Neophotonics (NPTN) 10-K 16 Mar 17 2016 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2016	Feb. 28, 2017	Jun. 30, 2016
Document Document And Entity Information [Abstract]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	FY
Trading Symbol	NPTN
Entity Registrant Name	NEOPHOTONICS CORP
Entity Central Index Key	1,227,025
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		42,641,534
Entity Public Float			$ 293,330,000

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 82,500	$ 76,088
Short-term investments	19,015	23,294
Restricted cash	4,085	2,660
Accounts receivable, net of allowance for doubtful accounts	80,610	83,161
Inventories	48,237	65,602
Asset held for sale	13,953
Prepaid expenses and other current assets	22,396	12,393
Total current assets	270,796	263,198
Property, plant and equipment, net	106,867	62,618
Purchased intangible assets, net	5,562	9,852
Goodwill	1,115	1,115
Other long-term assets	6,547	5,095
Total assets	390,887	341,878
Current liabilities:
Accounts payable	84,766	50,620
Notes payable and short-term borrowing	30,190	32,657
Current portion of long-term debt	747	760
Accrued and other current liabilities	30,625	27,950
Total current liabilities	146,328	111,987
Long-term debt, net of current portion	10,215	10,759
Other noncurrent liabilities	8,939	7,476
Total liabilities	165,482	130,222
Commitments and contingencies (Note 12)
Stockholders' equity:
Preferred stock, $0.0025 par value, 10,000 shares authorized, no shares issued or outstanding
Common stock, $0.0025 par value, 100,000 shares authorized At December 31, 2016, 42,526 shares issued and outstanding; at December 31, 2015, 40,986 shares issued and outstanding	106	102
Additional paid-in capital	532,378	511,750
Accumulated other comprehensive loss	(8,401)	(1,723)
Accumulated deficit	(298,678)	(298,473)
Total stockholders' equity	225,405	211,656
Total liabilities and stockholders' equity	$ 390,887	$ 341,878

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands	Dec. 31, 2016	Dec. 31, 2015
Statement Of Financial Position [Abstract]
Preferred stock, par value	$ 0.0025	$ 0.0025
Preferred stock, shares authorized	10,000	10,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.0025	$ 0.0025
Common stock, shares authorized	100,000	100,000
Common stock, shares issued	42,526	40,986
Common stock, shares outstanding	42,526	40,986

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Statement [Abstract]
Revenue	$ 411,423	$ 339,439	$ 306,177
Cost of goods sold	294,290	240,358	235,059
Gross profit	117,133	99,081	71,118
Operating expenses:
Research and development	57,376	44,533	45,959
Sales and marketing	18,595	15,823	13,725
General and administrative	34,409	31,635	31,570
Amortization of purchased intangible assets	1,609	1,791	1,502
Acquisition-related costs	2,125	934	615
Restructuring charges		44	662
Asset impairment charge		368	1,130
Escrow settlement gain			(4,913)
Total operating expenses	114,114	95,128	90,250
Income (loss) from operations	3,019	3,953	(19,132)
Interest income	303	121	189
Interest expense	(402)	(1,243)	(1,269)
Other income, net	472	3,941	3,012
Total interest and other income, net	373	2,819	1,932
Income (loss) before income taxes	3,392	6,772	(17,200)
Provision for income taxes	(3,597)	(3,104)	(2,519)
Net income (loss)	$ (205)	$ 3,668	$ (19,719)
Basic net income (loss) per share	$ 0	$ 0.10	$ (0.61)
Diluted net income (loss) per share	$ 0	$ 0.09	$ (0.61)
Weighted average shares used to compute basic net income (loss) per share	41,798	37,421	32,109
Weighted average shares used to compute diluted net income (loss) per share	41,798	38,686	32,109

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Statement Of Income And Comprehensive Income [Abstract]
Net income (loss)	$ (205)	$ 3,668	$ (19,719)
Other comprehensive loss:
Foreign currency translation adjustments net of zero tax	(6,640)	(6,987)	(6,411)
Unrealized gains (losses) on available-for-sale securities, net of zero tax	10	(35)	3
Defined benefit pension plans:
Loss arising during the period	(72)	(40)	(113)
Curtailments, settlements and other			191
Tax	24	13	(31)
Total other comprehensive loss	(6,678)	(7,049)	(6,361)
Comprehensive loss	$ (6,883)	$ (3,381)	$ (26,080)

Consolidated Statements of Com6

Consolidated Statements of Comprehensive Loss (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Statement Of Income And Comprehensive Income [Abstract]
Foreign currency translation adjustments, tax	$ 0	$ 0	$ 0
Unrealized gains (losses) on available-for-sale securities, tax	$ 0	$ 0	$ 0

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Common Stock [Member]	Additional paid-in capital [Member]	Accumulated other comprehensive income (loss) [Member]	Accumulated deficit [Member]	Total
Balances at Dec. 31, 2013	$ 79	$ 447,467	$ 11,687	$ (282,422)	$ 176,811
Balances (in shares) at Dec. 31, 2013	31,572,000
Comprehensive loss			(6,361)	(19,719)	(26,080)
Issuance of common stock upon exercise of stock options	$ 1	738			739
Issuance of common stock upon exercise of stock options (in shares)	174,000
Issuance of common stock under employee stock purchase plan	$ 1	1,833			1,834
Issuance of common stock under employee stock purchase plan (in shares)	591,000
Issuance of common stock for vested restricted stock units	$ 1	(1)
Issuance of common stock for vested restricted stock units (in shares)	524,000
Tax withholding related to vesting of restricted stock units		(387)			(387)
Tax withholding related to vesting of restricted stock units (in shares)	(109,000)
Stock-based compensation costs		6,539			6,539
Balances at Dec. 31, 2014	$ 82	456,189	5,326	(302,141)	159,456
Balances (iin shares) at Dec. 31, 2014	32,752,000
Comprehensive loss			(7,049)	3,668	(3,381)
Issuance of common stock from public stock offering, net of discount and offering costs	$ 17	45,621			$ 45,638
Issuance of common stock from public stock offering, net of discount and offering costs (in shares)	6,867,000				6,866,689
Issuance of common stock upon exercise of stock options	$ 1	1,177			$ 1,178
Issuance of common stock upon exercise of stock options (in shares)	304,000				895,655
Issuance of common stock under employee stock purchase plan	$ 1	1,538			$ 1,539
Issuance of common stock under employee stock purchase plan (in shares)	600,000
Issuance of common stock for vested restricted stock units	$ 1	(1)
Issuance of common stock for vested restricted stock units (in shares)	558,000
Tax withholding related to vesting of restricted stock units		(727)			(727)
Tax withholding related to vesting of restricted stock units (in shares)	(95,000)
Stock-based compensation costs		7,953			7,953
Balances at Dec. 31, 2015	$ 102	511,750	(1,723)	(298,473)	211,656
Balances (iin shares) at Dec. 31, 2015	40,986,000
Comprehensive loss			(6,678)	(205)	(6,883)
Issuance of common stock upon exercise of stock options	$ 3	3,668			3,671
Issuance of common stock upon exercise of stock options (in shares)	1,013,000
Issuance of common stock under employee stock purchase plan	$ 1	2,778			2,779
Issuance of common stock under employee stock purchase plan (in shares)	351,000
Issuance of common stock for vested restricted stock units (in shares)	226,000
Tax withholding related to vesting of restricted stock units		(615)			(615)
Tax withholding related to vesting of restricted stock units (in shares)	(50,000)
Stock-based compensation costs		14,797			14,797
Balances at Dec. 31, 2016	$ 106	$ 532,378	$ (8,401)	$ (298,678)	$ 225,405
Balances (iin shares) at Dec. 31, 2016	42,526,000

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Cash flows from operating activities
Net income (loss)	$ (205)	$ 3,668	$ (19,719)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization	22,400	22,875	23,403
Stock-based compensation expense	17,076	7,763	6,841
Deferred taxes	(668)	(641)	1,175
Amortization of investment, debt and other	159	296	86
Loss on disposal of property and equipment	185	394	162
Loss on foreign currency hedges	1,640
Allowance for doubtful accounts	(382)	640	(266)
Write-down of inventories	2,983	6,486	1,517
Foreign currency remeasurement and other, net	(2,661)	(2,992)	(2,343)
Asset impairment charges		368	1,130
Adjustment to fair value of Rusnano payment derivative		(141)	291
Change in assets and liabilities, net of effects of acquisitions:
Accounts receivable	2,496	2,529	(13,269)
Inventories	(1,332)	(14,899)	4,990
Prepaid expenses and other assets	(11,184)	(1,691)	(5,912)
Accounts payable	23,111	(4,692)	979
Accrued and other liabilities	218	6,175	484
Net cash provided by (used in) operating activities	53,836	26,138	(451)
Cash flows from investing activities
Purchase of property, plant and equipment	(51,693)	(16,837)	(11,027)
Proceeds from sale of property, plant and equipment and other assets	179	245	9
Purchase of marketable securities	(82,728)	(37,130)	(9,662)
Proceeds from sale of marketable securities	63,841	18,103	9,634
Proceeds from maturity of marketable securities	23,148	4,000	9,448
Change in restricted cash	(618)	10,135	(10,847)
Settlement of foreign currency hedges	(1,599)
Acquisition of business, net		(422)	(1,500)
Net cash used in investing activities	(49,470)	(21,906)	(13,945)
Cash flows from financing activities
Proceeds from exercise of stock options and issuance of stock under ESPP	6,587	2,717	2,571
Tax withholding on restricted stock units	(615)	(727)	(387)
Proceeds from (payments for) public stock offering, net of offering costs	(164)	45,648	(10)
Proceeds from bank loans	95,200	80,256	18,089
Repayment of bank and acquisition-related loans	(96,119)	(94,032)	(18,423)
Proceeds from issuance of notes payable	16,032	21,259	25,264
Repayment of notes payable	(18,007)	(25,498)	(22,090)
Proceeds from government grants	602
Payment of acquisition-related contingent consideration			(1,985)
Net cash provided by financing activities	3,516	29,623	3,029
Effect of exchange rates on cash and cash equivalents	(1,470)	(802)	(2,699)
Net increase (decrease) in cash and cash equivalents	6,412	33,053	(14,066)
Cash and cash equivalents at the beginning of the period	76,088	43,035	57,101
Cash and cash equivalents at the end of the period	82,500	76,088	43,035
Supplemental disclosure of cash flow information:
Cash paid for interest	263	878	1,176
Cash paid for income taxes	2,215	264	3,919
Supplemental disclosure of noncash investing and financing activities:
Receipt of restricted cash related to asset purchase agreement	1,039
Unpaid deferred offering costs	117		364
Changes in unpaid property, plant and equipment	$ (13,629)	(396)	(746)
Modification of bank loan with Comerica		15,786
Issuance of note to seller of acquired business		15,482
Transfer of restricted investments to short-term investments		$ 8,296
Transfer of short-term investments to restricted investments			$ 8,297

The Company and basis of presen

The Company and basis of presentation	12 Months Ended
	Dec. 31, 2016
The Company and basis of presentation
The Company and basis of presentation	NEOPHOTONICS CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 1. The Company and basis of presentation Business and organization NeoPhotonics Corporation and its subsidiaries (NeoPhotonics or the Company) develops, manufactures and sells optoelectronic products that transmit, receive and switch high speed digital optical signals for communications networks. The Company sells its products worldwide, primarily to leading network equipment manufacturers. Certain Significant Risks and Uncertainties The Company operates in a dynamic industry and, accordingly, can be affected by a variety of factors. For example, any of the following areas could have a negative effect on the Company in terms of its future financial position, results of operations or cash flows: the general state of the U.S. and world economies, the highly cyclical nature of the industries the Company serves; the loss of any of a small number of its larger customers; ability to obtain additional financing; inability to meet certain debt covenants; failure to successfully integrate completed acquisitions; fundamental changes in the technology underlying the Company’s products; the hiring, training and retention of key employees; successful and timely completion of product design efforts; and new product design introductions by competitors. Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. Intercompany accounts and transactions have been eliminated in consolidation.

Summary of significant accounti

Summary of significant accounting policies	12 Months Ended
	Dec. 31, 2016
Summary of significant accounting policies
Summary of significant accounting policies	2. Summary of significant accounting policies Use of estimates The preparation of financial statements in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported revenue and expenses during the reporting period. Significant estimates made by management include: the useful lives of property, plant and equipment and intangible assets as well as future cash flows to be generated by those assets; fair values of identifiable assets acquired and liabilities assumed in business combinations; allowances for doubtful accounts; valuation allowances for deferred tax assets; write off of excess and obsolete inventories; the valuation of the Rusnano payment derivative and the valuations and recognition of stock-based compensation, among others. Actual results could differ from these estimates. Concentration of credit risk and significant customers Financial instruments that potentially subject the Company to concentrations of credit risk are primarily cash and cash equivalents and trade accounts receivable. The Company’s investment policy requires cash and cash equivalents to be placed with high-credit quality institutions and limits on the amount of credit risk from any one issuer. The Company performs ongoing credit evaluations of its customers’ financial condition whenever deemed necessary and generally does not require collateral. The Company maintains an allowance for doubtful accounts based upon the expected collectability of all accounts receivable, which takes into consideration an analysis of historical bad debts, specific customer creditworthiness and current economic trends. For the year ended December 31, 2016, two customers accounted for 50% and 15% of the Company’s total revenue. For the year ended December 31, 2015, two customers accounted for 44% and 21% of the Company’s total revenue. For the year ended December 31, 2014, three customers accounted for 38%, 15% and 10% of the Company’s total revenue. The percentage of revenue from top ten customers was 91%, 91% and 88% for the years ended December 31, 2016, 2015 and 2014, respectively. As of December 31, 2016, three customers accounted for approximately 42%, 12% and 12%, respectively, of the Company’s total accounts receivable. As of December 31, 2015, one customer accounted for 59% of the Company’s total accounts receivable. Restricted cash As a condition of the notes payable lending arrangements and the line of credit facilities, the Company is required to keep a compensating balance at the issuing banks. In addition, the Company also maintained restricted cash in connection with the asset purchase agreement executed in December 2016, see Note 8. These balances have been excluded from the Company’s cash and cash equivalents balance and are classified as restricted cash in the Company’s consolidated balance sheets. As of December 31, 2016 and 2015, the amount of restricted cash was $4.1 million and $2.7 million, respectively. Cash, cash equivalents and investments Highly liquid investments with a maturity of 90 days or less at the date of purchase are considered cash equivalents, with the exception of money market funds and commercial paper which are classified as short-term investments. Marketable securities are reported at fair value and are classified as available-for-sale investments in our current assets because they represent investments of cash available for current operations and for strategic reasons. As a result, the Company recorded all its marketable securities in short-term investments regardless of the contractual maturity date of the securities. The Company regularly reviews its investment portfolio to identify and evaluate investments that have indications of possible impairment. Factors considered in determining whether a loss is other-than-temporary include: the length of time and extent to which the fair market value has been lower than the cost basis, the financial condition and near-term prospects of the investee, credit quality, likelihood of recovery, and the Company’s ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in fair market value. Unrealized gains and losses, net of tax, are included in accumulated other comprehensive loss as a separate component of stockholders’ equity on the consolidated balance sheets. The amortization of premiums and discounts on the investments, and realized gains and losses on available-for-sale securities are included in other income, net in the consolidated statements of operations. The Company uses the specific-identification method to determine cost in calculating realized gains and losses upon the sale of its marketable securities. Fair Value Measurements Fair value is defined as the price at which an asset could be exchanged in a current transaction between knowledgeable, willing parties. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor, not the amount that would be paid to settle the liability with the creditor. Where available, fair value is based on observable market prices or parameters or derived from such prices or parameters. Where observable prices or inputs are not available, valuation models are applied. These valuation techniques involve some level of management estimation and judgment, the degree of which is dependent on the price transparency for the instruments or market and the instruments’ complexity. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The authoritative accounting guidance describes a fair value hierarchy based on three levels of inputs that may be used to measure fair value, of which the first two are considered observable and the last is considered unobservable. These levels of inputs are as follows: Level 1—Observable inputs such as unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2—Inputs (other than quoted prices included in Level 1) are either directly or indirectly observable for the asset or liability. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3—Unobservable inputs that reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model. For marketable securities measured at fair value using Level 2 inputs, we review trading activity and pricing for these investments as of the measurement date. When sufficient quoted pricing for identical securities is not available, we use market pricing and other observable market inputs for similar securities obtained from various third party data providers. These inputs either represent quoted prices for similar assets in active markets or have been derived from observable market data. Accounts receivable Accounts receivable include trade receivables and notes receivable from customers. The notes are generally due within six months. The Company receives notes receivable in exchange for accounts receivable from certain customers in China that are secured by the customer’s affiliated financial institution. An allowance for doubtful accounts is calculated based on the aging of the Company’s trade receivables, historical experience, and management judgment. The Company writes off trade receivables against the allowance when management determines a balance is uncollectible and is no longer actively pursuing collection of the receivable. Inventories Inventories consist of on-hand raw materials, work-in-progress inventories and finished goods. Raw materials and work-in-progress inventories are stored mainly on the Company’s premises. Finished goods are stored on the Company’s premises as well as on consignment at certain customer sites. Inventories are stated at the lower of standard cost, which approximates actual cost determined on the weighted average basis, or market value. Inventories are recorded using the first-in, first-out method. The Company routinely evaluates quantities and values of inventories in light of current market conditions and market trends, and records a write-down for quantities in excess of demand and product obsolescence. The evaluation may take into consideration historic usage, expected demand, anticipated sales price, new product development schedules, the effect new products might have on the sale of existing products, product obsolescence, customer concentrations, product merchantability and other factors. Market conditions are subject to change and actual consumption of inventory could differ from forecasted demand. The Company also regularly reviews the cost of inventories against their estimated market value and records a lower of cost or market write-down for inventories that have a cost in excess of estimated market value, resulting in a new cost basis for the related inventories which is not reversed. Business Combinations We allocate the fair value of purchase consideration to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values as of the close of acquisition. The excess of the fair value of purchase consideration over the fair values of these identifiable assets and liabilities is recorded as goodwill. When determining the fair values of assets acquired and liabilities assumed, management makes significant estimates and assumptions through established and generally accepted valuation techniques. Fair value estimates are based on the assumptions management believes a market participant would use in pricing the asset or liability. Critical estimates in valuing certain intangible assets include, but are not limited to, future expected cash flows from customer relationships and acquired patents and developed technology; and discount rates. Management’s estimates of fair value are based upon assumptions believed to be reasonable, but which are inherently uncertain and unpredictable and, as a result, actual results may differ from estimates. Amounts recorded in a business combination may change during the measurement period, which is a period not to exceed one year from the date of acquisition, as additional information about conditions existing at the acquisition date becomes available. Goodwill Goodwill is reviewed for impairment annually in the fourth fiscal quarter or more frequently if events or changes in circumstances indicate that the carrying value of goodwill may not be recoverable. The Company will assess the qualitative factors to determine whether it is more likely than not that the fair value of its reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment. If the Company determines that it is more likely than not that its fair value is less than its carrying amount, then the two-step goodwill impairment test is performed. The first step, identifying a potential impairment, compares the fair value of the reporting unit with its carrying amount. If the carrying amount exceeds its fair value, the second step would need to be performed; otherwise, no further steps are required. The second step, measuring the impairment loss, compares the implied fair value of the goodwill with the carrying amount of the goodwill. Any excess of the goodwill carrying amount over the implied fair value is recognized as an impairment loss, and the carrying value of goodwill is written down to fair value. The Company had no goodwill impairment in 2016 or 2015. Long-lived assets Property, plant and equipment are stated at cost, net of accumulated depreciation and amortization. Repairs and maintenance costs are expensed as incurred. Depreciation and amortization are computed using the straight-line method over the following estimated useful lives: Buildings 20-30 years Machinery and equipment 2-7 years Furniture, fixtures and office equipment 3-5 years Software 5-7 years Leasehold improvements life of the asset or lease term, if shorter Intangible assets acquired in a business combination are recorded at fair value. Identifiable finite-lived intangible assets are amortized over the period of estimated benefit using the straight-line method, reflecting the pattern of economic benefits associated with these assets. The estimated useful lives of the Company’s finite-lived intangible assets generally range from two to seven years. The acquired land use rights in China have an estimated useful life of 45 years. Assets held for sale are measured at the lower of carrying value or the fair value less cost to sell. The carrying value of intangible assets and other long-lived assets is reviewed on a regular basis for the existence of facts or circumstances, both internally and externally, that may suggest impairment. Some factors which the Company considers to be triggering events for impairment review include a significant decrease in the market value of an asset, a significant change in the extent or manner in which an asset is used, a significant adverse change in the business climate that could affect the value of an asset, an accumulation of costs for an asset in excess of the amount originally expected, a current period operating loss or cash flow decline combined with a history of operating loss or cash flow uses or a projection that demonstrates continuing losses and a current expectation that, it is more likely than not, a long-lived asset will be disposed of at a loss before the end of its estimated useful life. If one or more of such facts or circumstances exist, the Company will evaluate the carrying value of long-lived assets to determine if impairment exists by comparing it to estimated undiscounted future cash flows over the remaining useful life of the assets. If the carrying value of the assets is greater than the estimated future cash flow, the assets are written down to the estimated fair value. The Company’s cash flow estimates contain management’s best estimates, using appropriate and customary assumptions and projections at the time. Any write-down would be treated as a permanent reduction in the carrying amount of the asset and an operating loss would be recognized. There were no asset impairment charges in 2016. The Company recorded asset impairment charges of $0.4 million in 2015 related to certain held-for-sale property, plant and equipment and $1.1 million in 2014 related to certain leasehold improvements. Revenue recognition Revenue is derived from the sale of the Company’s products. The Company recognizes revenue provided that persuasive evidence of an arrangement exists, delivery has occurred, the price is fixed or determinable and collectability is reasonably assured. Contracts and/or customer purchase orders are used to determine the existence of an arrangement. Delivery is considered to have occurred when title and risk of loss have transferred to the customer. The price is equal to the amount invoiced to the customer and is not subject to adjustment and customers do not have the right of return. The Company evaluates the creditworthiness of its customers to determine that appropriate credit limits are established prior to the acceptance of an order. Revenue is recognized when the product is delivered and title have transferred to the buyer. The Company generally bears all costs and risks of loss or damage to the goods up to that point. Revenue related to the sale of consignment inventory at customer vendor managed locations is not recognized until the product is pulled from inventory stock by customers. In instances where acceptance of the product or solutions is specified by the customer, revenue is deferred until such required acceptance criteria have been met. Shipping and handling costs are included in the cost of goods sold. The Company presents revenue net of sales taxes and any similar assessments. Product warranties The Company generally provides warranties to cover defects in workmanship, materials and manufacturing for a period of one to three years to meet the stated functionality as agreed to in each sales arrangement. Products are tested against specified functionality requirements prior to delivery, but the Company nevertheless from time to time experiences claims under its warranty guarantees. The Company accrues for estimated warranty costs under those guarantees based upon historical experience, and for specific items, at the time their existence is known and the amounts are determinable. Research and development Research and development expense consists of personnel costs, including stock-based compensation expense, for the Company’s research and development personnel and product development costs, including engineering services, development software and hardware tools, depreciation of capital equipment and facility costs. Research and development costs are expensed as incurred. Advertising costs Advertising costs are expensed as incurred and, to date, have not been significant. Stock-based compensation The Company grants stock-based awards to employees, consultants and directors. The stock-based awards, including stock options, restricted stock units, employee stock purchase rights, stock appreciation units and market-based awards, are accounted for at estimated fair values. Vesting of stock-based awards is generally subject to the grantee’s continuing service to the Company. The Company generally determines the fair value of stock options and stock appreciation rights utilizing the Black-Scholes-Merton option-pricing model, or a lattice-binomial option-pricing model for stock-based awards with a market condition. The fair value of employee grants is measured on the date of grant and then recognized over the period during which an employee is required to provide services in exchange for the award, known as the requisite service period (usually the vesting period) on a straight-line basis. The fair value of non-employee grants is measured on the date of grant and then marked to market until vest dates and then recognized over the requisite service period. The Company records expense and an equal adjustment to the liability for stock appreciation units equal to the fair value of the vested portion of the awards as of each period end. Each reporting period thereafter, compensation expense will be recorded based on the remaining service period and the then fair value of the award until vesting of the award is completed. After vesting is completed, the Company will continue to re-measure the fair value of the liability each reporting period until the award is exercised or expires, with changes in the fair value of the liability recorded in the consolidated statements of operations. Restricted stock units are valued at the closing sales price as quoted on the New York Stock Exchange on the date of grant, and are converted into shares of common stock upon vesting on a one-for-one basis. The compensation expense related to the restricted stock units is determined using the fair value of common stock on the date of grant, and the expense is recognized on a straight-line basis over the vesting period. Employee stock purchase rights are accounted for at fair value, utilizing the Black-Scholes-Merton option-pricing model. The expense for each purchase period is recognized on a straight-line basis over the requisite service period, from the beginning of the offering period through the respective purchase date. Stock-based compensation expense for modified stock-based awards are recognized using the pool approach, under which the remaining compensation cost from the original awards plus the incremental costs, if any, of the related modified awards is recognized in its entirety over the remaining portion of the requisition service period of the corresponding modified awards. Stock-based compensation expense recognized at fair value includes the impact of estimated forfeitures. The Company estimates future forfeitures at the date of grant and revises the estimates, if necessary, in subsequent periods if actual forfeitures differ from those estimates. Income taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the carrying amounts of existing assets and liabilities in the financial statements and their respective tax bases, and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities from a change in tax rates is recognized in the consolidated statement of operations in the period that includes the enactment date. The Company operates in various tax jurisdictions and is subject to audit by various tax authorities. In preparing the Company’s consolidated financial statements, the Company is required to estimate its taxes in each of the jurisdictions in which it operates. The Company estimates actual current tax exposure as well as assesses temporary differences resulting from different treatment of items, such as accruals and allowances not currently deductible for tax purposes. These differences result in deferred tax assets which represent future tax benefits to be received when certain expenses previously recognized in the financial statements become deductible expenses under applicable income tax laws, or loss credit carryforwards are utilized. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of a deferred tax asset will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. A valuation allowance is recorded for loss carryforwards and other deferred tax assets where it is more likely than not that such deferred tax assets will not be realized. The Company classifies its net deferred tax assets as other long-term assets and deferred tax liabilities as noncurrent liabilities on its consolidated balance sheet. Foreign currency Generally the functional currency of the Company’s international subsidiaries is the local currency. The Company translates the financial statements of these subsidiaries to U.S. dollars using month-end rates of exchange for assets and liabilities, and average rates of exchange for revenue, costs, and expenses. Translation gains and losses are recorded in accumulated other comprehensive income (loss) as a component of stockholders’ equity. Effective July 1, 2016, the Company has established a hedging program using monthly forward exchange contracts as economic hedges to protect against volatility of foreign exchange rate exposure of its net intercompany activities based on a cost-benefit analysis that considers that magnitude of the exposure, the volatility of the exchange rate and the cost of the hedging instruments. The forward contracts are not designated for hedge accounting and are marked to market at fair value and reported as either other current assets or accounts payable. Any changes in the fair value are recorded as foreign exchange gain (loss) and help mitigate the changes in the value of the underlying net intercompany balances. In 2016, the Company recognized a $1.6 million loss relating to its foreign currency contracts within other income, net. Net foreign exchange gain (loss) was ($0.1) million, $3.4 million, and $3.1 million in 2016, 2015, and 2014, respectively. These gains and losses were recorded as other income (expense), net in the Company’s consolidated statements of operations. The Company presents the cash flows relating to these foreign exchange contracts as investing activities in its consolidated statements of cash flows. Net income (loss) per share Basic net income (loss) per share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding for the period. Diluted net income (loss) per share is calculated by dividing net income (loss) by the weighted average number of common shares and potential dilutive common share equivalents outstanding during the period if the effect is dilutive. Recent accounting pronouncements In November 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASC 2016-18”). This standard provides guidance on the classification and presentation of restricted cash in the statement of cash flows and must be applied retrospectively. ASU 2016-18 is effective for fiscal years beginning after December 15, 2017. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory (“ASU 2016-16”). This standard provides guidance on the tax accounting for the transferring and receiving entities upon transfer of an asset. ASU 2016-16 is effective for the Company’s interim and annual periods beginning after December 15, 2017 and should be applied on a modified retrospective basis. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”). This standard provides guidance on the classification of certain cash receipts and payments in the statement of cash flows . It is effective, retrospectively, for the Company’s annual and interim reporting periods beginning after December 15, 2017 or prospectively from the earliest data practicable if retrospective application is impracticable. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 amends existing guidance on the impairment of financial assets and adds an impairment model that is based on expected losses rather than incurred losses and requires an entity to recognize as an allowance its estimate of expected credit losses for its financial assets. An entity will apply this guidance through a cumulative-effect adjustment to retained earnings upon adoption (a modified-retrospective approach) while a prospective transition approach is required for debt securities for which an other-than-temporary impairment had been recognized before the effective date. It is effective for the Company’s annual and interim reporting periods beginning after December 15, 2019. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”). ASU 2016-09 simplifies several aspects of the accounting for employee share-based payment transactions, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. Early adoption is permitted. This guidance was effective, and adopted by the Company, on January 1, 2017. The impact on the Company’s consolidated financial statements upon the adoption of this standard was immaterial. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) (“ASU 2016-02”). ASU 2016-02 introduces a lessee model that requires recognition of assets and liabilities arising from qualified leases on the consolidated financial statements and the qualitative and quantitative disclosures about lease transactions. It is effective for interim and annual periods beginning after December 15, 2018. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016-01”). ASU 2016-01 revises an entity’s accounting related to (1) the classification and measurement of investments in equity securities and (2) the presentation of certain fair value changes for financial liabilities measured at fair value. It also amends certain disclosure requirements associated with the fair value of financial instruments and is effective for the Company’s annual and interim reporting periods beginning after December 15, 2017. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory (“ASU 2015-11”). ASU 2015-11 requires entities to measure most inventory “at the lower of cost and net realizable value” for inventories that are not measured by using either the last-in, first-out method or the retail inventory method. This guidance is effective, and adopted by the Company, on January 1, 2017. Early adoption is permitted. The impact on the Company’s consolidated financial statements upon the adoption of this standard was immaterial. In May 2014, the FASB issued ASU N o. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”). The standard, along the amendments issued in 2016 and 2015, provides companies with a single model for use in accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance, including industry-specific revenue guidance. The core principle of the model is to recognize revenue when control of the goods or services transfers to the customer, as opposed to recognizing revenue when the risks and rewards transfer to the customer under the existing revenue guidance. This standard, as amended, is effective for annual and interim periods beginning after December 15, 2017 and permits entities to early adopt for annual and interim reporting periods beginning after December 15, 2016. Companies are permitted to either apply the requirements retrospectively to all prior periods presented, or apply the requirements in the year of adoption, through a cumulative adjustment. The Company expects to adopt this standard, as amended, effective January 1, 2018 and is in the process of evaluating the impact of adoption on its consolidated financial statements.

