Acquisitions and Joint Venture (Tables)

12 Months Ended

Dec. 31, 2015

Purchase price allocation included in Company condensed consolidated balance sheets

The following table presents the purchase price allocations recorded in the Company's consolidated balance sheets as of the acquisition dates (in thousands):



	Bizo			Bright			Other acquisitions			Total
Net tangible assets	$	8,159		$	905		$	221		$	9,285
Goodwill ⁽¹⁾	113,551			73,851			18,445			205,847
Intangible assets ⁽²⁾	47,800			32,200			5,299			85,299
Net deferred tax liability	(9,257		)	(6,323		)	(195		)	(15,775		)
Total purchase price ⁽³⁾	$	160,253		$	100,633		$	23,770		$	284,656

_______________________


(1)	The goodwill represents the excess value of the purchase price over both tangible and intangible assets acquired. The goodwill in these transactions is primarily attributable to expected operational synergies, assembled workforces, and the future development initiatives of the assembled workforces. None of the goodwill is expected to be deductible for tax purposes.


(2)	Identifiable definite-lived intangible assets were comprised of developed technology of $81.4 million and customer relationships of $3.9 million. The overall weighted-average life of the identifiable definite-lived intangible assets acquired in the purchase of the companies was 3.0 years, which will be amortized on a straight-line basis over their estimated useful lives.


(3)	Subject to adjustment based on (i) purchase price adjustment provisions contained in the acquisition agreement and (ii) indemnification obligations of the acquired company stockholders.

Summary of pro forma information of business

Supplemental information on an unaudited pro forma basis, as if the Bright and Bizo acquisitions had been consummated on January 1, 2013, is presented as follows (in thousands, except per share amounts):



	Year Ended December 31,
	2014			2013
Revenue	$	2,247,187		$	(1,574,460	)
Net loss attributable to common stockholders	$	(50,786	)	$	(9,007	)
Net loss per share attributable to common stockholders - diluted	$	(0.41	)	$	0.08

Lynda.com Inc [Member]

Business Acquisition [Line Items]

Purchase price allocation included in Company condensed consolidated balance sheets

The following table presents the components of the preliminary purchase consideration transferred based on the closing price of $194.49 per share of LinkedIn's Class A common stock (in thousands):



Cash	$	777,745
Class A common stock	695,028
Earned portion of the assumed stock options	11,181
Other consideration	2,758
Purchase consideration	$	1,486,712

The following table presents the preliminary purchase price allocation recorded in the Company's consolidated balance sheets for Lynda.com as of the acquisition date (in thousands):



				Preliminary estimated useful life
Cash	$	136,109
Accounts receivable	9,370
Prepaid expenses	3,984
Other current assets	153
Property and equipment	16,239			3 years	⁽⁵⁾
Goodwill ⁽¹⁾	1,126,536
Definite-lived intangible assets:
Subscriber relationships - Enterprise	164,000			4 years
Subscriber relationships - Individual	57,000			2 years
Content ⁽²⁾	98,000			3 years
Developed technology	39,000			2 years
Trade name	1,000			1 year
Other assets	367
Accounts payable	(8,622		)
Accrued liabilities	(7,142		)
Deferred revenue ⁽³⁾	(46,994		)
Deferred tax liabilities	(87,481		)
Other long-term liabilities ⁽³⁾	(14,807		)
Total purchase price⁽⁴⁾	$	1,486,712

____________

(1)

The goodwill represents the excess value of the purchase price over both tangible and intangible assets acquired. The goodwill in this transaction is primarily attributable to expected operating synergies, which include the Lynda.com talent and their production process, the Learning & Development (“L&D”) opportunities to strengthen the skills of LinkedIn's members, as well as the L&D initiatives that the talent of Lynda.com and LinkedIn will jointly develop. These attributes position the Company to be able to further expand its long-term content strategy and to realize its vision of building the world's first economic graph. None of the goodwill is expected to be deductible for tax purposes.


(2)	The amortization method for the content intangible asset is 50% the first year, 30% the second year, and 20% in the third year. The remaining definite-lived intangible assets are amortized using the straight-line method.


(3)	Other long-term liabilities include $2.8 million of long-term deferred revenue. Approximately 80% of total deferred revenue of $49.9 million is amortized in 2015 and approximately 20% thereafter.


(4)	Subject to adjustment based on (i) purchase price adjustment provisions contained in the acquisition agreement and (ii) indemnification obligations of the acquired company stockholders.


5)	Represents an average estimated life.

Summary of pro forma information of business

Supplemental information on an unaudited pro forma basis, as if the acquisition of Lynda.com had been consummated on January 1, 2014, is presented as follows (in thousands, except per share amounts):



	Year Ended December 31,
	2015			2014
Revenue	$	3,073,039		$	2,356,620
Net loss attributable to common stockholders	(176,894		)	(173,461		)
Net loss per share attributable to common stockholders - diluted	$	(1.36	)	$	(1.37	)

Pulse [Member]

Business Acquisition [Line Items]

Purchase price allocation included in Company condensed consolidated balance sheets

The following table presents the purchase price allocation recorded in the Company's consolidated balance sheets on the acquisition date (in thousands):



	Total
Net tangible assets	$	221
Goodwill ⁽¹⁾	35,657
Intangible assets⁽²⁾	14,000
Net deferred tax liability	(2,267		)
Total purchase consideration	$	47,611

_______________________


(1)	The goodwill represents the excess value of the purchase price over both tangible and intangible assets acquired and liabilities assumed. The goodwill in this transaction is primarily attributable to expected operational synergies, the assembled workforce, and the future development initiatives of the assembled workforce. None of the goodwill is expected to be deductible for tax purposes.


(2)	Identifiable definite-lived intangible assets were comprised of developed technology of $9.5 million, trade name of $2.7 million, registered user base of $1.2 million and backlog of $0.6 million. The overall weighted-average life of the identifiable definite-lived intangible assets acquired was 2.9 years, which will be amortized on a straight-line basis over their estimated useful lives.

Other Acquisition [Member]

Business Acquisition [Line Items]

Purchase price allocation included in Company condensed consolidated balance sheets

The following table presents the purchase price allocations recorded in the Company's consolidated balance sheets as of the acquisition dates (in thousands):



	Other Acquisitions
Goodwill ⁽¹⁾	$	23,839
Intangible assets ⁽²⁾	12,723
Net tangible assets	4,230
Total purchase price ⁽³⁾	$	40,792

_______________________


(1)	The goodwill represents the excess value of the purchase price over both tangible and intangible assets acquired. The goodwill in this transaction is primarily attributable to expected operational synergies, the assembled workforce, and the future development initiatives of the assembled workforce. None of the goodwill is expected to be deductible for tax purposes.


(2)	Identifiable definite-lived intangible assets were comprised of developed technology of $12.7 million with an estimated useful life of 2.0 years, which will be amortized on a straight-line basis over the estimated useful lives.


(3)	Subject to adjustment based on (i) purchase price adjustment provisions contained in the acquisition agreements and (ii) indemnification obligations of the acquired company stockholders.