Allot (ALLT) 20-F 19 Mar 19 2018 FY Annual report (foreign) Financial data

Document and Entity Information

Document and Entity Information	12 Months Ended
	Dec. 31, 2018shares
Document and Entity Information [Abstract]
Document Type	20-F
Amendment Flag	false
Document Period End Date	Dec. 31, 2018
Entity Registrant Name	Allot Ltd.
Entity Central Index Key	0001365767
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2018
Entity Filer Category	Accelerated Filer
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Voluntary Filers	No
Entity Common Stock, Shares Outstanding	33,896,261
Entity Current Reporting Status	Yes
Entity Well-known Seasoned Issuer	No

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
CURRENT ASSETS:
Cash and cash equivalents	$ 16,336	$ 15,342
Restricted deposit	465	428
Short-term bank deposits	22,543	31,043
Available-for-sale marketable securities	64,290	63,194
Trade receivables (net of allowance for doubtful accounts of $ 1,415 and $ 1,292 at December 31, 2018 and 2017, respectively)	26,093	22,737
Other receivables and prepaid expenses	3,647	2,649
Inventories	11,345	7,897
Total current assets	144,719	143,290
NON-CURRENT ASSETS:
Restricted deposit	257
Severance pay fund	345	302
Deferred taxes	281	301
Other assets	600	1,135
Total non-current assets	1,483	1,738
PROPERTY AND EQUIPMENT, NET	6,249	5,002
INTANGIBLE ASSETS, NET	4,961	2,933
GOODWILL	32,432	31,562
Total assets	189,844	184,525
CURRENT LIABILITIES:
Trade payables	7,813	5,857
Employees and payroll accruals	7,357	8,535
Deferred revenues	13,855	11,370
Other payables and accrued expenses	13,695	5,742
Total current liabilities	42,720	31,504
LONG-TERM LIABILITIES:
Deferred revenues	4,247	3,878
Accrued severance pay	806	747
Other long-term liability	6,168	5,267
Total long-term liabilities	11,221	9,892
COMMITMENTS AND CONTINGENT LIABILITIES
SHAREHOLDERS' EQUITY:
Share capital - Ordinary shares of NIS 0.1 par value - Authorized: 200,000,000 shares at December 31, 2018 and 2017; Issued: 34,712,261 and 34,299,262 shares at December 31, 2018 and 2017, respectively; Outstanding: 33,896,261 and 33,483,262 shares at December 31, 2018 and 2017, respectively	853	851
Additional paid-in capital	271,765	268,487
Treasury stock at cost - 816,000 shares at December 31, 2018 and 2017.	(3,998)	(3,998)
Accumulated other comprehensive income (loss)	(767)	36
Accumulated deficit	(131,950)	(122,247)
Total shareholders' equity	135,903	143,129
Total liabilities and shareholders' equity	$ 189,844	$ 184,525

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) $ in Thousands	Dec. 31, 2018USD ($)shares	Dec. 31, 2017USD ($)shares
Statement of Financial Position [Abstract]
Allowance for doubtful accounts | $	$ 1,415	$ 1,292
Ordinary shares, shares authorized	200,000,000	200,000,000
Ordinary shares, shares issued	34,712,261	34,299,262
Ordinary shares, shares outstanding	33,896,261	33,483,262
Treasury stock, shares	816,000	816,000

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Revenues:
Total revenues	$ 95,837	$ 81,992	$ 90,369
Cost of revenues:
Total cost of revenues	29,349	28,530	27,895
Gross profit	66,488	53,462	62,474
Operating expenses:
Research and development (net of grant participations of $ 374, $ 392 and $ 606 for the years ended December 31, 2018, 2017 and 2016, respectively)	25,418	21,852	24,221
Sales and marketing	40,849	38,316	35,290
General and administrative	10,416	10,696	9,812
Total operating expenses	76,683	70,864	69,323
Operating loss	(10,195)	(17,402)	(6,849)
Financial income, net	2,208	894	1,059
Loss before income tax expense	(7,987)	(16,508)	(5,790)
Income tax expense	2,428	1,564	2,204
Net loss	(10,415)	(18,072)	(7,994)
Unrealized gain (loss) on available-for-sale marketable securities	(226)	(35)	337
Unrealized gain (loss) on foreign currency cash flow hedges transactions	(577)	220	(16)
Total comprehensive loss	$ (11,218)	$ (17,887)	$ (7,673)
Net loss per share:
Basic and diluted	$ (0.31)	$ (0.54)	$ (0.24)
Weighted average number of shares used in per share computations of net loss:
Basic and diluted	33,710,507	33,253,158	33,202,309
Product [Member]
Revenues:
Total revenues	$ 56,169	$ 48,727	$ 54,432
Cost of revenues:
Total cost of revenues	20,061	19,258	20,401
Service [Member]
Revenues:
Total revenues	39,668	33,265	35,937
Cost of revenues:
Total cost of revenues	$ 9,288	$ 9,272	$ 7,494

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Statement [Abstract]
Grants participations excluded from research and development costs	$ 374	$ 392	$ 606

STATEMENTS OF CHANGES IN SHAREH

STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Ordinary shares [Member]	Additional paid-in capital [Member]	Treasury Stock [Member]	Accumulated other comprehensive income (loss) [Member]	Accumulated deficit [Member]	Total
Balance at Dec. 31, 2015	$ 837	$ 259,385	$ (166)	$ (470)	$ (96,181)	$ 163,405
Balance, shares at Dec. 31, 2015	33,558,102
Exercise of stock options	$ 6	236				$ 242
Exercise of stock options, shares	290,617					138,157
Treasury stock acquired, net			(3,832)			$ (3,832)
Treasury stock acquired, net, shares	(791,000)					(791,000)
Stock-based compensation		5,161				$ 5,161
Other comprehensive income				321		321
Net loss					(7,994)	(7,994)
Balance at Dec. 31, 2016	$ 843	264,782	(3,998)	(149)	(104,175)	157,303
Balance, shares at Dec. 31, 2016	33,057,719
Exercise of stock options	$ 8	354				$ 362
Exercise of stock options, shares	425,543					99,517
Stock-based compensation		3,351				$ 3,351
Other comprehensive income				185		185
Net loss					(18,072)	(18,072)
Balance at Dec. 31, 2017	$ 851	268,487	(3,998)	36	(122,247)	$ 143,129
Balance, shares at Dec. 31, 2017	33,483,262					33,483,262
Cumulative effect of new accounting standard (See Note 1)					712	$ 712
Exercise of stock options	$ 2	416				$ 416
Exercise of stock options, shares	412,999					100,737
Stock-based compensation		2,862				$ 2,862
Other comprehensive income				(803)		(803)
Net loss					(10,415)	(10,415)
Balance at Dec. 31, 2018	$ 853	$ 271,765	$ (3,998)	$ (767)	$ (131,950)	$ 135,903
Balance, shares at Dec. 31, 2018	33,896,261					33,896,261

STATEMENTS OF CHANGES IN SHAR_2

STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accumulated other comprehensive loss:
Accumulated unrealized loss on available-for-sale marketable securities	$ (349)	$ (123)	$ (88)
Accumulated unrealized loss on foreign currency cash flows hedge transactions gain (loss)	(418)	159	(61)
Accumulated other comprehensive gain (loss)	(767)	36	(149)
Issuance costs for issuance of shares capital related to secondary offering			$ 5

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Cash flows from operating activities:
Net loss	$ (10,415)	$ (18,072)	$ (7,994)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization	3,834	3,668	4,043
Stock-based compensation	2,862	3,366	5,141
Capital loss	39	27	24
Increase (decrease) in accrued severance pay, net	16	105	(29)
Decrease in other assets	535	1	1,576
Decrease in accrued interest and amortization of premium on marketable securities	804	913	1,238
Decrease (increase) in trade receivables	(3,356)	1,421	(284)
Decrease (increase) in other receivables and prepaid expenses	(1,101)	1,350	699
Decrease (increase) in inventories	(3,448)	(662)	2,934
Decrease (increase) in long-term deferred taxes, net	20	(34)	234
Increase (decrease) in trade payables	1,945	2,582	(3,832)
Increase (decrease) in employees and payroll accruals	(1,178)	1,140	(811)
Increase (decrease) in deferred revenues	3,566	518	(4,248)
Increase (decrease) in other payables and accrued expenses	6,906	3,449	(2,155)
Net cash provided by (used in) operating activities	1,029	(228)	(3,464)
Cash flows from investing activities:
Redemption of (Investment in) restricted deposits	(294)	(428)	203
Redemption of (Investment in) short-term deposits	8,500	(1,222)	12,879
Purchase of property and equipment	(3,485)	(2,833)	(1,582)
Investment in available-for sale marketable securities	(34,777)	(30,123)	(29,695)
Proceeds from redemption or sale of marketable securities	32,651	26,488	33,208
Proceeds from sale of property and equipment			26
Acquisition of Netonomy, net of cash (see schedule A below)	(3,048)
Net cash provided (used in) by investing activities	(453)	(8,118)	15,039
Cash flows from financing activities:
Proceeds from exercise of stock options	418	362	113
Purchase of treasury stock, net			(3,832)
Net cash provided by (used in) financing activities	418	362	(3,719)
Increase (decrease) in cash and cash equivalents	994	(7,984)	7,856
Cash and cash equivalents at the beginning of the year	15,342	23,326	15,470
Cash and cash equivalents at the end of the year	16,336	15,342	23,326
Cash paid (received) during the year for:
Taxes	347	342	175
Estimated net fair value of assets acquired and liabilities assumed at the date of acquisition was as follows:
Working capital, net (excluding cash and cash equivalents)	(153)
Equipment and other assets	4
Intangible assets	3,659
Goodwill	870
Total consideration	4,380
Non cash consideration	(1,332)
Payment for acquisition, net of cash	$ 3,048

GENERAL

GENERAL	12 Months Ended
	Dec. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
GENERAL	NOTE 1:- GENERAL a. Allot Ltd. (the "Company") was incorporated in November 1996 under the laws of the State of Israel. The Company is engaged in developing, selling and marketing network intelligence and security solutions for mobile, fixed and cloud service providers, as well as enterprises, and helping them enhance value to their customers. The Company’s flexible and highly scalable hardware platforms and software applications are deployed globally for network and application analytics, traffic control and shaping, network-based security including mobile security, DDoS protection, IoT security and more. The Company's main platforms include Allot Service Gateway service delivery platform and Allot Secure. Allot SG enables network operators to learn about users and network behaviors to improve quality of service and reduce costs; and Allot Secure enables customers to detect security breaches and protect networks and network users from attacks. These platforms and the solutions they provide empower service providers and enterprises to get more out of their networks, to secure and to manage them better, to clearly see and understand their networks from within, and to innovate, optimize, and capitalize on every opportunity, all the while deploying new services faster and constantly increasing value to their customers. The Company's Ordinary Shares are listed in the NASDAQ Global Select Market under the symbol "ALLT" from its initial public offering in November 2006. Since November, 2010, the Company's Ordinary Shares have been listed for trading in the Tel Aviv Stock Exchange as well. The Company holds fourteen wholly-owned subsidiaries (the Company together with said subsidiaries shall collectively be referred to as "Allot"): Allot Communications, Inc. in Burlington, Massachusetts, United-States (the "U.S. subsidiary"), which was incorporated in 1997 under the laws of the State of California, Allot Communication Europe SARL in Sophia, France (the "European subsidiary"), which was incorporated in 1998 under the laws of France, Allot Communications Japan K.K. in Tokyo, Japan (the "Japanese subsidiary"), which was incorporated in 2004 under the laws of Japan, Allot Communication (UK) Limited (the "UK subsidiary"), which was incorporated in 2006 under the laws of England and Wales, Allot Communications (Asia Pacific) Pte. Ltd. ("the Singaporean subsidiary"), which was incorporated in 2006 under the laws of Singapore, Allot Communications (New Zealand) Limited. (the "NZ subsidiary"), which was incorporated in 2007 under the laws of New Zealand, Allot India Private Limited. (the "Indian subsidiary”), which was incorporated in 2012 under the laws of India and commenced its activity in 2013, Allot Communications Africa (PTY) Ltd. (the "African subsidiary”), which was incorporated in 2013 under the laws of South Africa, Allot Communications (Hong Kong) Limited (the "HK subsidiary”), which was incorporated in 2013 under the laws of Hong-Kong, Allot Communications Spain, S.L. Sociedad Unipersonal (the "Spanish subsidiary”), which was incorporated in 2015 under the laws of Spain, Allot Communications (Colombia) S.A.S (the "Colombian subsidiary”), which was incorporated in 2015 under the laws of Colombia and Allot MexSub (the "Mexican subsidiary"), which was incorporated in 2015 under the laws of Mexico, Allot Turkey Komunikasion Hizmeleri limited (the “Turkish subsidiary”), which was incorporated in 2018 under laws of Turkey, Allot Australia (PTY) LTD (the “Australian subsidiary”), which was incorporated in 2018 under the laws of Australia. The U.S., Spanish, Colombian and Indian subsidiaries are engaged in the sale, marketing and technical support services of the Company's products in the Americas, Colombia and India, respectively. The European (excluding Spanish), Japanese, NZ, UK, Singaporean, HK, African, Turkish and Australian subsidiaries are engaged in marketing and technical support services of the Company's products in Europe, Japan, Oceania, UK, Asia and Africa, respectively. The Spanish and Mexican subsidiaries commenced operations in 2015 and are engaged in the marketing, technical support and development activities of one of the Company's product lines. b. Acquisition: On January 14, 2018 (the "Netonomy acquisition date"), the Company entered into a purchase agreement with the shareholders of Netonomy LTD ("Netonomy"), a developer of software-based cyber security solution for the connected home. The total consideration for the acquisition was $ 4,380, which consisted of $ 3,180 paid in cash, holdback amount summing to $ 1,100 and an additional contingent consideration at fair value of $ 1,041 at the Netonomy acquisition date. As of December 31, 2018, the contingent consideration is estimated at fair value of $ 1,056. The change in fair value of the contingent consideration was recorded to operating expenses. The holdback amount (“Holdback Amount”) summing to $ 1,100 would be held to partially satisfy any claims for indemnification. Such amount shall be paid in three installments consisting each one 40%, 40% and 20% of the Holdback amount following the first, second and 30-months anniversaries of the Closing Date, respectively. Notwithstanding the aforementioned, a sum of $ 797 thousand out of the Holdback Amount shall be paid provided that certain employees keep working in the Company during the here mentioned periods (“the Restricted Holdback Amount”). The contingent consideration is payable over a two-and-a-half-year term, starting April 1, 2018 The acquisition was accounted for using the purchase method of accounting in accordance with ASC No. 805, “Business Combinations” ("ASC No. 805"). Accordingly, the purchase price was allocated according to the estimated fair values of the assets acquired and liabilities assumed and the excess of the purchase price over the net tangible and identified intangible assets was assigned to goodwill. The fair value of intangible assets was determined by management with the assistance of a third-party valuation. On July 2018, the merger of Netonomy with the Company was approved by the Israeli tax authorities with Allot as the receiving company and Netonomy as the transferring company and March 31, The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the acquisition date: Fair value Non-current assets $ 4 Account Payable (11 ) Other Payables (142 ) IPR&D 3,659 Goodwill 870 Net assets acquired $ 4,380 The acquired assets are net of cash balance of $ 132. IPR&D is related to new technology that is still under development. Netonomy’s solution provides a simple, reliable and secure network for connected homes through a minimal footprint agent installed on the home router, which provides visibility into the network and blocks external and internal attacks. Acquisition costs in a total amount of $49 were recorded to operating expenses. Unaudited pro forma condensed results of operations: Pro forma results of operations related to this acquisition have not been prepared because they are not material to the Company’s consolidated statements of income.

