Scientific Learning (SCIL) Inactive 10-K28 Mar 142013 FY Annual reportFinancial data

Company Profile

Document_And_Entity_Informatio

Document And Entity Information (USD $)	12 Months Ended
Document And Entity Information (USD $)	Dec. 31, 2013	Mar. 20, 2014	Jun. 30, 2013
Document And Entity Information [Abstract]	'	'	'
Document Type	'10-K	'	'
Amendment Flag	'false	'	'
Document Period End Date	31-Dec-13	'	'
Document Fiscal Period Focus	'FY	'	'
Document Fiscal Year Focus	'2013	'	'
Entity Registrant Name	'SCIENTIFIC LEARNING CORP	'	'
Trading Symbol	'scil	'	'
Entity Central Index Key	'0001042173	'	'
Entity Current Reporting Status	'Yes	'	'
Entity Voluntary Filers	'No	'	'
Current Fiscal Year End Date	'--12-31	'	'
Entity Filer Category	'Smaller Reporting Company	'	'
Entity Well-known Seasoned Issuer	'No	'	'
Entity Public Float	'	'	$5,049,605
Entity Common Stock Shares Outstanding	'	23,854,958	'

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Assets	'	'
Cash and cash equivalents	$2,638	$2,272
Accounts receivable, net of allowance for doubtful accounts of $23 and $52, respectively	2,259	2,446
Prepaid expense and other current assets	630	1,484
Total current assets	5,527	6,202
Property and equipment, net	936	2,028
Goodwill	'	4,568
Other assets	652	260
Total assets	7,115	13,058
Liabilities and stockholdersâ€™ deficit	'	'
Accounts payable	294	715
Accrued liabilities	1,760	1,981
Loan payable	'	800
Deferred revenue, short-term	9,703	10,964
Total current liabilities	11,757	14,460
Deferred revenue, long-term	882	2,521
Long-term debt	4,608	'
Warrant liability	495	534
Other liabilities	8	771
Total liabilities	17,750	18,286
Commitments and contingencies (see Note 16 to the consolidated financial statements)	'	'
Stockholders' deficit:	'	'
Common stock $0.001 par value: 40,000,000 authorized, 23,873,705 and 23,442,837 shares issued and outstanding at December 31, 2013 and 2012, respectively, and additional paid-in capital	96,642	95,839
Accumulated deficit	-107,273	-101,069
Accumulated other comprehensive income (loss)	-4	2
Total stockholders' deficit	-10,635	-5,228
Total liabilities and stockholders' deficit	$7,115	$13,058

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Dec. 31, 2013	Dec. 31, 2012
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Consolidated Balance Sheets [Abstract]	'	'
Accounts receivable allowance for doubtful accounts	$23	$52
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	40,000,000	40,000,000
Common stock, shares issued	23,873,705	23,442,837
Common stock, shares outstanding	23,873,705	23,442,837

Consolidated_Statements_Of_Ope

Consolidated Statements Of Operations (USD $)	12 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Revenues:	'	'	'
Subscription	$6,709	$4,524	$2,407
License	3,011	8,770	20,002
Service and support	11,342	14,849	18,670
Total revenues	21,062	28,143	41,079
Cost of revenues:	'	'	'
Cost of subscription	1,247	1,110	613
Cost of license	258	974	1,412
Cost of service and support	3,404	5,704	8,663
Total cost of revenues	4,909	7,788	10,688
Gross profit	16,153	20,355	30,391
Operating expenses:	'	'	'
Sales and marketing	9,105	15,368	17,979
Research and development	3,778	6,998	10,324
General and administrative	5,277	7,549	8,413
Impairment of goodwill	4,568	'	'
Restructuring	219	1,462	'
Total operating expenses	22,947	31,377	36,716
Operating loss	-6,794	-11,022	-6,325
Interest and other income (expense), net	-41	1,560	13
Loss before provision for income taxes	-6,835	-9,462	-6,312
Provision (benefit) for income taxes	-631	188	164
Net loss	($6,204)	($9,650)	($6,476)
Net loss per share:	'	'	'
Basic and diluted net loss per share	($0.26)	($0.43)	($0.34)
Weighted average shares used in computation of per share data:	'	'	'
Basic and diluted weighted average shares outstanding	23,673	22,310	18,870

Consolidated_Statements_Of_Com

Consolidated Statements Of Comprehensive Income (Loss) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Consolidated Statements Of Comprehensive Income (Loss) [Abstract]	'	'	'
Net loss	($6,204)	($9,650)	($6,476)
Other comprehensive income (loss):	'	'	'
Foreign currency translation adjustments, net of tax	-6	-1	3
Comprehensive loss	($6,210)	($9,651)	($6,473)

Consolidated_Statements_Of_Cas

Consolidated Statements Of Cash Flows (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Operating Activities:	'	'	'
Net loss	($6,204)	($9,650)	($6,476)
Adjustments to reconcile net loss to cash used in operating activities:	'	'	'
Depreciation and amortization	1,343	2,446	1,924
Investment impairment charge	'	200	'
Capitalized software impairment charge	'	116	'
Fixed asset impairment charge	35	23	'
Goodwill impairment charge	4,568	'	'
Stock based compensation expense	750	815	1,232
Paid-in-kind interest expense	426	'	'
Amortization of debt discount and deferred debt issuance cost	325	'	'
Decrease in fair value of warrant	-737	-1,834	'
Changes in operating assets and liabilities:	'	'	'
Accounts receivable	187	1,987	620
Prepaid expenses and other current assets	854	225	409
Other assets	-401	807	62
Accounts payable	-421	-166	338
Accrued liabilities	-221	-1,575	-642
Deferred revenue	-2,900	-3,837	-4,549
Other liabilities	-763	-14	-72
Net cash used in operating activities	-3,159	-10,457	-7,154
Investing Activities:	'	'	'
Purchases of property and equipment and additions to capitalized software	-204	-598	-2,138
Purchases of investments	'	'	-5,313
Sales and maturities of investments	'	'	14,832
Net cash (used in) provided by investing activities	-204	-598	7,381
Financing Activities:	'	'	'
Borrowings under bank line of credit	2,300	8,597	'
Repayment of borrowings under bank line of credit	-3,100	-7,797	'
Proceeds from exercise of options and employee stock purchase plan	54	178	370
Proceeds from issuance of common stock, net	'	6,512	'
Proceeds from issuance of subordinated debt	4,600	'	'
Debt issuance cost	-118	'	'
Net settlement of common stock	-1	-33	-144
Net cash provided by financing activities	3,735	7,457	226
Effect of exchange rate changes on cash and cash equivalents	-6	-1	3
Increase (decrease) in cash and cash equivalents	366	-3,599	456
Cash and cash equivalents at beginning of period	2,272	5,871	5,415
Cash and cash equivalents at end of period	2,638	2,272	5,871
Supplemental disclosure of cash flow information	'	'	'
Cash paid for income taxes	2	32	25
Cash paid for interest	27	66	13
Non-cash financing activity	'	'	'
Fair value of common stock warrants issued in connection with common stock offering	'	2,368	'
Fair value of common stock warrants issued in connection with subordinated debt financing	$698	'	'

Consolidated_Statements_Of_Sto

Consolidated Statements Of Stockholders' Equity (Deficit) (USD $)	Common Stock And Additional Paid-In Capital [Member]	Accumulated Deficit [Member]	Other Comprehensive Income (Loss) [Member]	Total
In Thousands, except Share data	Common Stock And Additional Paid-In Capital [Member]	Accumulated Deficit [Member]	Other Comprehensive Income (Loss) [Member]	Total
Balance at Dec. 31, 2010	$89,277	($84,943)	'	$4,334
Balance, shares at Dec. 31, 2010	18,702,044	'	'	'
Issuance of common stock under stock option plan	62	'	'	62
Issuance of common stock under stock option plan,shares	34,896	'	'	'
Issuance of common stock under employee stock purchase plan	306	'	'	306
Issuance of common stock under employee stock purchase plan,shares	117,961	'	'	'
Stock-based compensation expense	1,232	'	'	1,232
Vesting of restricted stock units	2	'	'	2
Vesting of restricted stock units,shares	150,252	'	'	'
Tax withholding related to vesting of restricted stock units	-144	'	'	-144
Net loss	'	-6,476	'	-6,476
Currency translation adjustment	'	'	3	3
Balance at Dec. 31, 2011	90,735	-91,419	3	-681
Balance,shares at Dec. 31, 2011	19,005,153	'	'	'
Issuance of common stock under stock option plan	42	'	'	42
Issuance of common stock under stock option plan,shares	35,582	'	'	'
Issuance of common stock under employee stock purchase plan	131	'	'	131
Issuance of common stock under employee stock purchase plan,shares	149,482	'	'	'
Exercise of options and warrants in private offering	4	'	'	4
Exercise of options and warrants in private offering, shares	4,176,420	'	'	'
Net proceeds from private offering	4,140	'	'	4,140
Stock-based compensation expense	815	'	'	815
Vesting of restricted stock units,shares	76,200	'	'	'
Tax withholding related to vesting of restricted stock units	-28	'	'	-28
Net loss	'	-9,650	'	-9,650
Currency translation adjustment	'	'	-1	-1
Balance at Dec. 31, 2012	95,839	-101,069	2	-5,228
Balance,shares at Dec. 31, 2012	23,442,837	'	'	23,442,837
Issuance of common stock under employee stock purchase plan	54	'	'	54
Issuance of common stock under employee stock purchase plan,shares	149,477	'	'	'
Stock-based compensation expense	750	'	'	750
Vesting of restricted stock units,shares	283,989	'	'	'
Tax withholding related to vesting of restricted stock units	-1	'	'	-1
Tax withholding related to vesting of restricted stock units, shares	-2,598	'	'	'
Net loss	'	-6,204	'	-6,204
Currency translation adjustment	'	'	-6	-6
Balance at Dec. 31, 2013	$96,642	($107,273)	($4)	($10,635)
Balance,shares at Dec. 31, 2013	23,873,705	'	'	23,873,705

Summary_Of_Significant_Account

Summary Of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2013
Summary Of Significant Accounting Policies [Abstract]	'
Summary Of Significant Accounting Policies	'
	1. Summary of Significant Accounting Policies

	Description of Business

	Scientific Learning Corporation (the “Company”) develops, distributes and licenses technology that accelerates learning by improving the processing efficiency of the brain.

	The Company’s patented products build learning capacity by rigorously and systematically applying neuroscience-based learning principles to improve the fundamental cognitive skills required to read and learn. To facilitate the use of the Company’s products, the Company offers a variety of on-site and remote professional and technical services, as well as phone, email and web-based support. The Company sells primarily to K-12 schools in the United States through a direct sales force.

	All of the Company’s activities are in one operating segment.

	The Company was incorporated in 1995 in the State of California and was reincorporated in 1997 in the State of Delaware.

	Basis of Presentation and Liquidity

	The Company’s cash and cash equivalents were $2.6 million at December 31, 2013, compared to cash and cash equivalents of $2.3 million at December 31, 2012. The Company has used cash from operations of $3.2 million. $10.5 million and $7.2 million in the years ended December 31, 2013, 2012 and 2011, respectively and have a working capital deficiency at December 31, 2013. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. The 2013 consolidated financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result from the outcome of this uncertainty.

	During the next twelve months, the Company expects to continue to fund its operations primarily from its current cash balances, cash from the Company’s sale of its patents and the completion of additional financing activities. On March 21, 2014, the company completed the sale of patents to a third party. See Note 19 to the consolidated financial statements for further discussion. To obtain additional financing the company is currently negotiating with banks to either amend its existing line of credit agreement with Comerica or to establish a new line of credit with a new bank to help fund its seasonal cash funding needs. However, there can be no assurance that the Company can establish a line of credit on terms that are acceptable to the Company. If the Company is unable to obtain additional financing, it may be unable to continue the development of its products and may have to cease operations.

	Historically, the Company has used more cash in its operations during the first half of the year and has improved cash from operations in the second half. This pattern results largely from its seasonally low sales in the first and fourth calendar quarters, which reflects the Company’s industry pattern, and the time needed to collect on sales made towards the end of the second quarter. The Company expects that this pattern will continue, and that it will use cash in operations during the first half of 2014. The Company expects that its cash balances, cash from its patent sale and the potential new line of credit that it anticipates completing will be sufficient to fund the Company’s operating requirements through the next twelve months.

	However, funding the Company’s operations in this manner will require it to achieve certain levels of booked sales and cash collections and maintain lower expenses. The Company cannot, however, be certain that it will achieve its forecasted booked sales or cash collections. If the Company is unable to achieve the needed levels of booked sales and cash collections, it expects to further reduce its expenses to ensure that it has sufficient liquidity to continue its operations through at least December 31, 2014. Reducing expenses substantially below current levels could have a negative impact on the Company’s future growth potential. In addition, the Company may be required to sell assets, issue additional equity securities or incur additional debt. The Company may not be able to accomplish any of these alternatives.

	On April 5, 2013, the Company issued $4.6 million of subordinated debt securities and warrants to purchase an aggregate of 1,846,940 shares of the Company’s common stock to a group of its current investors. The notes issued pursuant to the subordinated note and warrant purchase agreement bear simple interest at a rate of 12% per annum. From the issuance date through the first anniversary thereof, the Company will pay accrued and unpaid interest quarterly in arrears by increasing the principal amount of each note and thereafter will pay accrued and unpaid interest in cash in arrears on July 31, 2014, November 30, 2014 and April 5, 2015. The notes mature on April 5, 2015. The note and warrant purchase agreements contain customary affirmative and negative covenants, including notification and information covenants and covenants restricting the Company’s ability to merge or liquidate, incur debt, dispose of assets, incur liens, declare dividends or enter into transactions with affiliates. The note and warrant purchase agreements also require the Company to repay the notes upon the occurrence of a change of control (as defined in the note and warrant purchase agreement) at 101% of the principal amount thereof plus accrued and unpaid interest.

	Historically, the Company has maintained a revolving line of credit with Comerica. On August 9, 2013, the Company amended its credit line with Comerica. The Company’s amended line of credit has an effective limit of $4 million. In the amendment, Comerica agreed to waive past covenant violations and agreed not to measure compliance with the minimum bookings covenant until such time as the Company seeks to borrow against the line of credit. The amendment also requires that certain financial covenants be renegotiated prior to the Company borrowing against the line of credit.

	As of December 31, 2013, the Company had no borrowings outstanding on the line of credit. During the months ending January 31, 2013, February 28, 2013, May 31, 2013 and June 30, 2013 the Company was not in compliance with its line of credit covenants. Comerica granted the Company waivers of the covenant violations for these periods. Under the terms of the August 9, 2013 amendment to the line of credit, Comerica is not currently measuring the Company’s compliance with the minimum bookings covenants. As December 31, 2013, the Company is in compliance with the covenants that are being measured by Comerica.

	At March 28, 2014, the Company is actively negotiating with banks to amend its existing line of credit with Comerica or establish a new line of credit with a new bank. A new line of credit would require the Company to amend agreements with its subordinated debt holders. Should the Company fail to do this, it may not have a line of credit to draw upon. There is no assurance that the Company will be able to successfully do so.

	Use of Estimates

	The preparation of financial statements, in conformity with accounting principles generally accepted in the United States, requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the financial statements as well as the reported amounts of revenues and expenses during the periods presented. To the extent that there are material differences between these estimates and actual results, the Company’s financial statements could be affected.

	Principles of consolidation and basis of presentation

	The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries in Shanghai, China and Puerto Rico. All significant intercompany balances and transactions have been eliminated in consolidation.

	Reclassifications

	As a result of the shift in the Company’s business model, beginning in 2012, the Company has presented revenues and cost of revenues for subscriptions, licenses, and services and support. The Company has reclassified all prior year amounts to reflect the current year presentation, and the reclassification of prior year amounts did not have an impact on the Company’s total net revenues or results of operations. Subscription revenue primarily includes revenue from annual or monthly customer subscriptions to the Company’s web-based applications, including Fast ForWord, Reading Assistant, and BrainPro. License revenue includes revenue from sales of licenses to the Company’s software applications. Service and support revenue is primarily derived from annual agreements for the Company to host software applications purchased by its customers through perpetual licenses and provide reporting services, support, and maintenance, as well as ad hoc trainings, professional development, consulting, and other technical service agreements.

