DTS 10-Q 6 Nov 13 2013 Q3 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
	Sep. 30, 2013	Oct. 31, 2013
Document and Entity Information	'	'
Entity Registrant Name	'DTS, INC.	'
Entity Central Index Key	'0001226308	'
Document Type	'10-Q	'
Document Period End Date	30-Sep-13	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	17,984,504
Document Fiscal Year Focus	'2013	'
Document Fiscal Period Focus	'Q3	'

CONSOLIDATED_BALANCE_SHEETS

CONSOLIDATED BALANCE SHEETS (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$73,586	$57,831
Short-term investments	2,542	14,214
Accounts receivable, net of allowance for doubtful accounts of $1,061 and $679 at September 30, 2013 and December 31, 2012, respectively	6,916	9,460
Deferred income taxes	1,395	1,998
Prepaid expenses and other current assets	4,282	4,875
Income taxes receivable	3,113	5,107
Total current assets	91,834	93,485
Property and equipment, net	31,009	33,325
Intangible assets, net	52,296	61,400
Goodwill	48,418	48,418
Deferred income taxes	4,320	605
Long-term investments	5,002	5,000
Other assets	4,824	4,826
Total assets	237,703	247,059
Current liabilities:	'	'
Accounts payable	2,905	2,796
Accrued expenses	9,947	15,861
Deferred revenue	9,217	7,659
Total current liabilities	22,069	26,316
Long-term debt	30,000	30,000
Other long-term liabilities	5,604	9,817
Commitments and contingencies (Note 8)	'	'
Stockholders' equity:	'	'
Preferred stock-$0.0001 par value, 5,000 shares authorized at September 30, 2013 and December 31, 2012; no shares issued and outstanding	'	'
Common stock-$0.0001 par value, 70,000 shares authorized at September 30, 2013 and December 31, 2012; 20,897 and 20,710 shares issued at September 30, 2013 and December 31, 2012, respectively; 17,985 and 18,208 shares outstanding at September 30, 2013 and December 31, 2012, respectively	3	3
Additional paid-in capital	222,796	213,787
Treasury stock, at cost- 2,912 and 2,502 shares at September 30, 2013 and December 31, 2012, respectively	-68,266	-59,848
Accumulated other comprehensive income	743	659
Retained earnings	24,754	26,325
Total stockholders' equity	180,030	180,926
Total liabilities and stockholders' equity	$237,703	$247,059

CONSOLIDATED_BALANCE_SHEETS_Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, except Per Share data, unless otherwise specified
CONSOLIDATED BALANCE SHEETS	'	'
Accounts receivable, allowance for doubtful accounts (in dollars)	$1,061	$679
Preferred stock, par value (in dollars per share)	$0.00	$0.00
Preferred stock, shares authorized	5,000	5,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized	70,000	70,000
Common stock, shares issued	20,897	20,710
Common stock, shares outstanding	17,985	18,208
Treasury stock, shares	2,912	2,502

CONSOLIDATED_STATEMENTS_OF_OPE

CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
CONSOLIDATED STATEMENTS OF OPERATIONS	'	'	'	'
Revenue	$28,159	$22,235	$88,075	$70,874
Cost of revenue	2,433	2,105	7,167	2,493
Gross profit	25,726	20,130	80,908	68,381
Operating expenses:	'	'	'	'
Selling, general and administrative	18,784	25,322	59,223	57,311
Research and development	7,490	7,625	23,011	16,915
Change in fair value of contingent consideration	-5,300	'	-5,300	'
Impairment of intangible assets	2,820	'	2,820	'
Total operating expenses	23,794	32,947	79,754	74,226
Operating income (loss)	1,932	-12,817	1,154	-5,845
Interest and other income (expense), net	-27	19	-446	-67
Income (loss) before provision for income taxes	1,905	-12,798	708	-5,912
Provision (benefit) for income taxes	-83	6,288	2,279	9,884
Net income (loss)	$1,988	($19,086)	($1,571)	($15,796)
Net income (loss) per common share:	'	'	'	'
Basic (in dollars per share)	$0.11	($1.04)	($0.09)	($0.92)
Diluted (in dollars per share)	$0.11	($1.04)	($0.09)	($0.92)
Weighted average shares outstanding:	'	'	'	'
Basic (in shares)	18,191	18,329	18,239	17,104
Diluted (in shares)	18,445	18,329	18,239	17,104

CONSOLIDATED_STATEMENTS_OF_COM

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)	'	'	'	'
Net income (loss)	$1,988	($19,086)	($1,571)	($15,796)
Other comprehensive income (loss), net of tax:	'	'	'	'
Foreign currency translation adjustments	17	-16	84	27
Other	1	12	'	9
Total comprehensive income (loss)	$2,006	($19,090)	($1,487)	($15,760)

CONSOLIDATED_STATEMENTS_OF_CAS

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Cash flows from operating activities:	'	'
Net loss	($1,571)	($15,796)
Adjustments to reconcile net loss to net cash provided by operating activities:	'	'
Depreciation and amortization	11,710	6,292
Stock-based compensation charges	8,774	8,358
Deferred income taxes	-3,241	3,185
Tax benefits (shortfalls) from stock-based awards	-333	108
Excess tax benefits from stock-based awards	-48	-312
Change in fair value of contingent consideration	-5,300	'
Impairment of intangible assets	2,820	'
Other	562	381
Changes in operating assets and liabilities, net of business acquisitions:	'	'
Accounts receivable	2,544	6,366
Prepaid expenses and other assets	170	-325
Accounts payable, accrued expenses and other liabilities	-4,614	6,301
Deferred revenue	1,558	2,390
Income taxes receivable	1,994	349
Net cash provided by operating activities	15,025	17,297
Cash flows from investing activities:	'	'
Purchases of held-to-maturity investments	'	-3,450
Purchases of available-for-sale investments	-5,014	-42,074
Maturities of held-to-maturity investments	'	20,120
Maturities of available-for-sale investments	16,684	22,092
Sales of held-to-maturity investments	'	9,109
Sales of available-for-sale investments	'	24,760
Cash paid for business acquisitions, net	'	-59,616
Purchases of property and equipment	-2,322	-2,813
Purchases of intangible assets	-816	-422
Net cash provided by (used in) investing activities	8,532	-32,294
Cash flows from financing activities:	'	'
Proceeds from the issuance of common stock under stock-based compensation plans	1,472	1,411
Repurchases and retirement of common stock for restricted stock tax withholdings	-904	-966
Excess tax benefits from stock-based awards	48	312
Proceeds from long-term borrowings	'	30,000
Purchases of treasury stock	-8,418	-5,881
Net cash provided by (used in) financing activities	-7,802	24,876
Net change in cash and cash equivalents	15,755	9,879
Cash and cash equivalents, beginning of period	57,831	46,944
Cash and cash equivalents, end of period	$73,586	$56,823

Basis_of_Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2013
Basis of Presentation	'
Basis of Presentation	'
	Note 1—Basis of Presentation
	The accompanying unaudited consolidated financial statements of DTS, Inc. (the "Company") have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. In the opinion of management, the unaudited consolidated financial statements reflect all adjustments considered necessary for a fair statement of the Company's financial position at September 30, 2013, and the results of operations and cash flows for the periods presented. All significant intercompany transactions have been eliminated in consolidation. Operating results for interim periods are not necessarily indicative of the results that may be expected for the full year. The information included in this Form 10-Q should be read in conjunction with the consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2012, filed with the Securities and Exchange Commission on March 18, 2013.
	The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates.
	Acquisition of SRS Labs, Inc. and Phorus' Assets
	On July 20, 2012, the Company acquired SRS Labs, Inc. ("SRS"), pursuant to the Agreement and Plan of Merger and Reorganization, dated as of April 16, 2012. During 2013, the Company retrospectively applied measurement period adjustments to the consolidated financial statements. For additional information, refer to Note 6, "Business Combination".
	On July 5, 2012, the Company acquired the assets of Phorus, Inc. and Phorus, LLC (collectively "Phorus") pursuant to an Asset Purchase Agreement dated the same day (the "Asset Purchase Agreement"). For additional information, refer to Notes 4 and 8, "Fair Value Measurements" and "Commitments and Contingencies", respectively.

