Share-based Compensation Expense (Tables)

3 Months Ended

Mar. 30, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-based compensation expense for all stock awards

Share-based compensation expense for all stock awards consists of the following (in thousands):

	Three Months Ended
	March 30, 2014			March 31, 2013
Cost of product revenue	$	2,095		$	1,442
Cost of service and other revenue	285			154
Research and development	11,669			8,006
Selling, general and administrative	19,375			14,617
Share-based compensation expense before taxes	33,424			24,219
Related income tax benefits	(10,577		)	(7,565		)
Share-based compensation expense, net of taxes	$	22,847		$	16,654

Assumptions used to estimate the fair value per share of employee stock purchase rights granted

The assumptions used for the specified reporting periods and the resulting estimates of weighted-average fair value per share for stock purchased under the ESPP during the three months ended March 30, 2014 are as follows:

	Employee Stock Purchase Rights
Risk-free interest rate	0.07 - 0.11%
Expected volatility	38		%
Expected term	0.5 - 1.0 year
Expected dividends	—
Weighted average fair value per share	$	41.84