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
SIGNIFICANT ACCOUNTING POLICIES	NOTE 2:- SIGNIFICANT ACCOUNTING POLICIES The consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP"). a. Use of estimates: The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions. The Company's management believes that the estimates, judgments and assumptions used are reasonable based upon information available at the time they are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. b. Financial statements in U.S. dollars: The majority of the revenues of the Company and its subsidiaries are generated in U.S. dollars ("dollar") or linked to the dollar. In addition, a major portion of the Company's and certain of its subsidiaries' costs are incurred or determined in dollars. The Company's management believes that the dollar is the currency of the primary economic environment in which the Company and its subsidiaries operate. Thus, the functional and reporting currency of the Company and its subsidiaries is the dollar. Accordingly, monetary accounts maintained in currencies other than the dollar are remeasured into U.S. dollars in accordance with Accounting Standards Codification No. 830, "Foreign Currency Matters" ("ASC No. 830"). All transactions gains and losses from the remeasurement of monetary balance sheet items are reflected in the statements of operations as financial income or expenses as appropriate. c. Principles of consolidation: The consolidated financial statements include the accounts of the Company and its subsidiaries. Intercompany balances and transactions have been eliminated upon consolidation. d. Cash and cash equivalents: The Company considers all unrestricted highly liquid investments which are readily convertible into cash, with maturity of three months or less at the date of acquisition, to be cash equivalents. e. Restricted deposits: The restricted deposits are held in favor of financial institutions in respect of fulfillments of forward contract and operating obligations. f. Short-term bank deposits: Short-term bank deposits are deposits with maturities of more than three months but less than one year at the balance sheet date. The deposits are in dollars and bear interest at annual weighted average rate of 2.82% and 1.63% at December 31, 2018 and 2017, respectively. In connection with the Company's hedging transactions, the Company is required to maintain compensating deposits balances in the bank. Out of the short-term bank deposits, a total of $2,500 and $2,581 are due to the hedging transactions as of December 31, 2018 and 2017, respectively. g. Marketable securities: The Company accounts for investments in marketable securities in accordance with ASC 320, "Investments - Debt and Equity Securities". Management determines the appropriate classification of its investments in debt securities at the time of purchase and re-evaluates such determinations at each balance sheet date. Marketable securities classified as "available-for-sale" are carried at fair value, based on quoted market prices. Unrealized gains and losses are reported in a separate component of shareholders' equity in accumulated other comprehensive income (loss). Gains and losses are recognized when realized, on a specific identification basis, in the Company's consolidated statements of comprehensive loss. The Company's securities are reviewed for impairment in accordance with ASC 320-10-35. If such assets are considered to be impaired, the impairment charge is recognized in earnings when a decline in the fair value of its investments below the cost basis is judged to be Other-Than-Temporary Impairment (OTTI). Factors considered in making such a determination include the duration and severity of the impairment, the reason for the decline in value, the potential recovery period and the Company's intent to sell, including whether it is more likely than not that the Company will be required to sell the investment before recovery of cost basis. Based on the above factors, the Company concluded that unrealized losses on its available-for-sale securities, for the years ended 2018, 2017 and 2016, were not OTTI. h. Inventories: Inventories are stated at the lower of cost or net realizable value. Inventory write-offs are provided to cover risks arising primarily from end of life products and from slow-moving items, technological obsolescence, and excess inventory. Inventory write-offs during the years ended December 31, 2018, 2017 and 2016 amounted to $ 2,231, $ 1,260 and $ 1,004, respectively, and were recorded in cost of revenues. Inventory write-off provision as of December 31, 2018 and 2017 amounted to $ 2,818 and $ 2,756, respectively. Cost is determined using the weighted average cost method. i. Property and equipment, net: Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated by the straight-line method over the estimated useful lives of the assets at the following annual rates: % Lab equipment 16 - 25 Computers and peripheral equipment 33 Office furniture 6 Leasehold improvements Over the shorter of the term of the lease or the useful life of the asset j. Goodwill impairment: Goodwill represents the excess of the purchase price over the fair value of net assets of purchased businesses. Under Accounting Standards Codification No. 350, "Intangibles-Goodwill and Other" ("ASC No. 350"), goodwill is not amortized, but rather subject to an annual impairment test, or more often if there are indicators of impairment present. In accordance with ASC No. 350 the Company performs an annual impairment test at December 31 each year. ASC 350 allows an entity to first assess qualitative factors to determine whether it is necessary to perform the two-step quantitative goodwill impairment test. If the qualitative assessment does not result in a more likely than not indication of impairment, no further impairment testing is required. If it does result in a more likely than not indication of impairment, the two-step impairment test is performed. Alternatively, ASC 350 permits an entity to bypass the qualitative assessment for any reporting unit and proceed directly to performing the first step of the goodwill impairment test. The first step, identifying a potential impairment, compares the fair value of the reporting unit with its carrying amount. If the carrying amount exceeds its fair value, the second step would need to be performed; otherwise, no further step is required. The second step, measuring the impairment loss, compares the implied fair value of the goodwill with the carrying amount of the goodwill. Any excess of the goodwill carrying amount over the applied fair value is recognized as an impairment loss, and the carrying value of goodwill is written down to fair value. The Company operates in one operating segment, and this segment comprises its only reporting unit. The Company has performed an annual impairment analysis as of December 31, 2018 and determined that the carrying value of the reporting unit was less than the fair value of the reporting unit. Fair value is determined using market capitalization. During years 2018, 2017 and 2016, no impairment losses were recorded. k. Impairment of long-lived assets and intangible assets subject to amortization: Property and equipment and intangible assets subject to amortization are reviewed for impairment in accordance with ASC No. 360, "Accounting for the Impairment or Disposal of Long-Lived Assets," whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the assets. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Intangible assets acquired in a business combination are recorded at fair value at the date of acquisition. Following initial recognition, intangible assets are carried at cost less any accumulated amortization and any accumulated impairment losses. The useful lives of intangible assets are assessed to be either finite or indefinite. Intangible assets that are not considered to have an indefinite useful life are amortized over their estimated useful lives. Some of the acquired intangible assets are amortized over their estimated useful lives in proportion to the economic benefits realized. This accounting policy results in accelerated amortization of such customer relationships as compared to the straight-line method. All other intangible assets are amortized over their estimated useful lives on a straight-line basis. During the years ended December 31, 2018, 2017 and 2016, no impairment losses were recorded. l. Revenue recognition: The Company generates revenues mainly from selling its products along with related maintenance and support services. At times, these arrangements may also include professional services, such as installation services or training. The Company generally sells its products through resellers, distributors, OEMs and system integrators, all of whom are considered end-users. The Company adopted accounting standards codification 606, "Revenue from Contracts with Customers" ("ASC 606"), effective on January 1, 2018. The Company recognizes revenue under the core principle that transfer of control to the Company’s customers should be depicted in an amount reflecting the consideration the Company expects to receive . As such, the Company identifies a contract with a customer, identifies the performance obligations in the contract, determines the transaction price, allocates the transaction price to each performance obligation in the contract and recognizes revenues when (or as) the Company satisfies a performance obligation. The Company enters into contracts that can include combinations of products and services, that are capable of being distinct and accounted for as separate performance obligations. The products are distinct as the customer can derive the economic benefit of it without any professional services, updates or technical support. The Company allocates the transaction price to each performance obligation based on its relative standalone selling price out of the total consideration of the contract. For support, the Company determines the standalone selling prices based on the price at which the Company separately sells a renewal contract on a stand-alone basis. For professional services, the Company determines the standalone selling prices based on the price at which the Company separately sells those services on a stand-alone basis. Maintenance and support related revenues are deferred and recognized on a straight-line basis over the term of the applicable maintenance and support agreement. Other services are recognized upon the completion of installation or when the service is provided. Deferred revenue includes amounts received from customers for which revenue has not yet been recognized. Deferred revenues are classified as short and long-term based on their contractual term and recognized as revenues at the time the respective elements are provided. Transaction price allocated to remaining performance obligations represents non-cancelable contracts that have not yet been recognized that include deferred revenue and amounts not yet received that will be recognized as revenue in future periods. The aggregate amount of the transaction price allocated to remaining performance obligations that the Company expects to recognize after the year ending December 31, 2019 is approximately $5,279. The Company pays sales commissions to sales and marketing personnel based on their certain predetermined sales goals. Sales commissions earned by its employees are capitalized and amortized in over the revenue recognition period. Amortization expenses related to these costs are included in sales and marketing expenses in the consolidated statements of operations. For the year ended December 31, 2018, the amortization of deferred commission was $1,462. The Company estimated variable consideration related to product returns based on its experience with historical product returns and other known factors. Such provisions amounted to $191 and $686 as of December 31, 2018 and 2017, respectively. Following the adoption of ASC 606, As of December 31, 2018, this provision was recorded as part of other payables and accrued expenses. As of December 31, 2018, following the adoption of ASC 606, the Company recognizes for term-based license agreements at the point in time when control transfers and the associated maintenance revenues over the contract period. Adoption of the standard have resulted in a reduction of deferred revenues of $712 that was recorded in accumulated deficit due to upfront recognition of license revenues from term licenses. The cumulative effect of the changes made to the consolidated balance sheet as of January 1, 2018 for the adoption of Topic 606-10 was as follows: December 31, 2017 Adjustments January 1, 2018 (in thousands) Deferred revenue, short term 11,370 (311 ) 11,059 Deferred revenue, long term 3,878 (75 ) 3,803 Trade receivables 22,737 326 23,063 Accumulated deficit 122,247 (712 ) 121,535 In accordance with Topic 606-10, the disclosure of the impact of adoption on the consolidated balance sheet as of December 31, 2018 was as follows: Amounts under Topic 605 Impact of Adoption As Reported (in thousands) Consolidated Balance Sheet Deferred revenue, short term 14,152 (297 ) 13,855 Deferred revenue, long term 4,264 (17 ) 4,247 Trade receivables 25,603 490 26,093 Accumulated deficit 132,754 (804 ) 131,950 In addition, following the adoption of ASC 606, the company’s consolidated statement of operations for the year ended December 31, 2018, included an increase of revenue in the amount of $ 92 thousands, net, compared to the accounting treatment under ASC 605. m. Advertising expenses: Advertising expenses are charged to the statement of comprehensive loss, as incurred. Advertising expenses for the years ended December 31, 2018, 2017 and 2016 amounted to $ 1,270, $ 1,236 and $ 1,081, respectively. n. Research and development costs: Accounting Standards Codification No. 985-20, requires capitalization of certain software development costs subsequent to the establishment of technological feasibility. Based on the Company's product development process, technological feasibility is established upon the completion of a working model. The Company does not incur material costs between the completion of a working model and the point at which the products are ready for general release. Therefore, research and development costs are charged to the consolidated statement of comprehensive loss as incurred. o. Severance pay: The liability in Israel for substantially all of the Company`s employees in respect of severance pay liability is calculated in accordance with Section 14 of the Severance Pay Law -1963 (herein- "Section 14"). Section 14 states that Company's contributions for severance pay shall be in line of severance compensation and upon release of the policy to the employee, no additional obligations shall be conducted between the parties regarding the matter of severance pay and no additional payments shall be made by the Company to the employee. Furthermore, the related obligation and amounts deposited on behalf of such obligation under Section 14, are not stated on the balance sheet, because pursuant to current ruling, they are legally released from obligation to employees once the deposits have been paid. There are a limited number of employees in Israel, for whom the Company is liable for severance pay. The Company's liability for severance pay for its Israeli employees was calculated pursuant to Section 14, based on the most recent monthly salary of its Israeli employees multiplied by the number of years of employment as of the balance sheet date for such employees. The Company's liability was partly provided by monthly deposits with severance pay funds and insurance policies and the remainder by an accrual. Severance expense for the years ended December 31, 2018, 2017 and 2016, amounted to $ 1,950, $ 1,801 and $ 1,976, respectively. p. Accounting for stock-based compensation: The Company accounts for stock-based compensation in accordance with Accounting Standards Codification No. 718, "Compensation - Stock Compensation" ("ASC No. 718") that requires companies to estimate the fair value of equity-based payment awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as an expense over the requisite service periods in the Company's consolidated statement of comprehensive loss. The Company recognizes compensation expenses for the value of its awards based on the straight-line method over the requisite service period of each of the awards, net of estimated forfeitures. The Company accounted for changes in award terms as a modification in accordance with ASC 718. A modification to the terms of an award should be treated as an exchange of the original award for a new award with total compensation cost equal to the grant-date fair value of the original award plus the incremental value measured at the same date. Under ASC 718, the calculation of the incremental value is based on the excess of the fair value of the new (modified) award based on current circumstances over the fair value of the original award measured immediately before its terms are modified based on current circumstances. The Company estimated the forfeiture rate based on historical forfeitures of equity awards and adjusted the rate to reflect changes in facts and circumstances, if any. The Company adopted ASU 2016-09 in the first quarter of fiscal year 2017 and elected to retain its existing accounting policy and estimate expected forfeitures. The adoption of this ASU did not have a material impact on the Company's. The following table sets forth the total stock-based compensation expense resulting from stock options and restricted share units ("RSUs") Year ended December 31, 2018 2017 2016 Cost of revenues $ 316 $ 362 $ 367 Research and development 678 648 1,240 Sales and marketing 928 1,166 1,833 General and administrative 940 1,190 1,701 Total stock-based compensation expense $ 2,862 $ 3,366 $ 5,141 The Company selected the binomial option pricing model as the most appropriate fair value method for its stock-based compensation awards with the following assumptions for the years ended December 31, 2018, 2017 and 2016: Year ended December 31, 2018 2017 2016 Suboptimal exercise multiple 2.9-3.5 2.9-3.5 2.9-3.5 Risk free interest rate 2.09%-3.05% 0.80%-2.20% 0.47%-1.58% Volatility 26%-47% 27%-49% 33%-51% Dividend yield 0% 0% 0% The expected annual post-vesting and pre-vesting forfeiture rates affects the number of exercisable options. Based on the Company's historical experience, the annual pre-vesting and post-vesting are in the range of 0%-33% and 0%-41%, respectively, in the years 2018, 2017 and 2016. The computations of expected volatility and suboptimal exercise multiple is based on the average of the Company's realized historical stock price. The computation of the suboptimal exercise multiple and the forfeiture rates are based on the grantees expected exercise prior and post vesting termination behavior. The interest rate for period within the contractual life of the award is based on the U.S. Treasury Bills yield curve in effect at the time of grant. The Company currently has no plans to distribute dividends and intends to retain future earnings to finance the development of its business. The expected life of the stock options represents the weighted-average period the stock options are expected to remain outstanding and is a derived output of the binomial model. The expected life of the stock options is impacted by all of the underlying assumptions used in the Company's model. q. reasury stock: The Company repurchases its Ordinary shares from time to time on the open market and holds such shares as treasury stock. The Company presents the cost to repurchase treasury stock as a reduction of shareholders' equity. r. Concentration of credit risks: Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, marketable securities, short-term bank deposits, trade receivables and derivative instruments. The majority of cash and cash equivalents and short-term deposits of the Company are invested in dollar deposits in major U.S. and Israeli banks. Such investments in the United States may be in excess of insured limits and are not insured in other jurisdictions. Generally, the cash and cash equivalents and short-term bank deposits may be redeemed upon demand, and therefore, bear minimal risk. Marketable securities include investments in dollar linked corporate and municipal bonds. Marketable securities consist of highly liquid debt instruments with high credit standing. The Company’s investment policy, approved by the Board of Directors, limits the amount the Group may invest in any one type of investment or issuer, thereby reducing credit risk concentrations. Management believes that the portfolio is well diversified and, accordingly, minimal credit risk exists with respect to these marketable debt securities The Company's trade receivables are primarily derived from sales to customers located mainly in EMEA, as well as in APAC, Latin America and the United States. Concentration of credit risk with respect to trade receivables is limited by credit limits, ongoing credit evaluation and account monitoring procedures. The Company performs ongoing credit evaluations of its customers and establishes an allowance for doubtful accounts on a specific basis. Allowance for doubtful accounts amounted to $ 1,415 and $ 1,292 as of December 31, 2018 and 2017, respectively. The Company utilizes foreign currency forward contracts to protect against the risk of overall changes in exchange rates. The derivative instruments hedge a portion of the Company's non-dollar currency exposure. Counterparties to the Company’s derivative instruments are all major financial institutions and its exposure is limited to the amount of any asset resulting from the forward contracts. The Company has no significant off balance sheet concentrations of credit risk. s. Grants from the Israel Innovation Authority: Participation grants from the Israel Innovation Authority (Previously known as the Office of the Chief Scientist) for research and development activity are recognized at the time the Company is entitled to such grants on the basis of the costs incurred and included as a deduction of research and development costs. Research and development non royalty bearing grants recognized amounted to $ 374, $ 392 and $ 606 in 2018, 2017 and 2016, respectively. t. Income taxes: The Company accounts for income taxes in accordance with Accounting Standards Codification No. 740, "Income Taxes" ("ASC No. 740"). ASC No. 740 prescribes the use of the liability method, whereby deferred tax asset and liability account balances are determined based on differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company provides a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value if it is more likely than not that some portion or all of the deferred tax assets will not be realized. The deferred tax assets and liabilities are classified to non-current assets and liabilities, respectively. ASC No. 740 contains a two-step approach to recognizing and measuring a liability for uncertain tax positions. The first step is to evaluate the tax position taken or expected to be taken in a tax return by determining if the weight of available evidence indicates that it is more likely than not that, on an evaluation of the technical merits, the tax position will be sustained on audit, including resolution of any related appeals or litigation processes. The second step is to measure the tax benefit as the largest amount that is more than 50% likely to be realized upon ultimate settlement. u. Basic and diluted net income (loss) per share: Basic net income (loss) per share is computed based on the weighted average number of Ordinary Shares outstanding during each year. Diluted net income (loss) per share is computed based on the weighted average number of Ordinary Shares outstanding during each year, plus dilutive potential Ordinary Shares considered outstanding during the year, in accordance with FASB ASC 260 "Earnings Per Share". For the years ended December 31, 2018, 2017 and 2016, all outstanding options and have been excluded from the calculation of the diluted net loss per share since their effect was anti-dilutive. v. Comprehensive loss: The Company accounts for comprehensive loss in accordance with Accounting Standards Codification No. 220, "Comprehensive Income" ("ASC No. 220"). This statement establishes standards for the reporting and display of comprehensive loss and its components in a full set of general purpose financial statements. Comprehensive loss represents all changes in shareholders' equity during the period except those resulting from investments by, or distributions to shareholders. The Company determined that its items of comprehensive loss relate to unrealized gains and losses on hedging derivative instruments and unrealized gains and losses on available-for-sale marketable securities. The following table shows the components and the effects on net loss of amounts reclassified from accumulated other comprehensive loss as of December 31, 2018: Year ended December 31, 2018 Unrealized losses on marketable securities Unrealized gains (losses) on cash flow hedges Total Balance as of December 31, 2017 $ (123 ) $ 159 $ 36 Changes in other comprehensive income (loss) before reclassifications (216 ) (1,480 ) (1,696 ) Amounts reclassified from accumulated other comprehensive income (loss) to: Cost of revenues - 80 80 Operating expenses - 823 823 Financial income, net (10 ) - (10 ) Net current-period other comprehensive income (loss) (226 ) (577 ) (803 ) Balance as of December 31, 2018 $ (349 ) $ (418 ) $ (767 ) w. Fair value of financial instruments: The Company measures its cash and cash equivalents, marketable securities, derivative instruments, short-term bank deposits, trade receivables, other receivables, trade payables and other payables at fair value. The carrying amounts of short-term bank deposits, trade receivables, other receivables, trade payables and other payables approximate their fair value due to the short-term maturities of such instruments. Fair value is an exit price, representing the amount that would be received if the Company were to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. The Company uses a three-tier value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: Level 1 - Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - Include other inputs that are directly or indirectly observable in the marketplace, other than quoted prices included in Level 1, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets with insufficient volume or infrequent transactions, or other inputs that are observable (model-derived valuations in which significant inputs are observable), or can be derived principally from or corroborated by observable market data; and Level 3 - Unobservable inputs which are supported by little or no market activity. The Company categorized each of its fair value measurements in one of those three levels of hierarchy. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company's earn-out considerations are classified within Level 3. The valuation methodology used by the Company to calculate the fair value consideration is the discounted cash flow using Monte-Carlo simulation method by taking into account, forecast future revenues, expected volatility of 42.5% for Optenet and 20.7% for Netonomy, and weighted average cost of debt of 2%. x. Derivatives and hedging: The Company accounts for derivatives and hedging based on Accounting Standards Codification No. 815, "Derivatives and Hedging" ("ASC No. 815"). The Company accounts for its derivative instruments as either assets or liabilities and carries them at fair value. Derivative instruments that are not designated and qualified as hedging instruments must be adjusted to fair value through earnings. For derivative instruments that hedge the exposure to variability in expected future cash flows that are designated as cash flow hedges, the effective portion of the gain or loss on the derivative instrument is reported as a component of accumulated other comprehensive income (loss) in shareholders' equity and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The ineffective portion of the gain or loss on the derivative instrument is recognized in current earnings. To apply hedge accounting treatment, cash flow hedges must be highly effective in offsetting changes to expected future cash flows on hedged transactions. y. Business combinations: The Company accounts for business combinations in accordance with ASC No. 805. ASC No. 805 requires recognition of assets acquired, liabilities assumed, and any non-controlling interest at the acquisition date, measured at their fair values as of that date. Any excess of the fair value of net assets acquired over the purchase price is recorded as goodwill and any subsequent changes in estimated contingencies are to be recorded in earnings. In addition, changes in valuation allowance related to acquired deferred tax assets and acquired income tax positions are to be recognized in earnings. z. Warranty costs: The Company generally provides three months software and a one-year hardware warranty for all of its products. A provision is recorded for estimated warranty costs at the time revenues are recognized based on the Company's experience. Warranty expenses for the years aa. Recently Issued Accounting Pronouncements: On January 1, 2018, the Company adopted ASC Topic 606-10 using the modified retrospective method and applied the standard to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606-10, while prior period amounts are not adjusted and continue to be reported in accordance with the historic accounting under Topic 605. The Group recognized the cumulative effect of initially adopting Topic 606-10 as an adjustment to the opening balance of retained earnings as of January 1, 2018. The Group has identified and implemented changes to its accounting processes and controls to support the new revenue recognition and disclosure requirements. In connection with adopting Topic 606-10, the Company recorded a cumulative-effect adjustment to retained earnings of $712 on January 1, 2018. This adjustment relates to the way the Company accounts for term-based license agreements. Under ASC 605 the Company recognized both the term license and maintenance revenues ratably over the contract period whereas under the new revenue standard the Company recognizes term license revenues at the point in time when control transfers and the associated maintenance revenues over the contract period. In January 2016, the FASB issued a new standard to amend certain as

