Hipcricket (HIPP) 10-Q 9 Oct 13 2014 Q2 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information (USD $)	6 Months Ended
	Aug. 31, 2013	Oct. 07, 2013
Document And Entity Information
Entity Registrant Name	Hipcricket, Inc.
Entity Central Index Key	1137204
Document Type	10-Q
Document Period End Date	31-Aug-13
Amendment Flag	FALSE
Current Fiscal Year End Date	-26
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float		$130,248
Entity Common Stock, Shares Outstanding		154,123,049
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q2

CONSOLIDATED_BALANCE_SHEETS_Un

CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $)	Aug. 31, 2013	Feb. 28, 2013
ASSETS
Cash and cash equivalents	$360,206	$4,352,691
Restricted cash	214,570	214,455
Accounts receivable, net	5,791,896	5,707,019
Prepaid expenses and other current assets	505,765	772,029
Total current assets	6,872,437	11,046,194
Intangible assets held for sale	3,500,000	3,500,000
Property and equipment, net	71,430	82,737
Goodwill	35,060,183	35,060,183
Intangible assets, net	23,598,414	25,812,037
Deposits	261,122	238,011
TOTAL ASSETS	69,363,586	75,739,162
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable	5,137,789	4,812,086
Accrued liabilities	1,761,991	2,614,365
Deferred revenue	599,696	851,847
Line of credit	1,669,377
Total current liabilities	9,168,853	8,278,298
Deferred income tax liability, net	3,517,652	3,517,652
Accrued liabilities	48,083	82,002
TOTAL LIABILITIES	12,734,588	11,877,952
STOCKHOLDERS' EQUITY:
Common stock, $.0001 par value; 250,000,000 shares authorized; 129,248,049 and 129,554,226 shares issued and outstanding, respectively.	13,025	12,955
Additional paid-in capital	177,398,976	175,241,799
Accumulated deficit	-120,783,003	-111,393,544
Total stockholders' equity	56,628,998	63,861,210
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$69,363,586	$75,739,162

CONSOLIDATED_BALANCE_SHEETS_Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Aug. 31, 2013	Feb. 28, 2013
STOCKHOLDERS' EQUITY:
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	129,248,049	129,248,049
Common stock, shares outstanding	129,554,226	1,295,542,266

CONSOLIDATED_STATEMENTS_OF_OPE

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $)	3 Months Ended		6 Months Ended
	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2013	Aug. 31, 2012
Consolidated Statements Of Operations
REVENUE	$7,592,735	$6,189,220	$13,458,299	$11,267,571
COST OF REVENUES	3,381,299	2,474,292	5,983,802	4,410,237
OPERATING EXPENSES:
Selling and marketing	2,824,362	3,911,686	6,161,495	7,504,223
Technology and development	1,370,120	1,833,318	3,358,349	4,010,140
General and administrative	2,099,201	3,541,298	4,776,113	6,983,305
Depreciation and amortization	1,278,120	1,589,005	2,553,310	3,083,686
Total operating expenses	7,571,803	10,875,307	16,849,267	21,581,354
LOSS FROM OPERATIONS	-3,360,367	-7,160,379	-9,374,770	-14,724,020
OTHER INCOME (EXPENSE):
Interest income (expense), net	-13,888	224	-14,689	2,869
Acquisition related contingent consideration		4,860,557		4,860,557
NET LOSS BEFORE INCOME TAXES	-3,374,255	-2,299,598	-9,389,459	-9,860,594
Income tax benefit				2,618,723
NET LOSS	($3,374,255)	($2,299,598)	($9,389,459)	($7,241,871)
NET LOSS PER SHARE - basic and diluted	($0.03)	($0.02)	($0.07)	($0.08)
WEIGHTED AVERAGE SHARES OUTSTANDING
Basic and diluted	130,164,694	96,317,373	129,880,120	95,403,523

CONSOLIDATED_STATEMENT_OF_CHAN

CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) (USD $)	Common Stock	Paid-In Capital	Retained Earnings [Member]	Total
Beginning balance, Amount at Feb. 28, 2013	$12,955	$175,241,799	($111,393,544)	$63,861,210
Beginning Balance, Shares at Feb. 28, 2013	129,554,226
Stock with warrant subscription, Amount		4,865		4,865
Option/Warrant exercise, Shares	10,000
Option/Warrant exercise, Amount	1	2,499		2,500
Board of Director fees, Shares	133,823
Board of Director fees, Amount	14	50,653		50,667
Advisory services, Shares	550,000
Advisory services, Amount	55	220,445		220,500
Employee share-based compensation		1,563,264		1,563,264
Warrant expense		315,451		315,451
Net Loss			-9,389,459	-9,389,459
Ending Balance, Amount at Aug. 31, 2013	$13,025	$177,398,976	($120,783,003)	$56,628,998
Ending Balance, Shares at Aug. 31, 2013	130,248,049

STATEMENTS_OF_CASH_FLOWS

STATEMENTS OF CASH FLOWS (USD $)	6 Months Ended
	Aug. 31, 2013	Aug. 31, 2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	($9,389,459)	($7,241,871)
Depreciation and amortization	2,553,310	3,083,686
Bad debt expense	22,720	38,219
Common stock issued for services	271,167	625,000
Deferred income tax benefits		-2,618,723
Loss on sale or disposal of fixed assets	895
Share-based compensation expense	1,878,715	2,926,257
Acquisition related contingent consideration		4,860,557
Changes in operating assets and liabilities:
Accounts receivable	-107,597	-1,071,634
Prepaid expenses and other current assets	266,264	-178,541
Interest on restricted cash	-115
Deposits	-23,111	98,693
Accounts payable and accrued liabilities	-521,806	2,352,642
Deferred revenue	-252,151	-180,513
Long-term liabilities	-33,919	-33,111
NET CASH USED IN OPERATING ACTIVITIES	-5,335,087	-7,060,453
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash paid for purchase of patents	-43,540	-688,435
Cash paid for patent defense costs	-231,068	-2,253,813
Cash paid for acquisition related contingent consideration		-2,000,000
Cash paid for long-term investment	-54,667	-200,000
NET CASH USED IN INVESTING ACTIVITIES	-329,275	-5,142,248
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds received from line of credit	1,669,377
Proceeds received from the exercise of stock options and warrants, net	2,500	1,249,660
NET CASH PROVIDED BY FINANCING ACTIVITIES	1,671,877	1,249,660
NET CHANGE IN CASH AND CASH EQUIVALENTS	-3,992,485	-10,953,041
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	4,352,691	11,428,825
CASH AND CASH EQUIVALENTS, END OF PERIOD	360,206	475,784
SUPPLEMENTAL CASH FLOW INFORMATION:
Interest paid	889
Income taxes paid	76,887
Non-cash investing activity:
Stock issued for asset purchase		$3,813,953

