Crossroads Systems 10-Q 14 Jun 16 2016 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Apr. 30, 2016	Jun. 14, 2016
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Apr. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Entity Registrant Name	CROSSROADS SYSTEMS INC
Entity Central Index Key	1,093,207
Current Fiscal Year End Date	--10-31
Entity Filer Category	Smaller Reporting Company
Trading Symbol	CRDS
Entity Common Stock, Shares Outstanding		24,509,435

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Apr. 30, 2016	Oct. 31, 2015
Current assets:
Cash and cash equivalents	$ 2,994	$ 5,314
Restricted cash	3,122	6,478
Total cash, cash equivalents and restricted cash	6,116	11,792
Accounts receivable, net of allowance for doubtful accounts of $3 and $5, respectively	1,056	656
Current assets of discontinued operations	0	1,544
Prepaid expenses and other current assets	227	218
Total current assets	7,399	14,210
Non-current assets of discontinued operations	0	562
Other assets	140	141
Total assets	7,539	14,913
Current liabilities:
Accounts payable	434	1,823
Accrued expenses	591	1,727
Deferred revenue, current portion	3,010	6,343
Current liabilities of discontinued operations	0	1,359
Total current liabilities	4,035	11,252
Non-current liabilities of discontinued operations	0	597
Commitments and contingencies (See Note 4)	0	0
Total liabilities	4,035	11,849
Stockholders' equity:
Convertible preferred stock, $0.001 par value, 25,000,000 shares authorized,2,591,257 and 2,791,257 shares issued and outstanding, respectively	3	3
Common stock, $0.001 par value, 75,000,000 shares authorized,24,509,435 and 24,182,524 shares issued and outstanding, respectively	25	24
Additional paid-in capital	239,497	238,882
Accumulated other comprehensive loss	0	(90)
Accumulated deficit	(236,021)	(235,755)
Total stockholders' equity	3,504	3,064
Total liabilities and stockholders' equity	$ 7,539	$ 14,913

CONSOLIDATED BALANCE SHEETS _Pa

CONSOLIDATED BALANCE SHEETS [Parenthetical] - USD ($) $ in Thousands	Apr. 30, 2016	Oct. 31, 2015
Allowance for Doubtful Accounts (in dollars)	$ 3	$ 5
Convertible Preferred Stock, Par Value (in dollars per share)	$ 0.001	$ 0.001
Convertible Preferred Stock, Shares Authorized	25,000,000	25,000,000
Convertible Preferred Stock, Shares Issued	2,591,257	2,791,257
Convertible Preferred Stock, Shares Outstanding	2,591,257	2,791,257
Common Stock, Par Value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, Shares Authorized	75,000,000	75,000,000
Common Stock, Shares Issued	24,509,435	24,182,524
Common Stock, Shares Outstanding	24,509,435	24,182,524

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Apr. 30, 2016	Apr. 30, 2015	Apr. 30, 2016	Apr. 30, 2015
Revenue:
IP license, royalty and other revenue	$ 210	$ 190	$ 420	$ 392
Cost of revenue:
IP license, royalty and other cost of revenue	49	16	100	53
Gross profit	161	174	320	339
Operating expenses:
General and administrative	1,356	2,638	3,705	4,066
Total operating expenses	1,356	2,638	3,705	4,066
Loss from operations	(1,195)	(2,464)	(3,385)	(3,727)
Other expense:
Interest expense	0	(99)	0	(227)
Amortization of debt discount and issuance costs	0	(179)	0	(400)
Other income	627	0	3,299	19
Loss from continuing operations	(568)	(2,742)	(86)	(4,335)
Discontinued operations:
Loss on discontinued operations	(1,194)	(774)	(1,812)	(1,487)
Gain on disposal of discontinued operations	1,771	0	1,771	0
Gain (loss) from discontinued operations	577	(774)	(41)	(1,487)
Net income (loss)	9	(3,516)	(127)	(5,822)
Dividends attributable to preferred stock	(78)	(72)	(129)	(156)
Net loss available to common stockholders, basic and diluted	$ (69)	$ (3,588)	$ (256)	$ (5,978)
Earnings (loss) per share, basic and diluted:
Discontinued operations (in dollars per share)	$ 0.02	$ (0.04)	$ 0	$ (0.08)
Continuing operations (in dollars per share)	(0.02)	(0.14)	0	(0.25)
Available to common stockholder (in dollars per share)	$ 0	$ (0.19)	$ (0.01)	$ (0.34)
Weighted average number of common shares outstanding, basic and diluted (in shares)	24,784,822	19,286,525	24,534,672	17,584,841

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Apr. 30, 2016	Apr. 30, 2015	Apr. 30, 2016	Apr. 30, 2015
Net income (loss)	$ 9	$ (3,516)	$ (127)	$ (5,822)
Other comprehensive income (loss):
Foreign currency translation adjustments	98	(11)	90	(19)
Comprehensive income (loss)	$ 107	$ (3,527)	$ (37)	$ (5,841)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Cash flows from operating activities:
Net loss	$ (127)	$ (5,822)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation from discontinued operations	69	220
Gain on sale of discontinued operations	(919)	0
Amortization of debt discount	0	400
Stock-based compensation	451	536
Provision for doubtful accounts receivable	(1)	67
Changes in assets and liabilities:
Accounts receivable	630	468
Inventory	53	(167)
Prepaid expenses and other assets	48	147
Accounts payable	(1,279)	(80)
Accrued expenses	(735)	316
Accrued warranty costs	0	0
Deferred revenue	(4,559)	175
Net cash used in operating activities	(6,369)	(3,740)
Cash flows from investing activities:
Purchase of property and equipment from discontinued operations	(28)	(146)
Proceeds from sale of discontinued operations	852	0
Net cash provided by (used in) investing activities	824	(146)
Cash flows from financing activities:
Proceeds from issuance of common stock, net of expenses	0	6,013
Repayment of debt	0	(1,973)
Net cash provided by financing activities	0	4,040
Effect of foreign exchange rate on cash and cash equivalents	(131)	(50)
Change in cash and cash equivalents	(5,676)	104
Cash, cash equivalents, and restricted cash beginning of period	11,792	4,946
Cash, cash equivalents, and restricted cash end of period	6,116	5,050
Supplemental disclosure of cash flow information:
Cash paid for interest	0	227
Cash paid for income taxes	2	1
Supplemental disclosure of non cash financing activities:
Conversion of preferred stock to common stock	302	418
Common stock dividends issued to preferred shareholders	139	169
Warrants issued with private placement stock	0	1,893
Lease incentive received, non-cash addition to fixed assets	$ 0	$ 243

ORGANIZATION AND BASIS OF PRESE

ORGANIZATION AND BASIS OF PRESENTATION	6 Months Ended
	Apr. 30, 2016
Organization, Consolidation and Presentation Of Financial Statements [Abstract]
Basis of Accounting [Text Block]	1. ORGANIZATION AND BASIS OF PRESENTATION The accompanying consolidated financial statements include the accounts of Crossroads Systems, Inc. and its wholly-owned subsidiaries (“Crossroads” or the “Company”). Headquartered in Austin, Texas, Crossroads, a Delaware corporation, is an intellectual property licensing company. Founded in 1996 as a product solutions company, Crossroads created some of the storage industry's most fundamental patents and has licensed patents to more than 50 companies since 2000. The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions have been eliminated in consolidation. The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company has accumulated significant losses as it has been developing its current and next generation products. The Company believes that cash flow from operations, customer reimbursed expenses, and proceeds from the sale of common and preferred stock will be sufficient to fund the anticipated operations for the next 12 months. These financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern for a reasonable period of time. The investment in KIP CR P1 LP (which we refer to as the “partnership”), of which the Company is a limited partner and of which an affiliate of Fortress Investment Group LLC (“Fortress”) is the general partner, is accounted for using the equity method. The partnership holds the Company’s non’972 patent portfolio. The current investment balance is nominal at April 30, 2016. The preparation of the consolidated financial statements in conformity with generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates, and such differences may be material to the consolidated financial statements. Certain prior period amounts have been reclassified to conform to the current period presentation. The reclassification includes assets, liabilities, and certain expenses in sales and marketing, research and development, and general and administrative related to discontinued operations. The amounts for the prior periods have been reclassified to be consistent with the current period presentation and have no impact on previously reported financials. Cash, cash equivalents, and restricted cash consist of cash on deposit and highly liquid investments with original maturities of 90 days or less at date of purchase. While the Company’s cash and cash equivalents are on deposit with high quality FDIC and Association of German Banks insured financial institutions, at times such deposits exceed insured limits. As of April 30, 2016, total uninsured deposits were $ 5.8 Restricted cash amounted to $ 3.1 2.9 0.2 On October 30, 2015, the Company entered into an agreement with TQ Zeta LLC, an affiliate of Techquity, and Intrepidus Holdings LLC (collectively, “Techquity”), in which Techquity will share in the revenue generated from the ‘972 patent litigation. For consideration of $ 10.0 52 20 40 20 100 12 0.6 3.3 0.2 The Company has entered into contracts with certain customers to significantly modify or customize products. In accounting for such arrangements, we first look to the guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Subtopic 985-605, Software - Revenue Recognition Revenue Recognition – Multiple-Element Arrangements, Revenue Recognition – Construction-Type and Production-Type Contracts, Revenue Recognition – Products, Revenue Recognition – Services, Basic loss per share is computed by dividing net loss available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share is computed by giving effect to all dilutive potential common shares that were outstanding during the period. Basic earnings per share excludes the dilutive effect of common stock equivalents such as stock options and warrants, while earnings per share, assuming dilution, includes such dilutive effects. Future weighted-average shares outstanding calculations will be impacted by the following factors, among others: (i) the ongoing issuance of common stock associated with stock option and warrant exercises; (ii) any fluctuations in the Company’s stock price, which could cause changes in the number of common stock equivalents included in the earnings per share, assuming dilution computation; and (iii) the issuance of common stock to effect business combinations should the Company enter into such transactions. The Company has excluded all outstanding common stock equivalents from the calculation of diluted net loss per share because all such common stock equivalents are antidilutive for all periods presented. The total number of common stock equivalents excluded from the diluted net loss per common share calculation was 13,776,052 13,411,599 7,375,327 2,591,257 3,809,468 Net loss available to common stockholders is calculated by deducting from net income, preferred dividends paid and accrued of $ 78,000 129,000 In May 2014, the Financial Accounting Standards Board (“FASB”) amended the existing accounting standards for revenue recognition. The amendments are based on the principle that revenue should be recognized in accordance to the transfer of promised goods or services to customers, reflecting the amount of consideration to which the entity expects to be entitled in exchange for those goods or services. In August 2015, the FASB issued an accounting standard update for a one-year deferral of the effective date, with an option of applying the standard on the original effective date, which for Crossroads is the first quarter of fiscal 2018. In accordance with this deferral, the Company is required to adopt these amendments in the first quarter of fiscal 2019. The amendments may be applied retrospectively to each prior period presented or retrospectively with the cumulative effect recognized as of the date of initial application. The Company is continuing to evaluate the impact of these amendments and the transition alternatives on its consolidated financial statements and disclosures. The Company has implemented all new accounting pronouncements that are in effect and that may impact its consolidated financial statements. The Company does not believe that there are any new accounting pronouncements that have been issued that might have a material impact on its consolidated financial position or results of operations.

