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Geographic Information
12 Months Ended
Dec. 31, 2013
Segments, Geographical Areas [Abstract]  
Geographic Information
Segment Information

The Company's business segments are based on the organization structure used by management for making operating and investment decisions and for assessing performance. j2 Global's reportable business segments are: (i) Business Cloud Services; and (ii) Digital Media. Segment accounting policies are the same as described in Note 2 - Basis of Presentation and Summary of Significant Policies.

Information on reportable segments and reconciliation to consolidated income from operations is as follows (in thousands):
 
Years Ended December 31,
 
2013
 
2012
 
2011
Revenue by segment:
 
 
 
 
 
Business Cloud Services
$
390,104

 
$
361,684

 
$
330,159

Digital Media
131,146

 
9,712

 

Elimination of inter-segment revenues
(449
)
 

 

Total revenue
520,801

 
371,396

 
330,159

 
 
 
 
Direct costs by segment(1):
 
 
 
 
 
Business Cloud Services
191,169

 
174,324

 
165,833

Digital Media
124,413

 
6,823

 

Direct costs by segment(1):
315,582

 
181,147

 
165,833

 
 
 
 
 
 
Business Cloud Services operating income
198,935

 
187,360

 
164,326

Digital Media operating income
6,733

 
2,889

 

Segment operating income
205,668

 
190,249

 
164,326

 
 
 
 
 
 
Global operating costs(2)
30,245

 
28,087

 
28,376

Income from operations
$
175,423

 
$
162,162

 
$
135,950

 
 
 
 
 
 
(1) Direct costs for each segment include cost of revenue and other operating expenses that are directly attributable to the segment such as employee compensation expense, local sales and marketing expenses, engineering and operations, depreciation and amortization and other administrative expenses.
(2) Global operating costs include general and administrative and other corporate expenses that are managed on a global basis and that are not directly attributable to any particular segment.


 
2013
 
2012
 
 
Assets:
 
 
 
 
 
Business Cloud Services
$
818,722

 
$
788,828

  
 
Digital Media
333,286

 
204,244

  
 
Total assets from reportable segments
1,152,008

 
993,072

  
 
Corporate
1,781

 
2,098

  
 
Total assets
$
1,153,789

 
$
995,170

  
 
 
 
 
 
 
 
 
2013
 
2012
 
2011
Capital expenditures:
 
 
 
 
 
Business Cloud Services
10,979

 
4,240

 
6,320

Digital Media
6,635

 
380

 

Total from reportable segments
$
17,614

 
$
4,620

 
$
6,320

Corporate
1,012

 
441

 
524

Total capital expenditures
$
18,626

 
$
5,061

 
$
6,844

 
 
 
 
 
 
Depreciation and amortization:
 
 
 
 
 
Business Cloud Services
24,148

 
20,473

 
19,342

Digital Media
14,963

 
1,167

 

Total from reportable segments
$
39,111

 
$
21,640

 
$
19,342

Corporate
677

 
512

 
415

Total depreciation and amortization
$
39,788

 
$
22,152

 
$
19,757



j2 Global maintains operations in the U.S., Canada, Ireland, Japan and other countries. Geographic information about the U.S. and all other countries for the reporting periods is presented below. Such information attributes revenues based on jurisdictions where revenues are reported (in thousands).
 
 
Year Ended December 31,
 
2013
 
2012
 
2011
Revenues:
 

 
 

 
 
United States
$
369,507

 
$
233,585

 
$
203,153

Canada
73,130

 
79,656

 
83,066

Ireland
41,398

 
41,248

 
42,652

All other countries
36,766

 
16,907

 
1,288

Total
$
520,801

 
$
371,396

 
$
330,159

 
December 31,
2013
 
December 31,
2012
Long-lived assets:
 

 
 

United States
$
170,247

 
$
105,549

All other countries
51,675

 
46,554

Total
$
221,922

 
$
152,103



Revenues for the year ended December 31, 2011 reflect a first quarter 2011 change in estimate of the remaining service obligation to eFax® annual subscribers in the amount of $10.3 million which reduced 2011 subscriber revenues predominately in the United States. See Note 2 – Basis of Presentation and Summary of Significant Accounting Policies - for further details.