	Revenue Recognition

	The Company derives revenue from the sale of licenses to its software and from professional service and support fees. Software license revenue is recognized in accordance with accounting standards for software companies. Additionally, the Company derives revenue from subscription fees for access to and use of its on-demand application services. Under the Company’s subscription arrangements for its on-demand application services, the customer does not have the contractual right to take possession of the software at any time during the subscription period. Thus, revenue for the Company’s subscription services is recognized in accordance with accounting standards for service contracts.

	There are four basic criteria which must be met to recognize revenue. These are: 1) persuasive evidence of an arrangement exists; 2) delivery of the product has occurred; 3) a fixed or determinable fee; and 4) the collection of the fee is reasonably assured. The application of the relevant accounting standards requires the Company to exercise significant judgment related to specific transactions and transaction types. In cases where extended payment terms are granted to school customers, the Company determines if the fixed or determinable fee criterion is met by reference to the customer’s specific funding sources, especially where the payment terms extend into the customer’s next fiscal year. If the Company determines that the fixed or determinable fee criterion is not met at the inception of the arrangement, the Company defers revenue recognition until the payments become due.

	The value of software licenses, subscriptions, professional services and support invoiced during a particular period is recorded as deferred revenue until recognized. All revenue from transactions that include software license for new products that have not yet been delivered is deferred until the delivery of all products. Direct costs related to deferred software license revenue are deferred until the related license revenue is recognized.

	Multiple contracts with the same customer are generally accounted for as separate arrangements, except in cases where contracts are so closely related that they are effectively part of a single arrangement.

	Multiple-element software arrangements

	Booked sales of software to the Company’s school customers typically include multiple elements (e.g., Fast ForWord perpetual software licenses, support, training, implementation management, and other professional services). The Company recognizes software revenue using the residual method, whereby the difference between the total arrangement fee and the total “vendor specific objective evidence” (“VSOE”) of fair value of the undelivered elements is recognized as revenue relating to the delivered elements. VSOE of fair value for each element of an arrangement is based upon the normal pricing and discounting practices for those products and services when sold separately and, for support services, is also measured by the renewal price. The Company is required to exercise judgment in determining whether VSOE of fair value exists for each undelivered element based on whether the pricing for these elements is sufficiently consistent.

	Multiple-element on-demand application service arrangements

	Booked sales of subscriptions to the Company’s on-demand application services can also include multiple elements similar to software arrangements. The Company follows accounting guidance for revenue recognition of multiple-element arrangements to determine whether such arrangements contain more than one unit of accounting. Multiple-element arrangements require the delivery or performance of multiple products, services and/or rights to use assets. To qualify as a separate unit of accounting, the delivered item must have value to the customer on a standalone basis and revenue is allocated to each deliverable in the arrangement based on the relative fair value of the respective deliverable. The Company’s on-demand subscription services, support, training and implementation management services have standalone value as these services are sold separately by the Company, and the Company has established VSOE of fair value for determining the fair value of each element except for its on-demand subscription services.

	For its on-demand subscription services, the Company has determined the fair value to be allocated to these services basis based on management’s best estimate of selling price (BESP). In determining BESP, the Company has considered various factors including the Company’s historical pricing practices and internal costs, as well as historical student usage data related to previous sales of the Company’s products.

	Multiple-element arrangements—arrangements with software and nonsoftware elements

Booked sales may include a combination of software related and nonsoftware related products and services offerings including on-demand subscription services, perpetual software licenses, support, training, implementation management, and other professional services. In such arrangements, the Company first allocate the total arrangement consideration based on the relative selling prices of the software group of elements as a whole and to the nonsoftware elements. The Company then further allocate consideration within the software group to the respective elements within that group following the guidance in ASC 985-605 and our policies as described above. After the arrangement consideration has been allocated to the elements, the Company accounts for each respective element in the arrangement as described above.

Subscription revenue

Subscription revenue primarily includes revenue from annual or monthly customer subscriptions to our web-based applications, including Fast ForWord, Reading Assistant, and BrainPro. Subscription revenue is recognized as follows:

	·	On-demand application services – revenue for subscription services is recognized ratably over the term of the subscription period.
	·	Per student per month – student usage of any of our products during a calendar month. Revenue is recognized monthly over the period of use.
	·	Individual participant licenses – software licensed for a single participant. Revenue is recognized ratably over the term of the subscription period.








License revenue

License revenue primarily includes revenue from the sales of perpetual licenses to our software applications including Fast ForWord and Reading Assistant. License revenue is recognized as follows:

	·	Perpetual licenses – software licensed on a perpetual basis. Revenue is recognized at the later of product delivery date or contract start date using the residual method. If VSOE of fair value does not exist for all the undelivered elements, all revenue is deferred and recognized ratably over the service period if the undelivered element is services or when all elements have been delivered.
	·	Software term licenses – software licensed for a specific time period, generally a term of one to three years. Revenue is recognized ratably over the license term.

Professional service and support revenue

Professional service and support revenue is derived from a combination of training, implementation, technical and professional services, online services and customer support. Training, implementation, technical and other professional services are typically sold on a per day basis. Professional services revenue is recognized as performed. Online service and customer support are recognized ratably over the service period. If VSOE of fair value does not exist for all the elements in a software arrangement except software licenses, service revenue is recognized over the longest contractual period in an arrangement. Revenue from services sold alone or with support is recognized as performed.

Cash and Cash Equivalents

Cash and cash equivalents, which consist of cash on deposit with banks and money market accounts, are stated at fair value.

Accounts Receivable and Allowance for Doubtful Accounts

The Company conducts business primarily with public school districts and speech and language professionals in the United States. The Company records accounts receivable at the invoiced amount and the Company does not require collateral. The Company maintains an allowance for doubtful accounts for estimated losses due to the inability of customers to make payments. The allowance is determined based on any specific reserves deemed necessary and the Company’s historical experience of bad debt write-offs.

Deferred Charges

The Company defers royalty charges as incurred and recognizes the expense over the term of the related license agreements or service periods. These deferred charges are included in “Prepaid expenses and other current assets” and in “Other assets” in the consolidated balance sheets.

Property and Equipment

Property and equipment are recorded at cost. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, which range from three to five years. For leased assets and leasehold improvements, depreciation is computed using the straight-line method over the shorter of the lease or the estimated useful life.

Software and Website Development Costs

The Company capitalizes certain software development costs incurred subsequent to the establishment of technological feasibility and amortizes those costs over the estimated lives of the related products. The annual amortization is computed using the straight-line method over the remaining estimated economic life of the product. Technological feasibility is established upon completion of a working model. In 2013, 2012 and 2011, the Company capitalized $0.03 million, $0.1 million and $0.1 million of costs, respectively, relating to new products that had reached technological feasibility. For the years ended December 31, 2013, 2012 and 2011 amortization costs were $0.08 million, $0.2 million and $0.1 million respectively.

The Company also capitalizes costs related to internal use software and website application, infrastructure development and content development costs. Costs related to preliminary project activities and post implementation activities were expensed as incurred. Internal-use software is amortized on a straight line basis over its estimated useful life, generally three years. Management evaluates the useful lives of these assets on an annual basis and tests for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets. The capitalized costs are included in “Property and equipment” in the consolidated balance sheets. In each case the software or website is for internal needs, and the Company does not plan to market the software externally. For the years ended December 31, 2013, 2012, and 2011, the Company capitalized approximately $0.2 million, $0.4 million and $1.2 million of software and website development costs, respectively. For the years ended December 31, 2013, 2012 and 2011 amortization costs were $0.7 million, $0.9 million, and $0.5 million respectively.
The Company evaluates the useful lives of these assets on an annual basis and tests for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets. If indicators of impairment are present, estimates of future cash flows are used to test the recoverability of the asset. If the carrying amount of the asset exceeds its fair value, an impairment charge is recognized.

Payment in-kind interest

The Company accrues payment-in-kind interest. It is the amount of principal and interest payable related to the subordinated debt financing completed on April 5, 2013. From the issuance date through the first anniversary thereof, the Company accrues interest and increase the principal. See Note 7 to the consolidated financial statements for further discussion.

Debt discount and debt issuance costs

The Company has debt discount and debt issuance costs related to the subordinated debt issued on April 5, 2013. These costs are being amortized to interest expense over the life of the debt. In addition, the Company amortizes the deferred debt issuance costs over the life of the debt. See Note 7 to the consolidated financial statements.

Goodwill


Goodwill and purchased intangible assets were recorded when the Company acquired the assets of Soliloquy in 2008. The cost of the acquisition was allocated to the assets and liabilities acquired, including purchased intangible assets, and the remaining amount was classified as goodwill. Goodwill arising from purchase transactions is not amortized to expense, but rather periodically assessed for impairment. The allocation of the acquisition cost to purchased intangible assets and goodwill, therefore, has a significant impact on operating results. The allocation process involves an extensive use of estimates and assumptions, including estimates of future cash flows to be generated by the acquired assets.

Goodwill is required to be tested annually for impairment or between annual impairment tests if an event occurs or circumstances change that reduce the fair value of a reporting unit below its carrying amount. The Company performs its annual assessment for impairment of goodwill in the fourth quarter of each year and determined that there is a single reporting unit for the purposes of conducting the assessment. In assessing potential impairment, the Company estimates the fair value of the reporting unit and compares the amount of the carrying value of the reporting unit. If the Company determines that the carrying value of the reporting unit exceeds its fair value, an impairment charge would be measured.

As part of the Company’s annual impairment test during the fourth quarter of 2013, it concluded that there were sufficient adverse indicators that triggered a goodwill impairment analysis. Among the indicators were (1) economic and budgetary challenges in the Company’s key K-12 market, (2) its continued transition from an on-premise, perpetual license model to a subscription driven, web-based SaaS business model and its short term impact on profitability, and (3) a significant decrease in the Company’s market capitalization as a result of a decrease in the trading price of its common stock during the fourth quarter of 2013. As a result, the Company estimated the fair value of its goodwill and compared the estimate to the carrying amount. The results indicated that the carrying value exceeded the implied fair value of goodwill by approximately $5 million. Based on this, the Company concluded that a goodwill impairment existed at December 31, 2013. During the fourth quarter of 2013, the Company wrote off the full goodwill balance in the amount of $4.6 million.

Long-Lived Assets

Long-lived assets, such as property and equipment and purchased intangible assets subject to amortization are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The recoverability of an asset is measured by a comparison of the carrying amount of an asset to its estimated undiscounted future cash flows. If the carrying amount of an asset exceeds its estimated undiscounted future cash flows, an impairment charge is recognized for the amount by which the carrying amount of the asset exceeds the fair value of the asset. In 2013, the Company recorded $0.03 million of impairment charges related to long-lived assets. In 2012, the Company determined that no long-lived assets were impaired.

Fair Value of Financial Instruments

The carrying amounts of cash equivalents, accounts receivable and accounts payable approximate fair value as they are short-term in nature or have relatively short maturities.





Concentration of Risk

Financial instruments that are potentially subject to concentrations of credit risk consist principally of cash equivalents and accounts receivable.

Cash and cash equivalents are primarily held in a major financial institution in the United States. Such deposits may be in excess of insured limits and are not insured in other jurisdictions. The Company believes that the financial institution that holds the Company’s cash and cash equivalents is financially sound and, accordingly, minimal credit risk exists with respect to these assets.

Accounts receivable are primarily from sales to customers located in the United States. The Company performs ongoing credit evaluations of customers. The Company does not require collateral.

An allowance for doubtful accounts is determined with respect to those accounts that have been determined to be doubtful of collection. Two customers accounted for more than 43% of our accounts receivable balance at December 31, 2013. 47% of this balance was subsequently collected in February 2014. One customer accounted for more than 24% of our accounts receivable balance at December 31, 2012. This was subsequently collected in January 2013. No customer accounted for more than 10% of revenue in the years ended December 31, 2013, 2012 or 2011.

The Company has no off-balance sheet concentration of credit risk, such as foreign exchange contracts, option contracts or other hedging arrangements.

Concentration of sales in the K-12 market potentially exposes the Company to risk. More than 80% of our 2013 booked sales came from the K-12 market in the United States and Canada. That market is characterized by its dependence on federal funding and state and local tax revenues; a political environment, particularly when large transactions are involved; and a generally conservative approach to change. All of these attributes, particularly in the current economic and political environment, can result in a time-consuming and unpredictable sales cycle for large transactions. Because of the concentration of our sales in this market, we are particularly exposed to its risks.

Accounting for Stock-Based Compensation

Stock-based compensation expense is recorded on a straight-line basis over the requisite service period and includes an estimate for forfeitures.

Advertising

Advertising costs are expensed as incurred. Advertising expenses were $0.06 million, $0.3 million and $0.4 million for the years ended December 31, 2013, 2012 and 2011, respectively.

Income Taxes

Deferred tax assets and liabilities are measured using enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse. Valuation allowances are established when necessary to reduce deferred tax assets to the net amount expected to be realized.

Net Loss Per Share

Basic net loss per share is computed using the weighted-average number of common shares outstanding during the period. Diluted net loss per share reflects the potential dilution of securities by adding common stock equivalents (computed using the treasury stock method) to the weighted-average number of common shares outstanding during the period, if dilutive.

For the year ended December 31, 2013, 2012 and 2011, 1,785,985, 1,676,080 and 1,195,994 stock options, respectively, were excluded from the calculation of diluted net income per share because their effect is anti-dilutive. For the year ended December 31, 2013, common stock warrants exercisable for 4,352,792 shares of common stock were excluded from the calculation of diluted net income per share because their effect is anti-dilutive.







Foreign Currency Translation

The functional currency of the Company’s China subsidiary is the local currency, Chinese RMB. Adjustments resulting from translating foreign functional currency financial statements into U.S. dollars are recorded as part of a separate component of stockholders’ equity (deficit). Foreign currency transaction gains and losses are included in interest and other income (expense), net. All assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the exchange rate as of the balance sheet date. Revenues and expenses are translated at the average exchange rate during the period. Equity transactions are translated using historical exchange rates.

Warrant_Liability

Warrant Liability	12 Months Ended
Warrant Liability	Dec. 31, 2013
Warrant Liability [Abstract]	'
Warrant Liability	'
	2. Warrant Liability

	In connection with the Company’s private common stock offering that closed on March 28, 2012, the Company issued warrants (“PIPE warrants”) to purchase an aggregate of 2,505,852 shares of common stock. The warrants have an exercise price of $1.82 per share and expire five years from the date of issuance. In addition, the warrants contain a cash settlement provision that may be triggered upon request by the warrant holders if the Company is acquired or a merger event, as defined by the warrant agreement.

	In addition, in connection with the Company’s subordinated debt financing completed on April 5, 2013, the Company issued warrants (“Sub-debt warrants”) to purchase an aggregate of 1,846,940 shares of common stock. The warrants have an exercise price of $1.03 per share and expire three years from the date of issuance. The warrants contain a cash settlement provision that may be triggered upon request by the warrant holders if the Company is acquired or in the event of a merger, as defined by the warrant agreement.

	Under the FASB Accounting Standards Codification (“ASC”) Topic 815, Derivatives and Hedging, an equity contract that can be settled in cash at the request of the holder must be classified as an asset or a liability. The accounting guidance also requires that the warrants be re-measured at fair value at each reporting date, with the change in fair value recorded in the Company’s consolidated statement of operations.

	At December 31, 2013, the estimated fair value of the PIPE warrants was approximately $268,000 and is recorded as a liability on the Company’s consolidated balance sheet. For twelve months ended December 31, 2013, there was a decrease of approximately $266,000 to the warrant liability which was recorded as income, in interest and other income on the consolidated statements of operations.

	At December 31, 2013, the estimated fair value of the Sub-debt warrants was approximately $227,000 and is recorded as a liability on the Company’s consolidated balance sheet. For the twelve months ended December 31, 2013, there was a decrease of approximately $471,000 to the warrant liability which was recorded as income, in interest and other income on the consolidated statements of operations.