Cash, cash equivalents, short-t

Cash, cash equivalents, short-term investments, and restricted cash	12 Months Ended
	Dec. 31, 2016
Cash, cash equivalents, short-term investments, and restricted cash
Cash, cash equivalents, short-term investments and restricted cash	3. Cash, cash equivalents, short-term investments and restricted cash The following table summarizes the Company’s cash, cash equivalents, short-term investments, and restricted cash at December 31, 2016 and 2015 (in thousands): December 31, December 31, 2016 2015 Cash and cash equivalents: Cash $ $ Cash equivalents Cash and cash equivalents $ $ Short-term investments $ $ Restricted cash $ $ The following table summarizes the Company’s unrealized gains and losses related to the cash equivalents and short-term investments in marketable securities designated as available-for-sale (in thousands): As of December 31, 2016 As of December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Loss Fair Value Amortized Cost Gross Unrealized Loss Fair Value Marketable securities: Money market accounts $ $ — $ — $ $ $ — $ Money market funds — — — Corporate debt securities Government agency securities — U.S. government securities — Sovereign government bonds — — Total $ $ $ $ $ $ $ Reported as: Cash equivalents $ $ — $ — $ $ $ — $ Short-term investments Total $ $ $ $ $ $ $ As of December 31, 2016 and 2015, maturities of marketable securities were as follows (in thousands): December 31, December 31, 2016 2015 Less than 1 year $ $ Due in 1 to 2 years Due in 3 to 5 years — Total $ $ Realized gains and losses on the sale of marketable securities during the years ended December 31, 2016, 2015 and 2014 were immaterial. The Company did not recognize any impairment losses on its marketable securities during the years ended December 31, 2016, 2015 or 2014. As of December 31, 2016, the Company did not have any investments in marketable securities that were in an unrealized loss position for a period in excess of 12 months.

Fair value measurements

Fair value measurements	12 Months Ended
	Dec. 31, 2016
Fair value measurements
Fair value measurements	4. Fair value measurements Assets and Liabilities Measured at Fair Value on a Recurring Basis The following table presents the Company’s assets that are measured at fair value on a recurring basis (in thousands): As of December 31, 2016 As of December 31, 2015 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash equivalents and short-term investments: Money market funds $ $ — $ — $ $ $ — $ — $ U.S. government securities — — — — Money market accounts — — — — Corporate debt securities — — — — Government agency securities — — — — Sovereign government bonds — — — — Total $ $ $ — $ $ $ $ — $ Mutual funds held in Rabbi Trust, recorded in other long-term assets $ $ — $ — $ $ $ — $ — $ The Company offers a Non-Qualified Deferred Compensation Plan (“NQDC Plan”) to a select group of its highly compensated employees to provide participants the opportunity to defer payment of certain compensation as defined in the NQDC Plan. A Rabbi Trust has been established to fund the NQDC Plan obligation, which was fully funded at December 31, 2016. The assets held by the Rabbi Trust are in the form of exchange traded mutual funds and are included in the Company’s other long-term assets on its consolidated balance sheets at December 31, 2016 and 2015. Level 1 assets are determined by using quoted prices in active markets for identical assets. The fair values of Level 2 assets are priced based on quoted market prices for similar instruments or non-binding market prices that are corroborated by observable market data using inputs such as benchmark yields, broker quotes and other similar data. The following table presents the Company’s liabilities that are measured at fair value on a recurring basis (in thousands): As of December 31, 2016 As of December 31, 2015 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Rusnano payment derivative $ — $ — $ $ $ — $ — $ $ Foreign currency forward contracts — — — — — — $ — $ $ $ $ — $ — $ $ The fair value of the Rusnano payment derivative is based on the Company’s estimate (see Note 12). The fair values of the foreign currency forward contracts are based on quoted market rates and market observable data for similar instruments. There were no transfers between levels of the fair value hierarchy during the periods presented. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis In 2016, there were no assets or liabilities measured at fair value on a nonrecurring basis. In 2015, the Company wrote off $0.2 million of property, plant and equipment and $0.2 million of held-for-sale assets recognized and recognized asset impairment charges of $0.4 million within operating expenses (Level 3). In 2014, certain leasehold improvements were written off, resulting in a $1.1 million asset impairment charge within operating expenses (Level 3). These assets were measured at fair value due to events or circumstances the Company identified as having significant impact on their fair value during the respective periods. To arrive at the valuation of these assets, the Company considered the discounted cash flows and categorized the fair value measurement as Level 3 as significant unobservable inputs were used in the valuation. Assets and Liabilities Not Measured at Fair Value The carrying values of cash, restricted cash, accounts receivable, accounts payable, notes payable and short-term borrowing approximate their fair values due to the short-term nature and liquidity of these financial instruments. The fair value of the Company’s long-term debt have been calculated using an estimate of the interest rate the Company would have had to pay on the issuance of liabilities with a similar maturity and discounting the cash flows at that rate which it considers to be a level 2 fair value measurement and was not materially different than the carrying value as of December 31, 2016 and 2015 as the interest rates approximated rates currently available to the Company. The fair values do not necessarily give an indication of the amount that the Company would currently have to pay to extinguish any of this debt.

Net income (loss) per share

Net income (loss) per share	12 Months Ended
	Dec. 31, 2016
Net income (loss) per share
Net income (loss) per share	5. Net income (loss) per share The following table sets forth the computation of the basic and diluted net income (loss) per share attributable to NeoPhotonics Corporation common stockholders for the periods indicated (in thousands, except per share amounts): Years Ended December 31, 2016 2015 2014 Numerator: Net income (loss) $ $ $ Denominator: Weighted average shares used to compute per share amount: Basic Dilutive effect of equity awards — — Diluted Basic net income (loss) per share $ $ $ Diluted net income (loss) per share $ $ $ The Company has excluded the impact of the following outstanding employee stock options, restricted stock units, common stock warrants and shares expected to be issued under its employee stock purchase plan from the computation of diluted net income (loss) per share, as their effect would have been antidilutive (in thousands): December 31, 2016 2015 2014 Employee stock options Restricted stock units Employee stock purchase plan

Business combinations

Business combinations	12 Months Ended
	Dec. 31, 2016
Business Combinations
Business combination	6. Business Combinations EMCORE Corporation On January 2, 2015, the Company closed an acquisition of certain assets and assumed certain liabilities of the tunable laser product lines of EMCORE Corporation (“EMCORE”) for an original purchase price of $17.5 million, pursuant to the terms of the Asset Purchase Agreement between the parties dated October 22, 2014 . Consideration for the transaction consisted of $1.5 million in cash and a promissory note (the “EMCORE Note”) of approximately $16.0 million, which was subsequently adjusted to $15.5 million in connection with a True-Up Confirmation Agreement (the “True-Up Agreement”) executed by and between the Company and EMCORE on April 16, 2015. The final adjusted purchase price for the acquisition was approximately $17.0 million. The Company accounted for this acquisition as a business combination. With the acquisition of the EMCORE ultra narrow linewidth tunable laser products , the Company aims to strengthen its portfolio of High Speed Products. In connection with the acquisition, the Company incurred approximately $0.9 million in total acquisition-related costs related to legal, accounting and other professional services. The acquisition costs were expensed as incurred and included in operating expenses in the Company’s consolidated statement of operations. The fair values assigned to intangible assets acquired were based on valuations using estimates and assumptions provided by management, with the assistance of an independent third party appraisal firm. The excess purchase price over those fair values was recorded as goodwill. The Company used best estimates and assumptions as part of the purchase price allocation process to value assets acquired and liabilities assumed at the acquisition date and during the Company’s process of obtaining further information, further refined estimates and assumptions, including the acquired property, plant and equipment, prepaid and other current assets, which primarily consisted of held-for-sale assets and accounts payable. As a result, during the measurement period completed in 2015, the Company recorded adjustments related to the acquired net accounts receivable, the acquired net inventories, the assumed sales tax accrual and the acquired prepaid expenses and other current assets by immaterial amounts, and decreased goodwill by a corresponding net amount.Goodwill recorded consisted of a valuable assembled workforce and market synergy. The amounts assigned to goodwill are deductible for income tax purposes. The following table summarizes the allocation of the assets acquired and liabilities assumed as of the acquisition date and subsequent adjustments (in thousands): Total purchase consideration: Cash paid $ Notes payable Total $ Fair value of assets acquired: Accounts receivable $ Inventories Prepaid expenses and other current assets Property, plant and equipment Intangible assets acquired: Developed technology Customer relationships Total $ Less: fair value of liabilities assumed: Accounts payable $ Accrued liabilities Total $ Goodwill $ Purchased intangibles with finite lives will be amortized on a straight-line basis over their respective estimated useful lives. The following table presents details of the purchase price allocated to the acquired intangible assets at the acquisition date: Useful Purchased Life intangible assets (In years) (In thousands) Developed technology 7 $ Customer relationships 2 Total purchased intangible assets $ The following unaudited supplemental pro forma information presents the combined results of operations of NeoPhotonics Corporation for the periods presented as though the companies had been combined as of the beginning of 2014. In the year ended December 31, 2016 and 2015, revenue related to products acquired from EMCORE was approximately $80.8 million and $55.8 million, respectively. The pro forma financial information reflects adjustments related to transaction costs of $0.3 million and $0.6 million in the years ended December 31, 2015 and 2014, respectively, as well as immaterial employee expense in the year ended December 31, 2015. Incremental intangible amortization, inventory and depreciation adjustments were also added to the 2014 period. There were no sales between the business acquired from EMCORE and the Company in the periods presented. The unaudited pro forma results do not assume any operating efficiencies as a result of the consolidation of operations (in thousands, except per share data): Years Ended December 31, 2015 2014 Revenue $ $ Net income (loss) $ $ Basic net income (loss) per share $ $ Diluted net income (loss) per share $ $ EigenLight Corporation In November 2015 the Company closed an acquisition of the business and products of EigenLight Corporation for cash consideration of $0.4 million in an asset transaction. The Company accounted for this as a business combination and the majority of the purchase price was allocated to inventory and property, plant and equipment. NeoPhotonics Semiconductor In October 2014, the Company entered into a settlement agreement covering certain outstanding claims in connection with the acquisition of certain assets and assumed certain liabilities related to the semiconductor Optical Components Business Unit of LAPIS Semiconductor Co., Ltd., a wholly owned subsidiary of Rohm Co., Ltd (“LAPIS”) of Japan completed in 2013. Under the terms of the settlement agreement, the Company recorded a $1.0 million (JPY 111.0 million) escrow settlement gain in 2014 related to disputed excess inventories.

Purchased intangible assets

Purchased intangible assets	12 Months Ended
	Dec. 31, 2016
Purchased intangible assets
Purchased intangible assets	7. Purchased intangible assets Purchased intangible assets consist of the following (in thousands): December 31, 2016 December 31, 2015 Gross Accumulated Net Gross Accumulated Net Assets Amortization Assets Assets Amortization Assets Technology and patents $ $ $ $ $ $ Customer relationships Leasehold interest $ $ $ $ $ $ Amortization expense relating to technology and patents and the leasehold interest intangible assets is included within cost of goods sold, and customer relationships and the non-compete agreements within operating expenses. The following table presents details of the amortization expense of the Company’s purchased intangible assets as reported in the consolidated statements of operations (in thousands): Years ended December 31, 2016 2015 2014 Cost of goods sold $ $ $ Operating expenses Total $ $ $ The estimated future amortization expense of purchased intangible assets as of December 31, 2016, is as follows (in thousands): 2017 $ 2018 2019 2020 2021 Thereafter $

Balance Sheet Components

Balance Sheet Components	12 Months Ended
	Dec. 31, 2016
Balance Sheet Components
Balance sheet components	8. Balance sheet components Restricted Cash Restricted cash was as follows (in thousands): December 31, 2016 2015 Restricted in connection with notes payable and short-term borrowing (see Note 10) $ $ Restricted in connection with asset purchase agreement (see Note 18) — Total restricted cash $ $ Reported as: Restricted cash $ $ Accounts receivable, net Accounts receivable, net were as follows (in thousands): December 31, 2016 2015 Accounts receivable $ $ Trade notes receivable Allowance for doubtful accounts $ $ The table below summarizes the movement in the Company’s allowance for doubtful accounts (in thousands): Balance at December 31, 2013 $ Provision for bad debt Write-offs, net of recoveries Balance at December 31, 2014 Provision for bad debt Write-offs, net of recoveries Balance at December 31, 2015 Provision for bad debt Write-offs, net of recoveries Balance at December 31, 2016 $ Inventories Inventories were as follows (in thousands): December 31, 2016 2015 Raw materials $ $ Work in process Finished goods (1) $ $ (1) Included in finished goods was $8.3 million and $14.2 million of inventory at customer vendor managed inventory locations at December 31, 2016 and 2015, respectively. Prepaid expenses and other current assets Prepaid expenses and other current assets were as follows (in thousands): December 31, 2016 2015 Prepaid taxes and taxes receivable $ $ Deposits and other prepaid expenses Other receivable $ $ Property, plant and equipment, net Property, plant and equipment, net were as follows (in thousands): December 31, 2016 2015 Land $ $ Buildings Machinery and equipment Furniture, fixtures, software and office equipment Leasehold improvements Less: Accumulated depreciation $ $ Depreciation expense was $17.9 million $17.7 million and $19.1 million for the years ended December 31, 2016, 2015 and 2014, respectively. In 2014, the Company wrote off certain leasehold improvements in its facility in Fremont, California and recorded an asset impairment charge of $1.1 million in connection with the Company’s business re-alignment initiatives. Assets Held for Sale In December 2016, the Company entered into a definitive asset purchase agreement (the “Asset Purchase Agreement”) to sell certain inventories, fixed assets and intangible assets of its access network and low speed transceiver product lines (the “Low Speed Transceiver Products”). The transaction closed on January 14, 2017, see Note 18, Subsequent Events . As of December 31, 2016, such assets were reclassified as held for sale and the estimated fair value less direct costs of sale exceeded the related carrying value. As of December 31, 2016, assets held for sale with carrying values are as follows (in thousands): Assets held for sale: Inventories $ Property, plant and equipment Total $ Accrued and other current liabilities Accrued and other current liabilities were as follows (in thousands): December 31, 2016 2015 Employee-related $ $ Income and other taxes payable Deferred revenue, current Accrued warranty Rusnano payment derivative Other accrued expenses $ $ Accrued warranty The table below summarizes the movement in the warranty accrual, which is included in accrued and other current liabilities (in thousands): Years ended December 31, 2016 2015 2014 Beginning balance $ $ $ Warranty accruals Settlements Ending balance $ $ $ Other noncurrent liabilities Other noncurrent liabilities were as follows (in thousands): December 31, 2016 2015 Pension and other employee-related $ $ Deferred rent Deferred revenue Deferred income tax liabilities Other $ $

Restructuring

Restructuring	12 Months Ended
	Dec. 31, 2016
Restructuring
Restructuring	9. Restructuring In 2015 and 2014, the Company recorded $0.2 million and $1.1 million, respectively, in restructuring charges, which were included within cost of goods sold and operating expenses, in connection with a workforce reduction related restructuring plan initiated in 2014. In 2015, the Company paid the remaining liabilities related to facilities included in its restructuring plan initiated in 2013. There were no restructuring liabilities as of each of December 31, 2016 and 2015.

