Walker Innovation (WLKR) POS AM 25 Apr 16 Prospectus update (post-effective amendment) Financial data

Document And Entity Information

Document And Entity Information	12 Months Ended
	Dec. 31, 2015
Document Information [Line Items]
Entity Registrant Name	WALKER INNOVATION INC.
Entity Central Index Key	1,294,649
Trading Symbol	WLKR
Amendment Flag	false
Document Type	POS AM
Document Period End Date	Dec. 31, 2015
Entity Filer Category	Smaller Reporting Company

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Current Assets:
Cash and cash equivalents	$ 5,858	$ 15,407
Short-term investment	50	0
Accounts receivable	839	0
Other receivable	19	22
Prepaid expenses and other current assets	634	455
Total current assets	7,400	15,884
Property and equipment, net	256	29
Other Assets:
Investment, at fair value	672	0
Investment, at cost	250	250
TOTAL ASSETS	8,578	16,163
Current Liabilities:
Accounts payable	423	1,190
Accrued expenses	504	711
Deferred software costs	63	151
Deferred revenue	346	14
Billings in excess of cost, due from related parties	1,061	0
Total current liabilities	2,397	2,066
Deferred revenue - long term portion	310	58
TOTAL LIABILITIES	$ 2,707	$ 2,124
COMMITMENTS AND CONTINGENCIES (NOTE 9)
STOCKHOLDERS' EQUITY
Common stock, $0.001 par value, 100,000,000 shares authorized; 21,134,744 shares issued as of December 31, 2015 and 2014 respectively	$ 21	$ 21
Treasury stock, 393,172 shares, at cost	(840)	(840)
Additional paid-in capital	45,136	42,902
Accumulated deficit	(38,461)	(28,059)
TOTAL STOCKHOLDERS' EQUITY	5,871	14,039
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	8,578	16,163
Preferred Stock
STOCKHOLDERS' EQUITY
Preferred stock	0	0
Series B Convertible Preferred Stock
STOCKHOLDERS' EQUITY
Preferred stock	$ 15	$ 15

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Dec. 31, 2015	Dec. 31, 2014
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, authorized	15,000,000	15,000,000
Common stock, par value	$ 0.001	$ 0.001
Common stock, authorized	100,000,000	100,000,000
Common stock, shares issued	21,134,744	21,134,744
Treasury Stock, Shares	393,172	393,172
Series B Convertible Preferred Stock
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, designated	14,999,000	14,999,000
Preferred stock, shares issued	14,999,000	14,999,000
Preferred stock, shares outstanding	14,999,000	14,999,000

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2015		Dec. 31, 2014
Revenues:
Licensing fees	$ 1,732		$ 2,948
Subscription revenue	144		0
Custom innovation - related party	439		0
Total revenues	2,315		2,948
Cost of Revenues:
Legal and consulting contingency fees	71		882
Cost of subscription revenue	1,183		0
Cost of custom innovation	372		0
Total cost of revenues	1,626		882
Net revenue	689	[1]	2,066
Operating expenses:
Other legal and consulting fees	2,074		2,342
Patent prosecution and maintenance fees	449		993
Compensation and benefits	5,288		6,357
Professional fees	1,721		5,724
Marketing	300		279
General and administrative	1,349		2,056
Total operating expenses	11,181		17,751
Operating loss	(10,492)		(15,685)
Other income
Other income	75		32
Interest income	15		35
Net loss	$ (10,402)		$ (15,618)
Net loss per common share Basic and diluted	$ (0.50)		$ (0.75)
Weighted average common shares outstanding Basic and diluted	20,742		20,834
[1]	Includes $439 of revenue from related party in connection with work subcontracted to us from a third party.

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands	Total	Series B Convertible Preferred Stock	Common Stock	Treasury Stock	Additional Paid-in Capital	Accumulated Deficit
Balance at Dec. 31, 2013	$ 24,153	$ 15	$ 21	$ (840)	$ 37,398	$ (12,441)
Balance (in shares) at Dec. 31, 2013		14,999	21,135	394
Net contribution from related party shareholder	80	$ 0	$ 0	$ 0	80	0
Stock based compensation	5,424	0	0	0	5,424	0
Net loss for the year ended	(15,618)	0	0	0	0	(15,618)
Balance at Dec. 31, 2014	14,039	$ 15	$ 21	$ (840)	42,902	(28,059)
Balance (in shares) at Dec. 31, 2014		14,999	21,135	394
Stock based compensation	2,234	$ 0	$ 0	$ 0	2,234	0
Net loss for the year ended	(10,402)	0	0	0	0	(10,402)
Balance at Dec. 31, 2015	$ 5,871	$ 15	$ 21	$ (840)	$ 45,136	$ (38,461)
Balance (in shares) at Dec. 31, 2015		14,999	21,135	394

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Cash Flows from Operating Activities
Net loss	$ (10,402)	$ (15,618)
Adjustments to reconcile net loss to net cash used in operating activities:
Net contribution from related party shareholder	0	80
Stock-based compensation	2,234	5,424
Depreciation and amortization	81	1
Decrease (increase) in:
Accounts receivable and other receivable	(836)	(10)
Prepaid and other current assets	(179)	70
Increase (decrease) in:
Accounts payable	(767)	556
Accrued expenses	(208)	8
Deferred expenses and deferred revenue	887	223
Net cash used in operating activities	(9,190)	(9,266)
Cash Flows from Investing Activities:
Purchase of property and equipment and capitalized software costs	(309)	(30)
Short-term investment	(50)	0
Net cash (used in) provided by investing activities	(359)	(30)
Cash Flows from Financing Activities:
Net cash provided by financing activities	0	0
Net decrease in cash and cash equivalents	(9,549)	(9,296)
Cash and cash equivalents
Beginning	15,407	24,703
Ending	5,858	15,407
Purchase of assets and liabilities in connection with reverse merger:
Long-term investment	$ (672)	$ 0

THE COMPANY

THE COMPANY	12 Months Ended
	Dec. 31, 2015
Organization Consolidation And Presentation Of Financial Statements [Abstract]
THE COMPANY	NOTE 1. THE COMPANY Walker Innovation Inc. (formerly known as Patent Properties, Inc.), a Delaware corporation, collectively, with its subsidiaries, the “Company” or “Walker Innovation”), has two distinct lines of businesses. It develops and commercializes its unique portfolio of intellectual property assets through its licensing and enforcement operations (“Licensing and Enforcement”) and more recently in early 2015 it launched its innovation business through The United States Patent Utility™, which has evolved into, and is currently known as Haystack IQ™ (“Haystack IQ”). Haystack IQ uses proprietary Big Data software to connect the global stockpile of technology improvements and technical experts, represented by the U.S. patent database, with businesses that can put them into commercial uses that help them compete and grow. The Company also does custom innovation work for large companies seeking to prototype and commercialize new businesses and new business methods. Haystack IQ and custom innovation services are referred to collectively as the Company’s “Innovation” business. On July 31, 2015, the Company filed a Certificate of Amendment of its Certificate of Incorporation with the State of Delaware, pursuant to which the Company was renamed Walker Innovation Inc. Walker Digital, LLC (“Walker Digital”) a related party, is the owner of 82.3 49 2,166,667

SEGMENT INFORMATION

SEGMENT INFORMATION	12 Months Ended
	Dec. 31, 2015
Segment Reporting [Abstract]
SEGMENT INFORMATION	NOTE 2. SEGMENT INFORMATION Nature of Business The Company’s two primary segments of business, its Licensing and Enforcement business, and the operations of its Innovation business, are described below: Licensing and Enforcement The Company develops, licenses and otherwise enforces patented technologies through its wholly owned subsidiaries. The Company generates revenues from the granting of intellectual property rights for the use of, or pertaining to, patented technologies. The Company also monetizes its intellectual property through the sale of select patent assets. Patent protection is a key part of the Company’s business model, because it provides the Company with a period of exclusive ownership during which the Company has the opportunity to recoup risk capital and generate a profit from inventions. Innovation Business The Company focuses on fostering and creating systems and tools to help companies innovate more effectively and efficiently. Currently, the Company accomplishes this two ways – through its product for small and medium businesses “Haystack IQ” and through custom innovation projects for large companies. Haystack IQ Haystack IQ, is a subscription-based service that uses proprietary Big Data software to connect the global stockpile of technology improvements and technical experts, represented by the U.S. patent database to businesses that can help put them into commercial uses that help them compete and grow. This product helps Custom Innovation The Company provides consulting services and software development to large companies in connection with prototyping projects as well as the development of customized innovative ways to serve their customers and grow their market share. The Company may be engaged by the customer directly, or work may be subcontracted to it by its controlling stockholder, a related party, Walker Digital, LLC (“Walker Digital”). The Company does not allocate corporate interest income and expense, income taxes, other income and expenses related to corporate activity or corporate expense for management and administrative services that benefit both segments. Because of this unallocated income and expense, the operating loss of each reporting segment does not reflect the operating loss the reporting segment would report as a stand-alone business. For the Year Ended December 31, 2015 Litigation and Enforcement Innovation (1) Corporate Total Net revenue (1) $ 1,662 $ (973) $ — $ 689 Expenses (2,872) (2,023) (6,286) (11,181) Operating loss (1,210) (2,996) (6,286) (10,492) Other income — — 75 75 Interest income — — 15 15 Net (loss) income $ (1,210) $ (2,996) $ (6,196) $ (10,402) For the Year Ended December 31, 2014 Litigation and Enforcement Innovation (1) Corporate Total Net revenue $ 2,066 $ — $ — $ 2,066 Expenses (6,505) (2,494) (8,752) (17,751) Operating loss (4,439) (2,494) (8,752) (15,685) Other income — — 32 32 Interest income — — 35 35 Net (loss) income $ (4,439) $ (2,494) $ (8,685) $ (15,618) (1) Includes $ 439 Capital expenditures for the years ended December 31, 2015 and 2014 was $ 309 30

