Subsequent Event

12 Months Ended

Dec. 31, 2012

Subsequent Events [Abstract]

Subsequent Event

Subsequent Event

On February 1, 2013, the Company entered into an agreement to license 1,100 Kodak imaging patents, as well as the patents that Kodak is keeping as part of its on-going business.  In addition, as part of this agreement, current patent-related ligation between Shutterfly and Kodak was dismissed.  Substantially all of the license consideration will be recorded as a prepaid patent royalty amount during the three months ending March 31, 2013, which will be amortized over the aggregate average remaining life of the patent portfolio.  The remaining amount represents the estimated cost to conclude the litigation and has been recorded as a portion of General and Administrative expense for the twelve months ended December 31, 2012.