Debt

Debt	12 Months Ended
	Dec. 31, 2016
Debt
Debt	10. Debt The Company consolidated its various borrowing arrangements in 2015 to three group: Notes payable in China, short-term borrowing with Comerica Bank and long-term debt with Bank of Tokyo-Mitsubishi UFJ, Ltd. (the “Mitsubishi Bank”). The table below summarizes the carrying amount and weighted average interest rate of the Company’s notes payable and borrowings (in thousands, except percentages): December 31, 2016 December 31, 2015 Carrying Interest Carrying Interest Amount Rate Amount Rate Notes payable $ — $ — Short-term borrowing-Comerica Bank % % Total notes payable and short-term borrowing $ $ Long-term debt, current and non-current: Mitsubishi Bank loans $ % $ % Unaccreted discount and issuance costs within current portion of long-term debt Unaccreted discount and issuance costs within long-term debt, net of current portion Total long-term debt, net of unaccreted discount and issuance costs $ $ Reported as: Current portion of long-term debt $ $ Long-term debt, net of current portion Total long-term debt, net of unaccreted discount and issuance costs $ $ Notes payable and Short-Term Borrowing The Company regularly issues notes payable to its suppliers in China in exchange for accounts payable. These notes are supported by non-interest bearing bank acceptance drafts issued under the Company’s existing line of credit facilities with banking institutions and are due three to six months after issuance. Compensating balance at a percentage of the total notes payable balance is required to be maintained at the issuing banks until the notes payable balance is settled. These credit facilities can be used for short-term loans which will bear interest at varying rates. At December 31, 2016, the Company’s subsidiary in China had three short-term line of credit facilities. Under the first credit facility, which has been renewed to expire in July 2019, RMB 120.0 million ($17.3 million) can be used for short-term loans or up to RMB 171.4 million ($24.7 million) can be used for bank acceptance drafts (with a 30% compensating balance requirement). Under the second credit facility, which has been renewed to expire in September 2017, the borrowing capacity has been increased to RMB 266.0 million ($38.3 million) for short-term loans or up to approximately RMB 380.0 million ($54.7 million) can be used for bank acceptance drafts (with a 30% compensating balance requirement). The third credit facility, executed in August 2016 and expires in July 2019, has a borrowing capacity of up to RMB 30.0 million (approximately $4.3 million) for short-term loans or up to approximately RMB 42.9 million (approximately $6.2 million) for bank acceptance drafts (with a 30% compensating balance requirement). As of December 31, 2016 and 2015, the non-interest bearing bank acceptance drafts issued in connection with the Company’s notes payable to its suppliers in China under these line of credit facilities had an outstanding balance of $6.4 million and $8.9 million, respectively, with compensating balances relating to these credit facilities totaling $2.1 million and $2.7 million, respectively. Compensating balances are classified as restricted cash on the Company’s consolidated balance sheets. In addition to the outstanding notes payable, three letters of credit totaling $1.6 million to its suppliers were issued in 2016 for equipment purchases in December 2016. These letters of credit require a 30% compensating balance requirement. As of December 31, 2016, the outstanding balance of the letters of credit was immaterial and was fully repaid in January 2017. In 2015, the Company’s subsidiary in China repaid in full its short-term advance financing agreements under its line of credit facilities. The Company has a credit agreement with the Comerica Bank as lead bank in the U.S. (the “Comerica Credit Agreement”). In 2015, the Comerica Credit Agreement was amended to refinance the then-outstanding Comerica term loan and increased the revolving credit line borrowing capacity to $30.0 million. In 2017, the Company further amended the Comerica Credit Agreement to extend the maturity to April 30, 2017 and removed the financial covenant related to EBDITA. Borrowings under the term loan bore interest at an interest rate option of a base rate as defined in the agreement plus 2.0% or LIBOR plus 3.0% while borrowings under the amended revolving credit facility bear interest at an interest rate option of a base rate as defined in the agreement plus 1.75% or LIBOR plus 2.75%. The base rate is the greater of (a) the effective prime rate, (b) the Federal Funds effective rate plus one percent, and (c) the daily adjusting LIBOR rate plus one percent. The Company is subject to covenant requirements, including restrictions to incur certain additional debt or to engage in specified transactions, the payment of dividends to its stockholders in the event of a default and is secured by substantially all of the Company’s U.S. assets, other than intellectual property assets. As of December 31, 2016, the Company was in compliance with the related covenants except for exceeding the capital expenditure limit for which a waiver was obtained subsequent to year end. The outstanding balance under the Comerica Credit Agreement was $23.8 million at each of December 31, 2016 and 2015 and the rate on the LIBOR option was 3.37% and 2.99%, respectively. Acquisition-related In 2015, the Company repaid in full the $15.5 million note issued for the acquisition of the tunable laser products of EMCORE in January 2015 as well as the remaining balance of the 1,050 million Japanese Yen (the “JPY”) loan issued for the acquisition of NeoPhotonics Semiconductor in March 2013. Long-Term Debt On February 25, 2015, the Company entered into two loan agreements (collectively, the “Loan Arrangements”) with the Mitsubishi Bank that provided for (i) a term loan in the aggregate principal amount of 500 million Japanese Yen (the “JPY”) ($4.2 million) (the “Term Loan A”) and (ii) a term loan in the aggregate principal amount of one billion JPY ($8.4 million) (the “Term Loan B” and together with the Term Loan A, the “Mitsubishi Bank Loans”). The Mitsubishi Bank Loans are secured by a mortgage on certain real property and buildings owned by our Japanese subsidiary. Interest on the Mitsubishi Bank Loans accrues based upon the annual rate of the monthly Tokyo Interbank Offer Rate (TIBOR) plus 1.40%. The Term Loan A requires interest only payments until the maturity date on February 23, 2018 and the aggregate principal amount is due upon the maturity date. The Term Loan B requires equal monthly payments of principal equal to 8,333,000 JPY until the maturity date on February 25, 2025, and the balance of 8,373,000 JPY is due upon maturity. Interest on the Term Loan B is accrued based upon monthly TIBOR plus 1.40% and is secured by real estate collateral. In conjunction with the execution of the Bank Loans, the Company paid a loan structuring fee, including consumption tax, of 40,500,000 JPY ($0.3 million). The Mitsubishi Bank Loans contain covenants applicable to the Company’s Japanese subsidiary, including restrictions on cessation in business, management, mergers or acquisitions. The Mitsubishi Bank Loans contain financial covenants relating to minimum net assets, maximum ordinary loss and a dividends covenant. The Company used a portion of the proceeds of the Mitsubishi Bank Loans to repay the then-outstanding loan related to the acquisition of NeoPhotonics Semiconductor, which had an outstanding principal and interest amount of approximately 710 million JPY ($6.0 million) and for general working capital. As of December 31 , 2016, the outstanding principal balance under the Mitsubishi Bank Loans was approximately 1.3 billion JPY (approximately $11.3 million) and the Company was in compliance with the related covenants. At December 31, 2016, maturities of long-term debt were as follows (in thousands): 2017 $ 2018 2019 2020 2021 Thereafter $

Pension plans

Pension plans	12 Months Ended
	Dec. 31, 2016
Pension Plans
Pension plans	11. Pension Plans Japan defined benefit pension plans In connection with its acquisition of NeoPhotonics Semiconductor in 2013, the Company assumed responsibility for two defined benefit plans that provide retirement benefits to its NeoPhotonics Semiconductor employees in Japan: the Retirement Allowance Plan (“RAP”) and the Defined Benefit Corporate Pension Plan (“DBCPP”). The RAP is an unfunded plan administered by the Company. Effective February 28, 2014, the DBCPP was converted to a defined contribution plan (“DCP”). In May 2014, LAPIS transferred approximately $2.0 million into the newly formed DCP which was the allowable amount that can be transferred according to the Japanese regulations. LAPIS also paid the Company approximately $0.3 million in connection with the conversion of the plan. Additionally, the Company transferred the net unfunded projected benefit obligation amount from the DBCPP to the RAP and froze the RAP benefit at the February 28, 2014 amount. Under the RAP, lump sum benefits are provided upon retirement or upon certain instances of termination. In 2014, the Company reclassified $0.2 million and $0.1 million from accumulated other comprehensive income to cost of goods sold and operating expenses, respectively. The funded status of these plans for the years ended December 31, 2016, 2015 and 2014 was as follows (in thousands): 2016 2015 2014 RAP RAP RAP DBCPP Change in projected benefit obligation: Projected benefit obligation, beginning of period $ $ $ $ Service cost — — Interest cost Benefits paid — Actuarial (gain)/loss Curtailment/Settlement — — Transfer from DBCPP to RAP — — Currency translation adjustment Projected benefit obligation, end of period $ $ $ $ — Change in plan assets: Plan assets at fair value, beginning of period $ — $ — $ — $ Employer contributions — — — Benefits paid — — — Transfer to DCP — — — Currency translation adjustment — — — Plan assets at calculated amount, end of period $ — $ — $ — $ — Amounts recognized in consolidated balance sheets: Accrued and other current liabilities $ $ $ $ — Other noncurrent liabilities $ $ $ $ — Amount recognized in accumulated other comprehensive loss: Defined benefit pension plans adjustment $ $ $ $ — Accumulated benefit obligation, end of period $ $ $ $ — Net periodic pension cost associated with these plans for the years ended December 31, 2016, 2015 and 2014 included the following components (in thousands): 2016 2015 2014 RAP RAP RAP DBCPP Service cost $ — $ — $ $ Interest cost Other — — — Curtailment/settlement (gain) loss — — Net periodic pension (gain) costs $ $ $ $ The projected and accumulated benefit obligations for the RAP were calculated as of December 31, 2016 and 2015 using a discount rate assumption of 0.1% and 0.2%, respectively. Estimated future benefit payments under the RAP are as follows (in thousands): 2017 $ 2018 2019 2020 2021 2022 - 2026 Thereafter $ 401(k) Plan The Company maintains a savings and retirement plan qualified under Section 401(k) of the Internal Revenue Code of 1986, as amended (the "IRC"). The Company currently matches a portion of all eligible employee contributions which vest immediately. The Company’s matching contributions to the plan totaled $0.4 million, $0.3 million and $0.3 million, respectively, for the years ended December 31, 2016, 2015, and 2014.

Commitments and contingencies

Commitments and contingencies	12 Months Ended
	Dec. 31, 2016
Commitments and contingencies disclosure
Commitments and contingencies	12. Commitments and contingencies Leases The Company leases various facilities under non-cancelable operating leases. As of December 31, 2016, the future minimum commitments under the Company’s non-cancelable operating leases are as follows (in thousands): Years ending December 31, 2017 $ 2018 2019 2020 2021 Thereafter $ The total minimum lease commitment amount above does not include minimum sublease rent income of $1.0 million receivable in the future under non-cancelable sublease agreements. The Company recognizes rent expense on a straight-line basis over the lease period. Rent expense under the Company’s operating leases was $2.4 million, $2.2 million and $2.2 million, respectively, in the years ended December 31, 2016, 2015, and 2014. Litigation From time to time, the Company is subject to various claims and legal proceedings, either asserted or unasserted, that arise in the ordinary course of business. The Company accrues for legal contingencies if the Company can estimate the potential liability and if the Company believes it is probable that the case will be ruled against it. If a legal claim for which the Company did not accrue is resolved against it, the Company would record the expense in the period in which the ruling was made. The Company believes that the likelihood of an ultimate amount of liability, if any, for any pending claims of any type (alone or combined) that will materially affect the Company’s financial position, results of operations or cash flows is remote. The ultimate outcome of any litigation is uncertain, however, and unfavorable outcomes could have a material negative impact on the Company’s financial condition and operating results. Regardless of outcome, litigation can have an adverse impact on the Company because of defense costs, negative publicity, diversion of management resources and other factors. On January 5, 2010, Finisar Corporation, or Finisar, filed a complaint in the U.S. District Court for the Northern District of California against Source Photonics, Inc., MRV Communications, Inc., Oplink Communications, Inc. and the Company, or collectively, the co-defendants. In the complaint Finisar alleged infringement of certain of its U.S. patents. In 2010 the Company filed an answer to the complaint and counterclaims, asserting two claims of patent infringement and additional claims. The court dismissed without prejudice all co-defendants (including the Company) except Source Photonics, Inc., on grounds that such claims should have been asserted in four separate lawsuits, one against each defendant. This dismissal does not prevent Finisar from bringing a new similar lawsuit against the Company. In 2011 the Company and Finisar agreed to suspend their respective claims and in 2012 they further agreed to toll their respective claims. While there has been no action on this matter since 2012, the Company is currently unable to predict the outcome of this dispute and therefore cannot determine the likelihood of loss nor estimate a range of possible loss. In January 2013, the Company was served with a lawsuit, filed in Belgium by a distributor called Laser 2000 Beneluo SA (“Laser 2000”) claiming unpaid commissions. The distributor agreement was formally terminated as of January 3, 2012. The Company paid $492,000 to Laser 2000 as partial settlement of claims and to avoid penalties from the Court and submitted a legal brief to court on September 16, 2013. Laser 2000 filed a response on December 16, 2013 and the Company filed the final rebuttal brief on January 30, 2014. In March 2015, the Belgian Court issued a ruling awarding Laser 2000 approximately one million euros in damages (approximately $1,100,000 at current exchange rates). The Company was served with the judgment on September 28, 2015. The Company filed an appeal to the verdict in December 2015. The parties engaged in negotiations and have agreed to a settlement to be paid by the Company to Laser 2000 in the amount of approximately $0.3 million, which had been accrued for by the Company and is expected to be paid by April 30, 2017. Indemnifications In the normal course of business, the Company enters into agreements that contain a variety of representations and warranties and provide for general indemnification. Exposure under these agreements is unknown because claims may be made against the Company in the future and the Company may record charges in the future as a result of these indemnification obligations. As of December 31, 2016, the Company did not have any material indemnification claims that were probable or reasonably possible. Purchase obligations The Company has open purchase orders with its suppliers for the purchase of inventory and other items in the ordinary course of its business. As of December 31, 2016, the Company’s estimate of outstanding amounts under these purchase orders was approximately $71.2 million, primarily expected to be purchased within the next 12 months. Certain of these open purchase orders may be cancellable without penalty. Rusnano Payment Derivative In connection with a private placement transaction in 2012, the Company entered into a rights agreement with Joint Stock Company “RUSNANO” (formerly Open Joint Stock Company “RUSNANO"), or Rusnano , one of its principal stockholder. Under the rights agreement, the Company agreed to make a $30.0 million investment commitment (the ‘Investment Commitment’) towards the Company’s Russian operations through 2019, which could be partially satisfied by cash and/or non-cash investment inside or outside of Russia and/or by non-cash asset transfers. Rusnano must approve non-cash asset transfers to be made in satisfaction of the Investment Commitment. In 2015, the Company amended the rights agreement (the “Amended Rights Agreement”) with Rusnano, effective June 30, 2015, for an updated investment plan for the Company’s Russian subsidiaries that includes non-cash transfer of licensing rights to intellectual property, non-cash transfers of existing equipment and commitments to complete the remaining investment milestones through 2019. The Amended Rights Agreement limits the maximum amount of penalty and/or exit fee to be paid by the Company to $5.0 million in the aggregate (the “Rusano Payment”) and allows such payment to be reduced when certain milestones are met over time. The Company fulfilled the 2015 milestones and have contributed over $15.4 million in cash and assets to its Russian subsidiaries as of December 31, 2015. If the Company’s cumulative investment and spending to its Russian subsidiaries is less than $18.8 million by December 31, 2016, the Company will be subject to a $1.5 million penalty within 30 days after the end of a 90-day cure period. If certain of the Investment Commitments are not achieved in the indicated time frames in 2016 and 2019, the Company also has the ability to cease its Russian operations by paying an exit fee of $3.5 million at the end of 2016 or $2.0 million in 2019. The Company fulfilled the $18.8 million investment commitment requirement for 2016 as of December 31, 2016. The Company has accounted for the Rusnano Payment as an embedded derivative instrument (the “Rusnano Payment Derivative”), with the underlying being the performance or nonperformance of meeting the Investment Commitment and initially classified $4.9 million of the $5.0 million as additional paid-in capital and the remaining $0.1 million, representing the estimated fair value of the Rusnano Payment Derivative, in other noncurrent liabilities. The fair value of the Rusnano Payment Derivative has been estimated at the date of the original common stock sale and at each subsequent balance sheet date using a probability-weighted discounted future cash flow approach using unobservable inputs, which are classified as Level 3 within the fair value hierarchy. The primary inputs for this approach include the probability of achieving the Investment Commitment and a discount rate that approximates the Company’s incremental borrowing rate. After the initial measurement, changes in the fair value of this derivative were recorded in other income, net. In 2015 and 2014, the Company recorded a $0.1 million benefit and a $0.3 million expense within other income, net. The estimated fair value of this derivative was $0.4 million and $0.4 million as of December 31, 2016 and 2015, respectively. Escrow Settlement with Santur In 2014, the Company entered into an escrow settlement agreement covering the outstanding claims in connection with its 2011 acquisition of Santur Corporation (“Santur”) and recognized a $3.9 million escrow settlement gain.

Stockholders' equity

Stockholders' equity	12 Months Ended
	Dec. 31, 2016
Stockholders’ equity disclosure
Stockholders’ Equity	13. Stockholders’ Equity Common stock As of December 31, 2016, the Company had reserved 7,158,859 shares of common stock for issuance under its stock option plans and 627,848 shares of common stock for issuance under its employee stock purchase plan. Resale Registration Statement In December 2014, the Company entered into a Commitment to File a Registration Statement and Related Waiver of Registration Rights, whereby Rusnano waived certain registration rights in connection with a potential offering by the Company of shares of the Company’s common stock, and the Company committed to file with the U.S. Securities and Exchange Commission a resale registration statement on Form S-1 covering the resale of all shares of the Company’s common stock held by Rusnano. In each of 2015 and 2016, the Company filed such resale registration statement, which registered 4,972,905 shares of the Company’s common stock, at a par value of $0.0025 per share, held by Rusnano. The Company does not receive any proceeds from any sales of the Company’s common stock held by Rusnano (See Note 12). Follow-On Public Offering In 2015, the Company completed a follow-on public offering, in which the Company sold 6,866,689 shares of its common stock, including 895,655 shares of common stock sold upon the exercise in full of the overallotment option by the underwriters, at a public offering price of $7.25 per share. The Company raised approximately $45.6 million, net of underwriting discounts of $3.0 million and other offering expenses of approximately $1.2 million. Accumulated Other Comprehensive Loss The following table shows the components of accumulated other comprehensive loss, net of taxes, as of December 31, 2016 and 2015 (in thousands): December 31, 2016 December 31, 2015 Foreign currency translation adjustments $ $ Unrealized gains on available-for-sale securities Defined benefit pension plan adjustment $ $ No material amounts related to available-for-sale securities or the defined benefit pension plan were reclassified out of accumulated other comprehensive loss during the years ended December 31, 2016, 2015 or 2014. Accumulated Deficit Approximately $8.7 million and $7.9 million of the Company’s retained earnings within its accumulated deficit at December 31, 2016 and 2015, respectively, was subject to restriction due to a requirement that its subsidiaries in China set aside at least 10% of their respective accumulated profits each year to fund statutory common reserves as well as allocate a discretional portion of their after-tax profits to their staff welfare and bonus fund.

