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Segment Information
 6 Months Ended
Jun. 28, 2019
Segment Reporting [Abstract]  
Segment Information
SEGMENT INFORMATION
Operating segments are defined as components of an enterprise that engages in business activities for which separate financial information is available and evaluated by the Company’s Chief Operating Decision Maker (the “CODM”), which for Harmonic is its Chief Executive Officer, in deciding how to allocate resources and assess performance. Based on our internal reporting structure, the Company consists of two operating segments: Video and Cable Access. The operating segments were determined based on the nature of the products offered. The Video segment sells video processing and production and playout solutions and services worldwide to broadcast and media companies, streaming new media companies, cable operators, and satellite and telecommunications (“telco”) Pay-TV service providers. The Cable Access segment sells cable access solutions and related services to cable operators globally.
The following table provides summary financial information by reportable segment (in thousands):

 
Three months ended
 
Six months ended
 
June 28, 2019
 
June 29, 2018
 
June 28, 2019
 
June 29, 2018
Video
 
 
 
 
 
 
 
Revenue
$
71,625

 
$
79,208

 
$
138,801

 
$
150,956

Gross profit
41,444

 
43,558

 
80,046

 
84,784

Operating income
4,459

 
6,239

 
6,427

 
8,234

Cable Access
 
 
 
 
 
 
 
Revenue
$
13,240

 
$
19,952

 
$
26,170

 
$
38,331

Gross profit
4,063

 
9,903

 
9,131

 
18,432

Operating income (loss)
(7,266
)
 
256

 
(13,088
)
 
(1,368
)
Total
 
 
 
 
 
 
 
Revenue
$
84,865

 
$
99,160

 
$
164,971

 
$
189,287

Gross profit
45,507

 
53,461

 
89,177

 
103,216

Operating income (loss)
(2,807
)
 
6,495

 
(6,661
)
 
6,866



A reconciliation of the Company’s consolidated segment operating income (loss) to consolidated loss before income taxes is as follows (in thousands):
 
Three months ended
Six months ended
 
June 28, 2019

June 29, 2018
June 28, 2019

June 29, 2018
Total segment operating income (loss)
$
(2,807
)
 
$
6,495

$
(6,661
)
 
$
6,866

Unallocated corporate expenses
(368
)
 
(746
)
(726
)
 
(2,588
)
Stock-based compensation
(2,510
)
 
(3,012
)
(4,623
)
 
(8,769
)
Amortization of intangibles
(2,079
)
 
(2,095
)
(4,162
)
 
(4,194
)
Loss from operations
(7,764
)
 
642

(16,172
)
 
(8,685
)
Non-operating expense, net
(3,384
)
 
(2,664
)
(6,601
)
 
(5,953
)
Loss before income taxes
$
(11,148
)
 
$
(2,022
)
$
(22,773
)
 
$
(14,638
)


Unallocated Corporate Expenses
Together with amortization of intangibles and stock-based compensation, the Company does not allocate restructuring and related charges, TVN acquisition and integration-related costs, and certain other non-recurring charges to the operating income (loss) for each segment because management does not include this information in the measurement of the performance of the operating segments. A measure of assets by segment is not applicable as segment assets are not included in the discrete financial information provided to the CODM.

Geographic Information
 
Three months ended
Six months ended
 
June 28, 2019

June 29, 2018
June 28, 2019

June 29, 2018
Net Revenue (in thousands) (1)
 
 
 
 
 
 
United States
$
35,710

 
$
40,468

$
65,825

 
$
82,244

Other Countries
49,155

 
58,692

99,146

 
107,043

Total
$
84,865

 
$
99,160

$
164,971

 
$
189,287


(1)  Revenue is attributed to countries based on the location of the customer.

Market Information
 
Three months ended
Six months ended
 
June 28, 2019
 
June 29, 2018
June 28, 2019
 
June 29, 2018
Market (in thousands)
 
 
 
 
 
 
Service Provider
$
43,438

 
$
54,142

$
87,650

 
$
106,359

Broadcast and Media
41,427

 
45,018

77,321

 
82,928

Total
$
84,865

 
$
99,160

$
164,971

 
$
189,287