ORGANIZATION_AND_BASIS_OF_PRES

ORGANIZATION AND BASIS OF PRESENTATION	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Note 1 - ORGANIZATION AND BASIS OF PRESENTATION	The accompanying unaudited interim financial statements of Hipcricket, Inc. (“Hipcricket,” the “Company,” “we,” or “us”) have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission (“SEC”), and should be read in conjunction with the audited financial statements and notes thereto contained in our Annual Report on Form 10-K filed with the SEC on May 24, 2013.
	In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements that would substantially duplicate the disclosures contained in the audited financial statements for the fiscal year ended February 28, 2013 included in our Annual Report on Form 10-K have been omitted.
	Description of Business
	On August 23, 2013, we changed our company name from Augme Technologies, Inc. to Hipcricket, Inc. Hipcricket®, Augme®, Augme Technologies™, AD LIFE® (“AD LIFE”), AD SERVE®, A+®, Boombox® and the Company logos are trademarks of Hipcricket, Inc.
	We provide a customer engagement platform that empowers brands, agencies and media properties to engage customers, drive loyalty and increase sales via mobile. Our proprietary AD LIFE mobile marketing technology platform (the “Platform”) allows marketers, brands, and agencies to plan, create, test, deploy, and track mobile marketing programs across every mobile channel. Through the use of Consumer Response Tags such as 2D codes, UPC codes, short message service (“SMS”), and image recognition, our Platform facilitates consumer brand interaction and the ability to track and analyze campaign results. Using our own patented device-detection and proprietary mobile content adaptation software, AD LIFE solves the mobile marketing industry problem of disparate operating systems, device types, and on-screen mobile content rendering. We also provide business-to-consumer utilities including national mobile couponing solutions, strategic mobile healthcare tools, custom mobile application development and consumer data tracking and analytics. Our products serve advertisers and ad agencies in many vertical markets, including automotive, retail, consumer products, food and beverage, media and broadcast, pharmaceutical and restaurant brands.
	The mobile marketing and advertising landscape, while in its early stages, is highly competitive. Many of the landscape’s significant players are focused on delivering point solutions targeting a specific segment of the mobile marketing and/or advertising landscape.  We differ from the competition by offering complete, end-to-end mobile advertising and marketing solutions delivered through our AD LIFE Platform.
	Our advanced, comprehensive, and fully integrated Platform drives revenue primarily through license fees, marketing campaign fees, and fees associated with certain add-on promotional applications in the Platform. Additional revenue is generated by platform administration and professional service fees related to the mobilization of client content and implementation of marketing campaigns through the Platform.
	Our portfolio of patents covers technical processes and methods that are believed to be a foundational component of behavioral targeting — the automatic provision of customized content to individuals based on information such as past web activity, personal preferences, geography, or demographic data. We own 19 U.S. patents, and on a selected basis we are pursuing additional patents that generally relate to targeting, analytics, advanced mobile marketing, customized content delivery, and mobile and networked marketing technology.
	We operate under one reportable segment and are headquartered in Kirkland, Washington. Additionally, we maintain a presence in New York, Atlanta, Miami, Dallas, Chicago, San Francisco and Los Angeles.
	Liquidity
	As of August 31, 2013 and February 28, 2013, we had accumulated deficits of $120.8 million and $111.4 million, respectively. We are subject to the risks and challenges associated with companies at a similar stage of development including dependence on key individuals, successful development and marketing of our products and services, integration of recent business combinations, competition from alternative products and services and larger companies with greater financial, technical management and marketing resources. Further, we may require additional financing to execute our key business strategies and fund operations. Those funds may not be readily available or may not be on terms that are favorable to us. Certain financing terms could be dilutive to existing shareholders or could result in significant interest or other costs, or require us to license or relinquish certain intellectual property rights.
	We operate in the mobile marketing industry and, accordingly, can be affected by a variety of factors. For example, we believe that any of the following factors could have a significant negative effect on our future financial position, results of operations and cash flows: unanticipated fluctuations in quarterly operating results, adverse changes in our relationship with significant customers or failure to secure contracts with other customers, intense competition, failure to attract and retain key personnel, failure to protect  intellectual property, decrease in the migration trends from traditional advertising methods to digital and mobile media and the inability to manage growth.
	In September 2012, we adopted a restructuring plan which includes reducing the number of employees, slowing the pace of investments in our intellectual property (“IP”) portfolio and minimizing variable expenses. We are restructuring overall corporate overhead expenses in order to focus our business around our mobile marketing and advertising technology and services. We have implemented measures specifically designed to reduce our cash used in operations. Consistent with this plan, we have settled a majority of our patent litigation cases, while protecting the value of our IP assets, to reduce our ongoing legal costs, downsized our Tucson division which was primarily involved with development and monetization of our IP, streamlined personnel and variable costs, and solidified the management team by appointing new personnel with extensive experience in the mobile marketing and advertising space to lead our sales and engineering teams. We intend to continue to minimize cash spend and identify additional cost savings opportunities while carefully investing our resources and protecting our strategic assets to strengthen our position in the mobile marketing and mobile advertising industry.
	During the quarter ended May 31, 2013, we secured an accounts receivable credit facility from Silicon Valley Bank (“SVB”) to help fund our working capital needs. The revolving loan facility has a two-year term and allows us to borrow up to $5.0 million based upon a formula equal to 90% of eligible accounts receivable, decreasing to 80% of eligible accounts receivable after January 31, 2014. The facility is secured by substantially all of our assets other than our intellectual property. Amounts drawn under the facility accrue annual interest at the prime rate plus 0.75% during a Streamline Period, as defined in the loan and security agreement, and at the prime rate plus 1.25% when a Streamline Period is not in effect. We are required to deliver periodic reports to SVB regarding our ability to meet certain financial and other covenants contained in the loan agreement. In late July we delivered the report to SVB indicating that as of June 30, 2013, we had breached our minimum tangible net worth covenant and began discussions of a forbearance agreement with SVB. We are in negotiations with SVB to obtain a waiver of the covenant default. The terms of such waiver may include modification of certain loan terms, including expanding the collateral on the facility to include our intellectual property. We regained compliance with the minimum tangible net worth covenant following the completion of the October 2013 financing described in the paragraph below. As of the August 31, 2013, we had drawn $1.7 million from this line of credit and had approximately $1.7 million available based on our outstanding accounts receivable as of that date. See Note 9 below for additional information about the credit facility.
	On October 4, 2013, we closed a $9.6 million financing transaction with 12 investors, each of which is an “accredited investor” within the meaning of the Securities Act of 1933 (the “Securities Act”). The investors purchased units of our securities at $0.40 per unit. Each unit consisted of one share of our common stock and a warrant to purchase 0.3 shares of our common stock. An aggregate of 23,875,000 shares of our common stock and warrants to purchase up to 7,162,500 shares of our common stock were purchased in the financing. The warrants have a five year term and an exercise price of $0.60 per share. In connection with the financing, we also entered into a registration rights agreement with each investor pursuant to which we will file, and cause to become effective with the SEC, a registration statement covering the resale of all of the shares of common stock and shares of common stock underlying the warrants sold in the financing.
	In the future, we may need to raise additional cash through equity or debt financings, and/or sell all or part of our patent portfolio, while retaining the rights to use the patents in our technology. There is no certainty that we will have the ability to raise additional funds through debt or equity financings under terms acceptable to us or that we will have the ability to sell all or part of the patent portfolio. If sources of capital are unavailable, or are available only on a limited basis or under unacceptable terms, then we could be required to substantially reduce or discontinue our investments in new customers and new products; reduce selling, marketing, general and administrative costs related to our continuing operations; or limit the scope of our continuing operations. Due to the nature of our operations and financial commitments we may not have the discretion to reduce operations in an orderly manner to a more sustainable level without impacting future operations.
	As of the filing of our Annual Report on Form 10-K for the fiscal year ended February 28, 2013, we no longer met the minimum $75 million public float requirement for use of Form S-3 registration for primary sales of our common stock and therefore are limited in our ability to issue the remaining $41.4 million remaining on our existing Form S-3 and/or to file new shelf registration statements on Form S-3. Until such time as we satisfy the $75 million public float and other requirements for use of Form S-3 registration, we will be required to use a registration statement on Form S-1 to register securities with the SEC, including to register the resale of the common shares issued in our October 2013 financing, or issue such securities in a private placement, which could increase the cost of raising capital.
	Use of Estimates
	The preparation of financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the amounts reported in the financial statements. We regularly evaluate estimates and judgments based on historical experience and other relevant facts and circumstances. Actual results could differ from those estimates. Significant estimates relate to fair value of assets acquired and liabilities assumed in business combinations, acquisition related contingent consideration, allowances for tax assets, the use of the Black-Scholes pricing model for valuing stock option and common stock warrant issuances, estimates of future cash flows used to evaluate impairment of long-lived assets, revenues earned from percentage of completion contracts and the period in which revenues should be recorded.
	Reclassifications
	Certain reclassifications have been made to prior periods to conform to current reporting. The presentation of our Consolidated Statements of Operations has been adjusted for the reclassification of operating expenses to be presented in the following categories: sales and marketing, technology and development, general and administrative and depreciation and amortization.  The operating expenses for the three and six months ended August 31, 2012 have been reclassified accordingly.
	Summary of Significant Accounting Policies
	The condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America and pursuant to the rules and regulations of the SEC. The same accounting policies are followed for preparing the quarterly and annual financial information unless otherwise disclosed.

RESTATEMENT_OF_PREVIOUSLY_ISSU

RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Note 2. RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS	In this Quarterly Report on Form 10-Q, we are reporting quarterly data for our fiscal quarter ended August 31, 2013, and in some cases providing the comparative data from the same quarter a year ago. As described in our Annual Report on Form 10-K for the fiscal year ended February 28, 2013 filed with the SEC on May 24, 2013, and summarized below, we restated the financial statements for certain quarterly and year-to-date periods, including the quarter ended August 31, 2012. All comparative data for the quarter ended August 31, 2012 is as restated.
	Description of Restatement
	In connection with our financial close process for our fiscal year 2013 financial statements, we concluded that the accounting for our acquisition of Hipcricket, Inc. (“Hipcricket subsidiary”) and JAGTAG, Inc. (“JAGTAG”), both of which occurred during fiscal year 2012, and of GEOS Communications IP Holdings, Inc. (“GEOS”), which occurred during the first quarter of fiscal 2013, was incorrect because deferred income tax liabilities arising from the acquisition accounting were not properly recorded for the differences between the book and tax basis of the acquired assets. The corresponding reduction to the deferred income tax asset valuation allowance was also not properly recognized. The Hipcricket subsidiary and JAGTAG transactions were structured as non-taxable transactions to the acquired companies’ shareholders and therefore considered mergers according to the provisions of IRS Code Section 368(a)(1)(c). To correct the errors related to the Hipcricket subsidiary and JAGTAG transactions, we recorded an increase to goodwill of $13.5 million, an increase to deferred tax liability of $13.5 million, which resulted in a corresponding reduction to the deferred income tax asset valuation allowance of $10.0 million and an increase to income tax benefits of $10.0 million for the quarter ended August 31, 2011 and fiscal year ended February 29, 2012. To correct the errors related to the GEOS transaction, we recorded an increase to the identified intangible asset category of patents of $2.6 million, an increase to deferred income tax liability of $2.6 million, and a corresponding reduction to the deferred income tax asset valuation allowance of $2.6 million and an increase to income tax benefits of $2.6 million for the quarter ended May 31, 2012. As a result of our previously completed impairment analysis performed during the quarter ended November 30, 2012 on certain identified intangibles, we recognized additional impairment expense of $2.6 million to write off the increased value resulting from the adjustments for the GEOS transaction.
	We assessed the impact of the errors relating to the Hipcricket subsidiary and JAGTAG transactions on our interim goodwill impairment analysis that was performed as of November 30, 2012. As a result of the increase in the carrying amount of goodwill resulting from the restatement, in our updated interim impairment assessment step one recoverability test we concluded that the carrying value of the reporting unit that included goodwill exceeded its fair value, resulting in an indication of impairment. Therefore we were required to perform the step two analysis to calculate the impairment. We determined the implied goodwill was less than the carrying value and we recognized an impairment write down of goodwill of $25.9 million for the period ended November 30, 2012 and the year ended February 28, 2013, to reduce the carrying value of goodwill to $35.1 million.
	Accordingly, the financial statements for the year ended February 29, 2012 and unaudited quarterly and year-to-date periods ended August 31, 2011, November 30, 2011, February 29, 2012, May 31, 2012, August 31, 2012 and November 30, 2012 were restated in our Annual Report on Form 10-K for the fiscal year ended February 28, 2013, from amounts previously reported. Net loss, basic and diluted net loss per share, accumulated deficit, and shareholders’ equity were also affected by the restatements. These adjustments are carried forward in subsequent periods. The corrections had no impact on total revenue, operating expense, or operating cash flows.
	The following table summarizes the corrections by financial statement line item for the three and six months ended August 31, 2012:
		As of and for the Three								As of and for the Six
		Months ended August 31, 2012								Months ended August 31, 2012
		(unaudited)								(unaudited)
		As previously reported			Restatement adjustments		As restated			As previously reported			Restatement adjustments			As restated
	Balance Sheet
	Goodwill	$	47,484,708		$	13,494,475	$	60,979,183		$	47,484,708		$	13,494,475		$	60,979,183
	Intangible assets, net		40,583,291			2,618,723		43,202,014			40,583,291			2,618,723			43,202,014
	Total assets		94,624,813			16,113,198		110,738,011			94,624,813			16,113,198			110,738,011
	Deferred income tax liability		-			3,517,652		3,517,652			-			3,517,652			3,517,652
	Total liabilities		18,515,584			3,517,652		22,033,236			18,515,584			3,517,652			22,033,236
	Accumulated deficit		(82,393,665	)		12,595,546		(69,798,119	)		(82,393,665	)		12,595,546			(69,798,119	)
	Total stockholders' equity		76,109,229			12,595,546		88,704,775			76,109,229			12,595,546			88,704,775
	Total liabilities and stockholders' equity		94,624,813			16,113,198		110,738,011			94,624,813			16,113,198			110,738,011
	Statement of Cash Flows
	Net loss		(2,299,598	)		-		(2,299,598	)		(9,860,594	)		2,618,723			(7,241,871	)
	Deferred income tax benefit		-			-		-			-			(2,618,723	)		(2,618,723	)
	Statement of Stockholders' Equity
	Accumulated deficit		(82,393,665	)		12,595,546		(69,798,119	)		(82,393,665	)		12,595,546			(69,798,119	)
	Stockholders' equity		76,109,229			12,595,546		88,704,775			76,109,229			12,595,546			88,704,775
	Statement of Operations
	Net loss		(2,299,598	)		-		(2,299,598	)		(9,860,594	)		2,618,723			(7,241,871	)
	Basic and diluted net loss per share	$	(0.02	)	$	-	$	(0.02	)	$	(0.10	)	$	0.02		$	(0.08	)

STOCKHOLDERS_EQUITY

STOCKHOLDERS' EQUITY	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Note 3. STOCKHOLDERS' EQUITY	During the six months ended August 31, 2013, we issued approximately 133,800 shares of common stock to our independent directors for payment of fees pursuant to the Board of Director’s compensation plan, 50,000 shares to a consultant for services, and 500,000 shares to legal counsel for services.

