Ruckus Wireless (RKUS) 10-Q 3 May 16 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document - shares	3 Months Ended
	Mar. 31, 2016	Apr. 21, 2016
Entity [Abstract]
Entity Registrant Name	RUCKUS WIRELESS INC
Entity Central Index Key	1,294,016
Document Type	10-Q
Document Period End Date	Mar. 31, 2016
Amendment Flag	false
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		90,543,181

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 59,714	$ 69,687
Short-term investments	166,934	160,791
Accounts receivable, net of allowance for doubtful accounts of $800 as of March 31, 2016 and December 31, 2015	80,256	70,649
Inventories	25,711	26,591
Deferred costs	1,951	3,669
Restricted cash	5,000	5,000
Prepaid expenses and other current assets	7,234	6,168
Total current assets	346,800	342,555
Property and equipment, net	18,666	19,411
Goodwill	16,390	16,390
Intangible assets, net	7,707	8,625
Non-current deferred tax asset	31,883	30,217
Other assets	1,767	1,623
Total assets	423,213	418,821
Current liabilities:
Accounts payable	23,074	30,360
Accrued liabilities	11,209	7,748
Accrued compensation	17,100	14,902
Deferred revenue	32,086	36,602
Total current liabilities	83,469	89,612
Non-current deferred revenue	14,957	14,524
Other non-current liabilities	3,274	3,152
Total liabilities	$ 101,700	$ 107,288
Commitments and contingencies (Note 7)
Stockholders’ equity:
Common stock, $0.001 par value; 250,000 shares authorized as of March 31, 2016 and December 31, 2015; 90,063 and 89,345 shares issued and outstanding at March 31, 2016 and December 31, 2015, respectively	$ 90	$ 89
Additional paid-in capital	331,145	320,561
Accumulated other comprehensive income (loss)	128	(192)
Accumulated deficit	(9,850)	(8,925)
Total stockholders’ equity	321,513	311,533
Total liabilities and stockholders’ equity	$ 423,213	$ 418,821

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 800	$ 800
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	250,000,000	250,000,000
Common Stock, Shares, Issued	90,063,000	89,345,000
Common stock, shares outstanding	90,063,000	89,345,000

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Revenue:
Product	$ 91,285	$ 75,297
Service	9,288	6,781
Total revenue	100,573	82,078
Cost of revenue:
Product	28,188	23,231
Service	3,973	3,542
Total cost of revenue	32,161	26,773
Gross profit	68,412	55,305
Operating expenses:
Research and development	26,235	21,296
Sales and marketing	30,140	26,078
General and administrative	13,807	9,434
Total operating expenses	70,182	56,808
Operating loss	(1,770)	(1,503)
Interest income	312	141
Other expense, net	0	(78)
Loss before income taxes	(1,458)	(1,440)
Income tax benefit	(533)	(867)
Net loss	$ (925)	$ (573)
Net income (loss) per share:
Basic and diluted (USD per share)	$ (0.01)	$ (0.01)
Weighted average number of shares outstanding, basic and diluted (in shares)	89,741	85,637

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Statement of Comprehensive Income [Abstract]
Net loss	$ (925)	$ (573)
Other comprehensive income, net of tax:
Unrealized gain on short-term investments	319	85
Comprehensive loss	$ (606)	$ (488)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Cash flows from operating activities
Net loss	$ (925)	$ (573)
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	3,197	2,833
Stock-based compensation	8,085	7,322
Amortization of investment premiums, net of accretion of purchase discounts	473	601
Deferred income taxes	(1,192)	(1,271)
Excess tax benefit from employee stock incentive plans	(474)	(989)
Other	6	10
Changes in operating assets and liabilities:
Accounts receivable	(9,613)	2,432
Inventories	880	(4,079)
Deferred costs	1,718	1,951
Prepaid expenses and other current assets	(1,161)	(918)
Other assets	(154)	93
Accounts payable	(5,437)	(4,209)
Accrued compensation	2,320	(1,196)
Accrued liabilities	3,461	1,489
Deferred revenue	(4,083)	(8,808)
Net cash used in operating activities	(2,899)	(5,312)
Cash flows from investing activities
Purchase of investments	(53,464)	(30,987)
Proceeds from the maturity of investments	32,458	25,774
Proceeds from the sale of investments	14,805	0
Purchase of property, equipment and internal use software	(3,383)	(3,251)
Change in facility lease deposits	10	(67)
Net cash used in investing activities	(9,574)	(8,531)
Cash flows from financing activities:
Proceeds from exercise of stock options	2,026	3,038
Excess tax benefit from employee stock incentive plans	474	989
Net cash provided by financing activities	2,500	4,027
Net decrease in cash and cash equivalents	(9,973)	(9,816)
Cash and cash equivalents at beginning of period	69,687	56,083
Cash and cash equivalents at end of period	59,714	46,267
Supplemental disclosure of cash flow information
Income taxes paid	437	298
Non-cash investing and financing activities
Purchases of property and equipment recorded in accounts payable and accrued liabilities	$ 804	$ 3,914