AVAILABLE-FOR-SALE MARKETABLE S

AVAILABLE-FOR-SALE MARKETABLE SECURITIES	12 Months Ended
	Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]
AVAILABLE-FOR-SALE MARKETABLE SECURITIES	NOTE 3:- AVAILABLE-FOR-SALE MARKETABLE SECURITIES The following is a summary of available-for-sale marketable securities: December 31, 2018 December 31, 2017 Amortized cost Gross unrealized gain Gross unrealized Fair value Amortized cost Gross unrealized Gross unrealized Fair value Available-for-sale - matures within one year: Governmental debentures $ 1,799 $ - $ (2 ) $ 1,797 $ 573 $ 20 $ (1 ) $ 592 Corporate debentures 37,808 6 (98 ) 37,716 24,619 8 (22 ) 24,605 39,607 6 (100 ) 39,513 25,192 28 (23 ) 25,197 Available-for-sale - matures after one year through three years: Governmental debentures 476 - (4 ) 472 108 - (1 ) 107 Corporate debentures 24,455 4 (253 ) 24,206 37,812 64 (187 ) 37,689 24,931 4 (257 ) 24,678 37,920 64 (188 ) 37,796 Available-for-sale - matures after three years through five years: Governmental debentures - - - - - - - - Corporate debentures 101 - (2 ) 99 205 - (4 ) 201 101 - (2 ) 99 205 - (4 ) 201 $ 64,639 $ 10 $ (359 ) $ 64,290 $ 63,317 $ 92 $ (215 ) $ 63,194 As of December 31, 2018, the company had no investments with a significant unrealized losses for more than 12 months.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	12 Months Ended
	Dec. 31, 2018
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	NOTE 4:- FAIR VALUE MEASUREMENTS In accordance with ASC No. 820, the Company measures its marketable securities and foreign currency derivative instruments at fair value. Cash equivalents and available for sale marketable securities are classified within Level 1 or Level 2. This is because these assets are valued using quoted market prices or alternative pricing sources and models utilizing market observable inputs. The earn-out liability related to the acquisitions of Optenet and Netonomy are classified within Level 3 because these liabilities are based on present value calculations and an external valuation model whose inputs include market interest rates, estimated operational capitalization rates and volatilities. The Company's financial net assets measured at fair value on a recurring basis, including accrued interest components, consisted of the following types of instruments as of December 31, 2018 and 2017, respectively: As of December 31, 2018 Fair value measurements using input type Level 1 Level 2 Level 3 Total Available-for-sale marketable securities $ - $ 64,290 $ - $ 64,290 Foreign currency derivative contracts - (324 ) - (324 ) Earn-out liability - - (6,051 ) (6,051 ) Total financial net assets $ - $ 63,966 $ (6,051 ) $ 57,915 As of December 31, 2017 Fair value measurements using input type Level 1 Level 2 Level 3 Total Available-for-sale marketable securities $ - $ 63,194 $ - $ 63,194 Foreign currency derivative contracts - 18 - 18 Earn-out liability - - (5,267 ) (5,267 ) Total financial net assets $ - $ 63,212 $ (5,267 ) $ 57,945 Fair value measurements using significant unobservable inputs (Level 3): Balance at January 1, 2018 $ 5,267 Earn Out liability - Netonomy 1,041 Earn Out liability adjustments due to exchange rates (224 ) Adjustment due to change in forecast and time value of earn-out consideration (33 ) Balance at December 31, 2018 $ 6,051

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS	12 Months Ended
	Dec. 31, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE INSTRUMENTS	NOTE 5:- DERIVATIVE INSTRUMENTS The Company enters into hedge transactions with a major financial institution, using derivative instruments, primarily forward contracts and options to purchase and sell foreign currencies, in order to reduce the net currency exposure associated with anticipated expenses (primarily salaries and related expenses that are designated as cash flow hedges) in currencies other than U.S. dollar, and forecasted revenues denominated in Euro. The net income (loss) recognized in "Financial income (expense), net" during the years ended December 31, 2018, 2017 and 2016 was $ 1,480, $ (1,801) and $ 286, respectively. The Company currently hedges such future exposures for a maximum period of one year. However, the Company may choose not to hedge certain foreign currency exchange exposures for a variety of reasons, including but not limited to immateriality, accounting considerations and the prohibitive economic cost of hedging particular exposures. There can be no assurance the hedges will offset more than a portion of the financial impact resulting from movements in foreign currency exchange rates. The Company records all derivatives on the consolidated balance sheets at fair value in accordance with ASC No. 820 at Level 2. The effective portion of cash flow hedges are recorded in other comprehensive income (loss) until the hedged item is recognized in earnings. The ineffective portion of cash flow hedges are adjusted to fair value through earnings in financial income (expenses), net. The Company does not enter into derivative transactions for trading purposes. The Company had a net unrealized income (loss) associated with cash flow hedges of $ (418) and $ 159 recorded in other comprehensive loss as of December 31, 2018 and 2017, respectively. As of December 31, 2018 and 2017, the Company had outstanding hedge transactions in the amount of $ 20,816 and $ 14,994, respectively. The fair value of the outstanding foreign exchange contracts recorded by the Company on its consolidated balance sheets as of December 31, 2018 and 2017, as assets and liabilities is as follows: Foreign exchange forward and December 31, options contracts Balance sheet 2018 2017 Fair value of foreign exchange hedge transactions Other receivables and prepaid expenses $ 56 $ 160 Fair value of foreign exchange hedge transactions Other payables and accrued expenses (474 ) (1 ) Total derivatives designated as hedging instruments Other Comprehensive income (loss) $ (418 ) $ 159 Gain or loss on the derivative instruments, which partially offset the foreign currency impact from the underlying exposures, reclassified from other comprehensive loss to operating expenses for the years ended December 31, 2018, 2017 and 2016 were $ 903, $ (796) and $ (242), respectively. Non-designated hedges The Company also uses foreign currency forward contracts to mitigate variability in gains and losses generated from the re-measurement of certain monetary assets and liabilities denominated in foreign currencies. These derivatives do not qualify for special hedge accounting treatment. These derivatives are carried at fair value with changes recorded in financial income, net. Changes in the fair value of these derivatives are largely offset by re-measurement of the underlying assets and liabilities. Cash flows from such derivatives are classified as operating activities. The derivatives have maturities of approximately twelve months. As of December 31, 2018 and 2017, the Company’s transactions were $ 16,023 and $ 24,593, respectively. The fair value of the outstanding non-designated foreign exchange contracts recorded by the Company on its consolidated balance sheets as of December 31, 2018 and 2017, as assets and liabilities is as follows: Foreign exchange forward and December 31, options contracts Balance sheet 2018 2017 Fair value of foreign exchange non-designated hedge transactions Other receivables and prepaid expenses $ 94 $ 6 Fair value of foreign exchange non-designated hedge transactions Other payables and accrued expenses - (147 ) Total derivatives non-designated as hedging instruments 94 (141 )

OTHER RECEIVABLES AND PREPAID E

OTHER RECEIVABLES AND PREPAID EXPENSES	12 Months Ended
	Dec. 31, 2018
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
OTHER RECEIVABLES AND PREPAID EXPENSES	NOTE 6:- OTHER RECEIVABLES AND PREPAID EXPENSES December 31, 2018 2017 Prepaid expenses $ 1,635 $ 1,172 Government authorities 1,327 919 Short-term lease deposits 159 145 Foreign currency derivative contracts 150 166 Others 376 247 $ 3,647 $ 2,649

INVENTORIES

INVENTORIES	12 Months Ended
	Dec. 31, 2018
Inventory Disclosure [Abstract]
INVENTORIES	NOTE 7:- INVENTORIES December 31, 2018 2017 Raw materials $ 551 $ 1,220 Finished goods 10,794 6,677 $ 11,345 $ 7,897 As of December 31, 2018 and 2017, the finished products line item above includes deferral of the cost of goods sold for which revenue was not yet recognized in the amount of approximately $ 1,336 and $ 901, respectively.

PROPERTY AND EQUIPMENT, NET

PROPERTY AND EQUIPMENT, NET	12 Months Ended
	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT, NET	NOTE 8:- PROPERTY AND EQUIPMENT, NET December 31, 2018 2017 Cost: Lab equipment $ 16,038 $ 14,613 Computers and peripheral equipment 20,680 19,430 Office furniture and equipment 1,197 1,071 Leasehold improvements 2,212 1,809 40,127 36,923 Accumulated depreciation: Lab equipment 13,273 12,066 Computers and peripheral equipment 19,039 18,430 Office furniture and equipment 598 550 Leasehold improvements 968 875 33,878 31,921 Depreciated cost $ 6,249 $ 5,002 Depreciation expense for the years ended December 31, 2018, 2017 and 2016 was $ 2,203, $ 2,191 and $ 2,334, respectively.

INTANGIBLE ASSETS, NET

INTANGIBLE ASSETS, NET	12 Months Ended
	Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
INTANGIBLE ASSETS, NET	NOTE 9:- INTANGIBLE ASSETS, NET a. The following table shows the Company's intangible assets for the periods presented: Weighted Average Useful life (Years) December 31, 2018 2017 Original Cost: Technology 3.8 $ 9,111 $ 9,111 Backlog 2.8 1,877 1,877 Customer relationships 4.4 3,592 3,592 IP R&D 6 3,659 - $ 18,239 $ 14,580 Accumulated amortization: Technology $ 8,563 $ 7,633 Backlog 1,877 1,877 Customer relationships 2,838 2,137 IP R&D - - $ 13,278 $ 11,647 Amortized cost $ 4,961 $ 2,933 b. Amortization expense for the years ended December 31, 2018, 2017 and 2016 were $ 1,631, $ 1,477 and $ 1,709, respectively. c. Estimated amortization expense for the years ending: Year ending December 31, 2019 1,454 2020 610 2021 610 Thereafter 2,287 Total 4,961

OTHER PAYABLES AND ACCRUED EXPE

OTHER PAYABLES AND ACCRUED EXPENSES	12 Months Ended
	Dec. 31, 2018
Payables and Accruals [Abstract]
OTHER PAYABLES AND ACCRUED EXPENSES	NOTE 10:- OTHER PAYABLES AND ACCRUED EXPENSES December 31, 2018 2017 Advances from customers $ 5,700 $ 17 Accrued expenses 3,346 3,011 Accrued taxes 3,356 2,311 Holdback and contingent earnout 484 - Foreign currency derivative contracts 474 148 Provision for returns (1) 191 - Others 144 255 $ 13,695 $ 5,742 (1) Following the adoption of ASC 606, the provision for return was recorded as part of other payables and accrued expenses as of December 31, 2018.