Stock-based compensation

Stock-based compensation	12 Months Ended
	Dec. 31, 2016
Stock-based compensation
Stock-based compensation	14. Stock-based compensation Equity incentive programs 2004 Stock Option Plan In March 2004, the Company adopted the 2004 Stock Option Plan (the “2004 Plan”) for the benefit of its eligible employees, consultants and independent directors. In February 2011, in connection with the closing of the Company’s initial public offering and execution of the associated underwriting agreement, shares authorized for issuance under the 2004 Plan were cancelled (except for those shares reserved for issuance upon exercise of outstanding stock options). As of December 31, 2016, options to purchase 818,735 shares were outstanding under the 2004 Plan and no shares were available for future grant. 2007 Stock Appreciation Grants Plan In October 2007, the Company adopted its 2007 Stock Appreciation Grants Plan (the “2007 Plan”). The 2007 Plan provides for the grant of units (“stock appreciation units”) entitling the holder upon exercise to receive cash in an amount equal to the amount by which the Company’s common stock has appreciated in value. Each stock appreciation unit entitles a participant to a cash payment in the amount of the excess of the fair market value of a share of common stock on the exercise date over the fair market value of a share of common stock on the award date. The total appreciation available to a participant from the exercise of an award is equal to the number of stock appreciation units being exercised, multiplied by the amount of appreciation per stock appreciation unit. The stock appreciation units granted under the 2007 Plan were primarily granted to employees or consultants of the Company’s subsidiaries in China. As of December 31, 2016, 286,768 stock appreciation units were outstanding, of which 283,201 stock appreciation units were vested. The Company does not intend to grant additional stock appreciation units under the 2007 Plan. 2010 Equity Incentive Plan In April 2010, the Company adopted its 2010 Equity Incentive Plan (the “2010 Plan”). The 2010 Plan will terminate on April 13, 2020, unless sooner terminated by the board of directors. The 2010 Plan provides for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock awards, restricted stock unit awards, market-based stock awards, and other forms of equity compensation, or collectively, stock awards, all of which may be granted to employees, including officers, and to non-employee directors and consultants. Additionally, the 2010 Plan provides for the grant of market-based cash awards. Incentive stock options may be granted only to employees. All other awards may be granted to employees, including officers, and to non-employee directors and consultants. Under the terms of the 2010 Plan, awards may be granted at prices not less than 100% of the fair value of the Company’s common stock, as determined by the Company’s board of directors, on the date of grant for an incentive stock option and not less than 85% of the fair value of the Company’s common stock on the date of grant for a non-qualified stock option. Options vest over a period of time as determined by the board of directors, generally over a three to four year period, and expire ten years from date of grant. Initially, the aggregate number of shares of the Company’s common stock that may be issued pursuant to stock awards under the 2010 Plan was 865,420 shares. The number of shares of the Company’s common stock reserved for issuance under the 2010 Plan automatically increase on January 1st each year, starting on January 1, 2012 and continuing through January 1, 2020, by 3.5% of the total number of shares of the Company’s common stock outstanding on December 31 of the preceding calendar year, or such lesser number of shares of common stock as determined by the Company’s board of directors. The maximum number of shares that may be issued pursuant to the exercise of incentive stock options under the 2010 Plan is 8,000,000 shares. As of December 31, 2016, stock options to purchase and restricted stock units to convert to a total of 5,302,687 shares of common stock were outstanding under the 2010 Plan and 375,340 shares were reserved for future issuance. 2010 Employee Stock Purchase Plan In February 2011, the Company adopted its 2010 Employee Stock Purchase Plan (the “2010 ESPP”). The 2010 ESPP was implemented through a series of offerings of purchase rights to eligible U.S. employees. The offering period is for 12 months beginning November 16 th of each year, with two purchase dates on May 15 th and November 15 th . Due to the delay in filing its 2013 Annual Report on Form 10-K, in May 2014 the Compensation Committee of the Company’s Board of Directors (the “Committee”) rescheduled the May 15 purchase date under the then offering period to June 17, 2014. Additionally, the Committee waived the existing purchase limits for the June 17, 2014 purchase only and created a modification of the purchase price formula for such offering period. In connection with this modification, the Company recorded an immaterial charge as stock based compensation expense in its 2014 consolidated statements of operations. The 2010 ESPP initially authorized the issuance of 342,568 shares of the Company’s common stock pursuant to purchase rights granted to employees or to employees of designated affiliates. The number of shares of common stock reserved for issuance automatically increase on January 1st of each year, starting January 1, 2012 and continuing through January 1, 2020, in an amount equal to the lesser of (1) 3.5% of the total number of shares of common stock outstanding on December 31 st of the preceding calendar year, (2) 600,000 shares of common stock or (3) such lesser number of shares of common stock as determined by the Company’s board of directors. As of December 31, 2016, the Company had 627,848 shares reserved for future issuance. 2011 Inducement Award Plan In September 2011, the Company adopted its 2011 Inducement Award Plan (the “2011 Plan”). The 2011 Plan provides for awarding options, stock appreciation rights, restricted stock grants, restricted stock units and other awards to new employees of the Company and its affiliates, including as a result of future business acquisitions. All options under this plan will be designated as non-statutory stock options. The number of shares initially reserved for issuance under the 2011 Plan was 750,000 shares. The exercise price of awards shall be not less than 100% of the fair market value of the Company’s common stock on the date of grant. Each stock appreciation right grant will be denominated in shares of common stock equivalents. Options and stock appreciation rights have a maximum term of ten years measured from the date of grant, subject to earlier termination following the individual’s cessation of service with the Company. In 2015, an additional 100,000 shares were authorized for issuance by the Company’s board of directors. As of December 31, 2016, stock options to purchase a total of 269,391 shares of common stock were outstanding under the 2011 Plan and 392,706 shares were reserved for future issuance. Determining Fair Value The Company estimated the fair value of certain stock-based awards using a Black-Scholes-Merton valuation model with the following assumptions: Years ended December 31, Stock options 2016 2015 2014 Weighted-average expected term (years) 5.75 5.33 5.36 Weighted-average volatility 65% 60% 62% Risk-free interest rate 1.01%-1.76% 1.37%-1.85% 1.62% – 2.00% Expected dividends — % — % — % Stock appreciation units Weighted-average expected term (years) 2.77 3.54 2.34 Weighted-average volatility 61% 62% 56% Risk-free interest rate 0.45%-1.47% 0.25%-1.57% 0.13% – 1.07% Expected dividends — % — % — % ESPP Weighted-average expected term (years) 0.73 0.69 0.65 Weighted-average volatility 54% 58% 54% Risk-free interest rate 0.39%-0.45% 0.03%-0.14% 0.05% – 0.13% Expected dividends — % — % — % Expected term. The expected term for stock options was estimated using the Company’s historical exercise behavior and expected future exercise behavior. Vested stock appreciation units first became exercisable upon the expiration of the lock-up period associated with the initial public offering. Therefore, the Company estimated the term of the award based on an average of the weighted-average exercise period and the remaining contractual term. The expected term for the ESPP represents the period of time from the beginning of the offering period to the purchase date. Volatility. Due to the limited history of the trading of the Company’s common stock since the initial public offering in February 2011, the expected volatility used by the Company is based on a combination of its own volatility and the volatility of similar entities. In evaluating similarity, factors such as industry, stage of life cycle, size, and financial leverage are taken into consideration. The term over which volatility was measured was commensurate with the expected term. Risk-free interest rate . The risk-free rate that the Company uses in the Black-Scholes-Merton option valuation model is based on U.S. Treasury zero-coupon issues with remaining terms similar to the expected term on the options. Expected dividends. The Company has never declared or paid any cash dividends and does not plan to pay cash dividends in the foreseeable future, and, therefore, used an expected dividend yield of zero in the valuation model. Stock-Based Compensation Expense The following table summarizes the stock-based compensation expense recognized for the years ended December 31, 2016, 2015 and 2014. Unamortized stock-based compensation costs capitalized as part of inventory were immaterial in each of the periods presented (in thousands): Years ended December 31, 2016 2015 2014 Cost of goods sold $ $ $ Research and development Sales and marketing General and administrative $ $ $ 2014 Stock Option and Stock Appreciation Rights Repricing Offer On December 18, 2014, the Company completed an offer to certain of its current employees (or engaged as a consultant to the Company) to receive the opportunity to reduce the exercise price of certain outstanding eligible options or eligible stock appreciation rights to the closing trading price of the Company’s common stock on December 18, 2014, in exchange for such holders’ agreement to accept a new vesting schedule (the “Repricing Offer”). The eligible stock options and stock appreciation rights covered an aggregate of 2,373,692 shares of the Company’s common stock. On December 18, 2014, options to purchase 1,948,631 shares of the Company’s common stock and stock appreciation rights to purchase 87,354 shares of the Company’s common stock were repriced in the Repricing Offer. The repriced eligible options and eligible stock appreciation rights had a grant date compensation cost, net of forecasted forfeitures, of approximately $2.6 million, which included incremental compensation cost of approximately $0.9 million. The new exercise price per share for each repriced eligible option or eligible stock appreciation right is $3.50. Each of the repriced eligible options or eligible stock appreciation rights was subject to a new vesting schedule as follows: 50% of the shares subject to such repriced eligible option or eligible stock appreciation right vested and became exercisable on January 1, 2016, and the remaining 50% vested and became exercisable in 12 equal monthly installments on each monthly anniversary thereafter, in each case subject to continued service with the Company on each applicable vesting date; provided, however, that alternative vesting applied to certain eligible options or eligible stock appreciation rights if the expiration date of such eligible options or eligible stock appreciation rights was after January 30, 2016, but on or before January 1, 2017, then 50% of the shares subject to the repriced awards vested and became exercisable on January 1, 2016 and the remaining shares were subject to ratable monthly vesting over the remaining term ending 60 days prior to the expiration date of the repriced awards; if the expiration date of such eligible options or eligible stock appreciation rights was prior to January 30, 2016, then 100% of the shares subject to the repriced awards vested and became exercisable on the 60 th day prior to the expiration date. Stock Option and Restricted Stock Unit Activity The following table summarizes the Company’s stock option and restricted stock unit, or RSU, activity during the year ended December 31, 2016: Stock Options Restricted Stock Units Weighted Weighted Shares Average Average Available Number of Exercise Number of Grant Date for Grant Shares Price Units Fair Value Balance at December 31, 2015 $ $ Authorized for issuance — — — — Granted Exercised/Converted — Cancelled/Forfeited Balance at December 31, 2016 $ $ The following table summarizes information about stock options outstanding as of December 31, 2016: Options Outstanding Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Value Shares Price Term (Years) (in Thousands) Vested and expected to vest $ $ Exercisable $ $ The fair value of options vested during the years ended December 31, 2016, 2015 and 2014 was $3.9 million, $1.3 million and $1.2 million, respectively. The intrinsic value of options vested and expected to vest and exercisable as of December 31, 2016 is calculated based on the difference between the exercise price and the fair value of the Company’s common stock as of December 31, 2016. The intrinsic value of options exercised during the years ended December 31, 2016, 2015 and 2014, was $9.7 million, $1.6 million and $0.4 million, respectively. The weighted-average fair value of options granted was $7.05, $3.87 and $1.89 per share for the years ended December 31, 2016, 2015 and 2014, respectively. At December 31, 2016, there was $3.0 million of unrecognized stock-based compensation expense for stock options, net of estimated forfeitures, which will be recognized over the remaining weighted-average period of 2.3 years. Included in the outstanding stock options at December 31, 2016 are 1.1 million shares of market-based stock options granted to key personnel. The fair value of its market-based option grants was $4.72 for 2015 and $1.65 for 2014 using a Monte Carlo simulation model with the assumptions discussed above. These options vested in September 2016 as a result of the satisfaction of the market condition requiring the average closing price of the Company’s common stock over a period of 20 consecutive trading days to be equal to or greater than $15.00 per share and the recipients remaining in continuous service with the Company through such period. The Company recorded approximately $4.8 million in related stock-based compensation expense for these options in 2016. The following table summarizes information about RSUs outstanding as of December 31, 2016: Restricted Stock Units Outstanding Weighted Average Weighted Remaining Aggregate Number of Average Contractual Intrinsic Value Shares Exercise Price Term (Years) (in Thousands) Vested and expected to vest $ — $ The fair value of RSUs vested during the years ended December 31, 2016, 2015 and 2014 was $1.6 million, $3.3 million and $3.4 million, respectively. The intrinsic value of RSUs vested and expected to vest as of December 31, 2016 is calculated based on the fair value of the Company’s common stock as of December 31, 2016. The intrinsic value of RSUs converted during the years ended December 31, 2016, 2015 and 2014, was $2.8 million, $4.3 million and $1.8 million, respectively. The weighted-average fair value of RSUs granted was $12.33, $7.46 and $4.54 per share for the years ended December 31, 2016, 2015 and 2014, respectively. At December 31, 2016, the Company had $14.4 million of unrecognized stock-based compensation expense for RSUs, net of estimated forfeitures, which will be recognized over the remaining weighted-average period of 2.3 years. The majority of the Company’s RSUs that were converted during the years ended December 31, 2016, 2015 and 2014 were net share settled. Upon each settlement date, RSUs were withheld to cover the minimum withholding tax and the remaining amounts were delivered to the recipient as shares of the Company’s common stock. In 2016, 2015 and 2014, the Company withheld 49,838, 95,227 and 108,623 shares, respectively, and remitted cash of $0.6 million, $0.7 million and $0.4 million, respectively, to the appropriate tax authorities. Stock Appreciation Unit Activity The following table summarizes the Company’s stock appreciation unit activity during the year ended December 31, 2016: Weighted- Stock Average Appreciation Exercise Units Price Stock appreciation units outstanding as of December 31, 2015 $ Stock appreciation units exercised $ Stock appreciation units cancelled $ Stock appreciation units outstanding as of December 31, 2016 $ The fair value of stock appreciation units vested was $3.7 million in 2016 and immaterial in 2015 and 2014. The intrinsic value of stock appreciation units is calculated based on the difference between the exercise price and the fair value of the Company’s common stock as of December 31, 2016. Cash paid for stock appreciation units exercised was $0.5 million in 2016, $0.1 million in 2015, and immaterial in 2014. As of December 31, 2016 and 2015, the liability for settlement of stock appreciation units was approximately $2.0 million and $0.7 million, respectively, and was included in accrued and other current liabilities on the consolidated balance sheet, based on the fair value of the stock appreciation units, that will be recognized through settlement. Included in the outstanding stock appreciation units at December 31, 2016 were 0.2 million shares of market-based stock appreciation units granted to key personnel which were granted during 2013. These market-based units vested in September 2016 upon the satisfaction of the market condition requiring the average closing price of the Company’s common stock over a period of 20 consecutive trading days to be equal to or greater than $15.00 per share and the recipients remaining in continuous service with the Company through such period. The Company recorded approximately $0.9 million in related stock-based compensation for these stock appreciation units in 2016. Employee Stock Purchase Plan The Company issued 350,655 shares under the 2010 ESPP during the year ended December 31, 2016. As of December 31, 2016, there was $0.9 million of unrecognized stock-based compensation expense for stock purchase rights that will be recognized over the remaining offering period, through November 2017.

Income taxes

Income taxes	12 Months Ended
	Dec. 31, 2016
Income taxes
Income taxes	15. Income taxes The provision for income taxes is based upon the income (loss) before income taxes as follows (in thousands): Years Ended December 31, 2016 2015 2014 U.S. operations $ $ $ Non-U.S. operations $ $ $ The components of the provision for income taxes consisted of the following (in thousands): Years Ended December 31, 2016 2015 2014 Current Federal $ $ $ State Foreign Deferred Federal — State — — — Foreign Total provision $ $ $ The provision for income taxes differs from the amount obtained by applying the U.S. federal statutory tax rate as follows (in thousands, except percentages): Years Ended December 31, 2016 2015 2014 Federal statutory rate % % % Tax at federal statutory rate $ $ $ State taxes, net of federal benefit Subpart F income Nondeductible expenses Stock-based compensation Change in valuation allowance Research and development Foreign rate differences Escrow settlement — — Foreign tax credit Change in prior year deferred balances Other Total provision for income taxes from continuing operations $ $ $ Deferred income tax assets and liabilities comprise the following (in thousands): December 31, 2016 2015 Deferred Tax Assets: Net operating loss carryforwards $ $ Federal and state credits Reserves, accruals and other Fixed assets and intangibles Total deferred tax assets Valuation allowance Total deferred tax assets, net of valuation allowance Less deferred tax liabilities: Acquired intangibles Property, plant and equipment — Net deferred tax assets $ $ Reported as: Long term deferred tax assets, included within other long-term assets $ $ Long term deferred income tax liabilities, included within noncurrent liabilities Net deferred tax assets $ $ The net valuation allowance increased by $1.1 million in 2016 and decreased by $2.3 million in 2015. The changes are primarily due to changes in the U.S. deferred tax assets. The Company did not record a full valuation allowance against its net deferred tax assets in most foreign jurisdictions as it believes these deferred tax assets were realizable on a more likely than not basis as of December 31, 2016. Based upon the weight of available evidence, which includes the Company’s historical operating performance and the reported cumulative net losses to date, the Company continues to maintain a full valuation allowance against its net U.S. deferred tax assets with the exception of indefinite deferred tax liabilities. As of December 31, 2016, the Company had federal and state net operating loss, or NOL, carryforwards of $207.3 million and $51.0 million, respectively. Federal NOL carryforwards start to expire in 2018 and a portion of the California NOL carryforwards will begin to expire in 2017. There are $8.6 million in NOL carryforwards related to excess tax benefits from stock options which will be credited to additional paid-in capital when realized. At December 31, 2016, the Company also had federal and state research credit carryovers of $7.3 million and $14.5 million, respectively. The federal credits will begin to expire in 2018 and the state credits can be carried forward indefinitely. The Company also had $10.3 million of foreign tax credit carryforwards which will start to expire in 2022 if not utilized. Utilization of NOL carryforwards and carried over tax credits may be subject to substantial annual limitation due to federal and state ownership limitations. The annual limitation may result in the expiration of NOL and tax credit carryforwards before utilization. The deferred tax assets listed above do not include NOL carryforwards that are expected to expire unutilized as a result of existing ownership changes. As of December 31, 2016, the Company’s undistributed earnings of foreign subsidiaries were $30.7 million. Undistributed earnings of foreign subsidiaries are considered to be indefinitely reinvested and, accordingly no provisions for federal and state income taxes have been provided thereon. Upon distribution of those earnings in the forms of dividends or otherwise, the Company would be subject to U.S. income taxes (subject to adjustment for foreign tax credits). Determination of the amount of unrecognized deferred income tax liability related to these earnings is not practicable and the amount is expected to be immaterial. One of the Company’s China subsidiaries qualified for a preferential 15% tax rate that is available under the China Enterprise Income Tax Law, or the EIT law, for new and high technology enterprises and was granted a 15% tax rate for tax years 2015 and 2014. In June 2016, China’s State Administration of Taxation issued a notice to adjust the requirements for high technology enterprise status and as a result, the Company’s China subsidiary did not meet the requirements for the tax year 2016 and computed its tax provision for 2016 based on a 25% regular corporate tax rate and remeasured its deferred tax assets accordingly. The Company realized benefits from the reduced tax rate of $0.9 million and $0.5 million in the years ended December 31, 2015 and 2014, respectively. At December 31, 2016, the Company’s gross unrecognized tax benefits were approximately $23.6 million, of which $0.2 million would impact the effective tax rate if recognized. Substantial portion of these unrecognized tax benefits could be subject to a valuation allowance if and when recognized in a future period, which could impact the timing of any related effective tax rate benefit. The Company does not believe that the amount of unrecognized tax benefits will change significantly in the next twelve months. There were no interest or penalties related to unrecognized tax benefits. The Company’s policy is to classify interest and penalties associated with unrecognized tax benefits as income tax expense. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): Balance at December 31, 2013 $ Gross increases for tax positions of current year Reductions resulting from lapse of applicable statute of limitations Balance at December 31, 2014 Gross increases for tax positions of current year Balance at December 31, 2015 Gross increases for tax positions of current year Balance at December 31, 2016 $ The Company’s material tax jurisdictions are the United States federal, California, Japan and China. As a result of NOL carryforwards, substantially all of the Company’s tax years remain open to U.S. federal and state tax examination. All of Japan’s tax years remain open for Japanese tax examination. Tax years for 2011 and forward remain open for Chinese tax examination.

Segment and geographic informat

Segment and geographic information	12 Months Ended
	Dec. 31, 2016
Segment and geographic information
Segment and geographic information	16. Segment and geographic information The Company’s Chief Executive Officer, who is considered to be the chief operating decision maker, manages the Company’s operations as a whole and reviews financial information presented on a consolidated basis for purposes of evaluating financial performance and allocating resources. In 2016, 2015 and 2014, the Company operated in one reportable segment. Through 2016, the Company has aligned its products to High Speed Products and Network Products and Solutions. The following presents revenue by product group (in thousands): Years Ended December 31, 2016 2015 2014 Revenue: High Speed Products $ $ $ Network Products and Solutions Total revenue $ $ $ The following tables set forth the Company’s revenue and asset information by geographic region. Revenue is classified based on the ship to location of the customer. Such classification recognizes that for many customers, including those in North America or in Europe, designated shipping points are often in China or elsewhere in Asia (in thousands): Years Ended December 31, 2016 2015 2014 Revenue: China $ $ $ United States Japan Rest of world Total revenue $ $ $ As of December 31, 2016 2015 Property, plant and equipment, net: China $ $ United States Japan Rest of world Total $ $

Selected Quarterly Financial Da

Selected Quarterly Financial Data (unaudited)	12 Months Ended
	Dec. 31, 2016
Selected Quarterly Financial Data
Selected Quarterly Financial Data (unaudited)	17. Selected Quarterly Financial Data (unaudited) The following tables set forth a summary of the Company’s quarterly financial information for each of the four quarters for the years ended December 31, 2016 and 2015: First Second Third Fourth Year ended December 31, 2016 Quarter Quarter Quarter Quarter (In thousands, except per share data) Revenues $ $ $ $ Gross profit Net income (loss) Basic net income (loss) per share $ $ $ $ Diluted net income (loss) per share $ $ $ $ Weighted averages shares used to compute basic net income (loss) per share Weighted averages shares used to compute diluted net income (loss) per share First Second Third Fourth Year ended December 31, 2015 Quarter Quarter Quarter Quarter (In thousands, except per share data) Revenues $ $ $ $ Gross profit Net income Basic and diluted net income per share $ — $ $ $ Weighted averages shares used to compute basic net income per share Weighted averages shares used to compute diluted net income per share

Subsequent event

Subsequent event	12 Months Ended
	Dec. 31, 2016
Subsequent Event
Subsequent event	18. Subsequent Events Subsequent events included the following: Repayment of Comerica Credit Facility In January 2017, the Company repaid the outstanding balance under the Comerica credit facility, which was $23.8 million as of December 31, 2016. Sale of Assets In January 2017, the Company completed the sale of its Low Speed Transceiver Products’ assets to APAT Optoelectronics Components Co., Ltd. (“APAT OE”) pursuant to an Asset Purchase Agreement dated December 14, 2016. The transaction consists of approximately $25.0 million (in RMB equivalent) purchase price plus an approximately $1.4 million (in RMB equivalent) post-closing transition services fees to be delivered under a transition services agreement with APAT OE. The outstanding supply chain purchase commitments and value-added tax obligations will also be assumed by APAT OE. The purchase price was reduced by $3.4 million after closing for inventory adjustment and is subject to other adjustments of up to $10.0 million for any potential indemnification claims. All of these products were part of the Company’s Network Products and Solutions product group and include the low speed passive optical network, or PON, products for which the end-of-life plan was announced in mid-2016.

