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Goodwill and Intangible Assets
 12 Months Ended
Oct. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets Goodwill and Intangible Assets
Goodwill
As a result of the Software Integrity Divestiture effective in the second quarter of fiscal 2024, we have two reporting segments, and reporting units are determined to be the same as reportable segments. The change has no impact on the composition of remaining two reporting units, therefore, no impairment indicator was identified upon the change. We performed the required annual goodwill assessment in the fourth quarter of fiscal 2024, and concluded the goodwill was not impaired. There was no goodwill impairment in fiscal 2024, 2023 and 2022.
Goodwill activity by reportable segment consists of the following:
 
Design Automation
Design IPTotal
(in thousands)
Balance at October 31, 2022$2,176,337 $944,734 $3,121,071 
Additions229,351 — 229,351 
Effect of foreign currency translation(5,006)649 (4,357)
Balance at October 31, 20232,400,682 945,383 3,346,065 
Additions61,803 34,339 96,142 
Adjustments170 — 170 
Effect of foreign currency translation6,602 (129)6,473 
Balance at October 31, 2024$2,469,257 $979,593 $3,448,850 
Intangible Assets
During the fourth quarter of fiscal 2024, we assessed long-lived assets for impairment and recorded an impairment charge of $53.5 million related to acquired intangible assets. The impairment charge was triggered by a decline in estimated fair value resulting from the reductions in the expected future cash flows associated with our core/developed technology intangible assets related to our OpenLight business. There were no other impairment charges for long-lived assets in fiscal 2024, 2023 and 2022.
Intangible assets as of October 31, 2024 consists of the following:
Gross Carrying Amount
Accumulated
Amortization
and Impairment
Net Amount
 (in thousands)
Core/developed technology$904,347 $777,518 $126,829 
Customer relationships314,140 247,025 67,115 
Contract rights intangible176,382 175,170 1,212 
Trademarks and trade names12,925 12,917 8 
Total$1,407,794 $1,212,630 $195,164 
Intangible assets as of October 31, 2023 consists of the following:
Gross Carrying AmountAccumulated
Amortization		Net Amount
 (in thousands)
Core/developed technology$842,448 $672,480 $169,968 
Customer relationships296,883 231,557 65,326 
Contract rights intangible175,747 171,487 4,260 
Trademarks and trade names12,925 12,902 23 
Capitalized software development costs50,795 50,795 — 
Total$1,378,798 $1,139,221 $239,577 
Amortization expense related to acquired intangible assets, including the impairment charge, consists of the following:
 Year Ended October 31,
 202420232022
 (in thousands)
Core/developed technology$104,797 $42,892 $42,582 
Customer relationships15,550 9,288 11,389 
Contract rights intangible3,872 2,389 2,307 
Trademarks and trade names15 7 33 
Capitalized software development costs(1)
— 4,770 2,672 
Total$124,234 $59,346 $58,983 
(1)Amortization of capitalized software development costs is included in cost of products revenue in the consolidated statements of income.
The following table presents the estimated future amortization of acquired intangible assets as of October 31, 2024:
Fiscal Year(in thousands)
2025$46,436 
202636,112 
202731,165 
202825,572 
202923,038 
2030 and thereafter32,841 
Total$195,164