DESCRIPTION OF BUSINESS AND SUM

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Mar. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Description of Business — Ruckus Wireless, Inc., a Delaware corporation (“Ruckus”) is a global supplier of advanced Wi-Fi solutions. Ruckus' solutions, which are called Smart Wi-Fi, are used by service providers and enterprises to solve a range of network capacity, coverage and reliability challenges associated with increasing wireless traffic demands created by the growth in the number of users equipped with more powerful smart wireless devices using increasingly data rich applications and services. Ruckus markets and sells its products and technology directly and indirectly through a vast network of channel partners to a variety of service providers and enterprises around the world. Its Smart Wi-Fi solutions offer features and functionality such as enhanced reliability, consistent performance, extended range and massive scalability. Ruckus' products include high capacity, controllers, indoor and outdoor access points, wireless bridges, controller software platforms, software management solutions including reporting and analytics and unique Wi-Fi-related cloud services, such as location-based positioning, and certificate-based security and on-boarding of Wi-Fi devices. These hardware and software products and services incorporate various elements of Ruckus' proprietary technologies, including Smart Radio, SmartCast, SmartMesh, and Smart Scaling, to enable high performance in a variety of challenging operating environments. Organization - On April 3, 2016, Ruckus entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Brocade Communications Systems, Inc., a Delaware corporation (“Parent” or "Brocade"), and Stallion Merger Sub Inc., a Delaware corporation and a wholly owned subsidiary of Parent (the “Offeror” or "Merger Sub"). Pursuant to the Merger Agreement, on April 29, 2016, the Offeror commenced an offer to exchange (the “Offer”) each outstanding share of Ruckus common stock (the “Company Common Stock”) for $6.45 in cash and 0.75 of a share of common stock of Brocade (the "Offer Consideration"). The Offer is scheduled to expire at midnight, Eastern time, at the end of May 26, 2016. As soon as practicable following the consummation of the Offer, and subject to the satisfaction or waiver of certain conditions set forth in the Merger Agreement, the Offeror will merge with and into Ruckus (the “Merger”) pursuant to the provisions of Section 251(h) of the Delaware General Corporation Law, with no stockholder vote required to consummate the Merger, and Ruckus will survive as a wholly owned subsidiary of Parent. The transaction is not subject to any financing condition. Parent intends to fund the transaction with a combination of cash on hand and committed debt financing. Basis of Presentation — The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and note disclosures normally included in the consolidated financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in Ruckus’ Annual Report on Form 10-K for the year ended December 31, 2015, filed on February 24, 2016. The condensed consolidated balance sheet as of December 31, 2015, included herein, was derived from the audited financial statements as of that date, but does not include all disclosures including notes required by GAAP. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations, and cash flows for the interim periods, but are not necessarily indicative of the results of operations to be anticipated for the full year 2016 or any future period. Principles of Consolidation — The condensed financial statements include the accounts of Ruckus and its wholly owned subsidiaries (collectively, the “Company”). All intercompany balances and transactions have been eliminated in consolidation. Use of Estimates — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Significant estimates and assumptions made by management include the determination of revenue recognition, valuation of inventory, goodwill and intangible assets, accounting for income taxes and stock-based compensation. Management bases its estimates on historical experience and also on assumptions that it believes are reasonable. Actual results could materially differ from those estimates. Summary of Significant Accounting Policies — There have been no material changes to the Company's significant accounting policies as compared to those described in its Annual Report on Form 10-K for the year ended December 31, 2015. Recent Accounting Pronouncements — In March 2016, the Financial Accounting Standard Board (“FASB”) issued accounting standards update (“ASU”) 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The standard is intended to simplify several areas of accounting for share-based compensation arrangements, including the income tax impact, classification on the statement of cash flows and forfeitures. ASU 2016-09 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016, and early adoption is permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial position, results of operations and cash flows. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). This ASU amends leasing guidance by requiring companies to recognize a right-of-use asset and a lease liability for all operating and capital (finance) leases with lease terms of greater than twelve months. The lease liability will be equal to the present value of lease payments. The lease asset will be based on the lease liability, subject to adjustment, such as for initial direct costs. For income statement purposes, leases will continue to be classified as operating or capital (finance), with lease expense in both cases calculated substantially the same as under the prior leasing guidance. This guidance is effective for annual reporting periods beginning after December 15, 2018, including interim periods within that reporting period, with early adoption permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial position, results of operations and cash flows. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments - Overall (Subtopic 825-10), Recognition and Measurement of Financial Assets and Financial Liabilities, which addresses certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. ASU 2016-01 will be effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years, and early adoption is not permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial position, results of operations and cash flows. In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory. The update replaces the concept of "lower of cost or market" with that of "lower of cost and net realizable value", which requires companies to measure certain inventory at the lower of cost and net realizable value. This accounting guidance is effective for fiscal years beginning after December 15, 2016, and interim periods within those years on a prospective basis. Early application is permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial position, results of operations and cash flows. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers, a converged standard on revenue recognition. Some of the main areas of transition to the new standard include, among others, transfer of control (revenue is recognized when a customer obtains control of a good or service), allocation of transaction price based on relative stand-alone selling price (entities that sell multiple goods or services in a single arrangement must allocate the consideration to each of those goods or services), contract costs (entities sometimes incur costs, such as sales commissions or mobilization activities, to obtain or fulfill a contract), and disclosures (extensive disclosures are required to provide greater insight into both revenue that has been recognized, and revenue that is expected to be recognized in the future from existing contracts). In July 2015, the FASB issued ASU 2015-14 to affirm a one-year deferral of the effective date of the new revenue standard. The accounting standard will be effective for the Company beginning in its first quarter of 2018, with early adoption permitted, but not before the original effective date of annual periods beginning after December 15, 2016, using one of two methods of adoption: (i) retrospective to each prior reporting period presented, with the option to elect certain practical expedients as defined within the standard; or (ii) retrospective with the cumulative effect of initially applying the standard recognized at the date of initial application inclusive of certain additional disclosures. In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Principal versus Agent Considerations), to clarify the implementation guidance on principal versus agent considerations. The guidance includes indicators to assist an entity in determining whether it controls a specified good or service before it is transferred to the customers. The Company is currently assessing the impact that adopting this new accounting standard will have on its condensed consolidated financial statements and footnote disclosures. Concentrations of Credit Risk and Significant Customers — Financial instruments that subject the Company to significant concentrations of credit risk primarily consist of cash, cash equivalents, short-term investments and accounts receivable. The Company invests only in high credit quality instruments and maintains its cash equivalents and short-term investments in fixed income securities. Management believes that the financial institutions that hold the Company’s investments are financially sound and, accordingly, are subject to minimal credit risk. Deposits held with banks may exceed the amount of insurance provided on such deposits. The Company’s accounts receivable are primarily derived from distributors and service providers located in the Americas, Europe and Asia Pacific. The Company generally does not require its customers to provide collateral to support accounts receivable. To reduce credit risk, management performs ongoing credit evaluations of its customers’ financial condition. The Company has recorded an allowance for doubtful accounts for those receivables management has determined not to be collectible. The percentages of revenue from individual customers totaling greater than 10% of total consolidated revenue were as follows: Three Months Ended March 31, 2016 2015 Distributor A 11.8 % 13.0 % Distributor B 10.7 % 13.2 % Distributor C * 10.2 % * Less than 10% No single end-customer accounted for more than 10% of total consolidated revenue in the three months ended March 31, 2016 and 2015. The percentage of receivables from individual customers totaling greater than 10% of total consolidated accounts receivable were as follows: March 31, December 31, 2016 2015 Distributor D 13.3 % 20.3 %

FAIR VALUE DISCLOSURE

FAIR VALUE DISCLOSURE	3 Months Ended
	Mar. 31, 2016
Fair Value Disclosures [Abstract]
FAIR VALUE DISCLOSURE	FAIR VALUE DISCLOSURE Assets and liabilities recorded at fair value in the condensed consolidated financial statements are categorized based upon the level of judgment associated with the inputs used to measure their fair value. The Company categorizes its financial instruments into a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. There were no transfers between levels during the three months ended March 31, 2016. Hierarchical levels that are directly related to the amount of subjectivity associated with the inputs to the valuation of these assets or liabilities are as follows: Level 1 Quoted prices (unadjusted) in active markets that are accessible at the measurement date for identical assets or liabilities. Level 2 Observable prices that are based on inputs not quoted on active markets, but corroborated by market data. Level 3 Unobservable inputs are used when little or no market data is available. The Company’s assets that were measured at fair value by level within the fair value hierarchy were as follows (in thousands): March 31, 2016 Fair Value Level 1 Level 2 Level 3 Assets: Cash equivalents: Money market funds $ 7,743 $ 7,743 $ — $ — Short-term investments: Corporate debt securities 85,881 — 85,881 — U.S. government agency securities 16,451 — 16,451 — U.S. government treasury bills 64,602 64,602 — — Total assets measured and recorded at fair value $ 174,677 $ 72,345 $ 102,332 $ — December 31, 2015 Fair Value Level 1 Level 2 Level 3 Assets: Cash equivalents: Money market funds $ 13,073 $ 13,073 $ — $ — Short-term investments: Corporate debt securities 99,747 — 99,747 — U.S. government agency securities 22,055 — 22,055 — U.S. government treasury bills 38,989 38,989 — — Total assets measured and recorded at fair value $ 173,864 $ 52,062 $ 121,802 $ —

INVESTMENTS

INVESTMENTS	3 Months Ended
	Mar. 31, 2016
Investments, Debt and Equity Securities [Abstract]
INVESTMENTS	SHORT-TERM INVESTMENTS Short-term investments consisted of the following (in thousands): March 31, 2016 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Corporate debt securities $ 85,877 $ 38 $ (34 ) $ 85,881 U.S. government agency securities 16,453 1 (3 ) 16,451 U.S. government treasury bills 64,585 29 (12 ) 64,602 Total short-term investments $ 166,915 $ 68 $ (49 ) $ 166,934 December 31, 2015 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Corporate debt securities $ 99,916 $ 2 $ (171 ) $ 99,747 U.S. government agency securities 22,100 — (45 ) 22,055 U.S. government treasury bills 39,075 — (86 ) 38,989 Total short-term investments $ 161,091 $ 2 $ (302 ) $ 160,791 The gross realized gains and losses related to the Company’s short-term investments were not material for the three months ended March 31, 2016 and 2015. The cost basis and fair value of the short-term investments by contractual maturity consist of the following (in thousands): March 31, 2016 December 31, 2015 Amortized Cost Fair Value Amortized Cost Fair Value One year or less $ 129,886 $ 129,918 $ 105,266 $ 105,150 Over one year and less than two years 37,029 37,016 55,825 55,641 Total short-term investments $ 166,915 $ 166,934 $ 161,091 $ 160,791 Short-term investments in an unrealized loss position consisted of the following (in thousands): March 31, 2016 December 31, 2015 Less Than 12 Months Fair Value Unrealized Loss Fair Value Unrealized Loss Corporate debt securities $ 35,505 $ (34 ) $ 80,369 $ (171 ) U.S. government agency securities 10,228 (3 ) 22,055 (45 ) U.S. government treasury bills 16,037 (12 ) 38,989 (86 ) Total short-term investments $ 61,770 $ (49 ) $ 141,413 $ (302 ) As of March 31, 2016 and December 31, 2015, no short-term investments were in a continuous unrealized loss position for more than twelve months. The Company does not intend to sell any of these investments, and it is not more likely than not, that the Company would be required to sell these investments before recovery of their amortized cost basis, which may be at maturity. Management did not consider any of the investments to be other-than-temporarily impaired.

