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COMMON STOCK AND STOCK-BASED COMPENSATION PLANS (Tables) | 9 Months Ended
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Sep. 30, 2013
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] |
Summary of Stock Option Activity | A summary of the Company’s stock option and SARs activities and related information for the nine months ended September 30, 2013, are as follows:
|  | Number of options and SAR units |  |  | Weighted average exercise price |  |  | Weighted average remaining contractual term |  |  | Aggregate intrinsic- value |
Outstanding as of December 31, 2012 |  |  | 2,546,117 |  |  | $ | 15.88 |  |  |  |  |  |  |  |  |
Granted (1) |  |  | 810,250 |  |  |  | 16.72 |  |  |  |  |  |  |  |  |
Options/SAR units exercised |  |  | (139,192 | ) |  |  | 8.15 |  |  |  |  |  |  |  |  |
Options/SAR units forfeited or expired |  |  | (65,538 | ) |  |  | 22.63 |  |  |  |  |  |  |  |  |
Outstanding as of September 30, 2013 (2) |  |  | 3,151,637 |  |  | $ | 16.30 |  |  |  | 5.0 |  |  | $ | 9,438,131 |
Exercisable as of September 30, 2013 (3) |  |  | 1,535,800 |  |  | $ | 14.51 |  |  |  | 3.4 |  |  | $ | 7,871,821 |
| (1) | Included 678,250 SAR units which are convertible for a maximum number of shares of the Company’s common stock equal to 75% of the SAR units subject to the grant.
| (2) | Due to the ceiling imposed on the SAR grants, the outstanding amount equals a maximum of 2,848,877 shares of the Company’s common stock issuable upon exercise.
| (3) | Due to the ceiling imposed on the SAR grants, the exercisable amount equals a maximum of 1,499,082 shares of the Company’s common stock issuable upon exercise.
Equity-Based Compensation Expense Included in Interim Condensed Consolidated Statements of Operations | The following table shows the total equity-based compensation expense included in the interim condensed consolidated statements of operations:
|  | Nine months ended September 30, |  |  | Three months ended September 30, |
|  | 2013 |  |  | 2012 |  |  | 2013 |  |  | 2012 |
|  | (unaudited) |  |  | (unaudited) |  |  | (unaudited) |  |  | (unaudited) |
Cost of revenue |  | $ | 223 |  |  | $ | 177 |  |  | $ | 73 |  |  | $ | 73 |
Research and development, net |  |  | 1,489 |  |  |  | 1,327 |  |  |  | 634 |  |  |  | 468 |
Sales and marketing |  |  | 1,021 |  |  |  | 723 |  |  |  | 393 |  |  |  | 284 |
General and administrative |  |  | 1,691 |  |  |  | 1,461 |  |  |  | 660 |  |  |  | 541 |
Total equity-based compensation expense |  | $ | 4,424 |  |  | $ | 3,688 |  |  | $ | 1,760 |  |  | $ | 1,366 |
Assumptions Used to Estimate Fair Value of Stock Options Granted and SARs Granted to Employees | The fair value for the Company’s stock options and SARs (other than share issuances in connection with the employee stock purchase plan, as detailed below) granted to employees and non-employees directors was estimated using the following assumptions:
|  | Nine months ended September 30, |  |  | Three months ended September 30, |
|  | 2013 |  |  | 2012 |  |  | 2013 |  |  | 2012 |
|  | (unaudited) |  |  | (unaudited) |  |  | (unaudited) |  |  | (unaudited) |
Expected dividend yield |  |  | 0 | % |  |  | 0 | % |  |  | 0 | % |  |  | 0 | %
Expected volatility |  |  | 38%-54 | % |  |  | 47%-58 | % |  |  | 39%-53 | % |  |  | 47%-55 | %
Risk-free interest rate |  |  | 0.1%-2.5 | % |  |  | 0.1%-1.2 | % |  |  | 0.1%-2.0 | % |  |  | 0.2%-1.0 | %
Expected forfeiture (employees) |  |  | 10 | % |  |  | 10 | % |  |  | 10 | % |  |  | 10 | %
Expected forfeiture (executives) |  |  | 5 | % |  |  | 5 | % |  |  | — |  |  |  | 5 | %
Contractual term of up to |  |  | 10 Years |  |  |  | 10 Years |  |  |  | 7 Years |  |  |  | 7 Years |
Suboptimal exercise multiple (employees) |  |  | 2.1 |  |  |  | 2.1 |  |  |  | 2.1 |  |  |  | 2.1 |
Suboptimal exercise multiple (executives) |  |  | 2.4 |  |  |  | 2.4 |  |  |  | — |  |  |  | 2.4 |
Assumptions Used to Estimate Fair Value of Employee Stock Purchase Plan | The fair value for rights to purchase shares of common stock under the Company’s employee stock purchase plan was estimated on the date of grant using the following assumptions:
|  | Nine months ended September 30, |  |  | Three months ended September 30, |
|  | 2013 |  |  | 2012 |  |  | 2013 |  |  | 2012 |
|  | (unaudited) |  |  | (unaudited) |  |  | (unaudited) |  |  | (unaudited) |
Expected dividend yield |  |  | 0 | % |  |  | 0 | % |  |  | 0 | % |  |  | 0 | %
Expected volatility |  |  | 34%-53 | % |  |  | 41%-61 | % |  |  | 34%-52 | % |  |  | 47%-55 | %
Risk-free interest rate |  |  | 0.1%-0.2 | % |  |  | 0.1%-0.6 | % |  |  | 0.1%-0.2 | % |  |  | 0.2%-1.0 | %
Expected forfeiture |  |  | 0 | % |  |  | 0 | % |  |  | 0 | % |  |  | 0 | %
Contractual term of up to |  |  | 24 months |  |  |  | 24 months |  |  |  | 24 months |  |  |  | 24 months |

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- Definition Tabular disclosure of the number and weighted-average exercise prices (or conversion ratios) for share options (or share units) that were outstanding at the beginning and end of the year, vested and expected to vest, exercisable or convertible at the end of the year, and the number of share options or share units that were granted, exercised or converted, forfeited, and expired during the year. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c)(1) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 + Details
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- Definition Tabular disclosure of the significant assumptions used during the year to estimate the fair value of employee stock purchase plans, including, but not limited to: (a) expected term, (b) expected volatility of the entity's shares, (c) expected dividends, (d) risk-free rate(s), and (e) discount for post-vesting restrictions. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (f)(2) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 + Details
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