XML 43 R32.htm IDEA: XBRL DOCUMENT v3.5.0.2
Goodwill and Identified Intangible Assets (Tables)
9 Months Ended
Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]  
Changes in Carrying Amount of Goodwill
The following table presents goodwill by reportable segments (in thousands):
 
Video
 
Cable Edge
 
Total
As of December 31, 2015
$
136,904

 
$
60,877

 
$
197,781

Preliminary estimate of goodwill from TVN acquisition
41,670

 

 
41,670

Foreign currency translation adjustment
515

 
(86
)
 
429

As of September 30, 2016
$
179,089

 
$
60,791

 
$
239,880

Summary of Goodwill and Identified Intangible Assets
The following is a summary of intangible assets (in thousands):
 
 
 
September 30, 2016
 
December 31, 2015
 
Weighted Average Remaining Life (Years)
 
Gross Carrying
Amount
 
Accumulated
Amortization
 
Net Carrying
Amount
 
Gross Carrying
Amount
 
Accumulated
Amortization
 
Net Carrying
Amount
Developed core technology
3.4
 
$
33,057

 
$
(14,112
)
 
$
18,945

 
$
10,987

 
$
(10,987
)
 
$

Customer relationships/contracts
4.4
 
44,659

 
(31,004
)
 
13,655

 
29,200

 
(25,752
)
 
3,448

Trademarks and trade names
3.4
 
610

 
(89
)
 
521

 

 

 

Maintenance agreements and related relationships
N/A
 
5,500

 
(5,500
)
 

 
5,500

 
(4,851
)
 
649

Order Backlog
N/A
 
3,661

 
(3,661
)
 

 

 

 

Total identifiable intangibles
 
 
$
87,487

 
$
(54,366
)
 
$
33,121

 
$
45,687

 
$
(41,590
)
 
$
4,097

Amortization Expense for Identifiable Purchased Intangible Assets
Amortization expense for the identifiable purchased intangible assets for the three and nine months ended September 30, 2016 and October 2, 2015 was allocated as follows (in thousands):
 
Three months ended
 
Nine months ended
 
September 30,
2016
 
October 2,
2015
 
September 30,
2016
 
October 2,
2015
Included in cost of revenue
$
1,380

 
$
86

 
$
3,105

 
$
633

Included in operating expenses
3,009

 
1,446

 
9,606

 
4,338

Total amortization expense
$
4,389

 
$
1,532

 
$
12,711

 
$
4,971

Estimated Future Amortization Expense of Purchased Intangible Assets
The estimated future amortization expense of purchased intangible assets with definite lives is as follows (in thousands):
 
Cost of Revenue
 
Operating
Expenses
 
Total
Year ended December 31,
 
 
 
 
 
2016 (remaining three months)
$
1,380

 
$
811

 
$
2,191

2017
5,517

 
3,244

 
8,761

2018
5,517

 
3,244

 
8,761

2019
5,517

 
3,244

 
8,761

2020
1,014

 
3,117

 
4,131

Thereafter

 
516

 
516

Total future amortization expense
$
18,945

 
$
14,176

 
$
33,121