XML 26 R18.htm IDEA: XBRL DOCUMENT
v2.4.0.6

Segment Information And Concentrations Of Risk | 12 Months Ended
--- | ---
Dec. 31, 2011
Segment Information And Concentrations Of Risk [Abstract] |
Segment Information And Concentrations Of Risk |
12. | Segment Information and Concentrations of Risk
Segment Information The Company operates in the wireless broadband technology industry and senior management makes decisions about allocating resources based on the following reportable segments: Mobile Computing Products segment—includes our MiFi products, USB and PC-card modems and Embedded Modules that enable data transmission and services via cellular wireless networks. All products within the segment represent a single product family. M2M Products and Solutions segment—includes our intelligent asset-management solutions utilizing wireless technology and M2M communications acquired with our acquisition of Enfora (Note 2). Segment net revenues and segment operating income (loss) represent the primary financial measures used by senior management to assess performance and include the net revenues, cost of net revenues, and operating expenses for which management is held accountable. Segment operating expenses include sales and marketing, research and development, general and administration, and amortization expenses that are directly related to individual segments. Segment earnings (loss) also may include acquisition-related costs, purchase price amortization, restructuring and integration costs. The table below presents net revenues and operating income (loss) for our reportable segments (in thousands):
|  | Year Ended December 31, |
|  | 2011 |  |  | 2010 |  |  | 2009 |
Net revenues from reportable segment: |  |  |  |  |  |  |  |  |  |  |  |
Mobile Computing Products |  | $ | 358,106 |  |  | $ | 332,464 |  |  | $ | 337,422 |
M2M Products and Solutions |  |  | 44,756 |  |  |  | 6,478 |  |  |  | — |
Total |  | $ | 402,862 |  |  | $ | 338,942 |  |  | $ | 337,422 |
Operating income (loss): |  |  |  |  |  |  |  |  |  |  |  |
Mobile Computing Products |  | $ | (13,764 | ) |  | $ | (23,027 | ) |  | $ | 2,750 |
M2M Products and Solutions |  |  | (19,963 | ) |  |  | (1,975 | ) |  |  | — |
Total |  | $ | (33,727 | ) |  | $ | (25,002 | ) |  | $ | 2,750 |
|  | December 31, |
|  | 2011 |  |  | 2010 |
Identifiable assets by reportable segment: |  |  |  |  |  |  |  |
Mobile Computing Products |  | $ | 181,180 |  |  | $ | 217,445 |
M2M Products and Solutions |  |  | 67,999 |  |  |  | 84,663 |
Total |  | $ | 249,179 |  |  | $ | 302,108 |
The Company has operations in the United States, Canada, Europe and Asia. The following table details the geographic concentration of the Company's assets in the United States, Canada, Europe and Asia (in thousands):
|  | Year Ended December 31, |
|  | 2011 |  |  | 2010 |
United States |  | $ | 243,030 |  |  | $ | 293,227 |
Canada |  |  | 4,764 |  |  |  | 8,059 |
Europe |  |  | 280 |  |  |  | 318 |
Asia |  |  | 1,105 |  |  |  | 504 |
|  | $ | 249,179 |  |  | $ | 302,108 |
The following table details the Company's concentration of net revenues by geographic region based on shipping destination:
|  | Year Ended December 31, |
|  | 2011 |  |  | 2010 |  |  | 2009 |
North America |  |  | 93.5 | % |  |  | 95.0 | % |  |  | 93.0 | %
Europe |  |  | 4.0 |  |  |  | 4.7 |  |  |  | 6.6 |
Asia |  |  | 2.5 |  |  |  | 0.3 |  |  |  | 0.4 |
|  |  | 100.0 | % |  |  | 100.0 | % |  |  | 100.0 | %
Concentrations of Risk Substantially all of the Company's net revenues are derived from sales of wireless access products. Any significant decline in market acceptance of the Company's products or in the financial condition of the Company's customers would have an adverse effect on the Company's results of operations and financial condition. A significant portion of the Company's net revenues come from a small number of customers. Two customers accounted for 50.8% and 13.1% of 2011 net revenues. Two customers accounted for 55.7% and 17.1% of 2010 net revenues. Three customers accounted for 38.1%, 20.5% and 10.7% of 2009 net revenues. All significant customers are included in the Company's Mobile Computing Products segment. A significant portion of the Company's accounts receivables comes from a small number of customers. At December 31, 2011, the Company had two customers who accounted for 46.5% and 19.8% of total accounts receivable. At December 31, 2010, the Company had two customers who accounted for 35.04% and 30.9% of total accounts receivable. The Company outsources its manufacturing to four third-party manufacturers. If they were to experience delays, disruptions, capacity constraints or quality control problems in its manufacturing operations, product shipments to the Company's customers could be delayed or its customers could consequently elect to cancel the underlying order, which would negatively impact the Company's net revenues and results of operations.

X
- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 131 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599 Reference 15: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Details
Name: | us-gaap_SegmentReportingMeasurementDisclosuresAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration