, 2019 and 2020 (in thousands): As of December 31, 2019 2020 Less than 179 days $ 113,173 $ 78,805 180-359 6,516 7,569 360 days and greater 10,348 8,154 Total 130,037 94,528 The movement of allowance for credit losses for the years ended December 31, 2018, 2019 and 2020 was as follows (in thousands): For the year ended December 31, 2018 2019 2020 Balance at the beginning of year $ 4,487 $ 7,574 $ 3,956 Changes on initial application of ASU 2016-13 0 0 3,383 Additional allowance for credit losses, net of recoveries 5,449 4,724 2,419 Write-offs (1,940 ) (8,237 ) (3,231 ) Exchange difference (422 ) (105 ) 480 Balance at the end of year 7,574 3,956 7,007 Note (1): The Company adopted ASU 2016-13 |
Accounts Receivable and Financing Receivables, Net classified as assets held for sale | Accounts Receivable and Financing Receivables, Net classified as assets held for sale Financing receivables, net, classified as assets held for sale consist primarily of small consumer loans that Sogou makes to individual borrowers. Sogou funds such loans either through its own capital or through a trust which was jointly established by Sogou and a third-party investor, and is administered by a third-party trust company. As the trust only invests in loans facilitated by Sogou, Sogou has power to direct the activities of the trust. Sogou also has the obligation to absorb losses and the right to receive benefits from the trust that could potentially be significant to the trust. As a result, Sogou is considered the primary beneficiary of the trust and the trust is considered a consolidated VIE (the “Consolidated Trust”) under ASC 810. The financing receivables, net, classified as assets held for sale are recorded at the principal amount and interest accrued, net of allowance for credit losses that reflects Sogou’s best estimate of the amounts that will not be collected. Interest on loans is accrued based on the contractual interest rates of the loans when earned. The loan periods granted by Sogou to the borrowers related to the small consumer loans are generally within one year. Sogou estimates its credit losses of the financing receivables collectively, using a pool basis within applicable credit risk classification levels of the underlying customers, mainly based on delinquency levels. The significant assumptions used in the process of estimating the allowance for credit losses include portfolio composition, loan delinquencies, loss severity and recoveries, and application of macroeconomic forecasts. The lifetime CECL allowance is measured as the product of the ending balance and two key parameters, the lifetime Probability of Default (“PD”) and Loss Given Default (“LGD”). PD represents the expected probability of payment and time to default of small consumer loans made by Sogou. LGD represents the percentage of the expected balance due at default that is not recoverable. The calibration of PD and LGD starts with the Sogou’s historical information, with PD considering vintage, recent performance, and macroeconomic factors and LGD being assessed based on portfolio delinquencies, loss severity, and future recoveries default. The estimated credit losses are further adjusted to incorporate the impact of macroeconomic conditions. To incorporate the impact based on Sogou’s macroeconomic forecasts, quantitative adjustments are applied to key parameters such as PD and LGD on a collective basis. Macroeconomic factors used in models include variables such as consumer price index and total retail sales of consumer goods. Financing receivables are written off when there is no reasonable expectation of recovery. Allowance for credit losses is presented as net impairment losses within operating profit. Subsequent recoveries of amounts previously written off are credited against the same line item. The accounts receivable and financing receivables, net, classified as assets held for sale as of December 31, 2019 and 2020 consisted of the following (in thousands): As of December 31, 2019 2020 Accounts receivable $ 77,210 $ 35,975 Financing receivables 66,858 41,911 Less: Allowance for credit losses (1) (12,255 ) (6,700 ) $ 131,813 $ 71,186 Note (1): The allowance for credit losses related to financing receivables was $6.4 million as of December 31, 2020. The following table summarizes the past-due 1 - 30 Past Due 31 - Past 6 9 0 Past Due Greater Past Total Past Due Current Total December 31, 2019 Financing receivables by origination year 2018 $ 0 $ 0 $ 0 $ 0 $ 0 $ 1,744 $ 1,744 2019 10,606 1,635 1,176 1,709 15,126 49,988 65,114 Total 10,606 1,635 1,176 1,709 15,126 51,732 66,858 December 31, 2020 Financing receivables by origination year 2018 $ 0 $ 0 $ 0 $ 0 $ 0 $ 1,081 $ 1,081 2019 1 1 2 0 4 182 186 2020 7,037 576 548 501 8,662 31,982 40,644 Total $ 7,038 $ 577 $ 550 $ 501 $ 8,666 $ 33,245 $ 41,911 The movement of allowance for credit losses for the years ended December 31, 2018, 2019 and 2020 was as follows (in thousands): For the year ended December 31, 2018 2019 2020 Beginning balance $ 384 $ 7,511 $ 12,255 Change on initial application of ASU 2016-13 0 0 3,273 Additional allowance for credit losses, net of recoveries 9,119 15,620 3,049 Write-offs (1,908 ) (11,741 ) (12,517 ) Exchange difference (84 ) 865 640 Balance at the end of year $ 7,511 $ 12,255 $ 6,700 Note (1): The Group adopted ASU 2016-13 |
Foreign Exchange Forward Contracts | Foreign Exchange Forward Contracts Foreign exchange forward contracts are initially recognized on the date a foreign exchange forward contract is entered into and are subsequently measured at fair value. |
Restricted Time Deposits | Restricted Cash and Restricted Time Deposits Restricted cash and restricted time deposits are valued based on the prevailing interest rates in the market using the discounted cash flow method. |
Equity Investments | Equity Investments Investments in entities are recorded as equity investments under long-term investments. For investments in common stock or in-substance The Group assesses investments for impairment by considering factors including, but not limited to, current economic and market conditions, operating performance of the companies, including current earnings trends and undiscounted cash flows, and other company-specific information, such as recent financing rounds. The fair value determination, particularly for investments in privately-held companies whose revenue model is still unclear, requires significant judgment to determine appropriate estimates and assumptions. Changes in these estimates and assumptions could affect the calculation of the fair value of the investments. If the assessment indicates that an impairment exists, the Group estimates the fair value of the investment and writes down the asset to its fair value, taking the corresponding charge to the consolidated |
Long-Lived Assets | Long-Lived Assets Long-lived assets include fixed assets and intangible assets. Fixed Assets Fixed assets mainly comprise office buildings, leasehold improvements, building improvements, vehicles, office furniture and computer equipment, and hardware. Fixed assets are recorded at cost less accumulated depreciation with no residual value. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. Fixed Assets Estimated Useful Lives (years) Office buildings 36-47 Leasehold improvements Lesser of term of the lease or the estimated useful lives of the assets Vehicles 4-10 Office furniture 5 Computer equipment and hardware 2-5 Expenditure for maintenance and repairs is expensed as incurred. The gain or loss on the disposal of fixed assets is the difference between the net sale proceeds and the carrying value of the relevant assets and is recognized in operating expenses in the consolidated statements of comprehensive income. Intangible Assets Intangible assets mainly comprise purchased video content, operating rights for licensed games, domain names and trademarks, computer software, and developed technologies. Intangible assets are recorded at cost less accumulated amortization with no residual value. Amortization of intangible assets other than purchased video content is computed using the straight-line method over their estimated useful lives. Amortization of purchased video content is computed based on the trend in viewership accumulation over the shorter of the applicable license period or two years. The estimated useful lives of the Group’s intangible assets are listed below: Intangible Assets Estimated Useful Lives (years) Purchased video content 1 month to 2 years Computer software 1-5 Developed technologies 3-10 Domain names and trademarks 4-30 Operating rights for licensed games over the contract terms Sohu Video enters into nonmonetary transactions to exchange online broadcasting rights for purchased video content with other online video broadcasting companies. Under ASC 845, the cost of a nonmonetary asset acquired in exchange for another nonmonetary asset is the fair value of the asset surrendered to obtain the acquired nonmonetary asset, and a gain or loss should be recognized on the exchange. The fair value of the asset received should be used to measure the cost if the fair value of the asset received is more reliable than the fair value of the asset surrendered. The Sohu Group records these nonmonetary exchanges at the fair values of the online broadcasting rights for purchased video content and recognize any net gain or loss from such exchange transactions. Impairment of Long-lived Assets Other Than Purchased Video Content In accordance with ASC 360-10-35, Impairment of Purchased Video Content Purchased video content is stated at the lower of cost less accumulated amortization, or fair value. In accordance with ASC 920-350-35, |
Lease | Lease The Sohu Group adopted ASU No. 2016-02, The Sohu Group elected the package of practical expedients permitted under the transition guidance, which allowed the Sohu Group to carry forward the historical lease classification, the assessment on whether an existing or expired contract contains a lease, and the treatment of initial direct costs. The Sohu Group also elected to keep leases with an initial term of 12 months or less off the balance sheet. Under the new lease guidance, the Sohu Group determines if an arrangement is or contains a lease at inception. Right-of-use right-of-use right-of-use |
Goodwill | Goodwill Goodwill represents the excess of the purchase price over the fair value of the identifiable assets and liabilities acquired as a result of the Sohu Group’s acquisitions of interests in its subsidiaries and consolidated VIEs. If the initial accounting for a business combination is incomplete by the end of the reporting period in which the combination occurs, the Group reports in its financial statements provisional amounts for the items for which the accounting is incomplete. If a measurement period adjustment is identified, the Group recognizes the adjustment as part of the acquisition accounting. The Sohu Group increases or decreases the provisional amounts of identifiable assets or liabilities by means of increases or decreases in goodwill for measurement period adjustments. In accordance with ASC 350, the Group does not amortize goodwill, but tests it for impairment. The Group tests goodwill for impairment at the reporting unit level on an annual basis as of October 1, and between annual tests when an event occurs or circumstances change that could indicate that the asset might be impaired. The Group adopted ASU No. 2017-04, Application of a goodwill impairment test requires significant management judgment, including the identification of reporting units, assigning assets and liabilities to reporting units, assigning goodwill to reporting units, and determining the fair value of each reporting unit. The Group estimates fair value using the income approach and the market approach. The judgment in estimating the fair value of reporting units includes revenue growth rates and profitability in estimating future cash flows; determining appropriate discount rates and earnings multipliers based on market data of comparable companies engaged in a similar business under the market approach; and making other assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value for each reporting unit. |
Comprehensive Income | Comprehensive Income Comprehensive income is defined as the change in equity of a company during a period from transactions and other events and circumstances excluding transactions resulting from investments from owners and distributions to owners. Accumulated other comprehensive income, as presented on the Sohu Group’s consolidated balance sheets, consists of the Sohu Group’s cumulative foreign currency translation adjustment. |
Functional Currency and Foreign Currency Translation | Functional Currency and Foreign Currency Translation An entity’s functional currency is the currency of the primary economic environment in which it operates, normally that is the currency of the environment in which the entity primarily generates and expends cash. Management’s judgment is essential to determine the functional currency by assessing various indicators, such as cash flows, sales price and market, expenses, financing and intra-Group transactions and arrangements. The functional currency of Sohu.com Limited, and its predecessor Sohu.com Inc., is the U.S. dollar. The functional currency of the Sohu Group’s subsidiaries in the U.S., the Cayman Islands, the British Virgin Islands and Hong Kong is the U.S. dollar. The functional currencies of the Sohu Group’s subsidiaries and VIEs in other countries are the national currencies of those counties, rather than the U.S. dollar. Foreign currency transactions denominated in currencies other than the functional currency are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are re-measured re-measurement Financial statements of entities with a functional currency other than the U.S. dollar are translated into U.S. dollars, which is the reporting currency. Assets and liabilities are translated at the current exchange rate in effect at the balance sheet date, and revenues and expenses are translated at the average of the exchange rates in effect during the reporting period. Shareholders’ equity accounts are translated using the historical exchange rates at the date the entry to shareholders’ equity was recorded, except for the change in retained earnings during the year, which is translated using the historical exchange rates used to translate each period’s income statement. Differences resulting from translating a foreign currency to the reporting currency are recorded in accumulated other comprehensive income in the consolidated balance sheets. |
Impact of Recently Issued Accounting Pronouncements | Impact of Recently Issued Accounting Pronouncements Financial Instruments-Credit Losses (Topic 326). 2016-13, Financial Instruments-Credit Losses (Topic 326) 2016-13 2016-13’s Simplifying the Test for Goodwill Impairment (Topic 350). No. 2017-04, “Simplifying the Test for Goodwill Impairment.” 2017-04 Cloud computing set-up, Other accounting standards adopted beginning January 1, 2020 do not have a significant impact on the Sohu Group’s consolidated financial statements. |
Impact of Recently Issued Accounting Pronouncements not Yet Adopted | Impact of Recently Issued Accounting Pronouncements not Yet Adopted Simplifying the accounting for income taxes (Topic 740). No. 2019-12, Income Taxes (Topic 740) - Simplifying the Accounting for Income Taxes No. 2019-12 2019-12 Investments—Equity securities (Topic 321), Investments—Equity method and joint ventures (Topic 323), and Derivatives and hedging (Topic 815)—Clarifying the interactions between Topic 321, Topic 323, and Topic 815. No. 2020-01, Investments—Equity securities (Topic 321), Investments—Equity method and joint ventures (Topic 323), and Derivatives and hedging (Topic 815)—Clarifying the interactions between Topic 321, Topic 323, and Topic 815 2020-01 |
The Company and Nature of Ope_2
The Company and Nature of Operations (Information of Subsidiaries and VIEs) (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
THE COMPANY AND NATURE OF OPERATIONS [Abstract] | |
Information of all subsidiaries and VIEs | Name of Entity Date of Place of Effective Subsidiaries: For Sohu: Sohu.com (Hong Kong) Limited (“Sohu HK”) Incorporated on April 19, 2000 Hong Kong 100 % Beijing Sohu New Era Information Technology Co., Ltd. (“Sohu Era”) Incorporated on July 25, 2003 People’s Republic of China 100 % Sohu.com (Search) Limited (“Sohu Search”) Incorporated on October 28, 2005 Cayman Islands 100 % Beijing Sohu New Media Information Technology Co., Ltd. (“Sohu Media”) Incorporated on June 19, 2006 People’s Republic of China 100 % Sohu.com (Game) Limited (“Sohu Game”) Incorporated on February 11, 2008 Cayman Islands 100 % Beijing Sohu New Momentum Information Technology Co., Ltd. (“Sohu New Momentum”) Incorporated on May 31, 2010 People’s Republic of China 100 % Fox Video Limited (“Sohu Video”) Incorporated on July 26, 2011 Cayman Islands 100 % Fox Information Technology (Tianjin) Limited (“Video Tianjin”) Incorporated on November 17, 2011 People’s Republic of China 100 % Sohu Focus Limited (“Sohu Focus”) Incorporated on July 11, 2013 Cayman Islands 100 % For Changyou: Changyou.com Limited (“Changyou”) Incorporated on August 6, 2007 Cayman Islands 100 % Changyou.com (HK) Limited (“Changyou HK”) Incorporated on August 13, 2007 Hong Kong 100 % Beijing AmazGame Age Internet Technology Co., Ltd. (“AmazGame”) Incorporated on September 26, 2007 People’s Republic of China 100 % Beijing Changyou Gamespace Software Technology Co., Ltd. (“Gamespace”) Incorporated on October 29, 2009 People’s Republic of China 100 % Changyou.com Korea LLC (“Changyou Korea”) Incorporated on January 7, 2010 Korea 100 % Beijing Changyou Chuangxiang Software Technology Co., Ltd. (“Changyou Chuangxiang”) Incorporated on November 8, 2016 People’s Republic of China 100 % For Sogou: Sogou Inc. (“Sogou”) Incorporated on December 23, 2005 Cayman Islands 34 % Sogou (BVI) Limited (“Sogou BVI”) Incorporated on December 23, 2005 British Virgin Islands 34 % Beijing Sogou Technology Development Co., Ltd. (“Sogou Technology”) Incorporated on February 8, 2006 People’s Republic of China 34 % Sogou Hong Kong Limited (“Sogou HK”) Incorporated on December 12, 2007 Hong Kong 34 % Vast Creation Advertising Media Services Limited (“Vast Creation”) Acquired on November 30, 2011 Hong Kong 34 % Beijing Sogou Network Technology Co., Ltd (“Sogou Network”) Incorporated on March 29, 2012 People’s Republic of China 34 % Sogou (Shantou) Internet Microcredit Co., Ltd. (“Sogou Microcredit”) Incorporated on November 22, 2017 People’s Republic of China 34 % Sogou (Hangzhou) Intelligent Technology Co., Ltd. (“Sogou Hangzhou”) Incorporated on April 28, 2018 People’s Republic of China 34 % Shantou Ying Zhong Bai Fu Financing Guarantee Co., Ltd. (“Sogou Financing Guarantee”) Incorporated on July 24, 2019 People’s Republic of China 34 % VIEs: For Sohu: Beijing Century High-Tech Investment Co., Ltd. (“High Century”) Incorporated on December 28, 2001 People’s Republic of China 100 % Beijing Heng Da Yi Tong Information Technology Co., Ltd. (“Heng Da Yi Tong”) Incorporated on February 7, 2002 People’s Republic of China 100 % Beijing Sohu Internet Information Service Co., Ltd. (“Sohu Internet”) Incorporated on July 31, 2003 People’s Republic of China 100 % Beijing Sohu Donglin Advertising Co., Ltd. (“Donglin”) Incorporated on May 17, 2010 People’s Republic of China 100 % Tianjin Jinhu Culture Development Co., Ltd (“Tianjin Jinhu”) Incorporated on November 24, 2011 People’s Republic of China 100 % Beijing Focus Interactive Information Service Co., Ltd. (“Focus Interactive”) Incorporated on July 15, 2014 People’s Republic of China 100 % For Changyou: Beijing Gamease Age Digital Technology Co., Ltd. (“Gamease”) Incorporated on August 23, 2007 People’s Republic of China 100 % Shanghai ICE Information Technology Co., Ltd. (“Shanghai ICE”) Acquired on May 28, 2010 People’s Republic of China 100 % Beijing Guanyou Gamespace Digital Technology Co., Ltd. (“Guanyou Gamespace”) Incorporated on August 5, 2010 People’s Republic of China 100 % For Sogou: Beijing Sogou Information Service Co., Ltd.(“Sogou Information”) Incorporated on December 28, 2005 People’s Republic of China 34 % Chengdu Easypay Technology Co., Ltd. (“Chengdu Easypay”) Incorporated on January 19, 2015 People’s Republic of China 34 % Sohu’s Business Brand Advertising Busines s Sohu’s main business is the brand advertising business, which offers to users, over Sohu’s matrices of Chinese language online media, various content, products and services across multiple Internet-enabled devices such as mobile phones, tablets and PCs. The majority of Sohu’s products and services are provided in China through Sohu Media Portal, Sohu Video and Focus. • Sohu Media Portal. • Sohu Video. • Focus. Revenues generated by the brand advertising business are classified as brand advertising revenues in the Sohu Group’s consolidated statements of comprehensive income. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Impact of new accounting policy on allowance for credit loss | The following table shows the overall adjustments recognized for each individual line item (in thousands). December 31, 2019 ASU 2016-13 adjustment January 1, 2020 Allowance for credit losses Accounts receivable, net $ 126,081 $ (3,383 ) $ 122,698 Accounts receivable and financing receivables, net classified as assets held for sale (1) 134,635 (3,273 ) 131,362 Total assets 2,691,864 (6,656 ) 2,685,208 Shareholders’ equity Accumulated deficit (544,137 ) (6,656 ) (550,793 ) Note (1): Of the total adjustment of $3.3 million, $2.5 million was related to financing receivables. |
Schedule of accounts notes loans and financing receivable | Accounts receivable, net, as of December 31, 2019 and 2020 consisted of the following (in thousands): As of December 31, 2019 2020 Accounts receivable, net Accounts receivable $ 130,037 $ 94,528 Less: Allowance for credit losses (3,956 ) (7,007 ) $ 126,081 $ 87,521 |
Accounts receivable current overdue details | The following table presents the aging analysis of accounts receivable as of December 31, 2019 and 2020 (in thousands): As of December 31, 2019 2020 Less than 179 days $ 113,173 $ 78,805 180-359 6,516 7,569 360 days and greater 10,348 8,154 Total 130,037 94,528 |
Accounts receivable allowance for credit loss | The movement of allowance for credit losses for the years ended December 31, 2018, 2019 and 2020 was as follows (in thousands): For the year ended December 31, 2018 2019 2020 Balance at the beginning of year $ 4,487 $ 7,574 $ 3,956 Changes on initial application of ASU 2016-13 0 0 3,383 Additional allowance for credit losses, net of recoveries 5,449 4,724 2,419 Write-offs (1,940 ) (8,237 ) (3,231 ) Exchange difference (422 ) (105 ) 480 Balance at the end of year 7,574 3,956 7,007 2016-13 |
Estimated useful lives of fixed assets | Fixed Assets Estimated Useful Lives (years) Office buildings 36-47 Leasehold improvements Lesser of term of the lease or the estimated useful lives of the assets Vehicles 4-10 Office furniture 5 Computer equipment and hardware 2-5 |
Estimated useful lives of intangible assets | Intangible Assets Estimated Useful Lives (years) Purchased video content 1 month to 2 years Computer software 1-5 Developed technologies 3-10 Domain names and trademarks 4-30 Operating rights for licensed games over the contract terms |
ASC 606 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Revenues disaggregated by products and services | Year Ended December 31, 2018 (in thousands) Sohu Changyou Total Brand advertising: Sohu Media Portal $ 127,612 0 127,612 Sohu Video 53,886 0 53,886 Focus 31,144 0 31,144 17173.com Website 0 19,697 19,697 Online games: PC games 0 236,743 236,743 Mobile games 0 151,737 151,737 Other games 0 1,308 1,308 Others 61,974 6,074 68,048 Total $ 274,616 415,559 690,175 Year Ended December 31, 2019 (in thousands) Sohu Changyou Total Brand advertising: Sohu Media Portal $ 94,692 0 94,692 Sohu Video 34,529 0 34,529 Focus 32,120 0 32,120 17173.com Website 0 13,715 13,715 Online games: PC games 0 267,752 267,752 Mobile games 0 172,718 172,718 Other games 0 432 432 Others 57,082 763 57,845 Total $ 218,423 455,380 673,803 Year Ended December 31, 2020 (in thousands) Sohu Changyou Total Brand advertising: Sohu Media Portal $ 86,293 0 86,293 Sohu Video 25,312 0 25,312 Focus 23,281 0 23,281 17173.com Website 0 11,640 11,640 Online games: PC games 0 353,737 353,737 Mobile games 0 182,947 182,947 Other games 0 0 0 Others 66,658 22 66,680 Total $ 201,544 548,346 749,890 |
Sogou Inc. [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Schedule of accounts notes loans and financing receivable | The accounts receivable and financing receivables, net, classified as assets held for sale as of December 31, 2019 and 2020 consisted of the following (in thousands): As of December 31, 2019 2020 Accounts receivable $ 77,210 $ 35,975 Financing receivables 66,858 41,911 Less: Allowance for credit losses (1) (12,255 ) (6,700 ) $ 131,813 $ 71,186 |
Accounts receivable allowance for credit loss | The movement of allowance for credit losses for the years ended December 31, 2018, 2019 and 2020 was as follows (in thousands): For the year ended December 31, 2018 2019 2020 Beginning balance $ 384 $ 7,511 $ 12,255 Change on initial application of ASU 2016-13 0 0 3,273 Additional allowance for credit losses, net of recoveries 9,119 15,620 3,049 Write-offs (1,908 ) (11,741 ) (12,517 ) Exchange difference (84 ) 865 640 Balance at the end of year $ 7,511 $ 12,255 $ 6,700 Note (1): The Group adopted ASU 2016-13 |