Significant_Accounting_Policie

Significant Accounting Policies	9 Months Ended
	Sep. 30, 2013
Significant Accounting Policies	'
Significant Accounting Policies	'
	Note 2—Significant Accounting Policies
	Goodwill and Other Intangibles
	The Company operates in one reportable and operating segment, but evaluates goodwill for impairment at the reporting unit level. Reporting units are identified based on the current organizational structure, availability of discrete financial information, and economic similarity of components under the Company's operating segment. During the annual strategic planning process in the third quarter of 2013, the Company changed the business model relating to Phorus resulting in the identification of the Phorus business as a separate reporting unit from the rest of the Company for the purpose of testing goodwill for impairment. Goodwill has been reassigned to each reporting unit using the relative fair value approach.
	The Company evaluates the carrying value of goodwill and non-amortizing intangibles for impairment on an annual basis on October 31 of each year, or more frequently if events or circumstances indicate that the goodwill and intangibles might be impaired. As a result of revised forecasts developed during the Company's annual strategic planning process in the third quarter of 2013 and lower than expected historical results, the Company concluded that there were indications of potential impairment of the goodwill and non-amortizing intangibles attributable to the Phorus reporting unit during the third quarter of 2013. Therefore, the Company performed an interim impairment test on the Phorus reporting unit.
	Impairment of non-amortizing intangibles is tested by estimating the fair value of the assets, and an impairment charge would be recorded to the extent that the carrying amount of such assets exceeds the estimated fair value. Evaluation of the recoverability of goodwill includes valuation of the underlying reporting unit using fair value techniques, which may include both income and market approaches. If the carrying value of the assets and liabilities, including goodwill, exceeds the estimated fair value of the reporting unit, the Company would record an impairment charge in an amount equal to the excess of the carrying value over the estimated fair value of the goodwill. Goodwill impairment is measured subsequent to the completion of any impairment of all other intangible and long-lived assets associated with the reporting unit.
	The Company's definite-lived intangibles principally consist of customer relationships, acquired technology and developed patents and trademarks, which are being amortized over their respective estimated useful lives. The Company reviews such assets for impairment whenever events or changes in circumstances indicate an asset's carrying value may not be recoverable. Factors considered include, but are not limited to, significant underperformance relative to expected historical or projected future operating results; significant changes in the manner of use of the acquired assets or projected future operating results; significant changes in the strategy of the overall business; and significant negative industry or economic trends. Recoverability of an intangible is measured by comparing its carrying amount to the expected future undiscounted cash flows that the asset is expected to generate. If it is determined that an asset is not recoverable, an impairment loss is recorded in the amount by which the carrying amount of the asset exceeds its fair value. Due to the aforementioned revised forecasts and lower than expected historical results, the Company tested definite-lived intangibles associated with the Phorus reporting unit for impairment in conjunction with the tests of potential impairment for goodwill and non-amortizing intangibles.
	If the Company is unable to finalize the results of impairment tests prior to the issuance of the financial statements and an impairment loss is probable and can be reasonably estimated, the Company recognizes its best estimate of the loss in the current period financial statements and discloses that the amount is an estimate. The Company would then recognize any adjustments to that estimate in subsequent reporting periods, once the results of the impairment tests have been finalized.
	For additional information refer to Note 7, "Goodwill and Intangibles".
	Recent Accounting Pronouncement
	In July 2013, the Financial Accounting Standards Board issued Accounting Standards Update ("ASU") 2013-11, "Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists." This standard provides guidance regarding when an unrecognized tax benefit should be classified as a reduction to a deferred tax asset or when it should be classified as a liability in the consolidated balance sheet. This ASU is effective prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2013. Early adoption and retrospective application is permitted. The Company is evaluating the potential impact of this adoption on its consolidated financial statements.

Cash_and_Investments

Cash and Investments	9 Months Ended
	Sep. 30, 2013
Cash and Investments	'
Cash and Investments	'
	Note 3—Cash and Investments
	Cash and investments, classified as available-for-sale, consist of the following:
		As of		As of
		September 30,		December 31,
		2013		2012
	Cash and cash equivalents:
	Cash	$	16,716	$	17,433
	Money market accounts		56,870		40,398
	Total cash and cash equivalents	$	73,586	$	57,831
	Short-term investments:
	U.S. government and agency securities	$	2,542	$	10,025
	Certificates of deposit		—		4,189
	Total short-term investments	$	2,542	$	14,214
	Long-term investments:
	U.S. government and agency securities	$	5,002	$	5,000
	Total long-term investments	$	5,002	$	5,000
	The Company had no material gross realized or unrealized holding gains or losses from its investments in securities classified as available-for-sale for the periods presented.
	The contractual maturities of investments at September 30, 2013 were as follows:
	Due within one year	$	2,542
	Due after one year and through five years		5,002
	Total investments	$	7,544
	For additional information on investments classified as available-for-sale, refer to Note 4, "Fair Value Measurements".

Fair_Value_Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2013
Fair Value Measurements	'
Fair Value Measurements	'
	Note 4—Fair Value Measurements
	The Company's investments, classified as available-for-sale, are measured and recorded at fair value on a recurring basis. The contingent consideration related to the acquisition of assets from Phorus is also measured and recorded at fair value on a recurring basis until it can be determined whether or not any future payments will be made.
	The Company obtained the fair value of its available-for-sale securities, which are not in active markets, from a third-party professional pricing service using quoted market prices for identical or comparable instruments, rather than direct observations of quoted prices in active markets. The Company's professional pricing service gathers observable inputs for all of its fixed income securities from a variety of industry data providers (e.g., large custodial institutions) and other third-party sources. Once the observable inputs are gathered, all data points are considered and the fair value is determined. The Company validates the quoted market prices provided by its primary pricing service by comparing their assessment of the fair values against the fair values provided by its investment managers. The Company's investment managers use similar techniques to its professional pricing service to derive pricing as described above. As all significant inputs were observable, derived from observable information in the marketplace or supported by observable levels at which transactions are executed in the marketplace, the Company has classified its available-for-sale securities within Level 2 of the fair value hierarchy.
	The initial fair value of contingent consideration was determined at the date of acquisition, and it is subject to the achievement of certain revenue milestones over a three and a half year period from the date of the Phorus asset acquisition. The Company used the income approach, which included an analysis of the cash flows and risks associated with achieving such cash flows, to value the contingent consideration based on two scenarios. One scenario was a risk neutral analysis and utilized a discount rate of 4%. The second scenario utilized was not a risk neutral analysis and utilized a discount rate of 15%. Increases or decreases in the fair value of contingent consideration can result from accretion of the liability due to the passage of time, changes in the timing and amount of revenue estimates, changes in discount rates, or remittance of payments. Any change in the fair value of contingent consideration is recognized as income or expense within operating income (loss). As of September 30, 2013, the Company measured the fair value of the contingent consideration using the income approach, based on an updated analysis of cash flows in a non-risk neutral scenario, which utilized an updated discount rate of 30% due to historical results and revised projections. As a result of revised forecasts and the other assumptions noted, the Company estimated the fair value of the contingent consideration at $2,200 as of September 30, 2013, and recognized a gain of $5,300 in the consolidated statements of operations. Considerable judgment is required in the assumptions used in fair value measurements. Accordingly, use of different assumptions, such as significant increases or decreases in estimated revenues, cash flows or the discount rate, could result in materially different fair value estimates. For additional information, refer to Note 8, "Commitments and Contingencies".
	The Company's financial assets and liabilities, measured at fair value on a recurring basis, were as follows:
	Assets (Liabilities)	Total			Quoted		Significant		Significant
					Prices in		Other		Unobservable
					Active		Observable		Inputs
					Markets for		Inputs		(Level 3)
					Identical		(Level 2)
					Assets
					(Level 1)
	As of September 30, 2013
	U.S. government and agency securities	$	7,544		$	—	$	7,544	$	—
	Contingent consideration(1)	$	(2,200	)	$	—	$	—	$	(2,200	)
	As of December 31, 2012
	Certificates of deposit	$	4,189		$	—	$	4,189	$	—
	U.S. government and agency securities	$	15,025		$	—	$	15,025	$	—
	Contingent consideration(2)	$	(7,500	)	$	—	$	—	$	(7,500	)
	-1
	As of September 30, 2013, this liability was classified in other long-term liabilities on the consolidated balance sheet. For additional information, refer to Note 8, "Commitments and Contingencies".
	-2
	As of December 31, 2012, $2,200 and $5,300 were classified in accrued expenses and other long-term liabilities, respectively, on the consolidated balance sheet.
	The following table summarizes the changes in the fair value of assets and liabilities measured on a recurring basis that used significant unobservable inputs (Level 3):
	Balance at December 31, 2012	$	(7,500	)
	Change in fair value of contingent consideration(1)		5,300
	Balance at September 30, 2013	$	(2,200	)
	-1
	This change is reflected within operating expenses in the consolidated statements of operations.