SHAREBASED_PAYMENTS

SHARE-BASED PAYMENTS	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Note 4. SHARE-BASED PAYMENTS	Stock-Based Compensation
	Stock-based compensation cost is measured at the grant date based on the estimated fair value of the award. We use the Black-Scholes option pricing model to estimate the fair value of stock options and warrants. The determination of the fair value of stock-based awards on the date of grant using an option pricing model is affected by our stock price as well as assumptions regarding a number of complex and subjective variables. These variables include our expected stock price volatility over the expected term of the awards, actual and projected employee stock option exercise behaviors, a risk-free interest rate and any expected dividends.
	Stock Option Exchange
	On August 29, 2013, we completed a stock option exchange program. Subject to the terms of our exchange offer filed on August 2, 2013, eligible participants tendered, and we exchanged, 5,460,424 options for 1,261,710 new options affecting 73 employees and 2 independent directors. The new options have an exercise price of $0.42, which was the closing price of our common stock on August 29, 2013. The new options were granted with the same vesting proportions as the tendered options. Of the 1,261,710 new option granted, 846,516, or 67%, were vested on the grant date and 415,194 or 33% will vest over the remaining vesting periods of the original options. The tender offer did not result in the acceleration of vesting of any options. The new options have the same expiration dates as the options exchanged.
	We are required to compare the fair value of the options immediately before and after modification and recognize additional compensation expense to the extent the new options have greater value than the exchanged options they replaced. The fair value of the stock options tendered for exchange and the replacement stock options was estimated on August 29, 2013 using the Black-Scholes option-pricing model with the following assumptions:
		Pre-modification			Post-modification
	Weighted-average exercise price	$	2.4		$	0.42
	Expected term (in years)		3			2
	Weighted-average volatility		70	%		70	%
	Risk-free rate		0.79	%		0.39	%
	Expected dividends		0	%		0	%
	None of the new options had a fair value which exceeded the exchanged options they replaced.
	OPTIONS:
	The estimated fair values of our stock option awards were determined using the following weighted average assumptions:
		Three Months Ended						Six Months Ended
		August 31,						August 31,
		2013			2012			2013			2012
	Expected dividends		0	%		0	%		0	%		0	%
	Expected term (in years)		3.5			3.5			3.5			3.5
	Weighted-average volatility		70	%		60	%		70	%		60	%
	Risk-free rate		0.51	%		0.41	%		0.51	%		0.45	%
	The effect on our results of operations of option expense for the three and six months ended August 31, 2013 and 2012 was as follows:
		Three Months Ended						Six Months Ended
		August 31,						August 31,
		2013			2012			2013			2012
	Selling and marketing	$	252,765		$	467,893		$	591,131		$	1,027,637
	Technology and development		137,342			342,226			508,905			609,970
	General and administrative		158,527			443,606			463,228			854,584
	Total stock option expense	$	548,634		$	1,253,725		$	1,563,264		$	2,492,191
	We maintain stock incentive plans for our employees. The 2010 Stock Incentive Plan provides for the grant to employees, officers, directors and consultants of incentive stock options, non-qualified stock options, restricted shares, and other stock based awards to purchase up to an aggregate of 15.0 million shares of our common stock. We have approximately 7.9 million stock options and restricted shares outstanding under this plan as of August 31, 2013.
	We have also issued non-qualified stock options to consultants and vendors for services provided, as well as to directors and employees, including officers.
	The summary of activity for our stock options is presented below:
		Number of options			Weighted Average Exercise Price			Average Remaining Contractual Term
								(In Years)
	Options outstanding at February 28, 2013		17,373,932		$	2			2.99
	Granted		2,600,635			0.41
	Exercised		-			-
	Cancelled or expired		(5,710,424	)		2.46
	Forfeited		(2,567,830	)		2.19
	Options outstanding at August 31, 2013		11,696,313		$	1.38			2.39
	Options vested and expected to vest at August 31, 2013		11,409,124		$	1.41			2.34
	Options exercisable at August 31, 2013		9,781,617		$	1.55			2
	As of August 31, 2013, there was $1.9 million of unrecognized share-based payment expense related to options, which is expected to be recognized over a weighted average period of approximately 2.3 years.
	The aggregate intrinsic value of the exercisable options at August 31, 2013 was approximately $31,000. The aggregate intrinsic value was calculated based on the positive differences between the market value of our common stock on August 31, 2013 of $0.39 per share and the exercise prices of the exercisable options.
	The exercise prices of options outstanding at August 31, 2013 ranged from $0.25 to $3.90.  The weighted average fair value of options granted was $0.41 per option share for the three months ended August 31, 2013.
	WARRANTS:
	The fair values of our stock warrant awards issued during the three and six months ended August 31, 2013 and 2012, respectively, were estimated using the following weighted average assumptions:
		Three Months Ended						Six Months Ended
		August 31,						August 31,
		2013			2012			2013			2012
	Expected dividends		0	%		0	%		0	%		0	%
	Expected term (in years)		5			3			5			3
	Weighted-average volatility		70	%		60	%		70	%		60	%
	Risk-free rate		1.62	%		0.38	%		1.62	%		0.38	%
	The warrant expense for the three and six months ended August 31, 2013 and 2012 is as follows, and is included in general and administrative expense:
		Three Months Ended						Six Months Ended
		August 31,						August 31,
		2013			2012			2013			2012
	Total warrant expense	$	278,179		$	261,905		$	315,450		$	434,066
	The summary of activity for our warrants is presented below:
		Number of Warrants			Weighted Average Exercise Price			Average Remaining Contractual Term (In Years)
	Warrants outstanding at February 28, 2013		19,171,104		$	1.32			3.53
	Granted		875,000			0.7
	Exercised		-			-
Forfeited and expired		(181,250	)		1.24
Warrants outstanding at August 31, 2013		19,864,854		$	1.3			3.05
Warrants vested and expected to vest at August 31, 2013		19,864,854		$	1.3			3.05
Warrants exercisable at August 31, 2013		18,931,523		$	1.31			2.99
The exercisable warrants as of August 31, 2013 had no aggregate intrinsic value because the market value of our common stock on August 31, 2013 of $0.37 per share was lower than the exercise prices of the exercisable warrants. The exercise prices of warrants outstanding at August 31, 2013 ranged from $0.39 to $4.00.
As of August 31, 2013, there was approximately $116,000 of unrecognized share-based payment expense related to warrants, which is expected to be recognized over a weighted average period of approximately 2.2 years.

NET_LOSS_PER_SHARE

NET LOSS PER SHARE	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Note 5. LOSS PER SHARE	Basic net loss per share is based on the weighted average number of common shares outstanding. Diluted net loss per share is based on the weighted average number of common shares and common share equivalents outstanding. Common share equivalents included in the computation represent shares issuable upon assumed exercise of outstanding stock options and warrants except when the effect of their inclusion would be anti-dilutive. As of August 31, 2013 and 2012, there were potentially dilutive securities consisting of options exercisable to purchase 9.8 million and 3.2 million shares of common stock, respectively, and warrants exercisable to purchase 18.9 million and 3.7 million shares of our common stock, respectively. As the inclusion of these outstanding stock options and warrants would be anti-dilutive, they were excluded from the computation of loss per share.  Accordingly, basic net loss per share and diluted net loss per share are identical for each of the periods presented in the accompanying statements of operations.

AQUISITIONS

AQUISITIONS	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Note 6 - AQUISITIONS	Acquisition of GEOS IP Assets: On May 24, 2012, we acquired all of the common stock and all of the preferred stock of GEOS Communications IP Holdings, Inc. pursuant to the Stock Purchase Agreement between Augme and GEOS and other parties. By acquiring the GEOS stock, we acquired five U.S. patents covering Voice over Internet Protocol (“VoIP”) and other mobility inventions. The patents allow us to expand our mobile marketing and mobile advertising technology offerings to include adaptive voice technologies for any mobile environment, VoIP-enabled mobile marketing and advertising, VoIP-enabled e-commerce and VoIP-enabled services and support features within our AD LIFE Platform.
	We determined that the GEOS assets acquired did not constitute a business as defined under ASC Topic 805 on the basis that the GEOS assets were not an integrated set of activities or assets that were capable of being conducted or managed in a manner that would provide economic benefits or return to us. As a result, we accounted for this acquisition as an asset purchase. The total consideration paid has been allocated to the intangible assets acquired based upon their relative fair values at the date of acquisition.
	The fair value of the consideration given for the acquisition of the GEOS stock was $4.2 million, which included $355,000 in cash and $3.8 million in our common stock (1,860,465 shares at a price of $2.05 per share). We are indemnified against certain losses resulting from breaches of any representation, warranty, covenant or agreement of GEOS. In order to secure payment of any loss, the approximate 1.9 million shares of our common stock were held for the benefit of the sellers in escrow for a period of up to 14 months following the closing date of the acquisition. In July 2013, the shares were released from escrow.
	As described in Note 2, we recorded an increase to the carrying value of the patents on our balance sheet of $2.6 million to correct errors related to the income tax provision impacts of differences between the book and tax basis of the acquired assets, and a corresponding income tax benefit on our consolidated statement of operations, due to the reduction in the deferred income tax asset valuation allowance during the quarter ended May 31, 2012.
	Acquisition of Hipcricket, Inc. Assets
	On August 25, 2011, Augme completed its acquisition of the business and substantially all of the assets of Hipcricket, Inc. pursuant to the Amended and Restated Asset Purchase Agreement dated August 25, 2011 between Augme and Hipcricket. The acquisition provides us with expanded mobile marketing solutions for consumer brands, agencies, pharmaceutical/health, and media companies. We accounted for the acquisition as a business combination. The results of Hipcricket’s operations have been included in our financial statements since the date of the acquisition.
	The estimated fair value of the acquisition consideration was $62.8 million, which included $3.0 million in cash, $35.5 million in our common stock (11,457,359 shares at a price of $3.10), a $1.0 million promissory note, which was subsequently paid off in cash, and $2.0 million of seller tax liabilities, which was paid during the quarter ended May 31, 2012. In addition, the transaction called for a twelve-month earn-out payment to Hipcricket shareholders and employees, which if achieved was estimated to be no less than $15.0 million and as high as $27.5 million. The amount of contingent consideration was based on the amount of revenue recognized in the earn-out period and could be paid in our common stock or a combination of common stock and cash at our discretion, provided that the transaction remained a tax-free reorganization. The contingent consideration recorded at the time of the acquisition was $23.3 million plus the seller tax liabilities of $2.0 million, resulting in an aggregate liability on the transaction date of $25.2 million. The tax liability of $2.0 million was paid during the quarter ended May 31, 2012.
	The earn-out period ended on August 25, 2012, which was the measurement date of the contingent consideration obligation. The earn-out payment was calculated to be $22.0 million and we recognized a gain of $2.0 million from the reduction of the liability of the actual consideration due, compared to management’s previous estimates. The gain is included within other income on the statements of operations for the three and six months ended August 31, 2012.
	As partial satisfaction of the contingent consideration payments, we paid approximately 50% of the outstanding obligation using shares of our common stock. We issued a total of 5.5 million shares of our common stock as payment of approximately $11.0 million in contingent consideration to the former Hipcricket stockholders. The number of common shares issued was calculated using a $2.00 per share “floor” price, as defined in the agreement. The market price of our common stock on August 25, 2012 was $1.48.  The difference between the $2.00 floor price used to calculate the number of shares to be issued, and the actual price of $1.48 on the measurement date, resulted in a reduction of the estimated consideration payment of $2.9 million, which is included in other income on the statements of operations for the three and six months ended August 31, 2012.
	On November 2, 2012 we issued 3.7 million shares of common stock, net of tax withholding, for substantially all of the remaining contingent consideration obligation.  The difference between the $2.00 floor price and the actual price of $0.65 on the date the shares were issued resulted in a reduction of the estimated contingent consideration payment of $7.3 million, which was included in other income on the statements of operations for the three and six months ended November 31, 2012.