Financing receivables current details of due period | The following table summarizes the past-due 1 - 30 Past Due 31 - Past 6 9 0 Past Due Greater Past Total Past Due Current Total December 31, 2019 Financing receivables by origination year 2018 $ 0 $ 0 $ 0 $ 0 $ 0 $ 1,744 $ 1,744 2019 10,606 1,635 1,176 1,709 15,126 49,988 65,114 Total 10,606 1,635 1,176 1,709 15,126 51,732 66,858 December 31, 2020 Financing receivables by origination year 2018 $ 0 $ 0 $ 0 $ 0 $ 0 $ 1,081 $ 1,081 2019 1 1 2 0 4 182 186 2020 7,037 576 548 501 8,662 31,982 40,644 Total $ 7,038 $ 577 $ 550 $ 501 $ 8,666 $ 33,245 $ 41,911 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Sogou Inc. [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Balance Sheet Information of Discontinued Operations | The following tables set forth the assets, liabilities, results of operations and cash flows of discontinued operations with respect to Sogou, that were included in the Sohu Group’s consolidated financial statements (in thousands): As of December 31, As of December 31, ASSETS Cash and cash equivalents $ 142,464 $ 287,185 Restricted cash 5,370 23,018 Short-term investments 995,350 774,618 Account and financing receivables, net 134,635 73,656 Prepaid and other current assets 26,802 28,946 Long-term investments, ne t 63,345 74,004 Fixed assets, net 110,006 89,089 Goodwill 5,534 6,527 Intangible assets, net 1,514 1,446 Other assets 37,281 53,679 Total assets associated with discontinued operations $ 1,522,301 $ 1,412,168 LIABILITIES Accounts payable $ 132,085 $ 122,695 Accrued liabilities 91,949 68,582 Receipts in advance 67,902 64,414 Accrued salary and benefits 24,167 25,350 Taxes payable 76,688 64,082 Other short-term liabilities 60,320 61,154 Long-term liabilities 5,686 10,721 Total liabilities associated with discontinued operations $ 458,797 $ 416,998 |
Comprehensive Income Information of Discontinued Operations | Year Ended December 31, 2018 2019 2020 Revenues $ 1,124,158 $ 1,172,252 $ 924,664 Cost of revenues 693,470 738,454 722,614 Gross profit 430,688 433,798 202,050 Operating expenses: Research and development (1) 201,739 190,402 193,376 Sales and marketing (1) 146,194 138,291 102,523 General and administrative (1) 38,072 40,670 29,271 Total operating expenses 386,005 369,363 325,170 Operating profit/(loss) 44,683 64,435 (123,120 ) Interest income 8,037 4,443 2,807 Foreign currency exchange gain/(loss) 5,725 1,849 (7,767 ) Other income, net (1) 41,490 21,127 38,633 Income/(loss) before income tax expense 99,935 91,854 (89,447 ) Income tax expense 1,153 2,748 2,346 Net income/(loss) from discontinued operations, net of tax 98,782 89,106 (91,793 ) (1) Expenses generated from marketing services among the Sohu and Sogou, and leasing expenses generated from a building that Sohu leases to Sogou are not eliminated because those expenses are considered to continue after the disposal of the discontinued operations. |
Cash Flow Information of Discontinued Operations | Year Ended December 31, 2018 2019 2020 Net cash provided by/(used in) discontinued operating activities $ 132,746 $ 219,516 $ (68,187 ) Net cash provided by/(used in) discontinued investing activities (638,672 ) (217,598 ) 235,374 Net cash provided by/(used in) discontinued financing activities 1 (33,415 ) (8,209 ) |
Shanghai Jingmao and Its Affiliate [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Comprehensive Income Information of Discontinued Operations | Year Ended December 31, 2018 2019 (1) Revenues $ 70,202 $ 37,323 Cost of revenues 89,233 43,857 Gross loss (19,031 ) (6,534 ) Operating expenses: Sales and marketing 20,288 8,807 General and administrative 4,965 18,583 Total operating expenses 25,253 27,390 Operating loss (44,284 ) (33,924 ) Interest income 6 7 Other income/(expense), net (557 ) 61 Loss before income tax expense (44,835 ) (33,856 ) Income tax expense 0 142 Net loss from discontinued operations, net of tax (44,835 ) (33,998 ) |
Cash Flow Information of Discontinued Operations | Year Ended December 31, 2018 2019 (1) Net cash provided by discontinued operating activities $ 3,422 $ 9,341 Net cash used in discontinued investing activities (718 ) (10,808 ) Net cash provided by/(used in) discontinued financing activities 0 0 Note (1): Includes the financial results of the discontinued operations from January 1, 2019 to August 12, 2019. |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
SEGMENT INFORMATION [Abstract] | |
Segment operating information by segment | The following tables present summary information by segment (in thousands): Year Ended December 31, 2018 Sohu Changyou Eliminations Consolidated Revenues $ 274,670 $ 415,561 $ (56 ) $ 690,175 Segment cost of revenues (218,184 ) (71,626 ) 56 (289,754 ) Segment gross profit 56,486 343,935 0 400,421 SBC (1) in cost of revenues 707 31 0 738 Gross profit 57,193 343,966 0 401,159 Operating expenses: Product development (123,743 ) (126,593 ) (1 ) (250,337 ) Sales and marketing (203,307 ) (34,512 ) (1 ) (237,820 ) General and administrative (47,738 ) (28,657 ) 0 (76,395 ) Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions 0 (16,369 ) 0 (16,369 ) SBC (1) in operating expenses 4,940 6,430 0 11,370 Total operating expenses (369,848 ) (199,701 ) (2 ) (569,551 ) Operating profit/(loss) (312,655 ) 144,265 (2 ) (168,392 ) Other income 30,701 Interest income 16,036 Interest expense (17,538 ) Exchange difference 3,301 Loss before income tax expense (135,892 ) Income tax benefit 14,586 Net loss from continuing operations (121,306 ) Net income from discontinued operations 53,947 Net loss $ (67,359 ) Note (1): “SBC” stands for share-based compensation expense. Year Ended December 31, 2019 Sohu Changyou Eliminations Consolidated Revenues $ 218,442 $ 455,380 $ (19 ) $ 673,803 Segment cost of revenues (148,258 ) (95,268 ) 21 (243,505 ) Segment gross profit 70,184 360,112 2 430,298 SBC (1) in cost of revenues (23 ) (120 ) 1 (142 ) Gross profit 70,161 359,992 3 430,156 Operating expenses: Product development (113,761 ) (119,726 ) 0 (233,487 ) Sales and marketing (155,226 ) (49,768 ) 2 (204,992 ) General and administrative (31,330 ) (22,074 ) (17 ) (53,421 ) Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions (7,245 ) 0 0 (7,245 ) SBC (1) in operating expenses (1,023 ) (1,185 ) 0 (2,208 ) Total operating expenses (308,585 ) (192,753 ) (15 ) (501,353 ) Operating profit/(loss) (238,424 ) 167,239 (12 ) (71,197 ) Other income 7,963 Interest income 6,103 Interest expense (14,370 ) Exchange difference 1,430 Loss before income tax expense (70,071 ) Income tax expense (28,428 ) Net loss from continuing operations (98,499 ) Net income from discontinued operations 55,108 Net loss $ (43,391 ) Note (1): “SBC” stands for share-based compensation expense. Year Ended December 31, 2020 Sohu Changyou Eliminations Consolidated Revenues $ 201,544 $ 548,346 $ 0 $ 749,890 Segment cost of revenues (122,362 ) (94,362 ) 7 (216,717 ) Segment gross profit 79,182 453,984 7 533,173 SBC (1) in cost of revenues (177 ) (543 ) 0 (720 ) Gross profit 79,005 453,441 7 532,453 Operating expenses: Product development (97,681 ) (136,934 ) 0 (234,615 ) Sales and marketing (106,057 ) (53,272 ) 0 (159,329 ) General and administrative (25,861 ) (25,517 ) 0 (51,378 ) SBC (1) in operating expenses (1,759 ) (12,001 ) 0 (13,760 ) Total operating expenses (231,358 ) (227,724 ) 0 (459,082 ) Operating profit/(loss) (152,353 ) 225,717 7 73,371 Other income 25,993 Interest income 7,369 Interest expense (6,234 ) Exchange difference (3,800 ) Income before income tax expense 96,699 Income tax expense (133,226 ) Net loss from continuing operations (36,527 ) Net loss from discontinued operations (91,793 ) Net loss $ (128,320 ) Note (1): “SBC” stands for share-based compensation expense. |
Segment assets information by segment | As of December 31, 2019 Sohu Changyou Eliminations Consolidated Cash and cash equivalents $ 68,229 $ 94,433 $ 0 $ 162,662 Accounts receivable, net 70,252 55,829 0 126,081 Fixed assets, net 177,978 159,713 (9 ) 337,682 Total assets (1) $ 1,721,801 $ 1,871,685 $ (2,423,923 ) $ 1,169,563 Note (1): The elimination for segment assets mainly consists of elimination of intra-Group loans between Sohu and Changyou, and elimination of long-term investments in subsidiaries and consolidated VIEs. As of December 31, 2020 Sohu Changyou Eliminations Consolidated Cash and cash equivalents $ 56,977 $ 160,080 $ 0 $ 217,057 Accounts receivable, net 60,886 26,635 0 87,521 Fixed assets, net 174,700 162,976 (2 ) 337,674 Total assets (1) $ 1,632,736 $ 2,478,705 $ (2,701,488 ) $ 1,409,953 Note (1): The elimination for segment assets mainly consists of elimination of intra-Group loans between Sohu and Changyou, and elimination of long-term investments in subsidiaries and consolidated VIEs. |
Share-based Compensation Expe_2
Share-based Compensation Expense (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
SHARE-BASED COMPENSATION EXPENSE [Abstract] | |
Share-based compensation expense recognized in costs and expenses | Share-based compensation expense was recognized in costs and expenses for the years ended December 31, 2018, 2019 and 2020 as follows (in thousands): Year Ended December 31, Share-based compensation expense 2018 2019 2020 Cost of revenues $ (739 ) $ 142 $ 720 Product development expenses (4,182 ) 1,364 7,325 Sales and marketing expenses (920 ) (326 ) 460 General and administrative expenses (6,267 ) 1,170 5,975 $ (12,108 ) $ 2,350 $ 14,480 |
Share-based compensation expense recognized for share awards of Sohu (excluding Sohu Video), Sogou, Changyou and Sohu Video | Share-based compensation expense was recognized for share awards of Sohu (excluding Sohu Video), Changyou and Sohu Video as follows (in thousands): Year Ended December 31, Share-based compensation expense 2018 2019 2020 For Sohu (excluding Sohu Video) share-based awards $ (5,100 ) $ 1,940 $ 2,633 For Changyou share-based awards (6,461 ) 1,305 12,545 For Sohu Video share-based awards (547 ) (895 ) (698 ) $ (12,108 ) $ 2,350 $ 14,480 |
OTHER INCOME, NET (Tables)
OTHER INCOME, NET (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
OTHER INCOME /(EXPENSE), NET [Abstract] | |
Other income /(expense) | The following table summarizes the Sohu Group’s other income/(expense) (in thousands): Year Ended December 31, 2018 2019 2020 Rental income from Sogou (1) 8,392 8,029 9,793 Individual tax refund and additional deduction of PRC value-added tax (2) 0 907 6,169 Government grant 5,342 5,763 5,928 Gain from the changes in fair value of financial instruments (3) 17,999 11,113 4,303 Write-off of unpaid long-term accounts payable 0 0 47 Investment income/(expense) (3,448 ) 3,004 3 Impairment loss on equity investments (4) 0 (23,154 ) (384 ) Donations 0 (283 ) (1,460 ) Others 2,416 2,584 1,594 $ 30,701 $ 7,963 $ 25,993 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
BALANCE SHEET COMPONENTS [Abstract] | |
Balance sheet components account and financing receivables, net | As of December 31, 2019 2020 Accounts receivable, net Accounts receivable $ 130,037 94,528 Allowance for credit losses (3,956 ) (7,007 ) $ 126,081 87,521 |
Balance sheet components movement of allowance for doubtful accounts and credit losses | Balance at the Changes on initial 2016-13 Additional Write-offs Exchange Balance at the 2018 4,487 0 5,449 (1,940 ) (422 ) 7,574 2019 7,574 0 4,724 (8,237 ) (105 ) 3,956 2020 3,956 3,383 2,419 (3,231 ) 480 7,007 |
Balance sheet components other assets and liabilities | As of December 31, 2019 2020 Prepaid and other current assets Matching loan due from a related party (See Note 9) $ 33,329 $ 34,123 Prepaid taxes 26,274 25,043 Prepaid content and license 12,964 11,029 Prepaid cost of revenue 7,175 10,120 Receivables from third party payment platforms 3,435 5,488 Interest receivable from bank deposits with original maturities of three months or less 1,012 3,875 Prepaid professional fees 610 2,365 Prepaid rental deposit 2,891 2,310 Prepaid office rent and facilities expenses 601 696 Employee advances 1,249 587 Others 7,991 10,954 $ 97,531 $ 106,590 Prepaid non-current Prepaid PRC income tax for the sale of assets associated with 17173.com by Sohu to Changyou $ 1,882 $ 1,006 $ 1,882 $ 1,006 Other short-term liabilities Matching loans due to a related party (See Note 9) 33,536 34,123 Contingent liability related to Shanghai Jingmao liquidation (1) 23,900 23,900 Deposits related to Focus 19,101 21,936 Share-based awards in Changyou 0 13,292 Contract deposits from advertisers 3,060 3,036 Lease liabilities 2,510 1,107 Consideration payable for equity investment 740 751 Others 8,218 8,026 $ 91,065 $ 106,171 Receipts in advance relating to: brand advertising business $ 7,097 $ 5,214 online game business 5,524 7,869 other business 6,490 6,029 Total receipts in advance 19,111 19,112 Deferred revenue 31,210 32,943 $ 50,321 $ 52,055 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
FAIR VALUE MEASUREMENTS [Abstract] | |
Financial instruments, measured at fair value | Fair value measurements at reporting date using Items As of Quoted Prices Significant Significant Cash equivalents $ 112,349 $ 0 $ 112,349 $ 0 Restricted cash 3,290 0 3,290 0 Restricted time deposits 240 0 240 0 Short-term investments 321,483 0 321,483 0 Equity investments with readily determinable fair values 9,320 9,320 0 0 |
Assets measured at fair value on nonrecurring basis | Fair value measurements at reporting date using Items As of Quoted Prices in Significant Other Significant Purchased video content recorded in prepaid and other assets $ 3,115 $ 0 $ 0 $ 3,115 Intangible assets, net 9,922 0 0 9,922 Goodwill 47,390 0 0 47,390 Fair value measurements at reporting date using Items As of Quoted Prices in Significant Other Significant Purchased video content recorded in prepaid and other assets $ 2,585 $ 0 $ 0 $ 2,585 Intangible assets, net 4,842 0 0 4,842 Goodwill 48,434 0 0 48,434 |
Lease (Tables)
Lease (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
LEASES [Abstract] | |
Component of operating lease expense | Components of operating lease expense are as follows (in thousands): Year ended December 31, 2019 2020 Operating lease expense $ 4,858 $ 3,985 Short-term lease expense 244 297 Total operating lease expense $ 5,102 $ 4,282 |
Cash paid for amounts included in the measurement of lease liabilities | Year ended December 31, 2019 2020 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 5,013 $ 3,206 |
Right-of-use assets obtained in exchange for lease liabilities | Year ended December 31, 2019 2020 Right-of-use Operating leases $ 134 $ 5,351 |
Supplemental balance sheet information related to operating leases | The following table presents supplemental balanc e Year ended December 31, 2019 2020 Assets: Operating lease right-of-use $ 3,323 $ 4,998 Liabilities: Current lease liabilities 2,510 1,107 Non-current 83 3,855 Total operating lease liabilities $ 2,593 $ 4,962 |
Maturities of lease liabilities under operating leases | Maturities of lease liabilities under operating leases as of December 31, 2020 are as follows (in thousands): 2021 $ 1,957 2022 1,785 2023 1,421 2024 191 2025 95 Thereafter 0 Total future lease payments 5,449 Less: imputed interest (487 ) Total present value of lease liabilities $ 4,962 |
Fixed Assets (Tables)
Fixed Assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
FIXED ASSETS [Abstract] | |
Fixed assets | The following table summarizes the Sohu Group’s fixed assets (in thousands): As of December 31, 2019 2020 Office buildings $ 366,686 $ 392,045 Computer equipment and hardware 133,451 132,021 Leasehold and building improvements 34,251 36,649 Office furniture 6,609 6,841 Vehicles 3,239 3,729 Fixed assets, gross 544,236 571,285 Accumulated depreciation (206,554 ) (233,611 ) Fixed assets, net $ 337,682 $ 337,674 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
GOODWILL [Abstract] | |
Change in the carrying value of goodwill by segment | Changes in the carrying value of goodwill by segment are as follows (in thousands): Sohu Changyou Total Balance as of December 31, 2018 Goodwill 69,627 180,543 250,170 Accumulated impairment losses (32,246 ) (170,286 ) (202,532 ) $ 37,381 $ 10,257 $ 47,638 Transactions in 2019 Foreign currency translation adjustment (248 ) 0 (248 ) Impairment losses 0 0 0 Balance as of December 31, 2019 $ 37,133 $ 10,257 $ 47,390 Balance as of December 31, 2019 Goodwill 69,379 180,543 249,922 Accumulated impairment losses (32,246 ) (170,286 ) (202,532 ) $ 37,133 $ 10,257 $ 47,390 Transactions in 2020 Foreign currency translation adjustment 1,044 0 1,044 Impairment losses 0 0 0 Balance as of December 31, 2020 $ 38,177 $ 10,257 $ 48,434 Balance as of December 31, 2020 Goodwill 70,423 180,543 250,966 Accumulated impairment losses (32,246 ) (170,286 ) (202,532 ) $ 38,177 $ 10,257 $ 48,434 |
Intangible Assets, Net (Tables)
Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
INTANGIBLE ASSETS, NET [Abstract] | |
Finite-lived intangible assets by major class | As of December 31, 2019 Items Gross Accumulated Impairment Net Purchased video content $ 217,610 $ (179,167 ) $ (35,940 ) $ 2,503 Operating rights for licensed games 47,227 (27,992 ) (12,365 ) 6,870 Domain names and trademarks 26,301 (9,896 ) (16,176 ) 229 Computer software 13,273 (12,953 ) 0 320 Developed technologies 8,200 (868 ) (7,332 ) 0 Others 2,738 (903 ) (1,835 ) 0 Total $ 315,349 $ (231,779 ) $ (73,648 ) $ 9,922 As of December 31, 2020 Items Gross Accumulated Impairment Net Purchased video content $ 212,999 $ (161,160 ) $ (50,088 ) $ 1,751 Operating rights for licensed games 51,856 (35,017 ) (14,026 ) 2,813 Domain names and trademarks 27,536 (10,243 ) (17,219 ) 74 Computer software 11,749 (11,545 ) 0 204 Developed technologies 8,699 (918 ) (7,781 ) 0 Others 2,928 (966 ) (1,962 ) 0 Total $ 315,767 $ (219,849 ) $ (91,076 ) $ 4,842 |
Expected amortization expense | For the year ended December 31, (in thousands) 2021 3,346 2022 1,177 2023 279 2024 40 2025 0 Thereafter 0 Total expected amortization expense $ 4,842 |
Taxation (Tables)
Taxation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
TAXATION [Abstract] | |
Components of income before income taxes | Year ended December 31, 2018 2019 2020 Income/(loss) before income tax expense Income/(loss) from China operations $ (76,585 ) $ (89,150 ) $ 154,514 Income/(loss) from non-China (59,307 ) 19,079 (57,815 ) Total income/(loss) before income tax expense from continuing operations $ (135,892 ) $ (70,071 ) $ 96,699 Income tax expense applicable to China operations Current tax $ 14,578 $ 9,026 $ 24,255 Deferred tax 48,907 11,191 102,652 Subtotal income tax expense applicable to China operations 63,485 20,217 126,907 Non-China (78,540 ) 7,887 6,207 Non-China 469 324 112 Total income tax expense/(benefit) from continuing operations $ (14,586 ) $ 28,428 $ 133,226 |
Combined effects of the income tax exemption and reduction available | Year Ended December 31, 2018 2019 2020 Tax holiday effect $ 23,271 $ 7,981 $ 16,174 Basic net income per share effect 0.60 0.20 0.41 |
Reconciliation between the U.S. federal statutory rate and the Group's effective tax rate | Year Ended December 31, 2018 2019 2020 Statutory Rate: 25 % 25 % 25 % Effect of tax holidays applicable to subsidiaries and consolidated VIEs (1) 17 % 11 % (17 %) Tax differential from statutory rate applicable to subsidiaries and consolidated VIEs (1 %) 7 % 9 % Effect of withholding taxes (2) (39 %) (12 %) 109 % Changes in valuation allowance for deferred tax assets (29 %) (71 %) 27 % Research and development super-deduction 4 % 12 % (9 %) Others (24 %) (1 %) (13 %) (47 %) (29 %) 131 % Note (1): The reversal of income tax for preferential income tax rates that Changyou’s subsidiaries and VIEs were entitled to as KNSEs or Software Enterprises for 2018, 2019 and 2020 was included in the “Effect of tax holidays applicable to subsidiaries and consolidated VIEs” in the above table. Note (2): The effective tax rate for 2018 was mainly due to additional income withholding tax of $47 million that was recognized in the first quarter of 2018 due to a revised policy for Changyou’s PRC subsidiaries with respect to their distribution of cash dividends. The revised policy was adopted to facilitate the distribution of a special cash dividend in the aggregate amount of approximately $500.0 million that was declared by Changyou’s Board of Directors on April 5, 2018. The change for 2020 was mainly due to additional income withholding tax of $88 million that was recognized in the second quarter of 2020 due to a revised policy with respect to Changyou’s PRC subsidiaries regarding their distribution of cash dividends. |
Deferred tax assets and liabilities | As of December 31, 2019 2020 Deferred tax assets: Net operating loss from operations $ 277,478 $ 325,797 Accrued bonus and commissions 8,539 10,613 Intangible assets transfer 916 690 Others 10,947 8,692 Total deferred tax assets 297,880 345,792 Less: Valuation allowance (283,711 ) (326,755 ) Net deferred tax asset s $ 14,169 $ 19,037 Deferred tax liabilities Withholding tax for dividend $ (86,834 ) $ (206,594 ) Others (9,070 ) (10,999 ) Total deferred tax liabilities $ (95,904 ) $ (217,593 ) |
Movement of the valuation allowance | The following table sets forth the movement of the valuation allowances for deferred tax assets for the years presented (in thousands): For the Year Ended 2018 2019 2020 Beginning balance $ 233,910 250,524 283,711 Provision for the year 34,496 44,634 36,363 Reversal for the year (6,891 ) (7,311 ) (12,637 ) Foreign currency translation adjustment (10,991 ) (4,136 ) 19,318 Ending balance $ 250,524 283,711 326,755 |
Uncertain tax positions | As of December 31, 2018 2019 2020 Beginning balance $ 31,138 $ 174,363 $ 181,640 Increases /(decreases) related to prior year tax positions (1,190 ) 7,277 7,120 Increases related to current year tax positions 144,415 0 0 Ending balance $ 174,363 $ 181,640 $ 188,760 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
COMMITMENTS AND CONTINGENCIES [Abstract] | |
Commitments | The following table sets forth the Group’s commitments as of December 31, 2020 (in thousands): 2021 2022 2023 2024 2025 Thereafter Total Royalties and expenditures for licensed content of games $ 28,423 7,870 0 0 0 0 36,293 Purchase of bandwidth 14,084 150 102 0 0 0 14,336 Interest payment commitment 6,623 1,458 1,334 628 0 0 10,043 Operating lease obligations 4,144 3,647 1,165 73 37 0 9,066 Purchase of content and services — others 6,715 236 19 0 0 0 6,970 Purchase of content and services — video 5,398 1,006 0 0 0 0 6,404 Others 518 24 0 0 0 0 542 Total Payments Required $ 65,905 14,391 2,620 701 37 0 83,654 |
VIEs (Tables)
VIEs (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
VIES [Abstract] | |
Financial information of consolidated VIEs | As of December 31, 2019 2020 ASSETS: Cash and cash equivalent s $ 40,535 $ 47,028 Restricted cash 1,132 1,211 Accounts receivable, net 67,403 47,234 Prepaid and other current assets 13,586 15,385 Short-term investments 0 153 Intra-Group receivables due from the Company’s subsidiaries 400,338 506,659 Assets held for sale (current) 121,347 113,011 Total current assets 644,341 730,681 Long-term investments, net 17,488 17,307 Fixed assets, net 639 295 Intangible assets, net 6,832 3,173 Goodwill 32,782 33,670 Other non-current 14,754 15,134 Assets held for sale (non-current) 32,244 0 Total assets $ 749,080 $ 800,260 LIABILITIES: Accounts payable $ 8,595 $ 11,145 Accrued liabilities 50,913 46,888 Receipts in advance and deferred revenue 38,754 43,076 Other current liabilities 31,684 37,148 Intra-Group payables due to the Company’s subsidiaries 300,601 332,794 Liabilities held for sale (current) 138,303 187,712 Total current liabilities 568,850 658,763 Long-term tax liabilities 13,220 14,134 Deferred tax liabilities 1,998 2,014 Intra-Group payables due to the Company’s subsidiaries 18,599 19,338 Other long-term liabilities 0 286 Liabilities held for sale (non-current) 1,130 0 Total liabilities $ 603,797 $ 694,535 As of December 31, 2018 2019 2020 Net revenue $ 499,861 $ 511,957 $ 583,187 Net income from continuing operations 1,098 19,607 41,756 Net loss from discontinued operations $ (19,534 ) $ (1,491 ) $ (82,329 ) Year ended December 31, 2018 2019 2020 Net cash provided by/(used in) continuing operating activities $ 18,268 $ (2,038 ) $ 5,224 Net cash provided by/(used in) discontinued operating activities 51,657 (5,046 ) (13,244 ) Net cash provided by/(used in) operating activities 69,925 (7,084 ) (8,020 ) Net cash provided by/(used in) investing activities (1,110 ) (441 ) 47 Net cash provided by/(used in) discontinued investing activities (48,161 ) (18,040 ) 7,797 Net cash provided by/(used in) investing activities (49,271 ) (18,481 ) 7,844 Net cash provided by continuing financing activities 650 0 0 Net cash provided by discontinued financing activities 0 8,601 152 Net cash provided by financing activities $ 650 $ 8,601 $ 152 |
Sohu.com Limited Shareholders_2
Sohu.com Limited Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Sohu.com Limited's outstanding shares | Number of Outstanding Shares 2018 2019 2020 Balance, beginning of year 38,898 39,229 39,269 Issuance: 331 40 37 Balance, end of year 39,229 39,269 39,306 |
Sohu 2018 Share Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share option activity | Options Number Of Shares Weighted Weighted Aggregate Outstanding as of January 1, 2020 128 $ 0.001 $ Granted 112 0.001 Exercised (43 ) 0.001 Forfeited or expired 0 Outstanding as of December 31, 2020 197 0.001 6.09 3,147 Vested as of December 31, 2020 197 0.001 6.09 3,147 Exercisable as of December 31, 2020 197 0.001 6.09 3,147 |
Sogou 2010 Share Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share option activity | Options Number Of Shares Weighted Weighted Aggregate Outstanding as of January 1, 2020 7,162 $ 0.377 4.45 $ Granted 1,099 0.001 Exercised (4,233 ) 0.426 Forfeited or expired (132 ) 0.001 Outstanding as of December 31, 2020 3,896 0.232 4.38 30,850 Vested as of December 31, 2020 and expected to vest thereafter 3,395 0.266 4.46 26,767 Exercisable as of December 31, 2020 1,570 0.001 5.77 12,794 Note (1): The aggregate intrinsic values in the preceding table represent the difference between Sogou’s closing price of $8.15 per Sogou ADS (each representing one Sogou Class A Ordinary Share) on December 31, 2020 and the exercise prices of the share options. |
Summary of categories of share options | Contractually Granted (For Purposes of Share- Vested and Exercised Performance-based options 30,912 29,169 28,761 27,772 Service-based options 1,888 1,888 1,410 829 IPO-based 7,250 7,250 5,810 5,810 Total 40,050 38,307 35,981 34,411 |
Stock option assumptions | Assumptions Adopted 2018 2019 2020 Average risk-free interest rate 3.36%~3.51% 2.60%~2.86% 1.21%~1.66% Exercise multiple 2 2~3 2~3 Expected forfeiture rate (post-vesting) 12% 0%~12% 0% Weighted average expected option life 9 7 4 Volatility rate 40%~46% 36%~41% 38%~44% Dividend yield 0% 0% 0% Weighted average fair value of share options 12.26 4.05 4.48 |
