Goodwill And Intangible Assets (Tables)

9 Months Ended

Jul. 30, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule Of Goodwill Activity By Reportable Segment

The following table summarizes goodwill activity by reportable segment during the nine months ended July 30, 2016 (in thousands):



	Storage Area Networking (“SAN”) Products			IP Networking Products			Global Services		Total
Balance at October 31, 2015
Goodwill	$	176,325		$	1,414,634		$	155,416	$	1,746,375
Accumulated impairment losses	—			(129,214		)	—		(129,214		)
	176,325			1,285,420			155,416		1,617,161
Acquisitions ⁽¹⁾	—			308,456			398,936		707,392
Tax adjustments ⁽²⁾	(5		)	—			—		(5		)
Translation adjustments	—			(233		)	—		(233		)
Balance at July 30, 2016
Goodwill	176,320			1,722,857			554,352		2,453,529
Accumulated impairment losses	—			(129,214		)	—		(129,214		)
	$	176,320		$	1,593,643		$	554,352	$	2,324,315


⁽¹⁾	The goodwill acquired relates to the acquisitions completed in March 2016 and May 2016. See Note 3, “Acquisitions,” of the Notes to Condensed Consolidated Financial Statements.


⁽²⁾	The goodwill adjustments were primarily a result of tax benefits from the exercise of stock awards of acquired companies.

Schedule of Intangible Assets

The following tables present details of the Company’s intangible assets, excluding goodwill (in thousands, except for weighted-average remaining useful life):



	July 30, 2016
	Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Weighted- Average Remaining Useful Life (In years)
Finite-lived intangible assets:
Trade names	$	45,090	$	1,105	$	43,985	14.71
Core/developed technology ^{(1) (2)}	254,290		23,834		230,456		5.67
Patent portfolio license ⁽³⁾	7,750		1,669		6,081		17.00
Customer relationships	141,110		8,805		132,305		6.52
Non-compete agreements	1,050		904		146		0.46
Patents with broader applications	1,040		92		948		13.63
Total finite-lived intangible assets	450,330		36,409		413,921		6.72
Indefinite-lived intangible assets, excluding goodwill:
IPR&D ⁽¹⁾	21,000		—		21,000
Total indefinite-lived intangible assets, excluding goodwill	21,000		—		21,000
Total intangible assets, excluding goodwill	$	471,330	$	36,409	$	434,921

	October 31, 2015
	Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Weighted- Average Remaining Useful Life (In years)
Finite-lived intangible assets:
Trade names	$	1,090	$	415	$	675	4.36
Core/developed technology	40,530		9,605		30,925		3.49
Patent portfolio license ⁽³⁾	7,750		849		6,901		17.74
Customer relationships	23,110		2,484		20,626		7.18
Non-compete agreements	1,050		664		386		1.17
Patents with broader applications	1,040		40		1,000		14.38
Total finite-lived intangible assets	74,570		14,057		60,513		6.55
Indefinite-lived intangible assets, excluding goodwill:
IPR&D ⁽¹⁾	15,110		—		15,110
Total indefinite-lived intangible assets, excluding goodwill	15,110		—		15,110
Total intangible assets, excluding goodwill	$	89,680	$	14,057	$	75,623

⁽¹⁾

Acquired IPR&D are intangible assets accounted for as indefinite-lived assets until the completion or abandonment of the associated research and development efforts. If the research and development efforts associated with the IPR&D are successfully completed, then the IPR&D intangible assets will be amortized over the estimated useful lives to be determined as of the date the efforts are completed. During the three months ended July 30, 2016, the Company acquired $23.0 million in IPR&D intangible assets in connection with the acquisition of Ruckus. The research and development efforts associated with these IPR&D intangible assets are expected to be completed in fiscal years 2016 and 2017. During the nine months ended July 30, 2016, research and development efforts were completed on $17.1 million of the IPR&D intangible assets, and the completed IPR&D intangible assets are being amortized as core/developed technology over the estimated useful lives of five to seven years.


⁽²⁾	During the nine months ended July 30, 2016, $1.0 million of finite-lived intangible assets became fully amortized and, therefore, were removed from the balance sheet.

⁽³⁾

The patent portfolio license was assigned an estimated useful life that reflects the Company’s consumption of the expected defensive benefits related to this license to certain patents. The method of amortization for the patent portfolio license reflects the Company’s estimate of the pattern in which these expected defensive benefits will be used by the Company and is primarily based on the mix of expiration patterns of the individual patents included in the license.

Schedule Of Amortization Of Intangible Assets Included On Consolidated Statements Of Operations

The amortization of finite-lived intangible assets is included in the following line items of the Company’s Condensed Consolidated Statements of Income as follows (in thousands):



	Three Months Ended				Nine Months Ended
	July 30, 2016		August 1, 2015		July 30, 2016		August 1, 2015
Cost of revenues	$	8,922	$	2,549	$	15,269	$	5,043
General and administrative ⁽¹⁾	271		889		821		1,654
Amortization of intangible assets	5,498		280		7,302		570
Total	$	14,691	$	3,718	$	23,392	$	7,267


⁽¹⁾	The amortization is related to the $7.8 million of perpetual, non-exclusive license to certain patents purchased during the fiscal year ended October 31, 2015.

Schedule Of Estimated Future Amortization Of Intangible Assets

The following table presents the estimated future amortization of finite-lived intangible assets as of July 30, 2016 (in thousands):



Fiscal Year	Estimated Future Amortization
2016 (remaining three months)	$	18,998
2017	72,063
2018	63,562
2019	60,039
2020	59,082
Thereafter	140,177
Total	$	413,921