Ipass (IPAS) 10-Q 9 May 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2017	Apr. 28, 2017
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Entity Registrant Name	IPASS INC
Entity Central Index Key	1,053,374
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		65,784,605

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 13,472	$ 16,072
Accounts receivable, net of allowance for doubtful accounts of $0 and $142, respectively	10,934	12,361
Prepaid Expense, Current	1,590	1,344
Other current assets	211	225
Total current assets	26,207	30,002
Property and equipment, net	2,202	2,485
Other assets	709	688
Total assets	29,118	33,175
Current liabilities:
Accounts payable	6,583	7,069
Accrued liabilities	3,609	3,874
Deferred revenue, short-term	3,126	2,412
Total current liabilities	13,318	13,355
Deferred revenue, long-term	91	67
Other long-term liabilities	1,034	1,123
Total liabilities	14,443	14,545
Stockholders’ equity:
Common stock	68	68
Additional paid-in capital	224,137	223,777
Accumulated deficit	(209,530)	(205,215)
Total stockholders’ equity	14,675	18,630
Total liabilities and stockholders’ equity	$ 29,118	$ 33,175

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 0	$ 142

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Statement of Comprehensive Income [Abstract]
Revenue	$ 14,286	$ 14,731
Cost of revenue and operating expenses:
Network access costs	9,559	7,442
Network operations	1,692	2,098
Research and development	1,974	2,140
Sales and marketing	2,454	2,837
General and administrative	2,772	2,990
Restructuring charges and related adjustments	0	758
Total cost of revenue and operating expenses	18,451	18,265
Operating loss	(4,165)	(3,534)
Interest income (expense), net	14	5
Foreign exchange loss, net	(49)	(110)
Loss before income taxes	(4,200)	(3,639)
Provision for income taxes	115	91
Net loss	(4,315)	(3,730)
Comprehensive loss	$ (4,315)	$ (3,730)
Net loss per share - basic and diluted
Total net income (loss) per share (USD per share)	$ (0.07)	$ (0.06)
Weighted average shares outstanding - basic and diluted	65,567,707	63,146,622

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Cash flows from operating activities:
Net loss	$ (4,315)	$ (3,730)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation expense (benefit)	350	188
Depreciation and amortization	454	706
Deferred Income Tax Expense (Benefit)	0	1
Provision for doubtful accounts	39	61
Changes in operating assets and liabilities:
Accounts receivable	1,388	(432)
Prepaid expenses and other current assets	(232)	388
Other assets	(21)	(16)
Accounts payable	(435)	613
Accrued liabilities	(265)	(284)
Deferred revenue	738	(204)
Other liabilities	(89)	24
Net cash used in operating activities	(2,388)	(2,685)
Cash flows from investing activities:
Purchases of property and equipment	(222)	(1)
Net cash (used in) provided by investing activities	(222)	(1)
Cash flows from financing activities:
Net proceeds from issuance of common stock	10	113
Principal payments for vendor financed property and equipment	0	(282)
Stock repurchase	0	(271)
Net cash provided by (used in) financing activities	10	(440)
Net decrease in cash and cash equivalents	(2,600)	(3,126)
Cash and cash equivalents at beginning of period	16,072	20,294
Cash and cash equivalents at end of period	13,472	17,168
Supplemental disclosures of cash flow information:
Net cash paid for taxes	46	45
Accrued amounts for acquisition of property and equipment	$ 73	$ 61

