Stock-Based Compensation

9 Months Ended

Jul. 29, 2017

Share-based Compensation, Allocation and Classification in Financial Statements [Abstract]

Stockholders' Equity and Stock-Based Compensation

Stock-Based Compensation

Stock-based compensation expense, net of estimated forfeitures, is included in the following line items of the Company’s Condensed Consolidated Statements of Operations as follows (in thousands):



	Three Months Ended				Nine Months Ended
	July 29, 2017		July 30, 2016		July 29, 2017		July 30, 2016
Cost of revenues	$	3,233	$	5,965	$	12,117	$	12,400
Research and development	6,340		9,206		25,045		19,805
Sales and marketing	8,503		17,756		35,097		39,886
General and administrative	5,709		11,716		23,329		21,384
Total stock-based compensation expense	$	23,785	$	44,643	$	95,588	$	93,475

The following table presents stock-based compensation expense, net of estimated forfeitures, by grant type (in thousands):



	Three Months Ended				Nine Months Ended
	July 29, 2017		July 30, 2016		July 29, 2017		July 30, 2016
Stock options	$	369	$	3,291	$	1,665	$	4,727
RSUs, including restricted stock units with market conditions	23,416		35,604		76,401		75,986
Employee stock purchase plan (“ESPP”) ⁽¹⁾	—		5,748		17,522		12,762
Total stock-based compensation expense	$	23,785	$	44,643	$	95,588	$	93,475


⁽¹⁾	The ESPP stock-based compensation expense recognized in the nine months ended July 29, 2017, includes the acceleration of all of the unamortized expense in the first quarter of fiscal year 2017 due to the suspension of the Company’s ESPP without concurrent replacement as required under the terms of the merger agreement with Broadcom.

The following table presents the unrecognized compensation expense, net of estimated forfeitures, by grant type and the related weighted-average periods over which this expense is expected to be recognized as of July 29, 2017 (in thousands, except for the weighted-average period):



	Unrecognized Compensation Expense		Weighted- Average Period (In years)
Stock options	$	410	0.66
RSUs, including restricted stock units with market conditions	$	104,843	1.76

The following table presents details on grants made by the Company for the following periods:



	Nine Months Ended
	July 29, 2017			July 30, 2016
	Granted (Shares in thousands)	Weighted-Average Grant Date Fair Value		Granted (Shares in thousands)	Weighted-Average Grant Date Fair Value
Stock options	—	$	—	1,390	$	1.36
RSUs, including stock units with market conditions	4,102	$	9.35	17,879	$	7.90

The total intrinsic value of stock options exercised for the nine months ended July 29, 2017, and July 30, 2016, was $15.6 million and $1.2 million, respectively.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

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