INTANGIBLE_ASSETS

INTANGIBLE ASSETS	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Note 7 - INTANGIBLE ASSETS	The following table presents the gross carrying value of the components of intangible assets and accumulated amortization:
				As of August 31, 2013
		Weighted Average Amortization Period (In months)		Carrying Amount, net of impairment write downs		Accumulated Amortization		Net Carrying Value
	Indefinite Lived Intangible:
	Trade name	Indefinite		$	8,700,000	$	-	$	8,700,000
	Definite Lived Intangible:
	Patent litigation		84		4,269,973		1,516,346		2,753,627
	Patents		120		717,846		87,183		630,663
	Acquired technology		60		7,270,000		3,192,750		4,077,250
	Customer relationships		60-72		12,850,000		5,413,126		7,436,874
	Software		36		2,095,705		2,095,705		-
	Non-compete agreements		36		212,000		212,000		-
	Trade names		24		44,000		44,000		-
	Total intangibles			$	36,159,524	$	12,561,110	$	23,598,414
				As of February 28, 2013
		Weighted Average Amortization Period (In months)		Carrying Amount, net of impairment write downs		Accumulated Amortization		Transfer to Held for Sale		Net Carrying Value
	Indefinite Lived Intangible:
	Trade name	Indefinite		$	8,700,000	$	-	$	-	$	8,700,000
	Definite Lived Intangible:
	Patent litigation		84		4,038,904		1,060,109		-		2,978,795
	Patents		120		4,174,306		51,356		3,500,000		622,950
	Acquired technology		60		7,270,000		2,465,750		-		4,804,250
	Customer relationships		60-72		12,850,000		4,143,958		-		8,706,042
	Software		36		2,095,705		2,095,705		-		-
	Non-compete agreements		36		212,000		212,000		-		-
	Trade names		24		44,000		44,000		-		-
	Total intangibles			$	39,384,915	$	10,072,878	$	3,500,000	$	25,812,037
	Intangible assets relate to patent filing and patent protection litigation costs as well as customer relationships, trade names and technology obtained in past acquisitions. With the exception of the Hipcricket trade name carried at $8.7 million, the intangible assets have finite lives and, as such, are subject to amortization.  Amortization of intangible assets was $1.2 million and $2.4 million, for the three and six months ended August 31, 2013, respectively.
	Amortization in future fiscal periods is expected to be as follows:
	Remainder of 2014	$	2,176,229
	2015		5,101,399
	2016		4,642,676
	2017		2,369,316
	2018		217,014
	Thereafter		391,780
	Total	$	14,898,414

CONTINGENCIES

CONTINGENCIES	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Note 8. CONTINGENCIES	Litigation
	In the normal course of business, we may become involved in various legal proceedings.  Except as stated below, we know of no pending or threatened legal proceeding to which we are or will be a party that, if successful, might result in a material adverse change in our business, properties or financial condition.
	Litigation Update
	Augme Technologies, Inc. v. Yahoo! Inc., Civil Action No. 3:09-cv-05386-JCS, a patent infringement lawsuit pending in the U.S. District Court for the Northern District of California since November 16, 2009. On December 21, 2010, Yahoo! filed a first amended answer to Augme’s complaint, in which Yahoo! asserted its own counterclaim against Augme alleging infringement of, inter alia, U.S. Patent Nos. 7,640,320 (“‘320 patent”) and 7,512,622 (“‘622 patent”). On August 21, 2012, the parties stipulated to dismissal of Yahoo’s claim for infringement of the ‘622 patent with prejudice.
	This case is a patent infringement lawsuit brought by Augme against Yahoo, Inc. Yahoo has also counterclaimed for patent infringement. In this case, Augme is seeking monetary relief for patent infringement damage and injunctive relief against future infringement. A summary of the case is set forth below.
	With respect to Augme’s claims of patent infringement, on June 11, 2012, Yahoo! renewed its Motion for Summary Judgment of non-infringement. The Court heard argument on the summary judgment issues on July 20, 2012. On August 8, 2012, the Court granted Yahoo!’s Motion for Summary Judgment of non-infringement, dismissing Augme’s patent claims against Yahoo! and declining to address Augme’s previously filed Motion for Partial Summary Judgment of validity. Based on the Court’s summary judgment order, Augme moved for Entry of Judgment under Rule 54(b). Yahoo! opposed Augme’s motion in light of the pending counterclaim for infringement of the ‘320 patent. Nonetheless, Augme’s motion was granted by the Court on October 29, 2012, and final judgment was entered shortly thereafter on November 15, 2012.  On December 12, 2012, Augme filed a Notice of Appeal as to the judgment as to the Augme patent. The appeal was docketed by the Federal Circuit on December 19, 2012.
	With respect to Yahoo!’s counterclaim regarding infringement of the ‘320 patent, the parties agreed to and filed a stipulation of infringement of this patent on December 13, 2012, under the Court’s claim construction ruling of January 3, 2012.  The parties also stipulated to entry of judgment under Rule 54(b) and 28 U.S.C. § 1292(c)(2), which permits the entry of judgment in patent cases “which … [are] final except for an accounting.” The parties also requested that the Court stay the remainder of the case pending Augme’s appeal to the Federal Circuit Court of Appeals. The Court signed such an order on December 13, 2012, and entered it the next day.
	On January 11, 2013, Augme filed with the district court a Notice of Appeal to the Federal Circuit Court of Appeals as to Yahoo!’s ‘320 patent judgment. The second appeal was docketed by the Federal Circuit on February 6, 2013 and consolidated with the prior appeal (now Lead Appeal No. 13-1121). Augme tendered its principal brief to the Federal Circuit on May 7, 2013. Augme filed its Reply Brief on September 6, 2013, and the parties subsequently filed a Joint Appendix on September 13, 2013. Both consolidated appeals remain pending before the Federal Circuit.
	Augme Technologies, Inc. v. Millennial Media, Inc., Civil Action No. 1:12-cv-00424, a patent infringement lawsuit pending in the U.S. District Court for the District of Delaware since April 5, 2012. Augme filed a case against Millennial Media, Inc., asserting three causes of action involving alleged patent infringement related to Augme-owned United States Patent No. 7,783,721, United States Patent No. 7,269,636 and United States Patent No. 6,594,691.
	This case is a patent infringement lawsuit filed by Augme against Millennial Media, Inc. As originally filed, Augme was seeking monetary relief for patent infringement damage and injunctive relief against future infringement. A summary of the current status is set forth below.
	On May 30, 2012, Millennial Media filed a Motion to Dismiss For Failure to State a Claim Under Federal Rule of Civil Procedure 12(b)(6). Augme filed an amended complaint and an answer brief on June 18, 2012, and Millennial Media withdrew its Motion to Dismiss on June 28, 2012. A Scheduling Order was entered on September 28, 2012. The case has been set for a seven day jury trial beginning on September 15, 2014.  On March 22, 2013, the parties began settlement discussions. To facilitate those discussions, the parties filed, on April 12, 2013, a stipulation to stay further proceeding in the case which Judge Stark entered as an order on April 18, 2013.  As required by the joint stipulation, the parties filed a joint status report on July 1, 2013, stipulated that the stay be continued at least until October 1, 2013.
	Augme Technologies, Inc. v. AOL, Inc. and Time Warner, Inc., Civil Action No. 1:12-cv-05439-CM (transferred from Civil Action No. 1:09-cv-04299-RWS (S.D.N.Y.)), a patent infringement and trademark infringement lawsuit pending in the U.S. District Court for the Southern District of New York (transferred from the U.S. District Court for the Central District of California) since September 10, 2008.
	The case is a patent infringement case originally filed by Augme against AOL, Inc. and Time Warner, Inc. in the Central District of California and subsequently transferred to the Southern District of New York.  It also originally included a trademark infringement action against AOL, Inc. for use of the BOOMBOX trademark which has subsequently been dismissed.  In its patent infringement claim, Augme sought both monetary relief for patent infringement damages and injunctive relief against further infringement by AOL and Time Warner.  The AOL defendants and Augme agreed to settle litigation between themselves and, on February 26, 2013, the case was dismissed between those parties. The stayed case remains pending against Time Warner, Inc.  Below is a summary of the current status of this case.
	On June 13, 2012, the patent infringement claims were transferred from Judge Robert Sweet to Judge Colleen McMahon.  The residual claims for trademark infringement, unfair competition and false designation of origin, which remained with Judge Sweet, were dismissed by agreement of the parties on November 19, 2012.
	With regard to the patent infringement claims, Time Warner filed a Motion for Judgment on the Pleadings on September 27, 2012, and, shortly thereafter, a Motion for Rule 11 Sanctions on October 23, 2012.  On October 26, 2012, the Court sua sponte stayed the case regarding any claims related to U.S. Patent No. 7,269,636 (“‘636 patent”), pending the outcome of the ongoing reexamination of that patent by the U.S. Patent and Trademark Office.  Because the remaining patent-in-suit, U.S. Patent Nos. 6,594,691 (“‘691 patent”), is closely related to the ‘636 patent, Augme moved to stay the case in its entirety on November 5, 2012.  On December 20, 2012, Judge McMahon denied Augme’s motion to stay as to the ‘691 patent and did not disturb the preexisting stay as to the ‘636 patent.
	Because of Judge McMahon’s requirement that all discovery in the case be completed by the end of February 2013 and given that discovery as to the ‘691 patent would be totally duplicative of discovery which would have to be conducted later as to the ‘636 patent, on January 7, 2013, Augme filed a covenant not to sue defendants on the ‘691 patent and a motion to dismiss the ‘691 patent from the case.  Based on the pendency of the motion to dismiss, on January 11, 2013, Magistrate Judge Gabriel Gorenstein adjourned all further discovery as to the ‘691 patent.
	On January 16, 2013, Judge McMahon entered an order dismissing the ‘691 patent from the case and maintaining the stay as to the ‘636 patent. She placed the case on suspension and denied Time Warner’s pending motions without prejudice.
	The AOL defendants and Augme agreed to settle the litigation as between Augme, on the one hand, and AOL, Inc. and AOL Advertising, Inc., on the other. Accordingly, on February 26, 2013, Judge McMahon entered an Order of Dismissal as to the parties, AOL, Inc. and AOL Advertising, Inc. The stayed case remains pending against Time Warner, Inc.
	On July 16, 2013, the court denied Time Warner’s motion for sanctions against Augme without prejudice to renewal, pending the outcome of the USPTO reexamination.
	Brandofino Communications vs. Augme Technologies, Inc. On September 27, 2011, Brandofino Communications, Inc. (“Brandofino”) filed suit against Augme and New Aug LLC in the Supreme Court of the State of New York, New York County.  The complaint alleges, inter alia, breach of contract and unjust enrichment claims arising from work Brandofino allegedly performed for Augme pursuant to a marketing agreement entered into by Brandofino and Augme.  Augme has served its Answer and set forth counterclaims for breach of contract, unfair competition, tortious interference with business relations, and violations of New York General Business Law Section 349 (relating to violations of Augme’s intellectual property rights). The Company intends to vigorously defend against Brandofino’s claim and pursue its counterclaims.
	Shaub & Williams, L.L.P., vs. Augme Technologies, Inc., Civil Action No. 1:13-cv-01101-GBD. Augme's prior counsel, Shaub & Williams, LLP, on or about February 19, 2013 purported to file, and on March 15, 2013 purported to serve, a Complaint in the United States District Court for the Southern District of New York seeking recovery on a quantum meruit (value of services) basis attorney's fees in the amount of $2,249,686.25 for its prior representation of Augme in litigation. Augme disputes the claim and intends to contest it vigorously. In response to Augme's objection that jurisdiction was improperly pleaded, on or about March 22, 2013 Shaub & Williams purported to file, and on March 28, 2013 purported to serve on Augme, a First Amended Complaint that cured such defect. Augme disputes the claim and intends to contest it vigorously. On April 12, 2013 Augme filed and served (1) an Answer denying the material allegations and claims of the First Amended Complaint; (2) counterclaims for professional negligence and breach of contract. The initial meeting of counsel took place May 1, 2013. The initial Pretrial Conference took place May 23, 2013. The next case management conference will be held August 6, 2013. Shaub & Williams has filed motions to dismiss Augme's counterclaims and to strike certain of Augme's affirmative defenses to the complaint. A hearing on all three motions was originally scheduled for September 2013, but due to the judge's trial calendar, the hearing date is expected to be postponed until January 2014. In the meantime, the parties are conducting discovery on the claims and counterclaims.
	Subpoena from the Securities and Exchange Commission
	On February 26, 2013, the Company received a subpoena from the SEC that sought documents and information with respect to statements made by us between October 2010 and April 2011 in certain press releases, investor presentations and filings with the SEC. We provided responsive documents and information to the Staff in compliance with the subpoena. The SEC did not make any specific allegations of misconduct or misrepresentation by us or any of our current or former officers, directors or employees. On August 19, 2013, the Staff issued a letter to us stating that its investigation has been completed and that the Commission Staff does not intend to recommend any enforcement action by the SEC.

