Goodwill and Intangible Assets (Tables)

9 Months Ended

Sep. 30, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Changes in Carrying Amounts of Goodwill

The changes in carrying amounts of goodwill for the nine months ended September 30, 2020 are as follows (in thousands):

	Fax and Martech		Voice, Backup, Security and CPP		Total Cloud Services		Digital Media		Consolidated
Balance as of January 1, 2020	$	397,788	$	480,084	$	877,872	$	755,161	$	1,633,033
Goodwill acquired (Note 4)	21,950		—		21,950		1,867		23,817
Goodwill written off related to sale of a business (1)	—		(4,751)		(4,751)		—		(4,751)
Purchase accounting adjustments (2)	—		(2,130)		(2,130)		9,721		7,591
Foreign exchange translation	2,226		(358)		1,868		(12)		1,856
Balance as of September 30, 2020	$	421,964	$	472,845	$	894,809	$	766,737	$	1,661,546

(1) On August 31, 2020, in a cash transaction, the Company sold certain of its Voice assets in Australia and New Zealand which resulted in $4.8 million of goodwill being written off in connection with this sale (see Note 6 - Assets Held for Sale).

(2) Purchase accounting adjustments relate to measurement period adjustments to goodwill in connection with prior business acquisitions (see Note 4 - Business Acquisitions).

Intangible Assets with Indefinite Lives

Intangible assets are summarized as of September 30, 2020 and December 31, 2019 as follows (in thousands):

	September 30, 2020		December 31, 2019
Trade names	$	27,417	$	27,379
Other	4,317		4,306
Total	$	31,734	$	31,685

Intangible Assets Subject to Amortization

As of September 30, 2020, intangible assets subject to amortization relate primarily to the following (in thousands):

	Weighted-Average   Amortization Period	Historical Cost		Accumulated Amortization		Net
Trade names	10.1 years	$	193,701	$	94,259	$	99,442
Patent and patent licenses	5.5 years	67,949		66,805		1,144
Customer relationships (1)	8.5 years	630,768		440,079		190,689
Other purchased intangibles	4.4 years	383,555		246,998		136,557
Total		$	1,275,973	$	848,141	$	427,832

(1) Historically, the Company has amortized its customer relationship assets in a pattern that best reflects the pace at which the asset’s benefits are consumed. This pattern results in a substantial majority of the amortization expense being recognized in the first 4 to 5 years, despite the overall life of the asset.

As of December 31, 2019, intangible assets subject to amortization relate primarily to the following (in thousands):

	Weighted-Average   Amortization Period	Historical Cost		Accumulated Amortization		Net
Trade names	10.2 years	$	193,202	$	82,552	$	110,650
Patent and patent licenses	6.5 years	67,921		63,143		4,778
Customer relationships (1)	8.5 years	630,730		392,228		238,502
Other purchased intangibles	4.3 years	383,195		212,257		170,938
Total		$	1,275,048	$	750,180	$	524,868

(1) Historically, the Company has amortized its customer relationship assets in a pattern that best reflects the pace at which the asset’s benefits are consumed. This pattern results in a substantial majority of the amortization expense being recognized in the first 4 to 5 years, despite the overall life of the asset.