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Segment, Customer Concentration and Geographical Information
12 Months Ended
Dec. 31, 2019
Segment Reporting [Abstract]  
Segment, Customer Concentration and Geographical Information

14. Segment, Customer Concentration and Geographical Information

Segment Information

Public companies are required to report financial and descriptive information about their reportable operating segments as required by FASB ASC Topic No. 280, Segment Reporting. The Company has historically had two primary business units based on how management internally evaluates separate financial information, business activities and management responsibility: Wireless and Graphics. Wireless primarily includes our SafePath®, CommSuite®, and ViewSpot® family of products. Graphics includes our consumer-based products: Moho®, MotionArtist®, Rebelle, PhotoDonut and StuffIt®, Poser® (through June 2019), and Clip Studio® (through April 2018).

With the more recent divestitures of Poser and Clip Studio, the Graphics business has become insignificant in relation to total consolidated revenues and no longer qualifies as a reportable operating segment. Therefore, the Company will disclose only one reportable operating segment, Wireless, and the following disclosures reflect this change.

The Company does not separately allocate operating expenses to these business units, nor does it allocate specific assets. Therefore, business unit information reported includes only revenues.

The following table presents the Wireless revenues by product (in thousands):

 

 

 

Year Ended December 31,

 

 

 

2019

 

 

2018

 

CommSuite

 

$

18,713

 

 

$

17,760

 

SafePath

 

 

17,782

 

 

 

3,327

 

ViewSpot

 

 

4,229

 

 

 

 

Netwise

 

 

1,642

 

 

 

3,104

 

Other

 

 

238

 

 

 

283

 

Total wireless revenues

 

$

42,604

 

 

$

24,474

 

The following table presents the quarterly revenues generated by the Wireless segment (in thousands):

 

 

 

Year Ended December 31,

 

 

 

2019

 

 

2018

 

Quarter 1

 

$

8,172

 

 

$

4,816

 

Quarter 2

 

 

10,637

 

 

 

6,506

 

Quarter 3

 

 

11,614

 

 

 

6,283

 

Quarter 4

 

 

12,181

 

 

 

6,869

 

Total wireless revenues

 

$

42,604

 

 

$

24,474

 

 

 

Customer Concentration Information

Revenues generated from our sales to Sprint and their respective affiliates in the Wireless business segment accounted for 84% and 81% of the Company’s total revenues for fiscal years 2019 and 2018, respectively. This customer comprised 92% and 82% of our accounts receivable as of December 31, 2019 and 2018, respectively. This major customer could reduce their orders of our products in favor of a competitor's product or for any other reason. The loss of this major customer or decisions by a significant customer to substantially reduce purchases could have a material adverse effect on our business.

Geographical Information

During the years ended December 31, 2019 and 2018, the Company operated in three geographic locations: the Americas, EMEA (Europe, the Middle East, and Africa), and Asia Pacific. Revenues attributed to the geographic location of the customer’s bill-to address were as follows (in thousands):

 

 

 

Year Ended December 31,

 

 

 

2019

 

 

2018

 

Americas

 

$

43,236

 

 

$

26,054

 

EMEA

 

 

67

 

 

 

90

 

Asia Pacific

 

 

43

 

 

 

141

 

Total revenues

 

$

43,346

 

 

$

26,285