Basis of Presentation and Recen

Basis of Presentation and Recent Accounting Pronouncements	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Basis of Presentation and Recent Accounting Pronouncements	Basis of Presentation and Recent Accounting Pronouncements Basis of Presentation The Condensed Consolidated Financial Statements include the accounts of iPass Inc. and its wholly owned subsidiaries ("iPass" and the “Company”). The Condensed Consolidated Financial Statements that accompany these notes have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) consistent in all material respects with those applied in the Company’s Annual Report on Form 10-K as of and for the year ended December 31, 2016. The Condensed Consolidated Financial Statements as of and for the year ended December 31, 2016, were derived from audited financial statements but do not include all disclosures required by GAAP. The interim financial information is unaudited but reflects all normal adjustments that are, in the opinion of management, necessary to provide a fair presentation for the interim periods presented. This interim financial information should be read in conjunction with the Consolidated Financial Statements and the Notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016. The results of operations for the three months ended March 31, 2017 are not necessarily indicative of the operating results for the full fiscal year or any future periods. The preparation of the condensed consolidated financial statements in conformity with GAAP requires management to make estimates and judgments that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results that the Company experiences may differ materially from those estimates. Estimates are used for, but not limited to, the valuation of accounts receivables, other long-lived assets, recognition of deferred revenue, network access costs, stock-based compensation, legal contingencies, and income taxes. The Company reports total comprehensive net loss in a single continuous financial statement within its Condensed Consolidated Statements of Operations and Comprehensive Loss. The Company’s comprehensive net loss is equivalent to its total net loss because the Company does not have any transactions that are recorded through other comprehensive loss. Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). ASU 2014-09 requires entities to recognize revenue through the application of a five-step model, which includes identification of the contract, identification of the performance obligations, determination of the transaction price, allocation of the transaction price to the performance obligations and recognition of revenue as the entity satisfies the performance obligations. Subsequently, the FASB issued the following accounting standard updates related to Topic 606, Revenue Contracts with Customers: • ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) in March 2016. ASU 2016-08 does not change the core principle of revenue recognition in Topic 606 but clarifies the implementation guidance on principal versus agent considerations. • ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing in April 2016. ASU 2016-10 does not change the core principle of revenue recognition in Topic 606 but clarifies the implementation guidance on identifying performance obligations and the licensing. • ASUs No. 2016-12 and 2016-20, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients. These ASUs do not change the core principle of revenue recognition in Topic 606 but clarifies the implementation guidance on a few narrow areas and adds some practical expedients to the guidance. The amendments are effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. We established an internal implementation team and are planning to engage a third-party advisory firm to assist in the implementation of the new standard. We continue to assess the overall impact the adoption of ASU 2014-09 will have on our consolidated financial statements, and to evaluate whether to adopt the guidance using the full or modified retrospective basis. In March 2016, the FASB issued ASU No. 2016-09, "Compensation—Stock Compensation (Topic 718)." This update involved several aspects of the accounting for share-based payment transactions, including the income tax consequences. We adopted this ASU effective January 1, 2017. We elected not to change our methodology for forfeiture rates calculation and continue estimating the number of awards expected to be forfeited at the grant date and subsequently adjusting the estimate when awards are actually forfeited, rather than recognizing forfeitures of share-based awards as they occur in the period of forfeiture. The adoption of this ASU did not have a material impact on our condensed consolidated financial statements for the first quarter of 2017 and is not expected to have a material impact on the annual consolidated financial statements.

Financial Instruments and Fair

Financial Instruments and Fair Value	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Financial Instruments and Fair Value	Financial Instruments and Fair Value Fair value is the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction in the principal or most advantageous market between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Company considers assumptions that market participants would use when pricing the asset or liability. Fair Value Hierarchy The three levels of inputs that may be used to measure fair value are as follows: • Level 1—Quoted prices in active markets for identical assets or liabilities; • Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and • Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The recurring fair value measurements of these financial assets (excluding cash) were determined using the following inputs at March 31, 2017 , and December 31, 2016 , respectively: As of March 31, 2017 As of December 31, 2016 Fair Value Measured Using Total Balance Fair Value Measured Using Total Balance Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 (In thousands) Financial assets Money market funds (1) $ 12,611 $ — $ — $ 12,611 $ 14,083 $ — $ — $ 14,083 Total financial assets $ 12,611 $ — $ — $ 12,611 $ 14,083 $ — $ — $ 14,083 (1) Held in cash and cash equivalents on the Company’s condensed consolidated balance sheets. There were no transfers between Levels 1, 2, and 3 from December 31, 2016 through March 31, 2017 . As of March 31, 2017 and December 31, 2016 , the carrying amounts of accounts receivable, accounts payable, and accrued liabilities approximated fair value due to their short maturities (refer to Note 5 and 6 for discussion related to Accrued Restructuring and Vendor Financed Property and Equipment).