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying consolidated financial statements of the Company were prepared in accordance with U.S. Generally Accepted Accounting Principles (“US GAAP”) and include the assets, liabilities, revenues and expenses of the Company’s wholly-owned subsidiaries over which the Company exercises control. Intercompany transactions and balances were eliminated in consolidation. The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management of the Company 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 consolidated financial statements. Actual results could differ from these estimates. The Company’s significant estimates and assumptions include stock-based compensation and the valuation allowance related to the Company’s deferred tax assets, revenue recognition and useful life of assets. Certain of the Company’s estimates could be affected by external conditions, including those unique to the Company and general economic conditions. It is reasonably possible that these external factors could have an effect on the Company’s estimates and could cause actual results to differ from those estimates and assumptions. The Company maintains its cash in bank deposit and money market accounts that, at times, may exceed federally insured limits. The Company considers money market accounts that have maturity dates of three months or less from the purchase date to be cash equivalents. The Company classifies its investment consisting of a certificate of deposit with a maturity greater than three months but less than one year as a short-term investment. Basic earnings (loss) per share (“EPS”) is computed by dividing net income applicable to common stock by the weighted-average number of common shares outstanding, less any unvested restricted stock outstanding. Under the treasury stock method, diluted EPS reflects the potential dilution that could occur if securities or other instruments that are convertible into common stock were exercised or could result in the issuance of common stock. 2015 2014 Common Stock options 4,263,166 3,628,000 Common Stock warrants 1,980,318 1,980,318 Preferred Stock 14,999,000 14,999,000 Contingency shares 2,166,667 2,166,667 Excluded potentially dilutive securities 23,409,151 22,773,985 Licensing and Enforcement The Company derives its revenue from patent licensing and enforcement. In general, these revenue arrangements provide for the payment of contractually determined fees in consideration for the grant of certain intellectual property rights for patented technologies owned or controlled by the Company. Significantly all of the patent licenses are granted on the entire portfolio rather than individual patents. Most of the intellectual property rights granted are perpetual in nature, extending until the expiration of the related patents, although they can be granted for a defined, relatively short period of time. The Company recognizes licensing and enforcement fees when there is persuasive evidence of a licensing arrangement, fees are fixed or determinable, delivery has occurred and collectability is reasonably assured. Haystack IQ The Company’s revenues are derived from month-to-month subscriptions to services, some of which may be billed annually in advance . Subscription revenue is earned each month as the service is rendered to subscribers on a monthly basis. The Company recognizes revenue when the subscribers use Haystack IQ’s services, the service has been rendered and earned during the month, the amount of the subscription is fixed or determinable based on established rates quoted on an annualized basis and collectability is reasonably assured. In general, subscriptions are contracted for a year and subscribers are entitled to refunds on a pro-rata basis. Custom Innovation Revenue is recognized as services are performed using the percentage of completion method. Revenue is recognized as services are performed using the percentage of completion method for fixed price contracts. Revenues for the current period are determined by multiplying the estimated margin at completion for each contract by the project’s percentage of completion to date, adding costs incurred to date, and subtracting revenues recognized in prior periods. In applying the percentage-of-completion method to these contracts, the Company measures the extent of progress toward completion as the ratio of costs incurred to date over total estimated costs at completion. As work is performed under contracts, estimates of the costs to complete are regularly reviewed and updated. As changes in estimates of total costs at completion on projects are identified, appropriate earnings adjustments are recorded using the cumulative catch-up method. Provisions for estimated losses on uncompleted contracts are recorded during the period in which such losses become evident. Profit incentives and/or award fees are recorded as revenues when the amounts are both probable and reasonably estimable. Licensing and Enforcement Contingent legal and consulting fees are expensed in the Condensed Consolidated Statements of Operations in the period that the related revenues are recognized. In instances where there are no recoveries from potential infringers, no contingent legal and consulting fees are required to be paid; however, the Company may be liable for certain out of pocket legal and consulting costs incurred pursuant to the underlying legal and consulting services agreement. Legal fees advanced by contingent law firms, if any, that are required to be paid in the event that no license recoveries are obtained are expensed as incurred and included in liabilities in the condensed consolidated balance sheets. Haystack IQ Cost of services is comprised of compensation for Company employees within the software and systems engineering groups in addition to data costs and amortization expenses. The expenses related to our hosted software applications are affected by the number of customers who subscribe to our products and the complexity and redundancy of our software applications and hosting infrastructure. The Company expenses these costs as they are incurred. Custom Innovation Costs represent the staff and related other costs associated with any of the services provided. In cases where the Company’s investment is less than 20% of the outstanding voting stock and significant influence does not exist, the investment is carried at cost, and evaluated for impairment at each reporting period. The Company elected the fair value option for its investment in Flexible Travel Company, LLC (“Flexible Travel”). As of December 31, 2015, the fair value of this investment is approximate $ 672 While the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. The decision to elect the fair value option, which is irrevocable once elected, is determined on an instrument by instrument basis and applied to an entire instrument. The net gains or losses, if any, on an investment for which the fair value option has been elected, are recognized as a change in fair value of investments in the Consolidated Statements of Operations. The Company considers significant revenue concentrations to be counterparties or significant customers who account for 10% or more of the total revenues generated by the Company during the period. For the year ended December 31, 2015 85 19 96 45 36 15 ). The Company measures the cost of services received in exchange for an award of equity instruments based on the fair value of the award. For employees and directors, the fair value of the award is measured on the grant date and for non-employees, the fair value of the award is generally measured on the measurement date and re-measured on each financial reporting date and vesting date until the service period is complete. The fair value amount is then recognized over the period services are required to be provided in exchange for the award, usually the vesting period. The Company recognizes employee stock-based compensation expense on a straight line basis over the requisite service period for each separately vesting tranche of each award. Stock-based compensation expense is reflected within operating expenses in the Consolidated Statements of Operations. Website development costs were expensed as incurred prior to technological feasibility. Post launch, all costs incurred by the Company related to the development phase, including costs incurred for enhancements that are expected to result in additional new functionality, are capitalized. Such costs are amortized on a straight-line basis over 36 months. All costs related to the planning and post-implementation phase, including training and maintenance, are expensed as incurred. Capitalized costs related to improvements and enhancements to the functionality of Haystack IQ are included in property and equipment, net in the Company’s Consolidated Balance Sheets. Property and equipment consist primarily of computer and network hardware and are stated at cost net of accumulated depreciation and amortization expenses. Leasehold improvements are amortized over the shorter of their estimated useful lives or the remaining term of the lease. Lease amortization is included in depreciation expense. Equipment and software are depreciated on a straight-line basis over two to five years. Costs related to maintenance and repairs are expensed as incurred. Deferred revenue represents prepaid subscription revenue for future periods from subscribers in connection with Haystack IQ as well as amounts to be recognized in connection with the amortization of the Warrant in Flexible Travel. Costs and Estimated Earnings in Excess of Billings on Uncompleted Contracts and Billings in Excess of Costs and Estimated Earnings on Uncompleted Contracts Unbilled revenues on contracts in progress in the accompanying consolidated balance sheets represent unbilled amounts earned and reimbursable under Custom innovation contracts in progress. These amounts become billable according to the contract terms, which consider the passage of time, achievement of certain milestones or completion of the project. Billings in excess of costs and estimated earnings on contracts in progress in the accompanying Consolidated Balance Sheets represent accumulated billings to our Custom innovation business in excess of the amount earned. The Company anticipates that the majority of such amounts will be earned as revenue within one year. Billings in excess of cost represents revenue to be recorded in connection with our Custom Innovation business. 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 financial statement carrying amounts of existing assets and liabilities 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 of a change in tax rates is recognized in operations in the period that includes the enactment date. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income and the reversal of deferred tax liabilities during the period in which related temporary differences become deductible. The benefit of tax positions taken or expected to be taken in the Company’s income tax returns are recognized in the consolidated financial statements if such positions are more likely than not of being sustained. In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09 (“ASU 2014-09”), “Revenue from Contracts with Customers,” which requires an entity to recognize revenue representing the transfer of promised goods or services to customers in an amount that reflects the consideration which the company expects to receive in exchange for those goods or services. ASU 2014-09 is intended to establish principles for reporting useful information to users of financial statements about the nature, amount, timing and uncertainty of revenues and cash flows arising from the entity’s contracts with customers. ASU 2014-09 will replace most existing revenue recognition guidance in GAAP when it becomes effective. The original standard was effective for the Company on January 1, 2017, however, in April 2015, the FASB proposed a one-year deferral of this standard with a new effective date for the Company of January 1, 2018. Early application is not permitted. The Company is currently evaluating the effect that ASU 2014-09 will have on its consolidated financial statements and related disclosures. In February 2016, the FASB issued Accounting Standards Update ASU No. 2016-02, “Leases,” which requires an entity that leases assets to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. Under the new guidance, a lessee will be required to recognize assets and liabilities for leases with lease terms of more than 12 months. Consistent with current U.S. GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. However, unlike current GAAP, which requires only capital leases to be recognized on the balance sheet, the new ASU will require both types of leases to be recognized on the balance sheet. The standard is effective for fiscal years beginning after December 15, 2018. Early application is permitted. The Company is currently evaluating the effect that ASU 2016-02 will have on its consolidated financial statements and related disclosures. Subsequent Events Subsequent events have been evaluated through the date of filing.

