Stock-based Compensation (Tables)

3 Months Ended

Mar. 31, 2016

Stock-based Compensation

Compensation costs related to stock-based awards

The following table summarizes compensation costs related to our stock-based awards (in thousands, except per share data):

	Three Months Ended
	March 31,
	2016		2015
Cost of revenue	$	5	$	5
Selling, general and administrative		200		225
Research and development		48		44
Total stock-based compensation		253		274
Tax effect on stock-based compensation		—		—
Net effect on net income (loss)	$	253	$	274

Weighted-average assumptions

The fair value of our stock options granted to employees for the three months ended March 31, 2016 was estimated using the following weighted-average assumptions:

	Three Months Ended		Three Months Ended
	March 31,		March 31,
	2016		2015
Expected term (in years)	4.0		—
Volatility	49.21	%	—	%
Expected dividend	—	%	—	%
Risk-free interest rate	1.38	%	—	%

Summary of stock option activity

The following table summarizes the stock option transactions during the three months ended March 31, 2016 (in thousands, except per share data):

				Weighted-
				average
		Weighted-		Remaining
	Number of	average		Contractual	Aggregate
	Options	Exercise		Life	Intrinsic
Stock Options	Outstanding	Price		(in years)	Value
Balance as of January 1, 2016	3,779	$	2.97	6.26	$	764
Granted	68		2.56
Exercised	—		—
Canceled and expired	(534)		3.20
Balance as of March 31, 2016	3,313	$	2.92	7.08	$	621
Options vested as of March 31, 2016 and unvested options expected to vest, net of forfeitures	3,228	$	2.94	7.02	$	602
Options exercisable as of March 31, 2016	1,828	$	3.43	5.53	$	399

Restricted stock awards

A summary of activity related to restricted stock awards for the three months ended March 31, 2016 is presented below (in thousands, except per share data):

		Weighted-Average
		Grant Date
Stock Awards	Shares	Fair Value
Non-vested as of January 1, 2016	546	$	2.39
Granted	—	$	—
Vested	—	$	—
Forfeited	(207)	$	2.55
Non-vested as of  March 31, 2016	339	$	2.30