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Patent Sale and License | 12 Months Ended
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Dec. 31, 2014
Patent Sale and License |
Patent Sale and License | Note 4: Patent Sale and License In December 2011, the Company entered into a patent purchase agreement for the sale of 43 United States and 30 related foreign memory technology patents for $35 million in cash and a license for the use of those patents in the Bandwidth Engine ICs and other limited uses. The license to the sold patents covers the Company's Bandwidth Engine IC product line and technology partners, along with related rights to offer sublicenses to current and future partners. This right to use the patents was valued to be $0.8 million and has been recorded as an intangible asset, referred to as a patent license in Note 2. The value was determined based on the present value of the future cash flows that could potentially be generated by the patent license over its estimated remaining life. The patent license is being amortized over its estimated useful life of seven years.

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