FAIR VALUE MEASUREMENT

FAIR VALUE MEASUREMENT	6 Months Ended
	Apr. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Disclosures [Text Block]	2. FAIR VALUE MEASUREMENT Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. To increase the comparability of fair value measurements, a three-tier fair value hierarchy, which prioritizes the inputs used in the valuation methodologies, is applied as follows: Level 1 – Level 2 – Level 3 As of April 30, 2016, the fair value of the Company’s financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued expenses, approximates book value due to the short maturity of these instruments. Based upon borrowing rates currently available to the Company for loans with similar terms, the carrying value of its debt obligations approximates fair value. As of April 30, 2016 and October 31, 2015, the Company held no investments.

ACCRUED EXPENSES AND DEFERRED R

ACCRUED EXPENSES AND DEFERRED REVENUE	6 Months Ended
	Apr. 30, 2016
Payables and Accruals [Abstract]
Accounts Payable, Accrued Liabilities, and Other Liabilities Disclosure, Current [Text Block]	3. ACCRUED EXPENSES AND DEFERRED REVENUE April 30, October 31, 2016 2015 (unaudited) Payroll related $ 162 $ 837 Professional services 340 657 Deferred rent - 184 Warranty reserve - 5 Other 89 44 $ 591 $ 1,727 Included in payroll related accrued expenses as of April 30, 2016 and October 31, 2015 was $ 0.1 0.4 April 30, October 31, 2016 2015 (unaudited) License $ 104 $ 135 Deferred revenue stream sale 2,906 6,208 $ 3,010 $ 6,343 Deferred revenue stream sale consists of the remaining amount of consideration received from the sale of a portion of the Company’s IP revenue stream. The deferred revenue will be recognized upon the expenditure of approved legal costs related to the ongoing IP litigation described in Note 4.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Apr. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies Disclosure [Text Block]	4. COMMITMENTS AND CONTINGENCIES Leases In accordance with the terms of the March 22, 2016 sale of our product division, the Company’s office space and equipment lease obligations have been assigned to the purchaser. Intellectual Property Litigation The Company has a number of ongoing lawsuits and related proceedings as described below. In discussing these patent litigation proceedings, the following terms will be used: A “Markman hearing” in a patent infringement case is a pre-trial hearing in U.S. District Court, in which the Court hears arguments regarding the meanings of key words used in a disputed patent claim. The outcome of a Markman hearing can play a significant role in whether findings of infringement and validity are made by the Court or by the jury at trial. Depending on the Court, a ruling could be received quickly or could take months after the Markman hearing. An “ Inter Partes nter partes Inter partes Crossroads v. Dot Hill The Company filed a lawsuit on September 11, 2013 against Dot Hill Systems Corp. ("Dot Hill") styled Crossroads Systems, Inc. v. Dot Hill Systems Corp., Civil Action No. 1:13-CV-800-SS alleging patent infringement of U.S. Patent No. 6,425,035 (the “035 patent”) and breach of the Amended Settlement and License Agreement dated June 27, 2006 between Crossroads and Dot Hill. The action is pending. The Markman hearing was conducted October 6-7, 2014. Dot Hill moved to join two existing IPR proceedings previously filed against Crossroads by other defendants (one filed by NetApp/Oracle/Huawei and one filed by Cisco/Quantum, each as defined below) and to stay the pending litigation based on those IPR proceedings. On June 16, 2015, Judge Sparks entered the Markman order (the “Markman Order”) construing the claims in a manner favorable to Crossroads and issued an order staying the case pending resolution of the IPR proceedings. The United States Patent and Trademark Office (the “U.S. Patent Office”) issued rulings in both of the IPR proceedings that Dot Hill had joined, ruling in one that the ‘035 Patent is not unpatentable in view of the prior art raised and in the other that the ‘035 Patent is unpatenable in view of different prior art. Crossroads believes the ruling of unpatentability was in error and has filed an appeal of that ruling with the Federal Circuit Court of Appeals. That appeal is on-going. If the patent asserted against Dot Hill is found partially or entirely invalid at the conclusion of the IPR proceedings, including appeal, Crossroads might be adversely impacted in the litigation proceeding against Dot Hill, including potentially losing the ability to continue with its claims of infringement. In May 2016, Crossroads filed a motion to lift the stay for limited purposes regarding Dot Hill’s failure to pay certain royalties. A hearing took place June 2, 2016 on this motion and Crossroads anticipates the Court will decide that motion within the next two months. Dot Hill owes the Company approximately $ 1.0 Crossroads v. Oracle, Huawei, Cisco, NetApp, and Quantum These related cases were filed on October 7, 2013, November 26, 2013, and February 18, 2014 in the United States District Court for the Western District of Texas alleging infringement by these parties of one or more patents in the ‘972 patent family. The asserted patents (6,425,035, 7,934,041, 7,987,311 and 7,051,147) were subject to a re-examination of the patents conducted in 2005-2006 by the U.S. Patent Office or were issued after the re-examination. On May 7, 2014, these cases and the Dot Hill case were consolidated for purposes of discovery and a Markman hearing occurred on October 6 and 7, 2014. On June 16, 2015, Judge Sparks entered the Markman Order construing the claims in a manner favorable to Crossroads and entered an order staying these actions in light of the IPR proceedings. During the time Crossroads was pursuing the potential infringers of the ‘972 patent family, the Company gave companies with potentially infringing products the opportunity to license the Company’s proprietary technology. For example, NetApp was first given notice of potential infringement in 2004. Cisco was first given notice of potential infringement in 2002. Quantum has been on notice of its potential infringement since 2006. Oracle acquired several companies that were given notice of potential infringement at least as early as 2009 and Oracle itself has been on notice since then. Despite repeated attempts by Crossroads throughout the years to negotiate licenses to the ‘972 patent family, these companies refused and left Crossroads with no alternatives but litigation. Crossroads believes these companies (and companies they have acquired) have been illegally using Crossroads’ proprietary technology and that the potential compensatory damages could be in excess of $ 200 In response to the lawsuits brought by Crossroads, collectively these defendants filed nineteen inter partes The Company filed a lawsuit on October 7, 2013 against Oracle Corporation (“Oracle”) alleging infringement of U.S. Patent Nos. 6,425,035, 7,051,147 and 7,934,041 (the case is styled Crossroads Systems, Inc. v. Oracle Corporation; Civil Action No. 1:13-cv-0895-SS (W.D. Tex., Austin Division)). The action is pending. The Markman hearing was conducted October 6-7, 2014 and on June 16, 2015, Judge Sparks entered the Markman Order construing the claims in a manner favorable to Crossroads. Oracle filed nine petitions for IPR at the U.S. Patent Office challenging the validity of each of the patents Crossroads asserted in the lawsuit against Oracle. The U.S. Patent Office granted six of those petitions. Based on the IPRs, Oracle filed a motion to stay the litigation pending the outcome of the IPR proceedings, which was granted by the Court. The U.S. Patent Office issued rulings in the IPR proceedings involving Oracle, ruling in one that the ‘035 Patent is not unpatentable over the prior art and ruling in the other five that the ‘035 Patent and ‘147 Patent are unpatenable in view of different prior art. Crossroads believes the rulings of unpatentability were in error and has appealed these rulings to the Federal Circuit Court of Appeals. Those appeals are on-going. If the patents are found partially or entirely invalid during the IPR proceedings, including appeal, Crossroads might be adversely impacted in the litigation proceeding against Oracle, including potentially losing the ability to continue with its claims of infringement. The Company filed a lawsuit on February 18, 2014 against Cisco Systems, Inc. (“Cisco”) alleging infringement of U.S. Patent Nos. 6,425,035 and 7,934,041 (the case is styled Crossroads Systems, Inc. v. Cisco Systems, Inc.; Civil Action No. 1:14-cv-00148-SS (W.D. Tex., Austin Division)). The action is pending. The Markman hearing was conducted October 6-7, 2014 and on June 16, 2015, Judge Sparks entered the Markman Order construing the claims in a manner favorable to Crossroads. Cisco is a party to three petitions for IPR filed at the U.S. Patent Office challenging the validity of each of the patents Crossroads asserted in the lawsuit against Cisco. The U.S. Patent Office granted those petitions. Based on the IPRs, Cisco filed a motion to stay the litigation pending the outcome of the IPR proceedings, which was granted by the Court. The U.S. Patent Office issued rulings in the IPR proceedings involving Cisco, ruling that the ‘035 Patent and ‘147 Patents are unpatentable in view of the cited prior art. Crossroads believes the rulings of unpatentability were in error and has appealed these rulings to the Federal Circuit Court of Appeals. Those appeals are on-going. If the patents are found partially or entirely invalid during the IPR proceedings, including appeal, Crossroads might be adversely impacted in the litigation proceeding against Cisco, including potentially losing the ability to continue with its claims of infringement. The Company filed a lawsuit on February 18, 2014 against NetApp, Inc. (“NetApp”) alleging infringement of U.S. Patent Nos. 6,425,035, 7,934,041, 7,987,311 and 7,051,147 (the case is styled Crossroads Systems, Inc. v. Net App, Inc.; Civil Action No. 1:14-cv-00149-SS (W.D. Tex., Austin Division)). The action is pending. The Markman hearing was conducted October 6-7, 2014 and on June 16, 2015, Judge Sparks entered the Markman Order construing the claims in a manner favorable to Crossroads. NetApp filed seven petitions for IPR filed at the U.S. Patent Office challenging the validity of each of the patents Crossroads asserted in the lawsuit against NetApp. The U.S. Patent Office granted three of those petitions. Based on the IPRs, NetApp filed a motion to stay the litigation pending the outcome of the IPR proceedings, which was granted by the Court. The U.S. Patent Office issued rulings in the IPR proceedings involving NetApp, ruling in one that the ‘035 Patent is not unpatentable over the prior art and ruling in the others that the ‘147 Patent is unpatenable in view of different prior art. Crossroads believes the rulings of unpatentability were in error and has appealed these rulings to the Federal Circuit Court of Appeals. Those appeals are on-going. If the patents are found partially or entirely invalid during the IPR proceedings, including appeal, Crossroads might be adversely impacted in the litigation proceeding against NetApp, including potentially losing the ability to continue with its claims of infringement. The Company filed a lawsuit on February 18, 2014 against Quantum Corporation (“Quantum”) alleging infringement of U.S. Patent Nos. 6,425,035 and 7,934,041 (the case is styled Crossroads Systems, Inc. v. Quantum Corporation; Civil Action No. 1:14-cv-00150-SS (W.D. Tex., Austin Division)). The action is pending. The Markman hearing was conducted October 6-7, 2014 and on June 16, 2015, Judge Sparks entered the Markman Order construing the claims in a manner favorable to Crossroads. Quantum filed three petitions for IPR filed at the U.S. Patent Office challenging the validity of each of the patents Crossroads asserted in the lawsuit against Quantum. The U.S. Patent Office granted those petitions. Based on the IPRs, Quantum filed a motion to stay the litigation pending the outcome of the IPR proceedings, which was granted by the Court. The U.S. Patent Office issued rulings in the three IPR proceedings involving Quantum, ruling that the ‘035 Patent and ‘147 Patents are unpatentable in view of the cited prior art. Crossroads believes the rulings of unpatenability were in error and has appealed those rulings to the Federal Circuit Court of Appeals. Those appeals are on-going. If the patents are found partially or entirely invalid during the IPR proceedings, including appeal, Crossroads might be adversely impacted in the litigation proceeding against Quantum, including potentially losing the ability to continue with its claims of infringement. Dot Hill v. Crossroads On June 29, 2015, Dot Hill filed a lawsuit in the U.S. District Court for the District of Colorado alleging that the Company’s StrongBox product infringed a patent owned by Dot Hill. On April 22, 2016 the parties entered into a settlement agreement resolving the action and on May 5, 2016, the case was dismissed.

