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Intangible Assets, net
 9 Months Ended
Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets, net
9. Intangible Assets, net
Intangible assets, net, consist of the following:
September 30,
2023
As Adjusted,
 December 31,
2022(1)
(in millions)Gross Carrying
Amount		Accumulated
Amortization		Net Carrying
Amount		Gross Carrying
Amount		Accumulated
Amortization		Net Carrying
Amount
Intangible assets subject to amortization:
Customer relationships$204.0 $(28.5)$175.5 $220.9 $(19.3)$201.6 
Acquired technologies169.6 (40.3)129.3 185.3 (25.2)160.1 
Licenses38.0 (6.6)31.4 39.0 (4.4)34.6 
Capitalized software development costs41.0 (13.6)27.4 25.0 (2.9)22.1 
Patents38.2 (14.7)23.5 35.2 (13.9)21.3 
Trademarks20.0 (6.9)13.1 19.8 (5.8)14.0 
Non-compete agreements6.3 (2.2)4.1 6.3 (1.1)5.2 
Licenses-related party7.5 (6.6)0.9 7.5 (6.3)1.2 
Other1.6 (1.3)0.3 1.6 (1.1)0.5 
Total intangible assets subject to amortization, net$526.2 $(120.7)$405.5 $540.6 $(80.0)$460.6 
Intangible assets not subject to amortization:
Trademarks$231.5 $262.0 
Impairment charge(7.0)— 
Total trademarks224.5 262.0 
Intangible assets, net$630.0 $722.6 
The following intangible assets reclassification adjustments were made as of September 30, 2023(1):
As Adjusted,
 December 31,
2022
As Previously Filed,
 December 31,
2022
(in millions)Gross Carrying
Amount		Accumulated
Amortization		Net Carrying
Amount		Gross Carrying
Amount		Accumulated
Amortization		Net Carrying
Amount
Intangible assets subject to amortization:
Capitalized software development costs25.0 (2.9)22.1 5.5 (2.9)2.6 
Trademarks19.8 (5.8)14.0 39.3 (5.8)33.5 
_____________________
(1)    The Company recorded an immaterial reclassification adjustment between the intangible assets balances in Trademarks and Capitalized Software Development Costs in the amount of $19.5 million, for the year ended December 31, 2022. The adjusted balances are reflected as of September 30, 2023. There was no impact on total intangible assets, net as of December 31, 2022.
Finite lived intangible assets have a weighted-average amortization period ranging from twelve years to fourteen years. Total amortization expense for the three months ended September 30, 2023 and October 1, 2022 was $13.8 million and $10.3 million, respectively. Total amortization expense for the nine months ended September 30, 2023 and October 1, 2022 was $42.6 million and $25.5 million, respectively.
Total renewal costs for patents and trademarks for the three months ended September 30, 2023 and October 1, 2022 were $0.2 million and $0.3 million, respectively. Total renewal costs for patents and trademarks for the nine months ended September 30, 2023 and October 1, 2022 were $0.8 million and $1.0 million, respectively. As of September 30, 2023, the weighted-average number of years until the next renewal was two years for patents and six years for trademarks.
Estimated amortization expense for each of the next fiscal years is as follows:
Fiscal yearAmount
(in millions)
2023 (balance of year)$15.7 
202454.5 
202543.7 
202641.1 
202740.8 
Thereafter209.7 
     Total$405.5 
Indefinite-lived intangible assets are subject to annual impairment testing, unless circumstances dictate more frequent testing, if impairment indicators exist. Impairment for indefinite-lived assets exists if the carrying value of the indefinite-lived intangible asset exceeds its fair value. Determining whether impairment indicators exist and estimating the fair value of the Company’s indefinite-lived intangible assets if necessary for impairment testing require significant judgment. Qualitative factors considered in this assessment include industry and market conditions, overall financial performance, and other relevant events and factors.
The Company performs its annual impairment analysis during the fourth quarter, or more frequently if an event occurs indicating the potential for impairment.
In the third quarter of 2023, continued declines in the Company’s stock price and certain worsening macro-economic market conditions, including continued slowing in demand for consumer audio products, contributed to a significant decline in the Company’s market capitalization, which led the Company to conclude a trigger event had occurred. As a result, the Company performed a quantitative impairment assessment, which resulted in recording a $7.0 million impairment charge for indefinite-lived trademarks in the non-healthcare reporting unit. In conjunction with this third quarter interim impairment quantitative assessment, the Company concluded that both the healthcare reporting unit’s and non-healthcare reporting unit’s respective estimated fair values exceeded their carrying values of goodwill. Furthermore, recoverability tests performed for other long-lived assets with finite lives indicated no recoverability issues.

The Company performed its interim impairment test for goodwill using a combination of both an income and a market approach to determine the fair value of each reporting unit. The income approach utilized the estimated discounted cash flows for each reporting unit, while the market approach utilized comparable company information. Estimates and assumptions used in the income approach to calculate projected future discounted cash flows included revenue growth rates, operating margins and a discount rate for each reporting unit. Discount rates were determined using a weighted average cost of capital for risk factors specific to each reporting segment and other market and industry data. The assumptions used are inherently subject to uncertainty and the Company noted that slight changes in these assumptions could have a significant impact on the concluded value. For purposes of the impairment test, the fair value of indefinite-lived assets were determined using the same methodology as described in Note 18, “Business Combinations.”
The estimates and assumptions applied represent a Level 3 measurement because they are supported by limited or no market activity and reflect the Company’s assumptions in measuring fair value.