Property and Equipment, net

12 Months Ended

Dec. 31, 2018

Property, Plant and Equipment [Abstract]

Property and equipment, net consist of the following:



		As of
	Estimated useful lives (Years)	December 31, 2018			December 31, 2017
Owned Assets:
Network equipment and computers	3-5	$	85,921		$	77,587
Software	3-5	69,752			59,325
Leasehold improvements	3-8	39,533			38,857
Office furniture and equipment	3-8	20,097			19,667
Motor vehicles	2-5	635			638
Buildings	30	1,140			1,245
Land	—	746			815
Capital work in progress	—	11,026			9,184
		228,850			207,318
Less: Accumulated depreciation and amortization		(155,798		)	(141,059		)
		$	73,052		$	66,259
Assets under capital leases:
Leasehold improvements		$	778		$	941
Office furniture and equipment		53			167
Motor vehicles		628			710
		1,459			1,818
Less: Accumulated depreciation and amortization		(1,001		)	(1,320		)
		$	458		$	498
Property and equipment, net		$	73,510		$	66,757

Capital work in progress represents advances paid towards acquisition of property and equipment and cost incurred to develop software not yet ready to be placed in service.

The depreciation and amortization expense excluding amortization of acquisition-related intangibles recognized in the consolidated statements of income was as follows:



	Year ended December 31,
	2018		2017		2016
Depreciation and amortization expense	$	28,189	$	24,574	$	22,707

Effective January 1, 2017, the depreciation and amortization expenses set forth above includes the effect of foreign exchange gain/(loss) upon settlement of cash flow hedges, amounting to $153 and $435 for the years ended December 31, 2018 and 2017, respectively (refer Note 18 to the consolidated financial statements for further details).

Internally developed software costs, included under Software, was as follows:



	As of
	December 31, 2018			December 31, 2017
Cost	$	8,783		$	2,571
Less : Accumulated amortization	(2,393		)	(976		)
	$	6,390		$	1,595

During the year ended December 31, 2018, there were no changes in estimated useful lives of property and equipment.

The amortization expense on internally developed software recognized in the consolidated statements of income was as follows:



	Year ended December 31,
	2018		2017		2016
Amortization expense	$	1,417	$	640	$	336