Property_and_Equipment

Property and Equipment	9 Months Ended
	Sep. 30, 2013
Property and Equipment	'
Property and Equipment	'
	Note 5—Property and Equipment
	Property and equipment consist of the following:
		As of			As of
		September 30,			December 31,
		2013			2012
	Land	$	6,600		$	6,600
	Building and improvements		21,433			21,342
	Machinery and equipment		5,095			4,629
	Office furniture and fixtures		7,454			6,824
	Leasehold improvements		4,327			4,030
	Software		6,679			6,568
			51,588			49,993
	Less: Accumulated depreciation		(20,579	)		(16,668	)
	Property and equipment, net	$	31,009		$	33,325

Business_Combination

Business Combination	9 Months Ended
	Sep. 30, 2013
Business Combination	'
Business Combination	'
	Note 6—Business Combination
	The Company completed the final allocation of the purchase price related to SRS in the second quarter of 2013. The following table presents the final purchase price allocation, as adjusted:
		Weighted Average				Estimated
		Estimated Useful				Fair Value
		Life (years)
	Cash and cash equivalents						23,298
	Short-term investments						8,529
	Accounts receivable						9,835
	Prepaid expenses and other current assets						1,628
	Income taxes receivable						200
	Property and equipment						1,027
	Goodwill						41,708
	Identifiable intangible assets:
	Customer relationships	8		44,540
	Developed technology	6		7,920
	Trademarks/tradenames	5		2,810
	IPR&D			1,180
	Total identifiable intangible assets						56,450
	Deferred tax assets						5,882
	Long-term investments						249
	Accounts payable						(476	)
	Accrued expenses						(2,279	)
	Deferred revenue						(506	)
	Deferred tax liabilities						(19,978	)
	Other long-term liabilities						(782	)
	Total purchase price					$	124,785
	During 2013, the Company retrospectively applied measurement period adjustments to the consolidated financial statements for the fair value of certain assets acquired and liabilities assumed. The effect of these adjustments on the preliminary purchase price allocation was an increase in accounts receivable of $2,550, an increase in prepaid expenses and other current assets of $303, a decrease in goodwill of $2,896, a decrease in long-term deferred income taxes of $25, an increase in accounts payable of $25, and a decrease in accrued expenses of $93.
	Licensing agreements acquired with SRS have begun to be integrated with the Company's agreements, and as a result, total revenue from licensing agreements acquired with SRS is no longer identifiable. Acquisition and integration related costs for the SRS acquisition included severance costs, legal fees, other professional fees and other administrative costs. The acquisition and integration related costs for the SRS acquisition that have been included in the Company's consolidated statements of operations were as follows:
		For the Three					For the Nine
		Months Ended					Months Ended
		September 30,					September 30,
		2013		2012			2013		2012
	Selling, general and administrative	$	1,131	$	7,153		$	1,520	$	9,864
	Research and development		—		882			38		894
	Total acquisition and integration related costs	$	1,131	$	8,035		$	1,558	$	10,758

Goodwill_and_Intangibles

Goodwill and Intangibles	9 Months Ended
	Sep. 30, 2013
Goodwill and Intangibles	'
Goodwill and Intangibles	'
	Note 7—Goodwill and Intangibles
	Due to revised forecasts developed during our annual strategic planning process in the third quarter of 2013 and lower than expected historical results, the Company tested definite-lived intangibles associated with the Phorus reporting unit for impairment as of September 30, 2013. For additional information refer to Note 2, "Significant Accounting Policies". The Company used a discounted cash flow method to estimate the fair value of the definite-lived intangibles and recognized an impairment charge for the amount that the carrying amount exceeded the fair value of such assets. Based on preliminary test results, the Company recorded a provisional impairment loss of $2,460 within operating expenses in the consolidated statements of operations, consisting of $2,304 and $156 in write-downs of existing technology and non-compete agreements, respectively. The Company does not expect material changes in these provisional amounts once the tests are finalized in the fourth quarter of 2013.
	The Company also conducted an interim impairment test of goodwill and non-amortizing intangibles associated with the Phorus reporting unit as of September 30, 2013. For additional information refer to Note 2, "Significant Accounting Policies". The Company used a discounted cash flow method to estimate the fair value of the non-amortizing intangibles and recognized an impairment charge for the amount that the carrying amount of the assets exceeded the fair value of such assets. Based on preliminary test results, the Company recorded a provisional impairment charge for in-process research and development ("IPR&D") of $360 within operating expenses in the consolidated statements of operations. The Company does not expect material changes in this provisional amount once the tests are finalized in the fourth quarter of 2013.
	The Company completed the aforementioned impairment tests of both definite-lived and non-amortizing intangibles, and reflected such impairment charges in the carrying amount of the Phorus reporting unit, for the purposes of the goodwill impairment test. An impairment loss would be recognized to the extent that the carrying value of goodwill associated with the Phorus reporting unit exceeded the estimated fair value. The Company estimated the fair value of the goodwill as the difference between the estimated fair value of the reporting unit and the estimated fair values of the individual assets and liabilities. The Company estimated the fair value of the reporting unit using both the income and market approaches, including a discounted cash flow method. Based on preliminary test results, the Company estimated that as of September 30, 2013, the carrying value of the goodwill associated with the Phorus reporting unit did not exceed the estimated fair value. As such, the Company does not believe that impairment of goodwill is probable and accordingly has not recognized an impairment charge as of September 30, 2013. The Company does not expect material changes in this determination once the tests are finalized in the fourth quarter of 2013.
	The following table summarizes the Company's acquired intangible and other intangible assets by category:
				As of September 30, 2013									As of December 31, 2012
		Weighted
		Average
		Life
		(Years)		Gross			Accumulated			Net			Gross		Accumulated			Net
				Amount(1)			Amortization			Carrying			Amount		Amortization			Carrying
										Amount								Amount
	Existing technology	6		$	16,763		$	(7,643	)	$	9,120		$	17,918	$	(5,651	)	$	12,267
	Customer relationships	8			45,590			(7,364	)		38,226			45,590		(3,074	)		42,516
	Non-compete	2			384			(334	)		50			540		(131	)		409
	Tradename	5			3,000			(861	)		2,139			3,000		(440	)		2,560
	Patents	5			2,885			(906	)		1,979			2,170		(779	)		1,391
	Trademarks	10			698			(286	)		412			598		(251	)		347
	Total amortizable intangible assets				69,320			(17,394	)		51,926			69,816		(10,326	)		59,490
	IPR&D				370			—			370			1,910		—			1,910
	Total intangible assets			$	69,690		$	(17,394	)	$	52,296		$	71,726	$	(10,326	)	$	61,400
	-1
	Includes write-downs of $2,304 for existing technology, $156 for non-compete, and $360 for IPR&D, which are reflected within operating expenses in the consolidated statements of operations.
	The following table summarizes amortization of intangibles included in the Company's consolidated statements of operations:
		For the Three						For the Nine
		Months Ended						Months Ended
		September 30,						September 30,
		2013			2012			2013			2012
	Cost of revenue(1)	$	2,267		$	2,037		$	6,705		$	2,400
	Operating expenses		274			210			788			387
	Total amortization of intangible assets	$	2,541		$	2,247		$	7,493		$	2,787
	-1
	Includes amortization of $159 and $425 for the three and nine months ended September 30, 2013, respectively, associated with certain service arrangements classified as other assets on the consolidated balance sheets.
	The Company expects the future amortization of intangibles held at September 30, 2013 to be as follows:
	Years Ending December 31,	Estimated
		Amortization
		Expense
	2013 (remaining 3 months)	$	2,227
	2014		9,020
	2015		8,969
	2016		8,266
	2017		7,905
	2018 and thereafter		15,539
	Total	$	51,926

