Intangible Assets and Goodwill

12 Months Ended

Dec. 31, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

Intangible Assets and Goodwill

6. Intangible Assets and Goodwill

Intangible assets acquired through business combinations

Intangible assets as of December 31, 2019 and 2018 consist of the following:

	Weighted Average Remaining Useful Life	December 31,
		2019			2018
		(in thousands)
Acquired technology	44 Months	$	17,297		$	7,252
Other intangible assets	22 Months		70			-
Accumulated amortization			(5,615	)		(2,333	)
Total		$	11,752		$	4,919

Other intangible assets include trade name and customer relationship.

The estimated useful life of acquired technology is two to seven years. The Company evaluates the useful lives of these assets on an annual basis and tests for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets.

Amortization expense related to intangible assets was $3.2 million in 2019, $1.4 million in 2018, and $103 thousand in 2017. Amortization expense of acquired technology is included in cost of subscription revenue in the consolidated statements of operations.

Estimated future amortization expense for intangible assets as of December 31, 2019 is as follows:

Years ended December 31,	Amortization Expense
	(in thousands)
2020	$	2,414
2021		927
2022		1,286
2023		1,686
2024		1,966
Thereafter		3,473
Total	$	11,752

Goodwill

Goodwill represents the excess of the purchase price in a business combination over the fair value of net assets acquired and is generally not deductible for tax purposes. Goodwill amounts are not amortized, but rather tested for impairment annually.

There was no change in the carrying amount of goodwill in 2018. The changes in the carrying amounts of goodwill in 2019, consist of the following:

	(in thousands)
Balance as of December 31, 2018	$	14,950
PieSync acquisition		15,219
Effect of foreign currency translation		81
Balance as of December 31, 2019	$	30,250