LINE_OF_CREDIT

LINE OF CREDIT	6 Months Ended
	Aug. 31, 2013
Debt Disclosure [Abstract]
Note 9. LINE OF CREDIT	On May 21, 2013, we entered into a loan and security agreement with Silicon Valley Bank (“SVB”).  The agreement provides for a $5.0 million asset based revolving loan facility, with availability subject to a borrowing base of 90% of our eligible accounts receivable, decreasing to 80% of eligible accounts receivable after January 31, 2014, and the satisfaction of conditions specified in the agreement. The facility expires on May 21, 2015, at which time all outstanding amounts will become due and payable.
	Amounts drawn under the facility accrue interest at a floating per annum rate equal to 1.25% above the prime rate, or 0.75% above prime rate at all times when a Streamline Period is in effect. A Streamline Period commences on the first day of the month following the day that we provide SVB a written notice that, for each consecutive day in the immediately preceding fiscal quarter, we had unrestricted cash at Silicon Valley Bank plus the unused amount available under the facility in an amount above $4.0 million, subject to terms and conditions of the loan agreement. Interest is payable monthly. We also are required to pay SVB a quarterly fee equal to 0.25% per annum of the average unused portion of the facility. The facility is secured by substantially all of our assets, other than our intellectual property. Borrowings under the facility may be used for general corporate purposes, including funding working capital. As of the August 31, 2013, we had drawn $1.7 million from the line of credit and had approximately $1.7 million available based on our outstanding accounts receivable as of that date.
	The loan agreement includes customary covenants, including covenants that limit or restrict our ability to, without the prior written consent of SVB, dispose of assets, change our business, have a change in control, make acquisitions, be acquired, incur indebtedness, grant liens, make investments, make distributions, repurchase stock, and enter into certain transactions with affiliates. The loan agreement also requires us to maintain a minimum tangible net worth of at least negative $1.25 million, increasing (i) at the end of each month by 50% of the proceeds of issuances of equity securities and the principal amount of any subordinated debt received during such month, (ii) at the end of each calendar quarter 50% of net income for such quarter and (iii) immediately by 1.5x the cash received by us from the sale of any intellectual property minus any realized gain or plus any realized loss associated with the sale of such intellectual property.
	The loan agreement contains customary events of default that include non-payment defaults, covenant defaults, material adverse change defaults, insolvency defaults, material judgment defaults and inaccuracy of representations and warranty defaults. The occurrence of an event of default could result in the acceleration of obligations under the loan agreement, in which case we must repay all loans and related charges, fees and amounts then due and payable. At the election of SVB, upon the occurrence and during the continuance of an event of default, the interest rate will increase an additional 5.0% per annum above the rate that is otherwise applicable.
	We are required to deliver periodic reports to SVB regarding our ability to meet certain financial and other covenants contained in the loan agreement. In late July we delivered the report to SVB indicating that as of June 30, 2013, we had breached our minimum tangible net worth covenant and began discussions of a forbearance agreement with SVB.  We are in negotiations with SVB to obtain a waiver of the covenant default. The terms of such waiver may include modification of certain loan terms, including expanding the collateral on the facility to include our intellectual property. We regained compliance with the minimum tangible net worth covenant following the completion of the October 2013 financing described in the paragraph below.

CONCENTRATION_OF_RISK

CONCENTRATION OF RISK	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Note 10. CONCENTRATION OF RISK	During the quarter ended August 31, 2013, three customers accounted for approximately 6.8%, 5.6%, and 5% of our revenue and no other customer accounted for over 5% of revenues.  During the quarter ended August 31, 2012 there were two customers that accounted for approximately 10% and 8% of our revenue and no other customer accounted for over 5% of revenue.
	At August 31, 2013, four customers accounted for approximately 24% of accounts receivable, the largest of which accounted for 8%. At August 31, 2012, three customers accounted for 27% of accounts receivable, the largest of which accounted for approximately 11%.

SUBSEQUENT_EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Aug. 31, 2013
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	Sale of Unregistered Securities
	On October 4, 2013, we closed a $9.6 million financing transaction with 12 investors, each of which is and “accredited investor” within the meaning of the Securities Act of 1933 (the “Securities Act”). The investors purchased units of our securities at $0.40 per unit. Each unit consisted of 1 share of our common stock and a warrant to purchase 0.3 shares of our common stock. An aggregate of 23,875,000 shares of our common stock and warrants to purchase up to 7,162,500 shares of our common stock were purchased in the financing. The warrants have a five year term and an exercise price of $0.60 per share.
	In connection with the financing, we also entered into a registration rights agreement with each investor pursuant to which we will file, and cause to become effective with the SEC, a registration statement covering the resale of all of the shares of common stock and shares of common stock underlying the warrants sold in the financing.