COMMITMENTS AND CONTINGENT LIAB

COMMITMENTS AND CONTINGENT LIABILITIES	12 Months Ended
	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENT LIABILITIES	OTE 11:- COMMITMENTS AND CONTINGENT LIABILITIES a. Lease commitments: The Company signed several non-cancelable agreements for its facilities which vary in dates and terms. During 2016, the Company engaged in renting its main facilities for an average period of six years, starting March 2016. The total rental expenses are approximately $ 207 per month. The U.S. subsidiary has an operating lease for office facilities in Woburn, Massachusetts, expires on August 31, 2019. The Spanish subsidiary has an operating lease for office facilities in Madrid, Spain, the leases expire within three month notice period. The Company's subsidiaries maintain smaller offices in South Africa, Singapore, India, Colombia, United States and various locations in Europe. In addition, the Company has operating lease agreements for its motor vehicles, which terminate in 2019 through 2021. Operating leases (offices and motor vehicles) expense for the years ended December 31, 2018, 2017 and 2016 was $ 2,934, $ 3,126 and $ 2,758, respectively. As of December 31, 2018, the aggregate future minimum lease obligations (offices and motor vehicles) under non-cancelable operating leases agreements were as follows: Year ending December 31, 2019 $ 2,277 2020 1,751 2021 707 2022 199 2023 116 Total $ 5,050 b. Major subcontractor: The Company currently depends on one subcontractor to manufacture and provide certain hardware, warranty and support components for its traffic management systems. If the subcontractor experiences delays, disruptions, quality control problems or a loss in capacity, shipments of products may be delayed and the Company's ability to deliver such products could be materially adversely affected. In the event that the Company terminates its business connection with the subcontractor, it will have to compensate the subcontractor for certain inventory costs, as specified in the agreement with the subcontractor. c. Litigations On February 18, 2016, a former employee filed a claim against the Company alleging that he is entitled to compensation for unlawful dismissal by the Company. A mediation attempt has failed, and the Company is waiting for the first hearing to take place. The Company believes that it has valid defenses to the claim. According to the assessment by the Company's legal counsel the award is not expected to exceed $ 190.

SHAREHOLDERS' EQUITY

SHAREHOLDERS' EQUITY	12 Months Ended
	Dec. 31, 2018
Stockholders' Equity Note [Abstract]
SHAREHOLDERS' EQUITY	NOTE 12:- SHAREHOLDERS' EQUITY a. Company's shares: As of December 31, 2018, the Company's authorized share capital consists of NIS 20,000,000 divided into 200,000,000 Ordinary Shares, par value NIS 0.1 per share. Ordinary Shares confer on their holders the right to receive notice to participate and vote in general meetings of the Company, the right to a share in the excess of assets upon liquidation of the Company, and the right to receive dividends, if declared. b. Treasury stock: On August 2015, the Company's Board of Directors authorized the repurchase of up to an aggregate of $ 15 million of the Company's Ordinary shares in the open market, subject to normal trading restrictions. During November 2015, the Company received court's approvals to purchase up to $ 15 million of its ordinary shares. The court's approval for share repurchases was expired on May 26, 2016. On July 6, 2016, the Company received the court's approval to extend the share repurchase period for additional 6 months. During 2016 the Company purchased 791,000 of its Ordinary shares for a total consideration of $ 3,832. During 2018 and 2017 the company did not purchase any of its ordinary shares. Total consideration for the purchase of these Ordinary shares was recorded as Treasury stock, at cost, as part of shareholders' equity. c. Stock option plan: A summary of the Company's stock option activity, pertaining to its option plans for employees and related information is as follows: Year ended December 31, 2018 2017 2016 Number of shares upon exercise Weighted average exercise price Number of shares upon exercise Weighted average exercise price Number of shares upon exercise Weighted average exercise price Outstanding at beginning of year 2,189,297 $ 7.63 1,959,014 $ 8.24 2,811,966 $ 10.70 Granted 62,200 $ 5.91 676,550 $ 4.93 643,697 $ 4.99 Forfeited (414,617 ) $ 9.79 (346,750 ) $ 7.01 (1,358,492 ) $ 12.41 Exercised (100,737 ) $ 4.07 (99,517 ) $ 3.56 (138,157 ) $ 1.75 Outstanding at end of year 1,736,143 $ 7.26 2,189,297 $ 7.63 1,959,014 $ 8.24 Exercisable at end of year 1,281,665 $ 8.02 1,274,649 $ 9.26 1,072,658 $ 9.87 Vested and expected to vest 1,464,802 $ 7.65 1,607,782 $ 8.44 1,407,930 $ 9.04 The aggregate intrinsic value represents the total intrinsic value (the difference between the Company's closing stock price on the last trading day of the fiscal years 2018, 2017 and 2016 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on December 31, 2018, 2017 and 2016, respectively. This amount may change based on the fair market value of the Company's stock. The total intrinsic value of options outstanding at December 31, 2018, 2017 and 2016, were $ 1,518, $ 1,063 and $ 728, respectively. The total intrinsic value of exercisable options at December 31, 2018, 2017 and 2016, were approximately $ 1,058, $ 684 and $ 604, respectively. The total intrinsic value of options vested and expected to vest at December 31, 2018, 2017 and 2016, were approximately $ 1,246, $ 819 and $ 634, respectively. The total intrinsic value of options exercised during the years ended December 31, 2018, 2017 and 2016 were approximately $ 201, $ 176 and $ 415, respectively. The weighted-average grant-date fair value of the options granted during the years ended December 31, 2018, 2017 and 2016 were $ 2.89, $ 2.36 and $ 2.12, respectively. The number of options vested during the year ended December 31, 2018 was 299,406. The weighted-average remaining contractual life of the outstanding options as of December 31, 2018 is 4.15 years. The weighted-average remaining contractual life of exercisable options as of December 31, 2018 3.72 years. On May 2, 2016 the Board of Directors of the Company approved the repricing of 384,635 stock options for the Company's employees and executive officers, previously granted. As part of the repricing, options with exercise price higher than $ 7 per share were repriced. Repriced options were replaced by options with lower exercise price or RSU's. The vesting period for the new granted options and RSU's was schedule for two years. The incremental expense for the repricing of the options was approximately $ 470. For the year ended December 31, 2016, the Company recorded expenses totaling $ 155 associated with the repricing. The options outstanding as of December 31, 2018, have been classified by exercise price, as follows: Exercise price Shares upon exercise of options outstanding as of December 31, 2018 Weighted average remaining contractual life Shares upon exercise of options exercisable as of December 31, 2018 Years $ 23.31-27.58 73,000 3.50 73,000 $ 15.43-17.07 54,936 2.96 54,936 $ 10.16-14.68 179,250 4.72 179,250 $ 5.01-9.13 605,416 3.81 477,222 $ 0.1-4.95 823,541 4.42 497,257 1,736,143 1,281,665 The following provides a summary of the restricted stock unit activity for the Company for the two years ended December 31, 2018: Year ended December 31, 2018 2017 Number of shares upon exercise Weighted average share price Number of shares upon exercise Weighted average share price Outstanding at beginning of year 713,090 $ 6.04 592,126 $ 6.53 Granted 996,200 $ 5.54 612,173 $ 5.00 Vested (312,201 ) $ 5.72 (326,026 ) $ 6.48 Forfeited (145,058 ) $ 5.01 (165,183 ) $ 6.04 Unvested at end of year 1,252,031 $ 5.45 713,090 $ 6.04 As of December 31, 2018, $ 936 and $ 5,275 unrecognized compensation cost related to stock options and RSUs respectively is expected to be recognized over a weighted average vesting period of 2.88 years. Under the terms of the above option plans, options may be granted to employees, officers, directors and various service providers of the Company and its subsidiaries. The options vest over a four-year period, subject to the continued employment of the employee. The options generally expire no later than ten years from the date of the grant. The exercise price of the options at the date of grant under the plans may not be less than the nominal value of the shares into which such options are exercised, any options, which are forfeited or cancelled before expiration, become available for future grants. As of December 31, available for future issuance under the option plans. In addition to granting stock options, the Company granted 996,200 and 612,173 RSUs in 2018 and 2017, respectively under the 2016 option plan. RSUs vest over a four-year period subject to the continued employment of the employee. RSUs that are cancelled or forfeited become available for future grants.

TAXES ON INCOME

TAXES ON INCOME	12 Months Ended
	Dec. 31, 2018
Income Tax Disclosure [Abstract]
TAXES ON INCOME	NOTE 13:- TAXES ON INCOME a. Corporate tax rates: The Israeli corporate income tax rate was 23% in 2018, 24% in 2017 and 25% in 2016. In December 2016, the Israeli Parliament approved the Economic Efficiency Law (Legislative Amendments for Applying the Economic Policy for the 2017 and 2018 Budget Years), 2016 which reduces the corporate income tax rate to 24% (instead of 25%) effective from January 1, 2017 and to 23% effective from January 1, 2018. b. Foreign Exchange Regulations: Commencing in taxable year 2012, the Company has elected to measure its taxable income and file its tax return under the Israeli Income Tax Regulations (Principles Regarding the Management of Books of Account of Foreign Invested Companies and Certain Partnerships and the Determination of Their Taxable Income) 1986 ("Foreign Exchange Regulations"). Under the Foreign Exchange Regulations, an Israeli company must calculate its tax liability in U.S. Dollars according to certain rules. The tax liability, as calculated in U.S. Dollars is translated into NIS according to the exchange rate as of December 31st of each year. c. Tax benefits under Israel's law for the Encouragement of Capital Investments, 1959 ("the Law"): In 1998, the production facilities of the Company related to its computational technologies were granted the status of an "Approved Enterprise" under the Law. In 2004, an expansion program was granted the status of "Approved Enterprise". According to the provisions of the Law, the Company has elected the alternative track of benefits and has waived Government grants in return for tax benefits. The period of tax benefits, detailed above, is limited to the earlier of 12 years from the commencement of production, or 14 years from the approval date. According to the provisions of the Law under the alternative track, the Company's income may be tax-exempt for a period of two years commencing with the year it first earns taxable income, and subject to corporate taxes at the reduced rate of 10% to 25%, for an additional period of five to eight years depending upon the level of foreign ownership of the Company. The Law was significantly amended effective April 1, 2005 ("the 2005 - Amendment"). The 2005 - Amendment includes revisions to the criteria for investments qualified to receive tax benefits as a Beneficiary Enterprise and among other things, simplifies the approval process. The Amendment applies to new investment programs. Therefore, investment programs commencing after December 31, 2004, do not affect the approved programs of the Company. In addition, the Law provides that terms and benefits included in any letter of approval already granted will remain subject to the provisions of the Law as they were on the date of such approval. Therefore, the Company's existing Approved Enterprise will generally not be subject to the provisions of the 2005 - Amendment. The Company elected 2006 and 2009 as "year of election" under the 2005 - Amendment. The entitlement to the above benefits is contingent upon the fulfillment of the conditions stipulated in the Law, regulations published thereunder and the criteria set forth in the specific letters of approval. In the event of failure to comply with these conditions, the benefits may be canceled and the Company may be required to refund the amount of the benefits, in whole or in part, including interest and linked to changes in the Israeli CPI. As of December 31, 2018, management believes that the Company meets the aforementioned conditions. If the Company pays a dividend out of exempt income derived from the Approved and Beneficiary Enterprise, it will be subject to corporate tax in respect of the gross amount distributed, including any taxes thereon, at the rate which would have been applicable had it not enjoyed the alternative benefits, generally 10%-25%, depending on the percentage of the Company's Ordinary shares held by foreign shareholders. The dividend recipient is subject to withholding tax at the rate of 15% applicable to dividends from approved enterprises, if the dividend is distributed during the tax exemption period or within twelve years thereafter. As of December 31, 2018, there is no income earned by the Company Israel’s “Approved Enterprises” and “Beneficiary Enterprise”. Income from sources other than the "Approved and Beneficiary Enterprise" during the benefit period will be subject to tax at the regular corporate tax rate. As of January 1, 2011, new legislation amending the Law came into effect (the 2011 Amendment ). The 2011 Amendment introduced a new status of Preferred Company and Preferred Enterprise , replacing the then existing status of Beneficiary Company and Beneficiary Enterprise . Similarly to Beneficiary Company , a Preferred Company is an industrial company owning a Preferred Enterprise which meets certain conditions (including a minimum threshold of 25% export). However, under this legislation the requirement for a minimum investment in productive assets was cancelled . Under the 2011 Amendment, a uniform corporate tax rate will apply to all qualifying income of the Preferred Company, as opposed to the former law, which was limited to income from the Approved Enterprises and Beneficiary Enterprise during the benefits period. The uniform corporate tax rate was 9% in areas in Israel designated as Development Zone A and 16% elsewhere in Israel during 2016 and 2017. A dividend distributed from income which is attributed to a Preferred Enterprise/Special Preferred Enterprise will be subject to withholding tax at source at the following rates: (i) Israeli resident corporation – 0%, (ii) Israeli resident individual – 20% as of 2014 and thereafter (iii) non-Israeli resident - 20% as of 2014 and thereafter subject to a reduced tax rate under the provisions of an applicable double tax treaty. In December 2016, the Economic Efficiency Law (Legislative Amendments for Applying the Economic Policy for the 2017 and 2018 Budget Years), 2016 which includes Amendment 73 to the Law for the Encouragement of Capital Investments ("the 2016 - Amendment") was published. According to the 2016 - Amendment, a preferred enterprise located in development area A will be subject to a tax rate of 7.5% instead of 9% effective from January 1, 2017 and thereafter (the tax rate applicable to preferred enterprises located in other areas remains at 16%). The December 2016 amendment also prescribes special tax tracks for technological enterprises, the new tax tracks under the amendment are as follows : Technological preferred enterprise - an enterprise whose total consolidated revenues (parent company and all subsidiaries) is less than NIS 10 billion. A technological preferred enterprise, as defined in the Law, which is located in the center of Israel will be subject to tax at a rate of 12% on profits deriving from intellectual property (in development area A - a tax rate of 7.5%). Special technological preferred enterprise - an enterprise whose total consolidated revenues (parent company and all subsidiaries) exceeds NIS 10 billion. Such enterprise will be subject to tax at a rate of 6% on profits deriving from intellectual property, regardless of the enterprise’s geographical location. Under the transition provisions of the 2016 Amendment, the Company may decide to irrevocably implement the new law while waiving benefits provided under the current law or to remain subject to the current law. d. Tax benefits under the law for the Encouragement of Industry (Taxes), 1969 (the "Encouragement Law"): The Encouragement Law, provides several tax benefits for industrial companies. An industrial company is defined as a company resident in Israel, at least 90% of the income of which in a given tax year exclusive of income from specified Government loans, capital gains, interest and dividends, is derived from an industrial enterprise owned by it. An industrial enterprise is defined as an enterprise whose major activity in a given tax year is industrial production activity. Management believes that the Company is currently qualified as an "industrial company" under the Encouragement Law and as such, enjoys tax benefits, including: (1) deduction of purchase of know-how and patents and/or right to use a patent over an eight-year period; (2) the right to elect, under specified conditions, to file a consolidated tax return with additional related Israeli industrial companies and an industrial holding company; (3) accelerated depreciation rates on equipment and buildings; and (4) expenses related to a public offering on the Tel-Aviv Stock Exchange and on recognized stock markets outside of Israel, are deductible in equal amounts over three years. Eligibility for benefits under the Encouragement Law is not subject to receipt of prior approval from any governmental authority. No assurance can be given that the Israeli tax authorities will agree that the Company qualifies, or, if the Company qualifies, then the Company will continue to qualify as an industrial company or that the benefits described above will be available to the Company in the future. e. Pre-tax income (loss) is comprised as follows: Year ended December 31, 2018 2017 2016 Domestic $ (9,877 ) $ (17,539 ) $ (7,033 ) Foreign 1,890 1,031 1,243 $ (7,987 ) $ (16,508 ) $ (5,790 ) f. A reconciliation of the theoretical tax expenses, assuming all income is taxed at the statutory tax rate applicable to the income of the Company and the actual tax expenses is as follows: Year ended December 31, 2018 2017 2016 Loss before taxes on income $ (7,987 ) $ (16,508 ) $ (5,790 ) Theoretical tax income computed at the Israeli statutory tax rate (23%, 24% and 25% for the years 2018, 2017 and 2016, respectively) $ (1,837 ) $ (3,962 ) $ (1,448 ) Changes in valuation allowance 1,189 8,946 (469 ) Increase (decrease) in losses and temporary differences due to change in Israeli corporate and “Approved Enterprise" tax 659 (5,376 ) (216 ) Write off of prepaid and withholding taxes 1,828 909 1,759 Foreign tax rates differences related to subsidiaries 50 (48 ) 576 Non-deductible expenses and other 65 684 567 Non-deductible share-based compensation expense 474 411 1,435 Actual tax expense $ 2,428 $ 1,564 $ 2,204 g. Income tax expense is comprised as follows: Year ended December 31, 2018 2017 2016 Current taxes $ 580 $ 689 $ 211 Deferred taxes expense (benefit) 20 (34 ) 234 Write off of prepaid and withholding taxes 1,828 909 1,759 $ 2,428 $ 1,564 $ 2,204 h. Net operating losses carry forward: The Company has accumulated net operating losses for tax purposes as of December 31, 2018, in the amount of approximately $57,715, which may be carried forward and offset against taxable income in the future for an indefinite period. In December 2014, the Israeli Tax Authorities approved a final tax ruling with respect to the Company’s acquisition of Oversi. According to the ruling, the net operating losses may be offset against taxable income annually with a limitation of up to 14% of the total accumulated losses but no more than 50% of the Company's taxable income. As of December 31, 2018, the Company recorded a full valuation allowance with respect to its deferred tax assets in Allot Ltd. and wrote-off prepaid and withholding taxes of $5,646 as the Company does not expect to utilize these tax assets in the near future. In addition, the Company has accumulated capital losses for tax purposes as of December 31, 2018, of approximately $27,243, which may be carried forward and offset against taxable capital gains in the future for an indefinite period but are limited as stated above with regard to the Oversi merger. Management currently believes that since the Company has a history of losses, and uncertainty with respect to future taxable income, it is more likely than not that the deferred tax assets regarding the loss carry forwards will not be utilized in the foreseeable future. Thus, a valuation allowance was provided to reduce deferred tax assets to their realizable value. The U.S. subsidiary has accumulated losses for U.S. federal income tax return purposes of approximately $ 5,948 and $ 7,556 for state taxes. The federal accumulated losses for tax purposes expire between 2026 and 2037. The state accumulated losses for tax purposes began to expire in 2014. As of December 31, 2018, the Company recorded a partial valuation allowance with respect to its deferred tax assets in the US Subsidiary. A portion of the losses are subject to limitations of Internal Revenue Code, Section 382, which in general provides that utilization of net operating losses is subject to an annual limitation if an ownership change results from transactions increasing the ownership of certain shareholders or public groups in the stock of a corporation by more than 50 percentage points over a three-year period. The annual limitations may result in the expiration of losses before utilization. In December 2017 the U.S. Tax Cuts and Jobs Act of 2017 was signed into law. This legislation makes significant changes to the U.S. Internal Revenue Code. Such changes include a reduction in the corporate tax rate, changes in U.S. international taxation and limitations on certain corporate deductions and credits, among other changes. The deferred tax asset at December 31, 2018 reflects the impact of the US Tax reform. i. Deferred income taxes: Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company's deferred income taxes are as follows: December 31, 2018 2017 Deferred tax assets: Operating and capital loss carryforwards $ 21,348 $ 20,102 Reserves and allowances 3,723 3,800 Deferred tax asset before valuation allowance 25,071 23,902 Valuation allowance (24,790 ) (23,601 ) Net deferred tax asset 281 301 Deferred tax liability - - Net deferred tax asset $ 281 $ 301 j. As of December 31, 2018, the Company’s provision in respect of ASC 740-10 is $243. The accrued interest and penalties related to the provision in income taxes are immaterial. The Company conducts business globally and, as a result, the Company or one or more of its subsidiaries file income tax returns in the U.S. federal jurisdiction and various states and foreign jurisdictions. In the normal course of business, the Company is subject to examination by taxing authorities throughout the world, including such major jurisdictions as Israel, France, and the United States. With a few exceptions, the Company is no longer subject to Israeli tax assessment through the year 2013 and the European and U.S. subsidiaries have final tax assessments through 2013 and 2014 respectively. The Company is currently under audit by the Israeli Tax Authorities for the years 2014– 2016.