Basis of presentation and signi

Basis of presentation and significant accounting policies (Policies)	12 Months Ended
	Dec. 31, 2016
The Company and basis of presentation
Use of estimates	Use of estimates The preparation of financial statements in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported revenue and expenses during the reporting period. Significant estimates made by management include: the useful lives of property, plant and equipment and intangible assets as well as future cash flows to be generated by those assets; fair values of identifiable assets acquired and liabilities assumed in business combinations; allowances for doubtful accounts; valuation allowances for deferred tax assets; write off of excess and obsolete inventories; the valuation of the Rusnano payment derivative and the valuations and recognition of stock-based compensation, among others. Actual results could differ from these estimates.
Concentration	Concentration of credit risk and significant customers Financial instruments that potentially subject the Company to concentrations of credit risk are primarily cash and cash equivalents and trade accounts receivable. The Company’s investment policy requires cash and cash equivalents to be placed with high-credit quality institutions and limits on the amount of credit risk from any one issuer. The Company performs ongoing credit evaluations of its customers’ financial condition whenever deemed necessary and generally does not require collateral. The Company maintains an allowance for doubtful accounts based upon the expected collectability of all accounts receivable, which takes into consideration an analysis of historical bad debts, specific customer creditworthiness and current economic trends. For the year ended December 31, 2016, two customers accounted for 50% and 15% of the Company’s total revenue. For the year ended December 31, 2015, two customers accounted for 44% and 21% of the Company’s total revenue. For the year ended December 31, 2014, three customers accounted for 38%, 15% and 10% of the Company’s total revenue. The percentage of revenue from top ten customers was 91%, 91% and 88% for the years ended December 31, 2016, 2015 and 2014, respectively. As of December 31, 2016, three customers accounted for approximately 42%, 12% and 12%, respectively, of the Company’s total accounts receivable. As of December 31, 2015, one customer accounted for 59% of the Company’s total accounts receivable.
Restricted cash	Restricted cash As a condition of the notes payable lending arrangements and the line of credit facilities, the Company is required to keep a compensating balance at the issuing banks. In addition, the Company also maintained restricted cash in connection with the asset purchase agreement executed in December 2016, see Note 8. These balances have been excluded from the Company’s cash and cash equivalents balance and are classified as restricted cash in the Company’s consolidated balance sheets. As of December 31, 2016 and 2015, the amount of restricted cash was $4.1 million and $2.7 million, respectively.
Cash, cash equivalents and investments	Cash, cash equivalents and investments Highly liquid investments with a maturity of 90 days or less at the date of purchase are considered cash equivalents, with the exception of money market funds and commercial paper which are classified as short-term investments. Marketable securities are reported at fair value and are classified as available-for-sale investments in our current assets because they represent investments of cash available for current operations and for strategic reasons. As a result, the Company recorded all its marketable securities in short-term investments regardless of the contractual maturity date of the securities. The Company regularly reviews its investment portfolio to identify and evaluate investments that have indications of possible impairment. Factors considered in determining whether a loss is other-than-temporary include: the length of time and extent to which the fair market value has been lower than the cost basis, the financial condition and near-term prospects of the investee, credit quality, likelihood of recovery, and the Company’s ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in fair market value. Unrealized gains and losses, net of tax, are included in accumulated other comprehensive loss as a separate component of stockholders’ equity on the consolidated balance sheets. The amortization of premiums and discounts on the investments, and realized gains and losses on available-for-sale securities are included in other income, net in the consolidated statements of operations. The Company uses the specific-identification method to determine cost in calculating realized gains and losses upon the sale of its marketable securities.
Fair Value Measurements	Fair Value Measurements Fair value is defined as the price at which an asset could be exchanged in a current transaction between knowledgeable, willing parties. A liability’s fair value is defined as the amount that would be paid to transfer the liability to a new obligor, not the amount that would be paid to settle the liability with the creditor. Where available, fair value is based on observable market prices or parameters or derived from such prices or parameters. Where observable prices or inputs are not available, valuation models are applied. These valuation techniques involve some level of management estimation and judgment, the degree of which is dependent on the price transparency for the instruments or market and the instruments’ complexity. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The authoritative accounting guidance describes a fair value hierarchy based on three levels of inputs that may be used to measure fair value, of which the first two are considered observable and the last is considered unobservable. These levels of inputs are as follows: Level 1—Observable inputs such as unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2—Inputs (other than quoted prices included in Level 1) are either directly or indirectly observable for the asset or liability. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3—Unobservable inputs that reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model. For marketable securities measured at fair value using Level 2 inputs, we review trading activity and pricing for these investments as of the measurement date. When sufficient quoted pricing for identical securities is not available, we use market pricing and other observable market inputs for similar securities obtained from various third party data providers. These inputs either represent quoted prices for similar assets in active markets or have been derived from observable market data.
Accounts receivable	Accounts receivable Accounts receivable include trade receivables and notes receivable from customers. The notes are generally due within six months. The Company receives notes receivable in exchange for accounts receivable from certain customers in China that are secured by the customer’s affiliated financial institution. An allowance for doubtful accounts is calculated based on the aging of the Company’s trade receivables, historical experience, and management judgment. The Company writes off trade receivables against the allowance when management determines a balance is uncollectible and is no longer actively pursuing collection of the receivable.
Inventories	Inventories Inventories consist of on-hand raw materials, work-in-progress inventories and finished goods. Raw materials and work-in-progress inventories are stored mainly on the Company’s premises. Finished goods are stored on the Company’s premises as well as on consignment at certain customer sites. Inventories are stated at the lower of standard cost, which approximates actual cost determined on the weighted average basis, or market value. Inventories are recorded using the first-in, first-out method. The Company routinely evaluates quantities and values of inventories in light of current market conditions and market trends, and records a write-down for quantities in excess of demand and product obsolescence. The evaluation may take into consideration historic usage, expected demand, anticipated sales price, new product development schedules, the effect new products might have on the sale of existing products, product obsolescence, customer concentrations, product merchantability and other factors. Market conditions are subject to change and actual consumption of inventory could differ from forecasted demand. The Company also regularly reviews the cost of inventories against their estimated market value and records a lower of cost or market write-down for inventories that have a cost in excess of estimated market value, resulting in a new cost basis for the related inventories which is not reversed.
Business Combinations	Business Combinations We allocate the fair value of purchase consideration to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values as of the close of acquisition. The excess of the fair value of purchase consideration over the fair values of these identifiable assets and liabilities is recorded as goodwill. When determining the fair values of assets acquired and liabilities assumed, management makes significant estimates and assumptions through established and generally accepted valuation techniques. Fair value estimates are based on the assumptions management believes a market participant would use in pricing the asset or liability. Critical estimates in valuing certain intangible assets include, but are not limited to, future expected cash flows from customer relationships and acquired patents and developed technology; and discount rates. Management’s estimates of fair value are based upon assumptions believed to be reasonable, but which are inherently uncertain and unpredictable and, as a result, actual results may differ from estimates. Amounts recorded in a business combination may change during the measurement period, which is a period not to exceed one year from the date of acquisition, as additional information about conditions existing at the acquisition date becomes available.
Goodwill	Goodwill Goodwill is reviewed for impairment annually in the fourth fiscal quarter or more frequently if events or changes in circumstances indicate that the carrying value of goodwill may not be recoverable. The Company will assess the qualitative factors to determine whether it is more likely than not that the fair value of its reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment. If the Company determines that it is more likely than not that its fair value is less than its carrying amount, then the two-step goodwill impairment test is performed. The first step, identifying a potential impairment, compares the fair value of the reporting unit with its carrying amount. If the carrying amount exceeds its fair value, the second step would need to be performed; otherwise, no further steps are required. The second step, measuring the impairment loss, compares the implied fair value of the goodwill with the carrying amount of the goodwill. Any excess of the goodwill carrying amount over the implied fair value is recognized as an impairment loss, and the carrying value of goodwill is written down to fair value. The Company had no goodwill impairment in 2016 or 2015.
Long-lived assets	Long-lived assets Property, plant and equipment are stated at cost, net of accumulated depreciation and amortization. Repairs and maintenance costs are expensed as incurred. Depreciation and amortization are computed using the straight-line method over the following estimated useful lives: Buildings 20-30 years Machinery and equipment 2-7 years Furniture, fixtures and office equipment 3-5 years Software 5-7 years Leasehold improvements life of the asset or lease term, if shorter Intangible assets acquired in a business combination are recorded at fair value. Identifiable finite-lived intangible assets are amortized over the period of estimated benefit using the straight-line method, reflecting the pattern of economic benefits associated with these assets. The estimated useful lives of the Company’s finite-lived intangible assets generally range from two to seven years. The acquired land use rights in China have an estimated useful life of 45 years. Assets held for sale are measured at the lower of carrying value or the fair value less cost to sell. The carrying value of intangible assets and other long-lived assets is reviewed on a regular basis for the existence of facts or circumstances, both internally and externally, that may suggest impairment. Some factors which the Company considers to be triggering events for impairment review include a significant decrease in the market value of an asset, a significant change in the extent or manner in which an asset is used, a significant adverse change in the business climate that could affect the value of an asset, an accumulation of costs for an asset in excess of the amount originally expected, a current period operating loss or cash flow decline combined with a history of operating loss or cash flow uses or a projection that demonstrates continuing losses and a current expectation that, it is more likely than not, a long-lived asset will be disposed of at a loss before the end of its estimated useful life. If one or more of such facts or circumstances exist, the Company will evaluate the carrying value of long-lived assets to determine if impairment exists by comparing it to estimated undiscounted future cash flows over the remaining useful life of the assets. If the carrying value of the assets is greater than the estimated future cash flow, the assets are written down to the estimated fair value. The Company’s cash flow estimates contain management’s best estimates, using appropriate and customary assumptions and projections at the time. Any write-down would be treated as a permanent reduction in the carrying amount of the asset and an operating loss would be recognized. There were no asset impairment charges in 2016. The Company recorded asset impairment charges of $0.4 million in 2015 related to certain held-for-sale property, plant and equipment and $1.1 million in 2014 related to certain leasehold improvements.
Revenue recognition	Revenue recognition Revenue is derived from the sale of the Company’s products. The Company recognizes revenue provided that persuasive evidence of an arrangement exists, delivery has occurred, the price is fixed or determinable and collectability is reasonably assured. Contracts and/or customer purchase orders are used to determine the existence of an arrangement. Delivery is considered to have occurred when title and risk of loss have transferred to the customer. The price is equal to the amount invoiced to the customer and is not subject to adjustment and customers do not have the right of return. The Company evaluates the creditworthiness of its customers to determine that appropriate credit limits are established prior to the acceptance of an order. Revenue is recognized when the product is delivered and title have transferred to the buyer. The Company generally bears all costs and risks of loss or damage to the goods up to that point. Revenue related to the sale of consignment inventory at customer vendor managed locations is not recognized until the product is pulled from inventory stock by customers. In instances where acceptance of the product or solutions is specified by the customer, revenue is deferred until such required acceptance criteria have been met. Shipping and handling costs are included in the cost of goods sold. The Company presents revenue net of sales taxes and any similar assessments.
Product warranties	Product warranties The Company generally provides warranties to cover defects in workmanship, materials and manufacturing for a period of one to three years to meet the stated functionality as agreed to in each sales arrangement. Products are tested against specified functionality requirements prior to delivery, but the Company nevertheless from time to time experiences claims under its warranty guarantees. The Company accrues for estimated warranty costs under those guarantees based upon historical experience, and for specific items, at the time their existence is known and the amounts are determinable.
Research and development	Research and development Research and development expense consists of personnel costs, including stock-based compensation expense, for the Company’s research and development personnel and product development costs, including engineering services, development software and hardware tools, depreciation of capital equipment and facility costs. Research and development costs are expensed as incurred.
Advertising costs	Advertising costs Advertising costs are expensed as incurred and, to date, have not been significant.
Stock-based compensation	Stock-based compensation The Company grants stock-based awards to employees, consultants and directors. The stock-based awards, including stock options, restricted stock units, employee stock purchase rights, stock appreciation units and market-based awards, are accounted for at estimated fair values. Vesting of stock-based awards is generally subject to the grantee’s continuing service to the Company. The Company generally determines the fair value of stock options and stock appreciation rights utilizing the Black-Scholes-Merton option-pricing model, or a lattice-binomial option-pricing model for stock-based awards with a market condition. The fair value of employee grants is measured on the date of grant and then recognized over the period during which an employee is required to provide services in exchange for the award, known as the requisite service period (usually the vesting period) on a straight-line basis. The fair value of non-employee grants is measured on the date of grant and then marked to market until vest dates and then recognized over the requisite service period. The Company records expense and an equal adjustment to the liability for stock appreciation units equal to the fair value of the vested portion of the awards as of each period end. Each reporting period thereafter, compensation expense will be recorded based on the remaining service period and the then fair value of the award until vesting of the award is completed. After vesting is completed, the Company will continue to re-measure the fair value of the liability each reporting period until the award is exercised or expires, with changes in the fair value of the liability recorded in the consolidated statements of operations. Restricted stock units are valued at the closing sales price as quoted on the New York Stock Exchange on the date of grant, and are converted into shares of common stock upon vesting on a one-for-one basis. The compensation expense related to the restricted stock units is determined using the fair value of common stock on the date of grant, and the expense is recognized on a straight-line basis over the vesting period. Employee stock purchase rights are accounted for at fair value, utilizing the Black-Scholes-Merton option-pricing model. The expense for each purchase period is recognized on a straight-line basis over the requisite service period, from the beginning of the offering period through the respective purchase date. Stock-based compensation expense for modified stock-based awards are recognized using the pool approach, under which the remaining compensation cost from the original awards plus the incremental costs, if any, of the related modified awards is recognized in its entirety over the remaining portion of the requisition service period of the corresponding modified awards. Stock-based compensation expense recognized at fair value includes the impact of estimated forfeitures. The Company estimates future forfeitures at the date of grant and revises the estimates, if necessary, in subsequent periods if actual forfeitures differ from those estimates.
Income taxes	Income taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the carrying amounts of existing assets and liabilities in the financial statements and their respective tax bases, and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities from a change in tax rates is recognized in the consolidated statement of operations in the period that includes the enactment date. The Company operates in various tax jurisdictions and is subject to audit by various tax authorities. In preparing the Company’s consolidated financial statements, the Company is required to estimate its taxes in each of the jurisdictions in which it operates. The Company estimates actual current tax exposure as well as assesses temporary differences resulting from different treatment of items, such as accruals and allowances not currently deductible for tax purposes. These differences result in deferred tax assets which represent future tax benefits to be received when certain expenses previously recognized in the financial statements become deductible expenses under applicable income tax laws, or loss credit carryforwards are utilized. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of a deferred tax asset will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. A valuation allowance is recorded for loss carryforwards and other deferred tax assets where it is more likely than not that such deferred tax assets will not be realized. The Company classifies its net deferred tax assets as other long-term assets and deferred tax liabilities as noncurrent liabilities on its consolidated balance sheet.
Foreign currency	Foreign currency Generally the functional currency of the Company’s international subsidiaries is the local currency. The Company translates the financial statements of these subsidiaries to U.S. dollars using month-end rates of exchange for assets and liabilities, and average rates of exchange for revenue, costs, and expenses. Translation gains and losses are recorded in accumulated other comprehensive income (loss) as a component of stockholders’ equity. Effective July 1, 2016, the Company has established a hedging program using monthly forward exchange contracts as economic hedges to protect against volatility of foreign exchange rate exposure of its net intercompany activities based on a cost-benefit analysis that considers that magnitude of the exposure, the volatility of the exchange rate and the cost of the hedging instruments. The forward contracts are not designated for hedge accounting and are marked to market at fair value and reported as either other current assets or accounts payable. Any changes in the fair value are recorded as foreign exchange gain (loss) and help mitigate the changes in the value of the underlying net intercompany balances. In 2016, the Company recognized a $1.6 million loss relating to its foreign currency contracts within other income, net. Net foreign exchange gain (loss) was ($0.1) million, $3.4 million, and $3.1 million in 2016, 2015, and 2014, respectively. These gains and losses were recorded as other income (expense), net in the Company’s consolidated statements of operations. The Company presents the cash flows relating to these foreign exchange contracts as investing activities in its consolidated statements of cash flows.
Net income (loss) per share	Net income (loss) per share Basic net income (loss) per share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding for the period. Diluted net income (loss) per share is calculated by dividing net income (loss) by the weighted average number of common shares and potential dilutive common share equivalents outstanding during the period if the effect is dilutive.
Recent accounting pronouncements	Recent accounting pronouncements In November 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASC 2016-18”). This standard provides guidance on the classification and presentation of restricted cash in the statement of cash flows and must be applied retrospectively. ASU 2016-18 is effective for fiscal years beginning after December 15, 2017. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory (“ASU 2016-16”). This standard provides guidance on the tax accounting for the transferring and receiving entities upon transfer of an asset. ASU 2016-16 is effective for the Company’s interim and annual periods beginning after December 15, 2017 and should be applied on a modified retrospective basis. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”). This standard provides guidance on the classification of certain cash receipts and payments in the statement of cash flows . It is effective, retrospectively, for the Company’s annual and interim reporting periods beginning after December 15, 2017 or prospectively from the earliest data practicable if retrospective application is impracticable. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 amends existing guidance on the impairment of financial assets and adds an impairment model that is based on expected losses rather than incurred losses and requires an entity to recognize as an allowance its estimate of expected credit losses for its financial assets. An entity will apply this guidance through a cumulative-effect adjustment to retained earnings upon adoption (a modified-retrospective approach) while a prospective transition approach is required for debt securities for which an other-than-temporary impairment had been recognized before the effective date. It is effective for the Company’s annual and interim reporting periods beginning after December 15, 2019. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”). ASU 2016-09 simplifies several aspects of the accounting for employee share-based payment transactions, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. Early adoption is permitted. This guidance was effective, and adopted by the Company, on January 1, 2017. The impact on the Company’s consolidated financial statements upon the adoption of this standard was immaterial. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) (“ASU 2016-02”). ASU 2016-02 introduces a lessee model that requires recognition of assets and liabilities arising from qualified leases on the consolidated financial statements and the qualitative and quantitative disclosures about lease transactions. It is effective for interim and annual periods beginning after December 15, 2018. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016-01”). ASU 2016-01 revises an entity’s accounting related to (1) the classification and measurement of investments in equity securities and (2) the presentation of certain fair value changes for financial liabilities measured at fair value. It also amends certain disclosure requirements associated with the fair value of financial instruments and is effective for the Company’s annual and interim reporting periods beginning after December 15, 2017. Early adoption is permitted. The Company is in the process of evaluating the impact of adoption on its consolidated financial statements. In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory (“ASU 2015-11”). ASU 2015-11 requires entities to measure most inventory “at the lower of cost and net realizable value” for inventories that are not measured by using either the last-in, first-out method or the retail inventory method. This guidance is effective, and adopted by the Company, on January 1, 2017. Early adoption is permitted. The impact on the Company’s consolidated financial statements upon the adoption of this standard was immaterial. In May 2014, the FASB issued ASU N o. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”). The standard, along the amendments issued in 2016 and 2015, provides companies with a single model for use in accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance, including industry-specific revenue guidance. The core principle of the model is to recognize revenue when control of the goods or services transfers to the customer, as opposed to recognizing revenue when the risks and rewards transfer to the customer under the existing revenue guidance. This standard, as amended, is effective for annual and interim periods beginning after December 15, 2017 and permits entities to early adopt for annual and interim reporting periods beginning after December 15, 2016. Companies are permitted to either apply the requirements retrospectively to all prior periods presented, or apply the requirements in the year of adoption, through a cumulative adjustment. The Company expects to adopt this standard, as amended, effective January 1, 2018 and is in the process of evaluating the impact of adoption on its consolidated financial statements.

Summary of significant accoun28

Summary of significant accounting policies (Tables)	12 Months Ended
	Dec. 31, 2016
Summary of significant accounting policies
Estimated Useful Lives of Property, Plant and Equipment	Property, plant and equipment are stated at cost, net of accumulated depreciation and amortization. Repairs and maintenance costs are expensed as incurred. Depreciation and amortization are computed using the straight-line method over the following estimated useful lives: Buildings 20-30 years Machinery and equipment 2-7 years Furniture, fixtures and office equipment 3-5 years Software 5-7 years Leasehold improvements life of the asset or lease term, if shorter

Cash, cash equivalents, short29

Cash, cash equivalents, short-term investments, and restricted cash and investments (Tables)	12 Months Ended
	Dec. 31, 2016
Cash, cash equivalents, short-term investments, and restricted cash
Schedule of Restricted Cash and Cash Equivalents	The following table summarizes the Company’s cash, cash equivalents, short-term investments, and restricted cash at December 31, 2016 and 2015 (in thousands): December 31, December 31, 2016 2015 Cash and cash equivalents: Cash $ $ Cash equivalents Cash and cash equivalents $ $ Short-term investments $ $ Restricted cash $ $
Summary of Unrealized Gains and Losses Related to Cash Equivalents and Investments in Marketable Securities	The following table summarizes the Company’s unrealized gains and losses related to the cash equivalents and short-term investments in marketable securities designated as available-for-sale (in thousands): As of December 31, 2016 As of December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Loss Fair Value Amortized Cost Gross Unrealized Loss Fair Value Marketable securities: Money market accounts $ $ — $ — $ $ $ — $ Money market funds — — — Corporate debt securities Government agency securities — U.S. government securities — Sovereign government bonds — — Total $ $ $ $ $ $ $ Reported as: Cash equivalents $ $ — $ — $ $ $ — $ Short-term investments Total $ $ $ $ $ $ $
Maturities of Marketable Securities	As of December 31, 2016 and 2015, maturities of marketable securities were as follows (in thousands): December 31, December 31, 2016 2015 Less than 1 year $ $ Due in 1 to 2 years Due in 3 to 5 years — Total $ $

Fair value measurements (Tables

Fair value measurements (Tables)	12 Months Ended
	Dec. 31, 2016
Fair value measurements
Fair Value of Financial Assets	The following table presents the Company’s assets that are measured at fair value on a recurring basis (in thousands): As of December 31, 2016 As of December 31, 2015 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash equivalents and short-term investments: Money market funds $ $ — $ — $ $ $ — $ — $ U.S. government securities — — — — Money market accounts — — — — Corporate debt securities — — — — Government agency securities — — — — Sovereign government bonds — — — — Total $ $ $ — $ $ $ $ — $ Mutual funds held in Rabbi Trust, recorded in other long-term assets $ $ — $ — $ $ $ — $ — $
Fair Value of Financial Liabilities	The following table presents the Company’s liabilities that are measured at fair value on a recurring basis (in thousands): As of December 31, 2016 As of December 31, 2015 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Rusnano payment derivative $ — $ — $ $ $ — $ — $ $ Foreign currency forward contracts — — — — — — $ — $ $ $ $ — $ — $ $

Net income (loss) per share (Ta

Net income (loss) per share (Tables)	12 Months Ended
	Dec. 31, 2016
Net income (loss) per share
Computation of Basic and Diluted Net Income per Share	The following table sets forth the computation of the basic and diluted net income (loss) per share attributable to NeoPhotonics Corporation common stockholders for the periods indicated (in thousands, except per share amounts): Years Ended December 31, 2016 2015 2014 Numerator: Net income (loss) $ $ $ Denominator: Weighted average shares used to compute per share amount: Basic Dilutive effect of equity awards — — Diluted Basic net income (loss) per share $ $ $ Diluted net income (loss) per share $ $ $
Potentially Dilutive Securities Excluded from Computation of Diluted Net Income per Share Attributable to Common Stockholders	The Company has excluded the impact of the following outstanding employee stock options, restricted stock units, common stock warrants and shares expected to be issued under its employee stock purchase plan from the computation of diluted net income (loss) per share, as their effect would have been antidilutive (in thousands): December 31, 2016 2015 2014 Employee stock options Restricted stock units Employee stock purchase plan

Business combinations (Tables)