	The fair value was estimated using the Black-Scholes-Merton option pricing model, which requires the input of highly subjective assumptions as determined by management. To the extent these assumptions change in future periods, the fair value of the common stock warrants may increase or decrease and the change in fair value will be recorded in our results of operations. As of December 31, 2013, all common stock warrants were outstanding.

Restructuring

Restructuring	12 Months Ended
	Dec. 31, 2013
Restructuring [Abstract]	'
Restructuring	'
	3. Restructuring
	During the fourth quarter of 2013, as part of the Company’s strategy to improve the efficiency of its development operations, better align its costs and organization structure with the current economic environment and improve its profitability, the Company implemented a plan to discontinue the Company’s development operations in China. The effected plan included a reduction in its workforce and closure of its China office and legal entity. The Company notified the employees affected by the workforce reduction on November 5, 2013. The Company expects to complete the exit plan by June 30, 2014. During the fourth quarter of 2013, the Company incurred a $0.2 million restructuring charge in connection with this exit activity. The charge included severance costs, contract termination costs and legal fees. Substantially all of the charge were cash expenditures and were paid through December 31, 2013.
	During the third quarter of 2012, as part of the Company’s strategy to better align its costs and organizational structure with the current economic environment and improve its profitability, the Company implemented two reductions in its workforce of approximately 30% in the aggregate as compared to staff levels at the end of the second quarter of 2012. Employees were notified in July and September 2012.

	As a result, the Company recorded severance costs of $1.5 million, of which the Company paid $1.1 million during fiscal 2012. As of December 31, 2013, $0.1 million remains recorded within Accrued Liabilities. During the fourth quarter of 2012, the Company adjusted the restructuring liability by $0.1 million for certain benefits originally accrued but not actually elected by employees. A

	significant portion of this liability is related to severance payments for two officers that departed the Company in the third quarter of 2012, but are payable over an extended period of time.

	Accrued costs are shown in the following table (in thousands):


		Restructuring
	Accrued at December 31, 2011	$	-
	Charges		1,462
	Cash payments		-1,060
	Adjustments		-117
	Accrued at December 31, 2012		285
	Charges		219
	Cash payments		-333
	Adjustments		-28
	Accrued at December 31, 2013	$	143

	The majority of the restructuring charges in 2013 were for severance related to the closure of our development operations in China.

Prepaid_Expenses_And_Other_Cur

Prepaid Expenses And Other Current Assets	12 Months Ended
	Dec. 31, 2013
Prepaid Expenses And Other Current Assets [Abstract]	'
Prepaid Expenses And Other Current Assets	'
	4. Prepaid Expenses and Other Current Assets

	Prepaid expenses and other current assets consist of the following (in thousands):


		December 31,
		2013		2012
	Prepaid expenses	$	559	$	756
	Short term deposit		1		603
	Other receivables		70		125
	Total prepaid expenses and other current assets	$	630	$	1,484

Property_And_Equipment

Property And Equipment	12 Months Ended
Property And Equipment	Dec. 31, 2013
Property And Equipment [Abstract]	'
Property And Equipment	'
	5. Property and Equipment

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


		December 31,
		2013		2012
	Computer equipment and software	$	7,676	$	7,545
	Office furniture and equipment		261		261
	Leasehold improvements and leased equipment		986		986
	Total property and equipment		8,923		8,792
	Less: Accumulated depreciation		-7,987		-6,764
	Total property and equipment, net	$	936	$	2,028

	Depreciation expense for the years ended December 31, 2013, 2012 and 2011 was $1.3 million, $1.8 million and $1.3 million, respectively. Depreciation includes amortization of capitalized leases.

Fair_Value_Measurements_Of_Fin

Fair Value Measurements Of Financial Instruments	12 Months Ended
Fair Value Measurements Of Financial Instruments	Dec. 31, 2013
Fair Value Measurements Of Financial Instruments [Abstract]	'
Fair Value Measurements Of Financial Instruments	'



	6. Fair Value Measurements of Financial Instruments
	The Company generally invests its excess cash in money market funds. Cash and cash equivalents represents highly liquid instruments with insignificant interest rate risk and original maturities of three months or less. The Company did not hold any short-term investments as of December 31, 2013 and 2012.

	The Company has established a three-tier fair value hierarchy, categorizing the inputs used to measure fair value. The hierarchy can be described as follows: Level 1- observable inputs such as quoted prices in active markets; Level 2- inputs other than the quoted prices in active markets that are observable either directly or indirectly; and Level 3- unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions.

	Cash equivalents as of December 31, 2013 and 2012, consist of money market funds that have original maturities of 90 days or less. These instruments are valued using quoted prices in active markets and as such are classified in Level 1 of the fair value hierarchy.
	At December 31, 2013, the Company had no borrowings outstanding under our credit line with Comerica. The line of credit is measured at the carrying value at each reporting period and is classified as a current liability. The line of credit is classified as a Level 1 in the Company’s fair value hierarchy. The fair value of the line of credit approximates the carrying value.

	The Company has no Level 2 financial assets as of December 31, 2013 and 2012.

	At December 31, 2013, the Company had outstanding warrants to purchase shares of its common stock, which were issued on March 28, 2012 and April 5, 2013. The warrants are measured at fair value each reporting period and are classified as liabilities with a fair value of $0.5 million at December 31, 2013. The warrants are valued using the Black-Scholes-Merton option pricing model using valuation assumptions determined by management and are classified as Level 3 in the Company’s fair value hierarchy.

	The Company used the following assumptions when determining the fair value of the PIPE warrants:



		December 31,
		2013			2012
	Expected life (in years)	3.25			4.25
	Risk-free interest rate	0.90	%		0.61	%
	Dividend yield	0	%		0	%
	Expected volatility	127	%		76	%



	The Company assessed the sensitivity of the fair value of the PIPE warrants with respect to the assumptions above and noted that a change in the price of our common stock of 10% would affect the fair value of the warrants by 11% or $0.03 million. A change in volatility of 10% would affect the fair value of the warrants by 18% or $0.05 million.

	As of December 31, 2013, the Company used the following assumptions when determining the fair value of the Sub-debt warrants:



	Expected life (in years)	2.3
	Risk-free interest rate	0.48	%
	Dividend yield	0	%
	Expected volatility	148	%

	The Company assessed the sensitivity of the fair value of the Sub-debt warrants with respect to the assumptions above and noted that a change in the price of our common stock of 10% would affect the fair value of the warrants by 11% or $0.03 million. A change in volatility of 10% would affect the fair value of the warrants by 14% or $0.03 million.

	The following table summarizes the changes in fair value for the outstanding common stock warrants (in thousands):


		Change in FV of Common Stock Warrants
	Issuance of pipe warrants	$	2,368
	Total change in fair value		-1,834
	Balance at December 31, 2012		534
	Issuance of warrants with subordinated debt financing		698
	Total change in fair value		-737
	Balance at December 31, 2013	$	495

	The following is a summary of the Company’s financial assets as of December 31, 2013 and 2012 that are accounted for at fair value on a recurring basis by level in accordance with the fair value hierarchy described above (in thousands):



		31-Dec-13
		Level 1		Level 2		Level 3		Total
	Assets:
	Money market instruments	$	650	$	-	$	-	$	650
	Liabilities:
	Common stock warrants	$	-	$	-	$	495	$	495

	31-Dec-12
	Level 1		Level 2		Level 3		Total
Assets:
Money market instruments	$	649	$	-	$	-	$	649
Liabilities:
Common stock warrants	$		$	-	$	534	$	534
Line of Credit	$	800	$		$		$	800

Long_Term_Debt

Long Term Debt	12 Months Ended
	Dec. 31, 2013
Debt Disclosure [Abstract]	'
Long-Term Debt	'
	7. Long-term debt

	On April 5, 2013, the Company issued $4.6 million of subordinated debt securities and warrants to purchase an aggregate of 1,846,940 shares of the Company’s common stock, to a group of its current investors. The notes issued pursuant to the subordinated note and warrant purchase agreement bear simple interest at a rate of 12% per annum. From the issuance date through the first anniversary thereof, the Company will pay accrued and unpaid interest quarterly in arrears by increasing the principal amount of each note (“PIK Interest”) and thereafter will pay accrued and unpaid interest in cash in arrears on July 31, 2014, November 30, 2014 and the final payment date. The notes mature on April 5, 2015. The note and warrant purchase agreement contains customary affirmative and negative covenants, including notification and information covenants and covenants restricting the Company’s ability to merge or liquidate, incur debt, dispose of assets, incur liens, declare dividends or enter into transactions with affiliates. As of December 31, 2013, the Company was in compliance with all covenants related to the subordinated debt. The note and warrant purchase agreement also requires the Company to repay the notes upon the occurrence of a change of control (as defined in the note and warrant purchase agreement) at 101% of the principal amount thereof plus accrued and unpaid interest.

	The total value allocated to the warrants was approximately $698,000 and was recorded as a debt discount against the proceeds of the notes and will be amortized to interest expense over term of the notes. See Note 2. The aggregate debt issuance costs associated with the subordinated debt financing were $118,000, which are comprised of outside legal costs. These costs have been capitalized as debt issuance costs, included in Other Assets and will be amortized as interest expense over the life of the notes. For twelve months ended December 31, 2013, the Company recorded amortization expense of $44,000.

	At December 31, 2013, the Company's subordinated notes payable is made up of the following (in thousands):


			31-Dec-13
	Subordinated notes payable	$	4,600
	Deferred debt discount		-418
	Accrued PIK interest		426
	Long-term debt	$	4,608

Other_Assets

Other Assets	12 Months Ended
	Dec. 31, 2013
Other Assets [Abstract]	'
Other Assets	'












	8. Other Assets

	Other assets consist of the following (in thousands):


		December 31,
		2013		2012
	Long-term lease deposits	$	116	$	135
	Deferred rent asset - long term		430		-
	Capitalized software, net		28		74
	Other		78		51
	Total other assets	$	652	$	260

	Capitalized software amortization of $0.05 million and $0.6 million was charged to expense in 2013 and 2012, respectively.

StockBased_Compensation

Stock-Based Compensation	12 Months Ended
Stock-Based Compensation	Dec. 31, 2013
Stock-Based Compensation [Abstract]	'
Stock-Based Compensation	'

	9. Stock-Based Compensation

	Stock-Based Compensation Plans

	On December 31, 2013, the Company had two active share-based compensation plans, which are described below.

	In May 1999, the Company’s stockholders approved the 1999 Equity Incentive Plan. The total number of shares authorized for issuance under the plan is 6,492,666. Restricted stock units awarded under this plan generally vest over four years of continuous service in annual or semi-annual installments. Option awards have generally been granted with an exercise price equal to the market price of the Company’s common stock at the date of grant, and generally vest based on four years of continuous service with a ten-year contractual term.

	In May 1999 the Company’s stockholders approved the Employee Stock Purchase Plan (ESPP), which became effective upon the completion of the initial public offering of the Company’s common stock. The total number of shares originally authorized for issuance under the plan was 700,000. In June 2007 and June 2011, an additional 500,000 shares were authorized, respectively. The total number of shares authorized for issuance under this plan is 1,700,000. Eligible employees may purchase common stock at 85% of the lesser of the fair market value of the Company’s common stock on the first day of the applicable one-year offering period or the last day of the applicable six-month purchase period. At December 31, 2013, 226,608 shares were available for issuance under this plan.

	Stock-Based Compensation Expense

	Compensation expense is recognized for the fair values of stock-based awards, which typically have graded vesting, on a straight-line basis over the requisite service period.

	Forfeitures are required to be estimated at the time of grant. The estimates are revised in subsequent periods if actual forfeitures differ from those estimates. The Company uses historical data to estimate pre-vesting option forfeitures and records stock-based compensation expense only for those awards that are expected to vest. The following table summarizes the stock-based compensation expense recorded in the years ended December 31, 2013, 2012 and 2011 (in thousands):


		Year Ended December 31,
		2013		2012			2011
	Cost of revenues	$	7	$	19		$	42
	Sales and marketing		45		119			270
	Research and development		98		143			260
	General and administrative		600		534			660
	Total stock-based compensation expense	$	750	$	815		$	1,232

	Valuation of Stock Option Awards
	The fair value of each option award is estimated on the date of grant using a Black-Scholes Merton option pricing model with subjective assumptions, including expected stock price volatility, the expected life of each award and estimated pre-vesting forfeitures noted in the table below:
	Expected volatility – Based on the historical prices of our common stock over the expected life of each option.

	Expected life – Based on the history of option exercise and cancellation activity of the options

	Risk-free interest rate – Based on the U.S. Treasury yield curve in effect at the time of grants for periods corresponding with the expected life of the options.

	Dividend yield – As the Company has not paid, nor does it currently plan to pay, dividends in the future, the assumed dividend yield is zero.

	Estimated Forfeiture rate – Based on the history of option forfeitures and our expectations of future pre-vesting termination behavior.

	The fair value of stock options granted was estimated using the following weighted-average assumptions:


		Year Ended December 31,
		2013		2012			2011
	Expected life (in years)	5.3		5.5			5.5
	Risk-free interest rate	1.01	%	0.9	%		2.0	%
	Dividend yield	0	%	0	%		0	%
	Expected volatility	84	%	64	%		62	%
	Estimated forfeiture rate	11.6	%	8.5	%		8.5	%


	Summary of Stock Options
	The following table summarizes all stock option activity under the Company’s stock-based compensation plans for the year ended December 31, 2013:

			Number of Options	Weighted-Average Exercise Price Per Share			Weighted-Average Remaining Contractual Term (Years)		Aggregate Intrinsic Value
	Outstanding at December 31, 2012		1,487,921		$ 3.01		5.9		$ 120
	Granted		783,750		0.65
	Exercised		-		-
	Forfeited		-26,761		3.02
	Expired		-193,610		3.29
	Outstanding at December 31, 2013		2,051,300		2.08		7.1		$ 2,980

	Expected to vest at December 31, 2013		1,907,892		$ 2.17		6.9		$ 2,548

Exercisable at December 31, 2013		1,115,860		$ 3.07		5.3		$
Exercisable at December 31, 2013		1,115,860		$ 3.07		5.3		0



The aggregate intrinsic value of options outstanding at December 31, 2013 is calculated as the difference between the exercise price of the underlying options and the market price of the Company’s common stock for 206,000 shares that had exercise prices that were lower than the $0.24 market price of the Company’s common stock at December 31, 2013 (“in the money options”). There were no options exercised during the year ending December 31, 2013. The total intrinsic value of options exercised during the years ended December 31, 2012 and 2011 was $7,000 and $39,000, respectively. The fair value of options vested during the years ended December 31, 2013, 2012 and 2011 was $0.3 million, $0.2 million and $1.2 million, respectively. The weighted average grant date fair value of options granted during the years ended December 31, 2013, 2012 and 2011 was $0.41, $0.80 and $1.75, respectively.
As of December 31, 2013, total unrecognized compensation cost related to stock options granted under the Company’s various plans was $0.4 million. The Company expects that cost to be recognized over a weighted-average period 2.66 years.




Summary of Restricted Stock Units and Restricted Stock Awards

The following table summarizes all restricted stock unit (RSU) and restricted stock awards (RSA) activity under the Company’s stock-based compensation plans for the year ending December 31, 2013:

		Number of Shares		Weighted-Average Remaining Contractual Term (Years)		Aggregate Intrinsic Value
Outstanding at December 31, 2012		366,915		1.32		$
Outstanding at December 31, 2012		366,915		1.32		231,156
Awarded		268,928
Released (Vested)		-284,720
Forfeited		-
Expired		-
Outstanding at December 31, 2013		351,123		1.82		$
Outstanding at December 31, 2013		351,123		1.82		82,549

Expected to Vest at December 31, 2013		297,122		1.5

The fair value of these RSUs and RSAs is calculated based upon the fair market value of the Company’s stock at the date of grant, less an estimate of pre-vesting forfeitures. The weighted-average grant-date fair value of RSUs and RSAs awarded during fiscal years 2013, 2012 and 2011 was $0.64, $1.35 and $3.10, respectively, and the fair value of RSUs and RSAs that vested during fiscal years 2013, 2012 and 2011 was $0.4 million, $0.4 million and $0.7 million, respectively. As of December 31, 2013, total unrecognized compensation cost related to restricted stock units was $0.3 million. The Company expects that cost to be recognized over a weighted-average period 2.66 years.