GEOGRAPHIC INFORMATION

GEOGRAPHIC INFORMATION	12 Months Ended
	Dec. 31, 2018
Segment Reporting [Abstract]
GEOGRAPHIC INFORMATION	NOTE 14:- GEOGRAPHIC INFORMATION Allot operates in a single reportable segment. Revenues are based on the location of the Company's channel partners which are considered as end customers, as well as direct customers of the Company: Year ended December 31, 2018 2017 2016 Europe $ 45,730 $ 40,394 $ 34,279 Asia and Oceania 22,018 13,936 27,700 Americas 14,363 15,532 16,025 Middle East and Africa 13,726 12,130 12,365 $ 95,837 $ 81,992 $ 90,369 The following are the Company’s major customers: Year ended December 31, 2018 2017 2016 Customer A 22 % 32 % 25 % Customer B - - 17 % 22 % 32 % 42 % A total percentage of 74% of the Company’s revenues for the year ended December 31, 2018 is attributed to network intelligence solutions, while 26% is attributed to security solutions. The following presents total long-lived assets as of December 31, 2018 and 2017: December 31, 2018 2017 Long-lived assets: Israel $ 5,931 $ 4,741 United States 4 14 Other 313 247 $ 6,249 $ 5,002

FINANCIAL INCOME (EXPENSES), NE

FINANCIAL INCOME (EXPENSES), NET	12 Months Ended
	Dec. 31, 2018
Other Income and Expenses [Abstract]
FINANCIAL INCOME (EXPENSES), NET	NOTE 15:- FINANCIAL INCOME (EXPENSES), NET Year ended December 31, 2018 2017 2016 Financial income: Interest income $ 2,696 $ 2,513 $ 2,466 Exchange rate differences and other 305 - - Financial expenses: Exchange rate differences and other - 602 186 Amortization/accretion of premium/discount on marketable securities, net 793 1,017 1,221 $ 2,208 $ 894 $ 1,059

EARNINGS PER SHARE

EARNINGS PER SHARE	12 Months Ended
	Dec. 31, 2018
Net loss per share:
EARNINGS PER SHARE	NOTE 16:- EARNINGS PER SHARE The following table sets forth the computation of basic and diluted net loss per share: Year ended December 31, 2018 2017 2016 Numerator: Net loss $ (10,415 ) $ (18,072 ) $ (7,994 ) Denominator: Weighted average number of shares outstanding used in computing basic and diluted net loss per share 33,710,507 33,253,158 33,202,309 Basic and diluted net loss per share $ (0.31 ) $ (0.54 ) $ (0.24 )