ACCOUNTS RECEIVABLE

ACCOUNTS RECEIVABLE	12 Months Ended
	Dec. 31, 2015
Receivables [Abstract]
ACCOUNTS RECEIVABLE	NOTE 4. ACCOUNTS RECEIVABLE Accounts receivable consist of trade receivables due from subscribers to Haystack IQ as well as an amount due from a Licensee in connection with a settlement agreement. 2015 2014 Trade Receivables $ 14 $ — Due from Licensee 825 — Total accounts receivable $ 839 $ —

PREPAID EXPENSES AND OTHER CURR

PREPAID EXPENSES AND OTHER CURRENT ASSETS	12 Months Ended
	Dec. 31, 2015
Prepaid Expense and Other Assets [Abstract]
PREPAID EXPENSES AND OTHER CURRENT ASSETS	NOTE 5. PREPAID EXPENSES AND OTHER CURRENT ASSETS 2015 2014 Prepaid insurance $ 84 $ 248 Prepaid patent costs 22 159 Due from Walker Digital and Flexible Travel Company 201 — Prepaid software 273 — Other prepaid expenses 54 48 Total prepaid expenses and other current assets $ 634 $ 455

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	12 Months Ended
	Dec. 31, 2014
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	NOTE 6. PROPERTY AND EQUIPMENT 2015 2014 Computer equipment and software $ 337 $ 30 Less: Accumulated Depreciation (81) (1) Total property and equipment, net $ 256 $ 29

INVESTMENTS

INVESTMENTS	12 Months Ended
	Dec. 31, 2015
Investments All Other Investments [Abstract]
INVESTMENTS	NOTE 7. INVESTMENTS Investment in Tagged The Company received 57,000 250 250 Investment in Flexible Travel Company The Company entered into a Shared Services Agreement (the “FTC Services Agreement”) dated as of December 4, 2015, with Flexible Travel Company, LLC (“Flexible Travel”), a company affiliated with Walker Digital, the Company’s controlling stockholder, regarding the provision of executive management, marketing, legal and financial consulting services. There are no set deliverables contemplated by the FTC Services Agreement, although the hourly rates the Company expects to charge Flexible Travel (approximately equal to the Company’s cost) are specified and under certain circumstances could require audit committee approval. In connection with the FTC Services Agreement, the Company was granted a warrant to purchase limited liability company interests in Flexible Travel at an exercise price of $ 0.06 46 16,400,000 16 The fair value of the warrants (at December 4, 2015 (inception) and as of December 31, 2015) was determined using the Black-Scholes model with the following assumptions: risk free interest rate - 1.52 83.1 5 0.06 Valuation of Privately-Held-Company Equity Securities Issues as Compensation. 1.52 50 5 672 25

SHARED SERVICES AGREEMENT

SHARED SERVICES AGREEMENT	12 Months Ended
	Dec. 31, 2015
Shared Services Agreement [Abstract]
SHARED SERVICES AGREEMENT	NOTE 8. SHARED SERVICES AGREEMENT Walker Digital The Company has a Shared Services Agreement (“WDM Shared Services Agreement”) with Walker Digital Management (“WDM”). The cost of such services varies monthly based on the terms of the WDM Shared Services Agreement. The incurred expenses include but are not limited to executive compensation, information technology services and supplies, administrative and general services and supplies and rent and utilities, are based either on specific attribution of those expenses or, where necessary and appropriate, based on the Company’s best estimate of an appropriate proportional allocation. (dollars in thousands) 2015 2014 Compensation Expenses (1) $ 63 $ 116 Rent and Utilities 257 132 Office Services and Supplies 36 26 Telephone 34 18 Other 67 50 Total Operating Expenses $ 457 $ 342 (1) Compensation expenses are net of services charged to WDM. During the years ended December 31, 2015 and 2014, the Company charged approximately $ 34 61 As of December 31, 2015 and 2014, due from WDM in the amount of $ 147 10 47 55 Flexible Travel Company In December 2015, the Company entered into the FTC Services Agreement with Flexible Travel to provide executive management, marketing, legal and financial consulting services. For the year ended December 31, 2015 the Company provided approximately $ 50 53

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2015
Commitments And Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 9. COMMITMENTS AND CONTINGENCIES Leases The Company’s corporate headquarters is located at Two High Ridge Park, Stamford, Connecticut. The Company leases space pursuant to the WDM Shared Services Agreement. The lease will expire in September of 2016. The annual rent for the office space occupied by the Company is approximately $ 215 Litigation The Company is subject to claims, counterclaims and legal actions that arise in the ordinary course of business. The plaintiff in each patent suit may have defenses to any counterclaim. In addition, the defendants in certain of the patent suits may file motions seeking costs and fees against the plaintiff, which may be opposed. The Company may also be subject to legal actions arising from claims against Walker Digital related to certain patent families the Company received by recorded assignment from Walker Digital. Accrued Bonuses As of December 31, 2015 and 2014, accrued bonuses included in accrued expenses on the Consolidated Balance Sheets were $ 81 200

EQUITY

EQUITY	12 Months Ended
	Dec. 31, 2015
Stockholders Equity Note [Abstract]
EQUITY	NOTE 10. EQUITY The Company has authorized and issued an aggregate of 100,000,000 0.001 15,000,000 0.001 14,999,000 21,134,744 20,741,572 14,999,000 Common Stock The holders of our common stock are entitled to one vote per share. Our Certificate of Incorporation does not provide for cumulative voting. The holders of our common stock are entitled to receive ratably such dividends, if any, as may be declared by the Board of Directors out of legally available funds pari passu Upon liquidation, dissolution or winding-up of the Company the holders of the common stock and the holders of the Series B Convertible Preferred Stock, based on the number of shares of the Company’s common stock into which the Series B Convertible Preferred Stock is convertible, are entitled to share ratably in all assets of the Company which are legally available for distribution, after payment of or provision for all actual and potential liabilities and the liquidation preference of any outstanding preferred stock bearing such a preference, of which currently there are none. The holders of the common stock have no preemptive, subscription, redemption or conversion rights. Series B Convertible Preferred Stock Holders of the Series B Convertible Preferred Stock are entitled at any time to convert their shares of Series B Convertible Preferred Stock into an equal number of shares of the Company’s common stock, subject to adjustment in the event of a stock dividend, subdivision or combination of the Company’s common stock. Upon liquidation, dissolution or winding-up of the Company, the holders of our common stock and the holders of the Series B Convertible Preferred Stock, based on the number of shares of the Company’s common stock into which the Series B Convertible Preferred Stock is convertible, are entitled to share ratably in all assets of the Company which are legally available for distribution, after payment of or provision for all actual and potential liabilities and the liquidation preference of any outstanding preferred stock bearing such a preference, of which currently there are none. In the event of any liquidation, dissolution or winding up of the Company, the assets legally available for distribution will be distributed ratably among the holders of the Series B Convertible Preferred Stock and the common stock, based on the number of shares of the Company’s common stock into which the Series B Convertible Preferred Stock is convertible. The holders of our Series B Convertible Preferred Stock are entitled to receive ratably such dividends, if any, as may be declared by the Board of Directors out of legally available funds, pari passu 80.0