Sogou 2017 Share Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share option activity | Options Number Of Shares Weighted Weighted Aggregate Outstanding as of January 1, 2020 798 $ 0.001 8.90 $ Granted 425 0.001 Exercised (142 ) 0.001 Forfeited or expired (222 ) 0.001 Outstanding as of December 31, 2020 859 0.001 8.51 7,000 Vested as of December 31, 2020 and expected to vest thereafter 680 0.001 8.46 5,541 Exercisable as of December 31, 2020 178 0.001 7.95 1,451 |
Summary of categories of share options | Contractually Granted (For Purposes of Share- Vested and Exercised Performance-based options 192 55 44 17 Service-based options 994 994 324 173 Total 1,186 1,049 368 190 |
Stock option assumptions | Assumptions Adopted 2018 2019 2020 Average risk-free interest rate 3.41%~3.95% 2.37%~3.45% 1.20%~2.47% Exercise multiple 2 2~3 2~3 Expected forfeiture rate (post-vesting) 12% 0%~12% 0%~12% Weighted average expected option life 10 10 9 Volatility rate 40%~46% 41%~42% 39%~42% Dividend yield 0% 0% 0% Weighted average fair value of share options 10.09 4.87 4.95 |
Sohu Management Sogou Share Option Arrangement [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share option activity | Number Of Shares Weighted Weighted Aggregate Outstanding as of January 1, 2020 9 $ 0.001 5.38 $ Granted 0 Exercised 0 Forfeited or expired 0 Outstanding as of December 31, 2020 9 0.001 4.38 73 Vested as of December 31, 2020 9 0.001 4.38 73 Exercisable as of December 31, 2020 9 0.001 4.38 73 |
Summary of categories of share options | Contractually Granted (For Purposes of Share- Vested and Exercised Performance-based options 8,290 8,290 8,290 8,290 Service-based options 15 15 15 6 Total 8,305 8,305 8,305 8,296 |
Sohu Video Share Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock option assumptions | Assumptions Adopted 2019 2020 Average risk-free interest rate 2.44 % 1.11 % Exercise multiple 2.8 2.8 Expected forfeiture rate (post-vesting) 14 % 5 % Weighted average expected option life 2.0 1.0 Volatility rate 53.9 % 57.3 % Dividend yield 0 0 Fair value 0.35 0.21 |
Noncontrolling Interest (Tables
Noncontrolling Interest (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
NONCONTROLLING INTEREST [Abstract] | |
Noncontrolling interest in the consolidated balance sheets | As of December 31, 2019 2020 Changyou $ 151,503 $ 1,321 Sogou 726,960 683,291 Total $ 878,463 $ 684,612 |
Noncontrolling interest in the consolidated statements of comprehensive income /(loss) | Year Ended December 31, 2018 2019 2020 Changyou $ 27,137 $ 46,990 $ 18,448 Sogou 65,586 58,955 (60,656 ) Total $ 92,723 $ 105,945 $ (42,208 ) Year Ended December 31, 2018 2019 2020 Net income from continuing operations attributable to noncontrolling shareholders $ 41,732 $ 58,223 $ 18,448 Net income/(loss) from discontinued operations attributable to noncontrolling shareholders 50,991 47,722 (60,656 ) Net income/(loss) attributable to noncontrolling interest shareholders $ 92,723 $ 105,945 $ (42,208 ) |
Net Income_(Loss) per Share (Ta
Net Income/(Loss) per Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
NET INCOME/(LOSS) PER SHARE [Abstract] | |
Calculation of basic and diluted net loss per share | The following table presents the calculation of the Sohu Group’s basic and diluted net loss per share (in thousands, except per share data). Year Ended December 31, 2018 2019 2020 Numerator: Net loss from continuing operations attributable to Sohu.com Limited, basic $ (163,038 ) $ (156,722 ) $ (54,975 ) Net income/(loss) from discontinued operations attributable to Sohu.com Limited, basic 2,956 7,386 (31,137 ) Net loss attributable to Sohu.com Limited, basic (160,082 ) $ (149,336 ) (86,112 ) Effect of dilutive securities: Incremental dilution from Changyou (381 ) (507 ) (392 ) Incremental dilution from Sogou (496 ) (606 ) 0 Net loss from continuing operations attributable to Sohu.com Limited, diluted (163,659 ) (157,282 ) (55,365 ) Net income/(loss) from discontinued operations attributable to Sohu.com Limited, diluted 2,700 6,833 (31,139 ) Net loss attributable to Sohu.com Limited, diluted $ (160,959 ) $ (150,449 ) (86,504 ) Denominator: Weighted average basic ordinary shares outstanding 38,959 39,249 39,452 Effect of dilutive securities: Share options and restricted share units 0 0 0 Weighted average diluted ordinary shares outstanding $ 38,959 $ 39,249 $ 39,452 Basic net loss per share attributable to Sohu.com Limited Continuing operations $ (4.18 ) $ (3.99 ) $ (1.39 ) Discontinued operations 0.07 0.19 (0.79 ) Net loss per share (4.11 ) (3.80 ) (2.18 ) Diluted net loss per share attributable to Sohu.com Limited Continuing operations $ (4.20 ) $ (4.01 ) $ (1.40 ) Discontinued operations 0.07 0.18 (0.79 ) Net loss per share (4.13 ) (3.83 ) (2.19 ) |
Additional Information - Cond_2
Additional Information - Condensed Financial Information of Registrant (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
ADDITIONAL INFORMATION - CONDENSED FINANCIAL INFORMATION OF REGISTRANT [Abstract] | |
Condensed balance sheets | As of December 31, 2019 2020 ASSETS Current assets: Cash and cash equivalents $ 3,756 $ 586 Prepaid and other current assets 744 1,609 Due from subsidiaries and VIEs 530,182 528,218 Total current assets 534,682 530,413 Interests in subsidiaries and VIEs 22,093 0 Other assets, net 27,736 27,496 Total assets $ 584,511 $ 557,909 LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities 3,757 1,932 Deficit of investment in subsidiaries and VIEs 0 50,101 Long-term liabilities 152,300 158,507 Total liabilities 156,057 210,540 Shareholders’ equity: Ordinary Shares: $0.001 par value per share (75,400 shares authorized; 39,269 shares and 39,306 shares, respectively, issued and outstanding as of December 31, 2019 and 2020) 39 39 Additional paid-in 948,201 952,733 Accumulated other comprehensive income 24,351 29,189 Accumulated deficit (544,137 ) (634,592 ) Total shareholders’ equity 428,454 347,369 Total liabilities and shareholders’ equity $ 584,511 $ 557,909 |
Condensed statements of comprehensive loss | Year Ended December 31, 2018 2019 2020 Revenues $ 0 $ 0 $ 0 Cost of revenues 0 0 0 Gross profit 0 0 0 Operating expenses: General and administrative 12,206 2,320 1,613 Operating loss (12,206 ) (2,320 ) (1,613 ) Share of loss of subsidiaries and VIEs (232,307 ) (184,092 ) (77,221 ) Other income/(expense) 22 44,738 (1,083 ) Interest income 5,865 225 12 Loss before income tax expense/(benefit) (238,626 ) (141,449 ) (79,905 ) Income tax expense/(benefit) (78,544 ) 7,887 6,207 Net loss (160,082 ) (149,336 ) (86,112 ) Other comprehensive income/(loss) (13,494 ) 24,351 29,189 Comprehensive loss $ (173,576 ) $ (124,985 ) $ (56,923 ) |
Condensed statements of cash flows | Year Ended December 31, 2018 2019 2020 Cash flows from operating activities: Net loss $ (160,082 ) $ (149,336 ) $ (86,112 ) Adjustments to reconcile net loss to net cash provided by operating activities: Investment loss from subsidiaries and VIEs 232,307 184,092 77,221 Share-based compensation expense/(benefit) (1,916 ) 395 0 Others (993 ) 0 0 Changes in current assets and liabilities: Due from subsidiaries and VIEs (2,963 ) (59,533 ) 1,964 Prepaid and other current assets (3,996 ) 425 (865 ) Tax liabilities (79,569 ) 7,886 6,207 Accrued liabilities 1,892 (3,715 ) (1,825 ) Net cash used in operating activities (15,320 ) (19,786 ) (3,410 ) Cash flows from investing activities: Dividend received 0 7,050 0 Net cash used in operating activities 0 7,050 0 Net decrease in cash, cash equivalents, restricted cash and restricted time deposits (15,320 ) (12,736 ) (3,410 ) Cash, cash equivalents, restricted cash and restricted time deposits at beginning of year 2,845 16,732 3,996 Cash and cash equivalents, restricted cash and restricted time deposits of Sohu.com Limited at the date of the liquidation of Sohu.com Inc. 29,207 0 0 Cash, cash equivalents, restricted cash and restricted time deposits at end of year $ 16,732 $ 3,996 $ 586 Reconciliation of cash, cash equivalents, and restricted time deposits to the condensed balance sheets: Cash and cash equivalents $ 16,492 $ 3,756 $ 586 Restricted time deposits included in other assets 240 240 0 Total cash, cash equivalents, restricted cash and restricted time deposits at end of year $ 16,732 $ 3,996 $ 586 |
The Company and Nature of Ope_3
The Company and Nature of Operations (Details) - Changyou Merger [Member] - Changyou [Member] - Sohu [Member] | Apr. 17, 2020 |
Organization and Nature of Operations [Line Items] | |
Voting power held by the Company | 100.00% |
Ordinary Shares [Member] | |
Organization and Nature of Operations [Line Items] | |
Percentage of outstanding equity capital held by the Company | 100.00% |
The Company and Nature of Ope_4
The Company and Nature of Operations (Information of Subsidiaries and VIEs) (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Sohu.com (Hong Kong) Limited ("Sohu HK") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Apr. 19, 2000 |
Place of Incorporation/Acquisition | Hong Kong |
Effective Interest held | 100.00% |
Beijing Sohu New Era Information Technology Co., Ltd. ("Sohu Era") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Jul. 25, 2003 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Sohu.com (Search) Limited ("Sohu Search") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Oct. 28, 2005 |
Place of Incorporation/Acquisition | Cayman Islands |
Effective Interest held | 100.00% |
Beijing Sohu New Media Information Technology Co., Ltd. ("Sohu Media") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Jun. 19, 2006 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Sohu.com (Game) Limited ("Sohu Game") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Feb. 11, 2008 |
Place of Incorporation/Acquisition | Cayman Islands |
Effective Interest held | 100.00% |
Beijing Sohu New Momentum Information Technology Co., Ltd. ("Sohu New Momentum") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | May 31, 2010 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Fox Video Limited ("Sohu Video") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Jul. 26, 2011 |
Place of Incorporation/Acquisition | Cayman Islands |
Effective Interest held | 100.00% |
Fox Information Technology (Tianjin) Limited ("Video Tianjin") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Nov. 17, 2011 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Sohu Focus Limited ("Sohu Focus") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Jul. 11, 2013 |
Place of Incorporation/Acquisition | Cayman Islands |
Effective Interest held | 100.00% |
Changyou.com Limited ("Changyou") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Aug. 6, 2007 |
Place of Incorporation/Acquisition | Cayman Islands |
Effective Interest held | 100.00% |
Changyou.com (HK) Limited ("Changyou HK") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Aug. 13, 2007 |
Place of Incorporation/Acquisition | Hong Kong |
Effective Interest held | 100.00% |
Beijing AmazGame Age Internet Technology Co., Ltd. ("AmazGame") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Sep. 26, 2007 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Beijing Changyou Gamespace Software Technology Co., Ltd. ("Gamespace") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Oct. 29, 2009 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Changyou.com Korea LLC ("Changyou Korea") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Jan. 7, 2010 |
Place of Incorporation/Acquisition | Korea |
Effective Interest held | 100.00% |
Beijing Changyou Chuangxiang Software Technology Co., Ltd. ("Changyou Chuangxiang") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Nov. 8, 2016 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Sogou Inc. ("Sogou") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Dec. 23, 2005 |
Place of Incorporation/Acquisition | Cayman Islands |
Effective Interest held | 34.00% |
Sogou (BVI) Limited ("Sogou BVI") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Dec. 23, 2005 |
Place of Incorporation/Acquisition | British Virgin Islands |
Effective Interest held | 34.00% |
Beijing Sogou Technology Development Co., Ltd. ("Sogou Technology") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Feb. 8, 2006 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 34.00% |
Sogou Hong Kong Limited ("Sogou HK") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Dec. 12, 2007 |
Place of Incorporation/Acquisition | Hong Kong |
Effective Interest held | 34.00% |
Vast Creation Advertising Media Services Limited ("Vast Creation") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Nov. 30, 2011 |
Place of Incorporation/Acquisition | Hong Kong |
Effective Interest held | 34.00% |
Beijing Sogou Network Technology Co., Ltd ("Sogou Network") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Mar. 29, 2012 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 34.00% |
Sogou (Shantou) Internet Microcredit Co., Ltd. ("Sogou Microcredit") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Nov. 22, 2017 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 34.00% |
Sogou (Hangzhou) Intelligent Technology Co., Ltd. ("Sogou Hangzhou") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Apr. 28, 2018 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 34.00% |
Shantou Ying Zhong Bai Fu Financing Guarantee Co., Ltd. ("Sogou Financing Guarantee") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Jul. 24, 2019 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 34.00% |
Beijing Century High-Tech Investment Co., Ltd. ("High Century") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Dec. 28, 2001 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Beijing Heng Da Yi Tong Information Technology Co., Ltd. ("Heng Da Yi Tong") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Feb. 7, 2002 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Beijing Sohu Internet Information Service Co., Ltd. ("Sohu Internet") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Jul. 31, 2003 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Beijing Sohu Donglin Advertising Co., Ltd. ("Donglin") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | May 17, 2010 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Tianjin Jinhu Culture Development Co., Ltd ("Tianjin Jinhu") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Nov. 24, 2011 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Beijing Focus Interactive Information Service Co., Ltd. ("Focus Interactive") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Jul. 15, 2014 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Beijing Gamease Age Digital Technology Co., Ltd. ("Gamease") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Aug. 23, 2007 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Shanghai ICE Information Technology Co., Ltd. ("Shanghai ICE") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | May 28, 2010 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Beijing Guanyou Gamespace Digital Technology Co., Ltd. ("Guanyou Gamespace") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Aug. 5, 2010 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 100.00% |
Beijing Sogou Information Service Co., Ltd.("Sogou Information") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Dec. 28, 2005 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 34.00% |
Chengdu Easypay Technology Co., Ltd. ("Chengdu Easypay") [Member] | |
Organization and Nature of Operations [Line Items] | |
Date of Incorporation/Acquisition | Jan. 19, 2015 |
Place of Incorporation/Acquisition | People’s Republic of China |
Effective Interest held | 34.00% |
The Company and Nature of Ope_5
The Company and Nature of Operations (Changyou's Business) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Apr. 17, 2020 | |
Organization and Nature of Operations [Line Items] | ||||
Revenues | $ 749,890 | $ 673,803 | $ 690,175 | |
TLBB [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Revenues | 309,700 | |||
Legacy TLBB Mobile [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Revenues | 88,300 | |||
Product Risk [Member] | TLBB [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Revenues | 309,700 | |||
Product Risk [Member] | Legacy TLBB Mobile [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Revenues | $ 88,300 | |||
Product Risk [Member] | Total revenues [Member] | TLBB [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of concentration risk | 41.00% | |||
Product Risk [Member] | Total revenues [Member] | Legacy TLBB Mobile [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of concentration risk | 12.00% | |||
Changyou [Member] | Sohu.com Limited [Member] | Changyou Merger [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Voting power held by the Company | 100.00% | |||
Changyou [Member] | Ordinary Shares [Member] | Sohu.com Limited [Member] | Changyou Merger [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of outstanding equity capital held by the Company | 100.00% | |||
Changyou [Member] | Product Risk [Member] | Online game revenues [Member] | TLBB [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of concentration risk | 58.00% | |||
Changyou [Member] | Product Risk [Member] | Online game revenues [Member] | Legacy TLBB Mobile [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of concentration risk | 16.00% | |||
Changyou [Member] | Product Risk [Member] | Total revenues [Member] | TLBB [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of concentration risk | 56.00% | |||
Changyou [Member] | Product Risk [Member] | Total revenues [Member] | Legacy TLBB Mobile [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of concentration risk | 16.00% |
The Company and Nature of Ope_6
The Company and Nature of Operations (Sogou's Business, Intitial Public Offering of Sogou) (Details) - Sogou [Member] - IPO [Member] - USD ($) $ in Millions | Nov. 14, 2017 | Dec. 31, 2017 |
Organization and Nature of Operations [Line Items] | ||
Proceeds from IPO, after deducting underwriting discounts and commissions and offering expenses | $ 622.1 | |
Increase in additional paid-in capital in shareholders' equity resulted from the completion of Sogou's IPO | $ 278.4 |
The Company and Nature of Ope_7
The Company and Nature of Operations (Sogou's Business, Sogou's Share Structure) (Details) | 12 Months Ended | |
Dec. 31, 2020shares | Dec. 31, 2019shares | |
Organization and Nature of Operations [Line Items] | ||
Number of shares outstanding | 39,306,000 | 39,269,000 |
Sogou [Member] | Ordinary Shares [Member] | ||
Organization and Nature of Operations [Line Items] | ||
Number of shares outstanding | 387,590,916 | |
Sogou [Member] | Class A Ordinary Shares [Member] | ||
Organization and Nature of Operations [Line Items] | ||
Conversion into Class A ordinary shares, shares, each Class B Ordinary Share | 1 | |
Number of shares outstanding for legal purpose | 1,899,000 | |
Sogou [Member] | Class A Ordinary Shares [Member] | Sohu [Member] | ||
Organization and Nature of Operations [Line Items] | ||
Number of shares outstanding | 3,717,250 | |
Sogou [Member] | Class A Ordinary Shares [Member] | Photon [Member] | ||
Organization and Nature of Operations [Line Items] | ||
Number of shares outstanding | 24,686,863 | |
Sogou [Member] | Class A Ordinary Shares [Member] | Other than Sohu,Tencent,and Photon [Member] | ||
Organization and Nature of Operations [Line Items] | ||
Number of shares outstanding | 80,428,928 | |
Sogou [Member] | Class B Ordinary Shares [Member] | Sohu [Member] | ||
Organization and Nature of Operations [Line Items] | ||
Number of shares outstanding | 127,200,000 | |
Sogou [Member] | Class B Ordinary Shares [Member] | Tencent [Member] | ||
Organization and Nature of Operations [Line Items] | ||
Number of shares outstanding | 151,557,875 |
The Company and Nature of Ope_8
The Company and Nature of Operations (Sogou's Business, Voting Agreement) (Details) - Sogou [Member] | 12 Months Ended |
Dec. 31, 2020Directorsshares | |
Within three years following the completion of Sogou's IPO [Member] | |
Organization and Nature of Operations [Line Items] | |
Provisions of the Voting Agreement | within three years following the completion of Sogou’s IPO, Sohu will vote all Sogou Class B Ordinary Shares and any Sogou Class A Ordinary Shares held by it and Tencent will vote 45,578,896 of its Sogou Class B Ordinary Shares to elect a Board of Directors consisting of seven directors, four of whom will be appointed by Sohu, two of whom will be appointed by Tencent, and the seventh of whom will be Sogou’s then chief executive officer |
Number of Directors entitled to elect or appoint under the Voting Agreement | 7 |
After three years following the completion of Sogou's IPO [Member] | |
Organization and Nature of Operations [Line Items] | |
Provisions of the Voting Agreement | after three years following the completion of Sogou’s IPO, Sohu will be entitled to choose to change the size and composition of Sogou’s Board of Directors, subject to Tencent’s right to appoint at least one director |
Sohu.com Limited [Member] | |
Organization and Nature of Operations [Line Items] | |
Combined voting power given to Sohu | 50.10% |
Sohu.com Limited [Member] | Within three years following the completion of Sogou's IPO [Member] | |
Organization and Nature of Operations [Line Items] | |
Number of Directors entitled to elect or appoint under the Voting Agreement | 4 |
Tencent Holdings Limited [Member] | Within three years following the completion of Sogou's IPO [Member] | |
Organization and Nature of Operations [Line Items] | |
Number of Directors entitled to elect or appoint under the Voting Agreement | 2 |
Tencent Holdings Limited [Member] | After three years following the completion of Sogou's IPO [Member] | Minimum [Member] | |
Organization and Nature of Operations [Line Items] | |
Number of Directors entitled to elect or appoint under the Voting Agreement | 1 |
IPO [Member] | Sohu.com Limited [Member] | |
Organization and Nature of Operations [Line Items] | |
The condition period after the completion of Sogou's IPO to reinstate or terminate voting arrangements | 5 years |
Ordinary Shares [Member] | Minimum [Member] | |
Organization and Nature of Operations [Line Items] | |
Minimum percentage of consent from holder required | 15.00% |
Ordinary Shares [Member] | Sohu.com Limited [Member] | |
Organization and Nature of Operations [Line Items] | |
Approximate percentage of Sogou's total outstanding Class A and Class B Ordinary Shares | 34.00% |
Approximate voting power of Sogou's total outstanding Class A and Class B Ordinary Shares | 44.00% |
Ordinary Shares [Member] | Sohu.com Limited [Member] | Minimum [Member] | |
Organization and Nature of Operations [Line Items] | |
Total voting power held alone by Sohu to automatically suspend the voting arrangements with respect to the size and composition of Sogou's Board of Directors | 50.00% |
Ordinary Shares [Member] | Tencent Holdings Limited [Member] | |
Organization and Nature of Operations [Line Items] | |
Approximate percentage of Sogou's total outstanding Class A and Class B Ordinary Shares | 39.00% |
Approximate voting power of Sogou's total outstanding Class A and Class B Ordinary Shares | 52.00% |
Ordinary Shares [Member] | Sohu and Tencent [Member] | Minimum [Member] | |
Organization and Nature of Operations [Line Items] | |
Minimum percentage of total voting power held by Sohu and Tencent together to remove and replace the directors appointed | 50.00% |
Minimum percentage of issued shares held with respect to required terms | 15.00% |
Class A ordinary shares [Member] | |
Organization and Nature of Operations [Line Items] | |
Voting right entitled to ordinary shares | one vote per share |
Class B Ordinary Shares [Member] | |
Organization and Nature of Operations [Line Items] | |
Voting right entitled to ordinary shares | ten votes per share |
Class B Ordinary Shares [Member] | Tencent Holdings Limited [Member] | Maximum [Member] | |
Organization and Nature of Operations [Line Items] | |
Maximum number of ordinary shares held by Tencent to be required to vote | shares | 45,578,896 |
Class B Ordinary Shares [Member] | Tencent Holdings Limited [Member] | Within three years following the completion of Sogou's IPO [Member] | |
Organization and Nature of Operations [Line Items] | |
Number of ordinary shares to be voted to select directors | shares | 45,578,896 |
Class B Ordinary Shares [Member] | IPO [Member] | Sohu.com Limited [Member] | Minimum [Member] | |
Organization and Nature of Operations [Line Items] | |
Minimum percentage of ordinary shares transfer to terminate the voting agreement | 30.00% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Revenue Recognition, Adoption of ASC 606, Revenues Disaggregated by Products and Services) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Organization and Nature of Operations [Line Items] | |||
Revenues | $ 749,890 | $ 673,803 | $ 690,175 |
ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 749,890 | 673,803 | 690,175 |
Sohu [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 0 | 0 |
Sohu [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 201,544 | 218,423 | 274,616 |
Changyou [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 548,346 | 455,380 | 415,559 |
Brand advertising [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 146,526 | 175,056 | 232,339 |
Sohu Media Portal [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 86,293 | 94,692 | 127,612 |
Sohu Media Portal [Member] | Sohu [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 86,293 | 94,692 | 127,612 |
Sohu Media Portal [Member] | Changyou [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 0 | 0 |
Sohu Video [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 25,312 | 34,529 | 53,886 |
Sohu Video [Member] | Sohu [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 25,312 | 34,529 | 53,886 |
Sohu Video [Member] | Changyou [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 0 | 0 |
Focus [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 23,281 | 32,120 | 31,144 |
Focus [Member] | Sohu [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 23,281 | 32,120 | 31,144 |
Focus [Member] | Changyou [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 0 | 0 |
17173.com Website [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 11,640 | 13,715 | 19,697 |
17173.com Website [Member] | Sohu [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 0 | 0 |
17173.com Website [Member] | Changyou [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 11,640 | 13,715 | 19,697 |
Online games [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 536,684 | 440,902 | 389,788 |