Property and Equipment, Net

Property and Equipment, Net	3 Months Ended
	Mar. 31, 2017
Property, Plant and Equipment [Abstract]
Property and Equipment, Net	Property and Equipment, net Property and equipment, net, consisted of the following: March 31, December 31, 2016 (In thousands) Equipment $ 10,652 $ 10,492 Furniture and fixtures 378 378 Computer software 10,719 10,431 Construction in progress 20 303 Leasehold improvements 542 536 22,311 22,140 Less: Accumulated depreciation and amortization (20,109 ) (19,655 ) Property and equipment, net $ 2,202 $ 2,485 For the three months ended March 31, 2017 and the three months ended March 31, 2016, depreciation expense was approximately $0.5 million and $0.7 million , respectively. During the three months ended March 31, 2017, the Company retired less than $0.1 million gross property and equipment related to continuing operations. During the three months ended March 31, 2016, the Company did not retire any gross property and equipment related to continuing operations.

Accrued Liabilities

Accrued Liabilities	3 Months Ended
	Mar. 31, 2017
Payables and Accruals [Abstract]
Accrued Liabilities	Accrued Liabilities Accrued liabilities consisted of the following: March 31, December 31, 2016 (In thousands) Accrued tax liabilities $ 907 $ 927 Accrued bonus, commissions and other employee benefits 792 808 Accrued vendor financed software (1) 249 373 Amounts due to customers 841 869 Other accrued liabilities 820 897 $ 3,609 $ 3,874 (1) See Note 6 "Vendor Financed Property and Equipment"

Accrued Restructuring

Accrued Restructuring	3 Months Ended
	Mar. 31, 2017
Restructuring and Related Activities [Abstract]
Accrued Restructuring	Accrued Restructuring During the second quarter of 2015, the Company announced a restructuring plan (the "Q2 2015 Plan") intended to flatten the organization, create a more nimble sales and delivery infrastructure to support a SaaS go to market strategy, and accelerate the cash flow break-even point for the Company. The Q2 2015 Plan reduced headcount globally by approximately 14% and the Company recorded approximately $4.2 million of restructuring charges in 2015 and had approximately $0.2 million of payments remaining as of March 31, 2016 for employees termination costs. As of December 31, 2016, the Company completed all of the related payments associated with Q2 2015 Plan. During the first quarter of 2016, the Company announced a restructuring plan (the "Q1 2016 Plan") with the stated purpose to achieve positive Adjusted EBITDA profitability in 2016. The Q1 2016 Plan reduced headcount globally by 57 employees, or 30% of the workforce, and primarily eliminated positions in engineering and network operations groups, including a reduction of personnel in the India team. The Company recorded approximately $0.8 million of restructuring charges in 2016 and had approximately $0.2 million of payments remaining as of March 31, 2016. As of December 31, 2016, the Company has completed all of the related payments associated with Q1 2016 Plan. The following is a rollforward of restructuring liability for the Plans: Three Months Ended March 31, 2017 2016 (In thousands) Beginning balance $ — $ 249 Restructuring charges and related adjustments — 758 Payments and adjustments — (628 ) Ending balance $ — $ 379

