Property and Equipment, Net

12 Months Ended

Jan. 31, 2016

Property Plant And Equipment [Abstract]

Note 4. Property and Equipment, Net

Property and equipment, net consisted of the following (in thousands):

	January 31,
	2016			2015
Servers	$	111,015		$	81,068
Leasehold improvements		70,106			13,400
Computer hardware and software		11,009			8,724
Furniture and fixtures		10,461			5,046
Construction in progress		4,808			4,815
Total property and equipment		207,399			113,053
Less: accumulated depreciation		(86,907	)		(54,607	)
Total property and equipment, net	$	120,492		$	58,446

As of January 31, 2016, the gross carrying amount of property and equipment includes $13.9 million of servers and $1.2 million of construction in progress acquired under capital leases, and the accumulated depreciation of property and equipment acquired under these capital leases was $2.4 million. As of January 31, 2015, the gross carrying amount of property and equipment includes $1.9 million of servers and $69,000 of construction in progress acquired under capital leases, and the accumulated depreciation of property and equipment acquired under these capital leases was $140,000.

Depreciation expense related to property and equipment was $34.8 million, $25.4 million and $15.9 million for the years ended January 31, 2016, 2015 and 2014, respectively. Included in these amount were depreciation expense for servers acquired under capital leases in the amount of $2.3 million, $140,000 and $0, for the same periods respectively. Construction in progress primarily consists of servers, networking equipment and storage infrastructure being provisioned in our third party datacenter hosting facilities as well as leasehold improvements. In addition, the amounts of interest capitalized to property and equipment were $400,000, $311,000 and $284,000 for the years ended January 31, 2016, 2015 and 2014, respectively.