PC games [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 353,737 | 267,752 | 236,743 |
PC games [Member] | Sohu [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 0 | 0 |
PC games [Member] | Changyou [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 353,737 | 267,752 | 236,743 |
Mobile games [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 182,947 | 172,718 | 151,737 |
Mobile games [Member] | Sohu [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 0 | 0 |
Mobile games [Member] | Changyou [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 182,947 | 172,718 | 151,737 |
Other games [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 432 | 1,308 |
Other games [Member] | Sohu [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 0 | 0 |
Other games [Member] | Changyou [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 0 | 432 | 1,308 |
Others [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 66,680 | 57,845 | 68,048 |
Others [Member] | Sohu [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | 66,658 | 57,082 | 61,974 |
Others [Member] | Changyou [Member] | ASC 606 [Member] | |||
Organization and Nature of Operations [Line Items] | |||
Revenues | $ 22 | $ 763 | $ 6,074 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Revenue Recognition, Contract Balances) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ||
Contract Assets | $ 0 | |
Allowance for doubtful accounts and authorized credits | 7,000,000 | $ 4,000,000 |
Amount of revenue recognized that included in receipts in advance and deferred revenue | $ 42,600,000 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Noncontrolling Interest & Share-based Compensation Expense & Net Income/(Loss) per Share (Details) - USD ($) $ / shares in Units, $ in Millions | Apr. 17, 2020 | Jan. 04, 2012 | Dec. 31, 2020 |
Changyou 2014 and 2019 Share Incentive Plan [Member] | Stock Options [Member] | Class A Ordinary Shares [Member] | Changyou Merger [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Accrued fixed price, initial | $ 5.39 | ||
Sohu (excluding Sohu Video) [Member] | Sohu 2018 Share Incentive Plan [Member] | Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Installments of share options granted | four equal installments | ||
Award vesting period | 4 years | ||
Changyou [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of ordinary shares held | 100.00% | ||
Changyou [Member] | Changyou Merger [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of ordinary shares held | 100.00% | ||
Changyou [Member] | Class A Ordinary Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise prices of option granted | $ 0.01 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options exercises in Period, Fixed Price | 5.39 | ||
Changyou [Member] | Class A Ordinary Shares [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Closing price | 5.40 | ||
Changyou [Member] | Class A Ordinary Shares [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based compensation by share based payment arrangement per share weighted average price per share | $ 5.39 | ||
Changyou [Member] | Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share options granted | 4,210,000 | ||
Changyou [Member] | Stock Options [Member] | Changyou Merger [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Voting power held by the Company | 100.00% | ||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Installments of share options granted | four equal installments | ||
Award vesting period | 4 years | ||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Stock Options [Member] | Class A Ordinary Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Installments of share options granted | four equal installments | ||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Fixed Price | $ 5.39 | ||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Stock Options [Member] | Class A Ordinary Shares [Member] | Changyou Merger [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Accrued fixed price, final | 5.39 | ||
Cash Proceeds per Option granted | 5.40 | ||
Exercise prices of option granted | 0.01 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Fixed Price | 5.39 | ||
Changyou [Member] | Changyou 2019 Share Incentive Plan [Member] | Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Installments of share options granted | four equal installments | ||
Award vesting period | 4 years | ||
Changyou [Member] | Changyou 2019 Share Incentive Plan [Member] | Stock Options [Member] | Class A Ordinary Shares [Member] | Changyou Merger [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Accrued fixed price, initial | 5.39 | ||
Accrued fixed price, final | 5.39 | ||
Changyou [Member] | Changyou 2014 and 2019 Share Incentive Plan [Member] | Stock Options [Member] | Class A Ordinary Shares [Member] | Changyou Merger [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Accrued fixed price, initial | 5.39 | ||
Accrued fixed price, final | 5.39 | ||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Not Exercisable in Period, Conditionally Repurchased, Weighted Average Exercise Price | $ 5.39 | ||
Sohu Video [Member] | Video 2011 Share Incentive Plan [Member] | Stock Options [Member] | Ordinary Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Installments of share options granted | four equal installments | ||
Number of shares authorized for issuance | 25,000,000 | ||
Percentage of outstanding ordinary shares on a fully-diluted basis | 10.00% | ||
Number of shares under contractually granted share options | 16,368,200 | ||
Number of shares purchased on vested options | 4,972,800 | ||
sohu_Changyou Com Limited[Member] | Changyou 2014 and 2019 Share Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Commulative share based compensation expense | $ 15.7 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Taxation) (Details) - USD ($) $ in Millions | 3 Months Ended | 4 Months Ended | 9 Months Ended | 11 Months Ended | 12 Months Ended | |||
Dec. 31, 2017 | Apr. 30, 2018 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Taxation [Line Items] | ||||||||
Withholding tax rate on dividends, foreign invested enterprises to foreign holding companies | 10.00% | |||||||
Statutory income tax rate | 25.00% | 25.00% | 25.00% | |||||
Provisional amount of income tax expense recognized for the Toll Charge | $ 219 | |||||||
Reduction in liability for deferred income tax | 4 | |||||||
Unrecognized tax benefit recorded | $ 142 | |||||||
Interest in connection with unrecognized tax benefit | $ 8 | $ 6 | $ 8 | $ 2 | ||||
Thereafter tax years after December 31,2017 [Member] | ||||||||
Taxation [Line Items] | ||||||||
Statutory income tax rate | 21.00% | |||||||
Prior tax years before December 31,2017 [Member] | ||||||||
Taxation [Line Items] | ||||||||
Statutory income tax rate | 35.00% | |||||||
HONG KONG | ||||||||
Taxation [Line Items] | ||||||||
Preferential withholding tax rate on dividends, foreign invested enterprises | 5.00% | |||||||
UNITED STATES | ||||||||
Taxation [Line Items] | ||||||||
Provisional amount of income tax expense recognized for the Toll Charge | 219 | |||||||
Reduction in liability for deferred income tax | $ 4 | |||||||
Unrecognized tax benefit recorded | $ 142 | |||||||
Interest in connection with unrecognized tax benefit | $ 8 | $ 6 | $ 8 | |||||
Decrease in Unrecognized Tax Benefits is Reasonably Possible | $ 77 | |||||||
UNITED STATES | Thereafter tax years after December 31,2017 [Member] | ||||||||
Taxation [Line Items] | ||||||||
Statutory income tax rate | 21.00% | |||||||
UNITED STATES | Prior tax years before December 31,2017 [Member] | ||||||||
Taxation [Line Items] | ||||||||
Statutory income tax rate | 35.00% | |||||||
State Administration of Taxation, China [Member] | ||||||||
Taxation [Line Items] | ||||||||
Withholding tax rate on dividends, foreign invested enterprises to foreign holding companies | 10.00% | |||||||
Statutory income tax rate | 25.00% | |||||||
State Administration of Taxation, China [Member] | Minimum [Member] | ||||||||
Taxation [Line Items] | ||||||||
Value-added tax rate | 6.00% | 6.00% | 6.00% | 6.00% | ||||
State Administration of Taxation, China [Member] | Maximum [Member] | ||||||||
Taxation [Line Items] | ||||||||
Value-added tax rate | 17.00% | 13.00% | 16.00% | 13.00% |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies (Summary Of Impact of new accounting policy on allowance for credit loss) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | |
Allowance for credit losses: | ||||
Accounts receivable, net | $ 87,521 | $ 122,698 | $ 126,081 | |
Accounts receivable and financing receivables, net classified as assets held for sale | [1] | 131,362 | ||
Total assets | 2,822,121 | 2,685,208 | 2,691,864 | |
Shareholders' equity: | ||||
Accumulated deficit | $ (634,592) | $ (550,793) | (544,137) | |
Accounting Standards Update 2016-13 [Member] | ||||
Allowance for credit losses: | ||||
Accounts receivable, net | (3,383) | |||
Accounts receivable and financing receivables, net classified as assets held for sale | [1] | (3,273) | ||
Total assets | (6,656) | |||
Shareholders' equity: | ||||
Accumulated deficit | (6,656) | |||
Previously Reported [Member] | ||||
Allowance for credit losses: | ||||
Accounts receivable, net | 126,081 | |||
Accounts receivable and financing receivables, net classified as assets held for sale | [1] | 134,635 | ||
Total assets | 2,691,864 | |||
Shareholders' equity: | ||||
Accumulated deficit | $ (544,137) | |||
[1] | Of the total adjustment of $3.3 million, $2.5 million was related to financing receivables. |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies (Summary Of Impact of new accounting policy on allowance for credit loss) (Parenthetical) (Details) - Accounting Standards Update 2016-13 [Member] $ in Millions | Dec. 31, 2020USD ($) |
Impact Of New Accounting Policy On Allowance For Credit Loss [Line Items] | |
Total adjustment accounts receivable and financing receivables net classified as assets held for sale | $ 3.3 |
Financing receivables net classified as assets held for sale | $ 2.5 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies (Schedule Of Account Receivables) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ||||
Accounts receivable | $ 94,528 | $ 130,037 | ||
Allowance for credit losses | (7,007) | (3,956) | $ (7,574) | $ (4,487) |
Total | $ 87,521 | $ 126,081 |
Summary of Significant Accou_11
Summary of Significant Accounting Policies (Schedule Of Accounts Receivable Current Overdue Details) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Accounts Receivable Current Overdue Details [Line Items] | ||
Accounts receivable, net | $ 94,528 | $ 130,037 |
Less than 179 days | ||
Accounts Receivable Current Overdue Details [Line Items] | ||
Accounts receivable, net | 78,805 | 113,173 |
180-359 days | ||
Accounts Receivable Current Overdue Details [Line Items] | ||
Accounts receivable, net | 7,569 | 6,516 |
360 days and greater | ||
Accounts Receivable Current Overdue Details [Line Items] | ||
Accounts receivable, net | $ 8,154 | $ 10,348 |
Summary of Significant Accou_12
Summary of Significant Accounting Policies (Schedule of Accounts and Financing Receivables Net classified as Held for Sale) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Accounts receivable | $ 94,528 | $ 130,037 | |
Sogou [Member] | |||
Accounts receivable | 35,975 | 77,210 | |
Financing receivables | 41,911 | 66,858 | |
Less: Allowance for credit losses | [1] | (6,700) | (12,255) |
Total | $ 71,186 | $ 131,813 | |
[1] | The allowance for credit losses related to financing receivables was $6.4 million as of December 31, 2020. |
Summary of Significant Accou_13
Summary of Significant Accounting Policies (Schedule of Accounts and Financing Receivables Net classified as Held for Sale) (Parenthetical) (Details) $ in Millions | Dec. 31, 2020USD ($) |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Credit losses related to financing receivables | $ 6.4 |
Summary of Significant Accou_14
Summary of Significant Accounting Policies ( Allowance For Credit Losses On Financing Receivables) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Beginning balance | $ 3,956 | $ 7,574 | $ 4,487 | |
Changes on initial application of ASU 2016-13 | [1] | 3,383 | 0 | 0 |
Additional allowance for credit losses, net of recoveries | 2,419 | 4,724 | 5,449 | |
Write-offs | (3,231) | (8,237) | (1,940) | |
Exchange difference | 480 | (105) | (422) | |
Ending balance | 7,007 | 3,956 | 7,574 | |
Sogou Inc. [Member] | ||||
Beginning balance | 12,255 | 7,511 | 384 | |
Changes on initial application of ASU 2016-13 | [2] | 3,273 | 0 | 0 |
Additional allowance for credit losses, net of recoveries | 3,049 | 15,620 | 9,119 | |
Write-offs | (12,517) | (11,741) | (1,908) | |
Exchange difference | 640 | 865 | (84) | |
Ending balance | $ 6,700 | $ 12,255 | $ 7,511 | |
[1] | The Company adopted ASU 2016-13 using the modified retrospective transition approach. The adjustments arising from the new CECL model are recognized in the opening Consolidated Balance Sheet on January 1, 2020. | |||
[2] | The Group adopted ASU 2016-13 using the modified retrospective transition approach. The adjustments arising from the new CECL model are recognized in the opening consolidated balance sheet on January 1, 2020. |
Summary of Significant Accou_15
Summary of Significant Accounting Policies (Financing Receivables Current Details Of Due Period) (Detail) - Sogou Inc. [Member] - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financing Receivables Current Details Of Due Period [Line Items] | ||
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | $ 1,081 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 186 | $ 1,744 |
Financing Receivable, Year One, Originated, Current Fiscal Year | 40,644 | 65,114 |
Total Financing receivables | 41,911 | 66,858 |
1-30 Days Past Due | ||
Financing Receivables Current Details Of Due Period [Line Items] | ||
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 0 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 1 | 0 |
Financing Receivable, Year One, Originated, Current Fiscal Year | 7,037 | 10,606 |
Total Financing receivables | 7,038 | 10,606 |
31-60 Days Past Due | ||
Financing Receivables Current Details Of Due Period [Line Items] | ||
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 0 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 1 | 0 |
Financing Receivable, Year One, Originated, Current Fiscal Year | 576 | 1,635 |
Total Financing receivables | 577 | 1,635 |
61-90 Days Past Due | ||
Financing Receivables Current Details Of Due Period [Line Items] | ||
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 0 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 2 | 0 |
Financing Receivable, Year One, Originated, Current Fiscal Year | 548 | 1,176 |
Total Financing receivables | 550 | 1,176 |
Greater than 90 Days Past Due | ||
Financing Receivables Current Details Of Due Period [Line Items] | ||
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 0 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 |
Financing Receivable, Year One, Originated, Current Fiscal Year | 501 | 1,709 |
Total Financing receivables | 501 | 1,709 |
Total Past Due [Member] | ||
Financing Receivables Current Details Of Due Period [Line Items] | ||
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 0 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 4 | 0 |
Financing Receivable, Year One, Originated, Current Fiscal Year | 8,662 | 15,126 |
Total Financing receivables | 8,666 | 15,126 |
Current Due [Member] | ||
Financing Receivables Current Details Of Due Period [Line Items] | ||
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 1,081 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 182 | 1,744 |
Financing Receivable, Year One, Originated, Current Fiscal Year | 31,982 | 49,988 |
Total Financing receivables | $ 33,245 | $ 51,732 |
Summary of Significant Accou_16
Summary of Significant Accounting Policies (Estimated Useful Lives of Fixed Assets) (Details) | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Office buildings [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Lives (years) | 36-47 |
Fixed assets, residual value | $ 0 |
Leasehold improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Lives (years) | Lesser of term of the lease or the estimated useful lives of the assets |
Fixed assets, residual value | $ 0 |
Vehicles [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Lives (years) | 4-10 |
Fixed assets, residual value | $ 0 |
Office furniture [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Lives (years) | 5 |
Fixed assets, residual value | $ 0 |
Computer equipment and hardware [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Lives (years) | 2-5 |
Fixed assets, residual value | $ 0 |
Summary of Significant Accou_17
Summary of Significant Accounting Policies (Estimated Useful Lives of Intangible Assets) (Details) | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Purchased video content [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful Lives (years) | 1 month to 2 years |
Intangible assets, residual value | $ 0 |
Computer software [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful Lives (years) | 1-5 |
Intangible assets, residual value | $ 0 |
Developed technologies [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful Lives (years) | 3-10 |
Intangible assets, residual value | $ 0 |
Domain names and trademarks [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful Lives (years) | 4-30 |
Intangible assets, residual value | $ 0 |
Operating rights for licensed games [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful Lives (years) | over the contract terms |
Intangible assets, residual value | $ 0 |
Summary of Significant Accou_18
Summary of Significant Accounting Policies (Lease) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Jan. 01, 2019 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Amount of right-of-use asset expected to be recorded after adoption of ASU 2016-02 | $ 4,998 | $ 3,323 | |
Amount of lease liability expected to be recorded of ASU 2016-02 | $ 4,962 | $ 2,593 | |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseLiability | us-gaap:OperatingLeaseLiability | us-gaap:OperatingLeaseLiability |
Accounting Standards Update 2016-02 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Amount of right-of-use asset expected to be recorded after adoption of ASU 2016-02 | $ 7,400 | ||
Amount of lease liability expected to be recorded of ASU 2016-02 | 6,700 | ||
Amount of right-of-use asset on assets held for sale expected to be recorded after adoption of ASU 2016-02 | 17,900 | ||
Amount of lease liability on liabilities held for sale expected to be recorded of ASU 2016-02 | $ 16,200 |
Summary of Significant Accou_19
Summary of Significant Accounting Policies (Impact of Recently Issued Accounting Pronouncements, Impact of Recently Issued Accounting Pronouncements not Yet Adopted) (Details) - Accounting Standards Update 2016-13 [Member] - USD ($) $ in Millions | Jan. 01, 2020 | Jan. 31, 2020 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Increase of allowance for credit losses on ASU 2016-13 | $ 3.4 | |
Increase of allowance for credit losses on Accounts receivable ASU 2016-13 | $ 3.3 |
Discontinued Operations (Balanc
Discontinued Operations (Balance Sheet Information of Discontinued Operations) (Details) - Sogou [Member] - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Assets | ||
Cash and cash equivalents | $ 287,185 | $ 142,464 |
Restricted cash | 23,018 | 5,370 |
Short-term investments | 774,618 | 995,350 |
Account and financing receivables, net | 73,656 | 134,635 |
Prepaid and other current assets | 28,946 | 26,802 |
Long-term investments, net | 74,004 | 63,345 |
Fixed assets, net | 89,089 | 110,006 |
Goodwill | 6,527 | 5,534 |
Intangible assets, net | 1,446 | 1,514 |
Other assets | 53,679 | 37,281 |
Total assets associated with discontinued operations | 1,412,168 | 1,522,301 |
Liabilities | ||
Accounts payable | 122,695 | 132,085 |
Accrued liabilities | 68,582 | 91,949 |
Receipts in advance | 64,414 | 67,902 |
Accrued salary and benefits | 25,350 | 24,167 |
Taxes payable | 64,082 | 76,688 |
Other short-term liabilities | 61,154 | 60,320 |
Long-term liabilities | 10,721 | 5,686 |
Total liabilities associated with discontinued operations | $ 416,998 | $ 458,797 |
Discontinued Operations (Detail
Discontinued Operations (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2011 | May 31, 2010 | Jun. 30, 2019 | Dec. 31, 2011 | Dec. 31, 2020 | Dec. 31, 2019 | |
Discontinued Operations [Line Items] | ||||||
Goodwill impairment loss | $ 0 | $ 0 | ||||
Changyou [Member] | ||||||
Discontinued Operations [Line Items] | ||||||
Disposal gain/loss | $ 0 | $ 0 | ||||
Changyou [Member] | Shanghai Jingmao Culture Communication Co., Ltd. ("Shanghai Jingmao") and its affiliate [Member] | Cinema Advertising [Member] | ||||||
Discontinued Operations [Line Items] | ||||||
Percentage of acquired equity interests | 50.00% | 50.00% | ||||
Changyou [Member] | Shanghai Jingmao Culture Communication Co., Ltd. ("Shanghai Jingmao") and its affiliate [Member] | Cinema Advertising [Member] | ||||||
Discontinued Operations [Line Items] | ||||||
Total cash consideration | $ 3,000,000 | |||||
Goodwill impairment loss | $ 5,200,000 | |||||
Asset impairment charge | $ 17,000,000 |
Discontinued Operations (Compre
Discontinued Operations (Comprehensive Income Information of Discontinued Operations) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |||
Discontinued Operations [Line Items] | |||||
Foreign currency exchange gain/(loss) | $ (3,800) | $ 1,430 | $ 3,301 | ||
Net income/(loss) from discontinued operations, net of tax | (91,793) | 55,108 | 53,947 | ||
Sogou [Member] | |||||
Discontinued Operations [Line Items] | |||||
Revenues | 924,664 | 1,172,252 | 1,124,158 | ||
Cost of revenues | 722,614 | 738,454 | 693,470 | ||
Gross profit/(loss) | 202,050 | 433,798 | 430,688 | ||
Operating expenses | 325,170 | 369,363 | 386,005 | ||
Operating profit /(loss) | (123,120) | 64,435 | 44,683 | ||
Interest income | 2,807 | 4,443 | 8,037 | ||
Foreign currency exchange gain/(loss) | (7,767) | 1,849 | 5,725 | ||
Other income /(expense), net | [1] | 38,633 | 21,127 | 41,490 | |
Income/(loss) before income tax expense | (89,447) | 91,854 | 99,935 | ||
Income tax expense | 2,346 | 2,748 | 1,153 | ||
Net income/(loss) from discontinued operations, net of tax | (91,793) | 89,106 | 98,782 | ||
Sogou [Member] | Research and Development Expense [Member] | |||||
Discontinued Operations [Line Items] | |||||
Operating expenses | [1] | 193,376 | 190,402 | 201,739 | |
Sogou [Member] | Sales and marketing [Member] | |||||
Discontinued Operations [Line Items] | |||||
Operating expenses | [1] | 102,523 | 138,291 | 146,194 | |
Sogou [Member] | General and administrative [Member] | |||||
Discontinued Operations [Line Items] | |||||
Operating expenses | [1] | $ 29,271 | 40,670 | 38,072 | |
Changyou [Member] | Shanghai Jingmao Culture Communication Co., Ltd. ("Shanghai Jingmao") and its affiliate [Member] | |||||
Discontinued Operations [Line Items] | |||||
Revenues | 37,323 | [2] | 70,202 | ||
Cost of revenues | 43,857 | [2] | 89,233 | ||
Gross profit/(loss) | (6,534) | [2] | (19,031) | ||
Operating expenses | 27,390 | [2] | 25,253 | ||
Operating profit /(loss) | (33,924) | [2] | (44,284) | ||
Interest income | 7 | [2] | 6 | ||
Other income /(expense), net | 61 | [2] | (557) | ||
Income/(loss) before income tax expense | (33,856) | [2] | (44,835) | ||
Income tax expense | 142 | [2] | 0 | ||
Net income/(loss) from discontinued operations, net of tax | (33,998) | [2] | (44,835) | ||
Changyou [Member] | Shanghai Jingmao Culture Communication Co., Ltd. ("Shanghai Jingmao") and its affiliate [Member] | Sales and marketing [Member] | |||||
Discontinued Operations [Line Items] | |||||
Operating expenses | 8,807 | [2] | 20,288 | ||
Changyou [Member] | Shanghai Jingmao Culture Communication Co., Ltd. ("Shanghai Jingmao") and its affiliate [Member] | General and administrative [Member] | |||||
Discontinued Operations [Line Items] | |||||
Operating expenses | $ 18,583 | [2] | $ 4,965 | ||
[1] | Expenses generated from marketing services among the Sohu and Sogou, and leasing expenses generated from a building that Sohu leases to Sogou are not eliminated because those expenses are considered to continue after the disposal of the discontinued operations. | ||||
[2] | Includes the financial results of the discontinued operations from January 1, 2019 to August 12, 2019. |
Discontinued Operations (Cash F
Discontinued Operations (Cash Flow Information of Discontinued Operations) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Discontinued Operations [Line Items] | ||||
Net cash provided by/(used in) discontinued operating activities | $ (68,187) | $ 228,857 | $ 136,168 | |
Net cash provided by/(used in) discontinued investing activities | 235,374 | (228,406) | (639,390) | |
Net cash provided by/(used in) discontinued financing activities | (8,209) | (33,415) | 1 | |
Sogou [Member] | ||||
Discontinued Operations [Line Items] | ||||
Net cash provided by/(used in) discontinued operating activities | (68,187) | 219,516 | 132,746 | |
Net cash provided by/(used in) discontinued investing activities | 235,374 | (217,598) | (638,672) | |
Net cash provided by/(used in) discontinued financing activities | $ (8,209) | (33,415) | 1 | |
Changyou [Member] | Shanghai Jingmao Culture Communication Co., Ltd. ("Shanghai Jingmao") and its affiliate [Member] | ||||
Discontinued Operations [Line Items] | ||||
Net cash provided by/(used in) discontinued operating activities | 9,341 | [1] | 3,422 | |
Net cash provided by/(used in) discontinued investing activities | (10,808) | [1] | (718) | |
Net cash provided by/(used in) discontinued financing activities | $ 0 | [1] | $ 0 | |
[1] | Includes the financial results of the discontinued operations from January 1, 2019 to August 12, 2019. |
Segment Information (Segment Op
Segment Information (Segment Operating Information by Segment) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Segment Reporting Information [Line Items] | ||||
Revenues | $ 749,890 | $ 673,803 | $ 690,175 | |
Segment cost of revenues | (216,717) | (243,505) | (289,754) | |
Segment gross profit | 533,173 | 430,298 | 400,421 | |
SBC in cost of revenues | [1] | (720) | (142) | 738 |
Gross profit | 532,453 | 430,156 | 401,159 | |