Vendor Financed Property and Eq

Vendor Financed Property and Equipment	3 Months Ended
	Mar. 31, 2017
Property, Plant and Equipment [Abstract]
Vendor Financed Property and Equipment	Vendor Financed Property and Equipment In October 2013, the Company acquired enterprise database software (under a term unlimited license agreement) and infrastructure hardware. This purchase was financed through a vendor and was payable over three years. In April 2014, the Company acquired additional enterprise infrastructure hardware which was financed through the vendor and was payable over two years. The total purchases financed by the vendor were approximately $3.1 million . All payments were completed in fiscal year 2016. In October 2016, the Company extended the license related to the previously acquired software for approximately $0.5 million to be paid over one year. Since October 2016, the Company made approximately $0.3 million of principal payments, and as of March 31, 2017, approximately $0.2 million was recorded in accrued liabilities. All payments are expected to be completed in fiscal year 2017, based on the payment terms.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Lease and Purchase Commitments The Company leases facilities under operating leases that expire at various dates through October 2020. Future minimum lease payments under these operating leases as of March 31, 2017, are as follows: Year Operating Leases (In thousands) Remainder of 2017 $ 1,138 2018 1,123 2019 1,082 2020 926 $ 4,269 The Company has contracts with certain network service providers which have minimum purchase commitments that expire on various dates through March 2019 . Future minimum purchase commitments as of March 31, 2017, under all agreements are as follows: Year Minimum Purchase Commitments (In thousands) Remainder of 2017 $ 21,696 2018 4,816 2019 6 $ 26,518 Unclaimed Property Compliance The Company has received notices from several states stating that they have appointed an agent to conduct an examination of the books and records of the Company to determine whether it has complied with state unclaimed property laws. In addition to seeking the turnover of unclaimed property subject to escheat laws, the states may seek interest, penalties, costs of examinations, and other relief. If the potential loss from any payment claim is considered probable and the amount or the range of the loss can be estimated, the Company accrues a liability for the estimated loss. To date, the Company is not able to estimate the possible payment, if any, due to the early stages of this matter. Legal Proceedings The Company is involved in legal proceedings and claims arising in the ordinary course of business. While there can be no assurances as to the ultimate outcome of any litigation involving the Company, management does not believe any such pending legal proceeding or claim will result in a judgment or settlement that would have a material adverse effect on the Company’s financial position, results of operations or cash flows. In the ordinary course of business, the Company may provide indemnifications of varying scope and terms to customers, business partners, and other parties with respect to certain matters, including, but not limited to, losses arising out of breach of such agreements, services to be provided by the Company, or from intellectual property infringement claims made by third-parties. Certain indemnification agreements may not be subject to maximum loss clauses. If the potential loss from any indemnification claim is considered probable and the amount or the range of the loss can be estimated, the Company accrues a liability for the estimated loss. To date, claims under such indemnification provisions have not been significant.

Net Income (Loss) Per Common Sh

Net Income (Loss) Per Common Share	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Net Income (Loss) Per Common Share	Net Loss Per Share Basic net loss per common share is computed by dividing net loss available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted net loss per common share is computed by dividing net loss available to common shareholders by the weighted average number of common shares outstanding plus dilutive potential common shares as determined using the treasury stock method for outstanding stock options, restricted stock-based awards and shares issuable under the employee stock purchase plan, unless the result of adding such shares would be anti-dilutive. Unvested participating securities are included in the weighted daily average number of shares outstanding used in the calculation of diluted net income per common share, but are excluded from the calculation of diluted net loss per share. In a net loss position, basic and diluted net loss per common share are equal, since the weighted average number of shares used to compute diluted net loss per common share excludes anti-dilutive securities, including participating securities. As a result of the Company’s net loss for the three months ended March 31, 2017 and 2016, the Company has excluded all potential shares of common stock from the diluted net loss per share calculation as their inclusion would have had an anti-dilutive effect. The following table sets forth the computation of basic and diluted net loss per share: Three Months Ended 2017 2016 (In thousands, except share and per share amounts) Numerator: Net loss $ (4,315 ) $ (3,730 ) Denominator: Weighted average shares outstanding - basic and diluted 65,567,707 63,146,622 Total loss per share - basic and diluted: Total net loss per share $ (0.07 ) $ (0.06 ) The following weighted average potential shares of common stock have been excluded from the computation of diluted net loss per share because the effect of including these shares would have been anti-dilutive: Three Months Ended 2017 2016 Options to purchase common stock 4,455,596 6,888,435 Restricted stock awards, including participating securities 215,831 1,465,832 Total 4,671,427 8,354,267

Segment and Geographical Inform

Segment and Geographical Information	3 Months Ended
	Mar. 31, 2017
Segment Reporting [Abstract]
Segment and Geographical Information	Segment and Geographical Information The following table presents total Company revenue by country or by geographical region: Mobility Services Three Months Ended March 31, 2017 2016 United States 43 % 42 % Europe, Middle East and Africa 47 % 45 % Asia Pacific 8 % 12 % Rest of the World 2 % 1 % For the three months ended March 31, 2017, the United States and Germany represented 43% and 15% of total revenue, respectively. One customer, a channel reseller, represented 11% of total revenues for the three months ended March 31, 2017. For the three months ended March 31, 2016, the United States and Germany represented 42% and 14% of total revenue, respectively. One customer, a channel reseller, represented 10% of total revenues for the three months ended March 31, 2016. Substantially all of the Company’s long-lived assets are located in the United States.