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	12 Months Ended
	Dec. 31, 2015
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
STOCK- BASED COMPENSATION	NOTE 11 – STOCK-BASED COMPENSATION 2015 2014 Employee Option Awards $ 2,213 $ 2,047 Non-employee Compensation Expense 21 289 Non-employee Restricted Stock Awards — 3,088 Total Compensation Expense $ 2,234 $ 5,424 Stock-Based Compensation Plans The Company’s Board of Directors has adopted two stock-based employee compensation plans, the Amended and Restated 2006 Long-Term Incentive Plan and the Amended and Restated 2015 Long-Term Incentive Plan collectively referred to as the (“Incentive Plans”). The Incentive Plans, which provide for the granting of restricted stock awards, deferred stock unit awards, stock option awards and other equity and cash awards, were adopted for the purpose of encouraging key employees, consultants and directors who are not employees to acquire a proprietary interest in the growth and performance of the Company. The Compensation Committee had the authority to determine the amount, type and terms of each award, but may not grant awards under the Incentive Plans, in any combination, for more than 1,000,000 shares of the Company’s common stock to any individual during any calendar year. As of December 31, 2015, 1,344,176 Stock Option Awards Weighted Number of Average Shares Exercise Price Outstanding at December 31, 2013 2,305,000 $ 3.96 Options Granted 1,573,000 3.22 Options Exercised — — Options Cancelled (250,000) 3.98 Outstanding at December 31, 2014 3,628,000 $ 3.64 Options Granted 1,151,500 $ 1.18 Options Exercised — — Options Cancelled (223,333) 3.98 Options Forfeited (293,001) 2.95 Outstanding at December 31, 2015 4,263,166 $ 3.01 Options Vested and Exercisable at December 31, 2015 1,915,827 $ 3.58 Options Outstanding Options Exercisable Weighted Weighted Weighted Weighted Average Average Average Average Remaining Exercise Exercise Remaining Options Contractual Price Per Options Price Per Contractual Outstanding Life in Years Share Exercisable Share Life Range of Exercise Prices $0.00 – 0.50 325,000 9.81 $ 0.30 49,998 $ 0.37 9.75 $0.51 - 1.00 3,500 9.61 0.63 - - - $1.01 - 1.50 718,000 9.33 1.39 27,500 1.40 9.38 $1.51 - 2.00 25,000 2.00 2.00 25,000 2.00 2.00 $2.01 - 2.50 162,500 8.98 2.20 30,833 2.20 8.98 $2.51 – 3.00 67,500 8.70 2.62 57,500 2.64 8.71 $3.01 – 3.50 740,000 6.35 3.18 428,333 3.18 5.00 $3.51 – 4.00 595,000 8.17 3.66 209,999 3.67 8.17 $4.01 – 4.50 1,626,666 7.85 4.05 1,086,664 4.05 7.84 Total 4,263,166 8.06 $ 3.01 1,915,827 $ 3.58 7.28 As of December 31, 2015, the Company had unrecognized stock-based compensation expense related to all unvested stock options of $ 2.1 1.2 The total fair value of the 885,831 1.97 7.3 2015 2014 Aggregate intrinsic value of outstanding options $ — $ — Weighted average fair value per share of options granted $ 0.63 $ 1.56 The fair value of stock option awards granted is estimated on the date of grant using a Black-Scholes option pricing model. The expected life of the options was calculated using the simplified method, using the average of the contractual term and the vesting period. Due to the limited operating history of the Company, the expected volatility used to calculate the fair value of options granted during the year ended December 31, 2014 and for the six months ended June 30, 2015 was based on a relevant industry index as permitted under ASC 718-30-30. Effective the third quarter of 2015, the Company used historical volatility rates. Management monitors stock option exercises and employee termination patterns to estimate forfeiture rates within the valuation model. The expected holding period of options represents the period of time that options granted are expected to be outstanding. The risk-free interest rate for periods within the expected life of the option is based on the interest rate of the U.S. Treasury note in effect on the date of the grant. 2015 2014 Risk Free Interest Rate 0.79 – 2.19 % 1.64 – 2.75 % Expected Volatility 64.1% - 87.5 % 55.6% - 74.1 % Dividend Yield 0 % 0 % Expected Life in Years 6.3 6.0 Stock-based Compensation to Non-employees Stock-based compensation expense related to stock-based awards to non-employees is recognized as the stock-based awards are earned, generally through the provision of services. The Company believes that the fair value of the stock-based awards is more reliably measurable than the fair value of the services received. The fair value of the granted stock-based awards is remeasured at each reporting date.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 12 —INCOME TAXES As of As of December 31, December 31, 2015 2014 Deferred Tax Asset Net-operating loss carryforward $ 11,429 $ 8,001 Stock-based compensation 1,795 909 Others (52) 107 Total Deferred Tax Assets 13,172 9,017 Valuation Allowance (13,172) (9,017) Deferred Tax Asset, Net of Allowance $ — $ — As of December 31, 2015, the Company had federal and state net operating loss carryovers of approximately $ 28.6 2033 In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the period in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax assets, projected future taxable income and taxing strategies in making this assessment. The Company has determined that, based on objective evidence currently available, it is more likely than not that the deferred tax assets will not be realized in future periods. Accordingly, the Company has provided a valuation allowance for the full amount of the deferred tax assets at December 31, 2015 and 2014. As of December 31, As of December 31, 2015 2014 Statutory Federal Income Tax Rate (34.0) % (34.0) % State Taxes, Net of Federal Tax Benefit (5.9) % (5.0) % Change in Valuation Allowance 39.9 % 39.3 % Change in State Rate (2.2) % — Others 2.2 % (0.3) % Income Tax Provision (Benefit) 0.0 % 0.0 % (dollars in thousands) As of December 31, 2015 As of December 31, 2014 Federal Current $ — $ — Deferred 3,023 7,871 State Current — — Deferred 1,132 1,146 Change in Valuation Allowance (4,155) (9,017) Income Tax Provision (Benefit) $ — $ — The Company accounts for uncertain tax positions in accordance with the provisions of ASC 740. When uncertain tax positions exist, the Company recognizes the tax benefit of tax positions to the extent that the benefit will more likely than not be realized. The determination as to whether the tax benefit will more likely than not be realized is based upon the technical merits of the tax position, as well as consideration of the available facts and circumstances. As of December 31, 2015 and 2014, the Company does not have any significant uncertain tax positions. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense.

SOFTWARE AGREEMENT

SOFTWARE AGREEMENT	12 Months Ended
	Dec. 31, 2015
Software Agreement [Abstract]
SOFTWARE AGREEMENT	NOTE 13 – SOFTWARE AGREEMENT On May 8, 2014 (the "Effective Date"), the Company entered into a Software as Service Agreement (the "Agreement") with Innography, Inc. ("Innography") under which the Company will have access to Innography’s proprietary web-based application software platforms and patent related data and analytics functionality in connection with the development and commercialization of Haystack IQ. The term of the Agreement commences on the Effective Date and continues until the two year anniversary of the Effective Date (the "Initial Term"). The Agreement may be renewed for up to three additional and consecutive one year renewal periods (each a "Renewal Term"). The Agreement will renew for the first and second Renewal Terms unless the Company elects to terminate the Agreement in advance of renewal and will renew for the third Renewal Term unless either party elects to terminate the Agreement in advance of renewal. In the event of a change of control, as defined in the Agreement, of Innography, on or after June 30, 2015 Innography may terminate the then current term on 60 days’ notice (“Control Termination”). In the event of a Control Termination or if the Agreement is not renewed for an optional Renewal Term, or after the last of up to three Renewal Terms expires, the Company may renew for an additional one year period during which Innography will provide its services and reasonably assist the Company in migrating to a replacement service (the "Wind Down Term"). Concurrent with the execution of the Agreement, the Company paid a one-time fee of $ 200 350 500 650 800 800 1.1 15 20

CUSTOM INNOVATION CONSULTING -

CUSTOM INNOVATION CONSULTING - RELATED PARTY	12 Months Ended
	Dec. 31, 2015
Related Party Transactions [Abstract]
CUSTOM INNOVATION CONSULTING - RELATED PARTY	NOTE 14 – CUSTOM INNOVATION CONSULTING – RELATED PARTY On August 20, 2015, the Company entered into an Engagement Agreement (the “Engagement Agreement”) with Walker Digital, regarding the provision of software development and consulting services. The initial work order received by the Company under the Engagement Agreement is with respect to a prototype project involving a Fortune 500 insurance company that previously retained Walker Digital to design and develop viable new business models. Payments totaling $1.5 million were paid to the Company through December 31, 2015. The Company is recognizing service revenues under this contract on a percentage of completion basis, as prototyping services are provided. Although management believes it has established adequate procedures for estimating costs to complete on open contracts, it is at least reasonably possible that additional significant costs could occur on contracts prior to completion. The Company periodically evaluates and revises its estimates and makes adjustments when they are considered necessary. December 31, 2015 Costs incurred on uncompleted contracts $ 388 Estimated earnings 51 Revenue recognized 439 Less billings to date (1,500) Billings in excess of cost $ 1,061