Business combinations (Tables) - Tunable Laser Product Lines From EMCORE Corporation [Member]	12 Months Ended
	Dec. 31, 2016
Summary of Purchase Accounting and Tangible and Intangible Assets Acquired and Liabilities Assumed	The following table summarizes the allocation of the assets acquired and liabilities assumed as of the acquisition date and subsequent adjustments (in thousands): Total purchase consideration: Cash paid $ Notes payable Total $ Fair value of assets acquired: Accounts receivable $ Inventories Prepaid expenses and other current assets Property, plant and equipment Intangible assets acquired: Developed technology Customer relationships Total $ Less: fair value of liabilities assumed: Accounts payable $ Accrued liabilities Total $ Goodwill $
Purchase Price Allocation of Intangible Assets	The following table presents details of the purchase price allocated to the acquired intangible assets at the acquisition date: Useful Purchased Life intangible assets (In years) (In thousands) Developed technology 7 $ Customer relationships 2 Total purchased intangible assets $
Pro forma Information for Business Acquisition	The unaudited pro forma results do not assume any operating efficiencies as a result of the consolidation of operations (in thousands, except per share data): Years Ended December 31, 2015 2014 Revenue $ $ Net income (loss) $ $ Basic net income (loss) per share $ $ Diluted net income (loss) per share $ $

Purchased intangible assets (Ta

Purchased intangible assets (Tables)	12 Months Ended
	Dec. 31, 2016
Purchased intangible assets
Purchased Intangible Assets	Purchased intangible assets consist of the following (in thousands): December 31, 2016 December 31, 2015 Gross Accumulated Net Gross Accumulated Net Assets Amortization Assets Assets Amortization Assets Technology and patents $ $ $ $ $ $ Customer relationships Leasehold interest $ $ $ $ $ $
Amortization Expense of Purchased Intangible Assets	The following table presents details of the amortization expense of the Company’s purchased intangible assets as reported in the consolidated statements of operations (in thousands): Years ended December 31, 2016 2015 2014 Cost of goods sold $ $ $ Operating expenses Total $ $ $
Estimated Future Amortization Expense of Purchased Intangible Assets	The estimated future amortization expense of purchased intangible assets as of December 31, 2016, is as follows (in thousands): 2017 $ 2018 2019 2020 2021 Thereafter $

Balance sheet components (Table

Balance sheet components (Tables)	12 Months Ended
	Dec. 31, 2016
Balance Sheet Components
Restricted Cash	Restricted cash was as follows (in thousands): December 31, 2016 2015 Restricted in connection with notes payable and short-term borrowing (see Note 10) $ $ Restricted in connection with asset purchase agreement (see Note 18) — Total restricted cash $ $ Reported as: Restricted cash $ $
Accounts Receivable, Net	Accounts receivable, net were as follows (in thousands): December 31, 2016 2015 Accounts receivable $ $ Trade notes receivable Allowance for doubtful accounts $ $
Summary of Movement in Allowance for Doubtful Accounts	The table below summarizes the movement in the Company’s allowance for doubtful accounts (in thousands): Balance at December 31, 2013 $ Provision for bad debt Write-offs, net of recoveries Balance at December 31, 2014 Provision for bad debt Write-offs, net of recoveries Balance at December 31, 2015 Provision for bad debt Write-offs, net of recoveries Balance at December 31, 2016 $
Inventories, net	Inventories were as follows (in thousands): December 31, 2016 2015 Raw materials $ $ Work in process Finished goods (1) $ $
Prepaid Expenses and Other Current Assets	December 31, 2016 2015 Prepaid taxes and taxes receivable $ $ Deposits and other prepaid expenses Other receivable $ $
Property, Plant and Equipment, Net	Property, plant and equipment, net were as follows (in thousands): December 31, 2016 2015 Land $ $ Buildings Machinery and equipment Furniture, fixtures, software and office equipment Leasehold improvements Less: Accumulated depreciation $ $
Assets Held for Sale	Assets held for sale: Inventories $ Property, plant and equipment Total $
Accrued and Other Current Liabilities	Accrued and other current liabilities were as follows (in thousands): December 31, 2016 2015 Employee-related $ $ Income and other taxes payable Deferred revenue, current Accrued warranty Rusnano payment derivative Other accrued expenses $ $
Accrued Warranty	The table below summarizes the movement in the warranty accrual, which is included in accrued and other current liabilities (in thousands): Years ended December 31, 2016 2015 2014 Beginning balance $ $ $ Warranty accruals Settlements Ending balance $ $ $
Other Noncurrent Liabilities	Other noncurrent liabilities were as follows (in thousands): December 31, 2016 2015 Pension and other employee-related $ $ Deferred rent Deferred revenue Deferred income tax liabilities Other $ $

Debt (Tables)

Debt (Tables)	12 Months Ended
	Dec. 31, 2016
Debt
Components of Debt, Obligations, Weighted Average Interest Rate and Additional Fair Value Information Relating to Outstanding Debt Instruments	The Company consolidated its various borrowing arrangements in 2015 to three group: Notes payable in China, short-term borrowing with Comerica Bank and long-term debt with Bank of Tokyo-Mitsubishi UFJ, Ltd. (the “Mitsubishi Bank”). The table below summarizes the carrying amount and weighted average interest rate of the Company’s notes payable and borrowings (in thousands, except percentages): December 31, 2016 December 31, 2015 Carrying Interest Carrying Interest Amount Rate Amount Rate Notes payable $ — $ — Short-term borrowing-Comerica Bank % % Total notes payable and short-term borrowing $ $ Long-term debt, current and non-current: Mitsubishi Bank loans $ % $ % Unaccreted discount and issuance costs within current portion of long-term debt Unaccreted discount and issuance costs within long-term debt, net of current portion Total long-term debt, net of unaccreted discount and issuance costs $ $ Reported as: Current portion of long-term debt $ $ Long-term debt, net of current portion Total long-term debt, net of unaccreted discount and issuance costs $ $
Maturities of Long-term Debt	At December 31, 2016, maturities of long-term debt were as follows (in thousands): 2017 $ 2018 2019 2020 2021 Thereafter $

Pension plans (Tables)

Pension plans (Tables)	12 Months Ended
	Dec. 31, 2016
Pension Plans
Funded Status Plans	The funded status of these plans for the years ended December 31, 2016, 2015 and 2014 was as follows (in thousands): 2016 2015 2014 RAP RAP RAP DBCPP Change in projected benefit obligation: Projected benefit obligation, beginning of period $ $ $ $ Service cost — — Interest cost Benefits paid — Actuarial (gain)/loss Curtailment/Settlement — — Transfer from DBCPP to RAP — — Currency translation adjustment Projected benefit obligation, end of period $ $ $ $ — Change in plan assets: Plan assets at fair value, beginning of period $ — $ — $ — $ Employer contributions — — — Benefits paid — — — Transfer to DCP — — — Currency translation adjustment — — — Plan assets at calculated amount, end of period $ — $ — $ — $ — Amounts recognized in consolidated balance sheets: Accrued and other current liabilities $ $ $ $ — Other noncurrent liabilities $ $ $ $ — Amount recognized in accumulated other comprehensive loss: Defined benefit pension plans adjustment $ $ $ $ — Accumulated benefit obligation, end of period $ $ $ $ —
Periodic Pension Cost	Net periodic pension cost associated with these plans for the years ended December 31, 2016, 2015 and 2014 included the following components (in thousands): 2016 2015 2014 RAP RAP RAP DBCPP Service cost $ — $ — $ $ Interest cost Other — — — Curtailment/settlement (gain) loss — — Net periodic pension (gain) costs $ $ $ $
Estimated Future Benefit Payments Under Plans	Estimated future benefit payments under the RAP are as follows (in thousands): 2017 $ 2018 2019 2020 2021 2022 - 2026 Thereafter $

Commitments and contingencies (

Commitments and contingencies (Tables)	12 Months Ended
	Dec. 31, 2016
Commitments and contingencies disclosure
Future Minimum Commitments Under All Operating Leases	The Company leases various facilities under non-cancelable operating leases. As of December 31, 2016, the future minimum commitments under the Company’s non-cancelable operating leases are as follows (in thousands): Years ending December 31, 2017 $ 2018 2019 2020 2021 Thereafter $

Stockholders' equity (Tables)

Stockholders' equity (Tables)	12 Months Ended
	Dec. 31, 2016
Stockholders’ equity disclosure
Schedule of Accumulated Other Comprehensive Income, Net of Related Taxes	The following table shows the components of accumulated other comprehensive loss, net of taxes, as of December 31, 2016 and 2015 (in thousands): December 31, 2016 December 31, 2015 Foreign currency translation adjustments $ $ Unrealized gains on available-for-sale securities Defined benefit pension plan adjustment $ $

Stock-based compensation (Table

Stock-based compensation (Tables)	12 Months Ended
	Dec. 31, 2016
Stock-based compensation
Summary of Stock Based Compensation Expense	The following table summarizes the stock-based compensation expense recognized for the years ended December 31, 2016, 2015 and 2014. Unamortized stock-based compensation costs capitalized as part of inventory were immaterial in each of the periods presented (in thousands): Years ended December 31, 2016 2015 2014 Cost of goods sold $ $ $ Research and development Sales and marketing General and administrative $ $ $
Estimated Fair Value of Certain Stock-Based Awards Using Black-Scholes-Merton Valuation Model	The Company estimated the fair value of certain stock-based awards using a Black-Scholes-Merton valuation model with the following assumptions: Years ended December 31, Stock options 2016 2015 2014 Weighted-average expected term (years) 5.75 5.33 5.36 Weighted-average volatility 65% 60% 62% Risk-free interest rate 1.01%-1.76% 1.37%-1.85% 1.62% – 2.00% Expected dividends — % — % — % Stock appreciation units Weighted-average expected term (years) 2.77 3.54 2.34 Weighted-average volatility 61% 62% 56% Risk-free interest rate 0.45%-1.47% 0.25%-1.57% 0.13% – 1.07% Expected dividends — % — % — % ESPP Weighted-average expected term (years) 0.73 0.69 0.65 Weighted-average volatility 54% 58% 54% Risk-free interest rate 0.39%-0.45% 0.03%-0.14% 0.05% – 0.13% Expected dividends — % — % — %
Summary of Stock Option and Restricted Stock Unit Activity	The following table summarizes the Company’s stock option and restricted stock unit, or RSU, activity during the year ended December 31, 2016: Stock Options Restricted Stock Units Weighted Weighted Shares Average Average Available Number of Exercise Number of Grant Date for Grant Shares Price Units Fair Value Balance at December 31, 2015 $ $ Authorized for issuance — — — — Granted Exercised/Converted — Cancelled/Forfeited Balance at December 31, 2016 $ $
Summary of Information about Stock Options Outstanding	The following table summarizes information about stock options outstanding as of December 31, 2016: Options Outstanding Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Value Shares Price Term (Years) (in Thousands) Vested and expected to vest $ $ Exercisable $ $
Summary of Information about Restricted Stock Units Outstanding	The following table summarizes information about RSUs outstanding as of December 31, 2016: Restricted Stock Units Outstanding Weighted Average Weighted Remaining Aggregate Number of Average Contractual Intrinsic Value Shares Exercise Price Term (Years) (in Thousands) Vested and expected to vest $ — $
Summary of Stock Appreciation Unit Activity	The following table summarizes the Company’s stock appreciation unit activity during the year ended December 31, 2016: Weighted- Stock Average Appreciation Exercise Units Price Stock appreciation units outstanding as of December 31, 2015 $ Stock appreciation units exercised $ Stock appreciation units cancelled $ Stock appreciation units outstanding as of December 31, 2016 $

Income taxes (Tables)

Income taxes (Tables)	12 Months Ended
	Dec. 31, 2016
Income taxes
Income (Loss) before Income Taxes	The provision for income taxes is based upon the income (loss) before income taxes as follows (in thousands): Years Ended December 31, 2016 2015 2014 U.S. operations $ $ $ Non-U.S. operations $ $ $
Components of Provision for Income Taxes	The components of the provision for income taxes consisted of the following (in thousands): Years Ended December 31, 2016 2015 2014 Current Federal $ $ $ State Foreign Deferred Federal — State — — — Foreign Total provision $ $ $
Difference in Provision for Income Taxes from Amount Obtained by Applying U.S. Federal Statutory Rate	The provision for income taxes differs from the amount obtained by applying the U.S. federal statutory tax rate as follows (in thousands, except percentages): Years Ended December 31, 2016 2015 2014 Federal statutory rate % % % Tax at federal statutory rate $ $ $ State taxes, net of federal benefit Subpart F income Nondeductible expenses Stock-based compensation Change in valuation allowance Research and development Foreign rate differences Escrow settlement — — Foreign tax credit Change in prior year deferred balances Other Total provision for income taxes from continuing operations $ $ $
Components of Deferred Income Tax Assets and Liabilities	Deferred income tax assets and liabilities comprise the following (in thousands): December 31, 2016 2015 Deferred Tax Assets: Net operating loss carryforwards $ $ Federal and state credits Reserves, accruals and other Fixed assets and intangibles Total deferred tax assets Valuation allowance Total deferred tax assets, net of valuation allowance Less deferred tax liabilities: Acquired intangibles Property, plant and equipment — Net deferred tax assets $ $ Reported as: Long term deferred tax assets, included within other long-term assets $ $ Long term deferred income tax liabilities, included within noncurrent liabilities Net deferred tax assets $ $
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits	A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): Balance at December 31, 2013 $ Gross increases for tax positions of current year Reductions resulting from lapse of applicable statute of limitations Balance at December 31, 2014 Gross increases for tax positions of current year Balance at December 31, 2015 Gross increases for tax positions of current year Balance at December 31, 2016 $

Segment and geographic inform41

Segment and geographic information (Tables)	12 Months Ended
	Dec. 31, 2016
Segment and geographic information
Revenue and Long-Lived Assets By Geographical Region	Through 2016, the Company has aligned its products to High Speed Products and Network Products and Solutions. The following presents revenue by product group (in thousands): Years Ended December 31, 2016 2015 2014 Revenue: High Speed Products $ $ $ Network Products and Solutions Total revenue $ $ $ The following tables set forth the Company’s revenue and asset information by geographic region. Revenue is classified based on the ship to location of the customer. Such classification recognizes that for many customers, including those in North America or in Europe, designated shipping points are often in China or elsewhere in Asia (in thousands): Years Ended December 31, 2016 2015 2014 Revenue: China $ $ $ United States Japan Rest of world Total revenue $ $ $ As of December 31, 2016 2015 Property, plant and equipment, net: China $ $ United States Japan Rest of world Total $ $

Selected Quarterly Financial 42

Selected Quarterly Financial Data (unaudited) (Tables)	12 Months Ended
	Dec. 31, 2016
Selected Quarterly Financial Data
Summary of Quarterly Financial Information	First Second Third Fourth Year ended December 31, 2016 Quarter Quarter Quarter Quarter (In thousands, except per share data) Revenues $ $ $ $ Gross profit Net income (loss) Basic net income (loss) per share $ $ $ $ Diluted net income (loss) per share $ $ $ $ Weighted averages shares used to compute basic net income (loss) per share Weighted averages shares used to compute diluted net income (loss) per share First Second Third Fourth Year ended December 31, 2015 Quarter Quarter Quarter Quarter (In thousands, except per share data) Revenues $ $ $ $ Gross profit Net income Basic and diluted net income per share $ — $ $ $ Weighted averages shares used to compute basic net income per share Weighted averages shares used to compute diluted net income per share

Summary of significant accoun43

Summary of significant accounting policies - Additional Information (Details) $ in Thousands	12 Months Ended			36 Months Ended
	Dec. 31, 2016USD ($)customer	Dec. 31, 2015USD ($)customer	Dec. 31, 2014USD ($)customer	Dec. 31, 2016USD ($)
Summary Of Significant Accounting Policies [Line Items]
Restricted cash	$ 4,085	$ 2,660		$ 4,085
Goodwill impairment charges	$ 0	400	$ 1,100
Restricted stock conversion basis	one-for-one
Loss on foreign currency contracts	$ 1,600
Net gains (losses) resulting from foreign exchange transactions	$ (100)	$ 3,400	$ 3,100
Land use rights [Member]
Summary Of Significant Accounting Policies [Line Items]
Useful Life (in years)	45 years
Minimum [Member]
Summary Of Significant Accounting Policies [Line Items]
Useful Life (in years)	2 years
Product warranty period	1 year
Maximum [Member]
Summary Of Significant Accounting Policies [Line Items]
Useful Life (in years)	7 years
Product warranty period	3 years
Notes Receivable [Member]
Summary Of Significant Accounting Policies [Line Items]
Receivable Due Period, general	6 months
Revenue [Member]
Summary Of Significant Accounting Policies [Line Items]
Number of customers | customer	2	2	3
Accounts Receivable [Member]
Summary Of Significant Accounting Policies [Line Items]
Number of customers | customer		1
Customer Three [Member] | Accounts Receivable [Member]
Summary Of Significant Accounting Policies [Line Items]
Number of customers | customer	3
Customer Concentration Risk [Member]
Summary Of Significant Accounting Policies [Line Items]
Number of top customers				10
Customer Concentration Risk [Member] | Customer One [Member] | Revenue [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of concentration of credit risk	50.00%		38.00%
Customer Concentration Risk [Member] | Customer One [Member] | Accounts Receivable [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of concentration of credit risk	42.00%	59.00%
Customer Concentration Risk [Member] | Customer Two [Member] | Revenue [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of concentration of credit risk	15.00%	44.00%	15.00%
Customer Concentration Risk [Member] | Customer Two [Member] | Accounts Receivable [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of concentration of credit risk	12.00%
Customer Concentration Risk [Member] | Customer Three [Member] | Revenue [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of concentration of credit risk		21.00%	10.00%
Customer Concentration Risk [Member] | Customer Three [Member] | Accounts Receivable [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of concentration of credit risk	12.00%
Customer Concentration Risk [Member] | Top Ten Customers [Member] | Revenue [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of concentration of credit risk	91.00%	91.00%	88.00%

Summary of significant accoun44

Summary of significant accounting policies - Estimated Useful Lives of Property, Plant and Equipment (Details)	12 Months Ended
	Dec. 31, 2016
Buildings [Member] | Minimum [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, useful lives (in years)	20 years
Buildings [Member] | Maximum [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, useful lives (in years)	30 years
Machinery and equipment [Member] | Minimum [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, useful lives (in years)	2 years
Machinery and equipment [Member] | Maximum [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, useful lives (in years)	7 years
Furniture, fixtures, software and office equipment [Member] | Minimum [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, useful lives (in years)	3 years
Furniture, fixtures, software and office equipment [Member] | Maximum [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, useful lives (in years)	5 years
Software [Member] | Minimum [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, useful lives (in years)	5 years
Software [Member] | Maximum [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, useful lives (in years)	7 years
Leasehold improvements [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, useful lives description	life of the asset or lease term, if shorter

Cash, cash equivalents, short45

Cash, cash equivalents, short-term investments and restricted cash - Short term investments and restricted cash and investments (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Cash and cash equivalents:
Cash	$ 58,691	$ 29,133
Cash equivalents	23,809	46,955
Cash and cash equivalents	82,500	76,088	$ 43,035	$ 57,101
Short-term investments	19,015	23,294
Restricted cash and investments:
Restricted cash	$ 4,085	$ 2,660

Cash, cash equivalents, short46

Cash, cash equivalents, short-term investments and restricted cash - Unrealized Gains and Losses Related to Cash Equivalents and Investments in Marketable Securities (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Schedule Of Available For Sale Securities [Line Items]
Fair Value	$ 42,824	$ 70,249
Gross Unrealized Losses	(23)	(29)
Gross Unrealized Gains	4
Amortized Cost	42,843	70,278
Cash and Cash Equivalents [Member]
Schedule Of Available For Sale Securities [Line Items]
Fair Value	23,809	46,955
Amortized Cost	23,809	46,955
Short-Term Investments
Schedule Of Available For Sale Securities [Line Items]
Fair Value	19,015	23,294
Gross Unrealized Losses	(23)	(29)
Gross Unrealized Gains	4
Amortized Cost	19,034	23,323
Money Market Funds
Schedule Of Available For Sale Securities [Line Items]
Fair Value	199	11,318
Amortized Cost	199	11,318
Money market accounts
Schedule Of Available For Sale Securities [Line Items]
Fair Value	23,809	46,955
Amortized Cost	23,809	46,955
Corporate debt securities
Schedule Of Available For Sale Securities [Line Items]
Fair Value	9,439	7,074
Gross Unrealized Losses	(3)	(18)
Gross Unrealized Gains	4
Amortized Cost	9,438	7,092
Government agency securities
Schedule Of Available For Sale Securities [Line Items]
Fair Value	3,757	3,284
Gross Unrealized Losses	(10)	(6)
Amortized Cost	3,767	3,290
U.S. government securities
Schedule Of Available For Sale Securities [Line Items]
Fair Value	4,998	997
Gross Unrealized Losses	(10)	(3)
Amortized Cost	5,008	1,000
Sovereign government bonds
Schedule Of Available For Sale Securities [Line Items]
Fair Value	622	621
Gross Unrealized Losses		(2)
Amortized Cost	$ 622	$ 623

Cash, cash equivalents, short47

Cash, cash equivalents, short-term investments and restricted cash - Maturities of marketable securities and additional information (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2016USD ($)item	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)
Cash, cash equivalents, short-term investments, and restricted cash
Less than 1 year	$ 36,054	$ 66,974
Due in 1 to 2 years	6,468	3,275
Due in 3 to 5 years	302
Total	42,824	70,249
Impairment losses on its marketable securities	$ 0	$ 0	$ 0
Investments in marketable securities in unrealized loss position in excess of 12 months | item	0

Fair value measurements- Assets

Fair value measurements- Assets and liabilities measured at fair value on recurring basis (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Liabilities Fair Value disclosure	$ 430	$ 389
Assets, fair value	42,824	70,249
Assets measured at fair value on a nonrecurring basis	0
Liabilities measured at fair value on a nonrecurring basis	0
Fair Value, Inputs, Level 1 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	5,197	12,315
Fair Value, Inputs, Level 2 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Liabilities Fair Value disclosure	41
Assets, fair value	37,627	57,934
Fair Value, Inputs, Level 3 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Liabilities Fair Value disclosure	389	389
Money Market Funds
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	199	11,318
Money Market Funds | Fair Value, Inputs, Level 1 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	199	11,318
U.S. government securities
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	4,998	997
U.S. government securities | Fair Value, Inputs, Level 1 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	4,998	997
Money market accounts
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	23,809	46,955
Money market accounts | Fair Value, Inputs, Level 2 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	23,809	46,955
Corporate debt securities
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	9,439	7,074
Corporate debt securities | Fair Value, Inputs, Level 2 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	9,439	7,074
Government agency securities
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	3,757	3,284
Government agency securities | Fair Value, Inputs, Level 2 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	3,757	3,284
Sovereign government bonds
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	622	621
Sovereign government bonds | Fair Value, Inputs, Level 2 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	622	621
Mutual Funds Held in Rabbi Trust [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	622	435
Mutual Funds Held in Rabbi Trust [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Assets, fair value	622	435
Foreign currency forward contracts
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Liabilities Fair Value disclosure	41
Foreign currency forward contracts | Fair Value, Inputs, Level 2 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Liabilities Fair Value disclosure	41
Rusnano Payment Derivative [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Liabilities Fair Value disclosure	389	389
Rusnano Payment Derivative [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Liabilities Fair Value disclosure	$ 389	$ 389

