Goodwill And Identified Intangible Assets

3 Months Ended

Mar. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill And Identified Intangible Assets

GOODWILL AND IDENTIFIED INTANGIBLE ASSETS

The changes to the carrying value of goodwill from January 1, 2017 through March 31, 2017 are reflected below (in thousands):



December 31, 2016	$	382,963
Purchase price adjustment related to the acquisition of DTS (1)	3,450
March 31, 2017	$	386,413	(2)

(1) This adjustment related to the measurement of unbilled contract receivables which were estimated at the time of acquisition, see Note 6 - "Business Combinations."

(2) Of this amount, approximately $378.7 million is allocated to our Product Licensing reporting unit and approximately $7.7 million is allocated to our Semiconductor and IP Licensing reporting unit.

Identified intangible assets consisted of the following (in thousands):



		March 31, 2017							December 31, 2016
	Average Life (Years)	Gross Assets		Accumulated Amortization			Net		Gross Assets		Accumulated Amortization			Net
Acquired patents / core technology	3-15	$	140,744	$	(101,365	)	$	39,379	$	140,744	$	(96,896	)	$	43,848
Existing technology	5-10	203,442		(35,850		)	167,592		203,442		(27,315		)	176,127
Customer contracts and related relationships	3-9	291,769		(27,761		)	264,008		291,769		(14,011		)	277,758
Trademarks/trade name	4-10	40,083		(2,381		)	37,702		40,083		(1,138		)	38,945
Non-competition agreements	1	2,231		(743		)	1,488		2,231		(186		)	2,045
Total amortizable intangible assets		678,269		(168,100		)	510,169		678,269		(139,546		)	538,723
In-process research and development		3,156		—			3,156		3,156		—			3,156
Total intangible assets		$	681,425	$	(168,100	)	$	513,325	$	681,425	$	(139,546	)	$	541,879

Amortization expense for the three months ended March 31, 2017 and 2016 amounted to $28.6 million and $6.0 million, respectively.

As of March 31, 2017, the estimated future amortization expense of intangible assets is as follows (in thousands):



2017 (remaining 9 months)	$	83,258
2018	107,396
2019	98,310
2020	86,595
2021	78,933
Thereafter	55,677
	$	510,169

- 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.

+ References + Details