Employee Stock Purchase Plan (“ESPP”)
ESPP awards were valued using the Black-Scholes model using the following assumptions:



		Year Ended December 31,
		2013		2012			2011

Expected life (in years)		0.5 - 1.0		0.5 - 1.0			0.5 - 1.0
Risk-free interest rate		0.1%		0.1%			0.2%
Dividend yield		0%		0%			0%
Expected volatility		109%		58%			40%

Disclosures Pertaining to All Share-Based Compensation Plans
Cash received under all share-based payment arrangements for the years ended December 31, 2013, 2012 and 2011 was $0.05 million, $0.2 million and $0.4 million, respectively, related to the exercise of stock options and the purchase of ESPP shares. The weighted-average grant-date fair value of options, restricted stock units and restricted stock awards granted in the years ended December 31, 2013, 2012 and 2011 was $0.47, $1.02 and $2.28 per share, respectively. The Company issues new shares upon option exercise and does not repurchase or issue treasury shares.

Accrued_Liabilities

Accrued Liabilities	12 Months Ended
Accrued Liabilities	Dec. 31, 2013
Accrued Liabilities [Abstract]	'
Accrued Liabilities	'
	10. Accrued Liabilities

	Accrued liabilities consist of the following (in thousands):



		December 31,
		2013		2012
	Accrued vacation	$	529	$	589
	Accrued commission and bonus		449		174
	Accrued severance and retention		283		560
	Other accrued liabilities		285		475
	Accounts payable accruals		214		183
	Total accrued liabilities	$	1,760	$	1,981

Deferred_Revenue

Deferred Revenue	12 Months Ended
Deferred Revenue	Dec. 31, 2013
Deferred Revenue [Abstract]	'
Deferred Revenue	'
	11. Deferred Revenue

	Deferred revenue consists of the following (in thousands):



		December 31,
		2013		2012
	Current:
	Subscriptions	$	3,020	$	2,864
	License		705		368
	Service and support		5,978		7,732
	Total deferred revenue, short-term	$	9,703	$	10,964
	Long-term:
	Subscriptions	$	55	$	106
	License		30		39
	Service and support		797		2,376
	Total deferred revenue, long-term	$	882	$	2,521

Warranties_And_Indemnification

Warranties And Indemnification	12 Months Ended
Warranties And Indemnification	Dec. 31, 2013
Warranties And Indemnification [Abstract]	'
Warranties And Indemnification	'
	12. Warranties and Indemnification

	The Company generally provides a warranty that the Company’s software products substantially operate as described in the manuals and guides that accompany the software for a period of 90 days. The warranty does not apply in the event of misuse, accident, and certain other circumstances. To date, the Company has not incurred any material costs associated with these warranties and has no accrual for such items at December 31, 2013.

	From time to time, the Company enters into contracts that require the Company, upon the occurrence of certain contingencies, to indemnify parties against third party claims. These contingent obligations primarily relate to (i) claims against the Company’s customers for violation of third party intellectual property rights caused by the Company’s products; (ii) claims resulting from personal injury or property damage resulting from the Company’s activities or products; (iii) claims by the Company’s office Lessor arising out of the use of the premises; and (iv) agreements with the Company’s officers and directors under which the Company may be required to indemnify such persons for liabilities arising out of their activities on behalf of the Company. No liabilities have been recorded for these obligations as of December 31, 2013.

Bank_Line_Of_Credit

Bank Line Of Credit	12 Months Ended
Bank Line Of Credit	Dec. 31, 2013
Debt Disclosure [Abstract]	'
Bank Line Of Credit	'
	13. Bank Line of Credit

	On August 9, 2013, the Company amended its credit line with Comerica. The Company’s amended line of credit has an effective limit of $4 million. In the amendment, Comerica agreed to waive past covenant violations and agreed not to measure compliance with the minimum bookings covenant until such time as the Company seeks to borrow against the line of credit. The amendment also requires that certain financial covenants be renegotiated prior to the Company borrowing against the line of credit.

	As of December 31, 2013, the Company had no borrowings outstanding on the line of credit. During the months ending January 31, 2013, February 28, 2013, May 31, 2013 and June 30, 2013 the Company was not in compliance with its line of credit covenants. Comerica granted the Company waivers of the covenant violations for these periods. Under the terms of the August 9, 2013 amendment to the line of credit, Comerica is not currently measuring the Company’s compliance with the minimum bookings covenants. As of December 31, 2013, the Company is in compliance with the covenants that are being measured by Comerica.

	At March 28, 2014, the Company is actively negotiating with banks to amend its existing line of credit with Comerica or establish a new line of credit with a new bank. A new line of credit would require the Company to amend agreements with its subdebt holders. Should the Company fail to do this, it may not have a line of credit to draw upon. There is no assurance that the Company will be able to successfully do so.

Provision_For_Income_Taxes

Provision For Income Taxes	12 Months Ended
Provision For Income Taxes	Dec. 31, 2013
Provision For Income Taxes [Abstract]	'
Provision For Income Taxes	'
	14. Provision for Income Taxes

	Substantially all income (loss) before income taxes is derived from the United States.

	The components of the provision for income taxes are as follows (in thousands):



		Year Ended December 31,
		2013			2012			2011
	Current:
	Federal	$	-15		$	-		$	-
	State		-2			58			28
	Foreign		-24			11			19
	Total current	$	-41		$	69		$	47

	Deferred:
	Federal	$	-518		$	104		$	104
	State		-72			15			13
	Foreign		-			-			-
	Total deferred		-590			119			117
	Total provision for income taxes	$	-631		$	188		$	164
















	Differences between income taxes calculated using the federal statutory income tax rate and the provision (benefit) for income taxes were as follows (in thousands):



		Year Ended December 31,
		2013			2012			2011
	Computed tax at statutory rate of 34%	$	-2,352		$	-3,217		$	-2,091
	State taxes, net of federal benefit		-78			156			-151
	Losses (benefited) not benefited		-50			-64			-28
	Non deductible stock-based compensation		112			142			157
	Fair value warrants		-250			-			-
	Other nondeductible expenses		21			44			74
	Uncertain tax positions		-655			-			-
	Prior year true ups		-164			-			-
	Increase in valuation allowance		2,785			3,127			2,203
	Provision (benefit) for income taxes	$	-631		$	188		$	164


	Deferred income taxes reflect the net tax effects of temporary differences between carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets (liabilities) are as follows, (in thousands):



		December 31,
		2013			2012
	Deferred tax assets:
Net operating loss carryforwards	$	31,085		$	28,273
Deferred revenue		301			976
Research credit carryforwards		3,988			3,478
Intangibles assets		1,520			1,717
Goodwill		1,037			-
Depreciable assets		295			351
Other		451			1,097
Total gross deferred tax assets		38,677			35,892

Deferred tax liabilities:
Goodwill		-			-590

Gross deferred tax assets/liabilities		38,677			35,302
Valuation allowance		-38,677			-35,892
Net deferred tax liability	$	-		$	-590

As of December 31, 2013, the Company has U.S. federal and state net operating loss carryforwards of approximately $88.9 million and $37.1 million, respectively. The U.S. federal net operating loss carryforwards will expire at various dates beginning in 2019 through 2033 if not utilized. State net operating loss carryforwards will expire at various dates beginning in 2014 through 2033.

As of December 31, 2013, the Company has U.S. federal and state tax credit carryforwards of approximately $2.5 million and $3.5 million, respectively. The federal credit will expire at various dates beginning in 2018 through 2033, if not utilized. California state research and development credits can be carried forward indefinitely.

In connection with the Company's adoption of ASC 718, the Company uses the "with-and-without" approach described in ASC 740-20, to determine the recognition and measurement of excess tax benefits. In addition, the Company has elected to account for indirect effects of stock option based awards on other tax attributes, such as research and alternative minimum tax credits, through the income statement. Accordingly, the Company has elected to recognize excess tax benefits from stock option exercises in additional paid in capital only if an incremental income tax benefit would be realized after considering all other tax attributes presently available to the Company.

Therefore, included in the net operating loss carryforwards are losses created by the exercise of stock options. Although these net operating loss carryforwards are reflected in total U.S. net operating tax loss carryforwards, pursuant to ASC 718, deferred tax assets associated with these deductions are only recognized to the extent that they reduce taxes payable. Further, these recognized deductions are treated as direct increases to stockholders' equity and as a result do not impact the Statement of Operations. To the extent stock-option related deductions are not recognized pursuant to ASC 718, the unrecognized benefit is not reflected on the Consolidated Balance Sheet.

Net operating loss carryforwards and credit carryforwards reflected above are limited due to ownership changes as provided in the Internal Revenue Code and similar state provisions.

The Company does not provide for U.S. federal income and state income taxes on undistributed earnings of the China and Puerto Rico subsidiaries at December 31, 2013 because these earnings are intended to be indefinitely reinvested. Upon distribution of those earnings in the form of dividends or otherwise, the Company would be subject to nominal U.S. federal and state income taxes.

The Company accounts for its uncertain tax positions under FASB Interpretation ASC 740-10, “Accounting for Uncertainty in Income Taxes — an interpretation of FASB ASC 740-10. ASC 740-10 prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of tax positions taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. There was not a material impact on the Company’s financial position and results of operations as a result of the adoption of the provisions of ASC 740-10.

Interest and penalty costs related to unrecognized tax benefits are classified as a component of “ Income Tax Expense” in the accompanying statement of operations and the corresponding liability in "Income Taxes Payable" or "Prepaid Income Taxes" in the accompanying balance sheet. The Company recognized an immaterial amount of interest expense related to unrecognized tax benefits for the year ended December 31, 2013.

The Company files U.S. federal, state, and foreign income tax returns. Material jurisdictions are Federal and California tax returns, which remain open to examination by the appropriate governmental agencies for tax years 2009 to 2013. The federal and state taxing authorities may choose to audit tax returns for tax years beyond the statute of limitation period due to significant tax attribute carryforwards from prior years, making adjustments only to carryforward attributes. The Company is not currently under audit in any major tax jurisdiction.

A reconciliation of the beginning and ending amount of the consolidated liability for unrecognized income tax benefits during the twelve-month period ended December 31, 2013 is as follows (in thousands):



	Year Ended December 31,
	2013			2012			2011
Balance at January 1	$	2,733		$	2,678			2,547
Increases for tax positions of prior years		57			-			-
Increases for tax positions related to the current year		57			55			149
Decreases for tax positions of prior years		-654			-			-18
Balance at December 31	$	2,193		$	2,733		$	2,678

Common_Stock

Common Stock	12 Months Ended
	Dec. 31, 2013
Common Stock [Abstract]	'
Common Stock	'
	15. Common Stock

	At December 31, 2013, the Company had reserved shares of common stock for future issuance as follows:



		2013
	Stock options outstanding		2,051,300
	Stock awards outstanding		351,123
	Stock options available for future grants		1,222,911
	Employee stock purchase plan		226,608
	Warrants		4,352,792
	Total		8,204,734

Commitments_And_Contingencies

Commitments And Contingencies	12 Months Ended
Commitments And Contingencies	Dec. 31, 2013
Commitments And Contingencies [Abstract]	'
Commitments And Contingencies	'
	16. Commitments and Contingencies

	The Company leases office space and equipment under non-cancelable operating leases with various expiration dates. On June 18, 2012, the Company entered into the Second Amendment to the Tri-Pointe Office Lease (the “Amendment”) with Tri-Pointe Tucson, LLC regarding the Company’s offices in Tucson, Arizona. This Amendment extended the lease term to August 31, 2017, moved the leased premises in Arizona to another building and expanded the premises to approximately 10,823 square feet.

	On October 3, 2012, the Company entered into a Lease Extension and Modification Agreement in respect to the Company’s corporate headquarters in Oakland, California (the “Modification”). The Modification reduced lease payments by $10,000 per month from January 2013 through December 2013 and extended the lease term to December 31, 2015, for a reduced amount of space during the extension period. In addition, the terms of the Modification allowed the Company to apply $50,000 of its security deposit per month towards its rental payments from October 2012 through December 2013.

	The Company leases certain equipment under capital lease arrangements that extend through 2014 for the amount of $25,000 in 2014. The Company also makes royalty payments to the institutions who participated in the original research that produced its initial products.

	Rent expense under all operating leases was $0.8 million, $1.1 million and $1.2 million for the years ended December 31, 2013, 2012 and 2011, respectively.


	License Agreement

	In September 1996, the Company entered into a license agreement with a university for the use of the intellectual property underlying its most significant current products. In exchange for the license, which expires in 2014, the Company issued stock and paid a license-issue fee. The agreement also provided for milestone payments, all of which have been made, and for royalties based on booked sales of products using the licensed technology. The Company’s minimum royalty payments are $150,000 per year. Royalty expenses were $0.2 million, $0.2 million and $0.4 million for the years ended December 31, 2013, 2012 and 2011, respectively, and are included in cost of license revenues.

	If the Company loses or is unable to maintain the license agreement during the term of the underlying patents, it could adversely affect the business. The university may terminate the license agreement if the Company fails to perform or violate its terms without curing the violation within 60 days of receiving written notice of the violation.

	At December 31, 2013, the Company's future minimum lease payments and future payments under its royalty agreements are as follows (in thousands):



		2014		2015		2016		2017 and thereafter		Total
	Contractual Obligations:
	Lease obligations	$	643	$	624	$	229	$	155	$	1,651
	Minimum royalty obligations		150		-		-		-		150
	Total	$	793	$	624	$	229	$	155	$	1,801

Employee_Retirement_And_Benefi

Employee Retirement And Benefit Plan	12 Months Ended
Employee Retirement And Benefit Plan	Dec. 31, 2013
Employee Retirement And Benefit Plan [Abstract]	'
Employee Retirement And Benefit Plan	'
	17. Employee Retirement and Benefit Plan

	The Company has a defined contribution retirement plan under Section 401(k) of the Internal Revenue Code, which covers substantially all employees. The Company did not match contributions by plan participants for the years ended December 31, 2013, 2012 and 2011.

Related_Party_Transactions

Related Party Transactions	12 Months Ended
Related Party Transactions	Dec. 31, 2013
Related Party Transactions [Abstract]	'
Related Party Transactions	'
	18. Related Party Transactions

	On December 20, 2013, the Company and Posit Science Corporation (“PSC”) executed Amendment No. 3 to the SLC License Agreement, effective as of September 30, 2003. A co-founder, stockholder, and former member of the Board of Directors of the Company is a co-founder, officer, director and substantial stockholder of PSC. The original License Agreement granted PSC licenses in the Health Field (as defined in the License Agreement) to issued and pending patents held by the Company. PSC’s licenses in the Health Field to many of the patents were exclusive. Under the Amendment, PSC agreed to make the exclusive licenses to 16 of the patents non-exclusive. PSC also agreed to amend the definition of Health Field as it applies to all non-exclusive licenses so as to reserve for the Company the field of Fitting of Hearing Aids and Cochlear Implants (as defined in the Amendment). In exchange for the changes in the license terms set forth in the Amendment, the Company agreed to a 90% reduction in PSC’s annual minimum royalty payment of $150,000 and in the Applicable Base Royalty Percentage of New Sales set forth in the License Agreement. Accordingly, the annual minimum royalty payment is now $15,000 per year and the Applicable Base Royalty Percentage is now 0.4% of Net Sales. The Company has a 3.5% equity interest in PSC. The royalty income recorded from PSC was $0.02 million, $0.2 million and $0.2 million for years ended December 31, 2013, 2012 and 2011, respectively.