Fair value measurements - Liabi

Fair value measurements - Liabilities measured at fair value on recurring basis (Details) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Loss on foreign currency contracts	$ 1,600,000
Asset impairment charges		$ 368,000	$ 1,130,000
Liabilities Fair Value disclosure	430,000	389,000
Transfers between levels of the fair value hierarchy	0
Fair Value, Inputs, Level 3 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Liabilities Fair Value disclosure	$ 389,000	389,000
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Property, Plant and Equipment [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Asset impairment charges		200,000
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Disposal Group, Held-for-sale or Disposed of by Sale, Not Discontinued Operations [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Asset impairment charges		200,000
Operating Expenses [Member] | Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Asset impairment charges		$ 400,000
Operating Expenses [Member] | Fair Value, Measurements, Nonrecurring [Member] | Leasehold Interest [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Asset impairment charges			$ 1,100,000

Net income (loss) per share - C

Net income (loss) per share - Computation of Basic and Diluted Net Income (Loss) per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Numerator:
Net income (loss)	$ 1,996	$ (7,187)	$ 2,676	$ 2,310	$ 399	$ 1,378	$ 1,791	$ 100	$ (205)	$ 3,668	$ (19,719)
Denominator:
Basic	42,421	42,038	41,603	41,121	40,739	40,367	35,684	32,780	41,798	37,421	32,109
Dilutive effect of equity awards										1,265
Diluted	45,767	42,038	44,320	43,648	42,668	42,217	37,294	33,031	41,798	38,686	32,109
Basic net income (loss) per share	$ 0.05	$ (0.17)	$ 0.06	$ 0.06					$ 0	$ 0.10	$ (0.61)
Diluted net income (loss) per share	$ 0.04	$ (0.17)	$ 0.06	$ 0.05					$ 0	$ 0.09	$ (0.61)

Net income (loss) per share - P

Net income (loss) per share - Potentially Dilutive Securities Excluded From Computation of Diluted Net Loss per Share Attributable to Common Stockholders (Details) - shares shares in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Antidilutive Securities Excluded From Computation Of Earnings Per Share
Potentially dilutive securities, excluded from computation of diluted net income (loss) per share	6,696	3,448	6,179
Employee Stock Options
Antidilutive Securities Excluded From Computation Of Earnings Per Share
Potentially dilutive securities, excluded from computation of diluted net income (loss) per share	4,301	2,176	4,900
Restricted stock units
Antidilutive Securities Excluded From Computation Of Earnings Per Share
Potentially dilutive securities, excluded from computation of diluted net income (loss) per share	2,089	954	656
Employee Stock Purchase Plan
Antidilutive Securities Excluded From Computation Of Earnings Per Share
Potentially dilutive securities, excluded from computation of diluted net income (loss) per share	306	318	623

Business Combinations (Details)

Business Combinations (Details) $ in Thousands, ¥ in Millions	Apr. 16, 2015USD ($)	Jan. 02, 2015USD ($)	Nov. 30, 2015USD ($)	Oct. 31, 2014JPY (¥)	Oct. 31, 2014USD ($)	Dec. 31, 2016USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2015USD ($)
Business Acquisition [Line Items]
Cash consideration paid							$ 422	$ 1,500
Acquisition-related costs						$ 2,125	934	615
Tunable Laser Product Lines From EMCORE Corporation [Member]
Business Acquisition [Line Items]
Total consideration	$ 16,982	$ 17,500
Cash consideration paid	1,500	1,500
Issuance of notes to the seller of acquired business	$ 15,482	$ 16,000
Acquisition-related costs									$ 900
Tunable Laser Product Lines From EMCORE Corporation [Member] | Pro Forma [Member]
Business Acquisition [Line Items]
Acquisition-related costs						300	600
Revenues						80,800	55,800
Tunable Laser Product Lines From EMCORE Corporation [Member] | Intersegment Eliminations [Member] | Pro Forma [Member]
Business Acquisition [Line Items]
Sales between business acquired from ENCORE and the Company						$ 0	$ 0	$ 0
EigenLight Corporation
Business Acquisition [Line Items]
Cash consideration paid			$ 400
NeoPhotonics Semiconductor [Member]
Business Acquisition [Line Items]
Proceeds From Previous Acquisition				¥ 111	$ 1,000

Business Combinations - Allocat

Business Combinations - Allocation of Assets acquired, liabilites assumed and Purchase price (Details) - USD ($) $ in Thousands	Apr. 16, 2015	Jan. 02, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2016
Total purchase consideration:
Cash paid			$ 422	$ 1,500
Liabilities assumed:
Goodwill			$ 1,115		$ 1,115
Tunable Laser Product Lines From EMCORE Corporation [Member]
Total purchase consideration:
Cash paid	$ 1,500	$ 1,500
Notes payable	15,482	16,000
Total consideration	16,982	17,500
Fair value of assets acquired:
Accounts receivable	9,274
Inventories	1,693
Prepaid expenses and other current assets	670
Property, plant and equipment	6,917
Intangible assets acquired:
Intangible assets acquired		$ 4,800
Fair value of assets acquired	23,354
Liabilities assumed:
Accounts payable	(7,427)
Accrued liabilities	(60)
Fair value of liabilities assumed total	(7,487)
Goodwill	1,115
Tunable Laser Product Lines From EMCORE Corporation [Member] | Developed Technology [Member]
Fair value of assets acquired:
Useful Life (in years)		7 years
Intangible assets acquired:
Intangible assets acquired	4,100	$ 4,100
Tunable Laser Product Lines From EMCORE Corporation [Member] | Customer Relationships [Member]
Fair value of assets acquired:
Useful Life (in years)		2 years
Intangible assets acquired:
Intangible assets acquired	$ 700	$ 700

Business Combinations - Pro for

Business Combinations - Pro forma results (Details) - NeoPhotonics Semiconductor [Member] - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Business Acquisition Pro Forma Information Nonrecurring Adjustment [Line Items]
Revenue	$ 339,439	$ 353,003
Net income (loss)	$ 4,088	$ (23,221)
Basic net income (loss) per share	$ 0.11	$ (0.72)
Diluted net income (loss) per share	$ 0.11	$ (0.72)

Purchased intangible assets - C

Purchased intangible assets - Components (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Finite Lived Intangible Assets [Line Items]
Gross Assets	$ 53,183	$ 53,843
Accumulated Amortization	(47,621)	(43,991)
Net Assets	5,562	9,852
Technology and Patents [Member]
Finite Lived Intangible Assets [Line Items]
Gross Assets	36,918	37,430
Accumulated Amortization	(33,316)	(31,061)
Net Assets	3,602	6,369
Customer Relationships [Member]
Finite Lived Intangible Assets [Line Items]
Gross Assets	15,039	15,101
Accumulated Amortization	(13,990)	(12,623)
Net Assets	1,049	2,478
Leasehold Interest [Member]
Finite Lived Intangible Assets [Line Items]
Gross Assets	1,226	1,312
Accumulated Amortization	(315)	(307)
Net Assets	$ 911	$ 1,005

Purchased intangible assets - A

Purchased intangible assets - Amortization expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Purchased intangible assets
Cost of goods sold	$ 2,871	$ 3,349	$ 2,833
Operating expenses	1,609	1,791	1,502
Total	$ 4,480	$ 5,140	$ 4,335

Purchased intangible assets - E

Purchased intangible assets - Estimated future amortization expense (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Purchased intangible assets
2,017	$ 1,409
2,018	1,202
2,019	804
2,020	687
2,021	687
Thereafter	773
Net Assets	$ 5,562	$ 9,852

Balance sheet components - Rest

Balance sheet components - Restricted Cash and Investments (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Restricted Cash And Cash Equivalents Items [Line Items]
Restricted cash and investments	$ 4,085	$ 2,660
Restricted cash	4,085	2,660
Asset purchase agreement
Restricted Cash And Cash Equivalents Items [Line Items]
Restricted cash and investments	1,987
Notes Payable [Member]
Restricted Cash And Cash Equivalents Items [Line Items]
Restricted cash and investments	$ 2,098	$ 2,660

Balance sheet components - Acco

Balance sheet components - Accounts receivable, net (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Balance Sheet Components
Accounts receivable	$ 78,143	$ 82,235
Trade notes receivable	2,892	1,769
Allowance for doubtful accounts	(425)	(843)
Accounts receivable, Net ,Total	$ 80,610	$ 83,161

Balance sheet components - Allo

Balance sheet components - Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Valuation And Qualifying Accounts Disclosure [Line Items]
Provision for bad debt	$ (382)	$ 640	$ (266)
Allowance for Doubtful Accounts
Valuation And Qualifying Accounts Disclosure [Line Items]
Beginning Balance	(843)	(241)	(531)
Provision for bad debt	382	(640)	266
Write-offs, net of recoveries	36	38	24
Ending Balance	$ (425)	$ (843)	$ (241)

Balance sheet components - Inve

Balance sheet components - Inventories (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Balance Sheet Components
Raw materials	$ 23,348	$ 23,793
Work in process	10,996	12,165
Finished goods	13,893	29,644
Inventories	48,237	65,602
Finished goods, at vendor managed inventory locations	$ 8,300	$ 14,200

Balance sheet components - Prep

Balance sheet components - Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Balance Sheet Components
Prepaid taxes and taxes receivable	$ 16,102	$ 9,329
Deposits and other prepaid expenses	3,571	2,308
Other receivable	2,723	756
Prepaid expenses and other current assets	$ 22,396	$ 12,393

Balance sheet components - Prop

Balance sheet components - Property, Plant and Equipment, net (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Property Plant And Equipment [Line Items]
Property, plant and equipment	$ 208,222	$ 162,512
Less: Accumulated depreciation	(101,355)	(99,894)
Property, plant and equipment, net	106,867	62,618
Depreciation expense	17,900	17,700	$ 19,100
Asset impairment charges		368	$ 1,130
Land [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment	2,847	2,768
Buildings [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment	22,107	21,791
Machinery and equipment [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment	160,314	117,758
Furniture, fixtures, software and office equipment [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment	8,413	9,661
Leasehold improvements [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment	$ 14,541	$ 10,534

Balance sheet components - Asse

Balance sheet components - Assets held for sale (Details) $ in Thousands	Dec. 31, 2016USD ($)
Assets held for sale	$ 13,953
Inventories [Member]
Assets held for sale	13,137
Property, Plant and Equipment [Member]
Assets held for sale	$ 816

Balance sheet components - Accr

Balance sheet components - Accrued and other current liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Balance Sheet Components
Employee-related	$ 18,654	$ 17,420
Income and other taxes payable	3,956	3,720
Deferred revenue, current	956	26
Accrued warranty	678	1,175
Rusnano payment derivative	389	389
Other accrued expenses	5,992	5,220
Accrued and other current liabilities	$ 30,625	$ 27,950

Balance sheet components - Ac66

Balance sheet components - Accrued warrranty (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Balance Sheet Components
Beginning balance	$ 1,175	$ 1,751	$ 1,737
Warranty accruals	102	79	861
Settlements	(599)	(655)	(847)
Ending balance	$ 678	$ 1,175	$ 1,751

Balance sheet components - Othe

Balance sheet components - Other noncurrent liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Balance Sheet Components
Pension and other employee-related	$ 5,045	$ 5,036
Deferred rent	1,509	227
Deferred revenue	1,184	665
Deferred income tax liabilities	46	88
Other	1,155	1,460
Other noncurrent liabilities	$ 8,939	$ 7,476

Restructuring (Details)

Restructuring (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2016
Restructuring Cost And Reserve [Line Items]
Restructuring charges	$ 44	$ 662
Restructuring liabilities	0		$ 0
Workforce Reduction [Member]
Restructuring Cost And Reserve [Line Items]
Restructuring charges	$ 200	$ 1,100

Debt - Components of Debt, Obli

Debt - Components of Debt, Obligations, Weighted Average Interest Rate (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2015USD ($)item	Dec. 31, 2016USD ($)
Debt Instrument [Line Items]
Number of groups of borrowing arrangements | item	3
Notes payable	$ 8,857	$ 6,390
Total notes payable and short-term borrowing	32,657	30,190
Total long-term debt, net of unaccreted discount	11,519	10,962
Current portion of long-term debt	760	747
Long-term debt, net of current portion	10,759	10,215
Mitsubishi Bank [Member]
Debt Instrument [Line Items]
Notes payable	$ 11,769	$ 11,253
Short-term Debt Weighted Average Interest Rate	1.53%	1.43%
Bank Borrowings [Member] | Comerica Bank Term Loan [Member]
Debt Instrument [Line Items]
Bank borrowings-Comerica Bank	$ 23,800	$ 23,800
Short-term Debt Weighted Average Interest Rate	2.99%	3.37%
Long Term Debt Current [Member]
Debt Instrument [Line Items]
Unaccreted discount within long-term debt, net of current portion	$ (71)	$ (108)
Long Term Debt Non Current [Member]
Debt Instrument [Line Items]
Unaccreted discount within long-term debt, net of current portion	$ (179)	$ (183)

Debt - Additional Information (

Debt - Additional Information (Details) $ in Thousands, ¥ in Millions

Feb. 25, 2015JPY (¥)

Feb. 25, 2015JPY (¥)loan

Feb. 28, 2015JPY (¥)

Feb. 28, 2015USD ($)

Mar. 10, 2017

Dec. 31, 2016USD ($)item

Dec. 31, 2015JPY (¥)

Dec. 31, 2015USD ($)

Dec. 31, 2014USD ($)

Dec. 31, 2016CNY (¥)

Dec. 31, 2016JPY (¥)

Dec. 31, 2016USD ($)

Feb. 25, 2015USD ($)

Debt Instrument [Line Items]

Repayment of notes payable

$ 18,007

$ 25,498

$ 22,090

Restricted cash and investments

2,660

$ 4,085

Comerica [Member] | Revolving Credit Facility [Member]

Debt Instrument [Line Items]

Line of Credit Facility, Maximum Borrowing Capacity

$ 30,000

Outstanding balance of line of credit facilities

23,800

Mitsubishi Bank [Member]

Debt Instrument [Line Items]

Short-term line of credit facility

¥ 1,300,000,000

$ 11,300

Number of loan agreements entered | loan

2

NeoPhotonics Semiconductor [Member]

Debt Instrument [Line Items]

Debt repaid | ¥

¥ 1,050,000,000

Libor Plus Rate [Member] | Comerica [Member] | Revolving Credit Facility [Member]

Debt Instrument [Line Items]

Line of credit facility, interest rate

2.99%

3.37%

3.37%

3.37%

Libor Plus Rate [Member] | Bank Borrowings [Member] | Comerica [Member]

Debt Instrument [Line Items]

Debt Instrument, Basis Spread on Variable Rate

3.00%

Credit Facility Base Rate [Member] | Bank Borrowings [Member] | Comerica [Member]

Debt Instrument [Line Items]

Debt Instrument, Basis Spread on Variable Rate

2.00%

Second Credit Facility Expires September 2016 [Member] | Subsidiary in China

Debt Instrument [Line Items]

Credit facility, expiration date

Sep. 30, 2017

Term Loan B [Member] | Mitsubishi Bank [Member]

Debt Instrument [Line Items]

Debt Issuance Costs, Net, Total

¥ 40,500,000

¥ 40,500,000

$ 300

Debt, aggregate principal amount

1,000,000,000

1,000,000,000

8,400

Debt, periodic principal payments | ¥

8,333,000

Debt, lump sum payment on the maturity date | ¥

¥ 8,373,000

Term Loan B [Member] | Tunable Laser Product Lines From EMCORE Corporation [Member] | Mitsubishi Bank [Member]

Debt Instrument [Line Items]

Debt repaid

$ 15,500

Term Loan B [Member] | Tokyo Interbank Offer Rate [Member] | Mitsubishi Bank [Member]

Debt Instrument [Line Items]

Debt Instrument, Basis Spread on Variable Rate

1.40%

Term Loan A [Member] | Mitsubishi Bank [Member]

Debt Instrument [Line Items]

Due date of the principal

Feb. 23, 2018

Debt, aggregate principal amount

¥ 500,000,000

¥ 500,000,000

$ 4,200

Term Loan A [Member] | Tokyo Interbank Offer Rate [Member] | Mitsubishi Bank [Member]

Debt Instrument [Line Items]

Debt Instrument, Basis Spread on Variable Rate

1.40%

Notes Payable [Member]

Debt Instrument [Line Items]

Restricted cash and investments

2,660

$ 2,098

Notes Payable [Member] | NeoPhotonics Semiconductor [Member]

Debt Instrument [Line Items]

Repayment of notes payable

¥ 710,000,000

$ 6,000

Notes Payable [Member] | Third Credit Facility Expires July 2019 [Member] | Subsidiary in China

Debt Instrument [Line Items]

Short-term line of credit facility

¥ 30

4,300

Bankers Acceptance

Debt Instrument [Line Items]

Restricted cash and investments, current

2,700

2,100

Bankers Acceptance | Subsidiary in China

Debt Instrument [Line Items]

Outstanding balance of line of credit facilities

$ 8,900

Bankers Acceptance | Third Credit Facility Expires July 2019 [Member] | Subsidiary in China

Debt Instrument [Line Items]

Percentage of compensating balance requirement for bank acceptance drafts

30.00%

Short-term line of credit facility

42.9

6,200

Letter of Credit

Debt Instrument [Line Items]

Number Of Credit Facilities | item

3

Percentage of compensating balance requirement for bank acceptance drafts

30.00%

Short-term line of credit facility

1,600

China | First Credit Facility [Member]

Debt Instrument [Line Items]

Credit facility, expiration date

Jul. 31, 2019

China | First Credit Facility Expires June 2016 [Member]

Debt Instrument [Line Items]

Percentage of compensating balance requirement for bank acceptance drafts

30.00%

China | Notes Payable [Member]

Debt Instrument [Line Items]

Number Of Credit Facilities | item

3

China | Notes Payable [Member] | First Credit Facility Expires June 2016 [Member]

Debt Instrument [Line Items]

Short-term line of credit facility

120

17,300

China | Notes Payable [Member] | Second Credit Facility Expires September 2016 [Member]

Debt Instrument [Line Items]

Short-term line of credit facility

266

38,300

China | Bankers Acceptance

Debt Instrument [Line Items]

Outstanding balance of line of credit facilities

6,400

China | Bankers Acceptance | First Credit Facility Expires June 2016 [Member]

Debt Instrument [Line Items]

Short-term borrowing capacity

¥ 171.4

24,700

China | Bankers Acceptance | Second Credit Facility Expires September 2016 [Member]

Debt Instrument [Line Items]

Percentage of compensating balance requirement for bank acceptance drafts

30.00%

Short-term line of credit facility

¥ 380,000,000

$ 54,700

Subsequent Event [Member] | Senior Secured Revolving Credit Facility, expires April 2017 | Libor Plus Rate [Member] | Comerica [Member]

Debt Instrument [Line Items]

Debt Instrument, Basis Spread on Variable Rate

2.75%

Subsequent Event [Member] | Senior Secured Revolving Credit Facility, expires April 2017 | Credit Facility Base Rate [Member] | Comerica [Member]

Debt Instrument [Line Items]

Debt Instrument, Basis Spread on Variable Rate

1.75%

Subsequent Event [Member] | Senior Secured Revolving Credit Facility, expires April 2017 | Federal Funds Effective Rate [Member] | Comerica [Member]

Debt Instrument [Line Items]

Debt Instrument, Basis Spread on Variable Rate

1.00%

Subsequent Event [Member] | Senior Secured Revolving Credit Facility, expires April 2017 | Daily Adjusting LIBOR Rate [member] | Comerica [Member]

Debt Instrument [Line Items]

Debt Instrument, Basis Spread on Variable Rate

1.00%

Debt - Maturities of Long-Term

Debt - Maturities of Long-Term debt (Details) $ in Thousands	Dec. 31, 2016USD ($)
Debt
2,017	$ 855
2,018	5,128
2,019	855
2,020	855
2,021	855
Thereafter	2,705
Long Term Debt	$ 11,253

Pension Plans - Japan Defined B

Pension Plans - Japan Defined Benefit Pension Plans (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2016USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	May 31, 2014USD ($)	Dec. 31, 2013USD ($)	Mar. 29, 2013item
Defined Benefit Plan Disclosure [Line Items]
Number of Defined Benefit Pension Plans | item						2
Cost of goods sold	$ 294,290	$ 240,358	$ 235,059
Operating Expenses	$ 114,114	95,128	$ 90,250
Reclassification out of Accumulated Other Comprehensive Income [Member]
Defined Benefit Plan Disclosure [Line Items]
Cost of goods sold		200
Operating Expenses		100
DBCPP [Member]
Defined Benefit Plan Disclosure [Line Items]
Plan assets				$ 2,000	$ 2,072
Receivable from LAPIS		$ 300

Pension Plans - Funded Status (

Pension Plans - Funded Status (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
RAP [Member]
Change in projected benefit obligation:
Projected benefit obligation, beginning of period	$ 5,086	$ 5,054	$ 5,446
Service cost			39
Interest cost	11	10	29
Benefits paid	(551)		(23)
Actuarial (gain)/loss	72	40	154
Curtailment/Settlement			(408)
Transfer from DBCPP to RAP			490
Currency translation adjustment	184	(18)	(673)
Projected benefit obligation, end of period	4,802	5,086	5,054
Change in plan assets:
Benefits paid	(551)		(23)
Amounts recognized in consolidated balance sheets:
Accrued and other current liabilities	393	497	123
Other noncurrent liabilities	4,409	4,589	4,931
Amount recognized in accumulated other comprehensive loss:
Defined benefit pension plans adjustment	230	153	113
Accumulated benefit obligation, end of period	$ 4,802	$ 5,086	5,054
DBCPP [Member]
Change in projected benefit obligation:
Projected benefit obligation, beginning of period			2,508
Service cost			14
Interest cost			7
Benefits paid			(76)
Actuarial (gain)/loss			88
Curtailment/Settlement			(2,022)
Transfer from DBCPP to RAP			(569)
Currency translation adjustment			50
Change in plan assets:
Plan assets at fair value, beginning of period			2,072
Employer contributions			15
Benefits paid			(76)
Transfer to DCP			(1,766)
Currency translation adjustment			$ (245)

Pension Plans - Periodic Pensio

Pension Plans - Periodic Pension Cost (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
RAP [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost			$ 39
Interest cost	$ 11	$ 10	29
Curtailment/settlement (gain) loss			(249)
Net periodic pension (gain) costs	$ 11	$ 10	(181)
Discount rate	0.10%	0.20%
DBCPP [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost			14
Interest cost			7
Other			1
Curtailment/settlement (gain) loss			133
Net periodic pension (gain) costs			$ 155