Commitments_and_Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2013
Commitments and Contingencies.	'
Commitments and Contingencies	'
	Note 8—Commitments and Contingencies
	Indemnities, Commitments and Guarantees
	In the normal course of business, the Company makes certain indemnities, commitments and guarantees under which the Company may be required to make payments in relation to certain transactions. These indemnities, commitments and guarantees include, among others, intellectual property indemnities to customers in connection with the sale of products and licensing of technologies, indemnities for liabilities associated with the infringement of other parties' technology based upon the Company's products and technologies, guarantees of timely performance of the Company's obligations, and indemnities to the Company's directors and officers to the maximum extent permitted by law. The duration of these indemnities, commitments and guarantees varies, and in certain cases, is indefinite. The majority of these indemnities, commitments and guarantees do not provide for any limitation of the maximum potential future payments that the Company could be obligated to make. The Company has not recorded a liability for these indemnities, commitments or guarantees in the accompanying consolidated balance sheets, as future payment is currently not probable.
	Under existing service arrangements, the Company may be obligated to pay up to $7,545 over the next three years if certain milestones are achieved.
	As of September 30, 2013, the Company may have been required to pay up to an additional $10,000 in consideration subject to the achievement of certain revenue milestones over a three and a half year period from the date of the Phorus acquisition, pursuant to the Asset Purchase Agreement. The first revenue milestone at the end of the first anniversary was not achieved, and thus, a payment of additional consideration was not made. Contingent consideration of $3,000 could have been due and payable at the end of the second anniversary, and $4,000 could have been due and payable at the end of the third anniversary. The final six months of the three and a half year period allowed for a catch-up of any unpaid contingent consideration up to the aggregate total of $10,000. Subsequent to September 30, 2013, the Asset Purchase Agreement was amended to reduce the total potential consideration to $2,000, and the revenue milestones were reduced to reflect changes made by the Company in the business model. Under the amendment, contingent consideration of $500 could be due and payable at the end of 2013 and 2014, and $1,000 could be due and payable at the end of 2015. As an unrecognized subsequent event, the amendment was not reflected in the fair value measurement of contingent consideration as of September 30, 2013. Certain of the beneficial owners of Phorus prior to the acquisition are currently employed by the Company. For additional information, refer to Note 4, "Fair Value Measurements".

Income_Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2013
Income Taxes	'
Income Taxes	'
	Note 9—Income Taxes
	For the three months ended September 30, 2013, the Company recorded an income tax benefit of $83 on pre-tax income of $1,905, which resulted in an effective tax rate of (4)%. For the nine months ended September 30, 2013, the Company recorded an income tax provision of $2,279 on pre-tax income of $708, which resulted in an effective tax rate of 322%. For the three and nine months, the effective tax rate differed from the U.S. statutory rate of 35% primarily due to the change in the valuation allowance for federal deferred taxes, non-creditable foreign withholding taxes, and reserves for U.S. federal and state tax audits, partially offset by the net impact of varying foreign tax rates and research and development tax credits.
	As of September 30, 2013, the Company recorded a valuation allowance for the full amount of its federal deferred tax asset, as realization of the deferred tax asset is deemed uncertain. As a result, the Company has not recognized any federal income tax benefit in its consolidated statements of operations for the three and nine months ended September 30, 2013. Absent any tax planning strategies, the Company expects its overall effective tax rate to be subject to significant variability for the foreseeable future as any tax benefit related to future U.S. losses will be offset by the valuation allowance.
	As of September 30, 2013 and December 31, 2012, the Company's uncertain tax positions were $10,421 and $11,279, respectively, which were recorded in long-term deferred tax assets and other long-term liabilities. The net decrease of $858 was primarily due to a decrease in an uncertain tax position that we consider effectively settled, partially offset by increases in uncertain tax positions relating to the Company's transfer pricing with one of its foreign subsidiaries, research and development tax credits, and California income apportionment methodology. Due to a favorable settlement of an Internal Revenue Service ("IRS") audit issue for the taxable years 2003, 2005 and 2006, the Company recorded a decrease of $1,406 in unrecognized tax benefits. The IRS settlement did not impact the Company's effective tax rate due to the existence of a full valuation allowance for federal tax items. In addition, the Company believes its accruals for uncertain tax positions are adequate for all open years, based on the assessment of many factors including past experience and interpretations of tax law applied to the facts of each matter. Inherent uncertainties exist in estimating accruals for uncertain tax positions due to the progress of income tax audits and changes in tax law, both legislated and concluded through the various jurisdictions' tax court systems.
	The Company may, from time to time, be assessed interest or penalties by major tax jurisdictions, although any such assessments historically have been minimal and immaterial to the Company's financial statements. Interest expense and penalties related to income taxes are included in income tax expense.
	The Company, or one of its subsidiaries, files income tax returns in the U.S. and other foreign jurisdictions. With few exceptions, the Company is no longer subject to U.S. federal income tax examinations by tax authorities for the years prior to 2007. The IRS is examining the Company's 2007 and 2009 to 2011 federal income tax returns, including certain prior period carryforwards. In addition, the California Franchise Tax Board ("FTB") is conducting a state tax examination for the years 2004 to 2005 and 2009 to 2010. The Company disagrees with and has protested certain adjustments proposed by the FTB, and thus, has filed an appeal.
	Licensing revenue is recognized gross of withholding taxes that are remitted by the Company's licensees directly to their local tax authorities. For the three months ended September 30, 2013 and 2012, withholding taxes were $1,630 and $1,288, respectively. For the nine months ended September 30, 2013 and 2012, withholding taxes were $4,020 and $ 3,539, respectively.