BUSINESS COMBINATION

BUSINESS COMBINATION	3 Months Ended
	Mar. 31, 2016
Business Combinations [Abstract]
Business Combination	BUSINESS COMBINATION On October 21, 2015, the Company completed the acquisition of Cloudpath Networks, Inc. (“Cloudpath”), a privately-held company providing secure device onboarding software and certificate-based Wi-Fi security. The Company acquired all of the outstanding capital stock of Cloudpath for $ 9.0 million in cash, of which $1.4 million , subject to certain adjustments, will be paid following the second anniversary of the acquisition date. As a result of the acquisition, the Company offers Cloudpath's secure device onboarding software or software as a service to onboard all new devices simply and securely. The Company allocated the total purchase price consideration to the net assets acquired, including identifiable intangible assets, based on their respective fair values at the acquisition date. The excess purchase price over the fair value of the net assets acquired was recorded as goodwill. There are a number of factors contributing to the amount of goodwill, including Cloudpath's workforce and the expectation that the acquisition will create synergies, which will provide future value to the Company. The goodwill is not expected to be deductible for income tax purposes. The purchase allocation for Cloudpath is summarized as follows (in thousands): Fair Value Cash and cash equivalents $ 431 Other tangible assets 416 Purchased technology 2,300 Customer relationships 1,600 Trade name 360 Goodwill 6,445 Non-current deferred tax liabilities (1,813 ) Deferred revenue (510 ) Other liabilities assumed (229 ) Total purchase consideration $ 9,000 In connection with the acquisition, the Company may pay additional cash compensation of up to $ 9.0 million . The cash compensation is contingent upon the continued employment of a founder with the Company. $ 7.5 million of this cash compensation will vest and be paid in installments every 6 months over a period of two years from the date of acquisition. Up to $ 1.5 million is contingent upon certain billing targets of Cloudpath products and services as well as the founder providing continuous service and is expected to be paid in the first quarter of 2018, if the billing targets are achieved. To retain the services of former Cloudpath employees who became employees of the Company, the Company agreed to $ 0.9 million in cash incentives, which vest and are paid over a two -year period, and granted 195,705 RSUs under the Company’s Amended and Restated 2012 Equity Incentive Plan. The fair value of the equity awards of $2.3 million will be recognized over a four -year requisite service period. As the cash incentives are subject to continued employment, they will be recorded as post-acquisition compensation expense. The Company recorded post-acquisition retention expenses of $1.4 million related to Cloudpath founders and former employees for the three month ended March 31, 2016.

GOODWILL AND INTANGIBLES ASSETS

GOODWILL AND INTANGIBLES ASSETS	3 Months Ended
	Mar. 31, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND INTANGIBLE ASSETS	GOODWILL AND INTANGIBLE ASSETS Intangible assets consisted of the following (in thousands, except years): Gross Carrying Accumulated Net Weighted Average March 31, 2016 Purchased technology $ 14,900 $ (8,979 ) $ 5,921 2.8 Customer relationships 1,600 (142 ) 1,458 4.6 Trade name 360 (32 ) 328 4.6 Total $ 16,860 $ (9,153 ) $ 7,707 December 31, 2015 Purchased technology $ 14,900 $ (8,159 ) $ 6,741 2.9 Customer relationships 1,600 (62 ) 1,538 4.8 Trade name 360 (14 ) 346 4.8 Total $ 16,860 $ (8,235 ) $ 8,625 The following table presents the estimated future amortization expense of intangible assets as of March 31, 2016 (in thousands): Year ending December 31, Amount 2016 (remaining nine months) $ 2,465 2017 2,352 2018 1,352 2019 852 2020 686 Total amortization $ 7,707 The Company had goodwill of $16.4 million as of March 31, 2016 and December 31, 2015 . No impairment has been recognized related to the goodwill balance.

DEFERRED REVENUE

DEFERRED REVENUE	3 Months Ended
	Mar. 31, 2016
Deferred Revenue Disclosure [Abstract]
DEFERRED REVENUE	DEFERRED REVENUE Deferred revenue consisted of the following (in thousands): March 31, December 31, 2016 2015 Product $ 9,404 $ 15,170 Service 37,639 35,956 Total deferred revenue $ 47,043 $ 51,126 Reported as: Current $ 32,086 $ 36,602 Non-current 14,957 14,524 Total deferred revenue $ 47,043 $ 51,126 Deferred product revenue relates to arrangements where not all revenue recognition criteria have been met. Deferred service revenue represents support contracts and software licensed as a service (“SaaS”) billed in advance and revenue is recognized ratably over the service period, typically one to five years .

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Operating Leases —The Company’s primary facilities are located in Sunnyvale, California, Taipei, Taiwan, Bangalore, India, Shenzhen, China, Singapore and Wooburn Green, United Kingdom, and are leased under non-cancelable operating lease arrangements. Future minimum lease payments under non-cancelable operating leases were as follows (in thousands): Years ending December 31, Amount 2016 (remaining nine months) $ 3,855 2017 4,824 2018 3,891 2019 2,849 2020 2,743 Thereafter 5,181 Operating lease obligations $ 23,343 Litigation — The Company is involved in legal proceedings, claims, and litigation arising in the ordinary course of business. Management is not currently aware of any matters that it expects will have a material adverse effect on the condensed consolidated financial position, results of operations, or cash flows of the Company. Purchase Commitments — As of March 31, 2016 , the Company had current purchase commitments of $14.8 million for inventory and specific contractual services. Indemnification Agreements — The Company indemnifies its officers and directors for certain events or occurrences, subject to certain limits, while the director is or was serving at the Company’s request in such capacity. The term of the indemnification period is for the director’s term of service. The Company may terminate the indemnification agreements with its directors upon the termination of their services as directors of the Company, but termination will not affect claims for indemnification related to events occurring prior to the effective date of termination. The maximum amount of potential future indemnification is unlimited; however, the Company has a director insurance liability policy that limits its exposure. The Company believes the fair value of these indemnification agreements is minimal. The Company has also entered into customary indemnification agreements with each of its officers. The Company indemnifies its channel partners against certain claims alleging that the Company’s products (excluding custom products and/or custom support) infringe a patent, copyright, trade secret, or trademark, provided that a channel partner promptly notifies the Company in writing of the claim and such channel partner cooperates with the Company and grants the Company the authority to control the defense and any related settlement. The Company has not recorded any liabilities for these agreements as of March 31, 2016 and December 31, 2015 . Reimbursement of Penalties — As of March 31, 2016 and December 31, 2015 , the Company held $5.0 million in escrow to secure an indemnification agreement. If triggered, the Company will indemnify a channel partner for reimbursement of penalties assessed under the Information Technology Act of India (“IT Act”). The IT Act specifies penalties for network service providers in the event of illegal or unauthorized use of computers, computer systems and data stored therein. In the event that Ruckus equipment is the cause of a network service provider breach, the Company is required to indemnify the channel partner, without limitation to the amount, for penalties reimbursed by the channel partner to the network service provider under the IT Act. In the second quarter of 2016, the escrow will expire, but the indemnification agreement will continue. To date no claims have been made under the IT Act, for which the Company would be potentially liable. Warranties — The Company offers a limited lifetime hardware warranty on its indoor WLAN products and a limited warranty for all other hardware products for a period of up to one year . The Company estimates the costs that may be incurred under its warranties and records a liability for products sold as a charge to cost of revenue. Estimates of future warranty costs are largely based on historical experience of product failure rates and material usage incurred in correcting product failures. The Company periodically assesses the adequacy of its recorded warranty liability and adjusts the amounts as necessary. The warranty liability is included as a component of accrued liabilities in the accompanying condensed consolidated balance sheets. Changes in the warranty liability were as follows (in thousands): Three Months Ended March 31, 2016 2015 Balance at beginning of period $ 1,084 $ 803 Changes in existing warranty (30 ) (82 ) Warranty expense 167 390 Obligations fulfilled (212 ) (187 ) Balance at end of period $ 1,009 $ 924

