Business Segments, Concentration of Credit Risk and Significant Customers

12 Months Ended

Dec. 31, 2017

Business Segments, Concentration of Credit Risk and Significant Customers

Business Segments, Concentration of Credit Risk and Significant Customers

Note 8: 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. 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 and long-term investments and accounts receivable. Cash, cash equivalents and short-term and long-term investments are deposited with high credit-quality institutions.

The Company recognized revenue from licensing of its technologies and shipment of ICs to customers in North America, Asia and Rest of world as follows (in thousands):

	Year Ended December 31,
	2017		2016		2015
North America	$	6,531	$	3,816	$	2,222
Japan		1,520		1,303		667
Taiwan		613		804		1,396
Rest of world		178		101		105
Total net revenue	$	8,842	$	6,024	$	4,390

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

	Years Ended December 31,
	2017		2016		2015
Customer A	46	%	*		*
Customer B	17	%	21	%	12	%
Customer C	11	%	47	%	34
Customer D	*	%	13	%	31	%

*       Represents percentage less than 10%.

One customer accounted for 63% of net accounts receivable as of December 31, 2017. One customer accounted for 72% of net accounts receivable as of December 31, 2016.

Net long-lived assets (property and equipment), classified by major geographic areas, was (in thousands):

	December 31,
	2017		2016
	(in thousands)
U.S.	$	827	$	1,274