Geographic_Information

Geographic Information	9 Months Ended
	Sep. 30, 2013
Geographic Information	'
Geographic Information	'
	Note 10—Geographic Information
	The Company's revenue by geographical area, based on the customer's country of domicile, was as follows:
		For the Three				For the Nine
		Months Ended				Months Ended
		September 30,				September 30,
		2013		2012		2013		2012
	United States	$	3,126	$	1,884	$	9,057	$	8,121
	International		25,033		20,351		79,018		62,753
	Total revenue	$	28,159	$	22,235	$	88,075	$	70,874
	The following table sets forth net long-lived tangible assets by geographic area:
		As of		As of
		September 30,		December 31,
		2013		2012
	United States	$	28,743	$	30,894
	International		2,266		2,431
	Total long-lived tangible assets, net	$	31,009	$	33,325

Net_Income_Loss_Per_Common_Sha

Net Income (Loss) Per Common Share	9 Months Ended
	Sep. 30, 2013
Net Income (Loss) Per Common Share	'
Net Income (Loss) Per Common Share	'
	Note 11—Net Income (Loss) Per Common Share
	Basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted net income per common share is calculated by dividing net income by the sum of the weighted average number of common shares outstanding plus the dilutive effect of unvested restricted stock, outstanding stock options and the employee stock purchase plan ("ESPP") using the treasury stock method. Due to the net loss for the nine months ended September 30, 2013, and for the three and nine months ended September 30, 2012, all potential common shares were excluded from the diluted shares outstanding for these periods.
	The following table sets forth the computation of basic and diluted net income (loss) per common share:
		For the Three					For the Nine
		Months Ended					Months Ended
		September 30,					September 30,
		2013		2012			2013			2012
	Basic net income (loss) per common share:
	Net income (loss)	$	1,988	$	(19,086	)	$	(1,571	)	$	(15,796	)
	Weighted average common shares outstanding		18,191		18,329			18,239			17,104
	Basic net income (loss) per common share	$	0.11	$	(1.04	)	$	(0.09	)	$	(0.92	)
	Diluted net income (loss) per common share:
	Net income (loss)	$	1,988	$	(19,086	)	$	(1,571	)	$	(15,796	)
	Weighted average shares outstanding		18,191		18,329			18,239			17,104
	Effect of dilutive securities:
	Common stock options		174		—			—			—
	Restricted stock		63		—			—			—
	ESPP		17		—			—			—
	Weighted average diluted shares outstanding		18,445		18,329			18,239			17,104
	Diluted net income (loss) per common share	$	0.11	$	(1.04	)	$	(0.09	)	$	(0.92	)
	Anti-dilutive shares excluded from the determination of diluted net income (loss) per share		2,738		3,282			3,714			2,498

Common_Stock_Repurchases

Common Stock Repurchases	9 Months Ended
	Sep. 30, 2013
Common Stock Repurchases	'
Common Stock Repurchases	'
	Note 12—Common Stock Repurchases
	In February 2012, the Company's Board of Directors authorized, subject to certain business and market conditions, the purchase of up to 2,000 shares of the Company's common stock in the open market or in privately negotiated transactions. As of September 30, 2013, the Company had repurchased 1,220 shares of common stock under this authorization for an aggregate of $22,950. All shares repurchased under this authorization were accounted for as treasury stock.

Related_Party_Transaction

Related Party Transaction	9 Months Ended
	Sep. 30, 2013
Related Party Transaction	'
Related Party Transaction	'
	Note 13—Related Party Transaction
	The Company leases the former offices of SRS in Santa Ana, California from Daimler Commerce Partners, L.P., the general partner of which is Conifer Investments, Inc. ("Conifer"). The sole shareholders of Conifer are Thomas C.K. Yuen, a former member of the Company's Board of Directors, and his spouse, Misako Yuen, as co-trustees of the Thomas Yuen Family Trust. Mr. and Mrs. Yuen also serve as the executive officers of Conifer. The Company believes the terms and conditions of these leases are competitive based on a review of similar properties in the area with similar terms and conditions. On July 18, 2013, Mr. Yuen resigned from the Board of Directors due to personal reasons. There was no disagreement between Mr. Yuen and the Company relative to his resignation. Rent expense for these offices was $17 and $193 for the three and nine months ended September 30, 2013, respectively, through July 18, 2013.

Significant_Accounting_Policie1

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2013
Significant Accounting Policies	'
Goodwill and Other Intangibles	'
	Goodwill and Other Intangibles
	The Company operates in one reportable and operating segment, but evaluates goodwill for impairment at the reporting unit level. Reporting units are identified based on the current organizational structure, availability of discrete financial information, and economic similarity of components under the Company's operating segment. During the annual strategic planning process in the third quarter of 2013, the Company changed the business model relating to Phorus resulting in the identification of the Phorus business as a separate reporting unit from the rest of the Company for the purpose of testing goodwill for impairment. Goodwill has been reassigned to each reporting unit using the relative fair value approach.
	The Company evaluates the carrying value of goodwill and non-amortizing intangibles for impairment on an annual basis on October 31 of each year, or more frequently if events or circumstances indicate that the goodwill and intangibles might be impaired. As a result of revised forecasts developed during the Company's annual strategic planning process in the third quarter of 2013 and lower than expected historical results, the Company concluded that there were indications of potential impairment of the goodwill and non-amortizing intangibles attributable to the Phorus reporting unit during the third quarter of 2013. Therefore, the Company performed an interim impairment test on the Phorus reporting unit.
	Impairment of non-amortizing intangibles is tested by estimating the fair value of the assets, and an impairment charge would be recorded to the extent that the carrying amount of such assets exceeds the estimated fair value. Evaluation of the recoverability of goodwill includes valuation of the underlying reporting unit using fair value techniques, which may include both income and market approaches. If the carrying value of the assets and liabilities, including goodwill, exceeds the estimated fair value of the reporting unit, the Company would record an impairment charge in an amount equal to the excess of the carrying value over the estimated fair value of the goodwill. Goodwill impairment is measured subsequent to the completion of any impairment of all other intangible and long-lived assets associated with the reporting unit.
	The Company's definite-lived intangibles principally consist of customer relationships, acquired technology and developed patents and trademarks, which are being amortized over their respective estimated useful lives. The Company reviews such assets for impairment whenever events or changes in circumstances indicate an asset's carrying value may not be recoverable. Factors considered include, but are not limited to, significant underperformance relative to expected historical or projected future operating results; significant changes in the manner of use of the acquired assets or projected future operating results; significant changes in the strategy of the overall business; and significant negative industry or economic trends. Recoverability of an intangible is measured by comparing its carrying amount to the expected future undiscounted cash flows that the asset is expected to generate. If it is determined that an asset is not recoverable, an impairment loss is recorded in the amount by which the carrying amount of the asset exceeds its fair value. Due to the aforementioned revised forecasts and lower than expected historical results, the Company tested definite-lived intangibles associated with the Phorus reporting unit for impairment in conjunction with the tests of potential impairment for goodwill and non-amortizing intangibles.
	If the Company is unable to finalize the results of impairment tests prior to the issuance of the financial statements and an impairment loss is probable and can be reasonably estimated, the Company recognizes its best estimate of the loss in the current period financial statements and discloses that the amount is an estimate. The Company would then recognize any adjustments to that estimate in subsequent reporting periods, once the results of the impairment tests have been finalized.
	For additional information refer to Note 7, "Goodwill and Intangibles".
Recent Accounting Pronouncement	'
	Recent Accounting Pronouncement
	In July 2013, the Financial Accounting Standards Board issued Accounting Standards Update ("ASU") 2013-11, "Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists." This standard provides guidance regarding when an unrecognized tax benefit should be classified as a reduction to a deferred tax asset or when it should be classified as a liability in the consolidated balance sheet. This ASU is effective prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2013. Early adoption and retrospective application is permitted. The Company is evaluating the potential impact of this adoption on its consolidated financial statements.

