Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

The changes in the carrying amount of goodwill for the year ended December 31, 2017 were as follows (in thousands):



	TASER Weapons		Software and Sensors		Total
Balance, January 1, 2017	$	562	$	9,880	$	10,442
Goodwill acquired	825		3,505		4,330
Purchase accounting adjustments	—		23		23
Foreign currency translation adjustments	66		66		132
Balance, December 31, 2017	$	1,453	$	13,474	$	14,927

Intangible assets (other than goodwill) consisted of the following (in thousands):



		December 31, 2017							December 31, 2016
	Useful Life	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Amortized (definite-lived intangible assets):
Domain names	5-10 years	$	3,161	$	(428	)	$	2,733	$	3,161	$	(125	)	$	3,036
Issued patents	4-15 years	2,697		(913		)	1,784		1,942		(780		)	1,162
Issued trademarks	3-11 years	860		(397		)	463		655		(320		)	335
Customer relationships	4-8 years	1,377		(451		)	926		914		(240		)	674
Non-compete agreements	3-4 years	556		(346		)	210		465		(236		)	229
Developed technology	3-7 years	13,469		(3,956		)	9,513		8,661		(824		)	7,837
Re-acquired distribution rights	2 years	2,133		(711		)	1,422		—		—			—
Total amortized		24,253		(7,202		)	17,051		15,798		(2,525		)	13,273
Not amortized (indefinite-lived intangible assets:
TASER trademark		900					900		900					900
Patents and trademarks pending		872					872		1,045					1,045
Total not amortized		1,772					1,772		1,945					1,945
Total intangible assets		$	26,025	$	(7,202	)	$	18,823	$	17,743	$	(2,525	)	$	15,218

Amortization expense of intangible assets was $4.7 million, $0.9 million and $0.8 million for the years ended December 31, 2017, 2016 and 2015, respectively. Estimated amortization for intangible assets with definitive lives for the next five years ended December 31, and thereafter, is as follows (in thousands):



2018	$	5,415
2019	3,868
2020	2,401
2021	2,266
2022	834
Thereafter	2,267
Total	$	17,051

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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