ORGANIZATION_AND_BASIS_OF_PRES1

ORGANIZATION AND BASIS OF PRESENTATION (Policies)	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Organization and Basis of Presentation and Description of Business	The accompanying unaudited interim financial statements of Hipcricket, Inc. (“Hipcricket,” the “Company,” “we,” or “us”) have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission (“SEC”), and should be read in conjunction with the audited financial statements and notes thereto contained in our Annual Report on Form 10-K filed with the SEC on May 24, 2013.
	In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements that would substantially duplicate the disclosures contained in the audited financial statements for the fiscal year ended February 28, 2013 included in our Annual Report on Form 10-K have been omitted.
	Description of Business
	On August 23, 2013, we changed our company name from Augme Technologies, Inc. to Hipcricket, Inc. Hipcricket®, Augme®, Augme Technologies™, AD LIFE® (“AD LIFE”), AD SERVE®, A+®, Boombox® and the Company logos are trademarks of Hipcricket, Inc.
	We provide a customer engagement platform that empowers brands, agencies and media properties to engage customers, drive loyalty and increase sales via mobile. Our proprietary AD LIFE mobile marketing technology platform (the “Platform”) allows marketers, brands, and agencies to plan, create, test, deploy, and track mobile marketing programs across every mobile channel. Through the use of Consumer Response Tags such as 2D codes, UPC codes, short message service (“SMS”), and image recognition, our Platform facilitates consumer brand interaction and the ability to track and analyze campaign results. Using our own patented device-detection and proprietary mobile content adaptation software, AD LIFE solves the mobile marketing industry problem of disparate operating systems, device types, and on-screen mobile content rendering. We also provide business-to-consumer utilities including national mobile couponing solutions, strategic mobile healthcare tools, custom mobile application development and consumer data tracking and analytics. Our products serve advertisers and ad agencies in many vertical markets, including automotive, retail, consumer products, food and beverage, media and broadcast, pharmaceutical and restaurant brands.
	The mobile marketing and advertising landscape, while in its early stages, is highly competitive. Many of the landscape’s significant players are focused on delivering point solutions targeting a specific segment of the mobile marketing and/or advertising landscape.  We differ from the competition by offering complete, end-to-end mobile advertising and marketing solutions delivered through our AD LIFE Platform.
	Our advanced, comprehensive, and fully integrated Platform drives revenue primarily through license fees, marketing campaign fees, and fees associated with certain add-on promotional applications in the Platform. Additional revenue is generated by platform administration and professional service fees related to the mobilization of client content and implementation of marketing campaigns through the Platform.
	Our portfolio of patents covers technical processes and methods that are believed to be a foundational component of behavioral targeting — the automatic provision of customized content to individuals based on information such as past web activity, personal preferences, geography, or demographic data. We own 19 U.S. patents, and on a selected basis we are pursuing additional patents that generally relate to targeting, analytics, advanced mobile marketing, customized content delivery, and mobile and networked marketing technology.
	We operate under one reportable segment and are headquartered in Kirkland, Washington. Additionally, we maintain a presence in New York, Atlanta, Miami, Dallas, Chicago, San Francisco and Los Angeles.
Liquidity	Liquidity
	As of August 31, 2013 and February 28, 2013, we had accumulated deficits of $120.8 million and $111.4 million, respectively. We are subject to the risks and challenges associated with companies at a similar stage of development including dependence on key individuals, successful development and marketing of our products and services, integration of recent business combinations, competition from alternative products and services and larger companies with greater financial, technical management and marketing resources. Further, we may require additional financing to execute our key business strategies and fund operations. Those funds may not be readily available or may not be on terms that are favorable to us. Certain financing terms could be dilutive to existing shareholders or could result in significant interest or other costs, or require us to license or relinquish certain intellectual property rights.
	We operate in the mobile marketing industry and, accordingly, can be affected by a variety of factors. For example, we believe that any of the following factors could have a significant negative effect on our future financial position, results of operations and cash flows: unanticipated fluctuations in quarterly operating results, adverse changes in our relationship with significant customers or failure to secure contracts with other customers, intense competition, failure to attract and retain key personnel, failure to protect  intellectual property, decrease in the migration trends from traditional advertising methods to digital and mobile media and the inability to manage growth.
	In September 2012, we adopted a restructuring plan which includes reducing the number of employees, slowing the pace of investments in our intellectual property (“IP”) portfolio and minimizing variable expenses. We are restructuring overall corporate overhead expenses in order to focus our business around our mobile marketing and advertising technology and services. We have implemented measures specifically designed to reduce our cash used in operations. Consistent with this plan, we have settled a majority of our patent litigation cases, while protecting the value of our IP assets, to reduce our ongoing legal costs, downsized our Tucson division which was primarily involved with development and monetization of our IP, streamlined personnel and variable costs, and solidified the management team by appointing new personnel with extensive experience in the mobile marketing and advertising space to lead our sales and engineering teams. We intend to continue to minimize cash spend and identify additional cost savings opportunities while carefully investing our resources and protecting our strategic assets to strengthen our position in the mobile marketing and mobile advertising industry.
	During the quarter ended May 31, 2013, we secured an accounts receivable credit facility from Silicon Valley Bank (“SVB”) to help fund our working capital needs. The revolving loan facility has a two-year term and allows us to borrow up to $5.0 million based upon a formula equal to 90% of eligible accounts receivable, decreasing to 80% of eligible accounts receivable after January 31, 2014. The facility is secured by substantially all of our assets other than our intellectual property. Amounts drawn under the facility accrue annual interest at the prime rate plus 0.75% during a Streamline Period, as defined in the loan and security agreement, and at the prime rate plus 1.25% when a Streamline Period is not in effect. We are required to deliver periodic reports to SVB regarding our ability to meet certain financial and other covenants contained in the loan agreement. In late July we delivered the report to SVB indicating that as of June 30, 2013, we had breached our minimum tangible net worth covenant and began discussions of a forbearance agreement with SVB. We are in negotiations with SVB to obtain a waiver of the covenant default. The terms of such waiver may include modification of certain loan terms, including expanding the collateral on the facility to include our intellectual property. We regained compliance with the minimum tangible net worth covenant following the completion of the October 2013 financing described in the paragraph below. As of the August 31, 2013, we had drawn $1.7 million from this line of credit and had approximately $1.7 million available based on our outstanding accounts receivable as of that date. See Note 9 below for additional information about the credit facility.
	On October 4, 2013, we closed a $9.6 million financing transaction with 12 investors, each of which is an “accredited investor” within the meaning of the Securities Act of 1933 (the “Securities Act”). The investors purchased units of our securities at $0.40 per unit. Each unit consisted of one share of our common stock and a warrant to purchase 0.3 shares of our common stock. An aggregate of 23,875,000 shares of our common stock and warrants to purchase up to 7,162,500 shares of our common stock were purchased in the financing. The warrants have a five year term and an exercise price of $0.60 per share. In connection with the financing, we also entered into a registration rights agreement with each investor pursuant to which we will file, and cause to become effective with the SEC, a registration statement covering the resale of all of the shares of common stock and shares of common stock underlying the warrants sold in the financing.
	In the future, we may need to raise additional cash through equity or debt financings, and/or sell all or part of our patent portfolio, while retaining the rights to use the patents in our technology. There is no certainty that we will have the ability to raise additional funds through debt or equity financings under terms acceptable to us or that we will have the ability to sell all or part of the patent portfolio. If sources of capital are unavailable, or are available only on a limited basis or under unacceptable terms, then we could be required to substantially reduce or discontinue our investments in new customers and new products; reduce selling, marketing, general and administrative costs related to our continuing operations; or limit the scope of our continuing operations. Due to the nature of our operations and financial commitments we may not have the discretion to reduce operations in an orderly manner to a more sustainable level without impacting future operations.
	As of the filing of our Annual Report on Form 10-K for the fiscal year ended February 28, 2013, we no longer met the minimum $75 million public float requirement for use of Form S-3 registration for primary sales of our common stock and therefore are limited in our ability to issue the remaining $41.4 million remaining on our existing Form S-3 and/or to file new shelf registration statements on Form S-3. Until such time as we satisfy the $75 million public float and other requirements for use of Form S-3 registration, we will be required to use a registration statement on Form S-1 to register securities with the SEC, including to register the resale of the common shares issued in our October 2013 financing, or issue such securities in a private placement, which could increase the cost of raising capital.
Use of Estimates	Use of Estimates
	The preparation of financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the amounts reported in the financial statements. We regularly evaluate estimates and judgments based on historical experience and other relevant facts and circumstances. Actual results could differ from those estimates. Significant estimates relate to fair value of assets acquired and liabilities assumed in business combinations, acquisition related contingent consideration, allowances for tax assets, the use of the Black-Scholes pricing model for valuing stock option and common stock warrant issuances, estimates of future cash flows used to evaluate impairment of long-lived assets, revenues earned from percentage of completion contracts and the period in which revenues should be recorded.
Reclassifications	Reclassifications
	Certain reclassifications have been made to prior periods to conform to current reporting. The presentation of our Consolidated Statements of Operations has been adjusted for the reclassification of operating expenses to be presented in the following categories: sales and marketing, technology and development, general and administrative and depreciation and amortization.  The operating expenses for the three and six months ended August 31, 2012 have been reclassified accordingly.
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies
	The condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America and pursuant to the rules and regulations of the SEC. The same accounting policies are followed for preparing the quarterly and annual financial information unless otherwise disclosed.

RESTATEMENT_OF_PREVIOUSLY_ISSU1

RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Tables)	6 Months Ended
	Aug. 31, 2013
Restatement Of Previously Issued Financial Statements Tables
Restatement		As of and for the Three								As of and for the Six
		Months ended August 31, 2012								Months ended August 31, 2012
		(unaudited)								(unaudited)
		As previously reported			Restatement adjustments		As restated			As previously reported			Restatement adjustments			As restated
	Balance Sheet
	Goodwill	$	47,484,708		$	13,494,475	$	60,979,183		$	47,484,708		$	13,494,475		$	60,979,183
	Intangible assets, net		40,583,291			2,618,723		43,202,014			40,583,291			2,618,723			43,202,014
	Total assets		94,624,813			16,113,198		110,738,011			94,624,813			16,113,198			110,738,011
	Deferred income tax liability		-			3,517,652		3,517,652			-			3,517,652			3,517,652
	Total liabilities		18,515,584			3,517,652		22,033,236			18,515,584			3,517,652			22,033,236
	Accumulated deficit		(82,393,665	)		12,595,546		(69,798,119	)		(82,393,665	)		12,595,546			(69,798,119	)
	Total stockholders' equity		76,109,229			12,595,546		88,704,775			76,109,229			12,595,546			88,704,775
	Total liabilities and stockholders' equity		94,624,813			16,113,198		110,738,011			94,624,813			16,113,198			110,738,011
	Statement of Cash Flows
	Net loss		(2,299,598	)		-		(2,299,598	)		(9,860,594	)		2,618,723			(7,241,871	)
	Deferred income tax benefit		-			-		-			-			(2,618,723	)		(2,618,723	)
	Statement of Stockholders' Equity
	Accumulated deficit		(82,393,665	)		12,595,546		(69,798,119	)		(82,393,665	)		12,595,546			(69,798,119	)
	Stockholders' equity		76,109,229			12,595,546		88,704,775			76,109,229			12,595,546			88,704,775
	Statement of Operations
	Net loss		(2,299,598	)		-		(2,299,598	)		(9,860,594	)		2,618,723			(7,241,871	)
	Basic and diluted net loss per share	$	(0.02	)	$	-	$	(0.02	)	$	(0.10	)	$	0.02		$	(0.08	)

