Goodwill and Intangible Assets

3 Months Ended

Jan. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill as of January 31, 2016 and October 31, 2015 consisted of the following:



	(in thousands)
As of October 31, 2015	$	2,471,241
Additions	8,904
Adjustments(1)	134
Effect of foreign currency translation	(7,435		)
As of January 31, 2016	$	2,472,844


(1)	Adjustments relate to changes in estimates for acquisitions that closed in the prior fiscal year for which the purchase price allocation was finalized during the reporting period.

Intangible assets as of January 31, 2016 consisted of the following:



	Gross Assets		Accumulated Amortization		Net Assets
	(in thousands)
Core/developed technology	$	595,256	$	397,645	$	197,611
Customer relationships	232,001		121,388		110,613
Contract rights intangible	165,952		150,172		15,780
Covenants not to compete	2,530		2,530		—
Trademarks and trade names	20,729		11,457		9,272
Capitalized software development costs	26,431		22,327		4,104
Total	$	1,042,899	$	705,519	$	337,380

Intangible assets as of October 31, 2015 consisted of the following:



	Gross Assets		Accumulated Amortization		Net Assets
	(in thousands)
Core/developed technology	$	584,293	$	375,395	$	208,898
Customer relationships	231,908		115,170		116,738
Contract rights intangible	165,623		141,763		23,860
Covenants not to compete	2,530		2,530		—
Trademarks and trade names	20,729		10,665		10,064
Capitalized software development costs	25,511		21,412		4,099
Total	$	1,030,594	$	666,935	$	363,659

Amortization expense related to intangible assets consisted of the following:



	Three Months Ended January 31,
	2016		2015
	(in thousands)
Core/developed technology	$	22,256	$	18,009
Customer relationships	6,193		5,748
Contract rights intangible	8,221		7,852
Trademarks and trade names	791		699
Capitalized software development costs(2)	915		906
Total	$	38,376	$	33,214

(2) Amortization of capitalized software development costs is included in cost of license revenue in the unaudited condensed consolidated statements of operations.

The following table presents the estimated future amortization of intangible assets:



Fiscal Year	(in thousands)
Remainder of fiscal 2016	$	91,536
2017	90,821
2018	65,607
2019	42,487
2020	28,506
2021 and thereafter	18,423
Total	$	337,380

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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