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS	6 Months Ended
	Apr. 30, 2016
Discontinued Operations and Disposal Groups [Abstract]
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]	5. DISCONTINUED OPERATIONS On March 22, 2016 Under the Purchase Agreement, the Company sold and transferred all of the assets related to the Company’s product and support services division (the “Business”), including the Company’s StrongBox and SPHiNX storage solutions, to SDSI. SDSI also assumed certain liabilities of the Company related to the Company’s product business, and absorbed the majority of Crossroads’ employees. As consideration under the Purchase Agreement, SDSI paid the Company net proceeds equal to $ 1.9 1.0 Cash Received $ 1,852 Cash paid to Series F Convertible Preferred shareholders (1,000) Net cash received 852 Fixed Assets (499) Inventory (386) Other Comprehensive Income (110) Expenses incurred (79) Deferred Revenue 1,795 Other Assets and Liabilities 198 Net gain on sale of discontinued operations $ 1,771 Certain items were reclassified as part of discontinued operations for comparative purposes. April 30, October 31, 2016 2015 Assets (unaudited) (unaudited) Current assets: Accounts receivable, net $ - $ 976 Inventories - 437 Prepaids expenses, and other current assets - 131 Total current assets - 1,544 Property and equipment, net - 533 Other assets - 30 Total assets $ - $ 2,107 Liabilities Current liabilities: Accounts payable - 400 Accrued expenses - 68 Deferred revenue - 891 Total current liabilities - 1,359 Long term deferred revenue - 596 Total liabilities $ - $ 1,955 The amounts in the statement of operations that are part of the discontinued operations are summarized in the following table (in thousands): Three Months Ended Six Months Ended April 30, April 30, 2016 2015 2016 2015 Revenue: (unaudited) (unaudited) (unaudited) (unaudited) Product $ - $ 584 $ 859 $ 1,446 IP License, royalty and other (63) 946 923 2,053 Total revenue (63) 1,530 1,782 3,499 Cost of revenue: Product - 220 309 502 IP License, royalty and other 41 176 275 433 Total cost of revenue 41 396 584 935 Gross profit (104) 1,134 1,198 2,564 Operating expenses: Sales and marketing 452 829 1,275 1,700 Research and development 638 1,079 1,735 2,351 Total operating expenses 1,090 1,908 3,010 4,051 (Loss) income from discontinued operations $ (1,194) $ (774) $ (1,812) $ (1,487)

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	6 Months Ended
	Apr. 30, 2016
Stockholders Equity Note [Abstract]
Stockholders' Equity Note Disclosure [Text Block]	6. STOCKHOLDERS’ EQUITY 2013 Private Placement On March 22, 2013, the Company entered into a securities purchase agreement with certain accredited investors for the issuance and sale in a private placement of 4,231,154 2.0625 8.6 7.9 Each unit consists of one share of cumulative 5.0% Series F convertible preferred stock 0.001 2.00 2,282,754 2.00 0.2019 2,439,585 2,284,000 1,543,000 0 63 0.82 5 1,090,000 0.7 67,781 169,000 126,911 302,000 88,000 The Series F Preferred Stock has the rights, qualifications, limitations and restrictions set forth in the Certificate of Designation (the “Certificate of Designation”) filed with the Secretary of State of the State of Delaware on March 28, 2013. The Certificate of Designation authorizes issuance of up to 4,500,000 3,750,000 750,000 9.99 4.99 Such beneficial ownership limitations may be increased or decreased by a holder of Sub-Series F-1 to any percentage not in excess of 19.99% after providing notice of such increase or decrease to the Company. For as long as at least 90% of the aggregate number of shares of Sub-Series F-1 issued on the original issue date are outstanding, the holders of such Sub-Series F-1, voting as a single class, will be entitled to elect two directors of the Company. If less than 90%, but at least 20%, of such shares of Sub-Series F-1 are outstanding, such holders, voting as a single class, will be entitled to elect one director of the Company. The Certificate of Designation contains customary anti-dilution protection for proportional adjustments (e.g. stock splits). The Series F Preferred Stock previously included an anti-dilution provision that would adjust the conversion price of the Series F Preferred Stock to the issue price of any equity securities the Company issued at a price less than $ 2.0625 Upon approval of the full ratchet anti-dilution provisions on June 21, 2013, the warrants were reclassified as a derivative liability and recorded at fair value. This created a scenario for which the shares of Series F Preferred Stock were potentially convertible into more shares of common stock than authorized. Therefore, the Series F Preferred Stock was classified in temporary equity. Upon the expiration of the full ratchet anti-dilution provisions in March 2014, the Company reclassified the Series F Preferred Stock and warrants to permanent stockholders' equity following the stockholders vote. During the six months ended April 30, 2016, 200,000 Dividends on the Series F Preferred Stock accrue at an annual rate of 5.0 2013 Fortress Credit Agreement On July 22, 2013 the Company issued warrants to purchase 1,454,545 2.0625 1,374,000 1.0625 0.2019 2.0625 1,748,218 The Fortress Warrants will expire on the seventh anniversary of the effective date of the Fortress transactions. 2014 Private Placement On March 31, 2014, the Company sold 1,986,622 2.2565 4.5 993,311 2.45 0.2 1.1 0 74 1.64 2.5 0.2019 2.45 1,193,860 2015 Common Stock Offering On January 27, 2015, the Company sold 3,071,739 2.30 7.1 1,658,760 2.76 1.1 1.9 0 75 1.55 4.0 0.2019 2.76 1,993,664 2015 Common Stock Rights Offering On July 28, 2015, the Company completed a subscription rights offering for shares of the Company’s common stock (the “Rights Offering”). Under the terms of the Rights Offering, the Company distributed to its common and preferred stock holders one subscription right for each share of the Company’s common or preferred stock owned as of the record date, which entitled the holder to purchase 0.50 $ 1.25 The Company accepted subscriptions for 3,933,879 4.9 0.4 Warrant Transaction Warrants Outstanding Weighted Average 2013 Private Placement 2,439,585 $ 2.00 2013 Fortress Credit Agreement 1,748,218 $ 2.06 2014 Private Placement 1,193,860 $ 2.45 2015 Common Stock Offering 1,993,664 $ 2.76 Total Warrants 7,375,327

