Goodwill and Intangible Assets (Tables)

12 Months Ended

Jan. 26, 2014

Schedule of Goodwill and Intangible Assets [Line Items]

Goodwill balances

Changes in the carrying amount of goodwill were as follows:

(in thousands)	Signal Integrity and Timing		Gennum (1)			Advanced Communications (1)			Wireless and Sensing		Total
Balance at January 29, 2012	$	—	$	—		$	116,686		$	12,965	$	129,651
Acquisitions	—		261,891			—			2,042		263,933
Balance as of January 27, 2013	—		261,891			116,686			15,007		393,584
Impairments	—		—			(116,686		)	—		(116,686		)
Transfers	261,891		(261,891		)	—			—		—
Balance as of January 26, 2014	$	261,891	$	—		$	—		$	15,007	$	276,898

(1) In the fourth quarter of fiscal year 2014, the Gennum and Advanced Communications reporting units were integrated to form the new reporting unit Signal Integrity and Timing.

Schedule of discounted cash flow inputs

Specifically, the income approach valuations included the following assumptions:

Discount rate	11.0% - 14.0%
Perpetual growth rate	3.0%
Tax rate	13.4% - 18.0%
Risk-free rate	3.5%
Peer company beta	1.0 - 1.5

Schedule of finite-lived intangible assets

The following table sets forth the Company’s finite-lived intangible assets resulting from business acquisitions and technology licenses purchased, which continue to be amortized:

		January 26, 2014							January 27, 2013
(in thousands)	Estimated Useful Life	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Core technologies	2-10 years	$	146,925	$	(35,357	)	$	111,568	$	173,724	$	(40,867	)	$	132,857
Customer relationships	7-10 years	28,630		(7,505		)	21,125		40,130		(7,736		)	32,394
Technology licenses (1)	5-10 years	3,842		(367		)	3,475		8,164		(1,056		)	7,108
Other intangibles assets	1-5 years	6,600		(5,824		)	776		6,600		(4,601		)	1,999
Total finite-lived intangible assets		$	185,997	$	(49,053	)	$	136,944	$	228,618	$	(54,260	)	$	174,358

(1) Technology licenses relate to licensing agreements entered into by the Company that are used in research and development activities and have alternative future uses. Amortization expense related to technology licenses is reported as “Product development and engineering” in the consolidated statements of operations.

Schedule of finite-lived intangible assets impairment loss

Impairment charges for these items, which resulted in a new basis for the affected intangible assets, are included in the consolidated statements of operations as follows:

(in thousands)	January 26, 2014
Product development and engineering	$	2,354
Intangible asset impairments	29,938
Impairment of finite-lived intangible assets	$	32,292

Additions to finite-lived intangible assets

The following table sets forth the Company's additions to finite-lived intangible assets resulting from purchases, additions from acquisitions, and transfers from IPR&D:

(in thousands)	Gross Carrying Amount
Gross carrying value at January 29, 2012	$	81,030
Purchased intangible assets	5,001
Additions to finite-lived intangible assets from acquisitions	135,987
Transfers from in-process research and development	6,600
Gross carrying value at January 27, 2013	228,618
Purchased intangible assets	833
Reduction of finite-lived intangible assets	(501		)
Transfers from in-process research and development	25,100
Decrease in gross carrying value due to impairment of finite-lived intangible assets	(68,053		)
Gross carrying value at January 26, 2014	$	185,997

Future amortization expense for intangible assets

The estimated annual amount of future amortization expense for finite-lived intangible assets is expected to be as follows:

(in thousands)
To be recognized in:	Core Technologies		Customer relationships		Technology licenses		Other Intangibles		Total
Fiscal year 2015	$	20,919	$	4,149	$	1,226	$	633	$	26,927
Fiscal year 2016	20,919		4,149		1,226		143		26,437
Fiscal year 2017	20,919		4,149		1,023		—		26,091
Fiscal year 2018	20,919		4,130		—		—		25,049
Fiscal year 2019	17,507		4,000		—		—		21,507
Thereafter	10,385		548		—		—		10,933
Total expected amortization expense	$	111,568	$	21,125	$	3,475	$	776	$	136,944

Schedule of indefinite-lived intangible assets

The following table sets forth the Company’s indefinite-lived intangible assets from additions to IPR&D, acquisitions, impairments, and transfers to core technologies:

(in thousands)	Gross Carrying Amount
Net carrying value at January 29, 2012	$	9,900
In-process research and development through acquisitions	29,100
In-process research and development impairment	(700		)
Transfers to core technologies	(6,600		)
Net carrying value at January 27, 2013	$	31,700
In-process research and development impairment	(2,600		)
Transfers to core technologies	(25,100		)
Net carrying value at January 26, 2014	$	4,000

Gennum

Schedule of Goodwill and Intangible Assets [Line Items]

Schedule of fair value of core technologies

As of the date of acquisition, Gennum’s core technology is categorized as follows:

(in thousands)	Fair Value		Estimated Useful Life
Underlying intellectual property - Clock and data recovery	$	31,000	8 years
Video broadcast and surveillance	39,000		7-8 years
Optical communication	21,000		6 years
Other	4,100		6-7 years
Total	$	95,100