SIGNIFICANT ACCOUNTING POLICI_2

SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
Use of estimates	a. Use of estimates: The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions. The Company's management believes that the estimates, judgments and assumptions used are reasonable based upon information available at the time they are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
Financial statements in U.S. dollars	b. Financial statements in U.S. dollars: The majority of the revenues of the Company and its subsidiaries are generated in U.S. dollars ("dollar") or linked to the dollar. In addition, a major portion of the Company's and certain of its subsidiaries' costs are incurred or determined in dollars. The Company's management believes that the dollar is the currency of the primary economic environment in which the Company and its subsidiaries operate. Thus, the functional and reporting currency of the Company and its subsidiaries is the dollar. Accordingly, monetary accounts maintained in currencies other than the dollar are remeasured into U.S. dollars in accordance with Accounting Standards Codification No. 830, "Foreign Currency Matters" ("ASC No. 830"). All transactions gains and losses from the remeasurement of monetary balance sheet items are reflected in the statements of operations as financial income or expenses as appropriate.
Principles of consolidation	c. Principles of consolidation: The consolidated financial statements include the accounts of the Company and its subsidiaries. Intercompany balances and transactions have been eliminated upon consolidation.
Cash and cash equivalents	d. Cash and cash equivalents: The Company considers all unrestricted highly liquid investments which are readily convertible into cash, with maturity of three months or less at the date of acquisition, to be cash equivalents.
Restricted deposits	e. Restricted deposits: The restricted deposits are held in favor of financial institutions in respect of fulfillments of forward contract and operating obligations.
Short-term bank deposits	f. Short-term bank deposits: Short-term bank deposits are deposits with maturities of more than three months but less than one year at the balance sheet date. The deposits are in dollars and bear interest at annual weighted average rate of 2.82% and 1.63% at December 31, 2018 and 2017, respectively. In connection with the Company's hedging transactions, the Company is required to maintain compensating deposits balances in the bank. Out of the short-term bank deposits, a total of $2,500 and $2,581 are due to the hedging transactions as of December 31, 2018 and 2017, respectively.
Marketable securities	g. Marketable securities: The Company accounts for investments in marketable securities in accordance with ASC 320, "Investments - Debt and Equity Securities". Management determines the appropriate classification of its investments in debt securities at the time of purchase and re-evaluates such determinations at each balance sheet date. Marketable securities classified as "available-for-sale" are carried at fair value, based on quoted market prices. Unrealized gains and losses are reported in a separate component of shareholders' equity in accumulated other comprehensive income (loss). Gains and losses are recognized when realized, on a specific identification basis, in the Company's consolidated statements of comprehensive loss. The Company's securities are reviewed for impairment in accordance with ASC 320-10-35. If such assets are considered to be impaired, the impairment charge is recognized in earnings when a decline in the fair value of its investments below the cost basis is judged to be Other-Than-Temporary Impairment (OTTI). Factors considered in making such a determination include the duration and severity of the impairment, the reason for the decline in value, the potential recovery period and the Company's intent to sell, including whether it is more likely than not that the Company will be required to sell the investment before recovery of cost basis. Based on the above factors, the Company concluded that unrealized losses on its available-for-sale securities, for the years ended 2018, 2017 and 2016, were not OTTI.
Inventories	h. Inventories: Inventories are stated at the lower of cost or net realizable value. Inventory write-offs are provided to cover risks arising primarily from end of life products and from slow-moving items, technological obsolescence, and excess inventory. Inventory write-offs during the years ended December 31, 2018, 2017 and 2016 amounted to $ 2,231, $ 1,260 and $ 1,004, respectively, and were recorded in cost of revenues. Inventory write-off provision as of December 31, 2018 and 2017 amounted to $ 2,818 and $ 2,756, respectively. Cost is determined using the weighted average cost method.
Property and equipment, net	i. Property and equipment, net: Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated by the straight-line method over the estimated useful lives of the assets at the following annual rates: % Lab equipment 16 - 25 Computers and peripheral equipment 33 Office furniture 6 Leasehold improvements Over the shorter of the term of the lease or the useful life of the asset
Goodwill impairment	j. Goodwill impairment: Goodwill represents the excess of the purchase price over the fair value of net assets of purchased businesses. Under Accounting Standards Codification No. 350, "Intangibles-Goodwill and Other" ("ASC No. 350"), goodwill is not amortized, but rather subject to an annual impairment test, or more often if there are indicators of impairment present. In accordance with ASC No. 350 the Company performs an annual impairment test at December 31 each year. ASC 350 allows an entity to first assess qualitative factors to determine whether it is necessary to perform the two-step quantitative goodwill impairment test. If the qualitative assessment does not result in a more likely than not indication of impairment, no further impairment testing is required. If it does result in a more likely than not indication of impairment, the two-step impairment test is performed. Alternatively, ASC 350 permits an entity to bypass the qualitative assessment for any reporting unit and proceed directly to performing the first step of the goodwill impairment test. The first step, identifying a potential impairment, compares the fair value of the reporting unit with its carrying amount. If the carrying amount exceeds its fair value, the second step would need to be performed; otherwise, no further step is required. The second step, measuring the impairment loss, compares the implied fair value of the goodwill with the carrying amount of the goodwill. Any excess of the goodwill carrying amount over the applied fair value is recognized as an impairment loss, and the carrying value of goodwill is written down to fair value. The Company operates in one operating segment, and this segment comprises its only reporting unit. The Company has performed an annual impairment analysis as of December 31, 2018 and determined that the carrying value of the reporting unit was less than the fair value of the reporting unit. Fair value is determined using market capitalization. During years 2018, 2017 and 2016, no impairment losses were recorded.
Impairment of long-lived assets and intangible assets subject to amortization	k. Impairment of long-lived assets and intangible assets subject to amortization: Property and equipment and intangible assets subject to amortization are reviewed for impairment in accordance with ASC No. 360, "Accounting for the Impairment or Disposal of Long-Lived Assets," whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the assets. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Intangible assets acquired in a business combination are recorded at fair value at the date of acquisition. Following initial recognition, intangible assets are carried at cost less any accumulated amortization and any accumulated impairment losses. The useful lives of intangible assets are assessed to be either finite or indefinite. Intangible assets that are not considered to have an indefinite useful life are amortized over their estimated useful lives. Some of the acquired intangible assets are amortized over their estimated useful lives in proportion to the economic benefits realized. This accounting policy results in accelerated amortization of such customer relationships as compared to the straight-line method. All other intangible assets are amortized over their estimated useful lives on a straight-line basis. During the years ended December 31, 2018, 2017 and 2016, no impairment losses were recorded.
Revenue recognition	l. Revenue recognition: The Company generates revenues mainly from selling its products along with related maintenance and support services. At times, these arrangements may also include professional services, such as installation services or training. The Company generally sells its products through resellers, distributors, OEMs and system integrators, all of whom are considered end-users. The Company adopted accounting standards codification 606, "Revenue from Contracts with Customers" ("ASC 606"), effective on January 1, 2018. The Company recognizes revenue under the core principle that transfer of control to the Company’s customers should be depicted in an amount reflecting the consideration the Company expects to receive . As such, the Company identifies a contract with a customer, identifies the performance obligations in the contract, determines the transaction price, allocates the transaction price to each performance obligation in the contract and recognizes revenues when (or as) the Company satisfies a performance obligation. The Company enters into contracts that can include combinations of products and services, that are capable of being distinct and accounted for as separate performance obligations. The products are distinct as the customer can derive the economic benefit of it without any professional services, updates or technical support. The Company allocates the transaction price to each performance obligation based on its relative standalone selling price out of the total consideration of the contract. For support, the Company determines the standalone selling prices based on the price at which the Company separately sells a renewal contract on a stand-alone basis. For professional services, the Company determines the standalone selling prices based on the price at which the Company separately sells those services on a stand-alone basis. Maintenance and support related revenues are deferred and recognized on a straight-line basis over the term of the applicable maintenance and support agreement. Other services are recognized upon the completion of installation or when the service is provided. Deferred revenue includes amounts received from customers for which revenue has not yet been recognized. Deferred revenues are classified as short and long-term based on their contractual term and recognized as revenues at the time the respective elements are provided. Transaction price allocated to remaining performance obligations represents non-cancelable contracts that have not yet been recognized that include deferred revenue and amounts not yet received that will be recognized as revenue in future periods. The aggregate amount of the transaction price allocated to remaining performance obligations that the Company expects to recognize after the year ending December 31, 2019 is approximately $5,279. The Company pays sales commissions to sales and marketing personnel based on their certain predetermined sales goals. Sales commissions earned by its employees are capitalized and amortized in over the revenue recognition period. Amortization expenses related to these costs are included in sales and marketing expenses in the consolidated statements of operations. For the year ended December 31, 2018, the amortization of deferred commission was $1,462. The Company estimated variable consideration related to product returns based on its experience with historical product returns and other known factors. Such provisions amounted to $191 and $686 as of December 31, 2018 and 2017, respectively. Following the adoption of ASC 606, As of December 31, 2018, this provision was recorded as part of other payables and accrued expenses. As of December 31, 2018, following the adoption of ASC 606, the Company recognizes for term-based license agreements at the point in time when control transfers and the associated maintenance revenues over the contract period. Adoption of the standard have resulted in a reduction of deferred revenues of $712 that was recorded in accumulated deficit due to upfront recognition of license revenues from term licenses. The cumulative effect of the changes made to the consolidated balance sheet as of January 1, 2018 for the adoption of Topic 606-10 was as follows: December 31, 2017 Adjustments January 1, 2018 (in thousands) Deferred revenue, short term 11,370 (311 ) 11,059 Deferred revenue, long term 3,878 (75 ) 3,803 Trade receivables 22,737 326 23,063 Accumulated deficit 122,247 (712 ) 121,535 In accordance with Topic 606-10, the disclosure of the impact of adoption on the consolidated balance sheet as of December 31, 2018 was as follows: Amounts under Topic 605 Impact of Adoption As Reported (in thousands) Consolidated Balance Sheet Deferred revenue, short term 14,152 (297 ) 13,855 Deferred revenue, long term 4,264 (17 ) 4,247 Trade receivables 25,603 490 26,093 Accumulated deficit 132,754 (804 ) 131,950 In addition, following the adoption of ASC 606, the company’s consolidated statement of operations for the year ended December 31, 2018, included an increase of revenue in the amount of $ 92 thousands, net, compared to the accounting treatment under ASC 605.
Advertising expenses	m. Advertising expenses: Advertising expenses are charged to the statement of comprehensive loss, as incurred. Advertising expenses for the years ended December 31, 2018, 2017 and 2016 amounted to $ 1,270, $ 1,236 and $ 1,081, respectively.
Research and development costs	n. Research and development costs: Accounting Standards Codification No. 985-20, requires capitalization of certain software development costs subsequent to the establishment of technological feasibility. Based on the Company's product development process, technological feasibility is established upon the completion of a working model. The Company does not incur material costs between the completion of a working model and the point at which the products are ready for general release. Therefore, research and development costs are charged to the consolidated statement of comprehensive loss as incurred.
Severance pay	o. Severance pay: The liability in Israel for substantially all of the Company`s employees in respect of severance pay liability is calculated in accordance with Section 14 of the Severance Pay Law -1963 (herein- "Section 14"). Section 14 states that Company's contributions for severance pay shall be in line of severance compensation and upon release of the policy to the employee, no additional obligations shall be conducted between the parties regarding the matter of severance pay and no additional payments shall be made by the Company to the employee. Furthermore, the related obligation and amounts deposited on behalf of such obligation under Section 14, are not stated on the balance sheet, because pursuant to current ruling, they are legally released from obligation to employees once the deposits have been paid. There are a limited number of employees in Israel, for whom the Company is liable for severance pay. The Company's liability for severance pay for its Israeli employees was calculated pursuant to Section 14, based on the most recent monthly salary of its Israeli employees multiplied by the number of years of employment as of the balance sheet date for such employees. The Company's liability was partly provided by monthly deposits with severance pay funds and insurance policies and the remainder by an accrual. Severance expense for the years ended December 31, 2018, 2017 and 2016, amounted to $ 1,950, $ 1,801 and $ 1,976, respectively.
Accounting for stock-based compensation	p. Accounting for stock-based compensation: The Company accounts for stock-based compensation in accordance with Accounting Standards Codification No. 718, "Compensation - Stock Compensation" ("ASC No. 718") that requires companies to estimate the fair value of equity-based payment awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as an expense over the requisite service periods in the Company's consolidated statement of comprehensive loss. The Company recognizes compensation expenses for the value of its awards based on the straight-line method over the requisite service period of each of the awards, net of estimated forfeitures. The Company accounted for changes in award terms as a modification in accordance with ASC 718. A modification to the terms of an award should be treated as an exchange of the original award for a new award with total compensation cost equal to the grant-date fair value of the original award plus the incremental value measured at the same date. Under ASC 718, the calculation of the incremental value is based on the excess of the fair value of the new (modified) award based on current circumstances over the fair value of the original award measured immediately before its terms are modified based on current circumstances. The Company estimated the forfeiture rate based on historical forfeitures of equity awards and adjusted the rate to reflect changes in facts and circumstances, if any. The Company adopted ASU 2016-09 in the first quarter of fiscal year 2017 and elected to retain its existing accounting policy and estimate expected forfeitures. The adoption of this ASU did not have a material impact on the Company's. The following table sets forth the total stock-based compensation expense resulting from stock options and restricted share units ("RSUs") Year ended December 31, 2018 2017 2016 Cost of revenues $ 316 $ 362 $ 367 Research and development 678 648 1,240 Sales and marketing 928 1,166 1,833 General and administrative 940 1,190 1,701 Total stock-based compensation expense $ 2,862 $ 3,366 $ 5,141 The Company selected the binomial option pricing model as the most appropriate fair value method for its stock-based compensation awards with the following assumptions for the years ended December 31, 2018, 2017 and 2016: Year ended December 31, 2018 2017 2016 Suboptimal exercise multiple 2.9-3.5 2.9-3.5 2.9-3.5 Risk free interest rate 2.09%-3.05% 0.80%-2.20% 0.47%-1.58% Volatility 26%-47% 27%-49% 33%-51% Dividend yield 0% 0% 0% The expected annual post-vesting and pre-vesting forfeiture rates affects the number of exercisable options. Based on the Company's historical experience, the annual pre-vesting and post-vesting are in the range of 0%-33% and 0%-41%, respectively, in the years 2018, 2017 and 2016. The computations of expected volatility and suboptimal exercise multiple is based on the average of the Company's realized historical stock price. The computation of the suboptimal exercise multiple and the forfeiture rates are based on the grantees expected exercise prior and post vesting termination behavior. The interest rate for period within the contractual life of the award is based on the U.S. Treasury Bills yield curve in effect at the time of grant. The Company currently has no plans to distribute dividends and intends to retain future earnings to finance the development of its business. The expected life of the stock options represents the weighted-average period the stock options are expected to remain outstanding and is a derived output of the binomial model. The expected life of the stock options is impacted by all of the underlying assumptions used in the Company's model.
Treasury stock	q. reasury stock: The Company repurchases its Ordinary shares from time to time on the open market and holds such shares as treasury stock. The Company presents the cost to repurchase treasury stock as a reduction of shareholders' equity.
Concentration of credit risks	r. Concentration of credit risks: Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, marketable securities, short-term bank deposits, trade receivables and derivative instruments. The majority of cash and cash equivalents and short-term deposits of the Company are invested in dollar deposits in major U.S. and Israeli banks. Such investments in the United States may be in excess of insured limits and are not insured in other jurisdictions. Generally, the cash and cash equivalents and short-term bank deposits may be redeemed upon demand, and therefore, bear minimal risk. Marketable securities include investments in dollar linked corporate and municipal bonds. Marketable securities consist of highly liquid debt instruments with high credit standing. The Company’s investment policy, approved by the Board of Directors, limits the amount the Group may invest in any one type of investment or issuer, thereby reducing credit risk concentrations. Management believes that the portfolio is well diversified and, accordingly, minimal credit risk exists with respect to these marketable debt securities The Company's trade receivables are primarily derived from sales to customers located mainly in EMEA, as well as in APAC, Latin America and the United States. Concentration of credit risk with respect to trade receivables is limited by credit limits, ongoing credit evaluation and account monitoring procedures. The Company performs ongoing credit evaluations of its customers and establishes an allowance for doubtful accounts on a specific basis. Allowance for doubtful accounts amounted to $ 1,415 and $ 1,292 as of December 31, 2018 and 2017, respectively. The Company utilizes foreign currency forward contracts to protect against the risk of overall changes in exchange rates. The derivative instruments hedge a portion of the Company's non-dollar currency exposure. Counterparties to the Company’s derivative instruments are all major financial institutions and its exposure is limited to the amount of any asset resulting from the forward contracts. The Company has no significant off balance sheet concentrations of credit risk.
Grants from the Israel Innovation Authority	s. Grants from the Israel Innovation Authority: Participation grants from the Israel Innovation Authority (Previously known as the Office of the Chief Scientist) for research and development activity are recognized at the time the Company is entitled to such grants on the basis of the costs incurred and included as a deduction of research and development costs. Research and development non royalty bearing grants recognized amounted to $ 374, $ 392 and $ 606 in 2018, 2017 and 2016, respectively.
Income taxes	t. Income taxes: The Company accounts for income taxes in accordance with Accounting Standards Codification No. 740, "Income Taxes" ("ASC No. 740"). ASC No. 740 prescribes the use of the liability method, whereby deferred tax asset and liability account balances are determined based on differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company provides a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value if it is more likely than not that some portion or all of the deferred tax assets will not be realized. The deferred tax assets and liabilities are classified to non-current assets and liabilities, respectively. ASC No. 740 contains a two-step approach to recognizing and measuring a liability for uncertain tax positions. The first step is to evaluate the tax position taken or expected to be taken in a tax return by determining if the weight of available evidence indicates that it is more likely than not that, on an evaluation of the technical merits, the tax position will be sustained on audit, including resolution of any related appeals or litigation processes. The second step is to measure the tax benefit as the largest amount that is more than 50% likely to be realized upon ultimate settlement.
Basic and diluted net income (loss) per share	u. Basic and diluted net income (loss) per share: Basic net income (loss) per share is computed based on the weighted average number of Ordinary Shares outstanding during each year. Diluted net income (loss) per share is computed based on the weighted average number of Ordinary Shares outstanding during each year, plus dilutive potential Ordinary Shares considered outstanding during the year, in accordance with FASB ASC 260 "Earnings Per Share". For the years ended December 31, 2018, 2017 and 2016, all outstanding options and have been excluded from the calculation of the diluted net loss per share since their effect was anti-dilutive.
Comprehensive loss	v. Comprehensive loss: The Company accounts for comprehensive loss in accordance with Accounting Standards Codification No. 220, "Comprehensive Income" ("ASC No. 220"). This statement establishes standards for the reporting and display of comprehensive loss and its components in a full set of general purpose financial statements. Comprehensive loss represents all changes in shareholders' equity during the period except those resulting from investments by, or distributions to shareholders. The Company determined that its items of comprehensive loss relate to unrealized gains and losses on hedging derivative instruments and unrealized gains and losses on available-for-sale marketable securities. The following table shows the components and the effects on net loss of amounts reclassified from accumulated other comprehensive loss as of December 31, 2018: Year ended December 31, 2018 Unrealized losses on marketable securities Unrealized gains (losses) on cash flow hedges Total Balance as of December 31, 2017 $ (123 ) $ 159 $ 36 Changes in other comprehensive income (loss) before reclassifications (216 ) (1,480 ) (1,696 ) Amounts reclassified from accumulated other comprehensive income (loss) to: Cost of revenues - 80 80 Operating expenses - 823 823 Financial income, net (10 ) - (10 ) Net current-period other comprehensive income (loss) (226 ) (577 ) (803 ) Balance as of December 31, 2018 $ (349 ) $ (418 ) $ (767 )
Fair value of financial instruments	w. Fair value of financial instruments: The Company measures its cash and cash equivalents, marketable securities, derivative instruments, short-term bank deposits, trade receivables, other receivables, trade payables and other payables at fair value. The carrying amounts of short-term bank deposits, trade receivables, other receivables, trade payables and other payables approximate their fair value due to the short-term maturities of such instruments. Fair value is an exit price, representing the amount that would be received if the Company were to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. The Company uses a three-tier value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: Level 1 - Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - Include other inputs that are directly or indirectly observable in the marketplace, other than quoted prices included in Level 1, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets with insufficient volume or infrequent transactions, or other inputs that are observable (model-derived valuations in which significant inputs are observable), or can be derived principally from or corroborated by observable market data; and Level 3 - Unobservable inputs which are supported by little or no market activity. The Company categorized each of its fair value measurements in one of those three levels of hierarchy. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company's earn-out considerations are classified within Level 3. The valuation methodology used by the Company to calculate the fair value consideration is the discounted cash flow using Monte-Carlo simulation method by taking into account, forecast future revenues, expected volatility of 42.5% for Optenet and 20.7% for Netonomy, and weighted average cost of debt of 2%.
Derivatives and hedging	x. Derivatives and hedging: The Company accounts for derivatives and hedging based on Accounting Standards Codification No. 815, "Derivatives and Hedging" ("ASC No. 815"). The Company accounts for its derivative instruments as either assets or liabilities and carries them at fair value. Derivative instruments that are not designated and qualified as hedging instruments must be adjusted to fair value through earnings. For derivative instruments that hedge the exposure to variability in expected future cash flows that are designated as cash flow hedges, the effective portion of the gain or loss on the derivative instrument is reported as a component of accumulated other comprehensive income (loss) in shareholders' equity and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The ineffective portion of the gain or loss on the derivative instrument is recognized in current earnings. To apply hedge accounting treatment, cash flow hedges must be highly effective in offsetting changes to expected future cash flows on hedged transactions.
Business combinations	y. Business combinations: The Company accounts for business combinations in accordance with ASC No. 805. ASC No. 805 requires recognition of assets acquired, liabilities assumed, and any non-controlling interest at the acquisition date, measured at their fair values as of that date. Any excess of the fair value of net assets acquired over the purchase price is recorded as goodwill and any subsequent changes in estimated contingencies are to be recorded in earnings. In addition, changes in valuation allowance related to acquired deferred tax assets and acquired income tax positions are to be recognized in earnings.
Warranty costs	z. Warranty costs: The Company generally provides three months software and a one-year hardware warranty for all of its products. A provision is recorded for estimated warranty costs at the time revenues are recognized based on the Company's experience. Warranty expenses for the years
Recently Issued Accounting Pronouncements	aa. Recently Issued Accounting Pronouncements: On January 1, 2018, the Company adopted ASC Topic 606-10 using the modified retrospective method and applied the standard to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606-10, while prior period amounts are not adjusted and continue to be reported in accordance with the historic accounting under Topic 605. The Group recognized the cumulative effect of initially adopting Topic 606-10 as an adjustment to the opening balance of retained earnings as of January 1, 2018. The Group has identified and implemented changes to its accounting processes and controls to support the new revenue recognition and disclosure requirements. In connection with adopting Topic 606-10, the Company recorded a cumulative-effect adjustment to retained earnings of $712 on January 1, 2018. This adjustment relates to the way the Company accounts for term-based license agreements. Under ASC 605 the Company recognized both the term license and maintenance revenues ratably over the contract period whereas under the new revenue standard the Company recognizes term license revenues at the point in time when control transfers and the associated maintenance revenues over the contract period. In January 2016, the FASB issued a new standard to amend certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. Most prominent among the amendments is the requirement for changes in the fair value of our equity investments, with certain exceptions, to be recognized through net income rather than accumulated other comprehensive income (loss). ASU 2016-01 is effective for annual reporting periods, and interim periods within those years beginning after December 15, 2017. This new guidance doesn’t have a material impact on the Company’s Consolidated Financial Statements. In February 2016, the FASB issued ASU 2016-02, “Leases”, on the recognition, measurement, presentation and disclosure of leases for both parties to a contract (i.e., lessees and lessors). ASC 842 supersedes the previous leases standard, ASC 840, "Leases". The new standard requires lessees to apply a dual approach, classifying leases as either finance or operating leases based on the principle of whether or not the lease is effectively a financed purchase by the lessee. This classification will determine whether lease expense is recognized based on an effective interest method or on a straight-line basis over the term of the lease, respectively. A lessee is also required to record a right-of-use ("ROU") asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. The company may elect, as a practical expedient, to account for leases with a term of 12 months or less in a manner similar to the accounting under existing guidance for operating leases today. In July 2018, the FASB issued amendments in ASU 2018-11, which provide another transition method in addition to the existing transition method, by allowing entities to initially apply the new leases standard at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption, and to not apply the new guidance in the comparative periods they present in the financial statements. The guidance is effective for the interim and annual periods beginning on or after December 15, 2018, and the Company has elected to apply the standard retrospectively at the beginning of the period of adoption through a cumulative-effect adjustment. To adopt this new standard, the Company has implemented changes to its existing systems and processes in conjunction with a review of existing vendor agreements. The Company expects adoption of the standard to have a material impact on its consolidated balance sheets which will result in the recognition of ROU assets and lease liabilities of approximately $6.7 million on January 1, 2019. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”). The standard changes the methodology for measuring credit losses on financial instruments and the timing of when such losses are recorded. ASU 2016-13 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2019. Early adoption is permitted for fiscal years, and interim periods within those years, beginning after December 15, 2018. The Company is currently evaluating the impact of this standard on its Consolidated Financial Statements. In November 2016, the FASB issued Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (ASU 2016-18), which requires companies to include amounts generally described as restricted cash and restricted cash equivalents in cash and cash equivalents when reconciling beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The amendments in this Update are effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. This new guidance doesn't have a material impact on the Company’s Consolidated Financial Statements. In January 2017, the FASB issued ASU 2017-04, “Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment" ("ASU 2017-04"). ASU 2017-04 eliminates the requirement to measure the implied fair value of goodwill by assigning the fair value of a reporting unit to all assets and liabilities within that unit (the "Step 2 test") from the goodwill impairment test. Instead, if the carrying amount of a reporting unit exceeds its fair value, an impairment loss is recognized in an amount equal to that excess, limited by the amount of goodwill in that reporting unit. ASU 2017-04 will become effective for the Company beginning January 1, 2020 and must be applied to any annual or interim goodwill impairment assessments after that date. Early adoption is permitted. The Company is currently evaluating the effect that the adoption of ASU 2017-04 will have on its consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, Stock Compensation – Scope of Modification Accounting, guidance that clarifies that all changes to share-based payment awards are not necessarily accounted for as a modification. Under the new guidance, modification accounting is required only if the fair value, the vesting conditions, or the classification of the award changes as a result of the change in terms or conditions. This guidance is effective prospectively beginning January 1, 2018. This guidance will apply to any future modifications. The Company does not expect this guidance to have a material impact on our consolidated financial statements. In August 2017, the FASB issued ASU No. 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities. The objectives of this ASU are to improve the financial reporting of hedging relationships to better portray the economic results of an entity's risk management activities in its financial statements and to make certain targeted improvements to simplify the application of the hedge accounting guidance in current GAAP. This ASU is effective for fiscal years beginning after December 15, 2018 and interim periods within those fiscal years. The Company is currently evaluating the effect of the adoption of this ASU. In June 2018, the FASB issued Accounting Standards Update No. 2018-07, "Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting" (ASU 2018-07). ASU 2018-07 was issued to simplify several aspects of the accounting for nonemployee share-based payment transactions resulting from expanding the scope of Topic 718, Compensation – Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees. The amendments specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. The Company is currently evaluating the effect of the adoption of ASU 2018-07 on its consolidated financial statements and related disclosures and does not expect it to have a material impact.

