Business Segments, Concentration of Credit Risk and Significant Customers

3 Months Ended

Mar. 31, 2017

Business Segments, Concentration of Credit Risk and Significant Customers

Business Segments, Concentration of Credit Risk and Significant Customers

Note 5. Business Segments, Concentration of Credit Risk and Significant Customers

The Company operates in one business segment and uses one measurement of profitability for its business.  Net revenue attributed to the United States and to all foreign countries is based on the geographical location of the customer.

Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash, cash equivalents, short‑term investments and accounts receivable. Cash, cash equivalents and short‑term investments are deposited with high credit‑quality institutions.

The Company recognized revenue from shipment of ICs and licensing of its technologies to customers by geographical location as follows (in thousands):

	Three Months Ended
	March 31,
	2017		2016
North America	$	822	$	788
Taiwan		171		247
Japan		169		392
Rest of world		50		24
Total net revenue	$	1,212	$	1,451

Customers who accounted for at least 10% of total net revenue were:

	Three Months Ended
	March 31,
	2017		2016
Customer A	46	%	*	%
Customer B	11	%	15	%
Customer C	11	%	26	%
Customer D	*	%	46	%

*Represents less than 10%

One customer accounted for 76% of net accounts receivable at March 31, 2017. One customer accounted for 72% of net accounts receivable at December 31, 2016.