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Satellite Network and Other Equipment
3 Months Ended
Mar. 31, 2014
Text Block [Abstract]  
Satellite Network and Other Equipment

6. Satellite Network and Other Equipment

Satellite network and other equipment consisted of the following:

 

     Useful life      March 31,     December 31,  
     (years)      2014     2013  

Land

      $ 381        381   

Satellite network

     1-10         29,814        29,362   

Capitalized software

     3-7         4,989        4,563   

Computer hardware

     3         2,486        2,419   

Other

     2-7         2,370        2,125   

Assets under construction

        122,469        118,806   
     

 

 

   

 

 

 
        162,509        157,656   

Less: accumulated depreciation and amortization

        (25,965     (24,628
     

 

 

   

 

 

 
      $ 136,544      $ 133,028   
     

 

 

   

 

 

 

During the three months ended March 31, 2014 and 2013, the Company capitalized costs attributable to the design and development of internal-use software in the amount of $628 and $337, respectively.

Depreciation and amortization expense for the three months ended March 31, 2014 and 2013 was $1,337 and $1,002, respectively. This includes amortization of internal-use software of $186 and $109 for the three months ended March 31, 2014 and 2013, respectively.

Assets under construction primarily consist of milestone payments pursuant to procurement agreements which includes, the design, development, launch and other direct costs relating to the construction of the next-generation satellites (See Note 15) and upgrades to its infrastructure and ground segment.