	In July 2007, Michael A. Moses joined the Board of Directors as Vice Chair and entered into a consulting agreement with the Company. The consulting agreement originally provided for a consulting fee of $40,000 per year and two stock option grants, both with a five year term and at a per share exercise price of $7.15, the closing price of the Company’s Common Stock on July 25, 2007. The first option grant for 80,000 shares vested over four years, with a one year cliff with ratable monthly vesting thereafter. The second option for 100,000 shares vests only in the event the per share price of the Company’s common stock reaches and maintains for 20 consecutive business days a specified target closing price as follows: 25,000 shares vesting at each target stock price of $15, $20, $25, and $30. In January 2013, the Company revised the agreement with Dr. Moses to reduce his consulting fee to $36,000 per year. On April 1, 2013, in connection with the reduction in Dr. Moses’ consulting fee, the Company issued Dr. Moses an additional grant of options for 40,000 shares with an exercise price of $0.7999 vesting in equal monthly installments over a three-year period commencing on April 1, 2013.

Subsequent_Events

Subsequent Events	12 Months Ended
Subsequent Events	Dec. 31, 2013
Subsequent Events [Abstract]	'
Subsequent Event	'
	19. Subsequent Event

	On March 21, 2014, the Company entered into a patent purchase agreement pursuant to which it sold seven U.S. patents. Net proceeds from the sale will be used to repay a portion of the subordinated debt and fund operations.

Interim_Financial_Information

Interim Financial Information	12 Months Ended
Interim Financial Information	Dec. 31, 2013
Interim Financial Information [Abstract]	'
Interim Financial Information	'
























	20. Interim Financial Information (unaudited)

	Quarterly financial data (in thousands, except per share amounts):



		Three Months Ended
		31-Mar		30-Jun		30-Sep		31-Dec		Total
	Fiscal Year 2013:
	Total revenues	$	5,478	$	5,330	$	5,220	$	5,034	$	21,062
	Gross profit		4,134		4,097		4,047		3,875		16,153
	Net income (loss)	$	-1,004	$	-54	$	-932	$	-4,214	$	-6,204
	Basic and diluted net income (loss) per share:	$	-0.04	$	0	$	-0.04	$	-0.18	$	-0.26

	Fiscal Year 2012:
	Total revenues	$	7,086	$	7,148	$	6,828	$	7,081	$	28,143
	Gross profit		4,743		5,057		4,982		5,573		20,355
	Net income (loss)	$	-5,036	$	-3,141	$	-2,246	$	773	$	-9,650
	Basic and diluted net income (loss) per share:	$	-0.26	$	-0.14	$	-0.1	$	0.03	$	-0.43

Schedule_Of_Valuation_And_Qual

Schedule Of Valuation And Qualifying Accounts	12 Months Ended
Schedule Of Valuation And Qualifying Accounts	Dec. 31, 2013
Valuation and Qualifying Accounts [Abstract]	'
Schedule Of Valuation and Qualifying Accounts Disclosure	'

		Beginning Balance		Write-offs		Additions (deductions) to Allowance		Ending Balance
	2013	$	52	$	-7	$	-22	$	23
	2012	$	159	$	-113	$	6	$	52
	2011	$	76	$	-160	$	243	$	159

Summary_Of_Significant_Account1

Summary Of Significant Accounting Policies (Policy)	12 Months Ended
	Dec. 31, 2013
Summary Of Significant Accounting Policies [Abstract]	'
Description Of Business	'
	Description of Business

	Scientific Learning Corporation (the “Company”) develops, distributes and licenses technology that accelerates learning by improving the processing efficiency of the brain.

	The Company’s patented products build learning capacity by rigorously and systematically applying neuroscience-based learning principles to improve the fundamental cognitive skills required to read and learn. To facilitate the use of the Company’s products, the Company offers a variety of on-site and remote professional and technical services, as well as phone, email and web-based support. The Company sells primarily to K-12 schools in the United States through a direct sales force.

	All of the Company’s activities are in one operating segment.

	The Company was incorporated in 1995 in the State of California and was reincorporated in 1997 in the State of Delaware.

Basis Of Presentation And Liquidity	'
	Basis of Presentation and Liquidity

	The Company’s cash and cash equivalents were $2.6 million at December 31, 2013, compared to cash and cash equivalents of $2.3 million at December 31, 2012. The Company has used cash from operations of $3.2 million. $10.5 million and $7.2 million in the years ended December 31, 2013, 2012 and 2011, respectively and have a working capital deficiency at December 31, 2013. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. The 2013 consolidated financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result from the outcome of this uncertainty.

	During the next twelve months, the Company expects to continue to fund its operations primarily from its current cash balances, cash from the Company’s sale of its patents and the completion of additional financing activities. On March 21, 2014, the company completed the sale of patents to a third party. See Note 19 to the consolidated financial statements for further discussion. To obtain additional financing the company is currently negotiating with banks to either amend its existing line of credit agreement with Comerica or to establish a new line of credit with a new bank to help fund its seasonal cash funding needs. However, there can be no assurance that the Company can establish a line of credit on terms that are acceptable to the Company. If the Company is unable to obtain additional financing, it may be unable to continue the development of its products and may have to cease operations.

	Historically, the Company has used more cash in its operations during the first half of the year and has improved cash from operations in the second half. This pattern results largely from its seasonally low sales in the first and fourth calendar quarters, which reflects the Company’s industry pattern, and the time needed to collect on sales made towards the end of the second quarter. The Company expects that this pattern will continue, and that it will use cash in operations during the first half of 2014. The Company expects that its cash balances, cash from its patent sale and the potential new line of credit that it anticipates completing will be sufficient to fund the Company’s operating requirements through the next twelve months.

	However, funding the Company’s operations in this manner will require it to achieve certain levels of booked sales and cash collections and maintain lower expenses. The Company cannot, however, be certain that it will achieve its forecasted booked sales or cash collections. If the Company is unable to achieve the needed levels of booked sales and cash collections, it expects to further reduce its expenses to ensure that it has sufficient liquidity to continue its operations through at least December 31, 2014. Reducing expenses substantially below current levels could have a negative impact on the Company’s future growth potential. In addition, the Company may be required to sell assets, issue additional equity securities or incur additional debt. The Company may not be able to accomplish any of these alternatives.

	On April 5, 2013, the Company issued $4.6 million of subordinated debt securities and warrants to purchase an aggregate of 1,846,940 shares of the Company’s common stock to a group of its current investors. The notes issued pursuant to the subordinated note and warrant purchase agreement bear simple interest at a rate of 12% per annum. From the issuance date through the first anniversary thereof, the Company will pay accrued and unpaid interest quarterly in arrears by increasing the principal amount of each note and thereafter will pay accrued and unpaid interest in cash in arrears on July 31, 2014, November 30, 2014 and April 5, 2015. The notes mature on April 5, 2015. The note and warrant purchase agreements contain customary affirmative and negative covenants, including notification and information covenants and covenants restricting the Company’s ability to merge or liquidate, incur debt, dispose of assets, incur liens, declare dividends or enter into transactions with affiliates. The note and warrant purchase agreements also require the Company to repay the notes upon the occurrence of a change of control (as defined in the note and warrant purchase agreement) at 101% of the principal amount thereof plus accrued and unpaid interest.

	Historically, the Company has maintained a revolving line of credit with Comerica. On August 9, 2013, the Company amended its credit line with Comerica. The Company’s amended line of credit has an effective limit of $4 million. In the amendment, Comerica agreed to waive past covenant violations and agreed not to measure compliance with the minimum bookings covenant until such time as the Company seeks to borrow against the line of credit. The amendment also requires that certain financial covenants be renegotiated prior to the Company borrowing against the line of credit.

	As of December 31, 2013, the Company had no borrowings outstanding on the line of credit. During the months ending January 31, 2013, February 28, 2013, May 31, 2013 and June 30, 2013 the Company was not in compliance with its line of credit covenants. Comerica granted the Company waivers of the covenant violations for these periods. Under the terms of the August 9, 2013 amendment to the line of credit, Comerica is not currently measuring the Company’s compliance with the minimum bookings covenants. As December 31, 2013, the Company is in compliance with the covenants that are being measured by Comerica.

	At March 28, 2014, the Company is actively negotiating with banks to amend its existing line of credit with Comerica or establish a new line of credit with a new bank. A new line of credit would require the Company to amend agreements with its subordinated debt holders. Should the Company fail to do this, it may not have a line of credit to draw upon. There is no assurance that the Company will be able to successfully do so.

Use Of Estimates	'


	Use of Estimates

	The preparation of financial statements, in conformity with accounting principles generally accepted in the United States, requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the financial statements as well as the reported amounts of revenues and expenses during the periods presented. To the extent that there are material differences between these estimates and actual results, the Company’s financial statements could be affected.


Principles Of Consolidation And Basis Of Presentation	'
	Principles of consolidation and basis of presentation

	The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries in Shanghai, China and Puerto Rico. All significant intercompany balances and transactions have been eliminated in consolidation.


Reclassifications	'
	Reclassifications

	As a result of the shift in the Company’s business model, beginning in 2012, the Company has presented revenues and cost of revenues for subscriptions, licenses, and services and support. The Company has reclassified all prior year amounts to reflect the current year presentation, and the reclassification of prior year amounts did not have an impact on the Company’s total net revenues or results of operations. Subscription revenue primarily includes revenue from annual or monthly customer subscriptions to the Company’s web-based applications, including Fast ForWord, Reading Assistant, and BrainPro. License revenue includes revenue from sales of licenses to the Company’s software applications. Service and support revenue is primarily derived from annual agreements for the Company to host software applications purchased by its customers through perpetual licenses and provide reporting services, support, and maintenance, as well as ad hoc trainings, professional development, consulting, and other technical service agreements.


Revenue Recognition	'
	Revenue Recognition

	The Company derives revenue from the sale of licenses to its software and from professional service and support fees. Software license revenue is recognized in accordance with accounting standards for software companies. Additionally, the Company derives revenue from subscription fees for access to and use of its on-demand application services. Under the Company’s subscription arrangements for its on-demand application services, the customer does not have the contractual right to take possession of the software at any time during the subscription period. Thus, revenue for the Company’s subscription services is recognized in accordance with accounting standards for service contracts.

	There are four basic criteria which must be met to recognize revenue. These are: 1) persuasive evidence of an arrangement exists; 2) delivery of the product has occurred; 3) a fixed or determinable fee; and 4) the collection of the fee is reasonably assured. The application of the relevant accounting standards requires the Company to exercise significant judgment related to specific transactions and transaction types. In cases where extended payment terms are granted to school customers, the Company determines if the fixed or determinable fee criterion is met by reference to the customer’s specific funding sources, especially where the payment terms extend into the customer’s next fiscal year. If the Company determines that the fixed or determinable fee criterion is not met at the inception of the arrangement, the Company defers revenue recognition until the payments become due.

	The value of software licenses, subscriptions, professional services and support invoiced during a particular period is recorded as deferred revenue until recognized. All revenue from transactions that include software license for new products that have not yet been delivered is deferred until the delivery of all products. Direct costs related to deferred software license revenue are deferred until the related license revenue is recognized.

	Multiple contracts with the same customer are generally accounted for as separate arrangements, except in cases where contracts are so closely related that they are effectively part of a single arrangement.

	Multiple-element software arrangements

	Booked sales of software to the Company’s school customers typically include multiple elements (e.g., Fast ForWord perpetual software licenses, support, training, implementation management, and other professional services). The Company recognizes software revenue using the residual method, whereby the difference between the total arrangement fee and the total “vendor specific objective evidence” (“VSOE”) of fair value of the undelivered elements is recognized as revenue relating to the delivered elements. VSOE of fair value for each element of an arrangement is based upon the normal pricing and discounting practices for those products and services when sold separately and, for support services, is also measured by the renewal price. The Company is required to exercise judgment in determining whether VSOE of fair value exists for each undelivered element based on whether the pricing for these elements is sufficiently consistent.

	Multiple-element on-demand application service arrangements

	Booked sales of subscriptions to the Company’s on-demand application services can also include multiple elements similar to software arrangements. The Company follows accounting guidance for revenue recognition of multiple-element arrangements to determine whether such arrangements contain more than one unit of accounting. Multiple-element arrangements require the delivery or performance of multiple products, services and/or rights to use assets. To qualify as a separate unit of accounting, the delivered item must have value to the customer on a standalone basis and revenue is allocated to each deliverable in the arrangement based on the relative fair value of the respective deliverable. The Company’s on-demand subscription services, support, training and implementation management services have standalone value as these services are sold separately by the Company, and the Company has established VSOE of fair value for determining the fair value of each element except for its on-demand subscription services.

	For its on-demand subscription services, the Company has determined the fair value to be allocated to these services basis based on management’s best estimate of selling price (BESP). In determining BESP, the Company has considered various factors including the Company’s historical pricing practices and internal costs, as well as historical student usage data related to previous sales of the Company’s products.

	Multiple-element arrangements—arrangements with software and nonsoftware elements

	Booked sales may include a combination of software related and nonsoftware related products and services offerings including on-demand subscription services, perpetual software licenses, support, training, implementation management, and other professional services. In such arrangements, the Company first allocate the total arrangement consideration based on the relative selling prices of the software group of elements as a whole and to the nonsoftware elements. The Company then further allocate consideration within the software group to the respective elements within that group following the guidance in ASC 985-605 and our policies as described above. After the arrangement consideration has been allocated to the elements, the Company accounts for each respective element in the arrangement as described above.

	Subscription revenue

	Subscription revenue primarily includes revenue from annual or monthly customer subscriptions to our web-based applications, including Fast ForWord, Reading Assistant, and BrainPro. Subscription revenue is recognized as follows:

		·	On-demand application services – revenue for subscription services is recognized ratably over the term of the subscription period.
		·	Per student per month – student usage of any of our products during a calendar month. Revenue is recognized monthly over the period of use.
		·	Individual participant licenses – software licensed for a single participant. Revenue is recognized ratably over the term of the subscription period.








	License revenue

	License revenue primarily includes revenue from the sales of perpetual licenses to our software applications including Fast ForWord and Reading Assistant. License revenue is recognized as follows:

		·	Perpetual licenses – software licensed on a perpetual basis. Revenue is recognized at the later of product delivery date or contract start date using the residual method. If VSOE of fair value does not exist for all the undelivered elements, all revenue is deferred and recognized ratably over the service period if the undelivered element is services or when all elements have been delivered.
		·	Software term licenses – software licensed for a specific time period, generally a term of one to three years. Revenue is recognized ratably over the license term.

	Professional service and support revenue

	Professional service and support revenue is derived from a combination of training, implementation, technical and professional services, online services and customer support. Training, implementation, technical and other professional services are typically sold on a per day basis. Professional services revenue is recognized as performed. Online service and customer support are recognized ratably over the service period. If VSOE of fair value does not exist for all the elements in a software arrangement except software licenses, service revenue is recognized over the longest contractual period in an arrangement. Revenue from services sold alone or with support is recognized as performed.


Cash And Cash Equivalents	'
	Cash and Cash Equivalents

	Cash and cash equivalents, which consist of cash on deposit with banks and money market accounts, are stated at fair value.


Accounts Receivable And Allowance For Doubtful Accounts	'
	Accounts Receivable and Allowance for Doubtful Accounts

	The Company conducts business primarily with public school districts and speech and language professionals in the United States. The Company records accounts receivable at the invoiced amount and the Company does not require collateral. The Company maintains an allowance for doubtful accounts for estimated losses due to the inability of customers to make payments. The allowance is determined based on any specific reserves deemed necessary and the Company’s historical experience of bad debt write-offs.

Deferred Charges	'


	Deferred Charges

	The Company defers royalty charges as incurred and recognizes the expense over the term of the related license agreements or service periods. These deferred charges are included in “Prepaid expenses and other current assets” and in “Other assets” in the consolidated balance sheets.

Property And Equipment	'


	Property and Equipment

	Property and equipment are recorded at cost. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, which range from three to five years. For leased assets and leasehold improvements, depreciation is computed using the straight-line method over the shorter of the lease or the estimated useful life.