Operating expenses: | ||||
Product development | (234,615) | (233,487) | (250,337) | |
Sales and marketing | (159,329) | (204,992) | (237,820) | |
General and administrative | (51,378) | (53,421) | (76,395) | |
Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions | 0 | (7,245) | (16,369) | |
SBC in operating expenses | [1] | (13,760) | (2,208) | 11,370 |
Total operating expenses | (459,082) | (501,353) | (569,551) | |
Operating profit /(loss) | 73,371 | (71,197) | (168,392) | |
Other income /(expense) | 25,993 | 7,963 | 30,701 | |
Interest income | 7,369 | 6,103 | 16,036 | |
Interest expense | (6,234) | (14,370) | (17,538) | |
Exchange difference | (3,800) | 1,430 | 3,301 | |
Income /(loss) before income tax expense | 96,699 | (70,071) | (135,892) | |
Income tax benefit /(expense) | (133,226) | (28,428) | 14,586 | |
Net loss from continuing operations | (36,527) | (98,499) | (121,306) | |
Net income/(loss) from discontinued operations | (91,793) | 55,108 | 53,947 | |
Net loss | (128,320) | (43,391) | (67,359) | |
Sohu [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0 | 0 | 0 | |
Gross profit | 0 | 0 | 0 | |
Operating expenses: | ||||
Operating profit /(loss) | (1,613) | (2,320) | (12,206) | |
Other income /(expense) | (1,083) | 44,738 | 22 | |
Interest income | 12 | 225 | 5,865 | |
Income /(loss) before income tax expense | (79,905) | (141,449) | (238,626) | |
Income tax benefit /(expense) | (6,207) | (7,887) | 78,544 | |
Net loss | (86,112) | (149,336) | (160,082) | |
Operating Segments [Member] | Sohu [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 201,544 | 218,442 | 274,670 | |
Segment cost of revenues | (122,362) | (148,258) | (218,184) | |
Segment gross profit | 79,182 | 70,184 | 56,486 | |
SBC in cost of revenues | [1] | (177) | (23) | 707 |
Gross profit | 79,005 | 70,161 | 57,193 | |
Operating expenses: | ||||
Product development | (97,681) | (113,761) | (123,743) | |
Sales and marketing | (106,057) | (155,226) | (203,307) | |
General and administrative | (25,861) | (31,330) | (47,738) | |
Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions | (7,245) | 0 | ||
SBC in operating expenses | [1] | (1,759) | (1,023) | 4,940 |
Total operating expenses | (231,358) | (308,585) | (369,848) | |
Operating profit /(loss) | (152,353) | (238,424) | (312,655) | |
Operating Segments [Member] | Changyou [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 548,346 | 455,380 | 415,561 | |
Segment cost of revenues | (94,362) | (95,268) | (71,626) | |
Segment gross profit | 453,984 | 360,112 | 343,935 | |
SBC in cost of revenues | [1] | (543) | (120) | 31 |
Gross profit | 453,441 | 359,992 | 343,966 | |
Operating expenses: | ||||
Product development | (136,934) | (119,726) | (126,593) | |
Sales and marketing | (53,272) | (49,768) | (34,512) | |
General and administrative | (25,517) | (22,074) | (28,657) | |
Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions | 0 | (16,369) | ||
SBC in operating expenses | [1] | (12,001) | (1,185) | 6,430 |
Total operating expenses | (227,724) | (192,753) | (199,701) | |
Operating profit /(loss) | 225,717 | 167,239 | 144,265 | |
Eliminations [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0 | (19) | (56) | |
Segment cost of revenues | 7 | 21 | 56 | |
Segment gross profit | 7 | 2 | 0 | |
SBC in cost of revenues | [1] | 0 | 1 | 0 |
Gross profit | 7 | 3 | 0 | |
Operating expenses: | ||||
Product development | 0 | 0 | (1) | |
Sales and marketing | 0 | 2 | (1) | |
General and administrative | 0 | (17) | 0 | |
Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions | 0 | 0 | ||
SBC in operating expenses | [1] | 0 | 0 | 0 |
Total operating expenses | 0 | (15) | (2) | |
Operating profit /(loss) | $ 7 | $ (12) | $ (2) | |
[1] | “SBC” stands for share-based compensation expense. |
Segment Information (Segment As
Segment Information (Segment Assets Information by Segment) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | $ 217,057 | $ 162,662 | |||
Accounts receivable, net | 87,521 | $ 122,698 | 126,081 | ||
Fixed assets, net | 337,674 | 337,682 | |||
Total assets | [1] | 1,409,953 | 1,169,563 | ||
Sohu [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 586 | 3,756 | $ 16,492 | ||
Operating Segments [Member] | Sohu [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 56,977 | 68,229 | |||
Accounts receivable, net | 60,886 | 70,252 | |||
Fixed assets, net | 174,700 | 177,978 | |||
Total assets | [1] | 1,632,736 | 1,721,801 | ||
Operating Segments [Member] | Changyou [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 160,080 | 94,433 | |||
Accounts receivable, net | 26,635 | 55,829 | |||
Fixed assets, net | 162,976 | 159,713 | |||
Total assets | [1] | 2,478,705 | 1,871,685 | ||
Eliminations [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 0 | 0 | |||
Accounts receivable, net | 0 | 0 | |||
Fixed assets, net | (2) | (9) | |||
Total assets | [1] | $ (2,701,488) | $ (2,423,923) | ||
[1] | The elimination for segment assets mainly consists of elimination of intra-Group loans between Sohu and Changyou, and elimination of long-term investments in subsidiaries and consolidated VIEs. |
Share-based Compensation Expe_3
Share-based Compensation Expense (Share-based Compensation Expense Recognized in Costs and Expenses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | $ 14,480 | $ 2,350 | $ (12,108) |
Cost of revenues [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | 720 | 142 | (739) |
Product development expenses [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | 7,325 | 1,364 | (4,182) |
Sales and marketing expenses [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | 460 | (326) | (920) |
General and administrative expenses [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | $ 5,975 | $ 1,170 | $ (6,267) |
Share-based Compensation Expe_4
Share-based Compensation Expense (Share-based Compensation Expense Recognized for Share Awards of Sohu (excluding Sohu Video), Sogou, Changyou and Sohu Video) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 14,480,000 | $ 2,350,000 | $ (12,108,000) |
Capitalized share-based compensation expense | 0 | 0 | 0 |
Sohu (excluding Sohu Video) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | 2,633,000 | 1,940,000 | (5,100,000) |
Changyou [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | 12,545,000 | 1,305,000 | (6,461,000) |
Sohu Video [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ (698,000) | $ (895,000) | $ (547,000) |
Advertising and Promotional E_2
Advertising and Promotional Expenses, included in Sales and Marketing Expenses (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
ADVERTISING AND PROMOTIONAL EXPENSES, INCLUDED IN SALES AND MARKETING EXPENSES [Abstract] | |||
Advertising and promotional expenses | $ 84.7 | $ 124.6 | $ 137.6 |
OTHER INCOME, NET (Details)
OTHER INCOME, NET (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |||||
OTHER INCOME /(EXPENSE), NET [Abstract] | ||||||||
Rental income from Sogou | [1] | $ 9,793 | $ 8,029 | $ 8,392 | ||||
Individual tax refund and additional deduction of PRC value-added tax | [2] | 6,169 | 907 | 0 | ||||
Government grant | 5,928 | 5,763 | 5,342 | |||||
Gain from the changes in fair value of financial instruments | [3] | 4,303 | 11,113 | 17,999 | ||||
Write-off of unpaid long-term accounts payable | 47 | 0 | 0 | |||||
Investment income/(expense) | 3 | 3,004 | (3,448) | |||||
Impairment loss on equity investments | $ (23,200) | (384) | [4] | (23,154) | [4] | 0 | [4] | |
Donations | (1,460) | (283) | 0 | |||||
Others | 1,594 | 2,584 | 2,416 | |||||
Total | $ 25,993 | $ 7,963 | $ 30,701 | |||||
[1] | Sogou currently leases from Sohu, on an arms-length basis, office space at Sohu.com Internet Plaza under a lease that expires on December 31, 2022 and may be renewed subject to terms to be agreed to by Sohu and Sogou. Rental income consisted solely of the income from this lease. The cash receipts from this lease within operating activities for 2020, 2019 and 2018 were $12.1 million, $8.4 million and $8.0 million, respectively. | |||||||
[2] | The increase for 2020 compared to 2019 mainly consisted of an individual tax refund of $2.6 million and an additional deduction of PRC value-added tax of $2.1 million. | |||||||
[3] | The decrease for 2020 compared to 2019 and the decrease for 2019 compared to 2018 were mainly due to a decrease in income earned from investments in financial instruments. | |||||||
[4] | In the fourth quarter of 2019, the Sohu Group recognized impairment losses of $23.2 million for equity investments. |
OTHER INCOME, NET (Narrative) (
OTHER INCOME, NET (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||||
Other Income and Expense [Line Items] | |||||||
Impairment loss | $ 23,200 | $ 384 | [1] | $ 23,154 | [1] | $ 0 | [1] |
Increase in tax return from individual tax and additional deduction of prc value added tax | 2,600 | 2,100 | |||||
Sogou [Member] | |||||||
Other Income and Expense [Line Items] | |||||||
Cash proceeds from operating lease | $ 12,100 | $ 8,400 | $ 8,000 | ||||
[1] | In the fourth quarter of 2019, the Sohu Group recognized impairment losses of $23.2 million for equity investments. |
Balance Sheet Components Accoun
Balance Sheet Components Account and Financing Receivables, net (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Accounts receivable, net | |||||
Accounts receivable | $ 94,528 | $ 130,037 | |||
Allowance for credit losses | (7,007) | (3,956) | $ (7,574) | $ (4,487) | |
Accounts receivable, net | $ 87,521 | $ 122,698 | $ 126,081 |
Balance Sheet Components Moveme
Balance Sheet Components Movement of Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
BALANCE SHEET COMPONENTS [Abstract] | ||||
Beginning balance | $ 3,956 | $ 7,574 | $ 4,487 | |
Changes on initial application of ASU 2016-13 | [1] | 3,383 | 0 | 0 |
Additional allowance for credit losses, net of recoveries | 2,419 | 4,724 | 5,449 | |
Write-offs | (3,231) | (8,237) | (1,940) | |
Exchange difference | 480 | (105) | (422) | |
Ending balance | $ 7,007 | $ 3,956 | $ 7,574 | |
[1] | The Company adopted ASU 2016-13 using the modified retrospective transition approach. The adjustments arising from the new CECL model are recognized in the opening Consolidated Balance Sheet on January 1, 2020. |
Balance Sheet Components Other
Balance Sheet Components Other Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Prepaid and other current assets | |||
Matching loan due from a related party | $ 34,123 | $ 33,329 | |
Prepaid taxes | 25,043 | 26,274 | |
Prepaid content and license | 11,029 | 12,964 | |
Prepaid cost of revenue | 10,120 | 7,175 | |
Receivables from third party payment platforms | 5,488 | 3,435 | |
Interest receivable from bank deposits with original maturities of three months or less | 3,875 | 1,012 | |
Prepaid professional fees | 2,365 | 610 | |
Prepaid rental deposit | 2,310 | 2,891 | |
Prepaid office rent and facilities expenses | 696 | 601 | |
Employee advances | 587 | 1,249 | |
Others | 10,954 | 7,991 | |
Prepaid and other current assets | 106,590 | 97,531 | |
Prepaid non-current assets | |||
Prepaid PRC income tax for the sale of assets associated with 17173.com by Sohu to Changyou | 1,006 | 1,882 | |
Prepaid non-current assets | 1,006 | 1,882 | |
Other short-term liabilities | |||
Matching loans due to a related party | 34,123 | 33,536 | |
Contingent liability related to Shanghai Jingmao liquidation | [1] | 23,900 | 23,900 |
Deposits related to Focus | 21,936 | 19,101 | |
Share-based awards in Changyou | 13,292 | 0 | |
Contract deposits from advertisers | 3,036 | 3,060 | |
Lease liabilities | $ 1,107 | $ 2,510 | |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseLiabilityCurrent | us-gaap:OperatingLeaseLiabilityCurrent | |
Consideration payable for equity investment | $ 751 | $ 740 | |
Others | 8,026 | 8,218 | |
Other short-term liabilities | 106,171 | 91,065 | |
Receipts in advance and deferred revenue | |||
Receipts in advance relating to brand advertising business | 5,214 | 7,097 | |
Receipts in advance relating to online game business | 7,869 | 5,524 | |
Receipts in advance relating to other business | 6,029 | 6,490 | |
Total receipts in advance | 19,112 | 19,111 | |
Deferred revenue | 32,943 | 31,210 | |
Receipts in advance and deferred revenue | $ 52,055 | $ 50,321 | |
[1] | The contingent liability represents the aggregate of estimated potential payments to third parties in connection with the liquidation of Shanghai Jingmao. The stated amount of the contingent liability reflects Changyou’s best estimate as of December 31, 2019 and 2020 pursuant to ASC 450-20. Changyou may revise this estimate in the future based on developments in PRC bankruptcy court proceedings regarding Shanghai Jingmao. |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Feb. 28, 2016 | Apr. 30, 2015 | Aug. 31, 2014 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | ||||||
Interest expense incurred | $ 588 | $ 818 | $ 519 | |||
Interest income earned | 810 | 1,015 | $ 1,051 | |||
Changyou [Member] | Fox Financial Technology Group Limited [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Expected credit loss | 2,400 | |||||
Loans payable to related parities | 34,100 | 33,500 | ||||
Loans receivable from related parities | 34,100 | 33,300 | ||||
Interest expense incurred | 600 | 800 | ||||
Interest income earned | $ 800 | $ 1,000 | ||||
Sohu [Member] | Fox Financial Technology Group Limited [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Investment amount in period | $ 10,500 | $ 16,100 | $ 4,800 |
Fair Value Measurements (Financ
Fair Value Measurements (Financial Instruments, Measured at Fair Value) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | $ 173,655 | $ 112,349 |
Restricted cash | 330,791 | 3,290 |
Restricted time deposits | 101,519 | 240 |
Short-term investments | 100,745 | 321,483 |
Equity investments with readily determinable fair values | 9,457 | 9,320 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Restricted cash | 0 | 0 |
Restricted time deposits | 0 | 0 |
Short-term investments | 0 | 0 |
Equity investments with readily determinable fair values | 9,457 | 9,320 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 173,655 | 112,349 |
Restricted cash | 330,791 | 3,290 |
Restricted time deposits | 101,519 | 240 |
Short-term investments | 100,745 | 321,483 |
Equity investments with readily determinable fair values | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Restricted cash | 0 | 0 |
Restricted time deposits | 0 | 0 |
Short-term investments | 0 | 0 |
Equity investments with readily determinable fair values | $ 0 | $ 0 |
Fair Value Measurements (Restri
Fair Value Measurements (Restricted cash and Restricted Time Deposits, Narrative) (Details) - Fair Value, Measurements, Recurring [Member] - Changyou [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest income from restricted time deposits | $ 0.1 | $ 0.5 |
Interest expense on bank loans | 0.1 | $ 2.1 |
Deposit certificates pledged | 212 | |
Restricted Cash [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deposit certificates pledged | 110 | |
Restricted Time Deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deposit certificates pledged | $ 102 |
Fair Value Measurements (Short-
Fair Value Measurements (Short-term Investments, Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | [1] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Investments in financial instruments | $ 321,483 | $ 100,745 | $ 321,483 | ||||
Impairment loss | 23,200 | 384 | [1] | 23,154 | [1] | $ 0 | |
Fair Value, Measurements, Recurring [Member] | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Investments in financial instruments | $ 321,500 | 100,700 | 321,500 | ||||
Change in fair value of short-term investments | 4,300 | 11,100 | |||||
Impairment loss | $ 400 | $ 23,200 | |||||
[1] | In the fourth quarter of 2019, the Sohu Group recognized impairment losses of $23.2 million for equity investments. |
Fair Value Measurements (Shor_2
Fair Value Measurements (Short-term Receivables and Payables, Narrative) (Details) - Sohu [Member] - Fair Value, Measurements, Recurring [Member] ¥ in Millions | Apr. 03, 2020USD ($) | Jun. 30, 2018USD ($) | Jun. 30, 2018CNY (¥) | Apr. 30, 2018USD ($) | Apr. 30, 2018CNY (¥) | Sep. 30, 2017USD ($) | Sep. 30, 2017CNY (¥) | May 31, 2017USD ($) | May 31, 2017CNY (¥) | May 31, 2019USD ($) | May 31, 2019CNY (¥) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2019CNY (¥) | May 31, 2017CNY (¥) |
Changyou Merger [Member] | PRC Loan [Member] | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||
Loan received from bank | $ 215,600,000 | ||||||||||||||
Factoring contract with recourse with HSBC [Member] | HSBC [Member] | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||
Loans may borrow from bank | $ 26,200,000 | ¥ 180 | |||||||||||||
Accounts receivable to secure short-term bank loan | $ 28,800,000 | ¥ 198 | |||||||||||||
Total outstanding balance of bank loan | 0 | $ 0 | |||||||||||||
Credit agreement with ICBC [Member] | ICBC [Member] | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||
Loans may borrow from bank | $ 116,600,000 | ¥ 800 | |||||||||||||
Additional interest rate over LPR | 1.20% | 1.20% | |||||||||||||
Installments of bank loan payable | four equal installments, with the first installment payable 18 months after the drawdown and the other three installments payable semi-annually at the end of each of the three successive six-month periods after the first installment payment. | four equal installments, with the first installment payable 18 months after the drawdown and the other three installments payable semi-annually at the end of each of the three successive six-month periods after the first installment payment. | |||||||||||||
Total outstanding balance of bank loan | 0 | 57,300,000 | ¥ 400 | ||||||||||||
Credit agreement with CMB [Member] | CMB [Member] | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||
Loans may borrow from bank | $ 102,000,000 | ¥ 700 | |||||||||||||
Loan received from bank | $ 43,700,000 | ¥ 300 | $ 58,300,000 | ¥ 400 | $ 59,300,000 | ¥ 399 | |||||||||
Short-term loan, interest rate | 6.00% | 6.00% | 6.00% | 6.00% | 5.10% | 5.10% | |||||||||
Installments of bank loan payable | The first installment of RMB45 million (or $6.7 million) was paid in December 2018; the second and third installments of RMB90 million (or $13.1 million) in the aggregate were paid early in June 2019; and the fourth installment of RMB165 million (or $23.3million) was paid early in July 2019. | The first installment of RMB45 million (or $6.7 million) was paid in December 2018; the second and third installments of RMB90 million (or $13.1 million) in the aggregate were paid early in June 2019; and the fourth installment of RMB165 million (or $23.3million) was paid early in July 2019. | |||||||||||||
Total outstanding balance of bank loan | $ 0 | $ 57,200,000 | ¥ 399 | ||||||||||||
Credit agreement with Industrial and Commercial Bank of China Limited, Tokyo Branch ("ICBC Tokyo") | Changyou Merger [Member] | ICBC Tokyo [Member] | Sohu Game [Member] | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||
Proportion of mortgaged outstanding of Changyou | 97.90% | ||||||||||||||
Bearing interest of term facility | Three Month LIBOR plus a margin of 1.75% | ||||||||||||||
Deposit certificates pledged | $ 192,000,000 | ||||||||||||||
Exchange rate of deposit equivalent | 0.1389 | ||||||||||||||
Credit agreement with Industrial and Commercial Bank of China Limited, Tokyo Branch ("ICBC Tokyo") | Maximum [Member] | Changyou Merger [Member] | ICBC Tokyo [Member] | Sohu Game [Member] | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||
Term Loan | $ 250,000,000 | ||||||||||||||
Credit agreement with Industrial and Commercial Bank of China Limited, Tokyo Branch ("ICBC Tokyo") | Maximum [Member] | Changyou Merger [Member] | ICBC Tokyo [Member] | One-Year Facility [Member] | Sohu Game [Member] | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||
Term Loan | 100,000,000 | ||||||||||||||
Credit agreement with Industrial and Commercial Bank of China Limited, Tokyo Branch ("ICBC Tokyo") | Maximum [Member] | Changyou Merger [Member] | ICBC Tokyo [Member] | Four-Year Facility [Member] | Sohu Game [Member] | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||
Term Loan | $ 150,000,000 |
Fair Value Measurements (Long-t
Fair Value Measurements (Long-term Payables, Narrative) (Details) | Dec. 31, 2020$ / shares |
Changyou Class A Ordinary Share [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Long term Debt include Accrued over the Service Period Liability | $ 5.39 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets Measured at Fair Value on a Nonrecurring Basis) (Details) - Fair Value, Measurements, Nonrecurring [Member] - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Purchased video content recorded in prepaid and other assets | $ 2,585 | $ 3,115 |
Intangible assets, net | 4,842 | 9,922 |
Goodwill | 48,434 | 47,390 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Purchased video content recorded in prepaid and other assets | 0 | 0 |
Intangible assets, net | 0 | 0 |
Goodwill | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Purchased video content recorded in prepaid and other assets | 0 | 0 |
Intangible assets, net | 0 | 0 |
Goodwill | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Purchased video content recorded in prepaid and other assets | 2,585 | 3,115 |
Intangible assets, net | 4,842 | 9,922 |
Goodwill | $ 48,434 | $ 47,390 |
Lease (Component of Operating L
Lease (Component of Operating Lease Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
LEASES [Abstract] | ||
Operating lease expense | $ 3,985 | $ 4,858 |
Short-term lease expense | 297 | 244 |
Total operating lease expense | $ 4,282 | $ 5,102 |
Lease (Supplemental Cash Flow I
Lease (Supplemental Cash Flow Information Related to Leases, Cash Paid for Amounts Included in Measurement of Lease Liabilities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
LEASES [Abstract] | ||
Operating cash flows from operating leases | $ 3,206 | $ 5,013 |
Leases (Supplemental Cash Flow
Leases (Supplemental Cash Flow Information Related to Leases, Right-of-use Assets Obtained in Exchange for Lease Liabilities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
LEASES [Abstract] | ||
Operating leases | $ 5,351 | $ 134 |
Lease (Supplemental Balance She
Lease (Supplemental Balance Sheet Information Related to Operating Leases) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Jan. 01, 2019 |
LEASES [Abstract] | |||
Operating lease right-of-use assets | $ 4,998 | $ 3,323 | |
Liabilities: | |||
Current lease liabilities | $ 1,107 | $ 2,510 | |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseLiabilityCurrent | us-gaap:OperatingLeaseLiabilityCurrent | |
Non-current lease liabilities | $ 3,855 | $ 83 | |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseLiabilityNoncurrent | us-gaap:OperatingLeaseLiabilityNoncurrent | |
Total present value of lease liabilities | $ 4,962 | $ 2,593 | |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseLiability | us-gaap:OperatingLeaseLiability | us-gaap:OperatingLeaseLiability |
Lease (Maturities of Lease Liab
Lease (Maturities of Lease Liabilities under Operating Leases) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Jan. 01, 2019 |
LEASES [Abstract] | |||
2021 | $ 1,957 | ||
2022 | 1,785 | ||
2023 | 1,421 | ||
2024 | 191 | ||
2025 | 95 | ||
Thereafter | 0 | ||
Total future lease payments | 5,449 | ||
Less: imputed interest | (487) | ||
Total present value of lease liabilities | $ 4,962 | $ 2,593 | |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseLiability | us-gaap:OperatingLeaseLiability | us-gaap:OperatingLeaseLiability |
Weighted average remaining lease term | 3 years | ||
Weighted average discount rate | 5.70% | ||
Operating lease liability | $ 1,900 |
Fixed Assets (Details)
Fixed Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment [Line Items] | |||
Fixed assets, gross | $ 571,285 | $ 544,236 | |
Accumulated depreciation | (233,611) | (206,554) | |
Fixed assets, net | 337,674 | 337,682 | |
Depreciation expenses for fixed assets | 25,466 | 28,225 | $ 32,109 |
Office buildings [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Fixed assets, gross | 392,045 | 366,686 | |
Computer equipment and hardware [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Fixed assets, gross | 132,021 | 133,451 | |
Leasehold and building improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Fixed assets, gross | 36,649 | 34,251 | |
Office furniture [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Fixed assets, gross | 6,841 | 6,609 | |
Vehicles [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Fixed assets, gross | $ 3,729 | $ 3,239 |
Goodwill (Carrying Value of Goo
Goodwill (Carrying Value of Goodwill by Segment) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Goodwill [Line Items] | ||
Accumulated impairment losses, Beginning Balance | $ (202,532) | $ (202,532) |
Goodwill, Beginning Balance | 249,922 | 250,170 |
Goodwill, Net, Beginning Balance | 47,390 | 47,638 |
Foreign currency translation adjustment | 1,044 | (248) |
Impairment losses | 0 | 0 |
Goodwill, Ending balance | 250,966 | 249,922 |
Accumulated impairment losses, Ending balance | (202,532) | (202,532) |
Goodwill, Net, Ending balance | 48,434 | 47,390 |
Operating Segments [Member] | Sohu [Member] | ||
Goodwill [Line Items] | ||
Accumulated impairment losses, Beginning Balance | (32,246) | (32,246) |
Goodwill, Beginning Balance | 69,379 | 69,627 |
Goodwill, Net, Beginning Balance | 37,133 | 37,381 |
Foreign currency translation adjustment | 1,044 | (248) |
Impairment losses | 0 | 0 |
Goodwill, Ending balance | 70,423 | 69,379 |
Accumulated impairment losses, Ending balance | (32,246) | (32,246) |
Goodwill, Net, Ending balance | 38,177 | 37,133 |
Operating Segments [Member] | Changyou [Member] | ||
Goodwill [Line Items] | ||
Accumulated impairment losses, Beginning Balance | (170,286) | (170,286) |
Goodwill, Beginning Balance | 180,543 | 180,543 |
Goodwill, Net, Beginning Balance | 10,257 | 10,257 |
Foreign currency translation adjustment | 0 | 0 |
Impairment losses | 0 | 0 |
Goodwill, Ending balance | 180,543 | 180,543 |
Accumulated impairment losses, Ending balance | (170,286) | (170,286) |
Goodwill, Net, Ending balance | $ 10,257 | $ 10,257 |
Intangible Assets, Net (Finite-
Intangible Assets, Net (Finite-lived Intangible Assets by Major Class) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 315,767 | $ 315,349 |