SUMMARY OF SIGNIFICANT ACCOUN21

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying consolidated financial statements of the Company were prepared in accordance with U.S. Generally Accepted Accounting Principles (“US GAAP”) and include the assets, liabilities, revenues and expenses of the Company’s wholly-owned subsidiaries over which the Company exercises control. Intercompany transactions and balances were eliminated in consolidation.
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management of the Company 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 consolidated financial statements. Actual results could differ from these estimates. The Company’s significant estimates and assumptions include stock-based compensation and the valuation allowance related to the Company’s deferred tax assets, revenue recognition and useful life of assets. Certain of the Company’s estimates could be affected by external conditions, including those unique to the Company and general economic conditions. It is reasonably possible that these external factors could have an effect on the Company’s estimates and could cause actual results to differ from those estimates and assumptions.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company maintains its cash in bank deposit and money market accounts that, at times, may exceed federally insured limits. The Company considers money market accounts that have maturity dates of three months or less from the purchase date to be cash equivalents.
Short Term Investments	Short term Investments The Company classifies its investment consisting of a certificate of deposit with a maturity greater than three months but less than one year as a short-term investment.
Earnings (Loss) per Share	Earnings (Loss) per Share Basic earnings (loss) per share (“EPS”) is computed by dividing net income applicable to common stock by the weighted-average number of common shares outstanding, less any unvested restricted stock outstanding. Under the treasury stock method, diluted EPS reflects the potential dilution that could occur if securities or other instruments that are convertible into common stock were exercised or could result in the issuance of common stock. 2015 2014 Common Stock options 4,263,166 3,628,000 Common Stock warrants 1,980,318 1,980,318 Preferred Stock 14,999,000 14,999,000 Contingency shares 2,166,667 2,166,667 Excluded potentially dilutive securities 23,409,151 22,773,985
Revenue Recognition	Revenue Recognition Licensing and Enforcement The Company derives its revenue from patent licensing and enforcement. In general, these revenue arrangements provide for the payment of contractually determined fees in consideration for the grant of certain intellectual property rights for patented technologies owned or controlled by the Company. Significantly all of the patent licenses are granted on the entire portfolio rather than individual patents. Most of the intellectual property rights granted are perpetual in nature, extending until the expiration of the related patents, although they can be granted for a defined, relatively short period of time. The Company recognizes licensing and enforcement fees when there is persuasive evidence of a licensing arrangement, fees are fixed or determinable, delivery has occurred and collectability is reasonably assured. Haystack IQ The Company’s revenues are derived from month-to-month subscriptions to services, some of which may be billed annually in advance . Subscription revenue is earned each month as the service is rendered to subscribers on a monthly basis. The Company recognizes revenue when the subscribers use Haystack IQ’s services, the service has been rendered and earned during the month, the amount of the subscription is fixed or determinable based on established rates quoted on an annualized basis and collectability is reasonably assured. In general, subscriptions are contracted for a year and subscribers are entitled to refunds on a pro-rata basis. Custom Innovation Revenue is recognized as services are performed using the percentage of completion method. Revenue is recognized as services are performed using the percentage of completion method for fixed price contracts. Revenues for the current period are determined by multiplying the estimated margin at completion for each contract by the project’s percentage of completion to date, adding costs incurred to date, and subtracting revenues recognized in prior periods. In applying the percentage-of-completion method to these contracts, the Company measures the extent of progress toward completion as the ratio of costs incurred to date over total estimated costs at completion. As work is performed under contracts, estimates of the costs to complete are regularly reviewed and updated. As changes in estimates of total costs at completion on projects are identified, appropriate earnings adjustments are recorded using the cumulative catch-up method. Provisions for estimated losses on uncompleted contracts are recorded during the period in which such losses become evident. Profit incentives and/or award fees are recorded as revenues when the amounts are both probable and reasonably estimable.
Costs Associated with Revenue	Costs Associated with Revenue Licensing and Enforcement Contingent legal and consulting fees are expensed in the Condensed Consolidated Statements of Operations in the period that the related revenues are recognized. In instances where there are no recoveries from potential infringers, no contingent legal and consulting fees are required to be paid; however, the Company may be liable for certain out of pocket legal and consulting costs incurred pursuant to the underlying legal and consulting services agreement. Legal fees advanced by contingent law firms, if any, that are required to be paid in the event that no license recoveries are obtained are expensed as incurred and included in liabilities in the condensed consolidated balance sheets. Haystack IQ Cost of services is comprised of compensation for Company employees within the software and systems engineering groups in addition to data costs and amortization expenses. The expenses related to our hosted software applications are affected by the number of customers who subscribe to our products and the complexity and redundancy of our software applications and hosting infrastructure. The Company expenses these costs as they are incurred. Custom Innovation Costs represent the staff and related other costs associated with any of the services provided.
Investment	Investment In cases where the Company’s investment is less than 20% of the outstanding voting stock and significant influence does not exist, the investment is carried at cost, and evaluated for impairment at each reporting period. The Company elected the fair value option for its investment in Flexible Travel Company, LLC (“Flexible Travel”). As of December 31, 2015, the fair value of this investment is approximate $ 672 While the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. The decision to elect the fair value option, which is irrevocable once elected, is determined on an instrument by instrument basis and applied to an entire instrument. The net gains or losses, if any, on an investment for which the fair value option has been elected, are recognized as a change in fair value of investments in the Consolidated Statements of Operations.
Revenue Concentrations	The Company considers significant revenue concentrations to be counterparties or significant customers who account for 10% or more of the total revenues generated by the Company during the period. For the year ended December 31, 2015 85 19 96 45 36 15 ).
Stock Based Compensation	Stock Based Compensation The Company measures the cost of services received in exchange for an award of equity instruments based on the fair value of the award. For employees and directors, the fair value of the award is measured on the grant date and for non-employees, the fair value of the award is generally measured on the measurement date and re-measured on each financial reporting date and vesting date until the service period is complete. The fair value amount is then recognized over the period services are required to be provided in exchange for the award, usually the vesting period. The Company recognizes employee stock-based compensation expense on a straight line basis over the requisite service period for each separately vesting tranche of each award. Stock-based compensation expense is reflected within operating expenses in the Consolidated Statements of Operations.
Website development costs	Website Development costs Website development costs were expensed as incurred prior to technological feasibility. Post launch, all costs incurred by the Company related to the development phase, including costs incurred for enhancements that are expected to result in additional new functionality, are capitalized. Such costs are amortized on a straight-line basis over 36 months. All costs related to the planning and post-implementation phase, including training and maintenance, are expensed as incurred. Capitalized costs related to improvements and enhancements to the functionality of Haystack IQ are included in property and equipment, net in the Company’s Consolidated Balance Sheets.
Property and equipment, net	Property and Equipment, net Property and equipment consist primarily of computer and network hardware and are stated at cost net of accumulated depreciation and amortization expenses. Leasehold improvements are amortized over the shorter of their estimated useful lives or the remaining term of the lease. Lease amortization is included in depreciation expense. Equipment and software are depreciated on a straight-line basis over two to five years. Costs related to maintenance and repairs are expensed as incurred.
Deferred Revenue	Deferred Revenue Deferred revenue represents prepaid subscription revenue for future periods from subscribers in connection with Haystack IQ as well as amounts to be recognized in connection with the amortization of the Warrant in Flexible Travel.
Costs and Estimated Earnings in Excess of Billings on Uncompleted Contracts and Billings in Excess of Costs and Estimated Earnings on Uncompleted Contracts	Costs and Estimated Earnings in Excess of Billings on Uncompleted Contracts and Billings in Excess of Costs and Estimated Earnings on Uncompleted Contracts Unbilled revenues on contracts in progress in the accompanying consolidated balance sheets represent unbilled amounts earned and reimbursable under Custom innovation contracts in progress. These amounts become billable according to the contract terms, which consider the passage of time, achievement of certain milestones or completion of the project. Billings in excess of costs and estimated earnings on contracts in progress in the accompanying Consolidated Balance Sheets represent accumulated billings to our Custom innovation business in excess of the amount earned. The Company anticipates that the majority of such amounts will be earned as revenue within one year. Billings in excess of cost represents revenue to be recorded in connection with our Custom Innovation business.
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 financial statement carrying amounts of existing assets and liabilities 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 of a change in tax rates is recognized in operations in the period that includes the enactment date. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income and the reversal of deferred tax liabilities during the period in which related temporary differences become deductible. The benefit of tax positions taken or expected to be taken in the Company’s income tax returns are recognized in the consolidated financial statements if such positions are more likely than not of being sustained.
Recent Accounting Pronouncements	In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09 (“ASU 2014-09”), “Revenue from Contracts with Customers,” which requires an entity to recognize revenue representing the transfer of promised goods or services to customers in an amount that reflects the consideration which the company expects to receive in exchange for those goods or services. ASU 2014-09 is intended to establish principles for reporting useful information to users of financial statements about the nature, amount, timing and uncertainty of revenues and cash flows arising from the entity’s contracts with customers. ASU 2014-09 will replace most existing revenue recognition guidance in GAAP when it becomes effective. The original standard was effective for the Company on January 1, 2017, however, in April 2015, the FASB proposed a one-year deferral of this standard with a new effective date for the Company of January 1, 2018. Early application is not permitted. The Company is currently evaluating the effect that ASU 2014-09 will have on its consolidated financial statements and related disclosures. In February 2016, the FASB issued Accounting Standards Update ASU No. 2016-02, “Leases,” which requires an entity that leases assets to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. Under the new guidance, a lessee will be required to recognize assets and liabilities for leases with lease terms of more than 12 months. Consistent with current U.S. GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. However, unlike current GAAP, which requires only capital leases to be recognized on the balance sheet, the new ASU will require both types of leases to be recognized on the balance sheet. The standard is effective for fiscal years beginning after December 15, 2018. Early application is permitted. The Company is currently evaluating the effect that ASU 2016-02 will have on its consolidated financial statements and related disclosures.
Subsequent Events	Subsequent Events Subsequent events have been evaluated through the date of filing.