Software And Web Site Development Costs	'
	Software and Website Development Costs

	The Company capitalizes certain software development costs incurred subsequent to the establishment of technological feasibility and amortizes those costs over the estimated lives of the related products. The annual amortization is computed using the straight-line method over the remaining estimated economic life of the product. Technological feasibility is established upon completion of a working model. In 2013, 2012 and 2011, the Company capitalized $0.03 million, $0.1 million and $0.1 million of costs, respectively, relating to new products that had reached technological feasibility. For the years ended December 31, 2013, 2012 and 2011 amortization costs were $0.08 million, $0.2 million and $0.1 million respectively.

	The Company also capitalizes costs related to internal use software and website application, infrastructure development and content development costs. Costs related to preliminary project activities and post implementation activities were expensed as incurred. Internal-use software is amortized on a straight line basis over its estimated useful life, generally three years. Management evaluates the useful lives of these assets on an annual basis and tests for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets. The capitalized costs are included in “Property and equipment” in the consolidated balance sheets. In each case the software or website is for internal needs, and the Company does not plan to market the software externally. For the years ended December 31, 2013, 2012, and 2011, the Company capitalized approximately $0.2 million, $0.4 million and $1.2 million of software and website development costs, respectively. For the years ended December 31, 2013, 2012 and 2011 amortization costs were $0.7 million, $0.9 million, and $0.5 million respectively.
	The Company evaluates the useful lives of these assets on an annual basis and tests for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets. If indicators of impairment are present, estimates of future cash flows are used to test the recoverability of the asset. If the carrying amount of the asset exceeds its fair value, an impairment charge is recognized.


Payment In-Kind Interest	'
	Payment in-kind interest

	The Company accrues payment-in-kind interest. It is the amount of principal and interest payable related to the subordinated debt financing completed on April 5, 2013. From the issuance date through the first anniversary thereof, the Company accrues interest and increase the principal. See Note 7 to the consolidated financial statements for further discussion.


Debt Discount And Debt Issuance Costs	'
	Debt discount and debt issuance costs

	The Company has debt discount and debt issuance costs related to the subordinated debt issued on April 5, 2013. These costs are being amortized to interest expense over the life of the debt. In addition, the Company amortizes the deferred debt issuance costs over the life of the debt. See Note 7 to the consolidated financial statements.

Goodwill	'


	Goodwill


	Goodwill and purchased intangible assets were recorded when the Company acquired the assets of Soliloquy in 2008. The cost of the acquisition was allocated to the assets and liabilities acquired, including purchased intangible assets, and the remaining amount was classified as goodwill. Goodwill arising from purchase transactions is not amortized to expense, but rather periodically assessed for impairment. The allocation of the acquisition cost to purchased intangible assets and goodwill, therefore, has a significant impact on operating results. The allocation process involves an extensive use of estimates and assumptions, including estimates of future cash flows to be generated by the acquired assets.

	Goodwill is required to be tested annually for impairment or between annual impairment tests if an event occurs or circumstances change that reduce the fair value of a reporting unit below its carrying amount. The Company performs its annual assessment for impairment of goodwill in the fourth quarter of each year and determined that there is a single reporting unit for the purposes of conducting the assessment. In assessing potential impairment, the Company estimates the fair value of the reporting unit and compares the amount of the carrying value of the reporting unit. If the Company determines that the carrying value of the reporting unit exceeds its fair value, an impairment charge would be measured.

	As part of the Company’s annual impairment test during the fourth quarter of 2013, it concluded that there were sufficient adverse indicators that triggered a goodwill impairment analysis. Among the indicators were (1) economic and budgetary challenges in the Company’s key K-12 market, (2) its continued transition from an on-premise, perpetual license model to a subscription driven, web-based SaaS business model and its short term impact on profitability, and (3) a significant decrease in the Company’s market capitalization as a result of a decrease in the trading price of its common stock during the fourth quarter of 2013. As a result, the Company estimated the fair value of its goodwill and compared the estimate to the carrying amount. The results indicated that the carrying value exceeded the implied fair value of goodwill by approximately $5 million. Based on this, the Company concluded that a goodwill impairment existed at December 31, 2013. During the fourth quarter of 2013, the Company wrote off the full goodwill balance in the amount of $4.6 million.


Long-Lived Assets	'
	Long-Lived Assets

	Long-lived assets, such as property and equipment and purchased intangible assets subject to amortization are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The recoverability of an asset is measured by a comparison of the carrying amount of an asset to its estimated undiscounted future cash flows. If the carrying amount of an asset exceeds its estimated undiscounted future cash flows, an impairment charge is recognized for the amount by which the carrying amount of the asset exceeds the fair value of the asset. In 2013, the Company recorded $0.03 million of impairment charges related to long-lived assets. In 2012, the Company determined that no long-lived assets were impaired.


Fair Value Of Financial Instruments	'
	Fair Value of Financial Instruments

	The carrying amounts of cash equivalents, accounts receivable and accounts payable approximate fair value as they are short-term in nature or have relatively short maturities.



Concentration Of Risk	'




	Concentration of Risk

	Financial instruments that are potentially subject to concentrations of credit risk consist principally of cash equivalents and accounts receivable.

	Cash and cash equivalents are primarily held in a major financial institution in the United States. Such deposits may be in excess of insured limits and are not insured in other jurisdictions. The Company believes that the financial institution that holds the Company’s cash and cash equivalents is financially sound and, accordingly, minimal credit risk exists with respect to these assets.

	Accounts receivable are primarily from sales to customers located in the United States. The Company performs ongoing credit evaluations of customers. The Company does not require collateral.

	An allowance for doubtful accounts is determined with respect to those accounts that have been determined to be doubtful of collection. Two customers accounted for more than 43% of our accounts receivable balance at December 31, 2013. 47% of this balance was subsequently collected in February 2014. One customer accounted for more than 24% of our accounts receivable balance at December 31, 2012. This was subsequently collected in January 2013. No customer accounted for more than 10% of revenue in the years ended December 31, 2013, 2012 or 2011.

	The Company has no off-balance sheet concentration of credit risk, such as foreign exchange contracts, option contracts or other hedging arrangements.

	Concentration of sales in the K-12 market potentially exposes the Company to risk. More than 80% of our 2013 booked sales came from the K-12 market in the United States and Canada. That market is characterized by its dependence on federal funding and state and local tax revenues; a political environment, particularly when large transactions are involved; and a generally conservative approach to change. All of these attributes, particularly in the current economic and political environment, can result in a time-consuming and unpredictable sales cycle for large transactions. Because of the concentration of our sales in this market, we are particularly exposed to its risks.


Accounting For Stock-Based Compensation	'
	Accounting for Stock-Based Compensation

	Stock-based compensation expense is recorded on a straight-line basis over the requisite service period and includes an estimate for forfeitures.


Advertising	'
	Advertising

	Advertising costs are expensed as incurred. Advertising expenses were $0.06 million, $0.3 million and $0.4 million for the years ended December 31, 2013, 2012 and 2011, respectively.


Income Taxes	'
	Income Taxes

	Deferred tax assets and liabilities are measured using enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse. Valuation allowances are established when necessary to reduce deferred tax assets to the net amount expected to be realized.


Net Loss Per Share	'
	Net Loss Per Share

	Basic net loss per share is computed using the weighted-average number of common shares outstanding during the period. Diluted net loss per share reflects the potential dilution of securities by adding common stock equivalents (computed using the treasury stock method) to the weighted-average number of common shares outstanding during the period, if dilutive.

	For the year ended December 31, 2013, 2012 and 2011, 1,785,985, 1,676,080 and 1,195,994 stock options, respectively, were excluded from the calculation of diluted net income per share because their effect is anti-dilutive. For the year ended December 31, 2013, common stock warrants exercisable for 4,352,792 shares of common stock were excluded from the calculation of diluted net income per share because their effect is anti-dilutive.

Foreign Currency Translation	'







	Foreign Currency Translation

	The functional currency of the Company’s China subsidiary is the local currency, Chinese RMB. Adjustments resulting from translating foreign functional currency financial statements into U.S. dollars are recorded as part of a separate component of stockholders’ equity (deficit). Foreign currency transaction gains and losses are included in interest and other income (expense), net. All assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the exchange rate as of the balance sheet date. Revenues and expenses are translated at the average exchange rate during the period. Equity transactions are translated using historical exchange rates.

Restructuring_Tables

Restructuring (Tables)	12 Months Ended
Restructuring (Tables)	Dec. 31, 2013
Restructuring [Abstract]	'
Schedule Of Accrued Costs	'

		Restructuring
	Accrued at December 31, 2011	$	-
	Charges		1,462
	Cash payments		-1,060
	Adjustments		-117
	Accrued at December 31, 2012		285
	Charges		219
	Cash payments		-333
	Adjustments		-28
	Accrued at December 31, 2013	$	143

Prepaid_Expenses_And_Other_Cur1

Prepaid Expenses And Other Current Assets (Tables)	12 Months Ended
Prepaid Expenses And Other Current Assets (Tables)	Dec. 31, 2013
Prepaid Expenses And Other Current Assets [Abstract]	'
Schedule Of Prepaid Expenses And Other Current Assets	'

		December 31,
		2013		2012
	Prepaid expenses	$	559	$	756
	Short term deposit		1		603
	Other receivables		70		125
	Total prepaid expenses and other current assets	$	630	$	1,484

Property_And_Equipment_Tables

Property And Equipment (Tables)	12 Months Ended
Property And Equipment (Tables)	Dec. 31, 2013
Property And Equipment [Abstract]	'
Schedule Of Property And Equipment	'

		December 31,
		2013		2012
	Computer equipment and software	$	7,676	$	7,545
	Office furniture and equipment		261		261
	Leasehold improvements and leased equipment		986		986
	Total property and equipment		8,923		8,792
	Less: Accumulated depreciation		-7,987		-6,764
	Total property and equipment, net	$	936	$	2,028

Fair_Value_Measurements_Of_Fin1

Fair Value Measurements Of Financial Instruments (Tables)	12 Months Ended
Fair Value Measurements Of Financial Instruments (Tables)	Dec. 31, 2013
Schedule Of Changes In Fair Value Of Outstanding Common Stock Warrants	'

		Change in FV of Common Stock Warrants
	Issuance of pipe warrants	$	2,368
	Total change in fair value		-1,834
	Balance at December 31, 2012		534
	Issuance of warrants with subordinated debt financing		698
	Total change in fair value		-737
	Balance at December 31, 2013	$	495


Summary Of Fair Value Of Assets And Liabilities Measured On A Recurring Basis	'

		31-Dec-13
		Level 1		Level 2		Level 3		Total
	Assets:
	Money market instruments	$	650	$	-	$	-	$	650
	Liabilities:
	Common stock warrants	$	-	$	-	$	495	$	495

		31-Dec-12
		Level 1		Level 2		Level 3		Total
	Assets:
	Money market instruments	$	649	$	-	$	-	$	649
	Liabilities:
	Common stock warrants	$		$	-	$	534	$	534
	Line of Credit	$	800	$		$		$	800


PIPE Warrants [Member]	'
Schedule Of Assumptions Used To Determine Fair Value Of Warrants	'

		December 31,
		2013			2012
	Expected life (in years)	3.25			4.25
	Risk-free interest rate	0.90	%		0.61	%
	Dividend yield	0	%		0	%
	Expected volatility	127	%		76	%


Sub-Debt Warrants [Member]	'
Schedule Of Assumptions Used To Determine Fair Value Of Warrants	'

	Expected life (in years)	2.3
	Risk-free interest rate	0.48	%
	Dividend yield	0	%
	Expected volatility	148	%

Long_Term_Debt_Tables

Long Term Debt (Tables)	12 Months Ended
Long Term Debt (Tables)	Dec. 31, 2013
Debt Disclosure [Abstract]	'
Components Of Debt	'

			31-Dec-13
	Subordinated notes payable	$	4,600
	Deferred debt discount		-418
	Accrued PIK interest		426
	Long-term debt	$	4,608

Other_Assets_Tables

Other Assets (Tables)	12 Months Ended
Other Assets (Tables)	Dec. 31, 2013
Other Assets [Abstract]	'
Schedule Of Other Assets	'

		December 31,
		2013		2012
	Long-term lease deposits	$	116	$	135
	Deferred rent asset - long term		430		-
	Capitalized software, net		28		74
	Other		78		51
	Total other assets	$	652	$	260

StockBased_Compensation_Tables

Stock-Based Compensation (Tables)	12 Months Ended
Stock-Based Compensation (Tables)	Dec. 31, 2013
Stock-Based Compensation [Abstract]	'
Schedule Of Stock-Based Compensation Expense	'

		Year Ended December 31,
		2013		2012		2011
	Cost of revenues	$	7	$	19	$	42
	Sales and marketing		45		119		270
	Research and development		98		143		260
	General and administrative		600		534		660
	Total stock-based compensation expense	$	750	$	815	$	1,232


Schedule Of Valuation Assumptions Used To Determine Fair Value Of Stock Options Granted	'

		Year Ended December 31,
		2013		2012		2011
	Expected life (in years)	5.3		5.5		5.5
	Risk-free interest rate	1.01	%	0.9	%	2.0	%
	Dividend yield	0	%	0	%	0	%
	Expected volatility	84	%	64	%	62	%
	Estimated forfeiture rate	11.6	%	8.5	%	8.5	%


Schedule Of Stock Option Activity	'

			Number of Options	Weighted-Average Exercise Price Per Share		Weighted-Average Remaining Contractual Term (Years)		Aggregate Intrinsic Value
	Outstanding at December 31, 2012		1,487,921		$ 3.01	5.9		$ 120
	Granted		783,750		0.65
	Exercised		-		-
	Forfeited		-26,761		3.02
	Expired		-193,610		3.29
	Outstanding at December 31, 2013		2,051,300		2.08	7.1		$ 2,980

	Expected to vest at December 31, 2013		1,907,892		$ 2.17	6.9		$ 2,548

	Exercisable at December 31, 2013		1,115,860		$ 3.07	5.3		$
	Exercisable at December 31, 2013		1,115,860		$ 3.07	5.3		0


Schedule Of Restricted Stock Unit Activity	'

			Number of Shares		Weighted-Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value
	Outstanding at December 31, 2012		366,915		1.32	$
	Outstanding at December 31, 2012		366,915		1.32	231,156
	Awarded		268,928
	Released (Vested)		-284,720
	Forfeited		-
	Expired		-
	Outstanding at December 31, 2013		351,123		1.82	$
	Outstanding at December 31, 2013		351,123		1.82	82,549

	Expected to Vest at December 31, 2013		297,122		1.5


Schedule Of Employee Stock Purchase Plan Valuation Assumptions	'

			Year Ended December 31,
			2013		2012		2011

	Expected life (in years)		0.5 - 1.0		0.5 - 1.0		0.5 - 1.0
	Risk-free interest rate		0.1%		0.1%		0.2%
	Dividend yield		0%		0%		0%
	Expected volatility		109%		58%		40%

Accrued_Liabilities_Tables

Accrued Liabilities (Tables)	12 Months Ended
Accrued Liabilities (Tables)	Dec. 31, 2013
Accrued Liabilities [Abstract]	'
Schedule Of Accrued Liabilities	'

		December 31,
		2013		2012
	Accrued vacation	$	529	$	589
	Accrued commission and bonus		449		174
	Accrued severance and retention		283		560
	Other accrued liabilities		285		475
	Accounts payable accruals		214		183
	Total accrued liabilities	$	1,760	$	1,981

Deferred_Revenue_Tables

Deferred Revenue (Tables)	12 Months Ended
Deferred Revenue (Tables)	Dec. 31, 2013
Deferred Revenue [Abstract]	'
Schedule Of Deferred Revenue	'

		December 31,
		2013		2012
	Current:
	Subscriptions	$	3,020	$	2,864
	License		705		368
	Service and support		5,978		7,732
	Total deferred revenue, short-term	$	9,703	$	10,964
	Long-term:
	Subscriptions	$	55	$	106
	License		30		39
	Service and support		797		2,376
	Total deferred revenue, long-term	$	882	$	2,521

Provision_For_Income_Taxes_Tab

Provision For Income Taxes (Tables)	12 Months Ended
Provision For Income Taxes (Tables)	Dec. 31, 2013
Provision For Income Taxes [Abstract]	'
Schedule Of the Components Of The Provision For Income Taxes	'

