ACQUISITIONS (Tables)

12 Months Ended

Dec. 31, 2012

Sweet IM Ltd. [Member]

Business Acquisition [Line Items]

Schedule of Purchase Price Allocation

Cash	$	2,733
Restricted cash		10,260
Trade receivables		7,473
Other receivables and prepaid expenses		1,253
Property and equipment		216
Long-term prepaid expenses and other		70
Trade payables		(2,318	)
Accrued expenses and other liabilities		(5,148	)
Payment obligation related to acquisition		(9,958	)
Intangible assets		30,756
Deferred tax liability		(3,786	)
Goodwill		12,682
Total purchase price	$	44,233

Schedule of Intangible Assets

The following table sets forth the components of intangible assets associated with Sweet IM acquisition:

	Fair value		Useful life
Technology	$	20,066	5 years
Logo		5,242	4 years
IP R&D		5,448		(*)
Total intangible assets	$	30,756

(*) Will be determined upon completion of the development

Schedule of Pro Forma Financial Information

	Year ended December 31,
	2011		2012
	Unaudited		Unaudited
Revenues	$	$51,190	$	$79,254
Net income	$	1,154	$	$ 4,887
Basic earnings per share	$	0.12	$	0.48
Diluted earnings per share	$	0.12	$	0.47

Smilebox Inc [Member]

Business Acquisition [Line Items]

Schedule of Purchase Price Allocation

The excess of the purchase price over the net tangible and identifiable intangible assets was recorded as goodwill.

Cash	$	2,100
Trade receivables		87
Other receivables and prepaid expenses		616
Property and equipment		191
Long-term prepaid expenses and other		449
Trade payables		(1,268	)
Accrued expenses and other liabilities		(1,171	)
Deferred revenues		(622	)
Intangible assets		6,358
Goodwill		24,753
Total purchase price	$	31,493

Schedule of Intangible Assets

The following table sets forth the components of intangible assets associated with Smilebox acquisition:

	Fair value		Useful life
Customer relationships	$	1,488	4.3-6.3 years
Technology		3,000	3 years
Trade name		1,870	10.25 years
Total intangible assets	$	6,358