XML 32 R14.htm IDEA: XBRL DOCUMENT v3.10.0.1
Goodwill and Intangible Assets
9 Months Ended
Jun. 29, 2018
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets
. Goodwill & Intangible Assets
Goodwill
The following table outlines changes to the carrying amount of goodwill (in thousands):
 
Goodwill
Balance at September 29, 2017
$
311,087

Acquired goodwill
4,807

Translation adjustments
(1,577
)
Balance at June 29, 2018
$
314,317


Intangible Assets
Our intangible assets are stated at their original cost less accumulated amortization, and principally consist of acquired technology, patents, trademarks, customer relationships and contracts. Intangible assets subject to amortization consist of the following (in thousands):
 
June 29, 2018
 
September 29, 2017
Intangible Assets
Cost
Accumulated
Amortization
Net
 
Cost
Accumulated
Amortization
Net
Acquired patents and technology
$
314,799

$
(146,549
)
$
168,250

 
$
299,707

$
(128,986
)
$
170,721

Customer relationships
56,836

(40,345
)
16,491

 
56,843

(38,368
)
18,475

Other intangibles
22,734

(22,335
)
399

 
22,742

(22,290
)
452

Total
$
394,369

$
(209,229
)
$
185,140

 
$
379,292

$
(189,644
)
$
189,648


We purchase various patents and developed technologies that enable us to further develop our audio, imaging and potential product offerings.
With regard to our purchase of intangible assets during the periods presented, the following table summarizes the consideration paid, the weighted-average useful lives over which the acquired assets will be amortized using the greater of either the straight-line basis or a ratio-to-revenue method, and the classification of their amortized expense in our consolidated statements of operations:
Fiscal Period
Total Purchase Consideration (1)
Weighted-Average
Useful Life
 
(in millions)
(in years)
Fiscal 2017
 
 
Q1 - Quarter ended December 30, 2016
None
Q2 - Quarter ended March 31, 2017
5.3
18.0
 
$5.3
18.0
Fiscal 2018
 
 
Q1 - Quarter ended December 29, 2017
$12.0
14.1
Q2 - Quarter ended March 30, 2018
$2.8
5.3
Q3 - Quarter ended June 29, 2018
$0.7
5.0
 
$15.5
12.1
(1) Amortization expense on the intangible assets from patent portfolio and business acquisitions is included within cost of revenue, R&D, and G&A in our consolidated statements of operations.
Amortization expense for our intangible assets is included in cost of licensing, cost of products, R&D, S&M, and G&A expenses in our consolidated statements of operations. Amortization expense was $6.7 million and $7.3 million in the third quarter of fiscal 2018 and 2017, respectively, and $19.8 million and $24.0 million in the fiscal year-to-date period ended June 29, 2018 and June 30, 2017, respectively. As of June 29, 2018, estimated amortization expense in future fiscal periods was as follows (in thousands):
Fiscal Year
 Amortization Expense
Remainder of 2018
$
6,778

2019
26,525

2020
26,061

2021
26,034

2022
23,370

Thereafter
76,372

Total
$
185,140