Pension Plans - Estimated Futur

Pension Plans - Estimated Future Benefit Payments Under Plans (Details) - RAP [Member] $ in Thousands	Dec. 31, 2016USD ($)
Defined Benefit Plan Disclosure [Line Items]
2,017	$ 393
2,018	565
2,019	262
2,020	520
2,021	585
2022 - 2026	1,210
Thereafter	1,267
Total estimated future benefit payments	$ 4,802

Pension Plans - 401 (k) Plan (D

Pension Plans - 401 (k) Plan (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Pension Plans
Matching contributions to 401 (k) plan	$ 0.4	$ 0.3	$ 0.3

Commitments and contingencies -

Commitments and contingencies - Future minimum commitments under the Company's non-cancelable operating leases (Details) $ in Thousands	Dec. 31, 2016USD ($)
Commitments and contingencies disclosure
2,017	$ 2,081
2,018	3,483
2,019	3,463
2,020	3,062
2,021	2,607
Thereafter	12,649
Operating Leases, Future Minimum Payments Due, Total	$ 27,345

Commitments and Contingencies78

Commitments and Contingencies - Additional Information (Details) € in Millions	Sep. 16, 2013USD ($)	Mar. 31, 2015EUR (€)	Mar. 31, 2015USD ($)	Dec. 31, 2016USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2010item
Commitments And Contingencies Disclosure [Line Items]
Operating leases, future minimum, sublease receipts				$ 1,000,000
Rent expense				$ 2,400,000	$ 2,200,000	$ 2,200,000
Cure period				90 days
Total outstanding purchase obligations				$ 71,200,000
Amount of contribution				18,800,000	15,400,000
Amount of companies cumulative investment and spending				18,800,000
Penalty amount				$ 1,500,000
Number of days in which penalty needs to be paid				30 days
Cure period				90 days
Derivative benefit					100,000
Derivative loss						300,000
Fair value of derivative				$ 400,000	400,000
Operating Leases Rent Expense Net				2,400,000	$ 2,200,000	2,200,000
Infringement of United States Patents [Member] | Finisar
Commitments And Contingencies Disclosure [Line Items]
Claims of patent infringement | item							2
Number of law suits | item							4
Number of defendants | item							1
Termination of Distributor Agreement [Member] | Pending Litigation Member | Laser 2000
Commitments And Contingencies Disclosure [Line Items]
Partial settlement of claims payment	$ 492,000
Accrual for estimated net litigation expense		€ 1	$ 1,100,000
Settlement awarded amount				300,000
Private Placement [Member] | Performance Guarantee [Member]
Commitments And Contingencies Disclosure [Line Items]
Other non-current liability				30,000,000
Embedded Derivative Financial Instruments [Member] | Maximum [Member]
Commitments And Contingencies Disclosure [Line Items]
Other non-current liability				5,000,000
Embedded Derivative Financial Instruments [Member] | Private Placement [Member]
Commitments And Contingencies Disclosure [Line Items]
Penalty payment derivative				100,000
Additional paid-in capital				4,900,000
RUSSIAN FEDERATION
Commitments And Contingencies Disclosure [Line Items]
Exit fees payable to cease operations				3,500,000
Exit fees for future				$ 2,000,000
Santur Corporation [Member]
Commitments And Contingencies Disclosure [Line Items]
Year of acquisition				Oct. 12, 2011
Amount of indemnification claims by the company						$ 3,900,000

Stockholders' Equity - Common s

Stockholders' Equity - Common stock, resale registration statement, and follow-on public offering (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended			36 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2016
Class Of Stock [Line Items]
Common Stock Shares Authorized	100,000,000	100,000,000		100,000,000
Common stock, par value	$ 0.0025	$ 0.0025		$ 0.0025
Issuance of common stock from public stock offering, net of discount and offering costs (in shares)		6,866,689
Sale of common stock upon the exercise of overallotment option		895,655
Public offering price		$ 7.25
Underwriting discounts		$ 3,000
Other offering expenses		1,200
Reclassified out of accumulated other comprehensive loss for realized gains or losses on available for sale securities	$ 0	0	$ 0
Reclassified out of accumulated other comprehensive loss				$ 0
Accumulated deficit subject to restriction	$ (8,700)	$ (7,900)
Resale Registration Statement [Member]
Class Of Stock [Line Items]
Common Stock Shares Authorized	4,972,905	4,972,905		4,972,905
Common stock, par value	$ 0.0025	$ 0.0025		$ 0.0025
Minimum [Member]
Class Of Stock [Line Items]
Accumulated profits	10.00%
Employee Stock Options
Class Of Stock [Line Items]
Common stock	7,158,859			7,158,859
Sale of common stock upon the exercise of overallotment option	1,013,056
Employee Stock Purchase Plan
Class Of Stock [Line Items]
Common stock	627,848			627,848

Stockholders' Equity - Accumula

Stockholders' Equity - Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Stockholders' Equity
Foreign currency translation adjustment	$ (8,235)	$ (1,595)
Unrealized gains on available-for-sale securities	(19)	(29)
Defined benefit pension plan adjustment	(147)	(99)
Accumulated other comprehensive loss, net of taxes	$ (8,401)	$ (1,723)

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock Purchase and Stock Option Plans (Details) $ / shares in Units, $ in Thousands	Dec. 18, 2014USD ($)shares	Dec. 18, 2014USD ($)	Dec. 31, 2016USD ($)installment$ / sharesshares	Dec. 31, 2015USD ($)$ / sharesshares	Dec. 31, 2014USD ($)$ / sharesshares	Feb. 28, 2011shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Remitted cash to appropriate tax authorities | $			$ 615	$ 727	$ 387
Stock Appreciation Units (SARs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options to purchase shares, outstanding			286,768	342,316
Intrinsic value of options exercised | $			$ 500	$ 100
Performance-based stock appreciation units			3,700,000
Number of days for stock price to be traded above mentioned price			20 days
Minimum closing stock price | $ / shares			$ 15
Share-based compensation expense | $			$ 900
Employee Stock Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares available for future grant			768,046	705,051
Options to purchase shares, outstanding			4,301,340	5,007,797
Authorized for issuance			1,434,499
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $			$ 3,000
Fair value of options vested | $			3,900	$ 1,300	1,200
Intrinsic value of options exercised | $			$ 9,700	$ 1,600	$ 400
Weighted-average fair value of options granted | $ / shares			$ 7.05	$ 3.87	$ 1.89
Remaining weighted-average period			2 years 3 months 18 days
Stock Option and Restricted Stock Unit Activity [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Performance-based stock appreciation units			1,100,000
Number of days for stock price to be traded above mentioned price			20 days
Minimum closing stock price | $ / shares			$ 15
Weighted-average fair value granted | $ / shares				$ 4.72
Share-based compensation expense | $			$ 4,800
Stock Option and Restricted Stock Unit Activity [Member] | Maximum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Weighted-average fair value granted | $ / shares					1.65
Restricted stock units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares outstanding			2,089,473	1,213,686
Vested (in shares)			226,468
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $			$ 14,400
Remaining weighted-average period			2 years 3 months 18 days
Performance-based stock appreciation units			1,158,699
Weighted-average fair value granted | $ / shares			$ 12.33	$ 7.46	$ 4.54
Stock grants vested value | $			$ 1,600	$ 3,300	$ 3,400
Intrinsic value of units exercised | $			$ 2,800	$ 4,300	$ 1,800
Common stock withheld shares			49,838	95,227	108,623
Remitted cash to appropriate tax authorities | $			$ 600	$ 700	$ 400
Stock Appreciation Units [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options to purchase shares, outstanding			200,000
Liability for settlement | $			$ 2,000	$ 700
Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $			$ 900
2004 Stock Option Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares available for future grant			0
Options to purchase shares, outstanding			818,735
2007 Stock Appreciation Grants Plan [Member] | Stock Appreciation Units (SARs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares outstanding			286,768
Vested (in shares)			283,201
2010 Equity Incentive Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares available for future grant			375,340
Shares outstanding			5,302,687
Awards expiration period from date of grant			10 years
Maximum aggregate number of shares of common stock that may be issued			8,000,000			865,420
Number of shares of common stock outstanding increase percentage			3.50%
2010 Equity Incentive Plan [Member] | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise price, percentage of fair value of common stock on grant date			100.00%
Options vesting period			3 years
2010 Equity Incentive Plan [Member] | Maximum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options vesting period			4 years
2010 Equity Incentive Plan [Member] | Nonqualified Stock Options [Member] | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise price, percentage of fair value of common stock on grant date			85.00%
2010 ESPP [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares available for future grant			627,848
Maximum aggregate number of shares of common stock that may be issued			600,000			342,568
Number of shares of common stock outstanding increase percentage			3.50%
Offering period			12 months
2011 Inducement Award Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares available for future grant			392,706
Shares outstanding			269,391
Exercise price, percentage of fair value of common stock on grant date			100.00%
Awards expiration period from date of grant			10 years
Maximum aggregate number of shares of common stock that may be issued			750,000
Authorized for issuance				100,000
2014 Repricing Offer [Member] | Stock Appreciation Units (SARs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares issued under repricing offer	87,354
2014 Repricing Offer [Member] | Stock Options and Stock Appreciation Rights [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Eligible options or stock appreciation rights date	Dec. 18, 2014		Jan. 1, 2017
Shares issued under repricing offer	2,373,692
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $	$ 2,600	$ 2,600
Incremental compensation cost | $		$ 900
Exercise price per share | $ / shares				$ 3.50
Percentage of shares subject to repriced eligible stock			50.00%
Number of monthly installments | installment			12
Remaining vesting term			60 days
Perod prior to expiration date when repriced awards vested and become exercisable			60 days
2014 Repricing Offer [Member] | Stock Options and Stock Appreciation Rights [Member] | Vesting In 12 Equal Monthly Installments [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Percentage of shares subject to repriced eligible stock			50.00%
2014 Repricing Offer [Member] | Stock Options and Stock Appreciation Rights [Member] | 60th Day Prior to Expiration Date [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Percentage of shares subject to repriced eligible stock			100.00%
2014 Repricing Offer [Member] | Employee Stock Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares issued under repricing offer	1,948,631

Stock-based compensation - Esti

Stock-based compensation - Estimated fair vale of stock-based awards (Details)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Employee Stock Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Weighted-average expected term (years)	5 years 9 months	5 years 3 months 29 days	5 years 4 months 10 days
Weighted-average volatility	65.00%	60.00%	62.00%
Risk-free interest rate Minimum	1.01%	1.37%	1.62%
Risk-free interest rate Maximum	1.76%	1.85%	2.00%
Stock Appreciation Units [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Weighted-average expected term (years)	2 years 9 months 7 days	3 years 6 months 15 days	2 years 4 months 2 days
Weighted-average volatility	61.00%	62.00%	56.00%
Risk-free interest rate Minimum	0.45%	0.25%	0.13%
Risk-free interest rate Maximum	1.47%	1.57%	1.07%
Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Weighted-average expected term (years)	8 months 23 days	8 months 9 days	7 months 24 days
Weighted-average volatility	54.00%	58.00%	54.00%
Risk-free interest rate Minimum	0.39%	0.03%	0.05%
Risk-free interest rate Maximum	0.45%	0.14%	0.13%

Stock-based compensation - St83

Stock-based compensation - Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share Based Compensation	$ 17,076	$ 7,763	$ 6,841
Cost of Goods Sold [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share Based Compensation	3,130	1,335	1,148
Research and Development Expense [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share Based Compensation	4,760	2,049	2,269
Selling and Marketing Expense [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share Based Compensation	4,105	1,794	1,429
General and Administrative Expense [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share Based Compensation	$ 5,081	$ 2,585	$ 1,995

Stock-based compensation - St84

Stock-based compensation - Stock appreciation units (Details) shares in Millions	12 Months Ended
	Dec. 31, 2016shares
Stock Appreciation Units (SARs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Performance-based stock appreciation units	3.7

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Information about Stock Options Outstanding (Details) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2016USD ($)$ / sharesshares
Aggregate Intrinsic Value (in Thousands)
Vested and expected to vest | $	$ 24,674
Exercisable | $	$ 22,519
Weighted Average Remaining Contractual Term (Years)
Vested and expected to vest	6 years 11 days
Exercisable	5 years 5 months 27 days
Weighted Average Exercise Price
Vested and expected to vest | $ / shares	$ 5.09
Exercisable | $ / shares	$ 4.31
Number of Shares
Vested and expected to vest | shares	4,221,589
Exercisable | shares	3,461,915

Stock-based compensation - St86

Stock-based compensation - Stock Options and RSUs (Details) - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Number of Shares
Exercised/Converted		(895,655)
Employee Stock Options
Shares Available for Grant
Beginning Balance	705,051
Authorized for issuance	1,434,499
Granted	1,530,835
Cancelled/Forfeited	(159,331)
Ending Balance	768,046	705,051
Number of Shares
Beginning Balance	5,007,797
Granted	372,136
Exercised/Converted	(1,013,056)
Cancelled/Forfeited	(65,537)
Ending Balance	4,301,340	5,007,797
Weighted Average Exercise Price
Beginning Balance	$ 4.34
Granted	12.29
Exercised/Converted	3.62
Cancelled/Forfeited	5.65
Ending Balance	$ 5.18	$ 4.34
Restricted stock units
Number of Units
Beginning Balance	1,213,686
Granted	1,158,699
Exercised/Converted	(226,468)
Cancelled/Forfeited	(56,444)
Ending Balance	2,089,473	1,213,686
Weighted Average Exercise Price
Beginning Balance	$ 7.46
Granted	12.33	$ 7.46	$ 4.54
Exercised/Converted	7.18
Cancelled/Forfeited	9.26
Ending Balance	$ 10.15	$ 7.46

Stock-Based Compensation - Su87

Stock-Based Compensation - Summary of Company's Stock Appreciation Unit Activity (Details) - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Number of Units
Exercised/Converted		(895,655)
Stock Appreciation Units (SARs) [Member]
Number of Units
Beginning Balance	342,316
Exercised/Converted	(55,133)
Cancelled/Forfeited	(415)
Ending Balance	286,768	342,316
Weighted-Average Exercise Price
Beginning Balance	$ 4.85
Exercised/Converted	4.73
Cancelled/Forfeited	3.73
Ending Balance	$ 4.87	$ 4.85

Stock-Based Compensation - Su88

Stock-Based Compensation - Summary of Information about Restricted Stock Units Outstanding (Details) - Restricted stock units $ in Thousands	12 Months Ended
	Dec. 31, 2016USD ($)shares
Aggregate Intrinsic Value
Vested and expected to vest | $	$ 20,099
Weighted Average Remaining Contractual Term (Years)
Vested and expected to vest	1 year 3 months 15 days
Number of Shares
Vested and expected to vest | shares	1,859,267

Stock-Based Compensation - Empl

Stock-Based Compensation - Employee Stock Purchase Plan (Details) - Employee Stock Purchase Plan $ in Millions	12 Months Ended
	Dec. 31, 2016USD ($)shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Issuance of common stock under employee stock purchase plan (in shares) | shares	350,655
Unrecognized stock-based compensation expense | $	$ 0.9

Income taxes - Income (Loss) be

Income taxes - Income (Loss) before Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income taxes
U.S. operations	$ (10,217)	$ (7,212)	$ (30,046)
Non-U.S. operations	13,609	13,984	12,846
Income (loss) before income taxes	$ 3,392	$ 6,772	$ (17,200)

Income taxes - Components of Pr

Income taxes - Components of Provision for Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Current
Federal	$ (127)	$ (48)	$ (71)
State	(13)	(8)	(18)
Foreign	(3,925)	(3,725)	(1,218)
Provision for income tax, current	(4,065)	(3,781)	(1,307)
Deferred
Federal	(24)	(22)
Foreign	492	699	(1,212)
Total provision for income taxes from continuing operations	$ (3,597)	$ (3,104)	$ (2,519)

Income taxes - Difference in Pr

Income taxes - Difference in Provision for Income Taxes from Amount Obtained by Applying U.S. Federal Statutory Rate (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income taxes
Federal statutory rate	35.00%	35.00%	35.00%
Tax at federal statutory rate	$ (1,185)	$ (2,378)	$ 5,969
State taxes, net of federal benefit	(8)	(8)	(18)
Subpart F income	(19)	(66)	(18,986)
Nondeductible expenses	(727)	(135)	(125)
Stock-based compensation	(877)	(465)	(542)
Change in valuation allowance	(1,455)	(958)	(724)
Research and development	1,175	1,017	539
Foreign rate differences	(1,215)	(844)	1,246
Escrow settlement			1,360
Foreign tax credit	127	30	9,208
Change in prior year deferred balances	920	417	(308)
Other	(333)	286	(138)
Total provision for income taxes from continuing operations	$ (3,597)	$ (3,104)	$ (2,519)

Income taxes - Components of De

Income taxes - Components of Deferred Income Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Deferred Tax Assets:
Net operating loss carryforwards	$ 55,274	$ 60,063
Federal and state credits	23,372	21,752
Reserves, accruals and other	14,423	10,325
Fixed assets and intangibles	1,817	1,459
Total deferred tax assets	94,886	93,599
Valuation allowance	(90,060)	(88,940)
Total deferred tax assets, net of valuation allowance	4,826	4,659
Less deferred tax liabilities:
Acquired intangibles	(2,295)	(3,878)
Property, plant and equipment	(949)
Net deferred tax assets	1,582	781
Reported as:
Long term deferred tax assets, included within other long-term assets	1,628	869
Long term deferred income tax liabilities, included within noncurrent liabilities	(46)	(88)
Net deferred tax assets	$ 1,582	$ 781

Income Taxes - Additional infor

Income Taxes - Additional information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Taxes [Line Items]
Decrease in net valuation allowance	$ 1,100	$ (2,300)
Undistributed earnings of foreign subsidiaries	30,700
Provision for federal and state income taxes on undistributed earnings of foreign subsidiaries	$ 0
Income tax statutory rate	35.00%	35.00%	35.00%
Gross unrecognized tax benefits	$ 23,606	$ 20,686	$ 18,372	$ 16,452
Unrecognized tax benefits affecting effective tax rate if recognized	200
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense	$ 0
Open tax year	2,011
Federal [Member]
Income Taxes [Line Items]
Net operating loss carryforwards	$ 207,300
Net operating loss carryforwards, expiration date	Dec. 31, 2018
Research credit	$ 7,300
Tax credit expiration date	Dec. 31, 2018
State [Member]
Income Taxes [Line Items]
Net operating loss carryforwards	$ 51,000
Research credit	14,500
Foreign Country [Member]
Income Taxes [Line Items]
Research credit	$ 10,300
Tax credit expiration date	Dec. 31, 2022
Benefits realized from reduced tax rate		$ 900	$ 500
Foreign Country [Member] | Subsidiary in China
Income Taxes [Line Items]
Income tax statutory rate	15.00%
Preferential rate	15.00%
Corporate effective income tax rate	25.00%
Preferential granted effective income tax rate, Termination Date	2015 and 2014
Employee Stock Options [Member]
Income Taxes [Line Items]
Net operating loss carryforwards	$ 8,600

Income taxes - Reconciliation o

Income taxes - Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income taxes
Beginning Balance	$ 20,686	$ 18,372	$ 16,452
Gross increases for tax positions of current year	2,920	2,314	2,090
Reductions resulting from lapse of applicable statute of limitations			(170)
Ending Balance	$ 23,606	$ 20,686	$ 18,372

Segment and Geographic Inform96

Segment and Geographic Information - Additional Information (Details) - segment	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Segment and geographic information
Number of reportable segments	1	1	1

Segment and Georgraphic Informa

Segment and Georgraphic Information - Revenue and Long-Lived Assets By Geographical Region (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Segment Reporting Information [Line Items]
Revenue	$ 109,837	$ 103,312	$ 99,129	$ 99,145	$ 89,123	$ 83,560	$ 85,372	$ 81,384	$ 411,423	$ 339,439	$ 306,177
Property, plant and equipment, net	106,867				62,618				106,867	62,618
High Speed Products
Segment Reporting Information [Line Items]
Revenue									277,258	195,831	129,595
Network Products and Solutions
Segment Reporting Information [Line Items]
Revenue									134,165	143,608	176,582
China
Segment Reporting Information [Line Items]
Revenue									254,685	182,504	161,509
Property, plant and equipment, net	38,589				24,334				38,589	24,334
United States
Segment Reporting Information [Line Items]
Revenue									67,807	77,867	56,603
Property, plant and equipment, net	31,101				19,308				31,101	19,308
Japan
Segment Reporting Information [Line Items]
Revenue									12,037	12,713	16,261
Property, plant and equipment, net	31,784				15,603				31,784	15,603
Rest of World
Segment Reporting Information [Line Items]
Revenue									76,894	66,355	$ 71,804
Property, plant and equipment, net	$ 5,393				$ 3,373				$ 5,393	$ 3,373

Selected Quarterly Financial In

Selected Quarterly Financial Information (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Selected Quarterly Financial Data
Net revenues	$ 109,837	$ 103,312	$ 99,129	$ 99,145	$ 89,123	$ 83,560	$ 85,372	$ 81,384	$ 411,423	$ 339,439	$ 306,177
Gross profit	31,033	27,449	27,529	31,122	25,110	23,772	26,146	24,053	117,133	99,081	71,118
Net income (loss)	$ 1,996	$ (7,187)	$ 2,676	$ 2,310	$ 399	$ 1,378	$ 1,791	$ 100	$ (205)	$ 3,668	$ (19,719)
Basic net income (loss) per share	$ 0.05	$ (0.17)	$ 0.06	$ 0.06					$ 0	$ 0.10	$ (0.61)
Diluted net income (loss) per share	$ 0.04	$ (0.17)	$ 0.06	$ 0.05					$ 0	$ 0.09	$ (0.61)
Basic and diluted net income per share					$ 0.01	$ 0.03	$ 0.05
Weighted average shares used to compute basic net income (loss) per share	42,421	42,038	41,603	41,121	40,739	40,367	35,684	32,780	41,798	37,421	32,109
Weighted average shares used to compute diluted net (loss) income per share	45,767	42,038	44,320	43,648	42,668	42,217	37,294	33,031	41,798	38,686	32,109

Subsequent event (Details)

Subsequent event (Details) - Subsequent Event [Member] $ in Millions	1 Months Ended
	Jan. 31, 2017USD ($)
Assets held for sale | Asset purchase agreement
Subsequent Event [Line Items]
Purchase price	$ 25
Post-closing transition services fees	1.4
Reduction to purchase price after closing	3.4
Assets held for sale | Asset purchase agreement | Maximum [Member]
Subsequent Event [Line Items]
Potential indemnification claims	10
Comerica [Member]
Subsequent Event [Line Items]
Repayments of Lines of Credit	$ 23.8