GENERAL (Tables)

GENERAL (Tables)	12 Months Ended
	Dec. 31, 2018
Business Acquisition [Line Items]
Schedule of pro forma revenue and net loss	The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the acquisition date: Fair value Non-current assets $ 4 Account Payable (11 ) Other Payables (142 ) IPR&D 3,659 Goodwill 870 Net assets acquired $ 4,380

SIGNIFICANT ACCOUNTING POLICI_3

SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2018
Schedule of Estimated Useful Lives at an Annual Rate	Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated by the straight-line method over the estimated useful lives of the assets at the following annual rates: % Lab equipment 16 - 25 Computers and peripheral equipment 33 Office furniture 6 Leasehold improvements Over the shorter of the term of the lease or the useful life of the asset
Schedule of Stock-Based Compensation Expense	The following table sets forth the total stock-based compensation expense resulting from stock options and restricted share units ("RSUs") Year ended December 31, 2018 2017 2016 Cost of revenues $ 316 $ 362 $ 367 Research and development 678 648 1,240 Sales and marketing 928 1,166 1,833 General and administrative 940 1,190 1,701 Total stock-based compensation expense $ 2,862 $ 3,366 $ 5,141
Schedule of Stock-Based Compensation Assumptions	The Company selected the binomial option pricing model as the most appropriate fair value method for its stock-based compensation awards with the following assumptions for the years ended December 31, 2018, 2017 and 2016: Year ended December 31, 2018 2017 2016 Suboptimal exercise multiple 2.9-3.5 2.9-3.5 2.9-3.5 Risk free interest rate 2.09%-3.05% 0.80%-2.20% 0.47%-1.58% Volatility 26%-47% 27%-49% 33%-51% Dividend yield 0% 0% 0%
Schedule of Accumulated Other Comprehensive Income	The following table shows the components and the effects on net loss of amounts reclassified from accumulated other comprehensive loss as of December 31, 2018: Year ended December 31, 2018 Unrealized losses on marketable securities Unrealized gains (losses) on cash flow hedges Total Balance as of December 31, 2017 $ (123 ) $ 159 $ 36 Changes in other comprehensive income (loss) before reclassifications (216 ) (1,480 ) (1,696 ) Amounts reclassified from accumulated other comprehensive income (loss) to: Cost of revenues - 80 80 Operating expenses - 823 823 Financial income, net (10 ) - (10 ) Net current-period other comprehensive income (loss) (226 ) (577 ) (803 ) Balance as of December 31, 2018 $ (349 ) $ (418 ) $ (767 )
Accounting Standards Update 606 [Member]
Schedule of Cumulative Effects of Applying New Accounting Pronouncements	The cumulative effect of the changes made to the consolidated balance sheet as of January 1, 2018 for the adoption of Topic 606-10 was as follows: December 31, 2017 Adjustments January 1, 2018 (in thousands) Deferred revenue, short term 11,370 (311 ) 11,059 Deferred revenue, long term 3,878 (75 ) 3,803 Trade receivables 22,737 326 23,063 Accumulated deficit 122,247 (712 ) 121,535 In accordance with Topic 606-10, the disclosure of the impact of adoption on the consolidated balance sheet as of December 31, 2018 was as follows: Amounts under Topic 605 Impact of Adoption As Reported (in thousands) Consolidated Balance Sheet Deferred revenue, short term 14,152 (297 ) 13,855 Deferred revenue, long term 4,264 (17 ) 4,247 Trade receivables 25,603 490 26,093 Accumulated deficit 132,754 (804 ) 131,950

AVAILABLE-FOR-SALE MARKETABLE_2

AVAILABLE-FOR-SALE MARKETABLE SECURITIES (Tables)	12 Months Ended
	Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]
Summary of Available-for-Sale Marketable Securities	The following is a summary of available-for-sale marketable securities: December 31, 2018 December 31, 2017 Amortized cost Gross unrealized gain Gross unrealized Fair value Amortized cost Gross unrealized Gross unrealized Fair value Available-for-sale - matures within one year: Governmental debentures $ 1,799 $ - $ (2 ) $ 1,797 $ 573 $ 20 $ (1 ) $ 592 Corporate debentures 37,808 6 (98 ) 37,716 24,619 8 (22 ) 24,605 39,607 6 (100 ) 39,513 25,192 28 (23 ) 25,197 Available-for-sale - matures after one year through three years: Governmental debentures 476 - (4 ) 472 108 - (1 ) 107 Corporate debentures 24,455 4 (253 ) 24,206 37,812 64 (187 ) 37,689 24,931 4 (257 ) 24,678 37,920 64 (188 ) 37,796 Available-for-sale - matures after three years through five years: Governmental debentures - - - - - - - - Corporate debentures 101 - (2 ) 99 205 - (4 ) 201 101 - (2 ) 99 205 - (4 ) 201 $ 64,639 $ 10 $ (359 ) $ 64,290 $ 63,317 $ 92 $ (215 ) $ 63,194

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	12 Months Ended
	Dec. 31, 2018
Fair Value Disclosures [Abstract]
Schedule of Financial Assets Measured at Fair Value on a Recurring Basis	The Company's financial net assets measured at fair value on a recurring basis, including accrued interest components, consisted of the following types of instruments as of December 31, 2018 and 2017, respectively: As of December 31, 2018 Fair value measurements using input type Level 1 Level 2 Level 3 Total Available-for-sale marketable securities $ - $ 64,290 $ - $ 64,290 Foreign currency derivative contracts - (324 ) - (324 ) Earn-out liability - - (6,051 ) (6,051 ) Total financial net assets $ - $ 63,966 $ (6,051 ) $ 57,915 As of December 31, 2017 Fair value measurements using input type Level 1 Level 2 Level 3 Total Available-for-sale marketable securities $ - $ 63,194 $ - $ 63,194 Foreign currency derivative contracts - 18 - 18 Earn-out liability - - (5,267 ) (5,267 ) Total financial net assets $ - $ 63,212 $ (5,267 ) $ 57,945
Schedule of Fair Value Measurements Using Significant Unobservable Inputs	Fair value measurements using significant unobservable inputs (Level 3): Balance at January 1, 2018 $ 5,267 Earn Out liability - Netonomy 1,041 Earn Out liability adjustments due to exchange rates (224 ) Adjustment due to change in forecast and time value of earn-out consideration (33 ) Balance at December 31, 2018 $ 6,051

DERIVATIVE INSTRUMENTS (Tables)

DERIVATIVE INSTRUMENTS (Tables)	12 Months Ended
	Dec. 31, 2018
Designated as Hedging Instrument [Member]
Schedule of the Fair Value of Open Foreign Exchange Contracts	The fair value of the outstanding foreign exchange contracts recorded by the Company on its consolidated balance sheets as of December 31, 2018 and 2017, as assets and liabilities is as follows: Foreign exchange forward and December 31, options contracts Balance sheet 2018 2017 Fair value of foreign exchange hedge transactions Other receivables and prepaid expenses $ 56 $ 160 Fair value of foreign exchange hedge transactions Other payables and accrued expenses (474 ) (1 ) Total derivatives designated as hedging instruments Other Comprehensive income (loss) $ (418 ) $ 159
Not Designated as Hedging Instrument [Member]
Schedule of the Fair Value of Open Foreign Exchange Contracts	The fair value of the outstanding non-designated foreign exchange contracts recorded by the Company on its consolidated balance sheets as of December 31, 2018 and 2017, as assets and liabilities is as follows: Foreign exchange forward and December 31, options contracts Balance sheet 2018 2017 Fair value of foreign exchange non-designated hedge transactions Other receivables and prepaid expenses $ 94 $ 6 Fair value of foreign exchange non-designated hedge transactions Other payables and accrued expenses - (147 ) Total derivatives non-designated as hedging instruments 94 (141 )

OTHER RECEIVABLES AND PREPAID_2

OTHER RECEIVABLES AND PREPAID EXPENSES (Tables)	12 Months Ended
	Dec. 31, 2018
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Other Accounts Receivable and Prepaid Expenses	December 31, 2018 2017 Prepaid expenses $ 1,635 $ 1,172 Government authorities 1,327 919 Short-term lease deposits 159 145 Foreign currency derivative contracts 150 166 Others 376 247 $ 3,647 $ 2,649

INVENTORIES (Tables)

INVENTORIES (Tables)	12 Months Ended
	Dec. 31, 2018
Inventory Disclosure [Abstract]
Schedule of Inventory	December 31, 2018 2017 Raw materials $ 551 $ 1,220 Finished goods 10,794 6,677 $ 11,345 $ 7,897

PROPERTY AND EQUIPMENT, NET (Ta

PROPERTY AND EQUIPMENT, NET (Tables)	12 Months Ended
	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	December 31, 2018 2017 Cost: Lab equipment $ 16,038 $ 14,613 Computers and peripheral equipment 20,680 19,430 Office furniture and equipment 1,197 1,071 Leasehold improvements 2,212 1,809 40,127 36,923 Accumulated depreciation: Lab equipment 13,273 12,066 Computers and peripheral equipment 19,039 18,430 Office furniture and equipment 598 550 Leasehold improvements 968 875 33,878 31,921 Depreciated cost $ 6,249 $ 5,002

INTANGIBLE ASSETS, NET (Tables)

INTANGIBLE ASSETS, NET (Tables)	12 Months Ended
	Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets	The following table shows the Company's intangible assets for the periods presented: Weighted Average Useful life (Years) December 31, 2018 2017 Original Cost: Technology 3.8 $ 9,111 $ 9,111 Backlog 2.8 1,877 1,877 Customer relationships 4.4 3,592 3,592 IP R&D 6 3,659 - $ 18,239 $ 14,580 Accumulated amortization: Technology $ 8,563 $ 7,633 Backlog 1,877 1,877 Customer relationships 2,838 2,137 IP R&D - - $ 13,278 $ 11,647 Amortized cost $ 4,961 $ 2,933
Schedule of Estimated Amortization Expense	Estimated amortization expense for the years ending: Year ending December 31, 2019 1,454 2020 610 2021 610 Thereafter 2,287 Total 4,961

OTHER PAYABLES AND ACCRUED EX_2

OTHER PAYABLES AND ACCRUED EXPENSES (Tables)	12 Months Ended
	Dec. 31, 2018
Payables and Accruals [Abstract]
Schedule of Other Payables and Accrued Expenses	December 31, 2018 2017 Advances from customers $ 5,700 $ 17 Accrued expenses 3,346 3,011 Accrued taxes 3,356 2,311 Holdback and contingent earnout 484 - Foreign currency derivative contracts 474 148 Provision for returns (1) 191 - Others 144 255 $ 13,695 $ 5,742 (1) Following the adoption of ASC 606, the provision for return was recorded as part of other payables and accrued expenses as of December 31, 2018.