STOCK OPTIONS AND STOCK BASED C

STOCK OPTIONS AND STOCK BASED COMPENSATION	6 Months Ended
	Apr. 30, 2016
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract]
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	7. STOCK OPTIONS AND STOCK BASED COMPENSATION The Company has a stock-based compensation plan available to grant incentive stock options, non-qualified stock options and restricted stock to employees and non-employee members of the Board of Directors and advisors. The Company’s 2010 Stock Incentive Plan (the “2010 Plan”) succeeded the 1999 Stock Option/Stock Issuance Plan (the “1999 Plan”). As of April 30, 2016, options to purchase 285,683 The 2010 Plan was approved by the Board of Directors on May 26, 2010 and became effective on August 13, 2010, upon approval by stockholders, and was subsequently amended by the Board of Directors on March 12, 2015 and approved by stockholders on April 24, 2015. A maximum of 5,250,000 5,304,943 3,523,785 0 117,577 As of April 30, 2016, options to purchase an aggregate of 3,809,468 3,220,395 785,302 526,741 414,172 The 2010 Plan options generally become exercisable over a four-year period (vesting 25% after one year, the remaining 75% vesting quarterly thereafter) and expire after ten years. The majority of the employee incentive stock option grants vest on a schedule of 25% at the end of six months and 12.5% thereafter until fully vested. Six months ended April 30, 2016 2015 General and administrative $ 348 $ 332 Discontinued operations 103 204 Total stock-based compensation $ 451 $ 536 The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model. Expected volatility is based on historical volatility of the Company’s common stock. The expected term represents an estimate of the time options are expected to remain outstanding based upon historical analysis. The risk-free rate for periods within the contractual life of the option is based on the U.S. treasury yield curve in effect at the time of grant. Six months ended April 30, 2016 2015 Expected dividend yield - 0 % Expected volatility - % Risk-free interest rate - 1.4 - 1.6 % Expected term (years) - 4 - 5 Number of Shares Weighted Average Exercise Price Weighted Average Remaining Aggregate Intrinsic Value ($M) Outstanding and expected to vest at October 31, 2015 4,111,896 $ 1.86 7.26 $ 0.2 Granted - $ - Forfeited (302,428) $ 3.17 Exercised - $ - Outstanding and expected to vest at April 30, 2016 3,809,468 $ 1.75 4.14 $ - Exercisable at April 30, 2016 3,220,395 $ 1.77 3.71 $ - The weighted average fair value per option granted during the six months ended April 30, 2016 and 2015 was $ 0 1.68 0 35,000 0 49,000 The Company granted no options to non-employees during the six months ended April 30, 2016 and 2015. At April 30, 2016, there was approximately $ 0.4 0.6 202,904 469,092 0.3 0.7 Options Outstanding Options Exercisable Weighted Average Weighted Weighted Range of Shares Remaining Average Average Exercise Prices Outstanding Contractual Term Exercise Price Shares Exercise Price $ - $ 1.01 415,005 2.59 $ 0.91 415,005 $ 0.91 $ 1.03 $ 1.23 142,486 6.96 $ 1.06 85,950 $ 1.04 $ 1.28 $ 1.28 540,900 7.56 $ 1.28 540,900 $ 1.28 $ 1.30 $ 1.34 522,013 3.34 $ 1.32 275,513 $ 1.30 $ 1.41 $ 1.70 144,421 2.77 $ 1.47 94,846 $ 1.50 $ 1.75 $ 1.75 981,752 1.29 $ 1.75 981,752 $ 1.75 $ 1.76 $ 2.13 466,819 7.47 $ 2.06 335,802 $ 2.04 $ 2.28 $ 3.73 430,107 5.42 $ 2.77 324,662 $ 2.93 $ 3.95 $ 4.99 163,879 2.25 $ 4.10 163,879 $ 4.10 $ 5.99 $ 5.99 2,086 5.25 $ 5.99 2,086 $ 5.99 $ - $ 5.99 3,809,468 4.14 $ 1.75 3,220,395 $ 1.77

EMPLOYEE BENEFITS

EMPLOYEE BENEFITS	6 Months Ended
	Apr. 30, 2016
Compensation and Retirement Disclosure [Abstract]
Pension and Other Postretirement Benefits Disclosure [Text Block]	8. EMPLOYEE BENEFITS In 1996, the Company established the Crossroads Systems, Inc. 401(k) Savings Plan (the “Savings Plan”), which is a qualified plan under section 401(k) of the Internal Revenue Code. All employees who have attained 18 years of age are eligible to enroll in the Savings Plan. The Company may make matching contributions to those employees participating in the Savings Plan based upon Company productivity and profitability. Company contributions vest over a period of six years. In October 2000, the Company adopted a new 401(k) Savings Plan that meets all of the criteria set forth above in the savings plan. The Company made matching contributions of $82,000 and $93,000 during the six months ended April 30, 2016 and 2015, respectively.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	6 Months Ended
	Apr. 30, 2016
Related Party Transactions [Abstract]
Related Party Transactions Disclosure [Text Block]	9. RELATED PARTY TRANSACTIONS 2015 Private Placement On January 27, 2015, the Company entered into placement agency agreements with certain accredited investors for the issuance and sale in a private placement (the “2015 Private Placement”) of an aggregate of 3,071,739 2.30 7.1 2.76 350,000 0.8 2015 Common Stock Rights Offering On July 29, 2015, the Company completed a Rights Offering for the Company’s common stock, accepting subscriptions for 3,933,879 1.25 4.9 1,537,907 1.9 Discontinued operations consideration paid During the three months ended April 30, 2016 the Company’s Board of Directors approved a payment to the Series F Preferred Shareholders of the greater of 50 1.0 70 1.0

PREFERRED STOCK RIGHTS

PREFERRED STOCK RIGHTS	6 Months Ended
	Apr. 30, 2016
Preferred Stock Rights [Abstract]
Preferred Stock Rights Disclosure [Text Block]	10. PREFERRED STOCK RIGHTS On May 23, 2014, the Company's Board of Directors adopted a tax benefit preservation plan (the “Plan”). The Plan is intended to diminish the risk that the Company’s ability to use NOLs to reduce future federal income tax obligations may become substantially limited due to an “ownership change,” as defined in Section 382 of the Internal Revenue Code. The Board of Directors authorized and declared a dividend distribution of one right for each outstanding share of common stock, par value $0.001 per share, and Series F Preferred Stock, par value $0.001 per share, of the Company to stockholders of record as of the close of business on June 4, 2014 to purchase from the Company one one-thousandth of a share of Series G Participating Preferred Stock 0.001 14.00 The rights will become exercisable following (i) the 10th business day (or such later date as may be determined by the Board of Directors) after the public announcement that an acquiring person has acquired beneficial ownership of 4.99 In addition, upon the occurrence of certain events, the exercise price of the rights would be adjusted and holders of the rights (other than rights owned by an acquiring person or group) would be entitled to purchase common stock at approximately half of market value. Given the potential adjustment of the exercise price of the rights, the rights could cause substantial dilution to a person or group that acquires 4.99% or more of the Company's common stock on terms not approved by the Company's Board of Directors. No rights were exercisable at April 30, 2016. There is no impact to the Company's financial results as a result of the adoption of the Plan for the six months ended April 30, 2016 or 2015.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Apr. 30, 2016
Subsequent Events [Abstract]
Subsequent Events [Text Block]	11. SUBSEQUENT EVENTS On May 25, 2016, the Company’s stockholders approved an amendment to the Company’s Certificate of Incorporation to effect a reverse stock split of the outstanding shares of the Company’s common stock at a ratio of one-for-twenty at the Company’s annual meeting of stockholders. The Company anticipates the effective date of this stock split to be June 20, 2016.