		Year Ended December 31,
		2013		2012		2011
	Current:
	Federal	$	-15	$	-	$	-
	State		-2		58		28
	Foreign		-24		11		19
	Total current	$	-41	$	69	$	47

	Deferred:
	Federal	$	-518	$	104	$	104
	State		-72		15		13
	Foreign		-		-		-
	Total deferred		-590		119		117
	Total provision for income taxes	$	-631	$	188	$	164


Schedule Of Effective Income Tax Reconciliation	'

		Year Ended December 31,
		2013		2012		2011
	Computed tax at statutory rate of 34%	$	-2,352	$	-3,217	$	-2,091
	State taxes, net of federal benefit		-78		156		-151
	Losses (benefited) not benefited		-50		-64		-28
	Non deductible stock-based compensation		112		142		157
	Fair value warrants		-250		-		-
	Other nondeductible expenses		21		44		74
	Uncertain tax positions		-655		-		-
	Prior year true ups		-164		-		-
	Increase in valuation allowance		2,785		3,127		2,203
	Provision (benefit) for income taxes	$	-631	$	188	$	164


Schedule Of Deferred Tax Assets (Liabilities)	'

		December 31,
		2013		2012
	Deferred tax assets:
	Net operating loss carryforwards	$	31,085	$	28,273
	Deferred revenue		301		976
	Research credit carryforwards		3,988		3,478
	Intangibles assets		1,520		1,717
	Goodwill		1,037		-
	Depreciable assets		295		351
	Other		451		1,097
	Total gross deferred tax assets		38,677		35,892

	Deferred tax liabilities:
	Goodwill		-		-590

	Gross deferred tax assets/liabilities		38,677		35,302
	Valuation allowance		-38,677		-35,892
	Net deferred tax liability	$	-	$	-590


Schedule Of Unrecognized Tax Benefits	'

		Year Ended December 31,
		2013		2012		2011
	Balance at January 1	$	2,733	$	2,678		2,547
	Increases for tax positions of prior years		57		-		-
	Increases for tax positions related to the current year		57		55		149
	Decreases for tax positions of prior years		-654		-		-18
	Balance at December 31	$	2,193	$	2,733	$	2,678

Common_Stock_Tables

Common Stock (Tables)	12 Months Ended
Common Stock (Tables)	Dec. 31, 2013
Common Stock [Abstract]	'
Schedule Of Reserved Shares Of Common Stock For Future Issuance	'

		2013
	Stock options outstanding		2,051,300
	Stock awards outstanding		351,123
	Stock options available for future grants		1,222,911
	Employee stock purchase plan		226,608
	Warrants		4,352,792
	Total		8,204,734

Commitments_And_Contingencies_

Commitments And Contingencies (Tables)	12 Months Ended
Commitments And Contingencies (Tables)	Dec. 31, 2013
Commitments And Contingencies [Abstract]	'
Schedule Of Future Minimum Lease Payments And Future Payments Under Royalty Agreements	'

		2014		2015		2016		2017 and thereafter		Total
	Contractual Obligations:
	Lease obligations	$	643	$	624	$	229	$	155	$	1,651
	Minimum royalty obligations		150		-		-		-		150
	Total	$	793	$	624	$	229	$	155	$	1,801

Interim_Financial_Information_

Interim Financial Information (Tables)	12 Months Ended
Interim Financial Information (Tables)	Dec. 31, 2013
Interim Financial Information [Abstract]	'
Schedule Of Quarterly Financial Data	'

		Three Months Ended
		31-Mar		30-Jun		30-Sep		31-Dec		Total
	Fiscal Year 2013:
	Total revenues	$	5,478	$	5,330	$	5,220	$	5,034	$	21,062
	Gross profit		4,134		4,097		4,047		3,875		16,153
	Net income (loss)	$	-1,004	$	-54	$	-932	$	-4,214	$	-6,204
	Basic and diluted net income (loss) per share:	$	-0.04	$	0	$	-0.04	$	-0.18	$	-0.26

	Fiscal Year 2012:
	Total revenues	$	7,086	$	7,148	$	6,828	$	7,081	$	28,143
	Gross profit		4,743		5,057		4,982		5,573		20,355
	Net income (loss)	$	-5,036	$	-3,141	$	-2,246	$	773	$	-9,650
	Basic and diluted net income (loss) per share:	$	-0.26	$	-0.14	$	-0.1	$	0.03	$	-0.43

Summary_Of_Significant_Account2

Summary Of Significant Accounting Policies (Details) (USD $)	0 Months Ended	12 Months Ended
	Apr. 05, 2013	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
	Apr. 05, 2013	segment	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Number of operating segments	'	1	'	'	'
Cash and cash equivalents	'	$2,638,000	$2,272,000	$5,871,000	$5,415,000
Net cash used in operating activities	'	-3,159,000	-10,457,000	-7,154,000	'
Subordinated notes	4,600,000	4,600,000	'	'	'
Number of securities called by warrants issued	1,846,940	'	'	'	'
Interest rate of subordinated notes	12.00%	12.00%	'	'	'
Percentage of principal to be repaid in case of triggering event	'	101.00%	'	'	'
Line of credit facility, maximum borrowing capacity	'	4,000,000	'	'	'
Outstanding line of credit	'	0	'	'	'
Amortization expense	'	50,000	600,000	'	'
Carrying value exceeding implied value of goodwill	'	5,000,000	'	'	'
Goodwill impairment charge	'	4,568,000	'	'	'
Long-lived assets impairment charges related	'	30,000	0	'	'
Advertising expense	'	60,000	300,000	400,000	'
Stock Option [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Anti-dilutive securities	'	1,785,985	1,676,080	1,195,994	'
Warrants [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Anti-dilutive securities	'	4,352,792	'	'	'
Software Development Costs [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Capitalized software development costs during period	'	30,000	100,000	100,000	'
Amortization expense	'	80,000	200,000	100,000	'
Internal Use Software And Website Development Costs [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Property and equipment, estimated useful life	'	'P3Y	'	'	'
Capitalized software development costs during period	'	200,000	400,000	1,200,000	'
Amortization expense	'	$700,000	$900,000	$500,000	'
Accounts Receivable [Member] \| Customer Concentration Risk [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Number of customers	'	2	1	'	'
Sales Revenue, Goods, Net [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Number of customers	'	0	0	0	'
Minimum [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Property and equipment, estimated useful life	'	'P3Y	'	'	'
Minimum [Member] \| Accounts Receivable [Member] \| Customer Concentration Risk [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Concentration risk, percentage	'	43.00%	24.00%	'	'
Minimum [Member] \| Sales Revenue, Segment [Member] \| Geographic Concentration Risk [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Concentration risk, percentage	'	80.00%	'	'	'
Maximum [Member]	'	'	'	'	'
Summary Of Significant Accounting Policies [Line Items]	'	'	'	'	'
Property and equipment, estimated useful life	'	'P5Y	'	'	'

Warrant_Liability_Details

Warrant Liability (Details) (USD $)	12 Months Ended				0 Months Ended	12 Months Ended	0 Months Ended	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Apr. 05, 2013	Mar. 28, 2012	Dec. 31, 2013	Apr. 05, 2013	Dec. 31, 2013
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Apr. 05, 2013	PIPE Warrants [Member]	PIPE Warrants [Member]	Sub-Debt Warrants [Member]	Sub-Debt Warrants [Member]
Warrant Liability [Line Items]	'	'	'	'	'	'	'	'
Number of securities called by warrants issued	'	'	'	1,846,940	2,505,852	'	1,846,940	'
Warrants issued, exercise price	'	'	'	'	1.82	'	1.03	'
Warrants exercise period	'	'	'	'	'5 years	'	'3 years	'
Warrant liability	$495,000	$534,000	'	'	'	$268,000	'	$227,000
Interest and other income (expense), net	($41,000)	$1,560,000	$13,000	'	'	$266,000	'	$471,000

Restructuring_Narrative_Detail

Restructuring (Narrative) (Details) (USD $)	3 Months Ended	12 Months Ended
	Sep. 30, 2012	Dec. 31, 2013	Dec. 31, 2012
	item
	employee
Restructuring Cost and Reserve [Line Items]	'	'	'
Restructuring charges	'	$219,000	$1,462,000
Number of workforce reductions	2	'	'
Reduction in workforce, percentage	30.00%	'	'
Severance costs	'	'	1,500,000
Payments for severance costs	'	'	1,100,000
Accrued liabilities	'	1,760,000	1,981,000
Accrual adjustment	'	-28,000	-117,000
Number of officers departed	2	'	'
Employee Severance [Member]	'	'	'
Restructuring Cost and Reserve [Line Items]	'	'	'
Accrued liabilities	'	$100,000	'

Restructuring_Schedule_Of_Accr

Restructuring (Schedule Of Accrued Costs) (Details) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Restructuring [Abstract]	'	'
Accrued, Beginning Balance	$285	'
Restructuring charges	219	1,462
Cash payments	-333	-1,060
Adjustments	-28	-117
Accrued, Ending Balance	$143	$285

Prepaid_Expenses_And_Other_Cur2

Prepaid Expenses And Other Current Assets (Schedule Of Prepaid Expenses And Other Current Assets) (Details) (USD $)	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Prepaid Expenses And Other Current Assets [Abstract]	'	'
Prepaid expenses	$559	$756
Short term deposit	1	603
Other receivables	70	125
Total prepaid expenses and other current assets	$630	$1,484

Property_And_Equipment_Schedul

Property And Equipment (Schedule Of Property And Equipment) (Details) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Property, Plant and Equipment [Line Items]	'	'	'
Total property and equipment	$8,923,000	$8,792,000	'
Less: Accumulated depreciation	-7,987,000	-6,764,000	'
Total property and equipment, net	936,000	2,028,000	'
Depreciation expense	1,300,000	1,800,000	1,300,000
Computer Equipment And Software [Member]	'	'	'
Property, Plant and Equipment [Line Items]	'	'	'
Total property and equipment	7,676,000	7,545,000	'
Office Furniture And Equipment [Member]	'	'	'
Property, Plant and Equipment [Line Items]	'	'	'
Total property and equipment	261,000	261,000	'
Leasehold Improvements And Leased Equipment [Member]	'	'	'
Property, Plant and Equipment [Line Items]	'	'	'
Total property and equipment	$986,000	$986,000	'

Fair_Value_Measurements_Of_Fin2

Fair Value Measurements Of Financial Instruments (Narrative) (Details) (USD $)	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2013
	Dec. 31, 2013	Dec. 31, 2012	PIPE Warrants [Member]	Sub-Debt Warrants [Member]
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]	'	'	'	'
Outstanding line of credit	$0	'	'	'
Warrant liability	495,000	534,000	268,000	227,000
Sensitivity analysis, percentage of price change	'	'	10.00%	10.00%
Sensitivity analysis, change in price of common stock, percentage	'	'	11.00%	11.00%
Sensitivity analysis, change in price of common stock, value	'	'	30,000	30,000
Sensitivity analysis, percentage of volatility change	'	'	10.00%	10.00%
Sensitivity analysis, change in volatility, percentage	'	'	18.00%	14.00%
Sensitivity analysis, change in volatility, value	'	'	$50,000	$30,000

Fair_Value_Measurements_Of_Fin3

Fair Value Measurements Of Financial Instruments (Schedule Of Assumptions Used To Determine Fair Value Of Warrants) (Details)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
PIPE Warrants [Member]	'	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'	'
Expected life (in years)	'3 years 3 months	'4 years 3 months
Risk-free interest rate	0.90%	0.61%
Dividend yield	0.00%	0.00%
Expected volatility	127.00%	76.00%
Sub-Debt Warrants [Member]	'	'
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]	'	'
Expected life (in years)	'2 years 3 months 18 days	'
Risk-free interest rate	0.48%	'
Dividend yield	0.00%	'
Expected volatility	148.00%	'

Fair_Value_Measurements_Of_Fin4

Fair Value Measurements Of Financial Instruments (Schedule Of Changes In Fair Value Of Outstanding Common Stock Warrants) (Details) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Fair Value Measurements Of Financial Instruments [Abstract]	'	'
Beginning balance	$534	'
Issuance of pipe warrants	'	2,368
Issuance of warrants with subordinated debt financing	698	'
Total change in fair value	-737	-1,834
Ending balance	$495	$534

Fair_Value_Measurements_Of_Fin5

Fair Value Measurements Of Financial Instruments (Summary Of Fair Value Of Assets And Liabilities Measured On A Recurring Basis) (Details) (USD $)	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Money market instruments	$650	$649
Common stock warrants	495	534
Line of Credit	'	800
Level 1 [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Money market instruments	650	649
Line of Credit	'	800
Level 3 [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Common stock warrants	$495	$534

LongTerm_Debt_Narrative_Detail

Long-Term Debt (Narrative) (Details) (USD $)	0 Months Ended	12 Months Ended
In Thousands, except Share data, unless otherwise specified	Apr. 05, 2013	Dec. 31, 2013
Debt Disclosure [Abstract]	'	'
Subordinated notes	$4,600	$4,600
Number of securities called by warrants issued	1,846,940	'
Interest rate of subordinated notes	12.00%	12.00%
Subordinated notes maturity date	'	5-Apr-15
Percentage of principal amount required to be repaid upon occurence of a change of control	'	101.00%
Value of warrants issued	698	'
Debt issuance costs	118	'
Amortization expense	'	$44

LongTerm_Debt_Components_Of_De

Long-Term Debt (Components Of Debt) (Details) (USD $)	Dec. 31, 2013	Apr. 05, 2013
In Thousands, unless otherwise specified	Dec. 31, 2013	Apr. 05, 2013
Debt Disclosure [Abstract]	'	'
Subordinated notes payable	$4,600	$4,600
Deferred debt discount	-418	'
Accrued PIK interest	426	'
Long-term debt	$4,608	'

Other_Assets_Schedule_Of_Other

Other Assets (Schedule Of Other Assets) (Details) (USD $)	12 Months Ended
Other Assets (Schedule Of Other Assets) (Details) (USD $)	Dec. 31, 2013	Dec. 31, 2012
Other Assets [Abstract]	'	'
Long-term lease deposits	$116,000	$135,000
Deferred rent asset - long term	430,000	'
Capitalized software, net	28,000	74,000
Other	78,000	51,000
Total other assets	652,000	260,000
Capitalized software amortization	$50,000	$600,000

StockBased_Compensation_Narrat

Stock-Based Compensation (Narrative) (Details) (USD $)

12 Months Ended

1 Months Ended

12 Months Ended

Dec. 31, 2013

Dec. 31, 2012

Dec. 31, 2011

Dec. 31, 2013

Jun. 30, 2011

Jun. 30, 2007

Dec. 31, 2013

Dec. 31, 1999

Dec. 31, 2013

item

1999 Equity Incentive Plan [Member]

Employee Stock Purchase Plan [Member]

Stock Options [Member]

Restricted Stock Units (RSUs) [Member]

1999 Equity Incentive Plan [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of share-based compensation plans

Number of shares authorized for issuance

6,492,666

1,700,000

700,000

Number of additional shares authorized for issuance

500,000

Purchase price, percentage below market value

85.00%

Offering period

'1 year

Contractual term of options granted

'6 months

Shares available for issuance

8,204,734

226,608

Award vesting period

'4 years

Contractual term

'10 years

Shares included in intrinsic value calculation

206,000

Price per share

$0.24

Options exercised, intrinsic value

$7,000

$39,000

Options vested, fair value

300,000

200,000

1,200,000

Options granted, weighted-average grant date fair value

$0.41

$0.80

$1.75

Unrecognized compensation cost, options

400,000

Unrecognized compensation cost, period for recognition

'2 years 7 months 28 days

Unrecognized compensation cost, restricted stock units

300,000

Restricted stock units, weighted-average grant date fair value

$0.64

$1.35

$3.10

Restricted stock units, fair value of stock units vested

400,000

700,000

Cash received under share-based payment arrangements

$50,000

$200,000

$400,000

All share based compensation plans, weighted-average grant date fair value

$0.47

$1.02

$2.28

StockBased_Compensation_Schedu

Stock-Based Compensation (Schedule Of Stock-Based Compensation Expense) (Details) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'
Total stock-based compensation expense	$750	$815	$1,232
Cost Of Revenues [Member]	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'
Total stock-based compensation expense	7	19	42
Sales And Marketing [Member]	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'
Total stock-based compensation expense	45	119	270
Research And Development [Member]	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'
Total stock-based compensation expense	98	143	260
General and Administrative [Member]	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'
Total stock-based compensation expense	$600	$534	$660