EQUITY AWARD PLANS

EQUITY AWARD PLANS	3 Months Ended
	Mar. 31, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
EQUITY AWARD PLANS	EQUITY AWARD PLANS Stock Option Activity The following table summarizes the outstanding stock option activity and a summary of information related to stock options (in thousands, except per share amounts and years): Common Stock Options Outstanding Number of Weighted Weighted (Years) Aggregate Balance, December 31, 2015 13,747 $ 6.08 5.7 $ 76,742 Options granted 34 9.48 Options exercised (643 ) 3.15 Options canceled (110 ) 13.39 Balance, March 31, 2016 13,028 $ 6.17 5.6 $ 63,069 Options exercisable as of March 31, 2016 11,281 $ 5.13 5.2 $ 62,257 Options vested and expected to vest as of March 31, 2016 12,975 $ 6.14 5.6 $ 63,061 The weighted average grant date fair value of stock options was approximately $4.24 and $5.86 per share for the three months ended March 31, 2016 and 2015, respectively. The total intrinsic value of options exercised was approximately $3.9 million and $9.9 million for the three months ended March 31, 2016 and 2015, respectively. Restricted Stock Unit Activity The following table summarizes the outstanding activity of Restricted Stock Units (“RSUs”) and a summary of information related to RSUs (in thousands, except per share amounts and years): Restricted Stock Units Outstanding Number of Shares Weighted Average Grant Date Fair Value Per Share Weighted (Years) Aggregate Intrinsic Value Balance, December 31, 2015 4,277 $ 12.17 1.7 $ 45,794 RSUs granted 486 8.57 RSUs vested (75 ) 14.09 RSUs forfeited (128 ) 12.32 Balance, March 31, 2016 4,560 $ 11.75 1.5 $ 44,733 The following table summarizes the stock activity and the total number of shares available for grant under the Company's Amended & Restated 2012 Equity Incentive Plan as of March 31, 2016 (in thousands): Number of Balance, December 31, 2015 11,735 Additional shares reserved for issuance 4,467 Options granted (34 ) Options canceled 110 RSUs granted (486 ) RSUs forfeited 128 Balance, March 31, 2016 15,920 Fair Value Disclosures Employee Stock Options The fair value of each option is estimated on the date of grant using the Black-Scholes model. The following table summarizes the weighted average assumptions relating to the Company's stock options: Three Months Ended March 31, 2016 2015 Volatility 52.5 % 57.8 % Expected term (years) 4.7 6.1 Risk-free interest rate 1.2 % 1.6 % Dividend yield — — Employee Stock Purchase Plan There were no stock purchase rights granted under the Employee Stock Purchase Plan (“ESPP”) during the three months ended March 31, 2016 and 2015 . Stock-based Compensation Expense The following table summarizes the stock-based compensation expense recorded in the condensed consolidated statements of operations (in thousands): Three Months Ended March 31, 2016 2015 Cost of revenue $ 325 $ 316 Research and development 2,817 2,722 Sales and marketing 2,089 1,617 General and administrative 2,854 2,667 Total stock-based compensation $ 8,085 $ 7,322 At March 31, 2016 , the total unrecognized stock-based compensation expense under the Company's stock plans was $55.1 million , net of estimated forfeitures. The unamortized expense will be recognized over a weighted-average period of 2.5 years.

EARNINGS PER SHARE

EARNINGS PER SHARE	3 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
EARNINGS PER SHARE	EARNINGS PER SHARE Basic net loss per share is computed by dividing net loss by basic weighted-average shares outstanding during the period. In loss periods, basic net loss per share and diluted net loss per share are the same since the effect of potential common shares is anti-dilutive and therefore excluded. The following table presents the calculation of basic and diluted net loss per share (in thousands, except per share data): Three Months Ended March 31, 2016 2015 Numerator: Net loss $ (925 ) $ (573 ) Denominator: Weighted-average shares used in computing net loss per share, basic and diluted: 89,741 85,637 Net loss per share, basic and diluted: $ (0.01 ) $ (0.01 ) The following table summarizes the weighted average outstanding stock awards that were excluded from the diluted per share calculation because to include them would have been anti-dilutive for the period (in thousands): Three Months Ended March 31, 2016 2015 Stock options 13,352 16,435 RSUs and ESPP 4,515 3,355 Total 17,867 19,790

INCOME TAXES

INCOME TAXES	3 Months Ended
	Mar. 31, 2016
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES Income tax benefit was $0.5 million and $0.9 million for the three months ended March 31, 2016 and March 31, 2015, respectively. The effective tax rate exceeded the statutory rate for the periods primarily due to certain non-deductible stock-based compensation expenses. The Company evaluates the realization of its deferred tax assets based on the expiration period of the asset, projections of future taxable income in the relevant tax jurisdiction, the effect of tax planning strategies, and other factors. Both positive and negative evidence is weighed using significant judgment. Based on an evaluation of these factors, the Company believes that the realization of its deferred tax assets is more likely than not and, therefore, a valuation allowance against its deferred tax assets is not required. In future periods, positive and negative evidence can change due to revised projections of future taxable income in the relevant jurisdictions and other factors listed above. If future circumstances require a valuation allowance to be recorded, there would be an increase in tax expense in the consolidated statements of operations without any change in net cash provided by operating activities in the consolidated statements of cash flows.

SEGMENT INFORMATION

SEGMENT INFORMATION	3 Months Ended
	Mar. 31, 2016
Segment Reporting [Abstract]
SEGMENT INFORMATION	SEGMENT INFORMATION The Company operates in one industry segment selling gateways, controllers and access points along with related software and services. Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision making group, in deciding how to allocate resources and in assessing performance. The Company’s chief operating decision maker is its chief executive officer. The Company’s chief executive officer reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. The Company has one business activity, and there are no segment managers who are held accountable for operations, operating results and plans for products or components below the consolidated unit level. Accordingly, the Company reports as a single operating segment. The Company and its chief executive officer evaluate performance based primarily on revenue in the geographic locations in which the Company operates. Revenue is attributed by geographic location based on the bill-to location of the Company’s customers. The following presents total revenue by geographic region (in thousands): Three Months Ended March 31, 2016 2015 Americas: United States $ 47,057 $ 38,966 Other Americas 4,902 1,773 Total Americas 51,959 40,739 EMEA: United Kingdom 13,203 6,653 Other EMEA 16,143 15,320 Total EMEA 29,346 21,973 APAC: Total APAC 19,268 19,366 Total revenue $ 100,573 $ 82,078 As of March 31, 2016, the Company had property and equipment, net of $13.7 million , $0.6 million and $4.4 million located in the Americas, EMEA and APAC, respectively.

SUBSEQUENT EVENT

SUBSEQUENT EVENT	3 Months Ended
	Mar. 31, 2016
Subsequent Events [Abstract]
SUBSEQUENT EVENT	SUBSEQUENT EVENTS On April 3, 2016, Ruckus entered into the Merger Agreement with Brocade and the Offeror. Pursuant to the Merger Agreement, on April 29, 2016, the Offeror commenced the Offer to exchange each outstanding share of the Company Common Stock for the Offer Consideration. The Offer is scheduled to expire at midnight, Eastern time, at the end of May 26, 2016 unless extended in accordance with the terms of the Merger Agreement and applicable law. As soon as practicable following the consummation of the Offer, and subject to the satisfaction or waiver of certain conditions set forth in the Merger Agreement, the Offeror will merge with and into Ruckus pursuant to the provisions of Section 251(h) of the Delaware General Corporation Law, with no stockholder vote required to consummate the Merger, and Ruckus will survive as a wholly owned subsidiary of Parent. The transaction is not subject to any financing condition. Parent intends to fund the transaction with a combination of cash on hand and committed debt financing. In general, as a result of the Merger, at the closing of the transaction (i) out of the money Ruckus stock options, Ruckus RSUs and Ruckus performance stock units ("PSUs") will be rolled over into Brocade equity awards (which for the PSUs will be at target level of performance), (ii) vested Ruckus stock options that are in the money will be cashed out and (iii) unvested Ruckus stock options that are in the money will be rolled over into Brocade RSUs based on the in the money spread value of the Ruckus stock options. The Offeror’s obligation to accept for exchange, and to exchange, shares of Ruckus common stock for cash and shares of Brocade common stock in the Offer is subject to a number of conditions, including there having been validly tendered and not validly withdrawn, in accordance with the terms of the Offer and prior to the expiration of the Offer, a number of shares of Ruckus common stock that, together with any shares of Ruckus common stock then owned by Brocade, the Offeror or Brocade’s other subsidiaries, represents at least a majority of the then-outstanding shares of Ruckus common stock (the “minimum tender condition”), the absence of certain governmental prohibitions, the expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 (the "HSR Act"), and the receipt of any applicable approvals, consents or clearances under the competition laws of Germany. The Merger Agreement contains certain termination rights for both Ruckus and Brocade, and provides that, upon termination of the Merger Agreement under specified circumstances, including, but not limited to, if Ruckus accepts a superior acquisition proposal, Ruckus may be required to pay Brocade a termination fee of $ 50.0 million . Shareholder Class Action Following the announcement that Ruckus had entered into the Merger Agreement with Brocade and the Offeror on April 3, 2016, two putative stockholder class action complaints challenging the Offer and the Merger were filed on behalf of purported Ruckus stockholders in the Superior Court of California, County of Santa Clara. The first complaint was filed on April 12, 2016 and is captioned: Macuire v. Ruckus Wireless, Inc., et al., Case No.16CV293800 (referred to as the “Macuire complaint”). On April 19, 2016, another putative stockholder class action complaint was filed and is captioned: Jaljouli v. Ruckus Wireless, Inc., et al., Case No. 16CV294075 (referred to as the “Jaljouli complaint”). Both the Macuire complaint and the Jaljouli complaint contain similar allegations and name Ruckus, members of the Ruckus board of directors, Brocade and the Offeror as defendants. In general, the complaints allege that the members of the Ruckus board of directors breached their fiduciary duties to Ruckus stockholders by doing one or more of the following: (i) agreeing to unfair and inadequate transaction consideration for the Ruckus shares, (ii) accepting unreasonable deal protection measures in the merger agreement that dissuade other potential bidders from making competing offers, (iii) failing to properly value Ruckus and take steps to maximize the sale value of Ruckus, and (iv) engaging in self-dealing. The two complaints also allege that one or more of Ruckus, Brocade and the Offeror aided and abetted the members of the Ruckus board of directors in breaching their fiduciary duties to Ruckus stockholders. The plaintiffs have requested certification as a class, rescission and invalidation of the Merger Agreement or related agreements, injunctive relief, imposition of a constructive trust, an award of the costs and disbursements of the action (including reasonable attorneys’ and experts’ fees), and other equitable relief that the court may deem just and proper. The lawsuits are in their early stages and it is not possible to determine the potential outcome of the lawsuits or to make an estimate of probable losses, if any, at this time. The defendants believe that the lawsuits are without merit and intend to vigorously defend against all allegations that have been asserted.