ORGANIZATION AND BASIS OF PRE18

ORGANIZATION AND BASIS OF PRESENTATION (Policies)	6 Months Ended
	Apr. 30, 2016
Organization, Consolidation and Presentation Of Financial Statements [Abstract]
Consolidation, Policy [Policy Text Block]	Principles of Consolidation and presentation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions have been eliminated in consolidation. The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company has accumulated significant losses as it has been developing its current and next generation products. The Company believes that cash flow from operations, customer reimbursed expenses, and proceeds from the sale of common and preferred stock will be sufficient to fund the anticipated operations for the next 12 months. These financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern for a reasonable period of time. The investment in KIP CR P1 LP (which we refer to as the “partnership”), of which the Company is a limited partner and of which an affiliate of Fortress Investment Group LLC (“Fortress”) is the general partner, is accounted for using the equity method. The partnership holds the Company’s non’972 patent portfolio. The current investment balance is nominal at April 30, 2016.
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of the consolidated financial statements in conformity with generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates, and such differences may be material to the consolidated financial statements.
Reclassification, Policy [Policy Text Block]	Reclassification Certain prior period amounts have been reclassified to conform to the current period presentation. The reclassification includes assets, liabilities, and certain expenses in sales and marketing, research and development, and general and administrative related to discontinued operations. The amounts for the prior periods have been reclassified to be consistent with the current period presentation and have no impact on previously reported financials.
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash, Cash Equivalents, and Restricted Cash Cash, cash equivalents, and restricted cash consist of cash on deposit and highly liquid investments with original maturities of 90 days or less at date of purchase. While the Company’s cash and cash equivalents are on deposit with high quality FDIC and Association of German Banks insured financial institutions, at times such deposits exceed insured limits. As of April 30, 2016, total uninsured deposits were $ 5.8 Restricted cash amounted to $ 3.1 2.9 0.2
Revenue Stream Sale [Policy Text Block]	IP Revenue Stream Sale On October 30, 2015, the Company entered into an agreement with TQ Zeta LLC, an affiliate of Techquity, and Intrepidus Holdings LLC (collectively, “Techquity”), in which Techquity will share in the revenue generated from the ‘972 patent litigation. For consideration of $ 10.0 52 20 40 20 100 12 0.6 3.3 0.2
Contracts To Modify Or Customize Products, Policy [Policy Text Block]	Contracts to Modify or Customize Products The Company has entered into contracts with certain customers to significantly modify or customize products. In accounting for such arrangements, we first look to the guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Subtopic 985-605, Software - Revenue Recognition Revenue Recognition – Multiple-Element Arrangements, Revenue Recognition – Construction-Type and Production-Type Contracts, Revenue Recognition – Products, Revenue Recognition – Services,
Earnings Per Share, Policy [Policy Text Block]	Computation of Net Loss Per Share Basic loss per share is computed by dividing net loss available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share is computed by giving effect to all dilutive potential common shares that were outstanding during the period. Basic earnings per share excludes the dilutive effect of common stock equivalents such as stock options and warrants, while earnings per share, assuming dilution, includes such dilutive effects. Future weighted-average shares outstanding calculations will be impacted by the following factors, among others: (i) the ongoing issuance of common stock associated with stock option and warrant exercises; (ii) any fluctuations in the Company’s stock price, which could cause changes in the number of common stock equivalents included in the earnings per share, assuming dilution computation; and (iii) the issuance of common stock to effect business combinations should the Company enter into such transactions. The Company has excluded all outstanding common stock equivalents from the calculation of diluted net loss per share because all such common stock equivalents are antidilutive for all periods presented. The total number of common stock equivalents excluded from the diluted net loss per common share calculation was 13,776,052 13,411,599 7,375,327 2,591,257 3,809,468 Net loss available to common stockholders is calculated by deducting from net income, preferred dividends paid and accrued of $ 78,000 129,000
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) amended the existing accounting standards for revenue recognition. The amendments are based on the principle that revenue should be recognized in accordance to the transfer of promised goods or services to customers, reflecting the amount of consideration to which the entity expects to be entitled in exchange for those goods or services. In August 2015, the FASB issued an accounting standard update for a one-year deferral of the effective date, with an option of applying the standard on the original effective date, which for Crossroads is the first quarter of fiscal 2018. In accordance with this deferral, the Company is required to adopt these amendments in the first quarter of fiscal 2019. The amendments may be applied retrospectively to each prior period presented or retrospectively with the cumulative effect recognized as of the date of initial application. The Company is continuing to evaluate the impact of these amendments and the transition alternatives on its consolidated financial statements and disclosures. The Company has implemented all new accounting pronouncements that are in effect and that may impact its consolidated financial statements. The Company does not believe that there are any new accounting pronouncements that have been issued that might have a material impact on its consolidated financial position or results of operations.

ACCRUED EXPENSES AND DEFERRED19

ACCRUED EXPENSES AND DEFERRED REVENUE (Tables)	6 Months Ended
	Apr. 30, 2016
Payables and Accruals [Abstract]
Schedule of Accrued Liabilities [Table Text Block]	Accrued expenses consist of the following (in thousands): April 30, October 31, 2016 2015 (unaudited) Payroll related $ 162 $ 837 Professional services 340 657 Deferred rent - 184 Warranty reserve - 5 Other 89 44 $ 591 $ 1,727
Deferred Revenue, by Arrangement, Disclosure [Table Text Block]	Deferred revenue, current portion, consists of the following (in thousands): April 30, October 31, 2016 2015 (unaudited) License $ 104 $ 135 Deferred revenue stream sale 2,906 6,208 $ 3,010 $ 6,343

DISCONTINUED OPERATIONS (Tables

DISCONTINUED OPERATIONS (Tables)	6 Months Ended
	Apr. 30, 2016
Discontinued Operations and Disposal Groups [Abstract]
Schedule Of Disposal Groups Including Discontinued Operations Assets And Liabilities Transferred For Consideration Received [Table Text Block]	The assets and liabilities transferred for consideration received were (in thousands, at book value, unaudited): Cash Received $ 1,852 Cash paid to Series F Convertible Preferred shareholders (1,000) Net cash received 852 Fixed Assets (499) Inventory (386) Other Comprehensive Income (110) Expenses incurred (79) Deferred Revenue 1,795 Other Assets and Liabilities 198 Net gain on sale of discontinued operations $ 1,771
Disposal Groups, Including Discontinued Operations [Table Text Block]	The table below presents the amounts by balance sheet classification (in thousands): April 30, October 31, 2016 2015 Assets (unaudited) (unaudited) Current assets: Accounts receivable, net $ - $ 976 Inventories - 437 Prepaids expenses, and other current assets - 131 Total current assets - 1,544 Property and equipment, net - 533 Other assets - 30 Total assets $ - $ 2,107 Liabilities Current liabilities: Accounts payable - 400 Accrued expenses - 68 Deferred revenue - 891 Total current liabilities - 1,359 Long term deferred revenue - 596 Total liabilities $ - $ 1,955 The amounts in the statement of operations that are part of the discontinued operations are summarized in the following table (in thousands): Three Months Ended Six Months Ended April 30, April 30, 2016 2015 2016 2015 Revenue: (unaudited) (unaudited) (unaudited) (unaudited) Product $ - $ 584 $ 859 $ 1,446 IP License, royalty and other (63) 946 923 2,053 Total revenue (63) 1,530 1,782 3,499 Cost of revenue: Product - 220 309 502 IP License, royalty and other 41 176 275 433 Total cost of revenue 41 396 584 935 Gross profit (104) 1,134 1,198 2,564 Operating expenses: Sales and marketing 452 829 1,275 1,700 Research and development 638 1,079 1,735 2,351 Total operating expenses 1,090 1,908 3,010 4,051 (Loss) income from discontinued operations $ (1,194) $ (774) $ (1,812) $ (1,487)

STOCKHOLDERS' EQUITY (Tables)

STOCKHOLDERS' EQUITY (Tables)	6 Months Ended
	Apr. 30, 2016
Stockholders Equity Note [Abstract]
Schedule of Stockholders Equity Note, Warrants or Rights [Table Text Block]	The Company has the following common stock warrants outstanding at April 30, 2016: Warrant Transaction Warrants Outstanding Weighted Average 2013 Private Placement 2,439,585 $ 2.00 2013 Fortress Credit Agreement 1,748,218 $ 2.06 2014 Private Placement 1,193,860 $ 2.45 2015 Common Stock Offering 1,993,664 $ 2.76 Total Warrants 7,375,327

