Financial Statement Details

Short-term investments

The Company acquired certain short-term investments in trading securities through its acquisition of Ctrack. The Company recognized a gain of approximately $0.2 million and $0.1 million on such securities during the years ended December 31, 2016 and 2015, respectively, which is included in other income (expense), net, in the consolidated statements of operations.

Inventories

Inventories consist of the following (in thousands):



	December 31,
	2016		2015
Finished goods	$	19,277	$	47,094
Raw materials and components	11,865		8,743
	$	31,142	$	55,837

Property, Plant and Equipment

Property, plant and equipment consists of the following (in thousands):



	December 31,
	2016			2015
Land	$	260		$	229
Buildings	2,363			2,084
Test equipment	23,115			47,243
Computer equipment and purchased software	4,373			11,399
Product tooling	409			3,832
Furniture and fixtures	915			2,151
Vehicles	1,746			1,042
Leasehold improvements	243			3,664
	33,424			71,644
Less—accumulated depreciation and amortization	(25,032		)	(62,832		)
	$	8,392		$	8,812

At December 31, 2016, the Company had vehicles and equipment under capital leases of $1.8 million, net of accumulated amortization of $1.1 million. At December 31, 2015, the Company had vehicles and equipment under capital leases of $1.5 million, net of accumulated amortization of $0.2 million.

Rental Assets

Rental assets consist of the following (in thousands):



	December 31,
	2016			2015
Rental assets	$	11,115		$	7,189
Less—accumulated depreciation	(4,112		)	(1,034		)
	$	7,003		$	6,155

Depreciation and amortization expense related to property, plant and equipment, including equipment under capital leases, and rental assets was $7.8 million, $5.0 million and $6.3 million for the years ended December 31, 2016, 2015 and 2014, respectively.

Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consist of the following (in thousands):



	December 31,
	2016		2015
Royalties	$	1,544	$	2,740
Payroll and related expenses	5,315		4,406
Warranty obligations	480		932
Market development funds and price protection	320		2,805
Professional fees	4,793		1,060
Deferred revenue	1,656		1,836
Restructuring	837		1,044
Acquisition-related liabilities	7,912		5,274
Divestiture-related liabilities	463		—
Other	4,577		5,516
	$	27,897	$	25,613

Accrued Warranty Obligations

Accrued warranty obligations consist of the following (in thousands):



	Year Ended December 31,
	2016			2015
Accrued warranty obligations at beginning of period	$	932		$	1,196
Additions charged to operations	821			1,090
Deductions from liability	(1,262		)	(1,354		)
Effect of change in foreign currency exchange rates	(11		)	—
Accrued warranty obligations at end of period	$	480		$	932