Stock Repurchase Program

Stock Repurchase Program	3 Months Ended
	Mar. 31, 2017
Equity [Abstract]
Stock Repurchase Program	Stock Repurchase Program On November 3, 2015, the Company’s Board of Directors authorized a share repurchase program of up to $3.0 million of the Company’s common stock beginning in the fourth quarter of 2015. Under the repurchase program, the Company was authorized to repurchase shares through open market purchases, in accordance with applicable federal securities laws, including through trading plans under Rule 10b5-1 of the Securities and Exchange Act of 1934. The repurchase program ran through December 31, 2016. The number of shares repurchased and the timing of purchases were based on general business and market conditions, and other factors, including legal requirements

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2017
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events Management has evaluated events subsequent to March 31, 2017, through the date the accompanying consolidated financial statements were filed with the Securities and Exchange Commission for transactions and other events that may require adjustment of and/or disclosure in such financial statements, and noted no additional significant subsequent event that needs to be disclosed.

Basis of Presentation and Rec17

Basis of Presentation and Recent Accounting Pronouncements (Policies)	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). ASU 2014-09 requires entities to recognize revenue through the application of a five-step model, which includes identification of the contract, identification of the performance obligations, determination of the transaction price, allocation of the transaction price to the performance obligations and recognition of revenue as the entity satisfies the performance obligations. Subsequently, the FASB issued the following accounting standard updates related to Topic 606, Revenue Contracts with Customers: • ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) in March 2016. ASU 2016-08 does not change the core principle of revenue recognition in Topic 606 but clarifies the implementation guidance on principal versus agent considerations. • ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing in April 2016. ASU 2016-10 does not change the core principle of revenue recognition in Topic 606 but clarifies the implementation guidance on identifying performance obligations and the licensing. • ASUs No. 2016-12 and 2016-20, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients. These ASUs do not change the core principle of revenue recognition in Topic 606 but clarifies the implementation guidance on a few narrow areas and adds some practical expedients to the guidance. The amendments are effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. We established an internal implementation team and are planning to engage a third-party advisory firm to assist in the implementation of the new standard. We continue to assess the overall impact the adoption of ASU 2014-09 will have on our consolidated financial statements, and to evaluate whether to adopt the guidance using the full or modified retrospective basis. In March 2016, the FASB issued ASU No. 2016-09, "Compensation—Stock Compensation (Topic 718)." This update involved several aspects of the accounting for share-based payment transactions, including the income tax consequences. We adopted this ASU effective January 1, 2017. We elected not to change our methodology for forfeiture rates calculation and continue estimating the number of awards expected to be forfeited at the grant date and subsequently adjusting the estimate when awards are actually forfeited, rather than recognizing forfeitures of share-based awards as they occur in the period of forfeiture. The adoption of this ASU did not have a material impact on our condensed consolidated financial statements for the first quarter of 2017 and is not expected to have a material impact on the annual consolidated financial statements.

Financial Instruments and Fai18

Financial Instruments and Fair Value (Tables)	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Fair Value of Financial Assets (Excluding Cash) and Financial Liabilities	The recurring fair value measurements of these financial assets (excluding cash) were determined using the following inputs at March 31, 2017 , and December 31, 2016 , respectively: As of March 31, 2017 As of December 31, 2016 Fair Value Measured Using Total Balance Fair Value Measured Using Total Balance Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 (In thousands) Financial assets Money market funds (1) $ 12,611 $ — $ — $ 12,611 $ 14,083 $ — $ — $ 14,083 Total financial assets $ 12,611 $ — $ — $ 12,611 $ 14,083 $ — $ — $ 14,083 (1) Held in cash and cash equivalents on the Company’s condensed consolidated balance sheets.

