XML 30 R18.htm IDEA: XBRL DOCUMENT v3.10.0.1
Goodwill and Intangible Assets
12 Months Ended
Dec. 31, 2018
Goodwill And Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets

Note 10 – Goodwill and Intangible Assets

Goodwill, which relates to our acquisitions of Bluesocket, Inc. and SmartRG, were $7.1 million at December 31, 2018 and $3.5 million at December 31, 2017 of which $6.7 million and $0.4 million is allocated to our Network Solutions and Services & Support reportable segments, respectively, for the year ended December 31, 2018 and of which $3.1 million and $0.4 million is allocated to our Network Solutions and Services & Support reportable segments, respectively, for the year ended December 31, 2017.

We evaluate the carrying value of goodwill during the fourth quarter of each year and between annual evaluations if events occur or circumstances change that would more likely than not reduce the fair value of the reporting unit below its carrying amount. We have elected to first assess the qualitative factors to determine whether it is more likely than not that the fair value of the reporting unit to which the goodwill is assigned is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step impairment test. If we determine that it is more likely than not that its fair value is less than its carrying amount, then the two-step impairment test is performed. Based on the results of our qualitative assessment in 2018, we concluded that it was not necessary to perform the two-step impairment test. There were no impairment losses on goodwill recognized for the years ended December 31, 2018, 2017 and 2016.

The following table presents our intangible assets as of December 31, 2018 and 2017:

 

 

 

2018

 

 

2017

 

(In thousands)

 

Gross Value

 

 

Accumulated

Amortization

 

 

Net Value

 

 

Gross Value

 

 

Accumulated

Amortization

 

 

Net Value

 

Customer relationships

 

$

22,455

 

 

$

(5,380

)

 

$

17,075

 

 

$

7,474

 

 

$

(4,283

)

 

$

3,191

 

Developed technology

 

 

12,801

 

 

 

(4,867

)

 

 

7,934

 

 

 

5,524

 

 

 

(4,663

)

 

 

861

 

Licensed technology

 

 

5,900

 

 

 

(520

)

 

 

5,380

 

 

 

 

 

 

 

 

 

 

Supplier relationships

 

 

2,800

 

 

 

(1,108

)

 

 

1,692

 

 

 

 

 

 

 

 

 

 

Patents

 

 

500

 

 

 

(157

)

 

 

343

 

 

 

500

 

 

 

(89

)

 

 

411

 

Licensing agreements

 

 

560

 

 

 

(5

)

 

 

555

 

 

 

 

 

 

 

 

 

 

Intellectual property

 

 

930

 

 

 

(930

)

 

 

 

 

 

930

 

 

 

(852

)

 

 

78

 

Non-compete

 

 

200

 

 

 

(200

)

 

 

 

 

 

200

 

 

 

(115

)

 

 

85

 

Trade names

 

 

310

 

 

 

(106

)

 

 

204

 

 

 

100

 

 

 

(65

)

 

 

35

 

Total

 

$

46,456

 

 

$

(13,273

)

 

$

33,183

 

 

$

14,728

 

 

$

(10,067

)

 

$

4,661

 

 

Amortization expense was $2.3 million, $2.9 million and $2.5 million for the years ended December 31, 2018, 2017 and 2016, respectively.

As of December 31, 2018, the estimated future amortization expense of intangible assets is as follows:

 

(In thousands)

 

Amount

 

2019

 

$

5,332

 

2020

 

 

4,450

 

2021

 

 

4,101

 

2022

 

 

3,477

 

2023

 

 

3,325

 

Thereafter

 

 

12,498

 

Total

 

$

33,183