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Goodwill and Intangible Assets (Tables)

9 Months Ended

Sep. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Changes in Carrying Amounts of Goodwill

The changes in carrying amounts of goodwill for the nine months ended September 30, 2021 are as follows (in thousands):

			Fax and Martech						Voice, Backup, Security and CPP						Total Cloud Services						Digital Media						Consolidated
Balance as of January 1, 2021			$	425,471					$	499,025					$	924,496					$	942,934					$	1,867,430
Goodwill acquired (Note 4)			41,152						—						41,152						44,400						85,552
Goodwill removed due to sale of businesses (1)			—						(50,276)						(50,276)						—						(50,276)
Goodwill impairment (2)			—						(32,629)						(32,629)						—						(32,629)
Purchase accounting adjustments (3)			—						505						505						(1,468)						(963)
Foreign exchange translation			(3,462)						(3,890)						(7,352)						(430)						(7,782)
Balance as of September 30, 2021			$	463,161					$	412,735					$	875,896					$	985,436					$	1,861,332

(1) On February 9, 2021, in a cash transaction, the Company sold certain of its Voice assets in the United Kingdom which resulted in $1.3 million of goodwill being removed in connection with this sale and on September 17, 2021, the Company sold certain of its B2B Backup assets which resulted in $49.0 million of goodwill being removed in connection with the sale (see Note 6 - Dispositions).

(2) During the nine months ended September 30, 2021, the Company had an impairment to goodwill of $32.6 million in connection with certain B2B Backup assets.

(3) Purchase accounting adjustments relate to measurement period adjustments to goodwill in connection with prior business acquisitions (see Note 4 - Business Acquisitions).

Intangible Assets with Indefinite Lives

Intangible assets are summarized as of September 30, 2021 and December 31, 2020 as follows (in thousands):

			September 30, 2021						December 31, 2020
Trade names			$	27,412					$	27,460
Other			4,317						4,329
Total			$	31,729					$	31,789

Intangible Assets Subject to Amortization

As of September 30, 2021, intangible assets subject to amortization relate primarily to the following (in thousands):

			Weighted-Average   Amortization Period						Historical Cost						Accumulated Amortization						Net
Trade names			9.7 years						$	258,382					$	107,472					$	150,910
Patent and patent licenses			5.4 years						67,962						67,250						712
Customer relationships (1)			8.6 years						764,852						462,955						301,897
Other purchased intangibles			4.2 years						468,934						313,020						155,914
Total									$	1,560,130					$	950,697					$	609,433

(1) Historically, the Company has amortized its customer relationship assets in a pattern that best reflects the pace at which the asset’s benefits are consumed. This pattern results in a substantial majority of the amortization expense being recognized in the first 4 to 5 years, despite the overall life of the asset.

As of December 31, 2020, intangible assets subject to amortization relate primarily to the following (in thousands):

			Weighted-Average   Amortization Period						Historical Cost						Accumulated Amortization						Net
Trade names			10.0 years						$	260,715					$	100,273					$	160,442
Patent and patent licenses			5.5 years						67,980						66,964						1,016
Customer relationships (1)			8.0 years						848,875						471,681						377,194
Other purchased intangibles			4.3 years						436,352						265,224						171,128
Total									$	1,613,922					$	904,142					$	709,780

(1) Historically, the Company has amortized its customer relationship assets in a pattern that best reflects the pace at which the asset’s benefits are consumed. This pattern results in a substantial majority of the amortization expense being recognized in the first 4 to 5 years, despite the overall life of the asset.

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Tabular disclosure of assets, excluding financial assets and goodwill, lacking physical substance with a finite life, by either major class or business segment.

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Tabular disclosure of assets, excluding financial assets and goodwill, lacking physical substance and exist in perpetuity, by either major class or business segment.

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