STOCK OPTIONS AND STOCK BASED22

STOCK OPTIONS AND STOCK BASED COMPENSATION (Tables)	6 Months Ended
	Apr. 30, 2016
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract]
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	The Company realized stock-based compensation expense for all awards issued under the Company’s stock plans in the following line items in the consolidated statements of operations: Six months ended April 30, 2016 2015 General and administrative $ 348 $ 332 Discontinued operations 103 204 Total stock-based compensation $ 451 $ 536
Variables Used In Black Sholes Calculation [Table Text Block]	The variables used in the Black-Scholes calculation are listed below for the respective periods, no options were granted during the six months ended April 30, 2016: Six months ended April 30, 2016 2015 Expected dividend yield - 0 % Expected volatility - % Risk-free interest rate - 1.4 - 1.6 % Expected term (years) - 4 - 5
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	The following table summarizes information about stock option activity for the six months ended April 30, 2016: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Aggregate Intrinsic Value ($M) Outstanding and expected to vest at October 31, 2015 4,111,896 $ 1.86 7.26 $ 0.2 Granted - $ - Forfeited (302,428) $ 3.17 Exercised - $ - Outstanding and expected to vest at April 30, 2016 3,809,468 $ 1.75 4.14 $ - Exercisable at April 30, 2016 3,220,395 $ 1.77 3.71 $ -
Schedule Of Share Based Compensation Shares Authorized Under Stock Option Plans To Employees and Non Employees By Exercise Price Range [Table Text Block]	The following table shows information about outstanding stock options at April 30, 2016: Options Outstanding Options Exercisable Weighted Average Weighted Weighted Range of Shares Remaining Average Average Exercise Prices Outstanding Contractual Term Exercise Price Shares Exercise Price $ - $ 1.01 415,005 2.59 $ 0.91 415,005 $ 0.91 $ 1.03 $ 1.23 142,486 6.96 $ 1.06 85,950 $ 1.04 $ 1.28 $ 1.28 540,900 7.56 $ 1.28 540,900 $ 1.28 $ 1.30 $ 1.34 522,013 3.34 $ 1.32 275,513 $ 1.30 $ 1.41 $ 1.70 144,421 2.77 $ 1.47 94,846 $ 1.50 $ 1.75 $ 1.75 981,752 1.29 $ 1.75 981,752 $ 1.75 $ 1.76 $ 2.13 466,819 7.47 $ 2.06 335,802 $ 2.04 $ 2.28 $ 3.73 430,107 5.42 $ 2.77 324,662 $ 2.93 $ 3.95 $ 4.99 163,879 2.25 $ 4.10 163,879 $ 4.10 $ 5.99 $ 5.99 2,086 5.25 $ 5.99 2,086 $ 5.99 $ - $ 5.99 3,809,468 4.14 $ 1.75 3,220,395 $ 1.77

ORGANIZATION AND BASIS OF PRE23

ORGANIZATION AND BASIS OF PRESENTATION (Details Textual) - USD ($)	3 Months Ended	6 Months Ended		12 Months Ended
	Apr. 30, 2016	Apr. 30, 2016	Apr. 30, 2015	Oct. 31, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded From Computation Of Earnings Per Share, Amount		13,776,052	13,411,599
Cash, Uninsured Amount	$ 5,800,000	$ 5,800,000
Restricted Cash and Cash Equivalents	3,122,000	3,122,000		$ 6,478,000
Restricted Investments	2,900,000	2,900,000
Cash Collateral for Borrowed Securities	200,000	200,000
Proceeds from Sale of Intangible Assets				$ 10,000,000
Sale Of Intangible Assets, Percentage Of Patent Licenses Issued In First Issue				52.00%
Sale Of Intangible Assets, Maximum Amount Of Patent Licenses Issued In First Issue				$ 20,000,000
Sale Of Intangible Assets, Percentage Of Patent Licenses Issued In Second Issue				40.00%
Sale Of Intangible Assets, Minimum Amount Of Patent Licenses Issued In Second Issue				$ 20,000,000
Sale Of Intangible Assets, Maximum Amount Of Patent Licenses Issued In Second Issue				$ 100,000,000
Sale Of Intangible Assets, Percentage Of Patent Licenses Issued In Third Issue				12.00%
Other Income	600,000	3,300,000
Deferred Revenue	200,000	200,000
Preferred Stock, Amount of Preferred Dividends in Arrears	$ 78,000	$ 129,000
Warrant [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded From Computation Of Earnings Per Share, Amount		7,375,327
Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded From Computation Of Earnings Per Share, Amount		2,591,257
Employee Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded From Computation Of Earnings Per Share, Amount		3,809,468

ACCRUED EXPENSES AND DEFERRED24

ACCRUED EXPENSES AND DEFERRED REVENUE (Details) - USD ($) $ in Thousands	Apr. 30, 2016	Oct. 31, 2015
Deferred Revenue Arrangement [Line Items]
Payroll related	$ 162	$ 837
Professional services	340	657
Deferred rent	0	184
Warranty reserve	0	5
Other	89	44
Accrued Liabilities Current	$ 591	$ 1,727

ACCRUED EXPENSES AND DEFERRED25

ACCRUED EXPENSES AND DEFERRED REVENUE (Details 1) - USD ($) $ in Thousands	Apr. 30, 2016	Oct. 31, 2015
Deferred Revenue Arrangement [Line Items]
Deferred revenue	$ 3,010	$ 6,343
License [Member]
Deferred Revenue Arrangement [Line Items]
Deferred revenue	104	135
Deferred revenue stream sale [Member]
Deferred Revenue Arrangement [Line Items]
Deferred revenue	$ 2,906	$ 6,208

ACCRUED EXPENSES AND DEFERRED26

ACCRUED EXPENSES AND DEFERRED REVENUE (Details Textual) - USD ($) $ in Millions	Apr. 30, 2016	Oct. 31, 2015
Deferred Revenue Arrangement [Line Items]
Accrued Bonuses, Current	$ 0.1	$ 0.4

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Textual) $ in Millions	6 Months Ended
	Apr. 30, 2016USD ($)
Commitments And Contingencies [Line Items]
Loss Contingency, Damages Sought, Value	$ 200
Dot Hill Systems Corp [Member]
Commitments And Contingencies [Line Items]
Due from Related Parties, Current	$ 1

DISCONTINUED OPERATIONS (Detail

DISCONTINUED OPERATIONS (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Apr. 30, 2016	Apr. 30, 2015	Apr. 30, 2016	Apr. 30, 2015
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Cash Received			$ 1,852
Cash paid to Series F Convertible Preferred shareholders			(1,000)
Net cash received			852	$ 0
Fixed Assets	$ (499)		(499)
Inventory	(386)		(386)
Other Comprehensive Income			(110)
Expenses incurred			(79)
Deferred Revenue	1,795		1,795
Other Assets and Liabilities	198		198
Net gain on sale of discontinued operations	$ 1,771	$ 0	$ 1,771	$ 0

DISCONTINUED OPERATIONS (Deta29

DISCONTINUED OPERATIONS (Details 1) - USD ($) $ in Thousands	Apr. 30, 2016	Oct. 31, 2015
Current assets:
Accounts receivable, net	$ 0	$ 976
Inventories	0	437
Prepaids expenses, and other current assets	0	131
Total current assets	0	1,544
Property and equipment, net	0	533
Other assets	0	30
Total assets	0	2,107
Current liabilities:
Accounts payable	0	400
Accrued expenses	0	68
Deferred revenue	0	891
Total current liabilities	0	1,359
Long term deferred revenue	0	596
Total liabilities	$ 0	$ 1,955

DISCONTINUED OPERATIONS (Deta30

DISCONTINUED OPERATIONS (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Apr. 30, 2016	Apr. 30, 2015	Apr. 30, 2016	Apr. 30, 2015
Revenue:
IP License, royalty and other	$ 210	$ 190	$ 420	$ 392
Cost of revenue:
IP License, royalty and other	49	16	100	53
Gross profit	161	174	320	339
Operating expenses:
Total operating expenses	1,356	2,638	3,705	4,066
(Loss) income from discontinued operations	1,194	774	1,812	1,487
Discontinued Operations [Member]
Revenue:
Product	0	584	859	1,446
IP License, royalty and other	(63)	946	923	2,053
Total revenue	(63)	1,530	1,782	3,499
Cost of revenue:
Product	0	220	309	502
IP License, royalty and other	41	176	275	433
Total cost of revenue	41	396	584	935
Gross profit	(104)	1,134	1,198	2,564
Operating expenses:
Sales and marketing	452	829	1,275	1,700
Research and development	638	1,079	1,735	2,351
Total operating expenses	1,090	1,908	3,010	4,051
(Loss) income from discontinued operations	$ (1,194)	$ (774)	$ (1,812)	$ (1,487)

DISCONTINUED OPERATIONS (Deta31

DISCONTINUED OPERATIONS (Details Textual) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Apr. 30, 2016	Apr. 30, 2016
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Purchase and Assignment Agreement,Inception Date		Mar. 22, 2016
Proceeds from Divestiture of Businesses		$ 1,852
Cash Divested from Deconsolidation		(1,000)
Purchase and Assignment Agreement [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds from Divestiture of Businesses		1,900
Series F Preferred Stock [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Cash Divested from Deconsolidation	$ 1,000	$ 1,000

STOCKHOLDERS' EQUITY (Details)

