Business Combinations

9 Months Ended

Sep. 30, 2016

Business Combinations [Abstract]

Business Combinations

Business Combinations

During the nine months ended September 30, 2016, we completed five acquisitions for an aggregate purchase consideration of approximately $206 million, consisting of cash. We believe these acquisitions will help us build a better user experience, improve discoverability and grow our international presence. The condensed consolidated financial statements include the operating results of acquired businesses from the date of each acquisition.

The aggregate purchase consideration of $206 million was allocated as follows: purchased intangible assets of $70 million, recognized goodwill of $174 million, and net liabilities of $40 million. These allocations have been prepared on a preliminary basis and changes to these allocations may occur as additional information becomes available. We generally do not expect goodwill to be deductible for income tax purposes.

Pro forma results of operations for these acquisitions have not been presented because the effect of the acquisitions were not material to our financial results.