Property and Equipment, Net (Ta

Property and Equipment, Net (Tables)	3 Months Ended
	Mar. 31, 2017
Property, Plant and Equipment [Abstract]
Components of Property and Equipment, Net	Property and equipment, net, consisted of the following: March 31, December 31, 2016 (In thousands) Equipment $ 10,652 $ 10,492 Furniture and fixtures 378 378 Computer software 10,719 10,431 Construction in progress 20 303 Leasehold improvements 542 536 22,311 22,140 Less: Accumulated depreciation and amortization (20,109 ) (19,655 ) Property and equipment, net $ 2,202 $ 2,485

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	3 Months Ended
	Mar. 31, 2017
Payables and Accruals [Abstract]
Schedule of Accrued Liabilities	Accrued liabilities consisted of the following: March 31, December 31, 2016 (In thousands) Accrued tax liabilities $ 907 $ 927 Accrued bonus, commissions and other employee benefits 792 808 Accrued vendor financed software (1) 249 373 Amounts due to customers 841 869 Other accrued liabilities 820 897 $ 3,609 $ 3,874 (1) See Note 6 "Vendor Financed Property and Equipment"

Accrued Restructuring (Tables)

Accrued Restructuring (Tables)	3 Months Ended
	Mar. 31, 2017
Restructuring and Related Activities [Abstract]
Summary of Accrued Restructuring	The following is a rollforward of restructuring liability for the Plans: Three Months Ended March 31, 2017 2016 (In thousands) Beginning balance $ — $ 249 Restructuring charges and related adjustments — 758 Payments and adjustments — (628 ) Ending balance $ — $ 379

Commitments and Contingencies (

Commitments and Contingencies (Tables)	3 Months Ended	9 Months Ended
	Mar. 31, 2017	Sep. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Schedule of Future Minimum Lease Payments		The Company leases facilities under operating leases that expire at various dates through October 2020. Future minimum lease payments under these operating leases as of March 31, 2017, are as follows: Year Operating Leases (In thousands) Remainder of 2017 $ 1,138 2018 1,123 2019 1,082 2020 926 $ 4,269
Schedule of Future Minimum Purchase Commitments	Future minimum purchase commitments as of March 31, 2017, under all agreements are as follows: Year Minimum Purchase Commitments (In thousands) Remainder of 2017 $ 21,696 2018 4,816 2019 6 $ 26,518

Net Income (Loss) Per Common 23

Net Income (Loss) Per Common Share (Tables)	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Schedule of Computation of Basic and Diluted Net Loss Per Share	The following table sets forth the computation of basic and diluted net loss per share: Three Months Ended 2017 2016 (In thousands, except share and per share amounts) Numerator: Net loss $ (4,315 ) $ (3,730 ) Denominator: Weighted average shares outstanding - basic and diluted 65,567,707 63,146,622 Total loss per share - basic and diluted: Total net loss per share $ (0.07 ) $ (0.06 )
Schedule of Anti-dilutive Shares Excluded from Computation of Diluted Net Loss Per Share	The following weighted average potential shares of common stock have been excluded from the computation of diluted net loss per share because the effect of including these shares would have been anti-dilutive: Three Months Ended 2017 2016 Options to purchase common stock 4,455,596 6,888,435 Restricted stock awards, including participating securities 215,831 1,465,832 Total 4,671,427 8,354,267

Segment and Geographical Info24

Segment and Geographical Information (Tables)	3 Months Ended
	Mar. 31, 2017
Segment Reporting [Abstract]
Summary of Revenue by Geographical Region	Mobility Services Three Months Ended March 31, 2017 2016 United States 43 % 42 % Europe, Middle East and Africa 47 % 45 % Asia Pacific 8 % 12 % Rest of the World 2 % 1 %

Financial Instruments and Fai25

Financial Instruments and Fair Value - Fair Value of Financial Assets (Excluding Cash) and Financial Liabilities (Detail) - USD ($) $ in Thousands		Mar. 31, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total financial assets		$ 12,611	$ 14,083
Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total financial assets	[1]	12,611	14,083
Fair Value Measurements Recurring | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total financial assets		12,611	14,083
Fair Value Measurements Recurring | Level 1 | Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total financial assets	[1]	12,611	14,083
Fair Value Measurements Recurring | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total financial assets		0	0
Fair Value Measurements Recurring | Level 2 | Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total financial assets	[1]	0	0
Fair Value Measurements Recurring | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total financial assets		0	0
Fair Value Measurements Recurring | Level 3 | Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total financial assets	[1]	$ 0	$ 0
[1]	Held in cash and cash equivalents on the Company’s condensed consolidated balance sheets.