Accumulated Amortization | (219,849) | (231,779) |
Impairment | (91,076) | (73,648) |
Net Carrying Amount | 4,842 | 9,922 |
Purchased Video content [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 212,999 | 217,610 |
Accumulated Amortization | (161,160) | (179,167) |
Impairment | (50,088) | (35,940) |
Net Carrying Amount | 1,751 | 2,503 |
Operating rights for licensed games [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 51,856 | 47,227 |
Accumulated Amortization | (35,017) | (27,992) |
Impairment | (14,026) | (12,365) |
Net Carrying Amount | 2,813 | 6,870 |
Domain names and trademarks [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 27,536 | 26,301 |
Accumulated Amortization | (10,243) | (9,896) |
Impairment | (17,219) | (16,176) |
Net Carrying Amount | 74 | 229 |
Computer software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 11,749 | 13,273 |
Accumulated Amortization | (11,545) | (12,953) |
Impairment | 0 | 0 |
Net Carrying Amount | 204 | 320 |
Developed technologies [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 8,699 | 8,200 |
Accumulated Amortization | (918) | (868) |
Impairment | (7,781) | (7,332) |
Net Carrying Amount | 0 | 0 |
Others [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 2,928 | 2,738 |
Accumulated Amortization | (966) | (903) |
Impairment | (1,962) | (1,835) |
Net Carrying Amount | $ 0 | $ 0 |
Intangible Assets, Net (Narrati
Intangible Assets, Net (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangible assets | $ 14.4 | $ 38.8 | $ 58.1 |
Sohu [Member] | Sohu Video's intangible assets [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Total losses for impairment | 1.5 | 4 | 10.4 |
Intangible assets impairment losses | 9.8 | ||
Prepaid and other current assets impairment losses | $ 0.6 | ||
Sohu [Member] | 56.com Website's intangible assets [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Total losses for impairment | $ 7.2 | ||
Changyou [Member] | Content and game licenses intangible assets [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Total losses for impairment | 2.7 | ||
Intangible assets impairment losses | 0.8 | ||
Prepaid and other current assets impairment losses | $ 1.9 |
Intangible Assets, Net (Estimat
Intangible Assets, Net (Estimated Amortization Expenses for Future Periods) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
INTANGIBLE ASSETS, NET [Abstract] | ||
2021 | $ 3,346 | |
2022 | 1,177 | |
2023 | 279 | |
2024 | 40 | |
2025 | 0 | |
Thereafter | 0 | |
Total expected amortization expense | $ 4,842 | $ 9,922 |
Taxation (PRC Corporate Income
Taxation (PRC Corporate Income Tax) (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax and Tax Rate [Line Items] | |||
Statutory income tax rate | 25.00% | 25.00% | 25.00% |
State Administration of Taxation, China [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Statutory income tax rate | 25.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
Preferential income tax rate period (years) | 3 years | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Sohu New Momentum [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Sohu Internet [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Video Tianjin [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Sohu Media [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Gamespace [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Changyou Chuangxiang [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Gamease [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | AmazGame [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Sogou Network [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Sogou Information [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | High and New Technology Enterprises [Member] | Sogou Technology [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
State Administration of Taxation, China [Member] | Software Enterprise [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 12.50% | ||
Preferential income tax rate period (years) | 3 years | ||
Income tax exemption period beginning with first profitable year | 2 years | ||
Tax rate reduction rate | 50.00% | ||
State Administration of Taxation, China [Member] | Key National Software Enterprise [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 10.00% | ||
State Administration of Taxation, China [Member] | Key National Software Enterprise [Member] | Changyou Chuangxiang [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 10.00% | ||
State Administration of Taxation, China [Member] | Key National Software Enterprise [Member] | AmazGame [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 10.00% |
Taxation (U.S. Corporate Income
Taxation (U.S. Corporate Income Tax) (Details) | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax and Tax Rate [Line Items] | ||||
Statutory income tax rate | 25.00% | 25.00% | 25.00% | |
Prior tax years [Member] | ||||
Income Tax and Tax Rate [Line Items] | ||||
Statutory income tax rate | 35.00% | |||
Thereafter tax years [Member] | ||||
Income Tax and Tax Rate [Line Items] | ||||
Statutory income tax rate | 21.00% |
Taxation (Treatment of Toll Cha
Taxation (Treatment of Toll Charge Related to the U.S. TCJA) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax and Tax Rate [Line Items] | ||||
Provisional amount of income tax expense recognized for the Toll Charge | $ 219 | |||
Reduction in liability for deferred income tax | 4 | |||
Unrecognized tax benefit recorded | $ 142 | |||
Interest in connection with unrecognized tax benefit | 2 | $ 6 | $ 8 | |
United States | ||||
Income Tax and Tax Rate [Line Items] | ||||
Provisional amount of income tax expense recognized for the Toll Charge | 219 | |||
Reduction in liability for deferred income tax | $ 4 | |||
Recognition of previously unrecognized tax benefit | 77 | |||
Unrecognized tax benefit recorded | $ 142 | |||
Interest in connection with unrecognized tax benefit | $ 6 | $ 8 |
Taxation (Hong Kong Tax) (Detai
Taxation (Hong Kong Tax) (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax and Tax Rate [Line Items] | |||
Statutory income tax rate | 25.00% | 25.00% | 25.00% |
Inland Revenue, Hong Kong [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Statutory income tax rate | 16.50% | 16.50% | 16.50% |
Taxation (Components of Income
Taxation (Components of Income before Income Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income /(loss) before income tax expense | |||
Income /(loss) from China operations | $ 154,514 | $ (89,150) | $ (76,585) |
Income /(loss) from non-China operations | (57,815) | 19,079 | (59,307) |
Total income /(loss) before income tax expense | 96,699 | (70,071) | (135,892) |
Income tax expense applicable to China operations | |||
Current tax | 24,255 | 9,026 | 14,578 |
Deferred tax | 102,652 | 11,191 | 48,907 |
Subtotal income tax expense applicable to China operations | 126,907 | 20,217 | 63,485 |
Non China income tax expense/(benefit) | 6,207 | 7,887 | (78,540) |
Non China withholding tax expense | 112 | 324 | 469 |
Total income tax expense | 133,226 | 28,428 | (14,586) |
Unrecognized tax benefit recorded | 142,000 | ||
Interest in connection with unrecognized tax benefit | 6,000 | 8,000 | 2,000 |
CHINA | |||
Income tax expense applicable to China operations | |||
Total income tax expense | 126,900 | 20,200 | |
Accrued Income Taxes | 40,700 | 32,600 | |
Reversal of Accrued Income Taxes | 6,900 | 19,500 | |
Additional income tax withholded in disribution of cash dividends | 88,000 | ||
United States | |||
Income tax expense applicable to China operations | |||
Non China income tax expense/(benefit) | 8,000 | ||
Recognition of previously unrecognized tax benefit | 77,000 | ||
Unrecognized tax benefit recorded | $ 142,000 | ||
Interest in connection with unrecognized tax benefit | $ 6,000 | $ 8,000 |
Taxation (Tax Holiday Effect) (
Taxation (Tax Holiday Effect) (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
TAXATION [Abstract] | |||
Tax holiday effect | $ 16,174 | $ 7,981 | $ 23,271 |
Basic net income per share effect | $ 0.41 | $ 0.20 | $ 0.60 |
Taxation (Effective Tax Rate) (
Taxation (Effective Tax Rate) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Jun. 30, 2020 | Mar. 31, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Apr. 05, 2018 | ||
Taxation [Line Items] | ||||||||
Statutory Rate: | 25.00% | 25.00% | 25.00% | |||||
Effect of tax holidays applicable to subsidiaries and consolidated VIEs | [1] | (17.00%) | 11.00% | 17.00% | ||||
Tax differential from statutory rate applicable to subsidiaries and consolidated VIEs | 9.00% | 7.00% | (1.00%) | |||||
Effect of withholding taxes | [2] | 109.00% | (12.00%) | (39.00%) | ||||
Changes in valuation allowance for deferred tax assets | 27.00% | (71.00%) | (29.00%) | |||||
Research and development super-deduction | (9.00%) | 12.00% | 4.00% | |||||
Others | (13.00%) | (1.00%) | (24.00%) | |||||
Effective Tax Rate | 131.00% | (29.00%) | (47.00%) | |||||
Additional withholding income taxes | $ 88 | $ 47 | ||||||
Special cash dividend | $ 500 | |||||||
Thereafter tax years [Member] | ||||||||
Taxation [Line Items] | ||||||||
Statutory Rate: | 21.00% | |||||||
Prior tax years [Member] | ||||||||
Taxation [Line Items] | ||||||||
Statutory Rate: | 35.00% | |||||||
[1] | The reversal of income tax for preferential income tax rates that Changyou’s subsidiaries and VIEs were entitled to as KNSEs or Software Enterprises for 2018, 2019 and 2020 was included in the “Effect of tax holidays applicable to subsidiaries and consolidated VIEs” in the above table. | |||||||
[2] | The effective tax rate for 2018 was mainly due to additional income withholding tax of $47 million that was recognized in the first quarter of 2018 due to a revised policy for Changyou’s PRC subsidiaries with respect to their distribution of cash dividends. The revised policy was adopted to facilitate the distribution of a special cash dividend in the aggregate amount of approximately $500.0 million that was declared by Changyou’s Board of Directors on April 5, 2018. The change for 2020 was mainly due to additional income withholding tax of $88 million that was recognized in the second quarter of 2020 due to a revised policy with respect to Changyou’s PRC subsidiaries regarding their distribution of cash dividends. |
Taxation (PRC Withholding Tax o
Taxation (PRC Withholding Tax on Dividends) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2020 | Mar. 31, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | Apr. 05, 2018 | |
Withholding tax on dividends [Line Items] | |||||
Withholding income tax rate on dividends, foreign invested enterprises to foreign holding companies | 10.00% | ||||
Special cash dividend | $ 500,000 | ||||
Additional withholding income taxes | $ 88,000 | $ 47,000 | |||
Deferred tax liabilities related to withholding tax | $ 206,594 | $ 86,834 | |||
Total amount of undistributed profits | 783,800 | ||||
Unrecognized tax liabilities | 78,400 | ||||
Changyou [Member] | |||||
Withholding tax on dividends [Line Items] | |||||
Deferred tax liabilities related to withholding tax | $ 206,600 | $ 86,800 | |||
HONG KONG | |||||
Withholding tax on dividends [Line Items] | |||||
Preferential withholding tax rate on dividends, foreign invested enterprises | 5.00% |
Taxation (PRC Value-Added Tax)
Taxation (PRC Value-Added Tax) (Details) - State Administration of Taxation, China [Member] | 4 Months Ended | 9 Months Ended | 11 Months Ended | 12 Months Ended |
Apr. 30, 2018 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | |
Minimum [Member] | ||||
Value added tax [Line Items] | ||||
Value-added tax rate | 6.00% | 6.00% | 6.00% | 6.00% |
Maximum [Member] | ||||
Value added tax [Line Items] | ||||
Value-added tax rate | 17.00% | 13.00% | 16.00% | 13.00% |
Taxation (Deferred Tax Assets a
Taxation (Deferred Tax Assets and Liabilities, Significant Components of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred tax assets: | ||||
Net operating loss from operations | $ 325,797 | $ 277,478 | ||
Accrued bonus and commissions | 10,613 | 8,539 | ||
Intangible assets transfer | 690 | 916 | ||
Others | 8,692 | 10,947 | ||
Total deferred tax assets | 345,792 | 297,880 | ||
Less: Valuation allowance | (326,755) | (283,711) | $ (250,524) | $ (233,910) |
Net deferred tax assets | 19,037 | 14,169 | ||
Deferred tax liabilities | ||||
Withholding tax for dividend | (206,594) | (86,834) | ||
Others | (10,999) | (9,070) | ||
Total deferred tax liabilities | $ (217,593) | $ (95,904) |
Taxation (Deferred Tax Assets_2
Taxation (Deferred Tax Assets and Liabilities, Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($) | |
TAXATION [Abstract] | |
Net operating losses from PRC entities available to offset against future net profit for income tax purposes | $ 1,560 |
Deferred tax assets generated from net operating losses offset by valuation allowance | 318.5 |
PRC net operating losses generated from previous years, expired | $ 13.8 |
Taxation (Movement of Valuation
Taxation (Movement of Valuation Allowance for Net Deferred Tax Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
TAXATION [Abstract] | |||
Beginning balance | $ 283,711 | $ 250,524 | $ 233,910 |
Provision for the year | 36,363 | 44,634 | 34,496 |
Reversal for the year | (12,637) | (7,311) | (6,891) |
Foreign currency translation adjustment | 19,318 | (4,136) | (10,991) |
Ending balance | $ 326,755 | $ 283,711 | $ 250,524 |
Taxation (Uncertain Tax Positio
Taxation (Uncertain Tax Positions) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
TAXATION [Abstract] | |||
Beginning balance | $ 181,640 | $ 174,363 | $ 31,138 |
Increases /(decreases) related to prior year tax positions | 7,120 | 7,277 | (1,190) |
Increases related to current year tax positions | 0 | 0 | 144,415 |
Ending balance | 188,760 | 181,640 | 174,363 |
Interest in connection with unrecognized tax benefit | $ 6,000 | $ 8,000 | $ 2,000 |
Commitments and Contingencies_2
Commitments and Contingencies (Contractual Obligation) (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Contractual Obligation [Line Items] | |
2021 | $ 65,905 |
2022 | 14,391 |
2023 | 2,620 |
2024 | 701 |
2025 | 37 |
Thereafter | 0 |
Total Payments Required | 83,654 |
Royalties and expenditures for licensed content of games [Member] | |
Contractual Obligation [Line Items] | |
2021 | 28,423 |
2022 | 7,870 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
Thereafter | 0 |
Total Payments Required | 36,293 |
Purchase of bandwidth [Member] | |
Contractual Obligation [Line Items] | |
2021 | 14,084 |
2022 | 150 |
2023 | 102 |
2024 | 0 |
2025 | 0 |
Thereafter | 0 |
Total Payments Required | 14,336 |
Interest payment commitment [Member] | |
Contractual Obligation [Line Items] | |
2021 | 6,623 |
2022 | 1,458 |
2023 | 1,334 |
2024 | 628 |
2025 | 0 |
Thereafter | 0 |
Total Payments Required | 10,043 |
Operating lease obligations [Member] | |
Contractual Obligation [Line Items] | |
2021 | 4,144 |
2022 | 3,647 |
2023 | 1,165 |
2024 | 73 |
2025 | 37 |
Thereafter | 0 |
Total Payments Required | 9,066 |
Purchase of content and services — others [Member] | |
Contractual Obligation [Line Items] | |
2021 | 6,715 |
2022 | 236 |
2023 | 19 |
2024 | 0 |
2025 | 0 |
Thereafter | 0 |
Total Payments Required | 6,970 |
Purchase of content and services — video [Member] | |
Contractual Obligation [Line Items] | |
2021 | 5,398 |
2022 | 1,006 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
Thereafter | 0 |
Total Payments Required | 6,404 |
Others [Member] | |
Contractual Obligation [Line Items] | |
2021 | 518 |
2022 | 24 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
Thereafter | 0 |
Total Payments Required | $ 542 |
VIEs (VIEs Consolidated within
VIEs (VIEs Consolidated within Sohu Group, Basic Information for Principal VIEs) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Variable Interest Entity [Line Items] | |
Aggregate amount of loans due from related parties | $ 7.6 |
VIEs [Member] | |
Variable Interest Entity [Line Items] | |
Registered capital and PRC statutory reserves | $ 103.9 |
High Century [Member] | Dr. Charles Zhang [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 80.00% |
High Century [Member] | Wei Li [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 20.00% |
Heng Da Yi Tong [Member] | Dr. Charles Zhang [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 80.00% |
Heng Da Yi Tong [Member] | Wei Li [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 20.00% |
Sohu Internet [Member] | High Century [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 100.00% |
Donglin [Member] | Sohu Internet [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 100.00% |
Tianjin Jinhu [Member] | Xiufeng Deng [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 50.00% |
Tianjin Jinhu [Member] | Xuemei Zhang [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 50.00% |
Focus Interactive [Member] | Heng Da Yi Tong [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 100.00% |
Gamease [Member] | High Century [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 100.00% |
Shanghai ICE [Member] | Gamease [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 100.00% |
Guanyou Gamespace [Member] | Changyou Star [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 100.00% |
Sogou Information [Member] | High Century [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 45.00% |
Sogou Information [Member] | Xiaochuan Wang [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 10.00% |
Sogou Information [Member] | Tencent [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 45.00% |
Chengdu Easypay [Member] | Sogou Information [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 100.00% |
VIEs (VIEs Consolidated withi_2
VIEs (VIEs Consolidated within Sohu Group, Financial Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2020 | |
ASSETS: | ||||
Cash and cash equivalents | $ 217,057 | $ 162,662 | ||
Restricted cash | 330,791 | 3,290 | ||
Accounts receivable, net | 87,521 | 126,081 | $ 122,698 | |
Prepaid and other current assets | 106,590 | 97,531 | ||
Short-term investments | 100,745 | 321,483 | ||
Assets held for sale (current) | 1,412,168 | 1,304,621 | ||
Total current assets | 2,254,872 | 2,015,668 | ||
Long-term investments, net | 31,634 | 30,987 | ||
Fixed assets, net | 337,674 | 337,682 | ||
Intangible assets, net | 4,842 | 9,922 | ||
Goodwill | 48,434 | 47,390 | $ 47,638 | |
Other non-current assets | 42,140 | 30,413 | ||
Assets held for sale (non-current) | 0 | 217,680 | ||
Total assets | 2,822,121 | 2,691,864 | $ 2,685,208 | |
LIABILITIES | ||||
Accounts payable | 107,611 | 121,318 | ||
Accrued liabilities | 157,513 | 157,861 | ||
Receipts in advance and deferred revenue | 52,055 | 50,321 | ||
Liabilities held for sale (current) | 416,998 | 453,111 | ||
Total current liabilities | 1,284,730 | 1,100,867 | ||
Long-term tax liabilities | 188,760 | 181,640 | ||
Deferred tax liabilities | 217,593 | 95,904 | ||
Other long-term liabilities | 3,855 | 83 | ||
Liabilities held for sale (non-current) | 0 | 5,686 | ||
Total liabilities | 1,790,140 | 1,384,947 | ||
Net revenue | 749,890 | 673,803 | 690,175 | |
Net income from continuing operations | (36,527) | (98,499) | (121,306) | |
Net loss from discontinued operations | (91,793) | 55,108 | 53,947 | |
Net cash provided by /(used in) continuing operating activities | 163,394 | (18,267) | (52,143) | |
Net cash provided by/(used in) discontinued operating activities | (68,187) | 228,857 | 136,168 | |
Net cash provided by /(used in) operating activities | 95,207 | 210,590 | 84,025 | |
Net cash provided by /(used in) investing activities | 184,393 | (214,814) | 180,146 | |
Net cash provided by/(used in) discontinued investing activities | 235,374 | (228,406) | (639,390) | |
Net cash provided by /(used in) investing activities | 419,767 | (443,220) | (459,244) | |
Net cash provided by continuing financing activities | 101,795 | (479,748) | 96,333 | |
Net cash provided by discontinued financing activities | (8,209) | (33,415) | 1 | |
Net cash provided by financing activities | 93,586 | (513,163) | 96,334 | |
Variable Interest Entity Primary Beneficiary [Member] | ||||
ASSETS: | ||||
Cash and cash equivalents | 47,028 | 40,535 | ||
Restricted cash | 1,211 | 1,132 | ||
Accounts receivable, net | 47,234 | 67,403 | ||
Prepaid and other current assets | 15,385 | 13,586 | ||
Short-term investments | 153 | 0 | ||
Intra-Group receivables due from the Company's subsidiaries | 506,659 | 400,338 | ||
Assets held for sale (current) | 113,011 | 121,347 | ||
Total current assets | 730,681 | 644,341 | ||
Long-term investments, net | 17,307 | 17,488 | ||
Fixed assets, net | 295 | 639 | ||
Intangible assets, net | 3,173 | 6,832 | ||
Goodwill | 33,670 | 32,782 | ||
Other non-current assets | 15,134 | 14,754 | ||
Assets held for sale (non-current) | 0 | 32,244 | ||
Total assets | 800,260 | 749,080 | ||
LIABILITIES | ||||
Accounts payable | 11,145 | 8,595 | ||
Accrued liabilities | 46,888 | 50,913 | ||
Receipts in advance and deferred revenue | 43,076 | 38,754 | ||
Other current liabilities | 37,148 | 31,684 | ||
Intra-Group payables due to the Company's subsidiaries | 332,794 | 300,601 | ||
Liabilities held for sale (current) | 187,712 | 138,303 | ||
Total current liabilities | 658,763 | 568,850 | ||
Long-term tax liabilities | 14,134 | 13,220 | ||
Deferred tax liabilities | 2,014 | 1,998 | ||
Intra-Group payables due to the Company's subsidiaries | 19,338 | 18,599 | ||
Other long-term liabilities | 286 | 0 | ||
Liabilities held for sale (non-current) | 0 | 1,130 | ||
Total liabilities | 694,535 | 603,797 | ||
Net revenue | 583,187 | 511,957 | 499,861 | |
Net income from continuing operations | 41,756 | 19,607 | 1,098 | |
Net loss from discontinued operations | (82,329) | (1,491) | (19,534) | |
Net cash provided by /(used in) continuing operating activities | 5,224 | (2,038) | 18,268 | |
Net cash provided by/(used in) discontinued operating activities | (13,244) | (5,046) | 51,657 | |
Net cash provided by /(used in) operating activities | (8,020) | (7,084) | 69,925 | |
Net cash provided by /(used in) investing activities | 47 | (441) | (1,110) | |
Net cash provided by/(used in) discontinued investing activities | 7,797 | (18,040) | (48,161) | |
Net cash provided by /(used in) investing activities | 7,844 | (18,481) | (49,271) | |
Net cash provided by continuing financing activities | 0 | 0 | 650 | |
Net cash provided by discontinued financing activities | 152 | 8,601 | 0 | |
Net cash provided by financing activities | $ 152 | $ 8,601 | $ 650 |
VIEs (VIEs Consolidated withi_3
VIEs (VIEs Consolidated within Sohu Group, Summary of Significant Agreements Currently in Effect) (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Shareholders of Gamease [Member] | AmazGame [Member] | |
Variable Interest Entity [Line Items] | |
Power of attorney term | 10 years |
Percentage of exchange equity interests due to contributions to registered capital of equity | 100.00% |
Shareholders of Guanyou Gamespace [Member] | Gamespace [Member] | |
Variable Interest Entity [Line Items] | |
Power of attorney term | 10 years |
Percentage of exchange equity interests due to contributions to registered capital of equity | 100.00% |
Tianjin Jinhu Culture Development Co., Ltd ("Tianjin Jinhu") [Member] | Video Tianjin [Member] | |
Variable Interest Entity [Line Items] | |
Exclusive technology consulting and service agreement term | 10 years |
Tianjin Jinhu Culture Development Co., Ltd ("Tianjin Jinhu") [Member] | Shareholders of Tianjin Jinhu [Member] | Video Tianjin [Member] | |
Variable Interest Entity [Line Items] | |
Business operation agreement term | 10 years |
VIEs [Member] | Shareholders of Tianjin Jinhu [Member] | Video Tianjin [Member] | |
Variable Interest Entity [Line Items] | |
Power of attorney term | 10 years |
VIEs [Member] | Shareholders of Sogou Information [Member] | Sogou Technology [Member] | |
Variable Interest Entity [Line Items] | |
Power of attorney term | 10 years |
Beijing Sogou Information Service Co., Ltd.("Sogou Information") [Member] | Sogou Technology [Member] | |
Variable Interest Entity [Line Items] | |
Exclusive technology consulting and service agreement term | 10 years |
Beijing Sogou Information Service Co., Ltd.("Sogou Information") [Member] | Shareholders of Sogou Information [Member] | Sogou Technology [Member] | |
Variable Interest Entity [Line Items] | |
Business operation agreement term | 10 years |
Beijing Gamease Age Digital Technology Co., Ltd. ("Gamease") [Member] | Shareholders of Gamease [Member] | AmazGame [Member] | |
Variable Interest Entity [Line Items] | |
Business operation agreement term | 10 years |
Beijing Guanyou Gamespace Digital Technology Co., Ltd. ("Guanyou Gamespace") [Member] | Shareholders of Guanyou Gamespace [Member] | Gamespace [Member] | |
Variable Interest Entity [Line Items] | |
Business operation agreement term | 10 years |
Beijing Sohu Internet Information Service Co., Ltd. ("Sohu Internet") [Member] | Sohu Era [Member] | |
Variable Interest Entity [Line Items] | |
Exclusive technology consulting and service agreement term | 2 years |
Sohu.com Limited Shareholders_3
Sohu.com Limited Shareholders' Equity (Summary of Sohu.com Limited's Outstanding Shares) (Details) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Balance, beginning of year | 39,269 | ||
Balance, end of year | 39,306 | 39,269 | |
Sohu.com Limited [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Balance, beginning of year | 39,269 | 39,229 | 38,898 |
Issuance: | 37 | 40 | 331 |
Balance, end of year | 39,306 | 39,269 | 39,229 |
Sohu.com Limited Shareholders_4
Sohu.com Limited Shareholders' Equity (Sohu's 2018 Share Incentive Plan, Narrative) (Details) - Sohu.com Limited [Member] - shares | Jul. 02, 2010 | Dec. 31, 2020 | Apr. 02, 2018 |
Sohu 2010 Stock Incentive Plan [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum term of share rights granted under share incentive plan | 10 years | ||
Sohu 2010 Stock Incentive Plan [Member] | Common Stock [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized for issuance | 1,500,000 | ||
Sohu 2018 Share Incentive Plan [Member] | Common Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Plan expiration date | Apr. 30, 2028 | ||
Shares available for grant | 208,280 | ||
Sohu 2018 Share Incentive Plan [Member] | Common Stock [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized for issuance | 1,148,565 |