DESCRIPTION OF BUSINESS AND S19

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Mar. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business	Description of Business — Ruckus Wireless, Inc., a Delaware corporation (“Ruckus”) is a global supplier of advanced Wi-Fi solutions. Ruckus' solutions, which are called Smart Wi-Fi, are used by service providers and enterprises to solve a range of network capacity, coverage and reliability challenges associated with increasing wireless traffic demands created by the growth in the number of users equipped with more powerful smart wireless devices using increasingly data rich applications and services. Ruckus markets and sells its products and technology directly and indirectly through a vast network of channel partners to a variety of service providers and enterprises around the world. Its Smart Wi-Fi solutions offer features and functionality such as enhanced reliability, consistent performance, extended range and massive scalability. Ruckus' products include high capacity, controllers, indoor and outdoor access points, wireless bridges, controller software platforms, software management solutions including reporting and analytics and unique Wi-Fi-related cloud services, such as location-based positioning, and certificate-based security and on-boarding of Wi-Fi devices. These hardware and software products and services incorporate various elements of Ruckus' proprietary technologies, including Smart Radio, SmartCast, SmartMesh, and Smart Scaling, to enable high performance in a variety of challenging operating environments.
Organization	Organization - On April 3, 2016, Ruckus entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Brocade Communications Systems, Inc., a Delaware corporation (“Parent” or "Brocade"), and Stallion Merger Sub Inc., a Delaware corporation and a wholly owned subsidiary of Parent (the “Offeror” or "Merger Sub"). Pursuant to the Merger Agreement, on April 29, 2016, the Offeror commenced an offer to exchange (the “Offer”) each outstanding share of Ruckus common stock (the “Company Common Stock”) for $6.45 in cash and 0.75 of a share of common stock of Brocade (the "Offer Consideration"). The Offer is scheduled to expire at midnight, Eastern time, at the end of May 26, 2016. As soon as practicable following the consummation of the Offer, and subject to the satisfaction or waiver of certain conditions set forth in the Merger Agreement, the Offeror will merge with and into Ruckus (the “Merger”) pursuant to the provisions of Section 251(h) of the Delaware General Corporation Law, with no stockholder vote required to consummate the Merger, and Ruckus will survive as a wholly owned subsidiary of Parent. The transaction is not subject to any financing condition. Parent intends to fund the transaction with a combination of cash on hand and committed debt financing.
Basis of Presentation	Basis of Presentation — The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and note disclosures normally included in the consolidated financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in Ruckus’ Annual Report on Form 10-K for the year ended December 31, 2015, filed on February 24, 2016. The condensed consolidated balance sheet as of December 31, 2015, included herein, was derived from the audited financial statements as of that date, but does not include all disclosures including notes required by GAAP. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations, and cash flows for the interim periods, but are not necessarily indicative of the results of operations to be anticipated for the full year 2016 or any future period.
Principles of Consolidation	Principles of Consolidation — The condensed financial statements include the accounts of Ruckus and its wholly owned subsidiaries (collectively, the “Company”). All intercompany balances and transactions have been eliminated in consolidation.
Use of Estimates	Use of Estimates — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Significant estimates and assumptions made by management include the determination of revenue recognition, valuation of inventory, goodwill and intangible assets, accounting for income taxes and stock-based compensation. Management bases its estimates on historical experience and also on assumptions that it believes are reasonable. Actual results could materially differ from those estimates.
Recent Accounting Pronouncements	Recent Accounting Pronouncements — In March 2016, the Financial Accounting Standard Board (“FASB”) issued accounting standards update (“ASU”) 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The standard is intended to simplify several areas of accounting for share-based compensation arrangements, including the income tax impact, classification on the statement of cash flows and forfeitures. ASU 2016-09 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016, and early adoption is permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial position, results of operations and cash flows. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). This ASU amends leasing guidance by requiring companies to recognize a right-of-use asset and a lease liability for all operating and capital (finance) leases with lease terms of greater than twelve months. The lease liability will be equal to the present value of lease payments. The lease asset will be based on the lease liability, subject to adjustment, such as for initial direct costs. For income statement purposes, leases will continue to be classified as operating or capital (finance), with lease expense in both cases calculated substantially the same as under the prior leasing guidance. This guidance is effective for annual reporting periods beginning after December 15, 2018, including interim periods within that reporting period, with early adoption permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial position, results of operations and cash flows. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments - Overall (Subtopic 825-10), Recognition and Measurement of Financial Assets and Financial Liabilities, which addresses certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. ASU 2016-01 will be effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years, and early adoption is not permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial position, results of operations and cash flows. In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory. The update replaces the concept of "lower of cost or market" with that of "lower of cost and net realizable value", which requires companies to measure certain inventory at the lower of cost and net realizable value. This accounting guidance is effective for fiscal years beginning after December 15, 2016, and interim periods within those years on a prospective basis. Early application is permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial position, results of operations and cash flows. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers, a converged standard on revenue recognition. Some of the main areas of transition to the new standard include, among others, transfer of control (revenue is recognized when a customer obtains control of a good or service), allocation of transaction price based on relative stand-alone selling price (entities that sell multiple goods or services in a single arrangement must allocate the consideration to each of those goods or services), contract costs (entities sometimes incur costs, such as sales commissions or mobilization activities, to obtain or fulfill a contract), and disclosures (extensive disclosures are required to provide greater insight into both revenue that has been recognized, and revenue that is expected to be recognized in the future from existing contracts). In July 2015, the FASB issued ASU 2015-14 to affirm a one-year deferral of the effective date of the new revenue standard. The accounting standard will be effective for the Company beginning in its first quarter of 2018, with early adoption permitted, but not before the original effective date of annual periods beginning after December 15, 2016, using one of two methods of adoption: (i) retrospective to each prior reporting period presented, with the option to elect certain practical expedients as defined within the standard; or (ii) retrospective with the cumulative effect of initially applying the standard recognized at the date of initial application inclusive of certain additional disclosures. In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Principal versus Agent Considerations), to clarify the implementation guidance on principal versus agent considerations. The guidance includes indicators to assist an entity in determining whether it controls a specified good or service before it is transferred to the customers. The Company is currently assessing the impact that adopting this new accounting standard will have on its condensed consolidated financial statements and footnote disclosures.
Concentrations of Credit Risk and Significant Customers	Concentrations of Credit Risk and Significant Customers — Financial instruments that subject the Company to significant concentrations of credit risk primarily consist of cash, cash equivalents, short-term investments and accounts receivable. The Company invests only in high credit quality instruments and maintains its cash equivalents and short-term investments in fixed income securities. Management believes that the financial institutions that hold the Company’s investments are financially sound and, accordingly, are subject to minimal credit risk. Deposits held with banks may exceed the amount of insurance provided on such deposits. The Company’s accounts receivable are primarily derived from distributors and service providers located in the Americas, Europe and Asia Pacific. The Company generally does not require its customers to provide collateral to support accounts receivable. To reduce credit risk, management performs ongoing credit evaluations of its customers’ financial condition. The Company has recorded an allowance for doubtful accounts for those receivables management has determined not to be collectible.