Financial Instruments and Fai26

Financial Instruments and Fair Value - Narrative (Detail)	3 Months Ended
	Mar. 31, 2017USD ($)
Fair Value Disclosures [Abstract]
Transfers between Levels 1, 2, and 3	$ 0

Property and Equipment, Net - C

Property and Equipment, Net - Components of Property and Equipment, Net (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Abstract]
Equipment	$ 10,652	$ 10,492
Furniture and fixtures	378	378
Computer software	10,719	10,431
Construction in progress	20	303
Leasehold improvements	542	536
Property plant and equipment, gross	22,311	22,140
Less: Accumulated depreciation and amortization	(20,109)	(19,655)
Property and equipment, net	$ 2,202	$ 2,485

Property and Equipment, Net - N

Property and Equipment, Net - Narrative (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Sep. 30, 2015
Property, Plant and Equipment [Line Items]
Property and equipment, wrote-off	$ 0.1
Continuing Operations
Property, Plant and Equipment [Line Items]
Depreciation expense	$ 0.5	$ 0.7
Discontinued Operations
Property, Plant and Equipment [Line Items]
Depreciation expense			$ 0.1

Other Assets - Components of Ot

Other Assets - Components of Other Assets (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Other Assets [Abstract]
Other Assets	$ 709	$ 688

Accrued Liabilities - Schedule

Accrued Liabilities - Schedule of Accrued Liabilities (Detail) - USD ($) $ in Thousands		Mar. 31, 2017	Dec. 31, 2016
Payables and Accruals [Abstract]
Accrued tax liabilities		$ 907	$ 927
Accrued bonus, commissions and other employee benefits		792	808
Accrued vendor financed property and equipment	[1]	249	373
Amounts due to customers		841	869
Other accrued liabilities		820	897
Accrued liabilities		$ 3,609	$ 3,874
[1]	See Note 6 "Vendor Financed Property and Equipment"

Accrued Restructuring - Narrati

Accrued Restructuring - Narrative (Detail)	3 Months Ended			9 Months Ended	12 Months Ended
	Mar. 31, 2017USD ($)	Sep. 30, 2016USD ($)	Mar. 31, 2016USD ($)	Sep. 30, 2016Employee	Dec. 31, 2015USD ($)	Dec. 31, 2016USD ($)
Restructuring Cost and Reserve [Line Items]
Accrued Liabilities, Current	$ 3,609,000					$ 3,874,000
Restructuring charges	0		$ 758,000
Remaining restructuring charges	0		379,000		$ 249,000	$ 0
Payments for Restructuring	$ 0		(628,000)
Q2 2015 Plan
Restructuring Cost and Reserve [Line Items]
Restructuring charges					$ 4,200,000
Reduction in headcount, percent		14.00%
Remaining restructuring charges			0.2
Two Thousand Sixteen Q1 Restructuring Plan [Member] [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring plan, number of positions | Employee				57
Restructuring charges		$ 0
Reduction in headcount, percent		30.00%
Remaining restructuring charges			$ 0.2

Accrued Restructuring - Summary

Accrued Restructuring - Summary of Accrued Restructuring (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Restructuring and Related Activities [Abstract]
Beginning balance	$ 0	$ 249
Restructuring charges and related adjustments	0	758
Payments	0	(628)
Ending balance	$ 0	$ 379

Vendor Financed Property and 33

Vendor Financed Property and Equipment - Narrative (Details) - USD ($) $ in Thousands		1 Months Ended			3 Months Ended
		Oct. 31, 2016	Apr. 30, 2014	Oct. 31, 2013	Mar. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Line Items]
Vendor financed property and equipment repayment period		1 year	2 years	3 years
Accounts Payable, Current					$ 6,583	$ 7,069
Accrued vendor financed property and equipment (2)	[1]				249	$ 373
Computer Equipment
Property, Plant and Equipment [Line Items]
Vendor financed computer software and hardware		$ 500		$ 3,100
Repayments of vendor financed equipment obligations					300
Accrued vendor financed property and equipment (2)					$ 200
[1]	See Note 6 "Vendor Financed Property and Equipment"