Sohu.com Limited Shareholders_5
Sohu.com Limited Shareholders' Equity (Sohu's 2018 Share Incentive Plan, Share Option Activity, Narrative) (Details) - USD ($) | 12 Months Ended | |||||||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2020 | Jul. 31, 2019 | Feb. 28, 2019 | Nov. 30, 2017 | Sep. 30, 2017 | May 31, 2016 | Feb. 28, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based compensation expense | $ 14,480,000 | $ 2,350,000 | $ (12,108,000) | |||||||
Sohu.com Limited [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based compensation expense | $ 0 | 395,000 | (1,916,000) | |||||||
Sohu.com Limited [Member] | Sohu 2010 Stock Incentive Plan [Member] | Stock Options [Member] | Common Stock [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of shares under contractually granted share options | 6,000 | 32,000 | 13,000 | 1,068,000 | ||||||
Exercise prices of option granted | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | ||||||
Sohu.com Limited [Member] | Sohu 2018 Share Incentive Plan [Member] | Stock Options [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Installments of share options granted | four equal installments | |||||||||
Award vesting period | 4 years | |||||||||
Number of options granted in period | 112,000 | |||||||||
Total fair value of stock options granted | $ 26,400,000 | |||||||||
Share-based compensation expense | 2,600,000 | 1,900,000 | (5,100,000) | |||||||
Total fair values of share options vested | 1,000,000 | 2,500,000 | 5,000,000 | |||||||
Total intrinsic value of share options exercised | $ 700,000 | $ 600,000 | $ 6,200,000 | |||||||
Sohu.com Limited [Member] | Sohu 2018 Share Incentive Plan [Member] | Stock Options [Member] | Common Stock [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of shares under contractually granted share options | 34,000 | 477,500 | 20,000 | |||||||
Exercise prices of option granted | $ 0.001 | $ 0.001 | $ 0.001 | |||||||
Number of options granted in period | 815,425,000 |
Sohu.com Limited Shareholders_6
Sohu.com Limited Shareholders' Equity (Sohu's 2018 Share Incentive Plan, Share Option Activity) (Details) - Sohu.com Limited [Member] - Sohu 2018 Share Incentive Plan [Member] - Share Options [Member] $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)$ / sharesshares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of Shares, Outstanding, Beginning balance | shares | 128 | |
Number of Shares, Granted | shares | 112 | |
Number of Shares, Exercised | shares | (43) | |
Number of Shares, Forfeited or expired | shares | 0 | |
Number of Shares, Outstanding, Ending balance | shares | 197 | |
Number of Shares, Vested, Ending balance | shares | 197 | |
Number of Shares, Exercisable, Ending balance | shares | 197 | |
Weighted Average Exercise Price, Outstanding, Beginning balance | $ / shares | $ 0.001 | |
Weighted Average Exercise Price, Granted | $ / shares | 0.001 | |
Weighted Average Exercise Price, Exercised | $ / shares | 0.001 | |
Weighted Average Exercise Price, Outstanding, Ending balance | $ / shares | 0.001 | |
Weighted Average Exercise Price, Vested, Ending balance | $ / shares | 0.001 | |
Weighted Average Exercise Price, Exercisable, Ending balance | $ / shares | $ 0.001 | |
Weighted Average Remaining Contractual Life (Years), Outstanding, Ending balance | 6 years 1 month 2 days | |
Weighted Average Remaining Contractual Life (Years), Vested, Ending balance | 6 years 1 month 2 days | |
Aggregate Intrinsic Value, Outstanding, Ending balance | $ | $ 3,147 | [1] |
Weighted Average Remaining Contractual Life (Years), Exercisable, Ending balance | 6 years 1 month 2 days | |
Aggregate Intrinsic Value, Vested, Ending balance | $ | $ 3,147 | [1] |
Aggregate Intrinsic Value, Exercisable, Ending balance | $ | $ 3,147 | [1] |
ADS [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Closing price | $ / shares | $ 15.94 | |
[1] | The aggregated intrinsic value in the preceding table represents the difference between Sohu’s closing ADS price of $15.94 on December 31, 2020 and the nominal exercise price of the options. |
Sohu.com Limited Shareholders_7
Sohu.com Limited Shareholders' Equity (Changyou 2014 Share Incentive Plan, Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | Apr. 17, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Aug. 26, 2019 | Jul. 28, 2016 | Jun. 01, 2015 | Feb. 16, 2015 | Nov. 02, 2014 | Jun. 27, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based compensation expense | $ 14,480 | $ 2,350 | $ (12,108) | |||||||
Changyou 2014 Share Incentive Plan [Member] | Share Options [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of Shares, Granted | 3,732,750 | |||||||||
Share-based compensation expense | $ 4,200 | |||||||||
Total fair values of share options vested | 4,200 | 1,000 | 5,700 | |||||||
Total intrinsic value of share options exercised | $ 100 | 6,600 | 14,900 | |||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Share Options [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Installments of share options granted | four equal installments | |||||||||
Award vesting period | 4 years | |||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | Share Options [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Installments of share options granted | four equal installments | |||||||||
Share Based Compensation Arrangement By Share Based Payment Award Per Share Fixed Price | $ 5.39 | |||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | Share Options [Member] | Changyou Merger [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Exercise Price of Shares | 0.01 | |||||||||
Accrued fixed price, final | 5.39 | |||||||||
Share-based Compensation Arrangements by Share-based Payment Award Options Not Exercisable in Period Conditionally Repurchased Price | 5.39 | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Fixed Price | 5.39 | |||||||||
Consideration Per Share | 5.40 | |||||||||
Share Based Compensation Arrangement By Share Based Payment Award Per Share Fixed Price | 5.39 | |||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Certain members of management and certain other employees [Member] | Share Options [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based compensation expense | $ 7,700 | $ (1,900) | $ (6,500) | |||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Certain members of management and certain other employees [Member] | Class A Ordinary Shares [Member] | Share Options [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Shares reserved for future issuance | 6,000,000 | 2,000,000 | ||||||||
Plan expiration date | Jun. 30, 2024 | |||||||||
Number of shares under contractually granted share options | 3,023,000 | 100,000 | 1,998,000 | |||||||
Exercise Price of Shares | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | |||||
Installments of share options granted | four equal installments | |||||||||
Award vesting period | 4 years | |||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Certain members of management and certain other employees [Member] | Class A Ordinary Shares [Member] | Maximum [Member] | Share Options [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Maximum term of share rights granted under share incentive plan | 10 years | |||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Certain members of management and certain other employees [Member] | Class A restricted share units [Member] | Share Options [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of shares under contractually granted share options | 2,416,000 | |||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Certain members of management and certain other employees [Member] | Class A restricted share units [Member] | Maximum [Member] | Share Options [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Number of Class A restricted share units converted to options | 2,400,000 |
Sohu.com Limited Shareholders_8
Sohu.com Limited Shareholders' Equity (Changyou 2019 Share Incentive Plan) (Details) - USD ($) $ / shares in Units, $ in Thousands | Apr. 17, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Aug. 26, 2019 | Aug. 03, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based compensation expense | $ 14,480 | $ 2,350 | $ (12,108) | |||
Changyou 2019 Share Incentive Plan [Member] | Share Options [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of options granted in period | 477,250 | |||||
Changyou [Member] | Changyou 2019 Share Incentive Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Toal share based compensation expense | $ 4,800 | $ 3,200 | ||||
Total value of share options vested | $ 2,600 | |||||
Changyou [Member] | Changyou 2019 Share Incentive Plan [Member] | Class A ordinary shares [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share based compensation by share based payment arrangement options excercised exercise price per share | $ 5.39 | |||||
Changyou [Member] | Changyou 2019 Share Incentive Plan [Member] | Share Options [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Installments of share options granted | four equal installments | |||||
Award vesting period | 4 years | |||||
Share-based compensation expense | $ 2,600 | |||||
Changyou [Member] | Changyou 2019 Share Incentive Plan [Member] | Share Options [Member] | Class A ordinary shares [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares reserved for issuance | 3,000,000 | |||||
Changyou [Member] | Changyou 2019 Share Incentive Plan [Member] | Share Options [Member] | Class A ordinary shares [Member] | Changyou Merger [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangements by Share-based Payment Award Options Not Exercisable in Period Conditionally Repurchased Price | 5.39 | |||||
Accrued fixed price, initial | 5.39 | |||||
Accrued fixed price, final | $ 5.39 | |||||
Changyou [Member] | Changyou 2019 Share Incentive Plan [Member] | Share Options [Member] | Class A ordinary shares [Member] | Certain members of management and certain other employees [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares under contractually granted share options | 1,909,000 | |||||
Exercise Price of Shares | $ 0.01 |
Sohu.com Limited Shareholders_9
Sohu.com Limited Shareholders' Equity (Sogou 2010 Share Incentive Plan, Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Aug. 22, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | $ 14,480 | $ 2,350 | $ (12,108) | |
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | 7,400 | 13,500 | 12,500 | |
Unrecognized compensation expenses | $ 800 | |||
Unrecognized compensation expenses, weighted average period for recognition (in years) | 1 year 4 months 13 days | |||
Total intrinsic value of share options exercised | $ 23,100 | $ 1,600 | $ 33,200 | |
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Performance-based options [Member] | Share-based Compensation Award, Tranche One [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Installments of share options granted | four equal installments | |||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Performance-based options [Member] | Share-based Compensation Award, Tranche Two [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Installments of share options granted | two to four installments | |||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Service-based options [Member] | Share-based Compensation Award, Tranche One [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Installments of share options granted | four equal installments | |||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Service-based options [Member] | Share-based Compensation Award, Tranche Two [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Installments of share options granted | two to four installments | |||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | IPO-based options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Installments of share options granted | five equal installments | |||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized for issuance | 41,500,000 | |||
Plan expiration date | Oct. 19, 2020 | |||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Maximum term of share rights granted under share incentive plan | 10 years |
Sohu.com Limited Shareholder_10
Sohu.com Limited Shareholders' Equity (Sogou 2010 Share Incentive Plan, Summary of Categories of Share Options) (Details) - Sogou [Member] - Sogou 2010 Share Incentive Plan [Member] shares in Thousands | Dec. 31, 2020shares |
Share Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 40,050 |
Number of shares under granted share options for purposes of share-based compensation expense | 38,307 |
Number of shares under vested and exercisable share options | 35,981 |
Number of shares under exercised share options | 34,411 |
Performance-based options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 30,912 |
Number of shares under granted share options for purposes of share-based compensation expense | 29,169 |
Number of shares under vested and exercisable share options | 28,761 |
Number of shares under exercised share options | 27,772 |
Service-based options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 1,888 |
Number of shares under granted share options for purposes of share-based compensation expense | 1,888 |
Number of shares under vested and exercisable share options | 1,410 |
Number of shares under exercised share options | 829 |
IPO-based options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 7,250 |
Number of shares under granted share options for purposes of share-based compensation expense | 7,250 |
Number of shares under vested and exercisable share options | 5,810 |
Number of shares under exercised share options | 5,810 |
Sohu.com Limited Shareholder_11
Sohu.com Limited Shareholders' Equity (Sogou 2010 Share Incentive Plan, Share Option Activity) (Details) - Sogou [Member] - Sogou 2010 Share Incentive Plan [Member] - Share Options [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
Class A Ordinary Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of Shares, Outstanding, Beginning balance | 7,162 | ||
Number of Shares, Granted | 1,099 | ||
Number of Shares, Exercised | (4,233) | ||
Number of Shares, Forfeited or expired | (132) | ||
Number of Shares, Outstanding, Ending balance | 3,896 | 7,162 | |
Number of Shares, Vested and expected to vest thereafter, Ending balance | 3,395 | ||
Number of Shares, Exercisable, Ending balance | 1,570 | ||
Weighted Average Exercise Price, Outstanding, Beginning balance | $ 0.377 | ||
Weighted Average Exercise Price, Granted | 0.001 | ||
Weighted Average Exercise Price, Exercised | 0.426 | ||
Weighted Average Exercise Price, Forfeited or expired | 0.001 | ||
Weighted Average Exercise Price, Outstanding, Ending balance | 0.232 | $ 0.377 | |
Weighted Average Exercise Price, Vested and expected to vest thereafter, Ending balance | 0.266 | ||
Weighted Average Exercise Price, Exercisable, Ending balance | $ 0.001 | ||
Weighted Average Remaining Contractual Life (Years), Outstanding, Beginning balance | 4 years 4 months 17 days | 4 years 5 months 12 days | |
Weighted Average Remaining Contractual Life (Years), Outstanding, Ending balance | 4 years 4 months 17 days | 4 years 5 months 12 days | |
Weighted Average Remaining Contractual Life (Years), Vested and expected to vest thereafter, Ending balance | 4 years 5 months 15 days | ||
Weighted Average Remaining Contractual Life (Years), Exercisable, Ending balance | 5 years 9 months 7 days | ||
Aggregate Intrinsic Value, Outstanding, Ending balance | [1] | $ 30,850 | |
Aggregate Intrinsic Value, Vested and expected to vest thereafter, Ending balance | [1] | 26,767 | |
Aggregate Intrinsic Value, Exercisable, Ending balance | [1] | $ 12,794 | |
Closing price | $ 8.15 | ||
ADS [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Closing price | $ 8.15 | ||
[1] | The aggregate intrinsic values in the preceding table represent the difference between Sogou’s closing price of $8.15 per Sogou ADS (each representing one Sogou Class A Ordinary Share) on December 31, 2020 and the exercise prices of the share options. |
Sohu.com Limited Shareholder_12
Sohu.com Limited Shareholders' Equity (Sogou 2010 Share Incentive Plan, Share Option Assumptions) (Details) - Sogou [Member] - Share Options [Member] | 12 Months Ended | ||
Dec. 31, 2020shares$ / shares | Dec. 31, 2019shares$ / shares | Dec. 31, 2018shares$ / shares | |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 2 | ||
Expected forfeiture rate (post-vesting) | 0.00% | ||
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 3 | ||
Expected forfeiture rate (post-vesting) | 12.00% | ||
Sogou 2010 Share Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 2 | ||
Expected forfeiture rate (post-vesting) | 0.00% | 12.00% | |
Weighted average expected option life | 4 years | 7 years | 9 years |
Dividend yield | 0.00% | 0.00% | 0.00% |
Weighted average fair value of share options | $ / shares | $ 4.48 | $ 4.05 | $ 12.26 |
Sogou 2010 Share Incentive Plan [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Average risk-free interest rate | 1.21% | 2.60% | 3.36% |
Exercise multiple | 2 | 2 | |
Expected forfeiture rate (post-vesting) | 0.00% | 0.00% | |
Volatility rate | 38.00% | 36.00% | 40.00% |
Sogou 2010 Share Incentive Plan [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Average risk-free interest rate | 1.66% | 2.86% | 3.51% |
Exercise multiple | 3 | 3 | |
Expected forfeiture rate (post-vesting) | 12.00% | ||
Volatility rate | 44.00% | 41.00% | 46.00% |
Sohu.com Limited Shareholder_13
Sohu.com Limited Shareholders' Equity (Sogou 2010 Share Incentive Plan, Share Option Assumptions, Narrative) (Details) - Sogou [Member] - Share Options [Member] - shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 2 | ||
Estimated forfeiture rate | 0.00% | ||
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 3 | ||
Estimated forfeiture rate | 12.00% | ||
Sogou 2010 Share Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 2 | ||
Estimated forfeiture rate | 0.00% | 12.00% | |
Estimated dividend yield | 0.00% | 0.00% | 0.00% |
Sogou 2010 Share Incentive Plan [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 2 | 2 | |
Estimated forfeiture rate | 0.00% | 0.00% | |
Sogou 2010 Share Incentive Plan [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 3 | 3 | |
Estimated forfeiture rate | 12.00% | ||
Sogou 2010 Share Incentive Plan [Member] | Management [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 3 | ||
Sogou 2010 Share Incentive Plan [Member] | Management [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Estimated forfeiture rate | 0.00% | ||
Sogou 2010 Share Incentive Plan [Member] | Key employees [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 2 | ||
Estimated forfeiture rate | 12.00% |
Sohu.com Limited Shareholder_14
Sohu.com Limited Shareholders' Equity (Sogou Inc. Share-based Awards, Sogou 2017 Share Incentive Plan, Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Oct. 31, 2017 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | $ 14,480 | $ 2,350 | $ (12,108) | |
Sogou [Member] | Sogou 2017 Share Incentive Plan [Member] | Share Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | 1,600 | $ 2,400 | $ 1,600 | |
Unrecognized compensation expenses | $ 1,500 | |||
Unrecognized compensation expenses, weighted average period for recognition (in years) | 1 year 8 months 26 days | |||
Sogou [Member] | Sogou 2017 Share Incentive Plan [Member] | Performance-based options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Installments of share options granted | four equal installments | |||
Sogou [Member] | Sogou 2017 Share Incentive Plan [Member] | Service-based options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Installments of share options granted | four equal installments | |||
Sogou [Member] | Sogou 2017 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares for issuance | 28,000,000 | |||
Sogou [Member] | Sogou 2017 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Maximum term of share incentive award granted under share incentive plan | 10 years |
Sohu.com Limited Shareholder_15
Sohu.com Limited Shareholders' Equity (Sogou Inc. Share-based Awards, Sogou 2017 Share Incentive Plan, Summary of Categories of Share Options) (Details) - Sogou [Member] - Sogou 2017 Share Incentive Plan [Member] shares in Thousands | Dec. 31, 2020shares |
Share Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 1,186 |
Number of shares under granted share options for purposes of share-based compensation expense | 1,049 |
Number of shares under vested and exercisable share options | 368 |
Number of shares under exercised share options | 190 |
Performance-based options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 192 |
Number of shares under granted share options for purposes of share-based compensation expense | 55 |
Number of shares under vested and exercisable share options | 44 |
Number of shares under exercised share options | 17 |
Service-based options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 994 |
Number of shares under granted share options for purposes of share-based compensation expense | 994 |
Number of shares under vested and exercisable share options | 324 |
Number of shares under exercised share options | 173 |
Sohu.com Limited Shareholder_16
Sohu.com Limited Shareholders' Equity (Sogou Inc. Share-based Awards, Sogou 2017 Share Incentive Plan, Share Option Activity) (Details) - Sogou [Member] - Sogou 2017 Share Incentive Plan [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
Class A Ordinary Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of Shares, Outstanding, Beginning balance | 798 | ||
Number of Shares, Granted | 425 | ||
Number of Shares, Exercised | (142) | ||
Number of Shares, Forfeited or expired | (222) | ||
Number of Shares, Outstanding, Ending balance | 859 | 798 | |
Number of Shares, Vested and expected to vest thereafter, Ending balance | 680 | ||
Number of Shares, Exercisable, Ending balance | 178 | ||
Weighted Average Exercise Price, Outstanding, Beginning balance | $ 0.001 | ||
Weighted Average Exercise Price, Granted | 0.001 | ||
Weighted Average Exercise Price, Exercised | 0.001 | ||
Weighted Average Exercise Price, Forfeited or expired | 0.001 | ||
Weighted Average Exercise Price, Outstanding, Ending balance | 0.001 | $ 0.001 | |
Weighted Average Exercise Price, Vested and expected to vest thereafter, Ending balance | 0.001 | ||
Weighted Average Exercise Price, Exercisable, Ending balance | $ 0.001 | ||
Weighted Average Remaining Contractual Life (Years), Outstanding, Beginning balance | 8 years 6 months 3 days | 8 years 10 months 24 days | |
Weighted Average Remaining Contractual Life (Years), Outstanding, Ending balance | 8 years 6 months 3 days | 8 years 10 months 24 days | |
Weighted Average Remaining Contractual Life (Years), Vested and expected to vest thereafter, Ending balance | 8 years 5 months 15 days | ||
Weighted Average Remaining Contractual Life (Years), Exercisable, Ending balance | 7 years 11 months 12 days | ||
Aggregate Intrinsic Value, Outstanding, Ending balance | [1] | $ 7,000 | |
Aggregate Intrinsic Value, Vested and expected to vest thereafter, Ending balance | [1] | 5,541 | |
Aggregate Intrinsic Value, Exercisable, Ending balance | [1] | $ 1,451 | |
Closing price | $ 8.15 | ||
ADS [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Closing price | $ 8.15 | ||
[1] | The aggregate intrinsic value in the preceding table represents the difference between the closing price of $8.15 per Sogou ADS (each representing one Class A Ordinary Share) on December 31, 2020 and the exercise prices of the share options. |
Sohu.com Limited Shareholder_17
Sohu.com Limited Shareholders' Equity (Sogou Inc. Share-based Awards, Sogou 2017 Share Incentive Plan, Share Option Assumptions) (Details) - Sogou [Member] - Share Options [Member] | 12 Months Ended | ||
Dec. 31, 2020shares$ / shares | Dec. 31, 2019shares$ / shares | Dec. 31, 2018shares$ / shares | |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 2 | ||
Expected forfeiture rate (post-vesting) | 0.00% | ||
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 3 | ||
Expected forfeiture rate (post-vesting) | 12.00% | ||
Sogou 2017 Share Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise multiple | 2 | ||
Expected forfeiture rate (post-vesting) | 12.00% | ||
Weighted average expected option life | 9 years | 10 years | 10 years |
Dividend yield | 0.00% | 0.00% | 0.00% |
Weighted average fair value of share options | $ / shares | $ 4.95 | $ 4.87 | $ 10.09 |
Sogou 2017 Share Incentive Plan [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Average risk-free interest rate | 1.20% | 2.37% | 3.41% |
Exercise multiple | 2 | 2 | |
Expected forfeiture rate (post-vesting) | 0.00% | 0.00% | |
Volatility rate | 39.00% | 41.00% | 40.00% |
Sogou 2017 Share Incentive Plan [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Average risk-free interest rate | 2.47% | 3.45% | 3.95% |
Exercise multiple | 3 | 3 | |
Expected forfeiture rate (post-vesting) | 12.00% | 12.00% | |
Volatility rate | 42.00% | 42.00% | 46.00% |
Sohu.com Limited Shareholder_18
Sohu.com Limited Shareholders' Equity (Sohu Management Sogou Share Option Arrangement, Narrative) (Details) - USD ($) | Apr. 14, 2011 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Mar. 01, 2011 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | $ 14,480,000 | $ 2,350,000 | $ (12,108,000) | ||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares under contractually granted share options | 8,305,000 | ||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Class A Ordinary Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Sogou's ordinary shares previously held by Sohu | 8,800,000 | ||||
Sogou's newly-issued shares | 3,200,000 | ||||
Sogou's newly-issued shares, price per share | $ 0.625 | ||||
Sogou's newly-issued shares, value | $ 2,000,000 | ||||
Number of shares under contractually granted share options | 8,305,000 | ||||
Installments of share options granted | four equal installments | ||||
Share-based compensation expense | $ 0 | $ 0 | $ 0 | ||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Class A Ordinary Shares [Member] | Minimum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Fixed exercise price of ordinary share | $ 0.001 | ||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Class A Ordinary Shares [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Fixed exercise price of ordinary share | $ 0.625 | ||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Class A Ordinary Shares [Member] | Maximum [Member] | Share Options [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares authorized for issuance | 12,000,000 |
