Capitalized Software Development Costs

3 Months Ended

Mar. 31, 2018

(5) Capitalized Software Development Costs

Capitalized software development costs consisted of the following (in thousands):

				As of March 31, 2018
	Gross carrying amount		Amortization period	Accumulated amortization			Net carrying amount
Capitalized software development costs	$	39,006	3 years	$	(28,251	)	$	10,755
Total capitalized software development costs	$	39,006		$	(28,251	)	$	10,755

				As of December 31, 2017
	Gross carrying amount		Amortization period	Accumulated amortization			Net carrying amount
Capitalized software development costs	$	36,899	3 years	$	(26,894	)	$	10,005
Total capitalized software development costs	$	36,899		$	(26,894	)	$	10,005

The Company capitalized software development costs of $2.1 million and $1.5 million for the three months ended March 31, 2018 and March 31, 2017, respectively.

Amortization expense for capitalized software development costs was $1.4 million and $1.5 million for the three months ended March 31, 2018 and 2017, respectively. Amortization of capitalized software development costs is classified within cost of revenue in the consolidated statements of operations.

The expected amortization of capitalized software development costs, as of March 31, 2018, for each of the following years is as follows (in thousands):

	Amounts
2018 (for the remaining nine months)	$	4,121
2019		4,124
2020		2,127
2021		383
	$	10,755