Commitments and Contingencies -

Commitments and Contingencies - Narrative (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Sep. 30, 2016
Commitment And Contingencies [Line Items]
Purchase commitments expiration period	expire on various dates through March 2019
Purchase obligation		$ 26,518

Commitments and Contingencies35

Commitments and Contingencies - Schedule of Future Minimum Lease Payments (Detail) $ in Thousands	Mar. 31, 2017USD ($)
Commitments and Contingencies Disclosure [Abstract]
Remainder of 2017	$ 1,138
2,017	1,123
2,018	1,082
2,019	926
Operating leases, future minimum payments	$ 4,269

Commitments and Contingencies36

Commitments and Contingencies - Schedule of Future Minimum Purchase Commitments (Detail) $ in Thousands	Sep. 30, 2016USD ($)
Commitments and Contingencies Disclosure [Abstract]
Remainder of 2017	$ 21,696
2,017	4,816
2,018	6
Future minimum purchase commitments	$ 26,518

Net Income (Loss) Per Common 37

Net Income (Loss) Per Common Share - Schedule of Computation of Basic and Diluted Net Loss Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Numerator:
Net loss	$ (4,315)	$ (3,730)
Denominator:
Weighted average shares outstanding - basic and diluted	65,567,707	63,146,622
Total loss per share - basic and diluted:
Continuing operations (USD per share)	$ (0.07)	$ (0.06)

Net Income (Loss) Per Common 38

Net Income (Loss) Per Common Share - Schedule of Anti-Dilutive Shares Excluded from Computation of Diluted Net Loss Per Share (Detail) - shares	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	4,671,427	8,354,267
Options to Purchase Common Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	4,455,596	6,888,435
Restricted Stock Awards, Including Participating Securities
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	215,831	1,465,832

Segment and Geographical Info39

Segment and Geographical Information - Narrative (Detail)	3 Months Ended		9 Months Ended
	Mar. 31, 2017Customer	Mar. 31, 2016	Sep. 30, 2016CustomerSegment
Revenues from External Customers and Long-Lived Assets [Line Items]
Number of reportable segments | Segment			1
Revenue | Customer Concentration Risk
Revenues from External Customers and Long-Lived Assets [Line Items]
Number of individual customer			1
United States | Revenue | Geographic Concentration Risk
Revenues from External Customers and Long-Lived Assets [Line Items]
Concentration risk, percentage	43.00%	42.00%
Germany | Revenue | Geographic Concentration Risk
Revenues from External Customers and Long-Lived Assets [Line Items]
Concentration risk, percentage	15.00%	14.00%	14.00%
United Kingdom | Revenue | Geographic Concentration Risk
Revenues from External Customers and Long-Lived Assets [Line Items]
Concentration risk, percentage			10.00%
Customer A | Revenue | Customer Concentration Risk
Revenues from External Customers and Long-Lived Assets [Line Items]
Concentration risk, percentage	11.00%	10.00%
Number of individual customer	1

Segment and Geographical Info40

Segment and Geographical Information - Summary of Revenue by Geographical Region (Detail) - Revenue - Geographic Concentration Risk	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
United States
Revenues from External Customers and Long-Lived Assets [Line Items]
Percentage of revenue by geographical region	43.00%	42.00%
EMEA
Revenues from External Customers and Long-Lived Assets [Line Items]
Percentage of revenue by geographical region	47.00%	45.00%
Asia Pacific
Revenues from External Customers and Long-Lived Assets [Line Items]
Percentage of revenue by geographical region	8.00%	12.00%
Rest of the World
Revenues from External Customers and Long-Lived Assets [Line Items]
Percentage of revenue by geographical region	2.00%	1.00%

Stock Repurchase Program (Detai

Stock Repurchase Program (Details) - November 2015 Share Repurchase Program [Member] - USD ($)	3 Months Ended	9 Months Ended
	Mar. 31, 2016	Sep. 30, 2016	Nov. 03, 2015
Equity, Class of Treasury Stock [Line Items]
Authorized amount under Share Repurchase Program			$ 3,000,000
Treasury stock acquired, shares	271,528
Treasury stock acquired, value		$ 270,860
Treasury stock acquired, average price per share	$ 1