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Segment and Geographic Information (Tables)
6 Months Ended
Jun. 30, 2017
Segment Reporting Information [Line Items]  
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block]
Information on reportable segments and reconciliation to consolidated income from operations is as follows (in thousands):
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2017
 
2016
 
2017
 
2016
Revenues by segment:
 
 
 
 
 
 
 
Business Cloud Services
$
144,709

 
$
142,460

 
$
286,254

 
$
280,599

Digital Media
128,474

 
69,385

 
241,605

 
131,794

Elimination of inter-segment revenues
(9
)
 
(45
)
 
(16
)
 
(91
)
Total revenues
273,174

 
211,800

 
527,843

 
412,302

 
 
 
 
 
 
 
 
Direct costs by segment(1):
 
 
 
 
 
 
 
Business Cloud Services
86,610

 
89,987

 
171,854

 
177,849

Digital Media
118,335

 
57,835

 
234,968

 
112,511

Direct costs by segment(1):
204,945

 
147,822

 
406,822

 
290,360

 
 
 
 
 
 
 
 
Business Cloud Services operating income(2)
58,099

 
52,473

 
114,400

 
102,750

Digital Media operating income
10,139

 
11,550

 
6,637

 
19,283

Segment operating income
68,238

 
64,023

 
121,037

 
122,033

 
 
 
 
 
 
 
 
Global operating costs(2)
9,678

 
5,078

 
14,502

 
9,750

Income from operations
$
58,560

 
$
58,945

 
$
106,535

 
$
112,283

 
 
 
 
 
 
 
 
(1) Direct costs for each segment include cost of revenues and other operating expenses that are directly attributable to the segment, such as employee compensation expense, local sales and marketing expenses, engineering and network operations expense, 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.
Schedule of Segment Reporting Information, by Segment [Table Text Block]
 
 
June 30, 2017
 
December 31, 2016
 
Assets:
 
 
 
 
Business Cloud Services
$
1,421,170

 
$
911,327

 
Digital Media (1)
1,101,684

 
1,124,535

 
Total assets from reportable segments
2,522,854

 
2,035,862

 
Corporate
4,807

 
26,466

 
Total assets
$
2,527,661

 
$
2,062,328

 
(1) Assets of $35.5 million classified as held for sale were included within Digital Media at June 30, 2017.
 
 
 
Six Months Ended June 30,
 
 
2017
 
2016
 
Capital expenditures:
 
 
 
 
Business Cloud Services
$
2,804

 
$
2,087

 
Digital Media
16,141

 
7,099

 
Total from reportable segments
18,945

 
9,186

 
Corporate

 

 
Total capital expenditures
$
18,945

 
$
9,186


 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2017
 
2016
 
2017
 
2016
Depreciation and amortization:
 
 
 
 
 
 
 
Business Cloud Services
$
17,189

 
$
21,251

 
$
33,953

 
$
38,752

Digital Media
22,714

 
9,808

 
45,272

 
19,481

Total from reportable segments
39,903

 
31,059

 
79,225

 
58,233

Corporate

 

 

 

Total depreciation and amortization
$
39,903

 
$
31,059

 
$
79,225

 
$
58,233



The Company’s Business Cloud Services segment consists of several services which have similar economic characteristics, including the nature of the services and their production processes, the type of customers, as well as the methods used to distribute these services.

j2 Global groups its Business Cloud services into three main categories based on the similarities of these services: Cloud Connect, Cloud Services and Intellectual Property. Cloud Connect consists of our Fax and Voice services. Cloud Services consist of Backup, Email Security, Email Marketing and Web Hosting.
 
 
Three Months Ended June 30, 2017
 
Six Months Ended June 30, 2017
 
Revenue
 
Depreciation and Amortization
 
Operating Income
 
Revenue
 
Depreciation and Amortization
 
Operating Income
 
 
 
 
 
 
 
 
 
 
 
 
Cloud Connect
(Fax/Voice)
$
95,667

 
$
6,081

 
$
44,942

 
$
189,300

 
$
11,963

 
$
89,381

Cloud Services
47,763

 
9,847

 
13,375

 
94,476

 
19,382

 
25,791

Intellectual Property
1,279

 
1,261

 
(218
)
 
2,478

 
2,608

 
(772
)
   Total
$
144,709

 
$
17,189

 
$
58,099

 
$
286,254

 
$
33,953

 
$
114,400



 
Three Months Ended June 30, 2016
 
Six Months Ended June 30, 2016
 
Revenue
 
Depreciation and Amortization
 
Operating Income
 
Revenue
 
Depreciation and Amortization
 
Operating Income
 
 
 
 
 
 
 
 
 
 
 
 
Cloud Connect
(Fax/Voice)
$
92,858

 
$
7,575

 
$
42,574

 
$
183,102

 
$
13,145

 
$
83,094

Cloud Services
48,509

 
12,184

 
10,650

 
95,228

 
22,501

 
21,624

Intellectual Property
1,093

 
1,492

 
(751
)
 
2,269

 
3,106

 
(1,968
)
   Total
$
142,460

 
$
21,251

 
$
52,473

 
$
280,599

 
$
38,752

 
$
102,750

Summary On Revenues And Long-Lived Assets By Geographic Areas
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).
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2017
 
2016
 
2017
 
2016
Revenues:
 
 
 
 
 
 
 
United States
$
202,493

 
$
144,475

 
$
388,255

 
$
282,113

Canada
19,351

 
18,900

 
38,752

 
37,266

Ireland
18,479

 
18,595

 
36,380

 
36,449

All other countries
32,851

 
29,830

 
64,456

 
56,474

 
$
273,174

 
$
211,800

 
$
527,843

 
$
412,302


 
June 30,
2017
 
December 31,
2016
Long-lived assets:
 
 
 
United States
$
425,118

 
$
453,053

All other countries
93,207

 
93,430

Total
$
518,325

 
$
546,483