StockBased_Compensation_Schedu1

Stock-Based Compensation (Schedule Of Valuation Assumptions Used To Determine Fair Value Of Stock Options Granted) (Details) (Stock Options [Member])	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Stock Options [Member]	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'
Expected life (in years)	'5 years 3 months 18 days	'5 years 6 months	'5 years 6 months
Risk-free interest rate	1.01%	0.90%	2.00%
Dividend yield	0.00%	0.00%	0.00%
Expected volatility	84.00%	64.00%	62.00%
Estimated forfeiture rate	11.60%	8.50%	8.50%

StockBased_Compensation_Schedu2

Stock-Based Compensation (Schedule Of Stock Option Activity) (Details) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
Stock-Based Compensation [Abstract]	'	'
Outstanding at December 31, 2012, Number of Options	1,487,921	'
Granted, Number of Options	783,750	'
Forfeited, Number of Options	-26,761	'
Expired, Number of Options	-193,610	'
Outstanding at December 31, 2013, Number of Options	2,051,300	1,487,921
Expected to vest at December 31, 2013, Number of Options	1,907,892	'
Exercisable at December 31, 2013, Number of Options	1,115,860	'
Outstanding at December 31, 2012, Weighted-Average Exercise Price Per Share	$3.01	'
Granted, Weighted-Average Exercise Price Per Share	$0.65	'
Forfeited, Weighted-Average Exercise Price Per Share	$3.02	'
Expired, Weighted-Average Exercise Price Per Share	$3.29	'
Outstanding at December 31, 2013, Weighted-Average Exercise Price Per Share	$2.08	$3.01
Expected to vest at December 31, 2013, Weighted-Average Exercise Price Per Share	$2.17	'
Exercisable at December 31, 2013, Weighted-Average Exercise Price Per Share	$3.07	'
Outstanding at December 31, 2012, Weighted-Average Remaining Contractual Term (Years)	'7 years 1 month 6 days	'5 years 10 months 24 days
Outstanding at December 31, 2013, Weighted-Average Remaining Contractual Term (Years)	'7 years 1 month 6 days	'5 years 10 months 24 days
Expected to vest at December 31, 2013, Weighted-Average Remaining Contractual Term (Years)	'6 years 10 months 24 days	'
Exercisable at December 31, 2013, Weighted-Average Remaining Contractual Term (Years)	'5 years 3 months 18 days	'
Outstanding at December 31, 2012, Aggregate Intrinsic Value	$120	'
Outstanding at December 31, 2013, Aggregate Intrinsic Value	2,980	120
Expected to vest at December 31, 2013, Aggregate Intrinsic Value	2,548	'
Exercisable at December 31, 2013, Aggregate Intrinsic Value	$0	'

StockBased_Compensation_Schedu3

Stock-Based Compensation (Schedule Of Restricted Stock Unit Activity) (Details) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
Stock-Based Compensation [Abstract]	'	'
Outstanding at December 31, 2012, Number of Shares	366,915	'
Awarded, Number of Shares	268,928	'
Released (Vested), Number of Shares	-284,720	'
Expired, Number of Shares	'	'
Outstanding at December 31, 2013, Number of Shares	351,123	366,915
Expected to vest at December 31, 2013, Number of Shares	297,122	'
Outstanding at December 31, 2012, Weighted-Average Remaining Contractual Term (Years)	'1 year 9 months 26 days	'1 year 3 months 26 days
Outstanding at December 31, 2013, Weighted-Average Remaining Contractual Term (Years)	'1 year 9 months 26 days	'1 year 3 months 26 days
Expected to vest at December 31, 2013, Weighted-Average Remaining Contractual Term (Years)	'1 year 6 months	'
Outstanding at December 31, 2012, Aggregate Intrinsic Value	$231,156	'
Outstanding at December 31, 2013, Aggregate Intrinsic Value	$82,549	$231,156

StockBased_Compensation_Schedu4

Stock-Based Compensation (Schedule Of Employee Stock Purchase Plan Valuation Assumptions) (Details) (Employee Stock Purchase Plan [Member])	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'
Risk-free interest rate	0.10%	0.10%	0.20%
Dividend yield	0.00%	0.00%	0.00%
Expected volatility	109.00%	58.00%	40.00%
Minimum [Member]	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'
Expected life (in years)	'6 months	'6 months	'6 months
Maximum [Member]	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'
Expected life (in years)	'1 year	'1 year	'1 year

Accrued_Liabilities_Schedule_O

Accrued Liabilities (Schedule Of Accrued Liabilities) (Details) (USD $)	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Accrued Liabilities [Abstract]	'	'
Accrued vacation	$529	$589
Accrued commission and bonus	449	174
Accrued severance and retention	283	560
Other accrued liabilities	285	475
Accounts payable accruals	214	183
Total accrued liabilities	$1,760	$1,981

Deferred_Revenue_Schedule_Of_D

Deferred Revenue (Schedule Of Deferred Revenue) (Details) (USD $)	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Deferred Revenue Arrangement [Line Items]	'	'
Total deferred revenue, current	$9,703	$10,964
Total deferred revenue, long-term	882	2,521
Subscriptions [Member]	'	'
Deferred Revenue Arrangement [Line Items]	'	'
Total deferred revenue, current	3,020	2,864
Total deferred revenue, long-term	55	106
License [Member]	'	'
Deferred Revenue Arrangement [Line Items]	'	'
Total deferred revenue, current	705	368
Total deferred revenue, long-term	30	39
Service and support [Member]	'	'
Deferred Revenue Arrangement [Line Items]	'	'
Total deferred revenue, current	5,978	7,732
Total deferred revenue, long-term	$797	$2,376

Warranties_And_Indemnification1

Warranties And Indemnification (Details)	12 Months Ended
Warranties And Indemnification (Details)	Dec. 31, 2013
Warranties And Indemnification [Abstract]	'
Product warranty term	'90 days

Bank_Line_Of_Credit_Details

Bank Line Of Credit (Details) (USD $)	Dec. 31, 2013
Debt Disclosure [Abstract]	'
Line of credit facility, maximum borrowing capacity	$4,000,000
Outstanding line of credit	$0

Provision_For_Income_Taxes_Nar

Provision For Income Taxes (Narrative) (Details) (USD $)	12 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2013
Internal Revenue Service (IRS) [Member]	'
Summary Of Operating Loss And Tax Credit Carryforwards [Line Items]	'
Operating loss carryforwards	88.9
Tax credit carryforward	2.5
Internal Revenue Service (IRS) [Member] \| Minimum [Member]	'
Summary Of Operating Loss And Tax Credit Carryforwards [Line Items]	'
Operating loss carryforwards, expiration dates	'2019
Tax credit carryforwards, expiration dates	'2018
Internal Revenue Service (IRS) [Member] \| Maximum [Member]	'
Summary Of Operating Loss And Tax Credit Carryforwards [Line Items]	'
Operating loss carryforwards, expiration dates	'2033
Tax credit carryforwards, expiration dates	'2033
State and Local Jurisdiction [Member]	'
Summary Of Operating Loss And Tax Credit Carryforwards [Line Items]	'
Operating loss carryforwards	37.1
Tax credit carryforward	3.5
State and Local Jurisdiction [Member] \| Minimum [Member]	'
Summary Of Operating Loss And Tax Credit Carryforwards [Line Items]	'
Operating loss carryforwards, expiration dates	'2014
State and Local Jurisdiction [Member] \| Maximum [Member]	'
Summary Of Operating Loss And Tax Credit Carryforwards [Line Items]	'
Operating loss carryforwards, expiration dates	'2033

Provision_For_Income_Taxes_Sch

Provision For Income Taxes (Schedule Of the Components Of The Provision For Income Taxes) (Details) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Provision For Income Taxes [Abstract]	'	'	'
Current: Federal	($15)	'	'
Current: State	-2	58	28
Current: Foreign	-24	11	19
Total current	-41	69	47
Deferred: Federal	-518	104	104
Deferred: State	-72	15	13
Deferred: Foreign	'	'	'
Total deferred	-590	119	117
Total provision (benefit) for income taxes	($631)	$188	$164

Provision_For_Income_Taxes_Sch1

Provision For Income Taxes (Schedule Of Effective Income Tax Reconciliation) (Details) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Provision For Income Taxes [Abstract]	'	'	'
Computed tax at statutory rate of 34%	($2,352)	($3,217)	($2,091)
State taxes, net of federal benefit	-78	156	-151
Losses (benefited) not benefited	-50	-64	-28
Nondeductible stock-based compensation	112	142	157
Fair value warrants	-250	'	'
Other nondeductible expenses	21	44	74
Uncertain tax positions	-655	'	'
Prior year true ups	-164	'	'
Increase in valuation allowance	2,785	3,127	2,203
Total provision (benefit) for income taxes	($631)	$188	$164
Statutory income tax rate	34.00%	34.00%	34.00%

Provision_For_Income_Taxes_Sch2

Provision For Income Taxes (Schedule Of Deferred Tax Assets (Liabilities)) (Details) (USD $)	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Provision For Income Taxes [Abstract]	'	'
Net operating loss carryforwards	$31,085	$28,273
Deferred revenue	301	976
Research credit carryforwards	3,988	3,478
Intangibles assets	1,520	1,717
Goodwill	1,037	'
Depreciable assets	295	351
Other	451	1,097
Total gross deferred tax assets	38,677	35,892
Goodwill	'	-590
Gross deferred tax assets/liabilities	38,677	35,302
Valuation allowance	-38,677	-35,892
Net deferred tax liability	'	($590)

Provision_For_Income_Taxes_Sch3

Provision For Income Taxes (Schedule Of Unrecognized Tax Benefits) (Details) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Provision For Income Taxes [Abstract]	'	'	'
Balance at January 1	$2,733	$2,678	$2,547
Increases for tax positions of prior years	57	'	'
Increases for tax positions related to the current year	57	55	149
Decreases for tax positions of prior years	-654	'	-18
Balance at December 31	$2,193	$2,733	$2,678

Common_Stock_Schedule_Of_Reser

Common Stock (Schedule Of Reserved Shares Of Common Stock For Future Issuance) (Details)	Dec. 31, 2013
Stockholders Equity, Shares Reserved For Issuance By Type [Line Items]	'
Shares reserved for issuance	8,204,734
Stock Options Outstanding [Member]	'
Stockholders Equity, Shares Reserved For Issuance By Type [Line Items]	'
Shares reserved for issuance	2,051,300
Stock Awards Outstanding [Member]	'
Stockholders Equity, Shares Reserved For Issuance By Type [Line Items]	'
Shares reserved for issuance	351,123
Stock Options Available For Future Grants [Member]	'
Stockholders Equity, Shares Reserved For Issuance By Type [Line Items]	'
Shares reserved for issuance	1,222,911
Employee Stock Purchase Plan [Member]	'
Stockholders Equity, Shares Reserved For Issuance By Type [Line Items]	'
Shares reserved for issuance	226,608
Warrants [Member]	'
Stockholders Equity, Shares Reserved For Issuance By Type [Line Items]	'
Shares reserved for issuance	4,352,792

Commitments_And_Contingencies_1

Commitments And Contingencies (Narrative) (Details) (USD $)	12 Months Ended				0 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2013	Oct. 03, 2012
				Amendment [Member]	Modification [Member]
				sqft	Oakland, California [Member]
Commitments And Contingencies Disclosure [Line Items]	'	'	'	'	'
Area leased	'	'	'	10,823	'
Reduction in minimum lease payments	'	'	'	'	$10,000
Amount of security deposit applied to lease monthly payments	'	'	'	'	50,000
Capital lease payments, 2014	25,000	'	'	'	'
Operating leases rent expense	800,000	1,100,000	1,200,000	'	'
Royalty minimum payment per year	150,000	'	'	'	'
Royalty expense	$200,000	$200,000	$400,000	'	'
Period to cure the violation	'60 years	'	'	'	'

Commitments_And_Contingencies_2

Commitments And Contingencies (Schedule Of Future Minimum Lease Payments And Future Payments Under Royalty Agreements) (Details) (USD $)	Dec. 31, 2013
In Thousands, unless otherwise specified	Dec. 31, 2013
Commitments And Contingencies [Abstract]	'
Lease obligations, 2014	$643
Lease obligations, 2015	624
Lease obligations, 2016	229
Lease obligations, 2017 and thereafter	155
Lease obligations, Total	1,651
Minimum royalty obligations, 2014	150
Minimum royalty obligations, 2015	'
Minimum royalty obligations, 2016	'
Minimum royalty obligations, 2017 and thereafter	'
Minimum royalty obligations, Total	150
Total, 2014	793
Total, 2015	624
Total, 2016	229
Total, 2017 and thereafter	155
Total, Total	$1,801

Related_Party_Transactions_Det

Related Party Transactions (Details) (USD $)

Dec. 31, 2013

Apr. 02, 2013

Jan. 31, 2013

Dec. 31, 2013

Sep. 30, 2013

Dec. 31, 2013

Dec. 31, 2012

Dec. 31, 2011

Dec. 31, 2013

Posit Science Corporation [Member]

Board Of Directors Vice Chair [Member]

Posit Science Corporation [Member]

Target Stock Price $15 [Member]

Target Stock Price $20 [Member]

Target Stock Price $25 [Member]

Target Stock Price $30 [Member]

Stock Options Grant Period One [Member]

Stock Options Grant Period Two [Member]

item

Board Of Directors Vice Chair [Member]

Related Party Transaction [Line Items]

Number of exclusive licenses to become non-exclusive

Percentage of reduction in annual minimum royalty payment

90.00%

Annual minimum royalty payment

$150,000

$15,000

Applicable Base Royalty Percentage

0.40%

Equity intrest, percentage

3.50%

Royalty revenue

20,000

200,000

Related party transaction, consulting fee

$36,000

$40,000

Number of stock option grants

Term of stock option grants

'5 years

Stock options exercise price per share

$0.80

$7.15

Stock options granted

40,000

80,000

100,000

Award vesting period

'3 years

'4 years

Cliff period

'1 year

Target stock price

$15

$20

$25

$30

Number of shares vesting at each target stock price

25,000

Subsequent_Events_Details

Subsequent Events (Details) (Subsequent Event [Member])	0 Months Ended
	Mar. 21, 2014
	item
Subsequent Event [Member]	'
Subsequent Event [Line Items]	'
Number of patents sold	7

Interim_Financial_Information_1

Interim Financial Information (Schedule Of Quarterly Financial Data) (Details) (USD $)	3 Months Ended								12 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Consolidated Statements Of Operations [Abstract]	'	'	'	'	'	'	'	'	'	'	'
Total revenues	$5,034	$5,220	$5,330	$5,478	$7,081	$6,828	$7,148	$7,086	$21,062	$28,143	$41,079
Gross profit	3,875	4,047	4,097	4,134	5,573	4,982	5,057	4,743	16,153	20,355	30,391
Net income (loss)	($4,214)	($932)	($54)	($1,004)	$773	($2,246)	($3,141)	($5,036)	($6,204)	($9,650)	($6,476)
Basic and diluted net income (loss) per share	($0.18)	($0.04)	$0	($0.04)	$0.03	($0.10)	($0.14)	($0.26)	($0.26)	($0.43)	($0.34)

Schedule_Of_Valuation_And_Qual1

Schedule Of Valuation And Qualifying Accounts (Details) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Valuation and Qualifying Accounts [Abstract]	'	'	'
Beginning Balance	$52	$159	$76
Write-offs	-7	-113	-160
Additions (deductions) to Allowance	-22	6	243
Ending Balance	$23	$52	$159