DESCRIPTION OF BUSINESS AND S20

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	3 Months Ended
	Mar. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Percentage of Revenue from Individual Customers	The percentages of revenue from individual customers totaling greater than 10% of total consolidated revenue were as follows: Three Months Ended March 31, 2016 2015 Distributor A 11.8 % 13.0 % Distributor B 10.7 % 13.2 % Distributor C * 10.2 % * Less than 10% No single end-customer accounted for more than 10% of total consolidated revenue in the three months ended March 31, 2016 and 2015. The percentage of receivables from individual customers totaling greater than 10% of total consolidated accounts receivable were as follows: March 31, December 31, 2016 2015 Distributor D 13.3 % 20.3 %

FAIR VALUE DISCLOSURE (Tables)

FAIR VALUE DISCLOSURE (Tables)	3 Months Ended
	Mar. 31, 2016
Fair Value Disclosures [Abstract]
Assets measured at fair value	The Company’s assets that were measured at fair value by level within the fair value hierarchy were as follows (in thousands): March 31, 2016 Fair Value Level 1 Level 2 Level 3 Assets: Cash equivalents: Money market funds $ 7,743 $ 7,743 $ — $ — Short-term investments: Corporate debt securities 85,881 — 85,881 — U.S. government agency securities 16,451 — 16,451 — U.S. government treasury bills 64,602 64,602 — — Total assets measured and recorded at fair value $ 174,677 $ 72,345 $ 102,332 $ — December 31, 2015 Fair Value Level 1 Level 2 Level 3 Assets: Cash equivalents: Money market funds $ 13,073 $ 13,073 $ — $ — Short-term investments: Corporate debt securities 99,747 — 99,747 — U.S. government agency securities 22,055 — 22,055 — U.S. government treasury bills 38,989 38,989 — — Total assets measured and recorded at fair value $ 173,864 $ 52,062 $ 121,802 $ —

INVESTMENTS (Tables)

INVESTMENTS (Tables)	3 Months Ended
	Mar. 31, 2016
Investments, Debt and Equity Securities [Abstract]
Schedule of available-for-sale investments	Short-term investments consisted of the following (in thousands): March 31, 2016 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Corporate debt securities $ 85,877 $ 38 $ (34 ) $ 85,881 U.S. government agency securities 16,453 1 (3 ) 16,451 U.S. government treasury bills 64,585 29 (12 ) 64,602 Total short-term investments $ 166,915 $ 68 $ (49 ) $ 166,934 December 31, 2015 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Corporate debt securities $ 99,916 $ 2 $ (171 ) $ 99,747 U.S. government agency securities 22,100 — (45 ) 22,055 U.S. government treasury bills 39,075 — (86 ) 38,989 Total short-term investments $ 161,091 $ 2 $ (302 ) $ 160,791
Investments classified by contractual maturity date	The cost basis and fair value of the short-term investments by contractual maturity consist of the following (in thousands): March 31, 2016 December 31, 2015 Amortized Cost Fair Value Amortized Cost Fair Value One year or less $ 129,886 $ 129,918 $ 105,266 $ 105,150 Over one year and less than two years 37,029 37,016 55,825 55,641 Total short-term investments $ 166,915 $ 166,934 $ 161,091 $ 160,791
Schedule of available-for-sale investments in unrealized loss position	Short-term investments in an unrealized loss position consisted of the following (in thousands): March 31, 2016 December 31, 2015 Less Than 12 Months Fair Value Unrealized Loss Fair Value Unrealized Loss Corporate debt securities $ 35,505 $ (34 ) $ 80,369 $ (171 ) U.S. government agency securities 10,228 (3 ) 22,055 (45 ) U.S. government treasury bills 16,037 (12 ) 38,989 (86 ) Total short-term investments $ 61,770 $ (49 ) $ 141,413 $ (302 )

BUSINESS COMBINATION BUSINESS C

BUSINESS COMBINATION BUSINESS COMBINATION (Tables)	3 Months Ended
	Mar. 31, 2016
Business Combinations [Abstract]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The purchase allocation for Cloudpath is summarized as follows (in thousands): Fair Value Cash and cash equivalents $ 431 Other tangible assets 416 Purchased technology 2,300 Customer relationships 1,600 Trade name 360 Goodwill 6,445 Non-current deferred tax liabilities (1,813 ) Deferred revenue (510 ) Other liabilities assumed (229 ) Total purchase consideration $ 9,000

GOODWILL AND INTANGIBLES ASSE24

GOODWILL AND INTANGIBLES ASSETS (Tables)	3 Months Ended
	Mar. 31, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule intangible assets	Intangible assets consisted of the following (in thousands, except years): Gross Carrying Accumulated Net Weighted Average March 31, 2016 Purchased technology $ 14,900 $ (8,979 ) $ 5,921 2.8 Customer relationships 1,600 (142 ) 1,458 4.6 Trade name 360 (32 ) 328 4.6 Total $ 16,860 $ (9,153 ) $ 7,707 December 31, 2015 Purchased technology $ 14,900 $ (8,159 ) $ 6,741 2.9 Customer relationships 1,600 (62 ) 1,538 4.8 Trade name 360 (14 ) 346 4.8 Total $ 16,860 $ (8,235 ) $ 8,625
Estimated future amortization of purchased intangible assets	The following table presents the estimated future amortization expense of intangible assets as of March 31, 2016 (in thousands): Year ending December 31, Amount 2016 (remaining nine months) $ 2,465 2017 2,352 2018 1,352 2019 852 2020 686 Total amortization $ 7,707

DEFERRED REVENUE (Tables)

DEFERRED REVENUE (Tables)	3 Months Ended
	Mar. 31, 2016
Deferred Revenue Disclosure [Abstract]
Schedule of deferred revenue	Deferred revenue consisted of the following (in thousands): March 31, December 31, 2016 2015 Product $ 9,404 $ 15,170 Service 37,639 35,956 Total deferred revenue $ 47,043 $ 51,126 Reported as: Current $ 32,086 $ 36,602 Non-current 14,957 14,524 Total deferred revenue $ 47,043 $ 51,126

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Mar. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Schedule of future minimum lease payments under non-cancellable operating leases	Future minimum lease payments under non-cancelable operating leases were as follows (in thousands): Years ending December 31, Amount 2016 (remaining nine months) $ 3,855 2017 4,824 2018 3,891 2019 2,849 2020 2,743 Thereafter 5,181 Operating lease obligations $ 23,343
Schedule of changes in warranty liability	The warranty liability is included as a component of accrued liabilities in the accompanying condensed consolidated balance sheets. Changes in the warranty liability were as follows (in thousands): Three Months Ended March 31, 2016 2015 Balance at beginning of period $ 1,084 $ 803 Changes in existing warranty (30 ) (82 ) Warranty expense 167 390 Obligations fulfilled (212 ) (187 ) Balance at end of period $ 1,009 $ 924

EQUITY AWARD PLANS (Tables)

EQUITY AWARD PLANS (Tables)	3 Months Ended
	Mar. 31, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of stock options outstanding	The following table summarizes the outstanding stock option activity and a summary of information related to stock options (in thousands, except per share amounts and years): Common Stock Options Outstanding Number of Weighted Weighted (Years) Aggregate Balance, December 31, 2015 13,747 $ 6.08 5.7 $ 76,742 Options granted 34 9.48 Options exercised (643 ) 3.15 Options canceled (110 ) 13.39 Balance, March 31, 2016 13,028 $ 6.17 5.6 $ 63,069 Options exercisable as of March 31, 2016 11,281 $ 5.13 5.2 $ 62,257 Options vested and expected to vest as of March 31, 2016 12,975 $ 6.14 5.6 $ 63,061
Summary of restricted stock units outstanding	The following table summarizes the outstanding activity of Restricted Stock Units (“RSUs”) and a summary of information related to RSUs (in thousands, except per share amounts and years): Restricted Stock Units Outstanding Number of Shares Weighted Average Grant Date Fair Value Per Share Weighted (Years) Aggregate Intrinsic Value Balance, December 31, 2015 4,277 $ 12.17 1.7 $ 45,794 RSUs granted 486 8.57 RSUs vested (75 ) 14.09 RSUs forfeited (128 ) 12.32 Balance, March 31, 2016 4,560 $ 11.75 1.5 $ 44,733
Summary of stock activity and number of shares available for grant	The following table summarizes the stock activity and the total number of shares available for grant under the Company's Amended & Restated 2012 Equity Incentive Plan as of March 31, 2016 (in thousands): Number of Balance, December 31, 2015 11,735 Additional shares reserved for issuance 4,467 Options granted (34 ) Options canceled 110 RSUs granted (486 ) RSUs forfeited 128 Balance, March 31, 2016 15,920
Summary of stock options, valuation assumptions	The fair value of each option is estimated on the date of grant using the Black-Scholes model. The following table summarizes the weighted average assumptions relating to the Company's stock options: Three Months Ended March 31, 2016 2015 Volatility 52.5 % 57.8 % Expected term (years) 4.7 6.1 Risk-free interest rate 1.2 % 1.6 % Dividend yield — —
Schedule of allocation of stock-based compensation expense	The following table summarizes the stock-based compensation expense recorded in the condensed consolidated statements of operations (in thousands): Three Months Ended March 31, 2016 2015 Cost of revenue $ 325 $ 316 Research and development 2,817 2,722 Sales and marketing 2,089 1,617 General and administrative 2,854 2,667 Total stock-based compensation $ 8,085 $ 7,322