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	12 Months Ended
	Dec. 31, 2015
Segment Reporting [Abstract]
Key Financial Information by Reportable Segment	Key financial information by reportable segment for years ended December 31, 2015 and 2014 is as follows: For the Year Ended December 31, 2015 Litigation and Enforcement Innovation (1) Corporate Total Net revenue (1) $ 1,662 $ (973) $ — $ 689 Expenses (2,872) (2,023) (6,286) (11,181) Operating loss (1,210) (2,996) (6,286) (10,492) Other income — — 75 75 Interest income — — 15 15 Net (loss) income $ (1,210) $ (2,996) $ (6,196) $ (10,402) For the Year Ended December 31, 2014 Litigation and Enforcement Innovation (1) Corporate Total Net revenue $ 2,066 $ — $ — $ 2,066 Expenses (6,505) (2,494) (8,752) (17,751) Operating loss (4,439) (2,494) (8,752) (15,685) Other income — — 32 32 Interest income — — 35 35 Net (loss) income $ (4,439) $ (2,494) $ (8,685) $ (15,618) (1) Includes $ 439

SUMMARY OF SIGNIFICANT ACCOUN23

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Financial Instruments that Were Not Included in Diluted Loss Per Share Calculation	As of December 31, 2015 and 2014, the following financial instruments were not included in the diluted loss per share calculation because their effect was anti-dilutive: 2015 2014 Common Stock options 4,263,166 3,628,000 Common Stock warrants 1,980,318 1,980,318 Preferred Stock 14,999,000 14,999,000 Contingency shares 2,166,667 2,166,667 Excluded potentially dilutive securities 23,409,151 22,773,985

ACCOUNTS RECEIVABLE (Tables)

ACCOUNTS RECEIVABLE (Tables)	12 Months Ended
	Dec. 31, 2015
Receivables [Abstract]
Accounts, Notes, Loans and Financing Receivable	As of December 31, 2015 and 2014 accounts receivable consist of the following: 2015 2014 Trade Receivables $ 14 $ — Due from Licensee 825 — Total accounts receivable $ 839 $ —

PREPAID EXPENSES AND OTHER CU25

PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables)	12 Months Ended
	Dec. 31, 2015
Prepaid Expense and Other Assets [Abstract]
Prepaid Expenses and Other Current Assets	2015 2014 Prepaid insurance $ 84 $ 248 Prepaid patent costs 22 159 Due from Walker Digital and Flexible Travel Company 201 — Prepaid software 273 — Other prepaid expenses 54 48 Total prepaid expenses and other current assets $ 634 $ 455

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2015
Property, Plant and Equipment [Abstract]
Property and Equipment, Net	As of December 31, 2015 and 2014 property and equipment, net, consist of the following: 2015 2014 Computer equipment and software $ 337 $ 30 Less: Accumulated Depreciation (81) (1) Total property and equipment, net $ 256 $ 29

SHARED SERVICES AGREEMENT (Tabl

SHARED SERVICES AGREEMENT (Tables)	12 Months Ended
	Dec. 31, 2015
Shared Services Agreement [Abstract]
Summary Of Expenses Contributed by WDM on Behalf of the Company and Expenses Incurred under the Shares Services Agreement:	(dollars in thousands) 2015 2014 Compensation Expenses (1) $ 63 $ 116 Rent and Utilities 257 132 Office Services and Supplies 36 26 Telephone 34 18 Other 67 50 Total Operating Expenses $ 457 $ 342 (1) Compensation expenses are net of services charged to WDM. During the years ended December 31, 2015 and 2014, the Company charged approximately $ 34 61

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	12 Months Ended
	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Schedule Of Share Based Compensation Activity	Total stock-based compensation to employees and non-employees for the years ended December 31, 2015 and 2014 is presented in the following table: 2015 2014 Employee Option Awards $ 2,213 $ 2,047 Non-employee Compensation Expense 21 289 Non-employee Restricted Stock Awards — 3,088 Total Compensation Expense $ 2,234 $ 5,424
Schedule Of Share Based Compensation Stock Options Activity	Weighted Number of Average Shares Exercise Price Outstanding at December 31, 2013 2,305,000 $ 3.96 Options Granted 1,573,000 3.22 Options Exercised — — Options Cancelled (250,000) 3.98 Outstanding at December 31, 2014 3,628,000 $ 3.64 Options Granted 1,151,500 $ 1.18 Options Exercised — — Options Cancelled (223,333) 3.98 Options Forfeited (293,001) 2.95 Outstanding at December 31, 2015 4,263,166 $ 3.01 Options Vested and Exercisable at December 31, 2015 1,915,827 $ 3.58
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range	The stock option awards are exercisable at various times through 2018. Additional information with respect to the outstanding stock option awards as of December 31, 2015, is as follows: Options Outstanding Options Exercisable Weighted Weighted Weighted Weighted Average Average Average Average Remaining Exercise Exercise Remaining Options Contractual Price Per Options Price Per Contractual Outstanding Life in Years Share Exercisable Share Life Range of Exercise Prices $0.00 – 0.50 325,000 9.81 $ 0.30 49,998 $ 0.37 9.75 $0.51 - 1.00 3,500 9.61 0.63 - - - $1.01 - 1.50 718,000 9.33 1.39 27,500 1.40 9.38 $1.51 - 2.00 25,000 2.00 2.00 25,000 2.00 2.00 $2.01 - 2.50 162,500 8.98 2.20 30,833 2.20 8.98 $2.51 – 3.00 67,500 8.70 2.62 57,500 2.64 8.71 $3.01 – 3.50 740,000 6.35 3.18 428,333 3.18 5.00 $3.51 – 4.00 595,000 8.17 3.66 209,999 3.67 8.17 $4.01 – 4.50 1,626,666 7.85 4.05 1,086,664 4.05 7.84 Total 4,263,166 8.06 $ 3.01 1,915,827 $ 3.58 7.28
Schedule Of Share Based Payment Award Stock Options Other Selected Information	Other selected information is as follows: 2015 2014 Aggregate intrinsic value of outstanding options $ — $ — Weighted average fair value per share of options granted $ 0.63 $ 1.56
Schedule of Assumptions Used	The table below presents the weighted average assumptions used to calculate the fair value of stock option awards granted during the years ended December 31, 2015 and 2014, respectively: 2015 2014 Risk Free Interest Rate 0.79 – 2.19 % 1.64 – 2.75 % Expected Volatility 64.1% - 87.5 % 55.6% - 74.1 % Dividend Yield 0 % 0 % Expected Life in Years 6.3 6.0

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Significant components of the Company's net deferred tax assets and liability	The Company’s deferred tax assets consisted of the effects of temporary differences attributable to the following: As of As of December 31, December 31, 2015 2014 Deferred Tax Asset Net-operating loss carryforward $ 11,429 $ 8,001 Stock-based compensation 1,795 909 Others (52) 107 Total Deferred Tax Assets 13,172 9,017 Valuation Allowance (13,172) (9,017) Deferred Tax Asset, Net of Allowance $ — $ —
Schedule Of Effective Income Tax Rate Reconciliation	The expected tax expense (benefit) based on the U.S. federal statutory rate is reconciled with actual tax expense (benefit) as follows: As of December 31, As of December 31, 2015 2014 Statutory Federal Income Tax Rate (34.0) % (34.0) % State Taxes, Net of Federal Tax Benefit (5.9) % (5.0) % Change in Valuation Allowance 39.9 % 39.3 % Change in State Rate (2.2) % — Others 2.2 % (0.3) % Income Tax Provision (Benefit) 0.0 % 0.0 % (dollars in thousands) As of December 31, 2015 As of December 31, 2014 Federal Current $ — $ — Deferred 3,023 7,871 State Current — — Deferred 1,132 1,146 Change in Valuation Allowance (4,155) (9,017) Income Tax Provision (Benefit) $ — $ —

CUSTOM INNOVATION CONSULTING 30

CUSTOM INNOVATION CONSULTING - RELATED PARTY (Tables)	12 Months Ended
	Dec. 31, 2015
Related Party Transactions [Abstract]
Costs in excess of billings and billings in excess of costs	The Costs and Estimated Earnings on Uncompleted Contracts is summarized as follows: December 31, 2015 Costs incurred on uncompleted contracts $ 388 Estimated earnings 51 Revenue recognized 439 Less billings to date (1,500) Billings in excess of cost $ 1,061

THE COMPANY - Additional Inform

THE COMPANY - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2015shares
Performance Shares
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Shares of common stock to be received	2,166,667
Walker Digital Holdings, LLC
Organization Consolidation And Presentation Of Financial Statements [Line Items]
Percentage of stock acquired by walker digital	82.30%
Controlling voting interest owned as a result of change of name	49.00%

SEGMENT INFORMATION (Detail)

SEGMENT INFORMATION (Detail) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2015		Dec. 31, 2014
Segment Reporting Information [Line Items]
Net revenue		$ 689	[1]	$ 2,066
Expenses		(11,181)		(17,751)
Operating Loss		(10,492)		(15,685)
Other income		75		32
Interest Income		15		35
Net (loss) income		(10,402)		(15,618)
Corporate Segment [Member]
Segment Reporting Information [Line Items]
Net revenue		0	[1]	0
Expenses		(6,286)		(8,752)
Operating Loss		(6,286)		(8,752)
Other income		75		32
Interest Income		15		35
Net (loss) income		(6,196)		(8,685)
Litigation and Enforcement [Member]
Segment Reporting Information [Line Items]
Net revenue		1,662	[1]	2,066
Expenses		(2,872)		(6,505)
Operating Loss		(1,210)		(4,439)
Other income		0		0
Interest Income		0		0
Net (loss) income		(1,210)		(4,439)
Innovation [Member]
Segment Reporting Information [Line Items]
Net revenue	[1]	(973)		0
Expenses	[1]	(2,023)		(2,494)
Operating Loss	[1]	(2,996)		(2,494)
Other income	[1]	0		0
Interest Income	[1]	0		0
Net (loss) income	[1]	$ (2,996)		$ (2,494)
[1]	Includes $439 of revenue from related party in connection with work subcontracted to us from a third party.

