Segment Reporting and Significant Concentration

12 Months Ended

Dec. 31, 2015

Segment Reporting [Abstract]

Segment Reporting and Significant Concentration

3. Segment Reporting and Significant Concentration

Segment Information. We have evaluated how our chief operating decision maker has organized our company for purposes of making operating decisions and assessing performance, and have concluded that as of December 31, 2015, we have one reportable segment.

Products and Services. Our products and services help companies with complex transaction-centric business models manage the opportunities and challenges associated with accurately capturing, managing, generating, and optimizing the revenue associated with the immense volumes of customer interactions and then manage the intricate nature of those customer relationships. Our core billing and customer care platform, Advanced Convergent Platform (“ACP”), is a pre-integrated cloud-based platform. We generate a substantial percentage of our revenues by providing our ACP processing and customer interaction management solutions, and related software products (e.g., Advanced Customer Service Representative, Workforce Express, etc.) to the North American cable and satellite markets. Additionally, we license certain software products (e.g., WBMS, TSM, and Singleview) and provide our professional services to implement, configure and maintain these software products, and allow clients to effectively roll out new products as well as attract and retain customers.

Geographic Regions. For 2015 and 2014, 84% and 85%, respectively, of our revenues were attributable to our operations in the Americas. We use the location of the client as the basis of attributing revenues to individual regions.

Financial information relating to our operations by geographic region is as follows (in thousands):

Total Revenues:

	2015		2014		2013
Americas (principally the U.S.)	$	634,389	$	636,482	$	633,163
Europe, Middle East and Africa (principally Europe)		78,711		79,535		80,527
Asia Pacific		39,420		35,269		33,778
Total revenues	$	752,520	$	751,286	$	747,468

Property and Equipment:	As of December 31,
	2015		2014
Americas (principally the U.S.)	$	29,052	$	31,912
Europe, Middle East and Africa		3,879		3,618
Asia Pacific		3,061		2,796
Total property and equipment	$	35,992	$	38,326

Significant Clients and Industry Concentration. A large percentage of our historical revenues have been generated from our largest clients, which are Comcast Corporation (“Comcast”), DISH Network Corporation (“DISH”), and Time Warner Cable Inc. (“Time Warner”).

Revenues from these clients represented the following percentages of our total revenues for the following years:

	2015			2014			2013
Comcast		24	%		22	%		19	%
DISH		14	%		15	%		15	%
Time Warner		12	%		11	%		11	%

As of December 31, 2015 and 2014, the percentage of net billed accounts receivable balances attributable to these clients were as follows:

	As of December 31,
	2015			2014
Comcast		30	%		21	%
DISH		13	%		13	%
Time Warner		8	%		12	%

We expect to continue to generate a significant percentage of our future revenues from a limited number of clients, including Comcast, DISH, and Time Warner. There are inherent risks whenever a large percentage of total revenues are concentrated with a limited number of clients. Should a significant client: (i) terminate or fail to renew their contracts with us, in whole or in part for any reason; (ii) significantly reduce the number of customer accounts processed on our solutions, the price paid for our services, or the scope of services that we provide; or (iii) experience significant financial or operating difficulties, it could have a material adverse effect on our financial position and results of operations.