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	3 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
Schedule of calculation of basic and diluted net income (loss) per share	Three Months Ended March 31, 2016 2015 Numerator: Net loss $ (925 ) $ (573 ) Denominator: Weighted-average shares used in computing net loss per share, basic and diluted: 89,741 85,637 Net loss per share, basic and diluted: $ (0.01 ) $ (0.01 )
Summary of the outstanding redeemable convertible preferred stock, employee stock, employee stock options, RSUs and warrants excluded from the diluted per share calculation	The following table summarizes the weighted average outstanding stock awards that were excluded from the diluted per share calculation because to include them would have been anti-dilutive for the period (in thousands): Three Months Ended March 31, 2016 2015 Stock options 13,352 16,435 RSUs and ESPP 4,515 3,355 Total 17,867 19,790

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	3 Months Ended
	Mar. 31, 2016
Segment Reporting [Abstract]
Schedule of total revenue by geographic region	The following presents total revenue by geographic region (in thousands): Three Months Ended March 31, 2016 2015 Americas: United States $ 47,057 $ 38,966 Other Americas 4,902 1,773 Total Americas 51,959 40,739 EMEA: United Kingdom 13,203 6,653 Other EMEA 16,143 15,320 Total EMEA 29,346 21,973 APAC: Total APAC 19,268 19,366 Total revenue $ 100,573 $ 82,078

DESCRIPTION OF BUSINESS AND S30

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Concentration of Credit Risk and Significant Customers) (Details) - customer	3 Months Ended		12 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Revenue, Major Customer
Number of single end-customers	0
Revenues | Distributor A [Member]
Revenue, Major Customer
Significant customer, as a percentage	11.80%	13.00%
Revenues | Distributor B [Member]
Revenue, Major Customer
Significant customer, as a percentage	10.70%	13.20%
Revenues | Distributor C
Revenue, Major Customer
Significant customer, as a percentage		10.20%
Accounts Receivables | Distributor D [Member]
Revenue, Major Customer
Significant customer, as a percentage	13.30%		20.30%

FAIR VALUE DISCLOSURE (Details)

FAIR VALUE DISCLOSURE (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total assets measured and recorded at fair value	$ 174,677	$ 173,864
Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	85,881	99,747
U.S. government agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	16,451	22,055
U.S. government treasury bills
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	64,602	38,989
Money Market Funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents, at fair value	7,743	13,073
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total assets measured and recorded at fair value	72,345	52,062
Level 1 | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	0	0
Level 1 | U.S. government agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	0	0
Level 1 | U.S. government treasury bills
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	64,602	38,989
Level 1 | Money Market Funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents, at fair value	7,743	13,073
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total assets measured and recorded at fair value	102,332	121,802
Level 2 | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	85,881	99,747
Level 2 | U.S. government agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	16,451	22,055
Level 2 | U.S. government treasury bills
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	0	0
Level 2 | Money Market Funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents, at fair value	0	0
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total assets measured and recorded at fair value	0	0
Level 3 | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	0	0
Level 3 | U.S. government agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	0	0
Level 3 | U.S. government treasury bills
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Short-term investments, at fair value	0	0
Level 3 | Money Market Funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents, at fair value	$ 0	$ 0

INVESTMENTS (Details)

INVESTMENTS (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities
Total short-term investments, Amortized Cost	$ 166,915	$ 161,091
Unrealized Gains	68	2
Unrealized Losses	(49)	(302)
Fair Value	166,934	160,791
Corporate debt securities
Schedule of Available-for-sale Securities
Total short-term investments, Amortized Cost	85,877	99,916
Unrealized Gains	38	2
Unrealized Losses	(34)	(171)
Fair Value	85,881	99,747
U.S. government agency securities
Schedule of Available-for-sale Securities
Total short-term investments, Amortized Cost	16,453	22,100
Unrealized Gains	1	0
Unrealized Losses	(3)	(45)
Fair Value	16,451	22,055
U.S. government treasury bills
Schedule of Available-for-sale Securities
Total short-term investments, Amortized Cost	64,585	39,075
Unrealized Gains	29	0
Unrealized Losses	(12)	(86)
Fair Value	$ 64,602	$ 38,989

INVESTMENTS (Amortized Cost and

INVESTMENTS (Amortized Cost and Fair Value by Contractual Maturity) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Amortized Cost
One year or less	$ 129,886	$ 105,266
Over one year and less than two years	37,029	55,825
Total short-term investments, Amortized Cost	166,915	161,091
Fair Value
One year or less	129,918	105,150
Over one year and less than two years	37,016	55,641
Total short-term investments, Fair Value	$ 166,934	$ 160,791

INVESTMENTS (Continuous Unreali

INVESTMENTS (Continuous Unrealized Losses) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities
Less than 12 months, Fair Value	$ 61,770	$ 141,413
Less than 12 months, Unrealized Loss	(49)	(302)
Corporate debt securities
Schedule of Available-for-sale Securities
Less than 12 months, Fair Value	35,505	80,369
Less than 12 months, Unrealized Loss	(34)	(171)
U.S. government agency securities
Schedule of Available-for-sale Securities
Less than 12 months, Fair Value	10,228	22,055
Less than 12 months, Unrealized Loss	(3)	(45)
U.S. government treasury bills
Schedule of Available-for-sale Securities
Less than 12 months, Fair Value	16,037	38,989
Less than 12 months, Unrealized Loss	$ (12)	$ (86)

BUSINESS COMBINATION - Assets A

BUSINESS COMBINATION - Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015	Oct. 21, 2015
Business Acquisition [Line Items]
Goodwill	$ 16,390	$ 16,390
Cloudpath Networks, Inc. [Member]
Business Acquisition [Line Items]
Cash and cash equivalents			$ 431
Other tangible assets			416
Goodwill			6,445
Non-current deferred tax liabilities			(1,813)
Deferred revenue			(510)
Other liabilities assumed			(229)
Total purchase consideration			9,000
Purchased Technology | Cloudpath Networks, Inc. [Member]
Business Acquisition [Line Items]
Intangible assets			2,300
Customer relationships | Cloudpath Networks, Inc. [Member]
Business Acquisition [Line Items]
Intangible assets			1,600
Trade name | Cloudpath Networks, Inc. [Member]
Business Acquisition [Line Items]
Intangible assets			$ 360

BUSINESS COMBINATION - Addition

BUSINESS COMBINATION - Additional Information (Details) - USD ($) $ in Thousands	Oct. 21, 2015	Mar. 31, 2016
Business Acquisition [Line Items]
Post business combination contingent cash compensation	$ 9,000
Cloudpath Networks, Inc. [Member]
Business Acquisition [Line Items]
Purchase consideration	9,000
Business Combination, Consideration Transferred, Subject to Adjustments	1,400
Post business combination contingent cash compensation	$ 1,500
Business Combination, Contingent Consideration, Vesting and Payout Frequency	6 months
Business Combination, Contingent Consideration, Vesting and Payout Period	2 years
Post business combination cash incentive	$ 900
Business Combination, Consideration Transferred, Cash Incentive, Period	2 years
Stock Issued During Period, Value, Restricted Stock Award, Gross	$ 2,300
Deferred And Share-Based Compensation Expense		$ 1,400
Services [Member] | Cloudpath Networks, Inc. [Member]
Business Acquisition [Line Items]
Post business combination contingent cash compensation	$ 7,500
Restricted Stock Units (RSUs) [Member] | Cloudpath Networks, Inc. [Member]
Business Acquisition [Line Items]
Business combination, stock award	195,705
Share-based Compensation Arrangement by Share-based Payment Award, Award Requisite Service Period	4 years

GOODWILL AND INTANGIBLES ASSE37

GOODWILL AND INTANGIBLES ASSETS (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 16,860	$ 16,860
Accumulated amortization	(9,153)	(8,235)
Finite-lived intangible assets, net	7,707	8,625
Goodwill	16,390	16,390
Purchased technology
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	14,900	14,900
Accumulated amortization	(8,979)	(8,159)
Finite-lived intangible assets, net	$ 5,921	$ 6,741
Weighted average remaining useful life	2 years 9 months 18 days	2 years 10 months 24 days
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 1,600	$ 1,600
Accumulated amortization	(142)	(62)
Finite-lived intangible assets, net	$ 1,458	$ 1,538
Weighted average remaining useful life	4 years 7 months 6 days	4 years 9 months 18 days
Trade name
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 360	$ 360
Accumulated amortization	(32)	(14)
Finite-lived intangible assets, net	$ 328	$ 346
Weighted average remaining useful life	4 years 7 months 6 days	4 years 9 months 18 days