SEGMENT INFORMATION (Additional

SEGMENT INFORMATION (Additional Information) (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Segment Reporting Information [Line Items]
Custom Innovation Related Party	$ 439	$ 0
Payments to Acquire Property, Plant, and Equipment	$ 309	$ 30

SUMMARY OF SIGNIFICANT ACCOUN34

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Financial Instruments Were Not Included in Diluted Loss Per Share Calculation (Detail) - shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded potentially dilutive securities	23,409,151	22,773,985
Common Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded potentially dilutive securities	4,263,166	3,628,000
Common Stock warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded potentially dilutive securities	1,980,318	1,980,318
Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded potentially dilutive securities	14,999,000	14,999,000
Contingency shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Excluded potentially dilutive securities	2,166,667	2,166,667

SUMMARY OF SIGNIFICANT ACCOUN35

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Significant Accounting Policies [Line Items]
Concentration percentage	85.00%	96.00%
Investments, Fair Value Disclosure, Total	$ 672	$ 0
Counterparty One
Significant Accounting Policies [Line Items]
Concentration percentage		45.00%
Counterparty Two
Significant Accounting Policies [Line Items]
Concentration percentage		36.00%
Counterparty Three
Significant Accounting Policies [Line Items]
Concentration percentage	19.00%	15.00%
Number of counter parties	3

ACCOUNTS RECEIVABLE (Detail)

ACCOUNTS RECEIVABLE (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total accounts receivable	$ 839	$ 0
Trade Receivables [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total accounts receivable	14	0
Due from Licensee [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total accounts receivable	$ 825	$ 0

PREPAID EXPENSES AND OTHER CU37

PREPAID EXPENSES AND OTHER CURRENT ASSETS (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Prepaid Expense and Other Assets [Line Items]
Prepaid insurance	$ 84	$ 248
Prepaid patent costs	22	159
Due from Walker Digital and Flexible Travel Company	201	0
Prepaid software	273	0
Other prepaid expenses	54	48
Total prepaid expenses and other current assets	$ 634	$ 455

PROPERTY AND EQUIPMENT (Detail)

PROPERTY AND EQUIPMENT (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Property, Plant and Equipment [Line Items]
Computer equipment and software	$ 337	$ 30
Less: Accumulated Depreciation	(81)	(1)
Total property and equipment, net	$ 256	$ 29

INVESTMENTS - Additional Inform

INVESTMENTS - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Schedule of Cost-method Investments [Line Items]
Investments, at cost	$ 250	$ 250
Common Stock Par Or Stated Value Per Share	$ 0.001	$ 0.001
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	6 years 3 months 18 days	6 years
Deferred Revenue	$ 672
Amortization of Deferred Charges, Total	$ 25
Common Class A [Member]
Schedule of Cost-method Investments [Line Items]
Common Stock Par Or Stated Value Per Share	$ 0.06
Limited Liability Company (LLC) or Limited Partnership (LP), Members or Limited Partners, Ownership Interest	46.00%
Class of Warrant or Right, Number of Securities Called by Warrants or Rights	16,400,000
Common Class A [Member] | Warrant [Member]
Schedule of Cost-method Investments [Line Items]
Limited Liability Company (LLC) or Limited Partnership (LP), Members or Limited Partners, Ownership Interest	16.00%
Fair Value of Warrants [Member]
Schedule of Cost-method Investments [Line Items]
Fair Value Assumptions, Risk Free Interest Rate	1.52%
Fair Value Assumptions, Expected Volatility Rate	83.10%
Fair Value Assumptions, Expected Term	5 years
Share Price	$ 0.06
Valuation of Underlying Shares [Member]
Schedule of Cost-method Investments [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate	1.52%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate	50.00%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	5 years
Licensing Agreements
Schedule of Cost-method Investments [Line Items]
Number of Common stock received in connection with license agreement	57,000
Investments, at cost	$ 250

SHARED SERVICES AGREEMENT (Deta

SHARED SERVICES AGREEMENT (Detail) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2015	Dec. 31, 2014
Schedule Of General Administrative And Other Operating Expenses [Line Items]
Compensation Expenses		$ 5,288	$ 6,357
Total Operating Expenses		11,181	17,751
Shared Services Agreement
Schedule Of General Administrative And Other Operating Expenses [Line Items]
Compensation Expenses	[1]	63	116
Rent and Utilities		257	132
Office Services and Supplies		36	26
Telephone		34	18
Other		67	50
Total Operating Expenses		$ 457	$ 342
[1]	Compensation expenses are net of services charged to WDM. During the years ended December 31, 2015, and 2014, the Company charged approximately $34 and $61 of expenses, respectively, related to such services.

SHARED SERVICES AGREEMENT - Add

SHARED SERVICES AGREEMENT - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Shared Services Agreement [Line Items]
Labor And Related Expense	$ 5,288	$ 6,357
Prepaid Expense And Other Assets Current	634	455
Walker Digital Management [Member]
Shared Services Agreement [Line Items]
Labor And Related Expense	34	61
Due from Related Parties	147	10
Due to Related Parties	47	$ 55
Flexible Travel Company [Member]
Shared Services Agreement [Line Items]
Cost of Services, Total	50
Prepaid Expense And Other Assets Current	$ 53

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Additional Information (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Loss Contingencies [Line Items]
Accrued Bonuses	$ 81	$ 200
Annual Rent expense	$ 215

EQUITY - Additional Information

EQUITY - Additional Information (Detail) - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Equity [Line Items]
Common stock, authorized	100,000,000	100,000,000
Common stock, par value	$ 0.001	$ 0.001
Common Stock, Issued	21,134,744	21,134,744
Preferred stock, authorized	15,000,000	15,000,000
Preferred stock, par value	$ 0.001	$ 0.001
Common stock, shares outstanding	20,741,572
Preferred Stock Conversion Basis Voting Percentage	80.00%
Series B Convertible Preferred Stock
Equity [Line Items]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred Stock, Issued	14,999,000	14,999,000
Preferred Stock Shares Designated	14,999,000	14,999,000

STOCK-BASED COMPENSATION - Tota

STOCK-BASED COMPENSATION - Total Stock-based Compensation to Employees and Non-employees (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share Based Compensation	$ 2,234	$ 5,424
Non-employee Compensation Expense
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share Based Compensation	21	289
Non-employee Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share Based Compensation	0	3,088
Employee Option Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share Based Compensation	$ 2,213	$ 2,047

STOCK-BASED COMPENSATION - Summ

STOCK-BASED COMPENSATION - Summary of Status of Company's Stock Option Plans and Changes (Detail) - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Balances at beginning of period, Number of Shares	3,628,000	2,305,000
Number of Shares Options Granted	1,151,500	1,573,000
Number of Shares Options Exercised	0	0
Number of Shares Options Cancelled	(223,333)	(250,000)
Number of Shares Options Forfeited	(293,001)
Balances at End of period, Number of shares	4,263,166	3,628,000
Number of Shares Options vested and exercisable	1,915,827
Weighted Average Exercise Price Outstanding Beginning of period	$ 3.64	$ 3.96
Weighted Average Exercise Price Options Granted	1.18	3.22
Weighted Average Exercise Price Options Exercised	0	0
Weighted Average Exercise Price Options Cancelled	3.98	3.98
Weighted Average Exercise Price Options Forfeited	2.95
Weighted Average Exercise Price Outstanding end of period	3.01	$ 3.64
Weighted Average Exercise Price Options vested and exercisable	$ 3.58