STOCKHOLDERS' EQUITY (Details) - $ / shares	Apr. 30, 2016	Jan. 27, 2015	Mar. 31, 2014	Jul. 22, 2013	Mar. 22, 2013
Class of Warrant or Right [Line Items]
Warrants Outstanding (in shares)	7,375,327
2013 Private Placement Warrant [Member]
Class of Warrant or Right [Line Items]
Warrants Outstanding (in shares)	2,439,585
Weighted Average Exercise Price (in dollars per share)	$ 2				$ 2.0625
2013 Fortress Credit Agreement Warrant [Member]
Class of Warrant or Right [Line Items]
Warrants Outstanding (in shares)	1,748,218			1,454,545
Weighted Average Exercise Price (in dollars per share)	$ 2.06			$ 2.0625
2014 Private Placement Warrant [Member]
Class of Warrant or Right [Line Items]
Warrants Outstanding (in shares)	1,193,860
Weighted Average Exercise Price (in dollars per share)	$ 2.45		$ 2.45
2015 Common Stock Offering [Member]
Class of Warrant or Right [Line Items]
Warrants Outstanding (in shares)	1,993,664	1,993,664
Weighted Average Exercise Price (in dollars per share)	$ 2.76	$ 2.76

STOCKHOLDERS' EQUITY (Details T

STOCKHOLDERS' EQUITY (Details Textual)	1 Months Ended						6 Months Ended
	Aug. 31, 2015$ / sharesshares	Jul. 28, 2015USD ($)$ / sharesshares	Jan. 27, 2015USD ($)$ / sharesshares	Mar. 31, 2014USD ($)$ / sharesshares	Jul. 22, 2013USD ($)$ / shares$ / Rateshares	Mar. 22, 2013USD ($)$ / shares$ / Rateshares	Apr. 30, 2016USD ($)$ / sharesshares	Apr. 30, 2015USD ($)shares	Oct. 31, 2015shares
Class of Stock [Line Items]
Payments of Stock Issuance Costs | $		$ 400,000
Common Stock, Shares, Issued (in shares)							24,509,435		24,182,524
Preferred Stock, Shares Authorized							25,000,000		25,000,000
Class of Warrant or Right, Outstanding							7,375,327
Common Stock, Shares Subscribed but Unissued		3,933,879
Common Stock, Value, Subscriptions | $		$ 4,900,000
Subscription Price Per Share | $ / shares		$ 1.25
Purchase Of Common Stock Shares		0.50
2013 Private Placement Warrant [Member]
Class of Stock [Line Items]
Exercise Price Per Share Of Common Stock Issued By Conversion Of Warrants | $ / shares	$ 0.2019
Fair Value Of Warrants | $						$ 2,284,000
Fair Value Assumptions, Expected Dividend Rate						0.00%
Fair Value Assumptions, Expected Volatility Rate						63.00%
Fair Value Assumptions, Risk Free Interest Rate						0.82%
Fair Value Assumptions, Expected Term						5 years
Securities Purchase Agreement, Exercise Price Of Warrants Issued | $ / shares						$ 2
Warrants Convertible Beneficial Conversion Feature | $						$ 1,090,000	$ 126,911
Common Stock Dividends, Shares								67,781
Stock Issued During Period, Value, Stock Dividend | $							$ 302,000	$ 169,000
Fair Value of Warrant Liability | $						$ 1,543,000
Class of Warrant or Right, Outstanding							2,439,585
Accrued Liabilities for Commissions, Expense and Taxes | $							$ 88,000
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares						$ 2.0625	$ 2
2013 Fortress Credit Agreement Warrant [Member]
Class of Stock [Line Items]
Exercise Price Per Share Of Common Stock Issued By Conversion Of Warrants | $ / shares	0.2019
Fair Value Of Warrants | $					$ 1,374,000
Securities Purchase Agreement, Price Per Unit Of Units Issuable | $ / Rate					2.0625
Fair Value Of Warrants, Per Share | $ / shares					$ 1.0625
Class of Warrant or Right, Outstanding					1,454,545		1,748,218
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares					$ 2.0625		$ 2.06
2014 Private Placement Warrant [Member]
Class of Stock [Line Items]
Stock Issued During Period Shares New Issues One				1,986,622
Shares Issued, Price Per Share | $ / shares				$ 2.2565
Number Of Common Stock, Shares Granted By Issue Of Warrants Under Private Placement				993,311
Exercise Price Per Share Of Common Stock Issued By Conversion Of Warrants | $ / shares	$ 0.2019			$ 2.45
Payments of Stock Issuance Costs | $				$ 200,000
Fair Value Of Warrants | $				$ 1,100,000
Fair Value Assumptions, Expected Dividend Rate				0.00%
Fair Value Assumptions, Expected Volatility Rate				74.00%
Fair Value Assumptions, Risk Free Interest Rate				1.64%
Fair Value Assumptions, Expected Term				2 years 6 months
Class of Warrant or Right, Outstanding							1,193,860
Proceeds from Issuance of Private Placement | $				$ 4,500,000
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares				$ 2.45			$ 2.45
2015 Common Stock Offering
Class of Stock [Line Items]
Stock Issued During Period Shares New Issues One			3,071,739
Shares Issued, Price Per Share | $ / shares			$ 2.30
Number Of Common Stock, Shares Granted By Issue Of Warrants Under Private Placement	0.2019		1,658,760
Exercise Price Per Share Of Common Stock Issued By Conversion Of Warrants | $ / shares			$ 2.76
Payments of Stock Issuance Costs | $			$ 1,100,000
Fair Value Of Warrants | $			$ 1,900,000
Fair Value Assumptions, Expected Dividend Rate			0.00%
Fair Value Assumptions, Expected Volatility Rate			75.00%
Fair Value Assumptions, Risk Free Interest Rate			1.55%
Fair Value Assumptions, Expected Term			4 years
Class of Warrant or Right, Outstanding			1,993,664				1,993,664
Proceeds from Issuance of Private Placement | $			$ 7,100,000
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares			$ 2.76				$ 2.76
Series F1 Convertible Preferred Stock [Member] | 2013 Private Placement Warrant [Member]
Class of Stock [Line Items]
Equity Method Investment, Ownership Percentage							9.99%
Series F2 Convertible Preferred Stock [Member] | 2013 Private Placement Warrant [Member]
Class of Stock [Line Items]
Equity Method Investment, Ownership Percentage							4.99%
Series F Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Common Stock, Shares, Issued (in shares)							200,000
Preferred Stock, Dividend Rate, Percentage							5.00%
Certificate Of Designation [Member]
Class of Stock [Line Items]
Preferred Stock, Shares Authorized							4,500,000
Certificate Of Designation [Member] | Series F1 Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Preferred Stock, Shares Authorized							3,750,000
Preferred Stock, Voting Rights							Such beneficial ownership limitations may be increased or decreased by a holder of Sub-Series F-1 to any percentage not in excess of 19.99% after providing notice of such increase or decrease to the Company. For as long as at least 90% of the aggregate number of shares of Sub-Series F-1 issued on the original issue date are outstanding, the holders of such Sub-Series F-1, voting as a single class, will be entitled to elect two directors of the Company. If less than 90%, but at least 20%, of such shares of Sub-Series F-1 are outstanding, such holders, voting as a single class, will be entitled to elect one director of the Company.
Certificate Of Designation [Member] | Series F2 Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Preferred Stock, Shares Authorized							750,000
Investors [Member]
Class of Stock [Line Items]
Securities Purchase Agreement, Price Per Unit Of Units Issuable | $ / Rate						2.0625
Securities Purchase Agreement, Value Of Units Issuable | $						$ 8,600,000
Securities Purchase Agreement, Proceeds From Issuance Of Units | $						$ 7,900,000
Investors [Member] | 2013 Private Placement Warrant [Member]
Class of Stock [Line Items]
Securities Purchase Agreement, Number Of Units Issuable						4,231,154
Securities Purchase Agreement, Number Of Warrants Issued						2,282,754
Units Par Or Stated Value Per Share | $ / shares						$ 0.001
Units Description						Each unit consists of one share of cumulative5.0% Series F convertible preferred stock
Investor One [Member] | 2013 Private Placement Warrant [Member]
Class of Stock [Line Items]
Securities Purchase Agreement, Exercise Price Of Warrants Issued | $ / shares						$ 2
Private Placement [Member] | Investors [Member]
Class of Stock [Line Items]
Securities Purchase Agreement, Units Issuance Cost | $						$ 700,000

STOCK OPTIONS AND STOCK BASED34

STOCK OPTIONS AND STOCK BASED COMPENSATION (Details) - USD ($) $ in Thousands	6 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation	$ 451	$ 536
Discontinued Operations [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation	103	204
General and administrative [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation	$ 348	$ 332

STOCK OPTIONS AND STOCK BASED35

STOCK OPTIONS AND STOCK BASED COMPENSATION (Details 1)	6 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected dividend yield	0.00%	0.00%
Expected volatility	0.00%
Expected volatility, Minimum		75.00%
Expected volatility, Maximum		76.00%
Risk-free interest rate	0.00%
Risk-free interest rate, Minimum		1.40%
Risk-free interest rate, Maximum		1.60%
Expected term (years)	0 years
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (years)		4 years
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (years)		5 years

