5. Customer Concentrations	6 Months Ended
Jun. 30, 2016
Notes to Financial Statements
Customer Concentrations	The Company sells its products primarily through high-volume retailers and distributors, Internet service providers, value-added resellers, Personal Computer (“PC”) system integrators, and original equipment manufacturers ("OEMs"). The Company supports its major accounts in their efforts to offer a well-chosen selection of attractive products and to maintain appropriate inventory levels. Relatively few customers account for a substantial portion of the Company’s revenues. In the second quarter of 2016, three retailers accounted for 79% of our total net sales, with our largest retailer accounting for 28% of our net sales. In the first six months of 2016, three retailers accounted for 77% of our total net sales, with our largest retailer accounting for 29% of our net sales. At June 30, 2016, three retailers accounted for 86% of our accounts receivable, with our largest retailer representing 43% of our accounts receivable. In the second quarter of 2015, three retailers accounted for 76% of our total net sales, with our largest retailer accounting for 45% of our net sales. In the first six months of 2015, three customers accounted for 75% of our total net sales, with our largest customer accounting for 45% of our net sales. At June 30, 2015, three customers accounted for 88% of our accounts receivable, with our largest customer representing 58% of our accounts receivable. The Company’s customers generally do not enter into long-term agreements obligating them to purchase products. The Company may not continue to receive significant revenues from any of these or from other large customers. A reduction or delay in orders from any of the Company’s significant customers, or a delay or default in payment by any significant customer could materially harm the Company’s business and prospects. Because of the Company’s significant customer concentration, its net sales and operating income could fluctuate significantly due to changes in political or economic conditions, or the loss, reduction of business, or less favorable terms for any of the Company's significant customers.

5. Customer Concentrations

6 Months Ended

Jun. 30, 2016

The Company sells its products primarily through high-volume retailers and distributors, Internet service providers, value-added resellers, Personal Computer (“PC”) system integrators, and original equipment manufacturers ("OEMs"). The Company supports its major accounts in their efforts to offer a well-chosen selection of attractive products and to maintain appropriate inventory levels.

Relatively few customers account for a substantial portion of the Company’s revenues. In the second quarter of 2016, three retailers accounted for 79% of our total net sales, with our largest retailer accounting for 28% of our net sales. In the first six months of 2016, three retailers accounted for 77% of our total net sales, with our largest retailer accounting for 29% of our net sales. At June 30, 2016, three retailers accounted for 86% of our accounts receivable, with our largest retailer representing 43% of our accounts receivable. In the second quarter of 2015, three retailers accounted for 76% of our total net sales, with our largest retailer accounting for 45% of our net sales. In the first six months of 2015, three customers accounted for 75% of our total net sales, with our largest customer accounting for 45% of our net sales. At June 30, 2015, three customers accounted for 88% of our accounts receivable, with our largest customer representing 58% of our accounts receivable.

The Company’s customers generally do not enter into long-term agreements obligating them to purchase products. The Company may not continue to receive significant revenues from any of these or from other large customers. A reduction or delay in orders from any of the Company’s significant customers, or a delay or default in payment by any significant customer could materially harm the Company’s business and prospects. Because of the Company’s significant customer concentration, its net sales and operating income could fluctuate significantly due to changes in political or economic conditions, or the loss, reduction of business, or less favorable terms for any of the Company's significant customers.