STOCK-BASED COMPENSATION - Stoc

STOCK-BASED COMPENSATION - Stock Option Awards Outstanding and Exercisable (Detail)	12 Months Ended
	Dec. 31, 2015$ / sharesshares
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Options Outstanding | shares	4,263,166
Options Outstanding, Weighted Average Remaining Contractual Life	8 years 22 days
Options Outstanding, Weighted Average Exercise Price Per Share	$ 3.01
Options Exercisable | shares	1,915,827
Options Exercisable, Weighted Average Exercise Price Per Share	$ 3.58
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	7 years 3 months 11 days
Range of Exercise Prices $0.00 - 0.50
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Minimum	$ 0
Range of Exercise Prices, Maximum	$ 0.50
Options Outstanding | shares	325,000
Options Outstanding, Weighted Average Remaining Contractual Life	9 years 9 months 22 days
Options Outstanding, Weighted Average Exercise Price Per Share	$ 0.30
Options Exercisable | shares	49,998
Options Exercisable, Weighted Average Exercise Price Per Share	$ 0.37
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	9 years 9 months
Range of Exercise Prices $0.51 - 1.00
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Minimum	$ 0.51
Range of Exercise Prices, Maximum	$ 1
Options Outstanding | shares	3,500
Options Outstanding, Weighted Average Remaining Contractual Life	9 years 7 months 10 days
Options Outstanding, Weighted Average Exercise Price Per Share	$ 0.63
Options Exercisable | shares	0
Options Exercisable, Weighted Average Exercise Price Per Share	$ 0
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	0 years
Range of Exercise Prices $1.01 - 1.50
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Minimum	$ 1.01
Range of Exercise Prices, Maximum	$ 1.50
Options Outstanding | shares	718,000
Options Outstanding, Weighted Average Remaining Contractual Life	9 years 3 months 29 days
Options Outstanding, Weighted Average Exercise Price Per Share	$ 1.39
Options Exercisable | shares	27,500
Options Exercisable, Weighted Average Exercise Price Per Share	$ 1.40
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	9 years 4 months 17 days
Range of Exercise Prices $1.51 - 2.00
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Minimum	$ 1.51
Range of Exercise Prices, Maximum	$ 2
Options Outstanding | shares	25,000
Options Outstanding, Weighted Average Remaining Contractual Life	2 years
Options Outstanding, Weighted Average Exercise Price Per Share	$ 2
Options Exercisable | shares	25,000
Options Exercisable, Weighted Average Exercise Price Per Share	$ 2
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	2 years
Range of Exercise Prices $2.01 - 2.50
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Minimum	$ 2.01
Range of Exercise Prices, Maximum	$ 2.50
Options Outstanding | shares	162,500
Options Outstanding, Weighted Average Remaining Contractual Life	8 years 11 months 23 days
Options Outstanding, Weighted Average Exercise Price Per Share	$ 2.20
Options Exercisable | shares	30,833
Options Exercisable, Weighted Average Exercise Price Per Share	$ 2.20
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	8 years 11 months 23 days
Range of Exercise Prices $2.51 - 3.00
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Minimum	$ 2.51
Range of Exercise Prices, Maximum	$ 3
Options Outstanding | shares	67,500
Options Outstanding, Weighted Average Remaining Contractual Life	8 years 8 months 12 days
Options Outstanding, Weighted Average Exercise Price Per Share	$ 2.62
Options Exercisable | shares	57,500
Options Exercisable, Weighted Average Exercise Price Per Share	$ 2.64
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	8 years 8 months 16 days
Range of Exercise Prices $3.01 - 3.50
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Minimum	$ 3.01
Range of Exercise Prices, Maximum	$ 3.50
Options Outstanding | shares	740,000
Options Outstanding, Weighted Average Remaining Contractual Life	6 years 4 months 6 days
Options Outstanding, Weighted Average Exercise Price Per Share	$ 3.18
Options Exercisable | shares	428,333
Options Exercisable, Weighted Average Exercise Price Per Share	$ 3.18
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	5 years
Range of Exercise Prices $3.51 - 4.00
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Minimum	$ 3.51
Range of Exercise Prices, Maximum	$ 4
Options Outstanding | shares	595,000
Options Outstanding, Weighted Average Remaining Contractual Life	8 years 2 months 1 day
Options Outstanding, Weighted Average Exercise Price Per Share	$ 3.66
Options Exercisable | shares	209,999
Options Exercisable, Weighted Average Exercise Price Per Share	$ 3.67
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	8 years 2 months 1 day
Range of Exercise Prices $4.01 - 4.50
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, Minimum	$ 4.01
Range of Exercise Prices, Maximum	$ 4.50
Options Outstanding | shares	1,626,666
Options Outstanding, Weighted Average Remaining Contractual Life	7 years 10 months 6 days
Options Outstanding, Weighted Average Exercise Price Per Share	$ 4.05
Options Exercisable | shares	1,086,664
Options Exercisable, Weighted Average Exercise Price Per Share	$ 4.05
Options Exercisable, Weighted Average Remaining Contractual Life (in Years)	7 years 10 months 2 days

STOCK-BASED COMPENSATION - Su47

STOCK-BASED COMPENSATION - Summary of Other Selected Information (Detail) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate intrinsic value of outstanding options	$ 0	$ 0
Weighted average fair value per share of options granted	$ 0.63	$ 1.56

STOCK-BASED COMPENSATION - Weig

STOCK-BASED COMPENSATION - Weighted Average Assumptions Used to Calculate the Fair Value of Stock Option Awards (Detail)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Dividend Yield	0.00%	0.00%
Expected Life in Years	6 years 3 months 18 days	6 years
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk Free Interest Rate	0.79%	1.64%
Expected Volatility	64.10%	55.60%
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk Free Interest Rate	2.19%	2.75%
Expected Volatility	87.50%	74.10%

STOCK-BASED COMPENSATION - Addi

STOCK-BASED COMPENSATION - Additional Information (Detail) $ in Thousands	12 Months Ended
	Dec. 31, 2015USD ($)shares
Stock Based Compensation [Line Items]
Stock-based compensation expense unvested stock options | $	$ 2,100
Share Based Compensation Arrangement By Share Based Payment Award Plan Modification Description And Terms Under Incentive Plan	The Compensation Committee had the authority to determine the amount, type and terms of each award, but may not grant awards under the Incentive Plans, in any combination, for more than 1,000,000 shares of the Companys common stock to any individual during any calendar year.
Shares Of Common Stock Eligible To Be Issued Under Incentive Plan | shares	1,344,176
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | shares	885,831
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $	$ 1,970
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable, Weighted Average Remaining Contractual Term	7 years 3 months 18 days
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	1 year 2 months 12 days

INCOME TAXES - Significant comp

INCOME TAXES - Significant components of Company's net deferred tax assets and liability (Detail) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Deferred Tax Asset
Net-operating loss carryforward	$ 11,429	$ 8,001
Stock-based compensation	1,795	909
Others	(52)	107
Total Deferred Tax Assets	13,172	9,017
Valuation Allowance	(13,172)	(9,017)
Deferred Tax Asset, Net of Allowance	$ 0	$ 0

INCOME TAXES - Expected Tax Exp

INCOME TAXES - Expected Tax Expense (Benefit) Based on U.S. Federal Statutory Rate (Detail)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Statutory Federal Income Tax Rate	(34.00%)	(34.00%)
State Taxes, Net of Federal Tax Benefit	(5.90%)	(5.00%)
Change in Valuation Allowance	39.90%	39.30%
Change in State Rate	(2.20%)	0.00%
Others	2.20%	(0.30%)
Income Tax Provision (Benefit)	0.00%	0.00%

INCOME TAXES - Expected Tax E52

INCOME TAXES - Expected Tax Expense (Benefit) Based on U.S. Federal Statutory Rate (Detail 1) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Federal
Current	$ 0	$ 0
Deferred	3,023	7,871
State
Current	0	0
Deferred	1,132	1,146
Change in Valuation Allowance	(4,155)	(9,017)
Income Tax Provision (Benefit)	$ 0	$ 0

INCOME TAXES - Additional Infor

INCOME TAXES - Additional Information (Details) $ in Millions	12 Months Ended
	Dec. 31, 2015USD ($)
Operating Loss Carry forward Expiration Year	2,033
Operating Loss Carryforwards	$ 28.6

SOFTWARE AGREEMENT - Additional

SOFTWARE AGREEMENT - Additional Information (Detail) $ in Thousands	12 Months Ended
	Dec. 31, 2015USD ($)
Software Agreement [Line Items]
Agreement One Time Fee	$ 200
Semi Annual Fee	350
Semi Annual Fee One	500
Semi Annual Fee Two	650
Semi Annual Net Revenue Amount	$ 15,000
Semi Annual Rate	20.00%
Maximum
Software Agreement [Line Items]
Agreement Renewal Cost	$ 1,100
Minimum
Software Agreement [Line Items]
Agreement Renewal Cost	800
January one
Software Agreement [Line Items]
Semi Annual Fee	800
July one
Software Agreement [Line Items]
Semi Annual Fee	$ 800

CUSTOM INNOVATION CONSULTING 55

CUSTOM INNOVATION CONSULTING - RELATED PARTY (Detail) $ in Thousands	Dec. 31, 2015USD ($)
Costs In Excess Of Billings And Billings In Excess Of Costs [Line Items]
Costs incurred on uncompleted contracts	$ 388
Estimated earnings	51
Revenue recognized	439
Less billings to date	(1,500)
Billings in excess of cost	$ 1,061

CUSTOM INNOVATION CONSULTING 56

CUSTOM INNOVATION CONSULTING - RELATED PARTY - Additional Information (Detail) $ in Millions	12 Months Ended
	Dec. 31, 2015USD ($)
Costs In Excess Of Billings And Billings In Excess Of Costs [Line Items]
Initial Payment Paid For Engagement Agreement	$ 1.5