GOODWILL AND INTANGIBLES ASSE38

GOODWILL AND INTANGIBLES ASSETS (Future Amortization Expense) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Estimated Future Amortization Expense By Fiscal Year Maturity
2016 (remaining nine months)	$ 2,465
2,017	2,352
2,018	1,352
2,019	852
2,020	686
Finite-lived intangible assets, net	$ 7,707	$ 8,625

DEFERRED REVENUE (Details)

DEFERRED REVENUE (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Deferred Revenue Arrangement [Line Items]
Deferred revenue	$ 47,043	$ 51,126
Current	32,086	36,602
Noncurrent	14,957	14,524
Product
Deferred Revenue Arrangement [Line Items]
Deferred revenue	9,404	15,170
Services
Deferred Revenue Arrangement [Line Items]
Deferred revenue	$ 37,639	$ 35,956
Services | Minimum
Deferred Revenue Arrangement [Line Items]
Typical service support period, minimum	1 year
Services | Maximum
Deferred Revenue Arrangement [Line Items]
Typical service support period, minimum	5 years

COMMITMENTS AND CONTINGENCIES40

COMMITMENTS AND CONTINGENCIES (Operating Leases, Purchase Commitments, and Litigation) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Operating Leases, Future Minimum Payments [Abstract]
2016 (remaining nine months)	$ 3,855
2,017	4,824
2,018	3,891
2,019	2,849
2,020	2,743
Thereafter	5,181
Operating lease obligation	23,343
Current purchase commitments	14,800
Cash held in escrow to secure an indemnification agreement	$ 5,000	$ 5,000

COMMITMENTS AND CONTINGENCIES41

COMMITMENTS AND CONTINGENCIES (Warranty) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward]
Beginning warranty liability	$ 1,084	$ 803
Changes in existing warranty	(30)	(82)
Warranty expense	167	390
Obligations fulfilled	(212)	(187)
Ending warranty liability	$ 1,009	$ 924
Hardware other than Indoor WLAN Products
Product Liability
Standard product warranty term	1 year

EQUITY AWARD PLANS (Stock Optio

EQUITY AWARD PLANS (Stock Option Activity) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Aggregate Intrinsic Value
Weighted average grant date fair value (in dollars per share)	$ 4.24	$ 5.86
Total intrinsic value of options exercised	$ 3,900	$ 9,900
Stock Options
Number of Shares
Beginning balance (shares)	13,747
Options granted (shares)	34
Options exercised (shares)	(643)
Options canceled (shares)	(110)
Ending balance (shares)	13,028		13,747
Options exercisable (shares)	11,281
Options vested and expected to vest (shares)	12,975
Weighted Average Exercise Price
Beginning balance (in dollars per share)	$ 6.08
Options granted (in dollars per share)	9.48
Options exercised (in dollars per share)	3.15
Options canceled (in dollars per share)	13.39
Ending balance (in dollars per share)	6.17		$ 6.08
Options exercisable (in dollars per share)	5.13
Options vested and expected to vest (in dollars per share)	$ 6.14
Weighted Average Remaining Contractual Life
Weighted Average Remaining Contractual Life	5 years 7 months 6 days		5 years 8 months 12 days
Options exercisable	5 years 2 months 12 days
Options vested and expected to vest	5 years 7 months 6 days
Aggregate Intrinsic Value
Aggregate Intrinsic Value	$ 63,069		$ 76,742
Options exercisable	62,257
Options vested and expected to vest	$ 63,061

EQUITY AWARD PLANS (Restricted

EQUITY AWARD PLANS (Restricted Stock Units Activity) (Details) - RSU - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Number of Shares
Beginning balance (shares)	4,277
RSUs granted (shares)	486
RSUs exercised (shares)	(75)
RSUs forfeited (shares)	(128)
Ending balance (shares)	4,560	4,277
Weighted-Average Grant- Date Fair Value Per Share
Beginning balance (in dollars per share)	$ 12.17
RSUs granted (in dollars per share)	8.57
RSUs vested (in dollars per share)	14.09
RSUs forfeited (in dollars per share)	12.32
Ending balance (in dollars per share)	$ 11.75	$ 12.17
RSU, Weighted Average Remaining Contractual Life	1 year 6 months	1 year 8 months 12 days
Aggregate Intrinsic Value
Aggregate Intrinsic Value	$ 44,733	$ 45,794

EQUITY AWARD PLANS (Stock Activ

EQUITY AWARD PLANS (Stock Activity and Number of Shares Available for Grant) (Details) shares in Thousands	3 Months Ended
	Mar. 31, 2016shares
Shares Available for Grant
Beginning balance (shares)	11,735
Additional shares reserved for issuance (shares)	4,467
Ending balance (shares)	15,920
Stock Options
Shares Available for Grant
Options granted (shares)	(34)
Options canceled (shares)	110
RSU
Shares Available for Grant
RSUs granted (shares)	(486)
RSUs forfeited (shares)	128

EQUITY AWARD PLANS (Assumptions

EQUITY AWARD PLANS (Assumptions) (Details) - Stock Options	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award
Volatility	52.50%	57.80%
Expected term (years)	4 years 8 months 12 days	6 years 1 month 6 days
Risk-free interest rate	1.20%	1.60%
Dividend yield	0.00%	0.00%

EQUITY AWARD PLANS Share-based

EQUITY AWARD PLANS Share-based Compensation Expenses Summary (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award
Stock-based compensation	$ 8,085	$ 7,322
Total unrecognized stock-based compensation expense	$ 55,100
Weighted-average recognition period for unrecognized stock-based compensation expense	2 years 6 months
Cost of revenue
Share-based Compensation Arrangement by Share-based Payment Award
Stock-based compensation	$ 325	316
Research and development
Share-based Compensation Arrangement by Share-based Payment Award
Stock-based compensation	2,817	2,722
Sales and marketing
Share-based Compensation Arrangement by Share-based Payment Award
Stock-based compensation	2,089	1,617
General and administrative
Share-based Compensation Arrangement by Share-based Payment Award
Stock-based compensation	$ 2,854	$ 2,667

EARNINGS PER SHARE (Calculation

EARNINGS PER SHARE (Calculation of Basic and Diluted Net Income Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Numerator:
Net loss	$ (925)	$ (573)
Denominator:
Weighted average number of shares outstanding, basic and diluted (in shares)	89,741	85,637
Net income per share of common stock:
Basic and diluted (USD per share)	$ (0.01)	$ (0.01)

EARNINGS PER SHARE (Antidilutiv

EARNINGS PER SHARE (Antidilutive Securities) (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share
Shares excluded from the diluted per share calculation	17,867	19,790
Stock Options
Antidilutive Securities Excluded from Computation of Earnings Per Share
Shares excluded from the diluted per share calculation	13,352	16,435
RSUs and ESPP
Antidilutive Securities Excluded from Computation of Earnings Per Share
Shares excluded from the diluted per share calculation	4,515	3,355

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Income Tax Disclosure [Abstract]
Income tax benefit	$ 533	$ 867

SEGMENT INFORMATION (Details)

SEGMENT INFORMATION (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)segmentactivityemployee	Mar. 31, 2015USD ($)
Segment Reporting [Abstract]
Number of industry segments | segment	1
Number of business activities | activity	1
Number of segment managers | employee	0
Revenues from External Customers and Long-Lived Assets
Revenue	$ 100,573	$ 82,078
Americas
Revenues from External Customers and Long-Lived Assets
Revenue	51,959	40,739
United States
Revenues from External Customers and Long-Lived Assets
Revenue	47,057	38,966
Other Americas
Revenues from External Customers and Long-Lived Assets
Revenue	4,902	1,773
EMEA
Revenues from External Customers and Long-Lived Assets
Revenue	29,346	21,973
United Kingdom
Revenues from External Customers and Long-Lived Assets
Revenue	13,203	6,653
Other EMEA
Revenues from External Customers and Long-Lived Assets
Revenue	16,143	15,320
APAC
Revenues from External Customers and Long-Lived Assets
Revenue	$ 19,268	$ 19,366

SEGMENT INFORMATION (Property,

SEGMENT INFORMATION (Property, Plant, and Equipment by Geographic Region) (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Segment Reporting Information
Property and equipment, net	$ 18,666	$ 19,411
Americas
Segment Reporting Information
Property and equipment, net	13,700
EMEA
Segment Reporting Information
Property and equipment, net	600
APAC
Segment Reporting Information
Property and equipment, net	$ 4,400

SUBSEQUENT EVENT (Details)

SUBSEQUENT EVENT (Details) - Subsequent Event [Member] - Merger Agreement with Brocade Communications Systems, Inc [Member] $ / shares in Units, $ in Millions	Apr. 03, 2016USD ($)$ / shares
Subsequent Event [Line Items]
Cash consideration per share (usd per share) | $ / shares	$ 6.45
Conversion ratio of Ruckus stock into Brocade common stock	0.75
Termination fee | $	$ 50