5. CAPITALIZED SOFTWARE COSTS

Capitalized software costs and accumulated amortization at April 30, 2013 and January 31, 2013 were as follows:

	April 30,			January 31,
	2013			2013
	(in thousands)
Capitalized software costs:
Acquired software technology (1)...............................................................................................................................................................................................................................	$	3,742		$	3,741
Capitalized software development costs (1)...............................................................................................................................................................................................................		1,246			1,253
		4,988			4,994
Less accumulated amortization....................................................................................................................................................................................................................................		(1,059	)		(814	)
Capitalized software costs, net.....................................................................................................................................................................................................................................	$	3,929		$	4,180

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(1)	Acquired software technology and capitalized software development costs include the impact of foreign currency translation.

Acquired software technology costs relate to technology purchased as a result of the Company's fiscal 2013 acquisitions of DynaSys and CEBOS, as described in Note 4 "Business Combinations" within these Notes to Condensed Consolidated Financial Statements. In addition to the acquired software technology, the Company has capitalized costs related to translations and localizations of QAD Enterprise Applications.

Amortization of capitalized software costs was $0.3 million and $0.1 million for the three months ended April 30, 2013 and 2012, respectively. Amortization of capitalized software costs is included in "Cost of license fees" in the accompanying Condensed Consolidated Statements of Operations and Comprehensive Income (Loss).

The following table summarizes the estimated amortization expense relating to the Company's capitalized software costs as of April 30, 2013:

Fiscal Years	(in thousands)
2014 remaining..............................................................................................................................................................................................................................................................................................................	$	864
2015................................................................................................................................................................................................................................................................................................................................		1,033
2016................................................................................................................................................................................................................................................................................................................................		886
2017................................................................................................................................................................................................................................................................................................................................		720
2018................................................................................................................................................................................................................................................................................................................................		426
	$	3,929