STOCK OPTIONS AND STOCK BASED36

STOCK OPTIONS AND STOCK BASED COMPENSATION (Details 2) - USD ($)	6 Months Ended	12 Months Ended
	Apr. 30, 2016	Oct. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of Shares, Outstanding and expected to vest at October 31, 2015	4,111,896
Number of Shares, Granted	0
Number of Shares, Forfeited	(302,428)
Number of Shares, Exercised	0
Number of Shares, Outstanding and expected to vest at April 30, 2016	3,809,468	4,111,896
Exercisable at April 30, 2016	3,220,395
Weighted Average Exercise Price, Outstanding and expected to vest at October 31, 2015 (in dollars per share)	$ 1.86
Weighted Average Exercise Price, Granted (in dollars per share)	0
Weighted Average Exercise Price, Forfeited (in dollars per share)	3.17
Weighted Average Exercise Price, Exercised (in dollars per share)	0
Weighted Average Exercise Price, Outstanding and expected to vest at April 30, 2016 (in dollars per share)	1.75	$ 1.86
Weighted Average Exercise Price, Exercisable at April 30, 2016 (in dollars per share)	$ 1.77
Weighted Average Remaining Contractual Term, Outstanding and expected to vest at end of the period (in years)	4 years 1 month 20 days	7 years 3 months 4 days
Weighted Average Remaining Contractual Term, Exercisable at April 30, 2016 (in years)	3 years 8 months 16 days
Aggregate Intrinsic Value, Outstanding and expected to vest at October 31, 2015	$ 200
Aggregate Intrinsic Value, Outstanding and expected to vest at April 30, 2016	0	$ 200
Aggregate Intrinsic Value, Exercisable at April 30, 2016 (in dollars)	$ 0

STOCK OPTIONS AND STOCK BASED37

STOCK OPTIONS AND STOCK BASED COMPENSATION (Details 3)	6 Months Ended
	Apr. 30, 2016$ / sharesshares
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	$ 0
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 5.99
Options Outstanding, Shares Outstanding (in shares) | shares	3,809,468
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	4 years 1 month 20 days
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 1.75
Options Exercisable, Shares (in shares) | shares	3,220,395
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 1.77
Range Of Exercise Prices One [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	0
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 1.01
Options Outstanding, Shares Outstanding (in shares) | shares	415,005
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	2 years 7 months 2 days
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 0.91
Options Exercisable, Shares (in shares) | shares	415,005
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 0.91
Range Of Exercise Prices Two [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	1.03
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 1.23
Options Outstanding, Shares Outstanding (in shares) | shares	142,486
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	6 years 11 months 16 days
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 1.06
Options Exercisable, Shares (in shares) | shares	85,950
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 1.04
Range Of Exercise Prices Three [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	1.28
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 1.28
Options Outstanding, Shares Outstanding (in shares) | shares	540,900
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	7 years 6 months 22 days
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 1.28
Options Exercisable, Shares (in shares) | shares	540,900
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 1.28
Range Of Exercise Prices Four [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	1.30
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 1.34
Options Outstanding, Shares Outstanding (in shares) | shares	522,013
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	3 years 4 months 2 days
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 1.32
Options Exercisable, Shares (in shares) | shares	275,513
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 1.30
Range Of Exercise Prices Five [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	1.41
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 1.70
Options Outstanding, Shares Outstanding (in shares) | shares	144,421
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	2 years 9 months 7 days
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 1.47
Options Exercisable, Shares (in shares) | shares	94,846
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 1.50
Range Of Exercise Prices Six [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	1.75
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 1.75
Options Outstanding, Shares Outstanding (in shares) | shares	981,752
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	1 year 3 months 14 days
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 1.75
Options Exercisable, Shares (in shares) | shares	981,752
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 1.75
Range Of Exercise Prices Seven [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	1.76
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 2.13
Options Outstanding, Shares Outstanding (in shares) | shares	466,819
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	7 years 5 months 19 days
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 2.06
Options Exercisable, Shares (in shares) | shares	335,802
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 2.04
Range Of Exercise Prices Eight [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	2.28
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 3.73
Options Outstanding, Shares Outstanding (in shares) | shares	430,107
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	5 years 5 months 1 day
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 2.77
Options Exercisable, Shares (in shares) | shares	324,662
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 2.93
Range Of Exercise Prices Nine [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	3.95
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 4.99
Options Outstanding, Shares Outstanding (in shares) | shares	163,879
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	2 years 3 months
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 4.10
Options Exercisable, Shares (in shares) | shares	163,879
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 4.10
Range Of Exercise Prices Ten [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Lower Limit (in dollars per share)	5.99
Range of Exercise Prices, Upper Limit (in dollars per share)	$ 5.99
Options Outstanding, Shares Outstanding (in shares) | shares	2,086
Options Outstanding, Weighted Average Remaining Contractual Term (in years)	5 years 3 months
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 5.99
Options Exercisable, Shares (in shares) | shares	2,086
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 5.99

STOCK OPTIONS AND STOCK BASED38

STOCK OPTIONS AND STOCK BASED COMPENSATION (Details Textual) - USD ($)	6 Months Ended
	Apr. 30, 2016	Apr. 30, 2015	Oct. 31, 2015
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Stock Options To Employees and Non Employees Outstanding Number (in shares)	3,809,468		4,111,896
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value (in dollars per share)	$ 0	$ 1.68
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Total Intrinsic Value	$ 0	$ 35,000
Proceeds from Stock Options Exercised	$ 0	$ 49,000
Expected Weighted Average Period Of Recognition Of Compensation Cost Related To Stock Options To Employees and Non Employees	7 months 6 days
Stock Options Vested By Shares To Employees and Non Employees During Period	202,904	469,092
Stock Options Vested To Value Of Employees and Non Employees During Period	$ 300,000	$ 700,000
Number of Shares, Granted	0
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$ 400,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period	0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures, Total	0	117,577
Stock Option Plan 1999 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Stock Options To Employees and Non Employees Outstanding Number (in shares)	285,683
Stock Options Authorized To Be Issued To Employees and Non Employees	3,809,468
Stock Option Plan 2010 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Stock Options Vested By Shares To Employees and Non Employees During Period	3,220,395
Common Stock Shares Granted	0	0
Number of Shares, Granted	414,172
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights	The 2010 Plan options generally become exercisable over a four-year period (vesting 25% after one year, the remaining 75% vesting quarterly thereafter) and expire after ten years. The majority of the employee incentive stock option grants vest on a schedule of 25% at the end of six months and 12.5% thereafter until fully vested.
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period	526,741
Common Stock, Capital Shares Reserved for Future Issuance	785,302
Stock Option Plan 2010 [Member] | Board Of Directors [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Stock Options To Employees and Non Employees Outstanding Number (in shares)	3,523,785
Stock Options Authorized To Be Issued To Employees and Non Employees	5,250,000
Number of Shares, Granted	5,304,943

EMPLOYEE BENEFITS (Details Text

EMPLOYEE BENEFITS (Details Textual) - USD ($)	6 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
401(k) Savings Plan [Member]
Defined Contribution Plan Disclosure [Line Items]
Defined Contribution Plan, Employer Discretionary Contribution Amount	$ 82,000	$ 93,000

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details Textual) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended		3 Months Ended	6 Months Ended
	Jul. 29, 2015	Jan. 27, 2015	Apr. 30, 2016	Apr. 30, 2016	Jul. 28, 2015
Related Party Transaction [Line Items]
Common Stock, Shares Subscribed but Unissued					3,933,879
Selling Expense			$ 1,000
Cash Divested from Deconsolidation				$ (1,000)
Series F Preferred Stock [Member]
Related Party Transaction [Line Items]
Approval For Sale Of Business,Percentage			70.00%
Percentage Of Net Proceeds for Shareholders			50.00%
Cash Divested from Deconsolidation			$ 1,000	$ 1,000
2015 Private Placement Warrant [Member]
Related Party Transaction [Line Items]
Stock Issued During Period, Shares, New Issues		3,071,739
Shares Issued, Price Per Share		$ 2.30
Proceeds from Issuance of Private Placement	$ 4,900	$ 7,100
Exercise Price Per Share Of Common Stock Issued By Conversion Of Warrants	$ 1.25	$ 2.76
Stock Issued During Period, Shares, Acquisitions	1,537,907	350,000
Adjustments to Additional Paid in Capital, Warrant Issued	$ 1,900	$ 800
Common Stock, Shares Subscribed but Unissued	3,933,879

PREFERRED STOCK RIGHTS (Details

PREFERRED STOCK RIGHTS (Details Textual) - $ / shares	6 Months Ended
	Apr. 30, 2016	Oct. 31, 2015
Class of Stock [Line Items]
Preferred Stock, Participation Rights	one right for each outstanding share of common stock, par value $0.001 per share, and Series F Preferred Stock, par value $0.001 per share, of the Company to stockholders of record as of the close of business on June 4, 2014.
Preferred Stock, Par Or Stated Value Per Share	$ 0.001	$ 0.001
Preferred Stock, Rights Entitlement	to purchase from the Company one one-thousandth of a share of Series G Participating Preferred Stock
Preferred Stock Rights Exercisable, Beneficial Ownership Percentage of Common Stock	4.99%
Series G Participating Preferred Stock [Member]
Class of Stock [Line Items]
Preferred Stock, Par Or Stated Value Per Share	$ 0.001
Preferred Stock, Exercise Price Per One One-Thousandth	$ 14