Segment Disclosure

12 Months Ended

Dec. 31, 2016

Segment Reporting [Abstract]

Segment Disclosure

17.     Segment Disclosure

ASC Topic 280, Segment Reporting, establishes standards for reporting information about operating segments, products and services, geographic areas of operations and major customers. Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing business performance. The Company’s chief operating decision-making group is the Executive Staff, which is comprised of the Chief Executive Officer and his direct reports (CODM).

In September 2014, the Company sold its Grid business to S&T, thus reducing the number of reportable segments from two to one. For the year ending December 31, 2014, the Grid business is captured in discontinued operations.

The Company operates in one principal industry segment - the IIoT segment, which is its reportable segment. The IIoT segment sells products and services aimed at Embedded Control Platforms, such as LONWORKS and IzoT, which include components, control nodes, and development software, and which are sold typically to Original Equipment Manufacturers (OEMs) to build into their industrial application solutions. These platforms allow a single device to be brought to market as a LONWORKS®, BACnet®, or other protocol-supporting device; and it can be used with any underlying wired or wireless communications link, such as Ethernet, RS-485, Wi-Fi, 15.4, or Echelon’s free topology (FT) standard. The IzoT platform provides a smooth migration path for legacy devices to the IIoT. The product portfolio includes Smart Transceivers, SmartServer Controllers, LNS and OpenLNS Operating Systems, Outdoor Lighting Controllers, SmartServer Segment Controllers and PL/RF Bridges.

The Company operates in three main geographic areas: the Americas; Europe, Middle East and Africa (“EMEA”); and Asia Pacific / Japan (“APJ”). Each geographic area provides products and services to the Company’s customers located in the respective region. The Company’s long-lived assets include property and equipment, goodwill, purchased technology, and deposits on its leased facilities. Long-lived assets are attributed to geographic areas based on the country where the assets are located. As of December 31, 2016 and December 31, 2015, long-lived assets of approximately $2.2 million and $2.6 million, respectively, were domiciled in the United States. Long-lived assets for all other locations are not material to the consolidated financial statements.

In North America, the Company sells its products primarily through a direct sales organization and select third-party electronics representatives. Outside North America, the Company sells its products through direct sales organizations in EMEA and APJ, value-added resellers, and local distributors. Revenues are attributed to geographic areas based on the country where the products are shipped to or the services are delivered. Summary revenue information by geography for the years endedDecember 31, 2016, 2015 and 2014 is as follows (in thousands):

	Year ended December 31,
	2016		2015		2014
Americas
United States	$	10,309	$	11,138	$	10,680
Other Americas	1,093		1,242		2,074
Total Americas	11,402		12,380		12,754
EMEA
Germany	8,749		9,987		10,733
Other EMEA	5,366		7,812		3,761
Total EMEA	14,115		17,799		14,494
APJ
China	2,209		2,436		3,225
Other APJ	4,659		6,189		8,257
Total APJ	6,868		8,625		11,482
Total	$	32,385	$	38,804	$	38,730

For information regarding the Company’s major customers, please refer to Note 9, Significant Customers.