Sohu.com Limited Shareholder_19
Sohu.com Limited Shareholders' Equity (Sohu Management Sogou Share Option Arrangement, Summary of Categories of Share Options) (Details) - Sogou [Member] - Sohu Management Sogou Share Option Arrangement [Member] | Dec. 31, 2020shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 8,305,000 |
Number of shares under granted share options for purposes of share-based compensation expense | 8,305,000 |
Number of shares under vested and exercisable share options | 8,305,000 |
Number of shares under exercised share options | 8,296,000 |
Performance-based options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 8,290,000 |
Number of shares under granted share options for purposes of share-based compensation expense | 8,290,000 |
Number of shares under vested and exercisable share options | 8,290,000 |
Number of shares under exercised share options | 8,290,000 |
Service-based options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares under contractually granted share options | 15,000 |
Number of shares under granted share options for purposes of share-based compensation expense | 15,000 |
Number of shares under vested and exercisable share options | 15,000 |
Number of shares under exercised share options | 6,000 |
Sohu.com Limited Shareholder_20
Sohu.com Limited Shareholders' Equity (Sohu Management Sogou Share Option Arrangement, Share Option Activity) (Details) - Sogou [Member] - Sohu Management Sogou Share Option Arrangement [Member] - Share Options [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
Class A Ordinary Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of Shares, Outstanding, Beginning balance | 9 | ||
Number of Shares, Granted | 0 | ||
Number of Shares, Exercised | 0 | ||
Number of Shares, Forfeited or expired | 0 | ||
Number of Shares, Outstanding, Ending balance | 9 | 9 | |
Number of Shares, Vested, Ending balance | 9 | ||
Number of Shares, Exercisable, Ending balance | 9 | ||
Weighted Average Exercise Price, Outstanding, Beginning balance | $ 0.001 | ||
Weighted Average Exercise Price, Outstanding, Ending balance | 0.001 | $ 0.001 | |
Weighted Average Exercise Price, Vested, Ending balance | 0.001 | ||
Weighted Average Exercise Price, Exercisable, Ending balance | $ 0.001 | ||
Weighted Average Remaining Contractual Life (Years), Outstanding, Beginning balance | 4 years 4 months 17 days | 5 years 4 months 17 days | |
Weighted Average Remaining Contractual Life (Years), Outstanding, Ending balance | 4 years 4 months 17 days | 5 years 4 months 17 days | |
Weighted Average Remaining Contractual Life (Years), Vested, Ending balance | 4 years 4 months 17 days | ||
Weighted Average Remaining Contractual Life (Years), Exercisable, Ending balance | 4 years 4 months 17 days | ||
Aggregate Intrinsic Value, Outstanding, Ending balance | [1] | $ 73 | |
Aggregate Intrinsic Value, Vested, Ending balance | [1] | 73 | |
Aggregate Intrinsic Value, Exercisable, Ending balance | [1] | $ 73 | |
Closing price | $ 8.15 | ||
ADS [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Closing price | $ 8.15 | ||
[1] | The aggregate intrinsic values in the preceding table represent the difference between the closing price of $8.15 per Sogou ADS (each representing one Class A Ordinary Share) on December 31, 2020 and the exercise prices of the options. |
Sohu.com Limited Shareholder_21
Sohu.com Limited Shareholders' Equity (Sogou Inc. Share-based Awards, Option Modification) (Details) - Sogou [Member] - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2018 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2020 | |
Sogou 2010 Share Incentive Plan [Member] | Share Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares under contractually granted share options | 40,050,000 | |||
Number of Class A ordinary shares deemed granted under share options | 38,307,000 | |||
Sogou 2010 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | Early Exercise of Share Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares issued upon the early exercise of options granted | 1,899,000 | |||
Sogou 2010 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | Share Options [Member] | Vesting Condition Change of Share Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares under contractually granted share options | 2,181,192 | |||
Number of Class A ordinary shares not deemed granted under share options | 1,601,427 | |||
Number of Class A ordinary shares deemed granted under share options | 579,765 | |||
Sogou 2010 Share Incentive Plan [Member] | Ordinary Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Incremental fair value | $ 0 | $ 0 | ||
Sohu Management Sogou Share Option Arrangement [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares under contractually granted share options | 8,305,000 | |||
Number of Class A ordinary shares deemed granted under share options | 8,305,000 | |||
Sohu Management Sogou Share Option Arrangement [Member] | Class A Ordinary Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares under contractually granted share options | 8,305,000 | |||
Sohu Management Sogou Share Option Arrangement [Member] | Ordinary Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Incremental fair value | $ 0 | $ 0 | $ 0 |
Sohu.com Limited Shareholder_22
Sohu.com Limited Shareholders' Equity (Sohu Video Share-based Awards, Narrative) (Details) - USD ($) $ in Thousands | Jan. 04, 2012 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | $ 14,480 | $ 2,350 | $ (12,108) | |
Sohu Video [Member] | Sohu Video Share Incentive Plan [Member] | Share Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Plan expiration date | Jan. 3, 2022 | |||
Sohu Video [Member] | Sohu Video Share Incentive Plan [Member] | Ordinary Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares reserved for future issuance | 25,000,000 | |||
Sohu Video [Member] | Sohu Video Share Incentive Plan [Member] | Ordinary Shares [Member] | Share Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares under contractually granted share options | 16,368,200 | |||
Installments of share options granted | four equal installments | |||
Number of shares purchased on vested options | 4,972,800 | |||
Share-based compensation expense | $ (700) | $ (900) | $ (500) | |
Sohu Video [Member] | Sohu Video Share Incentive Plan [Member] | Ordinary Shares [Member] | Share Options [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Maximum term of share rights granted under share incentive plan | 10 years |
Sohu.com Limited Shareholder_23
Sohu.com Limited Shareholders' Equity (Sohu Video Share-based Awards, Share Option Assumptions) (Details) - Sohu Video [Member] - Sohu Video Share Incentive Plan [Member] - Share Options [Member] | 12 Months Ended | |
Dec. 31, 2020shares$ / shares | Dec. 31, 2019shares$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Average risk-free interest rate | 1.11% | 2.44% |
Exercise multiple | shares | 2.8 | 2.8 |
Expected forfeiture rate (post-vesting) | 5.00% | 14.00% |
Weighted average expected option life | 1 year | 2 years |
Volatility rate | 57.30% | 53.90% |
Dividend yield | 0.00% | 0.00% |
Fair value | $ / shares | $ 0.21 | $ 0.35 |
Noncontrolling Interest (Narrat
Noncontrolling Interest (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Apr. 17, 2020 | |
Noncontrolling Interest [Line Items] | ||||
Noncontrolling interest in consolidated balance sheets | $ 684,612 | $ 878,463 | ||
Net income /(loss) attributable to noncontrolling interest in consolidated statements of comprehensive income | (42,208) | 105,945 | $ 92,723 | |
Changyou [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Noncontrolling interest in consolidated balance sheets | $ 1,321 | $ 151,503 | ||
Percentage of noncontrolling interest recognized in consolidated balance sheets | 0.00% | 33.00% | ||
Percentage of ordinary shares held | 100.00% | |||
Net income /(loss) attributable to noncontrolling interest in consolidated statements of comprehensive income | $ 18,448 | $ 46,990 | $ 27,137 | |
Percentage of net income /(loss) attributable to noncontrolling interest recognized in consolidated statements of comprehensive income | 0.00% | 33.00% | 33.00% | |
Sogou [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Noncontrolling interest in consolidated balance sheets | $ 683,291 | $ 726,960 | ||
Percentage of noncontrolling interest recognized in consolidated balance sheets | 66.00% | 66.00% | ||
Net income /(loss) attributable to noncontrolling interest in consolidated statements of comprehensive income | $ (60,656) | $ 58,955 | $ 65,586 |
Noncontrolling Interest (Noncon
Noncontrolling Interest (Noncontrolling Interest in Consolidated Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest in consolidated balance sheets | $ 684,612 | $ 878,463 |
Changyou [Member] | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest in consolidated balance sheets | 1,321 | 151,503 |
Sogou [Member] | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest in consolidated balance sheets | $ 683,291 | $ 726,960 |
Noncontrolling Interest (Nonc_2
Noncontrolling Interest (Noncontrolling Interest in Consolidated Statements of Comprehensive Income /(Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Noncontrolling Interest [Line Items] | |||
Net income/(loss) attributable to noncontrolling interest in consolidated statements of comprehensive income | $ (42,208) | $ 105,945 | $ 92,723 |
Net income from continuing operations attributable to noncontrolling shareholders | 18,448 | 58,223 | 41,732 |
Net income/(loss) from discontinued operations attributable to noncontrolling shareholders | (60,656) | 47,722 | 50,991 |
Changyou [Member] | |||
Noncontrolling Interest [Line Items] | |||
Net income/(loss) attributable to noncontrolling interest in consolidated statements of comprehensive income | 18,448 | 46,990 | 27,137 |
Sogou [Member] | |||
Noncontrolling Interest [Line Items] | |||
Net income/(loss) attributable to noncontrolling interest in consolidated statements of comprehensive income | $ (60,656) | $ 58,955 | $ 65,586 |
Net Income_(Loss) per Share (Na
Net Income/(Loss) per Share (Narrative) (Details) | Apr. 17, 2020$ / shares |
Changyou 2014 and 2019 Share Incentive Plan [Member] | Class A ordinary shares [Member] | Share Options [Member] | Chanyou Merger [Member] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Line Items] | |
Accrued fixed price, initial | $ 5.39 |
Changyou 2014 and 2019 Share Incentive Plan [Member] | Class A ordinary shares [Member] | Share Options [Member] | Changyou [Member] | Chanyou Merger [Member] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Line Items] | |
Accrued fixed price, final | 5.39 |
Accrued fixed price, initial | 5.39 |
Changyou 2014 Share Incentive Plan [Member] | Class A ordinary shares [Member] | Share Options [Member] | Changyou [Member] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Line Items] | |
Weighted Average Exercise Price, Exercised | 5.39 |
Changyou 2014 Share Incentive Plan [Member] | Class A ordinary shares [Member] | Share Options [Member] | Changyou [Member] | Chanyou Merger [Member] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Line Items] | |
Consideration Per Share | 5.40 |
Exercise Price of Shares | 0.01 |
Accrued fixed price, final | 5.39 |
Share-based compensation by share based payment arrangement per share weighted average price per share | 5.39 |
Weighted Average Exercise Price, Exercised | $ 5.39 |
Sohu [Member] | Ordinary Shares [Member] | Changyou [Member] | Chanyou Merger [Member] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Line Items] | |
Percentage of ordinary shares held | 100.00% |
Net Income_(Loss) per Share (Ca
Net Income/(Loss) per Share (Calculation of Sohu Group's Basic and Diluted Net Loss per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Numerator: | |||
Net loss from continuing operations attributable to Sohu.com Limited, basic | $ (54,975) | $ (156,722) | $ (163,038) |
Net income/(loss) from discontinued operations attributable to Sohu.com Limited, basic | (31,137) | 7,386 | 2,956 |
Net loss attributable to Sohu.com Limited, basic | (86,112) | (149,336) | (160,082) |
Effect of dilutive securities: | |||
Net loss from continuing operations attributable to Sohu.com Limited, diluted | (55,365) | (157,282) | (163,659) |
Net income/(loss) from discontinued operations attributable to Sohu.com Limited, diluted | (31,139) | 6,833 | 2,700 |
Net loss attributable to Sohu.com Limited, diluted | $ (86,504) | $ (150,449) | $ (160,959) |
Denominator: | |||
Weighted average basic ordinary shares outstanding | 39,452 | 39,249 | 38,959 |
Effect of dilutive securities: | |||
Share options and restricted share units | 0 | 0 | 0 |
Weighted average diluted ordinary shares outstanding | 39,452 | 39,249 | 38,959 |
Basic net loss per share attributable to Sohu.com Limited | |||
Continuing operations | $ (1.39) | $ (3.99) | $ (4.18) |
Discontinued operations | (0.79) | 0.19 | 0.07 |
Net loss per share | (2.18) | (3.80) | (4.11) |
Diluted net loss per share attributable to Sohu.com Limited | |||
Continuing operations, diluted | (1.40) | (4.01) | (4.20) |
Discontinued operations, diluted | (0.79) | 0.18 | 0.07 |
Net loss per share | $ (2.19) | $ (3.83) | $ (4.13) |
Changyou [Member] | |||
Effect of dilutive securities: | |||
Incremental dilution | $ (392) | $ (507) | $ (381) |
Sogou [Member] | |||
Effect of dilutive securities: | |||
Incremental dilution | $ 0 | $ (606) | $ (496) |
China Contribution Plan (Detail
China Contribution Plan (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
China | |||
Multiemployer Plans [Line Items] | |||
Annual Contributions | $ 59.2 | $ 79.2 | $ 89.9 |
Profit Appropriation (Details)
Profit Appropriation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Profit Appropriation [Line Items] | |||
Total amount of profits contributed to funds | $ 0.4 | $ 10.4 | $ 7.3 |
Total balance of profits contributed to funds | $ 81.1 | $ 80.7 | |
China Foreign Investment Enterprises Law [Member] | Minimum [Member] | |||
Profit Appropriation [Line Items] | |||
Required percentage of after-tax-profit under PRC GAAP to be set aside as a general reserve fund | 10.00% | ||
Required registered capital ratio to de-force compulsory net profit allocation to general reserve fund | 50.00% | ||
China Company Law [Member] | Minimum [Member] | |||
Profit Appropriation [Line Items] | |||
Required percentage of after-tax-profit under PRC GAAP to be set aside as statutory surplus fund | 10.00% | ||
Required registered capital ratio to de-force compulsory net profit allocation to statutory surplus fund | 50.00% |
Concentration Risks (Details)
Concentration Risks (Details) | 12 Months Ended | ||
Dec. 31, 2020USD ($)Institutions | Dec. 31, 2019USD ($)Institutions | Dec. 31, 2018USD ($) | |
Concentration Risk [Line Items] | |||
Revenues | $ 749,890,000 | $ 673,803,000 | $ 690,175,000 |
TLBB [Member] | |||
Concentration Risk [Line Items] | |||
Revenues | 309,700,000 | ||
Legacy TLBB Mobile [Member] | |||
Concentration Risk [Line Items] | |||
Revenues | $ 88,300,000 | ||
Customer Risk [Member] | Total Revenue [Member] | |||
Concentration Risk [Line Items] | |||
Description of concentration risk for operation risk | For the years ended December 31, 2020, 2019 and 2018, there were no revenues from customers that individually represent greater than 10% of the total online advertising revenues. | For the years ended December 31, 2020, 2019 and 2018, there were no revenues from customers that individually represent greater than 10% of the total online advertising revenues. | For the years ended December 31, 2020, 2019 and 2018, there were no revenues from customers that individually represent greater than 10% of the total online advertising revenues. |
Revenues from customers that individually represent greater than 10% of total advertising revenues | $ 0 | $ 0 | $ 0 |
Product Risk [Member] | TLBB [Member] | |||
Concentration Risk [Line Items] | |||
Revenues | 309,700,000 | ||
Product Risk [Member] | Legacy TLBB Mobile [Member] | |||
Concentration Risk [Line Items] | |||
Revenues | $ 88,300,000 | ||
Product Risk [Member] | Total Revenue [Member] | TLBB [Member] | |||
Concentration Risk [Line Items] | |||
Percentage of concentration risk | 41.00% | ||
Product Risk [Member] | Total Revenue [Member] | Legacy TLBB Mobile [Member] | |||
Concentration Risk [Line Items] | |||
Percentage of concentration risk | 12.00% | ||
Product Risk [Member] | Total Revenue [Member] | Changyou [Member] | TLBB [Member] | |||
Concentration Risk [Line Items] | |||
Percentage of concentration risk | 56.00% | ||
Product Risk [Member] | Total Revenue [Member] | Changyou [Member] | Legacy TLBB Mobile [Member] | |||
Concentration Risk [Line Items] | |||
Percentage of concentration risk | 16.00% | ||
Product Risk [Member] | Online Game Revenue [Member] | Changyou [Member] | TLBB [Member] | |||
Concentration Risk [Line Items] | |||
Percentage of concentration risk | 58.00% | ||
Product Risk [Member] | Online Game Revenue [Member] | Changyou [Member] | Legacy TLBB Mobile [Member] | |||
Concentration Risk [Line Items] | |||
Percentage of concentration risk | 16.00% | ||
Credit risk [Member] | Cash and cash equivalents and short-term investments [Member] | |||
Concentration Risk [Line Items] | |||
Percentage of concentration risk | 95.00% | 89.00% | |
Number of financial institutions cash and cash equivalents concentrated held in | Institutions | 22 | 23 | |
Maximum percentage of Sohu's cash and bank deposits in any single financial institution | 59.00% | 19.00% |
Restricted Net Assets (Details)
Restricted Net Assets (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($) | |
RESTRICTED NET ASSETS [Abstract] | |
Portion of net after-tax income to be allocated to statutory surplus reserve fund | 10.00% |
Percentage rate of registered capital, reserve funds reached, appropriation not required | 50.00% |
Restricted net assets, amount | $ 347.4 |
Additional Information - Cond_3
Additional Information - Condensed Financial Information of Sohu.com Inc. (Details) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
ADDITIONAL INFORMATION - CONDENSED FINANCIAL INFORMATION OF REGISTRANT [Abstract] | ||
Material contingencies | no | no |
Significant provisions of long-term obligations | no | no |
Guarantees | no | no |
Additional Information - Cond_4
Additional Information - Condensed Financial Statements (Condensed Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets: | ||||
Cash and cash equivalents | $ 217,057 | $ 162,662 | ||
Prepaid and other current assets | 106,590 | 97,531 | ||
Total current assets | 2,254,872 | 2,015,668 | ||
Other assets | 42,140 | 30,413 | ||
Total assets | 2,822,121 | $ 2,685,208 | 2,691,864 | |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Current liabilities | 1,284,730 | 1,100,867 | ||
Long-term liabilities | 505,410 | 284,080 | ||
Shareholders' equity: | ||||
Ordinary Shares: $0.001 par value per share (75,400 shares authorized; 39,269 shares and 39,306 shares, respectively, issued and outstanding as of December 31, 2019 and 2020) | 39 | 39 | ||
Additional paid-in capital | 952,733 | 948,201 | ||
Accumulated other comprehensive income | 29,189 | 24,351 | ||
Accumulated deficit | (634,592) | $ (550,793) | (544,137) | |
Total Sohu.com Limited shareholders' equity | 347,369 | 428,454 | ||
Total liabilities and shareholders' equity | 2,822,121 | 2,691,864 | ||
Sohu.com Limited [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 586 | 3,756 | $ 16,492 | |
Prepaid and other current assets | 1,609 | 744 | ||
Due from subsidiaries and VIEs | 528,218 | 530,182 | ||
Total current assets | 530,413 | 534,682 | ||
Interests in subsidiaries and VIEs | 0 | 22,093 | ||
Other assets | 27,496 | 27,736 | ||
Total assets | 557,909 | 584,511 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Current liabilities | 1,932 | 3,757 | ||
Deficit of investment in subsidiaries and VIEs | 50,101 | 0 | ||
Long-term liabilities | 158,507 | 152,300 | ||
Total liabilities | 210,540 | 156,057 | ||
Shareholders' equity: | ||||
Ordinary Shares: $0.001 par value per share (75,400 shares authorized; 39,269 shares and 39,306 shares, respectively, issued and outstanding as of December 31, 2019 and 2020) | 39 | 39 | ||
Additional paid-in capital | 952,733 | 948,201 | ||
Accumulated other comprehensive income | 29,189 | 24,351 | ||
Accumulated deficit | (634,592) | (544,137) | ||
Total Sohu.com Limited shareholders' equity | 347,369 | 428,454 | ||
Total liabilities and shareholders' equity | $ 557,909 | $ 584,511 |
Additional Information - Cond_5
Additional Information - Condensed Financial Statements (Condensed Balance Sheets) (Parenthetical) (Details) - $ / shares shares in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Condensed Balance Sheet Statements, Captions [Line Items] | ||||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | ||
Common stock, shares authorized (in shares) | 75,400 | 75,400 | ||
Ordinary Share, shares issued (in shares) | 39,306 | 39,269 | ||
Ordinary Share, shares outstanding (in shares) | 39,306 | 39,269 | ||
Sohu.com Limited [Member] | ||||
Condensed Balance Sheet Statements, Captions [Line Items] | ||||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | ||
Common stock, shares authorized (in shares) | 75,400 | 75,400 | ||
Ordinary Share, shares issued (in shares) | 39,306 | 39,269 | ||
Ordinary Share, shares outstanding (in shares) | 39,306 | 39,269 | 39,229 | 38,898 |
Additional Information - Cond_6
Additional Information - Condensed Financial Statements (Condensed Statements of Comprehensive Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Condensed Statement of Income Captions [Line Items] | |||
Revenues | $ 749,890 | $ 673,803 | $ 690,175 |
Cost of revenues | 217,437 | 243,647 | 289,016 |
Gross profit | 532,453 | 430,156 | 401,159 |
Operating expenses: | |||
General and administrative | 57,354 | 54,591 | 70,129 |
Operating profit/(loss) | 73,371 | (71,197) | (168,392) |
Other income/(expense) | 25,993 | 7,963 | 30,701 |
Interest income | 7,369 | 6,103 | 16,036 |
Income /(loss) before income tax expense /(benefit) | 96,699 | (70,071) | (135,892) |
Income tax expense /(benefit) | 133,226 | 28,428 | (14,586) |
Net loss attributable to Sohu.com Limited | (86,112) | (149,336) | (160,082) |
Other comprehensive income /(loss) | 11,972 | (13,069) | (37,339) |
Comprehensive loss attributable to Sohu.com Limited | (81,274) | (149,704) | (166,074) |
Sohu.com Limited [Member] | |||
Condensed Statement of Income Captions [Line Items] | |||
Revenues | 0 | 0 | 0 |
Cost of revenues | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 |
Operating expenses: | |||
General and administrative | 1,613 | 2,320 | 12,206 |
Operating profit/(loss) | (1,613) | (2,320) | (12,206) |
Share of loss of subsidiaries and VIEs | (77,221) | (184,092) | (232,307) |
Other income/(expense) | (1,083) | 44,738 | 22 |
Interest income | 12 | 225 | 5,865 |
Income /(loss) before income tax expense /(benefit) | (79,905) | (141,449) | (238,626) |
Income tax expense /(benefit) | 6,207 | 7,887 | (78,544) |
Net loss attributable to Sohu.com Limited | (86,112) | (149,336) | (160,082) |
Other comprehensive income /(loss) | 29,189 | 24,351 | (13,494) |
Comprehensive loss attributable to Sohu.com Limited | $ (56,923) | $ (124,985) | $ (173,576) |
Additional Information - Cond_7
Additional Information - Condensed Financial Statements (Condensed Statements of Cash Flows) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | |||
Net loss | $ (128,320) | $ (43,391) | $ (67,359) |
Adjustments to reconcile net loss to net cash provided by operating activities: | |||
Share-based compensation expense /(benefit) | 14,480 | 2,350 | (12,108) |
Others | 390 | 786 | (152) |
Changes in current assets and liabilities: | |||
Prepaid and other current assets | 10,276 | (5,574) | (5,758) |
Tax liabilities | 8,683 | (2,253) | (79,238) |
Accrued liabilities | (3,252) | (22,803) | (34,593) |
Net cash provided by operating activities | 95,207 | 210,590 | 84,025 |
Cash flows from investing activities: | |||
Net cash provided by/(used in) investing activities | 419,767 | (443,220) | (459,244) |
Net increase /(decrease) in cash, cash equivalents, restricted cash, and restricted time deposits | 645,544 | (755,840) | (298,429) |
Cash, cash equivalents, restricted cash and restricted time deposits at beginning of year | 166,192 | 881,999 | |
Cash, cash equivalents, restricted cash and restricted time deposits at end of year | 649,367 | 166,192 | 881,999 |
Reconciliation of cash, cash equivalents, and restricted time deposits to the condensed balance sheets: | |||
Cash and cash equivalents | 217,057 | 162,662 | |
Sohu.com Limited [Member] | |||
Cash flows from operating activities: | |||
Net loss | (86,112) | (149,336) | (160,082) |
Adjustments to reconcile net loss to net cash provided by operating activities: | |||
Investment loss from subsidiaries and VIEs | 77,221 | 184,092 | 232,307 |
Share-based compensation expense /(benefit) | 0 | 395 | (1,916) |
Others | 0 | 0 | (993) |
Changes in current assets and liabilities: | |||
Due from subsidiaries and VIEs | 1,964 | (59,533) | (2,963) |
Prepaid and other current assets | (865) | 425 | (3,996) |
Tax liabilities | 6,207 | 7,886 | (79,569) |
Accrued liabilities | (1,825) | (3,715) | 1,892 |
Net cash provided by operating activities | (3,410) | (19,786) | (15,320) |
Cash flows from investing activities: | |||
Dividend received | 0 | 7,050 | 0 |
Net cash provided by/(used in) investing activities | 0 | 7,050 | 0 |
Net increase /(decrease) in cash, cash equivalents, restricted cash, and restricted time deposits | (3,410) | (12,736) | (15,320) |
Cash, cash equivalents, restricted cash and restricted time deposits at beginning of year | 3,996 | 16,732 | 2,845 |
Cash and cash equivalents, restricted cash and restricted time deposits of Sohu.com Limited at the date of the liquidation of Sohu.com Inc. | 0 | 0 | 29,207 |
Cash, cash equivalents, restricted cash and restricted time deposits at end of year | 586 | 3,996 | 16,732 |
Reconciliation of cash, cash equivalents, and restricted time deposits to the condensed balance sheets: | |||
Cash and cash equivalents | 586 | 3,756 | 16,492 |
Restricted time deposits included in other assets | $ 0 | $ 240 | $ 240 |