(3)SEGMENT INFORMATION

During the second quarter of 2019, the Company finalized changes to the Company’s operating strategy and the way in which the Company assesses performance. In accordance with this change, the Company adjusted certain reporting relationships between the Chief Operating Decision Maker (“CODM”) and other members of management, updated the compensation metrics for senior management, and modified the internal financial reporting provided to the CODM and his direct reports consistent with this revised management and measurement structure. Accordingly, during the second quarter of 2019, the Company reevaluated the definition of the operating segments, reportable segments, and reporting units which resulted in a change to the reportable segments. Effective June 30, 2019, the segment information was reported consistent with these updated reportable segments comprised of TTEC Digital and TTEC Engage.

The Company reports the following two segments:

TTEC Digital designs, builds and delivers tech-enabled, insight-based and outcome-driven customer experience solutions through our professional services and suite of technology offerings. These solutions are critical to enabling and accelerating digital transformation for our clients.

Professional Services: Our management consulting practices deliver customer experience strategy, analytics, process optimization, and learning and performance services.

Technology Services: Our technology services design, integrate and operate highly scalable, digital omnichannel technology solutions in the cloud, on premise, or hybrid, including journey orchestration, automation and AI, knowledge management, and workforce productivity.

TTEC Engage provides the essential technologies, human resources, infrastructure and processes to operate customer care, acquisition, and fraud detection and prevention services.

Customer Care Services: Our customer care services provide turnkey contact center solutions, including digital omnichannel technologies, associate recruiting and training, facilities, and operational expertise to create exceptional customer experiences across all touchpoints.

Customer Acquisition Services: Our customer growth and acquisition services optimize the buying journeys for acquiring new customers by leveraging technology and analytics to deliver personal experiences to increase the quantity and quality of leads and customers.

Fraud Prevention Services: Our digital fraud detection and prevention services provide the ability to proactively identify and prevent fraud, and ensure community content moderation and compliance.

The Company allocates to each segment its portion of corporate operating expenses. All intercompany transactions between the reported segments for the periods presented have been eliminated.

The following tables present certain financial data by segment (in thousands):

Three Months Ended September 30, 2019


							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	78,577	$	43	$	78,620	$	2,512	$	11,704
TTEC Engage		316,887		—		316,887		14,147		14,277
Total	$	395,464	$	43	$	395,507	$	16,659	$	25,981

Three Months Ended September 30, 2018


							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	66,849	$	(170)	$	66,679	$	2,316	$	8,469
TTEC Engage		298,257		—		298,257		15,001		6,188
Total	$	365,106	$	(170)	$	364,936	$	17,317	$	14,657

Nine Months Ended September 30, 2019


							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	223,198	$	(206)	$	222,992	$	8,055	$	27,172
TTEC Engage		959,386		—		959,386		42,397		53,774
Total	$	1,182,584	$	(206)	$	1,182,378	$	50,452	$	80,946

Nine Months Ended September 30, 2018


							Depreciation		Income
	Gross		Intersegment		Net		&		from
	Revenue		Sales		Revenue		Amortization		Operations
TTEC Digital	$	169,536	$	(289)	$	169,247	$	6,550	$	20,579
TTEC Engage		920,791		—		920,791		45,502		32,522
Total	$	1,090,327	$	(289)	$	1,090,038	$	52,052	$	53,101


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2018		2019		2018
Capital Expenditures
TTEC Digital	$	318	$	2,105	$	9,714	$	3,447
TTEC Engage		15,692		12,853		34,724		28,394
Total	$	16,010	$	14,958	$	44,438	$	31,841


	September 30, 2019		December 31, 2018
Total Assets
TTEC Digital	$	248,243	$	222,977
TTEC Engage		933,623		831,531
Total	$	1,181,866	$	1,054,508

	September 30, 2019		December 31, 2018
Goodwill
TTEC Digital	$	65,544	$	66,158
TTEC Engage		138,279		138,475
Total	$	203,823	$	204,633

The following table presents revenue based upon the geographic location where the services are provided (in thousands):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2019		2018		2019		2018
Revenue
United States	$	240,863	$	206,433	$	713,561	$	605,024
Philippines		89,876		85,272		274,456		259,919
Latin America		24,454		26,351		73,645		84,073
Europe / Middle East / Africa		15,187		16,112		46,838		50,552
Asia Pacific / India		14,733		15,368		41,713		42,945
Canada		10,394		15,400		32,165		47,525
Total	$	395,507	$	364,936	$	1,182,378	$	1,090,038