Cash_and_Investments_Tables

Cash and Investments (Tables)	9 Months Ended
	Sep. 30, 2013
Cash and Investments	'
Schedule of cash and investments	'
		As of		As of
		September 30,		December 31,
		2013		2012
	Cash and cash equivalents:
	Cash	$	16,716	$	17,433
	Money market accounts		56,870		40,398
	Total cash and cash equivalents	$	73,586	$	57,831
	Short-term investments:
	U.S. government and agency securities	$	2,542	$	10,025
	Certificates of deposit		—		4,189
	Total short-term investments	$	2,542	$	14,214
	Long-term investments:
	U.S. government and agency securities	$	5,002	$	5,000
	Total long-term investments	$	5,002	$	5,000
Schedule of contractual maturities of investments	'
	Due within one year	$	2,542
	Due after one year and through five years		5,002
	Total investments	$	7,544

Fair_Value_Measurements_Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2013
Fair Value Measurements	'
Schedule of financial assets and liabilities measured at fair value on a recurring basis	'
	Assets (Liabilities)	Total			Quoted		Significant		Significant
					Prices in		Other		Unobservable
					Active		Observable		Inputs
					Markets for		Inputs		(Level 3)
					Identical		(Level 2)
					Assets
					(Level 1)
	As of September 30, 2013
	U.S. government and agency securities	$	7,544		$	—	$	7,544	$	—
	Contingent consideration(1)	$	(2,200	)	$	—	$	—	$	(2,200	)
	As of December 31, 2012
	Certificates of deposit	$	4,189		$	—	$	4,189	$	—
	U.S. government and agency securities	$	15,025		$	—	$	15,025	$	—
	Contingent consideration(2)	$	(7,500	)	$	—	$	—	$	(7,500	)
	-1
	As of September 30, 2013, this liability was classified in other long-term liabilities on the consolidated balance sheet. For additional information, refer to Note 8, "Commitments and Contingencies".
	-2
	As of December 31, 2012, $2,200 and $5,300 were classified in accrued expenses and other long-term liabilities, respectively, on the consolidated balance sheet.
Summary of changes in the fair value of assets and liabilities measured on a recurring basis that used significant unobservable inputs (Level 3)	'
	Balance at December 31, 2012	$	(7,500	)
	Change in fair value of contingent consideration(1)		5,300
	Balance at September 30, 2013	$	(2,200	)
	-1
	This change is reflected within operating expenses in the consolidated statements of operations.

Property_and_Equipment_Tables

Property and Equipment (Tables)	9 Months Ended
	Sep. 30, 2013
Property and Equipment	'
Schedule of property and equipment	'
		As of			As of
		September 30,			December 31,
		2013			2012
	Land	$	6,600		$	6,600
	Building and improvements		21,433			21,342
	Machinery and equipment		5,095			4,629
	Office furniture and fixtures		7,454			6,824
	Leasehold improvements		4,327			4,030
	Software		6,679			6,568
			51,588			49,993
	Less: Accumulated depreciation		(20,579	)		(16,668	)
	Property and equipment, net	$	31,009		$	33,325

Business_Combination_Tables

Business Combination (Tables)	9 Months Ended
	Sep. 30, 2013
Business Combination	'
Schedule of final purchase price allocation, as adjusted	'
		Weighted Average				Estimated
		Estimated Useful				Fair Value
		Life (years)
	Cash and cash equivalents						23,298
	Short-term investments						8,529
	Accounts receivable						9,835
	Prepaid expenses and other current assets						1,628
	Income taxes receivable						200
	Property and equipment						1,027
	Goodwill						41,708
	Identifiable intangible assets:
	Customer relationships	8		44,540
	Developed technology	6		7,920
	Trademarks/tradenames	5		2,810
	IPR&D			1,180
	Total identifiable intangible assets						56,450
	Deferred tax assets						5,882
	Long-term investments						249
	Accounts payable						(476	)
	Accrued expenses						(2,279	)
	Deferred revenue						(506	)
	Deferred tax liabilities						(19,978	)
	Other long-term liabilities						(782	)
	Total purchase price					$	124,785
Schedule of acquisition and integration related costs	'
		For the Three					For the Nine
		Months Ended					Months Ended
		September 30,					September 30,
		2013		2012			2013		2012
	Selling, general and administrative	$	1,131	$	7,153		$	1,520	$	9,864
	Research and development		—		882			38		894
	Total acquisition and integration related costs	$	1,131	$	8,035		$	1,558	$	10,758

Goodwill_and_Intangibles_Table

Goodwill and Intangibles (Tables)	9 Months Ended
	Sep. 30, 2013
Goodwill and Intangibles	'
Schedule of the Company's acquired intangible and other intangible assets by category	'
				As of September 30, 2013									As of December 31, 2012
		Weighted
		Average
		Life
		(Years)		Gross			Accumulated			Net			Gross		Accumulated			Net
				Amount(1)			Amortization			Carrying			Amount		Amortization			Carrying
										Amount								Amount
	Existing technology	6		$	16,763		$	(7,643	)	$	9,120		$	17,918	$	(5,651	)	$	12,267
	Customer relationships	8			45,590			(7,364	)		38,226			45,590		(3,074	)		42,516
	Non-compete	2			384			(334	)		50			540		(131	)		409
	Tradename	5			3,000			(861	)		2,139			3,000		(440	)		2,560
	Patents	5			2,885			(906	)		1,979			2,170		(779	)		1,391
	Trademarks	10			698			(286	)		412			598		(251	)		347
	Total amortizable intangible assets				69,320			(17,394	)		51,926			69,816		(10,326	)		59,490
	IPR&D				370			—			370			1,910		—			1,910
	Total intangible assets			$	69,690		$	(17,394	)	$	52,296		$	71,726	$	(10,326	)	$	61,400
	-1
	Includes write-downs of $2,304 for existing technology, $156 for non-compete, and $360 for IPR&D, which are reflected within operating expenses in the consolidated statements of operations.
Summary of amortization of intangibles	'
		For the Three						For the Nine
		Months Ended						Months Ended
		September 30,						September 30,
		2013			2012			2013			2012
	Cost of revenue(1)	$	2,267		$	2,037		$	6,705		$	2,400
	Operating expenses		274			210			788			387
	Total amortization of intangible assets	$	2,541		$	2,247		$	7,493		$	2,787
	-1
	Includes amortization of $159 and $425 for the three and nine months ended September 30, 2013, respectively, associated with certain service arrangements classified as other assets on the consolidated balance sheets.
Schedule of expected future amortization of intangibles	'
	Years Ending December 31,	Estimated
		Amortization
		Expense
	2013 (remaining 3 months)	$	2,227
	2014		9,020
	2015		8,969
	2016		8,266
	2017		7,905
	2018 and thereafter		15,539
	Total	$	51,926

Geographic_Information_Tables

Geographic Information (Tables)	9 Months Ended
	Sep. 30, 2013
Geographic Information	'
Schedule of revenue by geographical area, based on the customer's country of domicile	'
		For the Three				For the Nine
		Months Ended				Months Ended
		September 30,				September 30,
		2013		2012		2013		2012
	United States	$	3,126	$	1,884	$	9,057	$	8,121
	International		25,033		20,351		79,018		62,753
	Total revenue	$	28,159	$	22,235	$	88,075	$	70,874
Schedule of net long-lived tangible assets by geographic area	'
		As of		As of
		September 30,		December 31,
		2013		2012
	United States	$	28,743	$	30,894
	International		2,266		2,431
	Total long-lived tangible assets, net	$	31,009	$	33,325

Net_Income_Loss_Per_Common_Sha1

Net Income (Loss) Per Common Share (Tables)	9 Months Ended
	Sep. 30, 2013
Net Income (Loss) Per Common Share	'
Computation of basic and diluted net income (loss) per common share	'
		For the Three					For the Nine
		Months Ended					Months Ended
		September 30,					September 30,
		2013		2012			2013			2012
	Basic net income (loss) per common share:
	Net income (loss)	$	1,988	$	(19,086	)	$	(1,571	)	$	(15,796	)
	Weighted average common shares outstanding		18,191		18,329			18,239			17,104
	Basic net income (loss) per common share	$	0.11	$	(1.04	)	$	(0.09	)	$	(0.92	)
	Diluted net income (loss) per common share:
	Net income (loss)	$	1,988	$	(19,086	)	$	(1,571	)	$	(15,796	)
	Weighted average shares outstanding		18,191		18,329			18,239			17,104
	Effect of dilutive securities:
	Common stock options		174		—			—			—
	Restricted stock		63		—			—			—
	ESPP		17		—			—			—
	Weighted average diluted shares outstanding		18,445		18,329			18,239			17,104
	Diluted net income (loss) per common share	$	0.11	$	(1.04	)	$	(0.09	)	$	(0.92	)
	Anti-dilutive shares excluded from the determination of diluted net income (loss) per share		2,738		3,282			3,714			2,498

