Segment Information

12 Months Ended

Dec. 31, 2011

Segment Information [Abstract]

Segment Information

13.  Segment Information

FASB Codification Subtopic 280-10, “Segment Reporting” (“ASC 280-10”) establishes standards for reporting information about operating segments. This standard requires segmentation based on the Company's internal organization and reporting of revenue and operating income based upon internal accounting methods. The Company's financial reporting systems present various data for management to operate the business prepared in methods consistent with accounting principles generally accepted in the United States. The segments were defined in order to allocate resources internally.  Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision making group, in deciding how to allocate resources and in assessing performance. The Company's chief operating decision maker is its Chief Executive Officer. For the years ended December 31, 2011 and 2010, the Company has determined that it operated its business in two segments, namely Software and Intellectual Property.

Segment revenue for the years ended December 31, 2011 and 2010 was as follows:

					Increase (Decrease)
	2011		2010		Dollars			Percentage
Software	$	6,584,400	$	6,641,500	$	(57,100	)		(0.9	) %
Intellectual Property		-		875,000		(875,000	)		(100.0	)
Consolidated Total	$	6,584,400	$	7,516,500	$	(932,100	)		(12.4	)

The Company does not analyze revenue based on the geographical location of its customers as to do so would be impractical.

Segment loss from operations for the years ended December 31, 2011 and 2010 was as follows:

	2011			2010
Software	$	(1,183,700	)	$	(341,700	)
Intellectual Property		(801,000	)		(493,900	)
Consolidated Total	$	(1,984,700	)	$	(835,600	)

The Company does not allocate interest and other income, interest and other expense, or income tax to its segments.

As of December 31, 2011 segment fixed assets (long-lived assets) were as follows:

	Cost Basis		Accumulated Depreciation /Amortization			Net
Software	$	1,824,000	$	(1,476,300	)	$	347,700
Intellectual Property		2,839,000		(2,839,000	)		-
Unallocated		39,400		-			39,400
	$	4,702,400	$	(4,315,300	)	$	387,100

The Company does not allocate other assets (long-term), which consist primarily of deposits, to its segments. The Company does not maintain any significant long-lived assets outside of the United States.

Products and services provided by the Software segment include all currently available versions of the GO-Global family of products, OEM private labeling kits, software developer's kits, maintenance contracts, and product training and support. The Intellectual Property segment provides licenses to our intellectual property. The Company's two segments do not engage in cross-segment transactions.