GOODWILL AND PURCHASED INTANGIBLE ASSETS

12 Months Ended

Apr. 02, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND PURCHASED INTANGIBLE ASSETS

GOODWILL AND PURCHASED INTANGIBLE ASSETS

Goodwill

The carrying amount of goodwill allocated to the Company's reportable segments is as follows:

(in thousands)	Products Reportable Segment		Services Reportable Segment		Total Consolidated
Balance as of April 2, 2022 and April 3, 2021(1)	$	628,968	$	167,248	$	796,216

(1) Goodwill is net of accumulated impairment losses of $427.2 million and $56.5 million related to the Products segment and Services segment, respectively.

During the fourth quarters of Fiscal Year 2022 and 2021, the Company performed an initial assessment of qualitative factors to determine whether the existence of events and circumstances lead to a determination that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount. After assessing the totality of relevant events and circumstances, the Company determined that it is more-likely-than-not that the fair value of all reporting units exceed carrying value. Therefore, no further impairment testing was performed and no impairment charges were recognized.

Purchased Intangibles, net

Purchased Intangibles, net consists primarily of existing technology, customer relationships, and trade names acquired in business combinations. Intangible assets with finite lives are reviewed for recoverability whenever events or changes in circumstances indicate that the carrying amount of the related asset group may not be recoverable. No impairment charges were recognized in Fiscal Year 2022 and in Fiscal Year 2021.

As of April 2, 2022 and April 3, 2021, the carrying value of purchased intangibles, excluding fully amortized assets and goodwill, is as follows:

	April 2, 2022							April 3, 2021
(in thousands)	Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Weighted Average Remaining Useful Life	Gross Carrying Value		Accumulated Amortization		Net Carrying Amount
Existing technology	$	429,923	$	(342,103)	$	87,820	1.4 years	$	427,123	$	(277,071)	$	150,052
Customer relationships	240,024		(164,799)		75,225		2.3 years	240,024		(128,740)		111,284
Trade names/Trademarks	115,600		(48,167)		67,433		5.3 years	115,600		(35,322)		80,278
Total intangible assets	$	785,547	$	(555,069)	$	230,478	2.8 years	$	782,747	$	(441,133)	$	341,614

Intangibles are amortized on a straight-line basis over the respective estimated useful lives of the assets. Amortization is charged to cost of revenues and operating expenses in the consolidated statements of operations. The Company recognized $113.9 million and $124.9 million of amortization expense in Fiscal Year 2022 and Fiscal Year 2021, respectively.

As of April 2, 2022, expected amortization expense attributable to purchased intangible assets for each of the next five years and thereafter is as follows:

in thousands	Amount
2023	$	112,165
2024	66,869
2025	22,544
2026	12,844
2027	12,844
Thereafter	3,212
Total	$	230,478