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Goodwill
12 Months Ended
Jan. 27, 2013
Notes to financial statements [Abstract]  
Goodwill
Goodwill
 
The carrying amount of goodwill is as follows:
 
January 27,
2013
 
January 29,
2012
 
(In thousands)
Icera
$
271,186

 
$
271,186

PortalPlayer
104,896

 
104,896

3dfx
75,326

 
75,326

Mental Images
59,252

 
59,252

MediaQ
35,167

 
35,167

ULi
31,115

 
31,115

Hybrid Graphics
27,906

 
27,906

Ageia
19,198

 
19,198

Other
16,984

 
16,984

Total goodwill
$
641,030

 
$
641,030


 
The amount of goodwill allocated to our GPU and Tegra Processor segments as of both January 27, 2013 and January 29, 2012 was $228.2 million and $412.8 million, respectively. Please refer to Note 17 of these Notes to the Consolidated Financial Statements for further discussion regarding segments.
 
We allocate goodwill to our reporting units and perform our annual impairment test during the fourth quarter of our fiscal year, or earlier if indicators of potential impairment exist.  For the purposes of completing our most recent impairment test, we perform either a qualitative or a quantitative analysis on a reporting unit basis. We completed our most recent annual impairment test during the fourth quarter of fiscal year 2013 and concluded that there was no impairment. 

In a qualitative analysis, we evaluate factors including, but not limited to, macro economic conditions, market and industry conditions, competitive environment, operational stability and the overall financial performance of the reporting units including cost factors and budgeted-to-actual revenue results. In a quantitative analysis, we consider both the income method and market method, where applicable, when determining the fair value of reporting units. Our goodwill impairment test uses a weighting primarily towards the income method to estimate the reporting unit's fair value. The income method is based on a discounted future cash flow analysis while the market method is based on financial multiples of comparable companies and applies a control premium.

The estimate of cash flow is based upon, among other things, certain assumptions about expected future operating performance such as revenue growth rates and operating margins used to calculate projected future cash flows, risk-adjusted discount rates, future economic and market conditions. The market method of determining the fair value of our reporting unit requires us to use judgment in the selection of appropriate market comparables.