Significant_Accounting_Policie2

Significant Accounting Policies (Details)	9 Months Ended
	Sep. 30, 2013
	item
Significant Accounting Policies	'
Number of reportable segments	1
Number of operating segments	1

Cash_and_Investments_Details

Cash and Investments (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Cash and Investments	'	'
Cash equivalents	$73,586	$57,831
Total short-term investments	2,542	14,214
Total long-term investments	5,002	5,000
Available-for-sale securities:	'	'
Due within one year	2,542	'
Due after one year and through five years	5,002	'
Total investments	7,544	'
Cash	'	'
Cash and Investments	'	'
Cash	16,716	17,433
Money market accounts	'	'
Cash and Investments	'	'
Cash	56,870	40,398
Available-for-sale securities: | U.S. government and agency securities	'	'
Cash and Investments	'	'
Total short-term investments	2,542	10,025
Total long-term investments	5,002	5,000
Available-for-sale securities: | Certificates of deposit	'	'
Cash and Investments	'	'
Total short-term investments	'	$4,189

Fair_Value_Measurements_Detail

Fair Value Measurements (Details) (USD $)	3 Months Ended	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2013	Dec. 31, 2012
		item
Fair Value Measurements	'	'	'
Number of scenarios followed to determine fair value of contingent consideration	'	2	'
Fair Value Measurements	'	'	'
Period of revenue milestones	'	'3 years 6 months	'
Gain recognized on change in fair value of contingent consideration	$5,300	$5,300	'
Amount of contingent consideration classified in accrued expenses	'	'	2,200
Amount of contingent consideration classified in other long-term liabilities	'	'	5,300
Phorus	'	'	'
Fair Value Measurements	'	'	'
Discount rate, scenario one (as a percent)	'	4.00%	'
Discount rate, scenario two (as a percent)	'	15.00%	'
Discount rate (as a percent)	'	30.00%	'
Contingent consideration	2,200	2,200	'
Changes in the fair value of items measured on a recurring basis that used significant unobservable inputs (Level 3)	'	'	'
Change in fair value of contingent consideration	'	5,300	'
Recurring basis | Total	'	'	'
Fair Value Measurements	'	'	'
Contingent consideration	-2,200	-2,200	-7,500
Recurring basis | Total | Certificates of deposit	'	'	'
Fair Value Measurements	'	'	'
Available-for-sale securities	'	'	4,189
Recurring basis | Total | U.S. government and agency securities	'	'	'
Fair Value Measurements	'	'	'
Available-for-sale securities	7,544	7,544	15,025
Recurring basis | Significant Other Observable Inputs (Level 2) | Certificates of deposit	'	'	'
Fair Value Measurements	'	'	'
Available-for-sale securities	'	'	4,189
Recurring basis | Significant Other Observable Inputs (Level 2) | U.S. government and agency securities	'	'	'
Fair Value Measurements	'	'	'
Available-for-sale securities	7,544	7,544	15,025
Recurring basis | Significant Unobservable Inputs (Level 3)	'	'	'
Fair Value Measurements	'	'	'
Contingent consideration	-2,200	-2,200	-7,500
Changes in the fair value of items measured on a recurring basis that used significant unobservable inputs (Level 3)	'	'	'
Balance at the beginning of the period	'	-7,500	'
Change in fair value of contingent consideration	'	5,300	'
Balance at the end of the period	($2,200)	($2,200)	'

Property_and_Equipment_Details

Property and Equipment (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Property and equipment	'	'
Property and equipment, gross	$51,588	$49,993
Less: Accumulated depreciation	-20,579	-16,668
Property and equipment, net	31,009	33,325
Land	'	'
Property and equipment	'	'
Property and equipment, gross	6,600	6,600
Building and improvements	'	'
Property and equipment	'	'
Property and equipment, gross	21,433	21,342
Machinery and equipment	'	'
Property and equipment	'	'
Property and equipment, gross	5,095	4,629
Office furniture and fixtures	'	'
Property and equipment	'	'
Property and equipment, gross	7,454	6,824
Leasehold improvements	'	'
Property and equipment	'	'
Property and equipment, gross	4,327	4,030
Software	'	'
Property and equipment	'	'
Property and equipment, gross	$6,679	$6,568

Business_Combination_Details

Business Combination (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2013	Sep. 30, 2013	Sep. 30, 2013	Sep. 30, 2013	Sep. 30, 2013
In Thousands, unless otherwise specified			SRS	SRS	SRS	SRS	SRS
				IPR&D	Customer relationships	Developed technology	Trademarks/tradenames
Estimated Fair Value of final purchase price allocation	'	'	'	'	'	'	'
Cash and cash equivalents	'	'	$23,298	'	'	'	'
Short-term investments	'	'	8,529	'	'	'	'
Accounts receivable	'	'	9,835	'	'	'	'
Prepaid expenses and other current assets	'	'	1,628	'	'	'	'
Income taxes receivable	'	'	200	'	'	'	'
Property and equipment	'	'	1,027	'	'	'	'
Goodwill	48,418	48,418	41,708	'	'	'	'
Total identifiable intangible assets	'	'	56,450	1,180	44,540	7,920	2,810
Deferred tax assets	'	'	5,882	'	'	'	'
Long-term investments	'	'	249	'	'	'	'
Accounts payable	'	'	-476	'	'	'	'
Accrued expenses	'	'	-2,279	'	'	'	'
Deferred revenue	'	'	-506	'	'	'	'
Deferred tax liabilities	'	'	-19,978	'	'	'	'
Other long-term liabilities	'	'	-782	'	'	'	'
Total purchase price	'	'	$124,785	'	'	'	'
Weighted Average Estimated Useful Life	'	'	'	'	'8 years	'6 years	'5 years

Business_Combination_Details_2

Business Combination (Details 2) (USD $)

Sep. 30, 2013

Dec. 31, 2012

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

In Thousands, unless otherwise specified

SRS

SRS

SRS

SRS

SRS

SRS

SRS

SRS

SRS

SRS

SRS

SRS

Selling, general and administrative

Selling, general and administrative

Selling, general and administrative

Selling, general and administrative

Research and development

Research and development

Research and development

Measurement period adjustments

Business Combinations

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Increase in accounts receivable

'

'

$9,835

'

$9,835

'

'

'

'

'

'

'

'

$2,550

Increase in prepaid expenses and other current assets

'

'

1,628

'

1,628

'

'

'

'

'

'

'

'

303

Decrease in goodwill

48,418

48,418

41,708

'

41,708

'

'

'

'

'

'

'

'

-2,896

Decrease in long-term deferred income taxes

'

'

19,978

'

19,978

'

'

'

'

'

'

'

'

-25

Increase in accounts payable

'

'

476

'

476

'

'

'

'

'

'

'

'

25

Decrease in accrued expenses

'

'

2,279

'

2,279

'

'

'

'

'

'

'

'

-93

Additional information

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Total acquisition and integration related costs

'

'

$1,131

$8,035

$1,558

$10,758

$1,131

$7,153

$1,520

$9,864

$882

$38

$894

'

