Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

The changes in the Company's goodwill consisted of the following:


(dollars in millions)	Network
Goodwill, balance as of December 31, 2022	$	570.0
Activity during the year:
Adjustments to prior year acquisition of Agile		(4.4	)
Acquisition of OTT		1.1
Goodwill, balance as of December 31, 2023 and 2024	$	566.7

The goodwill balance for all comparable periods is adjusted to reflect the goodwill reclassified to the Network segment from the Disposal Group based on the relative fair value of the retained operations.

During 2023, goodwill decreased by $4.4 million due to an adjustment made to the prior year acquisition of Agile and increased by $1.1 million due to the acquisition of OTT. See Note 5 for further information related to the Agile and OTT acquisitions.

No impairment losses were recognized in goodwill for the years ended December 31, 2024, 2023 and 2022. During the annual review performed in the fourth quarter of 2024, we completed a Quantitative assessment and determined that the fair value of all of our reporting units exceeded their carrying amounts, including goodwill and, therefore, goodwill was not impaired.

Intangible Assets

The Company’s intangible assets consisted of the following:



	December 31, 2024							December 31, 2023
	Gross							Gross
	Carrying		Accumulated			Net		Carrying		Accumulated			Net
(dollars in millions)	Amount		Amortization			Amount		Amount		Amortization			Amount
Intangible assets subject to amortization
Customer relationships	$	545.0	$	(208.2	)	$	336.8	$	545.0	$	(150.6	)	$	394.4
Trade names		22.4		(20.6	)		1.8		22.4		(15.8	)		6.6
Technology		1.1		(0.5	)		0.6		1.1		(0.3	)		0.8
Total		568.5		(229.3	)		339.2		568.5		(166.7	)		401.8
Intangible assets not subject to amortization
FCC licenses and spectrum usage rights		7.4		—			7.4		7.1		—			7.1
Perpetual licenses		6.8		—			6.8		6.8		—			6.8
Total intangible assets	$	582.7	$	(229.3	)	$	353.4	$	582.4	$	(166.7	)	$	415.7

As a result of the acquisition of OTT, the Company recorded a nominal finite-lived intangible asset representing the preliminary fair value at the OTT Acquisition Date. Due to the acquisition of Agile, the Company recorded $19.4 million of finite-lived intangible assets representing the fair values at the Agile Acquisition Date. See Note 5 for additional information regarding the acquisitions of OTT and Agile. The finite-lived intangible assets are amortized over their useful lives based on a number of assumptions including the estimated period of economic benefit and utilization.

During the fourth quarter of 2022, the Company purchased perpetual licenses for a block of IP addresses to be used as the Company continues to extend our fiber network and add internet subscribers.

The amortization expense for finite-lived intangible assets was $62.6 million in 2024, $69.2 million in 2023, and $72.9 million in 2022. No impairment losses were recognized on intangible assets for the years ended December 31, 2024, 2023 and 2022.

The estimated useful lives for each finite-lived intangible asset class are as follows:


Customer relationships		15 years
Trade names		3 to 10 years
Technology		7 years

The annual estimated amortization expense for future years is as follows:


(dollars in millions)
Year ended December 31,
2025	$	53.4
2026		48.9
2027		44.4
2028		39.8
2029		35.2
Thereafter		117.5
Total	$	339.2