Quarterly report pursuant to Section 13 or 15(d)

Intangible Assets, Net and Goodwill

v3.5.0.2
Intangible Assets, Net and Goodwill
9 Months Ended
Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets, Net and Goodwill
INTANGIBLE ASSETS, NET
Intangible assets that are determined to have finite lives include patents, purchased technology and customer relationships and are amortized over their estimated useful lives, which range from approximately 3 to 10 years, and are measured for impairment only when events or circumstances indicate the carrying value may be impaired. Goodwill and intangible assets with indefinite useful lives, including trademarks and trade names, are not amortized but are periodically evaluated for impairment.
Intangible Assets
The following table summarizes the Company’s identifiable intangible assets (in thousands):
 
September 30,
2016
 
December 31,
2015
 
September 30,
2015
Intangible assets subject to amortization:
 
 
 
 
 
Patents and purchased technology
$
14,198

 
$
14,198

 
$
14,198

Customer relationships
23,000

 
23,000

 
23,000

Gross carrying amount
37,198

 
37,198

 
37,198

Accumulated amortization:
 
 
 
 
 
Patents and purchased technology
(8,989
)
 
(7,992
)
 
(7,659
)
Customer relationships
(8,906
)
 
(6,043
)
 
(5,089
)
Total accumulated amortization
(17,895
)
 
(14,035
)
 
(12,748
)
Net carrying amount
19,303

 
23,163

 
24,450

Intangible assets not subject to amortization
115,421

 
115,421

 
115,421

Intangible assets, net
$
134,724

 
$
138,584

 
$
139,871


Amortization expense for intangible assets subject to amortization was $1,287,000 for both the three months ended September 30, 2016 and 2015, and was $3,860,000 for both the nine months ended September 30, 2016 and 2015.
Annual amortization expense is estimated to be as follows for the years 2016-2020 (in thousands):
2016
$
5,147

2017
3,883

2018
2,980

2019
2,980

2020
2,537