Stock-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2011

Stock-Based Compensation [Abstract]

Stock-based compensation costs

The following table summarizes stock-based compensation costs in our Consolidated Statements of Operations for the years ended December 31, 2011, 2010 and 2009 (in thousands):

	Year ended December 31,
	2011		2010		2009
Cost of revenue	$	3,075	$	2,197	$	1,517
Research and development		6,926		5,013		3,846
Selling, general and administrative		10,912		8,329		5,215
Total stock-based compensation recognized in income (loss)		20,913		15,539		10,578
Amount capitalized in inventory		—		10		19
Total stock-based compensation expense	$	20,913	$	15,549	$	10,597

Weighted average assumptions of fair value option grants

Stock Options

The Company estimated the fair value of all employee stock options using a Black-Scholes valuation model with the following weighted average assumptions:

	Year ended December 31,
	2011			2010			2009
Expected term		4.75			4.75			4.75
Volatility		55	%		56	%		60	%
Risk-free interest rate		1.8	%		2.4	%		1.7	%
Expected dividends		0.0	%		0.0	%		0.0	%

	Year ended December 31,
	2011			2010			2009
Expected term		0.50			0.50			0.50
Volatility		45	%		46	%		76	%
Risk-free interest rate		0.2	%		0.4	%		0.5	%
Expected dividends		0.0	%		0.0	%		0.0	%