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Intangible Assets
 12 Months Ended
Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets
6.
Intangible Assets
 
 
Our intangible assets are comprised of indefinite- and finite-lived intangible assets. We own the rights to both 3MHz of ATG spectrum in the nationwide 800 MHz Commercial Air-Ground Radiotelephone band (the “3 MHz FCC License”), which is used in the operation of our ATG network, and the license for 1 MHz of ATG spectrum in the nationwide 800MHz Commercial Air-Ground Radiotelephone band (“1 MHz FCC License”) acquired in the Airfone Acquisition. Together we refer to the 3 MHz FCC License and the 1 MHz FCC License as the “FCC Licenses.” While the FCC Licenses were issued with 10-year terms, such licenses are subject to renewal by the FCC, and renewals of licenses held by others have occurred routinely and at nominal cost. Moreover, we have determined that there are currently no legal, regulatory, contractual, competitive, economic, or other factors that limit the useful life of the FCC Licenses. As a result, the FCC Licenses are treated as indefinite-lived intangible assets which we do not amortize. We reevaluate the useful life of the FCC Licenses each year to determine whether events and circumstances continue to support an indefinite useful life. Our annual impairment assessment of the FCC Licenses for 2018, 2017, and 2016 indicated no impairment.
Our software relates to the development of internal use software which is used to run our network and support our service offerings. Software also includes software embedded in the equipment that we sell to our customers.
Our goodwill balance, all of which related to our BA segment, was $0.6 million as of December 31, 2018 and 2017.
Our intangible assets, other than goodwill, as of December 31, 2018 and 2017 were as follows (
in thousands, except for weighted average remaining useful life
):
 
 
 
 Weighted
 
 
As of December 31, 2018
 
 
As of December 31, 2017
 
 
 
Average

Remaining

Useful Life

(in years)
 
 
Gross

Carrying

Amount
 
 
Accumulated

Amortization
 
 
Net

Carrying

Amount
 
 
Gross

Carrying

Amount
 
 
Accumulated

Amortization
 
 
Net

Carrying

Amount
 
Amortized intangible assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Software
 
 
2.3
 
 
$
164,580
 
 
$
(116,873
)
 
$
47,707
 
 
$
145,063
 
 
$
(93,523
)
 
$
51,540
 
Service customer relationships
 
 
1.3
 
 
 
8,081
 
 
 
(6,804
)
 
 
1,277
 
 
 
8,081
 
 
 
(5,788
)
 
 
2,293
 
Other intangible assets
 
 
5.7
 
 
 
3,000
 
 
 
(1,396
)
 
 
1,604
 
 
 
1,500
 
 
 
(1,103
)
 
 
397
 
OEM and dealer relationships
 
 
 
 
 
 
6,724
 
 
 
(6,724
)
 
 
—
 
 
 
6,724
 
 
 
(6,724
)
 
 
—
 
Total amortized intangible assets
 
 
 
 
 
 
182,385
 
 
 
(131,797
)
 
 
50,588
 
 
 
161,368
 
 
 
(107,138
)
 
 
54,230
 
Unamortized intangible assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
FCC Licenses
 
 
 
 
 
 
32,283
 
 
 
—
 
 
 
32,283
 
 
 
32,283
 
 
 
—
 
 
 
32,283
 
Total intangible assets
 
 
 
 
 
$
214,668
 
 
$
(131,797
)
 
$
82,871
 
 
$
193,651
 
 
$
(107,138
)
 
$
86,513
 
Amortization expense for the years ended December 31, 2018, 2017 and 2016 was $26.5 million, $24.9 million and $21.6 million, respectively.
Amortization expense for each of the next five years and thereafter is estimated to be as follows (
in thousands
):
 
Years ending December 31,
 
Amortization

Expense
 
2019
 
$
22,037
 
2020
 
$
14,421
 
2021
 
$
9,598
 
2022
 
$
2,674
 
2023
 
$
999
 
Thereafter
 
$
859
 
 
Actual future amortization expense could differ from the estimated amount as the result of future investments and other factors.