SHAREBASED_PAYMENT_Tables

SHARE-BASED PAYMENT (Tables)	6 Months Ended
	Aug. 31, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Pre- and Post Modification Assumptions used to value option grants		Pre-modification			Post-modification
	Weighted-average exercise price	$	2.4		$	0.42
	Expected term (in years)		3			2
	Weighted-average volatility		70	%		70	%
	Risk-free rate		0.79	%		0.39	%
	Expected dividends		0	%		0	%
Estimated fair values of stock option awards		Three Months Ended						Six Months Ended
		August 31,						August 31,
		2013			2012			2013			2012
	Expected dividends		0	%		0	%		0	%		0	%
	Expected term (in years)		3.5			3.5			3.5			3.5
	Weighted-average volatility		70	%		60	%		70	%		60	%
	Risk-free rate		0.51	%		0.41	%		0.51	%		0.45	%
Effect on results of operations of recording share-based compensation expense		Three Months Ended						Six Months Ended
		August 31,						August 31,
		2013			2012			2013			2012
	Selling and marketing	$	252,765		$	467,893		$	591,131		$	1,027,637
	Technology and development		137,342			342,226			508,905			609,970
	General and administrative		158,527			443,606			463,228			854,584
	Total stock option expense	$	548,634		$	1,253,725		$	1,563,264		$	2,492,191
Summary of activity for stock options		Number of options			Weighted Average Exercise Price			Average Remaining Contractual Term
								(In Years)
	Options outstanding at February 28, 2013		17,373,932		$	2			2.99
	Granted		2,600,635			0.41
	Exercised		-			-
	Cancelled or expired		(5,710,424	)		2.46
	Forfeited		(2,567,830	)		2.19
	Options outstanding at August 31, 2013		11,696,313		$	1.38			2.39
	Options vested and expected to vest at August 31, 2013		11,409,124		$	1.41			2.34
	Options exercisable at August 31, 2013		9,781,617		$	1.55			2
Estimated fair values of stock warrant awards issued to service providers and employees		Three Months Ended						Six Months Ended
		August 31,						August 31,
		2013			2012			2013			2012
	Expected dividends		0	%		0	%		0	%		0	%
	Expected term (in years)		5			3			5			3
	Weighted-average volatility		70	%		60	%		70	%		60	%
	Risk-free rate		1.62	%		0.38	%		1.62	%		0.38	%
Schedule of warrant expense		Three Months Ended						Six Months Ended
		August 31,						August 31,
		2013			2012			2013			2012
	Total warrant expense	$	278,179		$	261,905		$	315,450		$	434,066
Summary of activity for warrants		Number of Warrants			Weighted Average Exercise Price			Average Remaining Contractual Term (In Years)
	Warrants outstanding at February 28, 2013		19,171,104		$	1.32			3.53
	Granted		875,000			0.7
	Exercised		-			-
	Forfeited and expired		(181,250	)		1.24
	Warrants outstanding at August 31, 2013		19,864,854		$	1.3			3.05
	Warrants vested and expected to vest at August 31, 2013		19,864,854		$	1.3			3.05
	Warrants exercisable at August 31, 2013		18,931,523		$	1.31			2.99

INTANGIBLE_ASSETS_Tables

INTANGIBLE ASSETS (Tables)	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Gross carrying value of intangible assets and accumulated amortization
				As of August 31, 2013
		Weighted Average Amortization Period (In months)		Carrying Amount, net of impairment write downs		Accumulated Amortization		Net Carrying Value
	Indefinite Lived Intangible:
	Trade name	Indefinite		$	8,700,000	$	-	$	8,700,000
	Definite Lived Intangible:
	Patent litigation		84		4,269,973		1,516,346		2,753,627
	Patents		120		717,846		87,183		630,663
	Acquired technology		60		7,270,000		3,192,750		4,077,250
	Customer relationships		60-72		12,850,000		5,413,126		7,436,874
	Software		36		2,095,705		2,095,705		-
	Non-compete agreements		36		212,000		212,000		-
	Trade names		24		44,000		44,000		-
	Total intangibles			$	36,159,524	$	12,561,110	$	23,598,414
				As of February 28, 2013
		Weighted Average Amortization Period (In months)		Carrying Amount, net of impairment write downs		Accumulated Amortization		Transfer to Held for Sale		Net Carrying Value
	Indefinite Lived Intangible:
	Trade name	Indefinite		$	8,700,000	$	-	$	-	$	8,700,000
	Definite Lived Intangible:
	Patent litigation		84		4,038,904		1,060,109		-		2,978,795
	Patents		120		4,174,306		51,356		3,500,000		622,950
	Acquired technology		60		7,270,000		2,465,750		-		4,804,250
	Customer relationships		60-72		12,850,000		4,143,958		-		8,706,042
	Software		36		2,095,705		2,095,705		-		-
	Non-compete agreements		36		212,000		212,000		-		-
	Trade names		24		44,000		44,000		-		-
	Total intangibles			$	39,384,915	$	10,072,878	$	3,500,000	$	25,812,037
Expected future amortization	Remainder of 2014	$	2,176,229
	2015		5,101,399
	2016		4,642,676
	2017		2,369,316
	2018		217,014
	Thereafter		391,780
	Total	$	14,898,414

ORGANIZATION_AND_BASIS_OF_PRES2

ORGANIZATION AND BASIS OF PRESENTATION (Details Narrative) (USD $)	Aug. 31, 2013	Feb. 28, 2013
Notes to Financial Statements
Accumulated deficits	$120,783,003	$111,393,544
Revolving loan facility line of credit	5,000,000
Borrowing base	90.00%
Line of credit borrowed	1,700,000
Unissued shares value	$41,400,000

RESTATEMENT_OF_PREVIOUSLY_ISSU2

RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Details Narrative) (USD $)	3 Months Ended	6 Months Ended		12 Months Ended
	Aug. 31, 2013	Aug. 31, 2013	Aug. 31, 2012	Feb. 29, 2012
Restatement Of Previously Issued Financial Statements Details Narrative
Increase to goodwill	$13,500,000	($25,900,000)
Increase to deferred tax liability	13,500,000			13,500,000
Increase to income tax benefits	10,000,000		2,600,000	10,000,000
Increase to the identified intangible asset			$2,600,000

RESTATEMENT_OF_PREVIOUSLY_ISSU3

RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Details) (USD $)	3 Months Ended		6 Months Ended
	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2013	Aug. 31, 2012	Feb. 28, 2013
Balance Sheet
Goodwill	$35,060,183		$35,060,183		$35,060,183
Intangible Assets	23,598,414		23,598,414		25,812,037
Total assets	69,363,586		69,363,586		75,739,162
Total liabilities	12,734,588		12,734,588		11,877,952
Accumulated deficit	-120,783,003		-120,783,003		-111,393,544
Total stockholder's equity	56,628,998		56,628,998		63,861,210
Total liabilities and stockhollers equity	69,363,586		69,363,586		75,739,162
Statement of Cash Flows
Net loss	-3,374,255	-2,299,598	-9,389,459	-7,241,871
Statement of Shareholders Equity
Stockholders' equity	56,628,998		56,628,998		63,861,210
Statement of Operations
Net loss			-9,389,459
NET LOSS PER SHARE - basic and diluted	($0.03)	($0.02)	($0.07)	($0.08)
Previously Rept [Member]
Balance Sheet
Goodwill		47,484,708		47,484,708
Intangible Assets		40,583,291		40,583,291
Total assets		94,924,813		94,924,813
Deferred Tax Liability
Total liabilities		18,515,584		18,515,584
Accumulated deficit		-82,393,665		-82,393,665
Total stockholder's equity		76,109,229		76,109,229
Total liabilities and stockhollers equity		94,624,813		94,624,813
Statement of Cash Flows
Net loss				-9,860,594
Deferred income taxes
Statement of Shareholders Equity
Accumulated deficit		-82,393,665		-82,393,665
Stockholders' equity		76,109,229		76,109,229
Statement of Operations
Net loss				-9,860,594
NET LOSS PER SHARE - basic and diluted				($0.10)
Adjmts [Member]
Balance Sheet
Goodwill		13,494,475		13,494,475
Intangible Assets		2,618,723		2,618,723
Total assets		16,113,198		16,113,198
Deferred Tax Liability		3,517,652		3,517,652
Total liabilities		3,517,652		3,517,652
Accumulated deficit		12,595,546		12,595,546
Total stockholder's equity		12,595,546		12,595,546
Total liabilities and stockhollers equity		16,113,198		16,113,198
Statement of Cash Flows
Net loss				2,618,723
Deferred income taxes				-2,618,723
Statement of Shareholders Equity
Accumulated deficit		12,595,546		12,595,546
Stockholders' equity		12,595,546		12,595,546
Statement of Operations
Net loss				2,618,723
NET LOSS PER SHARE - basic and diluted				$0.02
AsRestated [Member]
Balance Sheet
Goodwill		60,979,183		60,979,183
Intangible Assets		43,202,014		43,202,014
Total assets		110,738,011		110,738,011
Deferred Tax Liability		3,517,652		3,517,652
Total liabilities		22,033,236		22,033,236
Accumulated deficit		-69,798,119		-69,798,119
Total stockholder's equity		88,704,775		88,704,775
Total liabilities and stockhollers equity		110,738,011		110,738,011
Statement of Cash Flows
Net loss				-7,241,871
Deferred income taxes				-2,618,723
Statement of Shareholders Equity
Accumulated deficit		-69,798,119		-69,798,119
Stockholders' equity		88,704,775		88,704,775
Statement of Operations
Net loss				-7,241,871
NET LOSS PER SHARE - basic and diluted				($0.08)
Previously Reported [Member]
Statement of Cash Flows
Net loss		-2,299,598
Deferred income taxes
Statement of Operations
Net loss		-2,299,598
NET LOSS PER SHARE - basic and diluted		($0.02)
Adjmts [Member]
Statement of Cash Flows
Net loss
Deferred income taxes
Statement of Operations
Net loss
NET LOSS PER SHARE - basic and diluted
AsRestated[Member]
Statement of Cash Flows
Net loss		-2,299,598
Deferred income taxes
Statement of Operations
Net loss		($229,598)
NET LOSS PER SHARE - basic and diluted

STOCKHOLDERS_EQUITY_Details_Na

STOCKHOLDERS' EQUITY (Details Narrative)	6 Months Ended			5 Months Ended
	Aug. 31, 2013	Aug. 31, 2013	Aug. 31, 2013	Aug. 31, 2013
		Director [Member]	Consultant [Member[	Legal Counsel [Member]
Common stock issued pursuant to compensation plan	1,563,264	133,800
Shares issued for services			50,000	500,000

SHAREBASED_PAYMENT_Details_6

SHARE-BASED PAYMENT (Details 6) (USD $)	Aug. 29, 2013
Pre-Modification [Member]
Weighted-average exercise price	$2.40
Expected term (in years)	3 years
Weighted-average volatility	70.00%
Risk-free rate	79.00%
Expected dividends	0.00%
Post-Modification [Member]
Weighted-average exercise price	$0.42
Expected term (in years)	2 years
Weighted-average volatility	70.00%
Risk-free rate	39.00%
Expected dividends	0.00%

SHAREBASED_PAYMENT_Details

SHARE-BASED PAYMENT (Details)	3 Months Ended		6 Months Ended
	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2013	Aug. 31, 2012
Expected term (in years)			2 years 11 months 30 days
Stock Options [Member]
Expected dividends	0.00%	0.00%	0.00%	0.00%
Expected term (in years)	3 years 6 months	3 years 6 months	3 years 6 months	3 years 6 months
Weighted-average volatility	70.00%	60.00%	70.00%	60.00%
Risk-free rate minimum	0.51%	0.41%	0.51%	0.54%
Risk-free rate maximum	0.51%	0.41%	0.51%	0.54%

