Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2016

Goodwill And Intangible Assets Disclosure [Abstract]

3.	Goodwill and Intangible Assets

Changes to goodwill during the years ended December 31, 2016 and 2015 were as follows (in thousands):

	Total
Balance – December 31, 2014	$	10,503
Translation adjustment		(493	)
Balance – December 31, 2015		10,010
Translation adjustment		(1,668	)
Balance – December 31, 2016	$	8,342

Intangible assets consist of the following at December 31, 2016 and December 31, 2015 (in thousands):

	Trademark			Developed Technology			Customer Relationships			Total
Gross carrying amount – December 31, 2016	$	300		$	1,370		$	1,240		$	2,910
Translation adjustment		(53	)		(298	)		(270	)		(621	)
Accumulated amortization		(247	)		(617	)		(456	)		(1,320	)
Balance – December 31, 2016	$	—		$	455		$	514		$	969

	Trademark			Developed Technology			Customer Relationships			Total
Gross carrying amount – December 31, 2015	$	300		$	1,370		$	1,240		$	2,910
Translation adjustment		(19	)		(83	)		(76	)		(178	)
Accumulated amortization		(215	)		(538	)		(381	)		(1,134	)
Balance – December 31, 2015	$	66		$	749		$	783		$	1,598

Prior to completing the triggering event based assessment of goodwill on August 17, 2016 under ASC 350, the Company assessed its long-lived assets under ASC 360-10-05, Impairment or Disposal of Long-Lived Assets (“ASC 360”), and concluded that there was no impairment indicated for its long-lived assets.

Amortization expense related to the developed technology is classified as a component of cost of service revenues in the consolidated statements of operations. Amortization expense related to trademark and customer relationships is classified as a component of general and administrative expenses in the consolidated statements of operations.

Acquired intangible assets are amortized over their estimated useful lives based on either the pattern in which the economic benefits of the intangible asset are consumed or on a straight-line method. The estimated useful life represents the anticipated term of the acquired intangible assets. The estimated useful lives for the trademark, developed technology and customer relationships are 3 years, 7 years and 7 years, respectively. The trademark intangible was fully amortized as of December 31, 2016. The weighted average amortization period in total is 6.6 years.

Amortization expense for the years ended December 31, 2016, 2015 and 2014, was $0.4 million, $0.4 million and $0.7 million, respectively. As of December 31, 2016, amortization expense on existing intangible assets for the next four years is as follows (in thousands):

Year	Total
2017	$	288
2018		265
2019		240
2020		176
Total	$	969

- 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.

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