Goodwill and Acquired Intangible Assets

12 Months Ended

Dec. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

8. Goodwill and Acquired Intangible Assets

During 2014, the Company completed two acquisitions of which $35.0 million was allocated to goodwill and $10.7 million to acquired intangible assets. The Company’s gross carrying amount of goodwill was $35.0 million as of December 31, 2014 and there was no goodwill as of December 31, 2013. The Company did not have any goodwill impairments during 2014, 2013 or 2012. Acquired technology intangible assets subject to amortization as of December 31, 2014 were as follows (in thousands):


			Accumulated
	Cost		Amortization			Net
Acquired Technology	$	10,668	$	(1,269	)	$	9,399

Amortization expense related to acquired intangible assets was $1.3 million for the year ended December 31, 2014. Acquired intangible assets are amortized over their estimated useful lives of seven to 10 years. There were no acquired intangible assets prior to January 1, 2014. As of December 31, 2014, the Company expects amortization expense in future periods to be as follows (in thousands):


	Acquired
Fiscal Year	Technology
2015	$	1,408
2016		1,408
2017		1,408
2018		1,408
2019		1,408
Thereafter		2,359

Total expected amortization expense	$	9,399

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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