SHAREBASED_PAYMENT_Details_1

SHARE-BASED PAYMENT (Details 1) (USD $)	3 Months Ended		6 Months Ended
	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2013	Aug. 31, 2012
Total stock-based compensation expense	$548,634	$1,253,725	$1,563,264	$2,492,191
Sales and Marketing Expenses [Member]
Total stock-based compensation expense	252,765	467,893
Technology and Development [Member]
Total stock-based compensation expense	137,342	342,226	508,905	609,970
General and Administrative Expenses [Member]
Total stock-based compensation expense	158,527	443,606
Selling and Marketing Expense [Member]
Total stock-based compensation expense			591,131	1,027,637
General and Administrative Expense [Member]
Total stock-based compensation expense			$463,228	$854,584

SHAREBASED_PAYMENT_Details_2

SHARE-BASED PAYMENT (Details 2) (USD $)	6 Months Ended
	Aug. 31, 2013
Notes to Financial Statements
Options outstanding beginning	17,373,932
Granted	2,600,635
Exercised
Cancelled	-5,710,424
Forfeited	-2,567,830
Outstanding ending	11,696,313
Options vested and expected to vest, ending	11,409,124
Exercisable	9,781,617
Weighted Average Exercise Price Beginning	$2
Granted	$0.41
Exercised
Cancelled	$2.46
Forfeited	$2.19
Weighted Average Exercise Price Ending	$1.38
Weighted Average Exercise Price, Options vested and expected to vest, ending	$1.41
Weighted Average Exercise Price Exercisable	$1.55
Average remaining contractual term	2 years 11 months 30 days
Average remaining contractual term exercisable Options vested and expected to vest	2 years 6 months 28 days
Average remaining contractual term exercisable	2 years 3 months

SHAREBASED_PAYMENT_Details_3

SHARE-BASED PAYMENT (Details 3)	3 Months Ended		6 Months Ended
	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2013	Aug. 31, 2012
Expected term (in years)			2 years 11 months 30 days
Warrant [Member]
Expected dividends	0.00%	0.00%	0.00%	0.00%
Expected term (in years)	5 years	3 years	3 years 2 months 28 days	3 years
Weighted-average volatility	70.00%	60.00%	70.00%	60.00%
Risk-free rate minimum	1.62%	0.38%	1.62%	0.38%
Risk-free rate maximum	1.62%	0.38%	1.62%	0.38%

SHAREBASED_PAYMENT_Details_4

SHARE-BASED PAYMENT (Details 4) (USD $)	3 Months Ended		6 Months Ended
	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2013	Aug. 31, 2012
Total warrant expense	$548,634	$1,253,725	$1,563,264	$2,492,191
Warrant [Member]
Total warrant expense	$278,179	$261,905	$315,450	$434,066

SHAREBASED_PAYMENT_Details_5

SHARE-BASED PAYMENT (Details 5) (USD $)	6 Months Ended		3 Months Ended		6 Months Ended
	Aug. 31, 2013	Feb. 28, 2013	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2013	Aug. 31, 2012
			Warrant [Member]	Warrant [Member]	Warrant [Member]	Warrant [Member]
Warrants outstanding beginning					19,171,104
Granted	2,600,635				875,000
Exercised
Forfeited and expired	-2,567,830				-181,250
Outstanding ending	11,696,313	17,373,932	19,864,854		19,864,854
Warrants vested and expected to vest Ending			19,864,854		19,864,854
Exercisable	9,781,617		18,931,523		18,931,523
Weighted Average Exercise Price Beginning					$1.32
Granted	$0.41				$0.70
Exercised
Forfeited and expired	$2.19				$1.24
Weighted Average Exercise Price Ending	$1.38	$2	$1.30		$1.30
Weighted Average Exercise Price Exercisable	$1.55		$1.31		$1.31
Average remaining contractual term	2 years 11 months 30 days		5 years	3 years	3 years 2 months 28 days	3 years
Average remaining contractual term exercisable	2 years 3 months				2 years 11 months
Average remaining contractual term beginning					3 years 6 months 10 days

SHAREBASED_PAYMENT_Details_Nar

SHARE-BASED PAYMENT (Details Narrative) (USD $)	6 Months Ended
	Aug. 31, 2013
Stock Options [Member]
Options issued covering shares of common stock	15,000,000
Unrecognized share-based payment expense	$1,900,000
Weighted average period of share-based compensation expense	2 years 3 months
Aggregate intrinsic value of the exercisable options	31,000
Aggregate intrinsic market value of the exercisable options, Per share	$0.41
Exercise prices of options outstanding, Lower limit	$0.25
Exercise prices of options outstanding, upper limit	$3.90
Warrant [Member]
Unrecognized share-based payment expense	$116,000
Weighted average period of share-based compensation expense	2 years 2 months
Exercise prices of options outstanding, Lower limit	$0.39
Exercise prices of options outstanding, upper limit	$4

NET_LOSS_PER_SHARE_Details_Nar

NET LOSS PER SHARE (Details Narrative)	Aug. 31, 2013	Aug. 31, 2012
Net Loss Per Share Details Narrative
Potentially dilutive securities of options exercisable	9,800,000	3,200,000
Warrants exercisable	18,900,000	3,700,000

AQUISITIONS_Details_Narrative

AQUISITIONS (Details Narrative) (USD $)	6 Months Ended			6 Months Ended
	Aug. 31, 2012	Aug. 31, 2013	Feb. 28, 2013	Aug. 31, 2013	Aug. 31, 2013
				GEOS IP [Member]	Hipcricket
Acquisition consideration:
Patents acquired				$5
Fair value				4,200,000	62,800,000
Cash paid				355,000	3,000,000
Common stock issued, value				3,800,000	35,500,000
Common stock issued		13,025	12,955	1,860,465	11,457,359
Common stock issued, price per share				$2.05	$3.10
Common stock shares held in escrow				1,900,000
Escrow period				1 year 2 months
Assets acquired, liabilities assumed and goodwill:
Earn out payment minimum					15,000,000
Earn out payment maximum					27,500,000
Total assets acquired and liabilities assumed					25,200,000
Increase to the identified intangible asset	2,600,000			2,600,000
Total acquisition consideration					23,300,000
Current liabilities					$2,000,000

INTANGIBLE_ASSETS_Details

INTANGIBLE ASSETS (Details) (USD $)	Aug. 31, 2013	Feb. 28, 2013
Gross carrying value	$36,159,524	$39,384,915
Accumulated Amortization	12,561,110	10,072,878
Transfer to Held For Sale		3,500,000
Net Carrying Value	23,598,414	25,812,037
Patent litigation
Weighted Average Amortization Period (In months)	84 months	84 months
Gross carrying value	4,269,973	4,038,904
Accumulated Amortization	1,516,346	1,060,109
Transfer to Held For Sale
Net Carrying Value	2,753,627	2,978,795
Patents
Weighted Average Amortization Period (In months)	120 months	120 months
Gross carrying value	717,846	4,174,306
Accumulated Amortization	87,183	51,356
Transfer to Held For Sale		3,500,000
Net Carrying Value	630,663	622,950
Acquired technology
Weighted Average Amortization Period (In months)	60 months	60 months
Gross carrying value	7,270,000	7,270,000
Accumulated Amortization	3,192,750	2,465,750
Transfer to Held For Sale
Net Carrying Value	4,077,250	4,804,250
Customer relationships
Gross carrying value	12,850,000	12,850,000
Accumulated Amortization	5,413,126	4,143,958
Transfer to Held For Sale
Net Carrying Value	7,436,874	8,706,042
Customer relationships | Minimum [Member]
Weighted Average Amortization Period (In months)	60 months	60 months
Customer relationships | Maximum [Member]
Weighted Average Amortization Period (In months)	72 months	72 months
Software
Weighted Average Amortization Period (In months)	36 months	36 months
Gross carrying value	2,095,705	2,095,705
Accumulated Amortization	2,095,705	2,095,705
Transfer to Held For Sale
Net Carrying Value
Non-compete agreements
Weighted Average Amortization Period (In months)	36 months	36 months
Gross carrying value	212,000	212,000
Accumulated Amortization	212,000	212,000
Transfer to Held For Sale
Net Carrying Value
Trade names
Weighted Average Amortization Period (In months)	24 months	24 months
Gross carrying value	44,000	44,000
Accumulated Amortization	44,000	44,000
Transfer to Held For Sale
Net Carrying Value
Indefinite Trade Name
Gross carrying value	87,000,000	8,700,000
Accumulated Amortization
Transfer to Held For Sale
Net Carrying Value	$87,000,000	$8,700,000

INTANGIBLE_ASSETS_Details_1

INTANGIBLE ASSETS (Details 1) (USD $)	Aug. 31, 2013
Intangible Assets Details 1
2014	$2,176,229
2015	5,101,399
2016	4,642,676
2017	2,369,316
2018	217,014
Thereafter	391,780
Total	$14,898,414

INTANGIBLE_ASSETS_Details_Narr

INTANGIBLE ASSETS (Details Narrative) (USD $)	3 Months Ended	6 Months Ended
	Aug. 31, 2013	Aug. 31, 2013
Intangible Assets Details Narrative
Carrying value of the acquired patents		$8,700,000
Amortization of intangible assets	$1,200,000	$2,400,000

CONTINGENCIES_Details_Narrativ

CONTINGENCIES (Details Narrative) (USD $)	Aug. 31, 2013
Contingencies Details Narrative
Litigation amount	$2,249,686

LINE_OF_CREDIT_Details_Narrati

LINE OF CREDIT (Details Narrative) (USD $)	6 Months Ended
	Aug. 31, 2013
Debt Disclosure [Abstract]
Revolving loan facility line of credit	$5,000,000
Borrowing base	90.00%
Per annum rate	1.25%
Unrestricted cash under facility	400000000.00%
Quarterly fee rate	0.25%
Line of credit borrowed	1,700,000
Line of credit available	$1,700,000
Minimum tangible net worth	125.00%

CONCENTRATION_OF_RISK_Details_

CONCENTRATION OF RISK (Details Narrative)	3 Months Ended
	Aug. 31, 2013	Aug. 31, 2012
Customer One [Member]
Revenue major customer percentage	6.80%	10.00%
Customer Two [Member]
Revenue major customer percentage	5.60%	8.00%
Customer Three [Member]
Revenue major customer percentage	5.00%
No Other Customers [Member]
Revenue major customer percentage	5.00%
Four Customers [Member]
Customers accounted accounts receivables	24.00%
Largest Customer [Member]
Customers accounted accounts receivables	8.00%
No Other Customer [Member]
Revenue major customer percentage		5.00%
Three Customers [Member]
Customers accounted accounts receivables		27.00%
Largest Customer [Member]
Customers accounted accounts receivables		11.00%

SUBSEQUENT_EVENTS_Details_Narr

SUBSEQUENT EVENTS (Details Narrative) (USD $)	Aug. 31, 2013
Subsequent Events Details Narrative
Accredited investor transaction	$9,600,000
Accredited investor transaction per share value	$0.60