Goodwill_and_Intangibles_Detai

Goodwill and Intangibles (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Provisional impairment charge for in-process research and development (IPR&D)	'	'	$360	'	'
Gross Amount	69,320	'	69,320	'	69,816
Accumulated Amortization	-17,394	'	-17,394	'	-10,326
Net Carrying Amount	51,926	'	51,926	'	59,490
IPR&D-Gross and Net	370	'	370	'	1,910
Gross amount of total intangible assets	69,690	'	69,690	'	71,726
Intangible assets, net	52,296	'	52,296	'	61,400
Total amortization of intangible assets	2,541	2,247	7,493	2,787	'
Future amortization of intangibles	'	'	'	'	'
2013 (remaining 3 months)	2,227	'	2,227	'	'
2014	9,020	'	9,020	'	'
2015	8,969	'	8,969	'	'
2016	8,266	'	8,266	'	'
2017	7,905	'	7,905	'	'
2018 and thereafter	15,539	'	15,539	'	'
Net Carrying Amount	51,926	'	51,926	'	59,490
Phorus	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Provisional impairment loss	'	'	2,460	'	'
Provisional impairment charge for in-process research and development (IPR&D)	'	'	360	'	'
Existing technology	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Provisional impairment loss	'	'	2,304	'	'
Weighted Average Life	'	'	'6 years	'	'
Gross Amount	16,763	'	16,763	'	17,918
Accumulated Amortization	-7,643	'	-7,643	'	-5,651
Net Carrying Amount	9,120	'	9,120	'	12,267
Future amortization of intangibles	'	'	'	'	'
Net Carrying Amount	9,120	'	9,120	'	12,267
Existing technology | Phorus	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Provisional impairment loss	'	'	2,304	'	'
Customer relationships	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Weighted Average Life	'	'	'8 years	'	'
Gross Amount	45,590	'	45,590	'	45,590
Accumulated Amortization	-7,364	'	-7,364	'	-3,074
Net Carrying Amount	38,226	'	38,226	'	42,516
Future amortization of intangibles	'	'	'	'	'
Net Carrying Amount	38,226	'	38,226	'	42,516
Non-compete	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Provisional impairment loss	'	'	156	'	'
Weighted Average Life	'	'	'2 years	'	'
Gross Amount	384	'	384	'	540
Accumulated Amortization	-334	'	-334	'	-131
Net Carrying Amount	50	'	50	'	409
Future amortization of intangibles	'	'	'	'	'
Net Carrying Amount	50	'	50	'	409
Non-compete | Phorus	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Provisional impairment loss	'	'	156	'	'
Tradenames	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Weighted Average Life	'	'	'5 years	'	'
Gross Amount	3,000	'	3,000	'	3,000
Accumulated Amortization	-861	'	-861	'	-440
Net Carrying Amount	2,139	'	2,139	'	2,560
Future amortization of intangibles	'	'	'	'	'
Net Carrying Amount	2,139	'	2,139	'	2,560
Patents	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Weighted Average Life	'	'	'5 years	'	'
Gross Amount	2,885	'	2,885	'	2,170
Accumulated Amortization	-906	'	-906	'	-779
Net Carrying Amount	1,979	'	1,979	'	1,391
Future amortization of intangibles	'	'	'	'	'
Net Carrying Amount	1,979	'	1,979	'	1,391
Trademarks	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Weighted Average Life	'	'	'10 years	'	'
Gross Amount	698	'	698	'	598
Accumulated Amortization	-286	'	-286	'	-251
Net Carrying Amount	412	'	412	'	347
Future amortization of intangibles	'	'	'	'	'
Net Carrying Amount	412	'	412	'	347
Cost of revenue	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Total amortization of intangible assets	2,267	2,037	6,705	2,400	'
Amortization associated with certain service arrangements	159	'	425	'	'
Operating expenses	'	'	'	'	'
Summary of acquired intangible and other intangible assets by category	'	'	'	'	'
Total amortization of intangible assets	$274	$210	$788	$387	'

Commitments_and_Contingencies_

Commitments and Contingencies (Details) (USD $)	9 Months Ended			9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2013	Oct. 01, 2013	Sep. 30, 2013
	Service Agreement	Phorus	Phorus	Phorus
			Subsequent event	Forecast
Commitments and Contingencies	'	'	'	'
Additional consideration payable subject to the achievement of certain milestones	$7,545	'	'	'
Additional consideration payable subject to the achievement of certain milestones	'	10,000	2,000	'
Period for the payment of additional consideration subject to the achievement of certain milestones	'3 years	'3 years 6 months	'	'
Contingent consideration due and payable at the end of second anniversary	'	'	'	3,000
Contingent consideration due and payable at the end of third anniversary	'	'	'	4,000
Period for catch-up of any unpaid contingent consideration	'	'	'	'6 months
Contingent consideration due and payable at the end of 2013	'	'	'	500
Contingent consideration due and payable at the end of 2014	'	'	'	500
Contingent consideration due and payable at the end of 2015	'	'	'	$1,000

Income_Taxes_Details

Income Taxes (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Income Taxes	'	'	'	'	'
Income tax provision (benefit)	($83)	$6,288	$2,279	$9,884	'
Pre-tax income	-1,905	12,798	-708	5,912	'
Effective tax rate (as a percent)	-4.00%	'	322.00%	'	'
U.S. statutory rate (as a percent)	35.00%	'	35.00%	'	'
Uncertain tax positions recorded in long-term deferred tax assets and other long-term liabilities	10,421	'	10,421	'	11,279
The net decrease, due to decrease in uncertain tax positions as a result of favorable tax audit settlements	'	'	858	'	'
Decrease in unrecognized tax benefits due to a favorable settlement of an Internal Revenue Service (IRS) audit issue for the taxable years 2003, 2005 and 2006	'	'	1,406	'	'
Withholding taxes	$1,630	$1,288	$4,020	$3,539	'

Geographic_Information_Details

Geographic Information (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Geographic information	'	'	'	'	'
Revenue	$28,159	$22,235	$88,075	$70,874	'
Long-lived tangible assets, net	31,009	'	31,009	'	33,325
United States	'	'	'	'	'
Geographic information	'	'	'	'	'
Revenue	3,126	1,884	9,057	8,121	'
Long-lived tangible assets, net	28,743	'	28,743	'	30,894
International	'	'	'	'	'
Geographic information	'	'	'	'	'
Revenue	25,033	20,351	79,018	62,753	'
Long-lived tangible assets, net	$2,266	'	$2,266	'	$2,431

Net_Income_Loss_Per_Common_Sha2

Net Income (Loss) Per Common Share (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Basic net income (loss) per common share:	'	'	'	'
Net income (loss)	$1,988	($19,086)	($1,571)	($15,796)
Weighted average common shares outstanding	18,191	18,329	18,239	17,104
Basic net income (loss) per common share (in dollars per share)	$0.11	($1.04)	($0.09)	($0.92)
Diluted net income (loss) per common share:	'	'	'	'
Net income (loss)	$1,988	($19,086)	($1,571)	($15,796)
Weighted average common shares outstanding	18,191	18,329	18,239	17,104
Weighted average diluted shares outstanding	18,445	18,329	18,239	17,104
Diluted net income (loss) per common share (in dollars per share)	$0.11	($1.04)	($0.09)	($0.92)
Anti-dilutive shares excluded from the determination of diluted net income (loss) per share	2,738	3,282	3,714	2,498
Stock Options	'	'	'	'
Weighted Average Common Shares Outstanding (Denominator)	'	'	'	'
Effect on weighted average common shares outstanding from dilutive securities	174	'	'	'
Restricted stock	'	'	'	'
Weighted Average Common Shares Outstanding (Denominator)	'	'	'	'
Effect on weighted average common shares outstanding from dilutive securities	63	'	'	'
ESPP	'	'	'	'
Weighted Average Common Shares Outstanding (Denominator)	'	'	'	'
Effect on weighted average common shares outstanding from dilutive securities	17	'	'	'

Common_Stock_Repurchases_Detai

Common Stock Repurchases (Details) (USD $)	20 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Feb. 22, 2012
Common Stock Repurchases	'	'
Number of shares of common stock authorized to be repurchased	'	2,000
Shares of common stock repurchased	1,220	'
Aggregate value of shares repurchased	$22,950	'

Related_Party_Transaction_Deta

Related Party Transaction (Details) (Daimler Commerce Partners, L.P., USD $)	3 Months Ended	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2013
Daimler Commerce Partners, L.P.	'	'
Related Party Transaction	'	'
Related party rent expense	$17	$193