Goodwill and Intangible Assets (Tables)

6 Months Ended

Apr. 30, 2013

Summary of Goodwill

Goodwill as of April 30, 2013 consisted of the following:

	(in thousands)
Balance at October 31, 2012	$	1,976,987
Adjustment(1)		3,025
Balance at April 30, 2013	$	1,980,012

(1) Adjustments relate to changes in estimates for acquisitions that closed in the prior fiscal year for which the purchase price allocation was still preliminary and effects of foreign currency fluctuations.

Summary of Intangible Assets

Intangible assets as of April 30, 2013 consisted of the following:

	Gross Assets		Accumulated Amortization		Net Assets
	(in thousands)
Core/developed technology	$	373,938	$	194,017	$	179,921
Customer relationships		176,878		59,041		117,837
Contract rights intangible		140,269		61,837		78,432
Covenants not to compete		2,530		2,420		110
Trademarks and trade names		10,877		4,761		6,116
In-process research and development (IPR&D)(1)		10,975		—		10,975
Capitalized software development costs		16,369		12,541		3,828
Total	$	731,836	$	334,617	$	397,219

(1) IPR&D is reclassified to core/developed technology upon completion or is written off upon abandonment.

Intangible assets as of October 31, 2012 consisted of the following:

	Gross Assets		Accumulated Amortization		Net Assets
	(in thousands)
Core/developed technology	$	367,321	$	159,691	$	207,630
Customer relationships		179,657		48,368		131,289
Contract rights intangible		142,641		43,843		98,798
Covenants not to compete		2,530		2,354		176
Trademarks and trade names		10,900		3,793		7,107
In-process research and development (IPR&D)(1)		17,696		—		17,696
Capitalized software development costs		14,581		10,955		3,626
Total	$	735,326	$	269,004	$	466,322

(1) IPR&D is reclassified to core/developed technology upon completion or is written off upon abandonment.

Amortization Expense Related to Intangible Assets

Amortization expense related to intangible assets consisted of the following:

	Three Months Ended April  30,				Six Months Ended April  30,
	2013		2012		2013		2012
	(in thousands)
Core/developed technology	$	17,222	$	16,520	$	34,356	$	27,896
Customer relationships		5,363		4,539		10,736		7,739
Contract rights intangible		9,171		7,175		18,549		9,182
Covenants not to compete		33		70		66		141
Trademarks and trade names		484		300		970		555
Capitalized software development costs(1)		799		746		1,585		1,488
Total	$	33,072	$	29,350	$	66,262	$	47,001

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

Estimated Future Amortization of Intangible Assets

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

Fiscal Year	(in thousands)
Remainder of fiscal 2013	$	63,398
2014		108,230
2015		90,798
2016		57,018
2017		24,949
2018 and thereafter		41,851
IPR&D(1)		10,975
Total	$	397,219

(1) IPR&D projects are estimated to be completed within two years as of April 30, 2013. Amortization will begin upon project completion or the asset will be written off upon abandonment.