COMMITMENTS AND CONTINGENT LI_2

COMMITMENTS AND CONTINGENT LIABILITIES (Tables)	12 Months Ended
	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Schedule of Future Minimum Lease Obligations	As of December 31, 2018, the aggregate future minimum lease obligations (offices and motor vehicles) under non-cancelable operating leases agreements were as follows: Year ending December 31, 2019 $ 2,277 2020 1,751 2021 707 2022 199 2023 116 Total $ 5,050

SHAREHOLDERS' EQUITY (Tables)

SHAREHOLDERS' EQUITY (Tables)	12 Months Ended
	Dec. 31, 2018
Stockholders' Equity Note [Abstract]
Schedule of Stock Option Activity	A summary of the Company's stock option activity, pertaining to its option plans for employees and related information is as follows: Year ended December 31, 2018 2017 2016 Number of shares upon exercise Weighted average exercise price Number of shares upon exercise Weighted average exercise price Number of shares upon exercise Weighted average exercise price Outstanding at beginning of year 2,189,297 $ 7.63 1,959,014 $ 8.24 2,811,966 $ 10.70 Granted 62,200 $ 5.91 676,550 $ 4.93 643,697 $ 4.99 Forfeited (414,617 ) $ 9.79 (346,750 ) $ 7.01 (1,358,492 ) $ 12.41 Exercised (100,737 ) $ 4.07 (99,517 ) $ 3.56 (138,157 ) $ 1.75 Outstanding at end of year 1,736,143 $ 7.26 2,189,297 $ 7.63 1,959,014 $ 8.24 Exercisable at end of year 1,281,665 $ 8.02 1,274,649 $ 9.26 1,072,658 $ 9.87 Vested and expected to vest 1,464,802 $ 7.65 1,607,782 $ 8.44 1,407,930 $ 9.04
Schedule of Stock Options Outstanding	The options outstanding as of December 31, 2018, have been classified by exercise price, as follows: Exercise price Shares upon exercise of options outstanding as of December 31, 2018 Weighted average remaining contractual life Shares upon exercise of options exercisable as of December 31, 2018 Years $ 23.31-27.58 73,000 3.50 73,000 $ 15.43-17.07 54,936 2.96 54,936 $ 10.16-14.68 179,250 4.72 179,250 $ 5.01-9.13 605,416 3.81 477,222 $ 0.1-4.95 823,541 4.42 497,257 1,736,143 1,281,665
Summary of Restricted Stock Unit Activity	The following provides a summary of the restricted stock unit activity for the Company for the two years ended December 31, 2018: Year ended December 31, 2018 2017 Number of shares upon exercise Weighted average share price Number of shares upon exercise Weighted average share price Outstanding at beginning of year 713,090 $ 6.04 592,126 $ 6.53 Granted 996,200 $ 5.54 612,173 $ 5.00 Vested (312,201 ) $ 5.72 (326,026 ) $ 6.48 Forfeited (145,058 ) $ 5.01 (165,183 ) $ 6.04 Unvested at end of year 1,252,031 $ 5.45 713,090 $ 6.04

TAXES ON INCOME (Tables)

TAXES ON INCOME (Tables)	12 Months Ended
	Dec. 31, 2018
Income Tax Disclosure [Abstract]
Schedule of Pre-tax Income (Loss)	Pre-tax income (loss) is comprised as follows: Year ended December 31, 2018 2017 2016 Domestic $ (9,877 ) $ (17,539 ) $ (7,033 ) Foreign 1,890 1,031 1,243 $ (7,987 ) $ (16,508 ) $ (5,790 )
Schedule of the Reconciliation of the Theoretical Tax Expenses	A reconciliation of the theoretical tax expenses, assuming all income is taxed at the statutory tax rate applicable to the income of the Company and the actual tax expenses is as follows: Year ended December 31, 2018 2017 2016 Loss before taxes on income $ (7,987 ) $ (16,508 ) $ (5,790 ) Theoretical tax income computed at the Israeli statutory tax rate (23%, 24% and 25% for the years 2018, 2017 and 2016, respectively) $ (1,837 ) $ (3,962 ) $ (1,448 ) Changes in valuation allowance 1,189 8,946 (469 ) Increase (decrease) in losses and temporary differences due to change in Israeli corporate and “Approved Enterprise" tax 659 (5,376 ) (216 ) Write off of prepaid and withholding taxes 1,828 909 1,759 Foreign tax rates differences related to subsidiaries 50 (48 ) 576 Non-deductible expenses and other 65 684 567 Non-deductible share-based compensation expense 474 411 1,435 Actual tax expense $ 2,428 $ 1,564 $ 2,204
Schedule of Income Tax Expense	Income tax expense is comprised as follows: Year ended December 31, 2018 2017 2016 Current taxes $ 580 $ 689 $ 211 Deferred taxes expense (benefit) 20 (34 ) 234 Write off of prepaid and withholding taxes 1,828 909 1,759 $ 2,428 $ 1,564 $ 2,204
Schedule of Deferred Income Taxes	Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company's deferred income taxes are as follows: December 31, 2018 2017 Deferred tax assets: Operating and capital loss carryforwards $ 21,348 $ 20,102 Reserves and allowances 3,723 3,800 Deferred tax asset before valuation allowance 25,071 23,902 Valuation allowance (24,790 ) (23,601 ) Net deferred tax asset 281 301 Deferred tax liability - - Net deferred tax asset $ 281 $ 301

GEOGRAPHIC INFORMATION (Tables)

GEOGRAPHIC INFORMATION (Tables)	12 Months Ended
	Dec. 31, 2018
Segment Reporting [Abstract]
Schedule of Revenues by Geographic Location	Allot operates in a single reportable segment. Revenues are based on the location of the Company's channel partners which are considered as end customers, as well as direct customers of the Company: Year ended December 31, 2018 2017 2016 Europe $ 45,730 $ 40,394 $ 34,279 Asia and Oceania 22,018 13,936 27,700 Americas 14,363 15,532 16,025 Middle East and Africa 13,726 12,130 12,365 $ 95,837 $ 81,992 $ 90,369
Schedule of Major Customers	The following are the Company’s major customers: Year ended December 31, 2018 2017 2016 Customer A 22 % 32 % 25 % Customer B - - 17 % 22 % 32 % 42 %
Schedule of Long-Lived Assets by Geographic Location	The following presents total long-lived assets as of December 31, 2018 and 2017: December 31, 2018 2017 Long-lived assets: Israel $ 5,931 $ 4,741 United States 4 14 Other 313 247 $ 6,249 $ 5,002

FINANCIAL INCOME (EXPENSES), _2

FINANCIAL INCOME (EXPENSES), NET (Tables)	12 Months Ended
	Dec. 31, 2018
Other Income and Expenses [Abstract]
Schedule of Financial Income, Net	Year ended December 31, 2018 2017 2016 Financial income: Interest income $ 2,696 $ 2,513 $ 2,466 Exchange rate differences and other 305 - - Financial expenses: Exchange rate differences and other - 602 186 Amortization/accretion of premium/discount on marketable securities, net 793 1,017 1,221 $ 2,208 $ 894 $ 1,059

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	12 Months Ended
	Dec. 31, 2018
Net loss per share:
Schedule of the Computation of Basic and Diluted Net Earnings (Loss) per Share	The following table sets forth the computation of basic and diluted net loss per share: Year ended December 31, 2018 2017 2016 Numerator: Net loss $ (10,415 ) $ (18,072 ) $ (7,994 ) Denominator: Weighted average number of shares outstanding used in computing basic and diluted net loss per share 33,710,507 33,253,158 33,202,309 Basic and diluted net loss per share $ (0.31 ) $ (0.54 ) $ (0.24 )

GENERAL (Narrative) (Details)

GENERAL (Narrative) (Details) - USD ($) $ in Thousands	Jan. 14, 2018	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Business Acquisition [Line Items]
Cash paid to acquire entity		$ 3,048
Acquisition transaction costs		1,100
Holdback amount		484
Net cash acquired assets		132
Acquisition costs recorded to operating expenses		49
Netonomy LTD [Member]
Business Acquisition [Line Items]
Acquisition date	Jan. 14, 2018
Cash paid to acquire entity	$ 3,180
Total purchase consideration	4,380
Fair value of contingent liability	$ 1,041	$ 1,056
Payment term for contingent consideration	2 years 6 months
Holdback amount	$ 1,100
Restricted holdback amount	$ 797
Description of claims for indemnification	Paid in three installments consisting each one 40%, 40% and 20% of the Holdback amount following the first, second and 30-months anniversaries of the Closing Date.

GENERAL (Schedule of Estimated

GENERAL (Schedule of Estimated Fair Values of Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Jan. 14, 2018	Dec. 31, 2017
Business Acquisition [Line Items]
Goodwill	$ 32,432		$ 31,562
Netonomy LTD [Member]
Business Acquisition [Line Items]
Non-current assets		$ 4
Account Payable		(11)
Other Payables		(142)
IPR&D		3,659
Goodwill		870
Net assets acquired		$ 4,380

SIGNIFICANT ACCOUNTING POLICI_4

SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) - USD ($) $ in Thousands	Jan. 02, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Restricted Cash and Cash Equivalents Items [Line Items]
Short-term deposits, weighted average interest rate		2.82%	1.63%
Short-term bank deposits due to hedging transacations		$ 2,500	$ 2,581
Inventory write-offs		2,231	1,260	$ 1,004
Cumulative inventory write-off		2,818	2,756
Impairment of intangible assets
Reserve for sales returns		191	686
Advertising expenses		1,270	1,236	1,081
Severance expense		$ 1,950	$ 1,801	$ 1,976
Annual post-vesting forfeiture rate		41.00%	41.00%	41.00%
Annual pre-vesting forfeiture rate		33.00%	33.00%	33.00%
Allowance for doubtful accounts		$ 1,415	$ 1,292
Grants participations excluded from research and development costs		$ 374	392	$ 606
Weighted average cost of debt		2.00%
Changes in deferred revenue		$ 712
Cumulative-effect adjustment to retained earnings		712
Remaining performance obligations		5,279
Amortization of deferred commission		1,462
Revenues		95,837	$ 81,992	$ 90,369
Adoption of ASC 606, Effect [Member]
Restricted Cash and Cash Equivalents Items [Line Items]
Revenues		$ 92
Optenet [Member]
Restricted Cash and Cash Equivalents Items [Line Items]
Expected volatility		42.50%
Netonomy [Member]
Restricted Cash and Cash Equivalents Items [Line Items]
Expected volatility		20.70%
Subsequent Event [Member]
Restricted Cash and Cash Equivalents Items [Line Items]
Right of use of asstes and liabilities	$ 6,700

SIGNIFICANT ACCOUNTING POLICI_5

SIGNIFICANT ACCOUNTING POLICIES (Schedule of Cumulative Balance Sheet Adjustments - Adoption of Topic 606) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Jan. 02, 2018	Dec. 31, 2017
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Deferred revenue, short term	$ 13,855	$ 11,059	$ 11,370
Deferred revenue, long term	4,247	3,803	3,878
Trade receivables	26,093	23,063	22,737
Accumulated deficit	(131,950)	121,535	$ (122,247)
Adjustments [Member]
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Deferred revenue, short term		(311)
Deferred revenue, long term		(75)
Trade receivables		326
Accumulated deficit		$ (712)
Amounts under Topic 605 [Member]
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Deferred revenue, short term	14,152
Deferred revenue, long term	4,264
Trade receivables	25,603
Accumulated deficit	132,754
Impact of Adoption [Member] | Accounting Standards Update 606 [Member]
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Deferred revenue, short term	(297)
Deferred revenue, long term	(17)
Trade receivables	490
Accumulated deficit	(804)
As reported [Member]
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Deferred revenue, short term	13,855
Deferred revenue, long term	4,247
Trade receivables	26,093
Accumulated deficit	$ 131,950

SIGNIFICANT ACCOUNTING POLICI_6

SIGNIFICANT ACCOUNTING POLICIES (Schedule of Estimated Useful Lives at Annual Rates) (Details)	12 Months Ended
	Dec. 31, 2018
Lab equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives, annual rate	16.00%
Lab equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives, annual rate	25.00%
Computers and peripheral equipment [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives, annual rate	33.00%
Office furniture and equipment [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives, annual rate	6.00%
Leasehold improvements [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives	Over the shorter of the term of the lease or the useful life of the asset

SIGNIFICANT ACCOUNTING POLICI_7

SIGNIFICANT ACCOUNTING POLICIES (Schedule of Stock-Based Compensation Expense) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	$ 2,862	$ 3,366	$ 5,141
Cost of revenues [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	316	362	367
Research and development [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	678	648	1,240
Sales and marketing [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	928	1,166	1,833
General and administrative [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	$ 940	$ 1,190	$ 1,701

SIGNIFICANT ACCOUNTING POLICI_8

SIGNIFICANT ACCOUNTING POLICIES (Schedule of Stock-Based Compensation Assumptions) (Details)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accounting Policies [Abstract]
Suboptimal exercise multiple, minimum	2.9	2.9	2.9
Suboptimal exercise multiple, maximum	3.5	3.5	3.5
Risk free interest rate, minimum	2.09%	0.80%	0.47%
Risk free interest rate, maximum	3.05%	2.20%	1.58%
Volatility, minimum	26.00%	27.00%	33.00%
Volatility, maximum	47.00%	49.00%	51.00%
Dividend yield	0.00%	0.00%	0.00%

SIGNIFICANT ACCOUNTING POLICI_9

SIGNIFICANT ACCOUNTING POLICIES (Schedule of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance	$ 36	$ (149)
Changes in other comprehensive income (loss) before reclassifications	(1,696)
Amounts reclassified from accumulated other comprehensive income (loss) to :
Net current-period other comprehensive income (loss)	(803)	185	$ 321
Balance	(767)	36	$ (149)
Unrealized gains (losses) on cash flow hedges [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance	159
Changes in other comprehensive income (loss) before reclassifications	(1,480)
Amounts reclassified from accumulated other comprehensive income (loss) to :
Net current-period other comprehensive income (loss)	(577)
Balance	(418)	159
Unrealized losses on marketable securities [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance	(123)
Changes in other comprehensive income (loss) before reclassifications	(216)
Amounts reclassified from accumulated other comprehensive income (loss) to :
Net current-period other comprehensive income (loss)	(226)
Balance	(349)	$ (123)
Cost of revenues [Member]
Amounts reclassified from accumulated other comprehensive income (loss) to :
Amounts reclassified from accumulated other comprehensive income	80
Cost of revenues [Member] | Unrealized gains (losses) on cash flow hedges [Member]
Amounts reclassified from accumulated other comprehensive income (loss) to :
Amounts reclassified from accumulated other comprehensive income	80
Cost of revenues [Member] | Unrealized losses on marketable securities [Member]
Amounts reclassified from accumulated other comprehensive income (loss) to :
Amounts reclassified from accumulated other comprehensive income
Operating expenses [Member]
Amounts reclassified from accumulated other comprehensive income (loss) to :
Amounts reclassified from accumulated other comprehensive income	823
Operating expenses [Member] | Unrealized gains (losses) on cash flow hedges [Member]
Amounts reclassified from accumulated other comprehensive income (loss) to :
Amounts reclassified from accumulated other comprehensive income	823
Operating expenses [Member] | Unrealized losses on marketable securities [Member]
Amounts reclassified from accumulated other comprehensive income (loss) to :
Amounts reclassified from accumulated other comprehensive income
Financial income, net [Member]
Amounts reclassified from accumulated other comprehensive income (loss) to :
Amounts reclassified from accumulated other comprehensive income	(10)
Financial income, net [Member] | Unrealized gains (losses) on cash flow hedges [Member]
Amounts reclassified from accumulated other comprehensive income (loss) to :
Amounts reclassified from accumulated other comprehensive income
Financial income, net [Member] | Unrealized losses on marketable securities [Member]
Amounts reclassified from accumulated other comprehensive income (loss) to :
Amounts reclassified from accumulated other comprehensive income	$ (10)

AVAILABLE-FOR-SALE MARKETABLE_3

AVAILABLE-FOR-SALE MARKETABLE SECURITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Debt Securities, Available-for-sale [Line Items]
Amortized cost	$ 64,639	$ 63,317
Gross unrealized gain	10	92
Gross unrealized loss	(359)	(215)
Fair value	64,290	63,194
Available-for-sale securities matures within one year [Member]
Debt Securities, Available-for-sale [Line Items]
Amortized cost	39,607	25,192
Gross unrealized gain	6	28
Gross unrealized loss	(100)	(23)
Fair value	39,513	25,197
Available-for-sale securities matures within one year [Member] | Governmental debentures [Member]
Debt Securities, Available-for-sale [Line Items]
Amortized cost	1,799	573
Gross unrealized gain		20
Gross unrealized loss	(2)	(1)
Fair value	1,797	592
Available-for-sale securities matures within one year [Member] | Corporate debentures [Member]
Debt Securities, Available-for-sale [Line Items]
Amortized cost	37,808	24,619
Gross unrealized gain	6	8
Gross unrealized loss	(98)	(22)
Fair value	37,716	24,605
Available-for-sale securities matures after one year through three years [Member]
Debt Securities, Available-for-sale [Line Items]
Amortized cost	24,931	37,920
Gross unrealized gain	4	64
Gross unrealized loss	(257)	(188)
Fair value	24,678	37,796
Available-for-sale securities matures after one year through three years [Member] | Governmental debentures [Member]
Debt Securities, Available-for-sale [Line Items]
Amortized cost	476	108
Gross unrealized gain
Gross unrealized loss	(4)	(1)
Fair value	472	107
Available-for-sale securities matures after one year through three years [Member] | Corporate debentures [Member]
Debt Securities, Available-for-sale [Line Items]
Amortized cost	24,455	37,812
Gross unrealized gain	4	64
Gross unrealized loss	(253)	(187)
Fair value	24,206	37,689
Available-for-sale securities matures after three year through five years [Member]
Debt Securities, Available-for-sale [Line Items]
Amortized cost	101	205
Gross unrealized gain
Gross unrealized loss	(2)	(4)
Fair value	99	201
Available-for-sale securities matures after three year through five years [Member] | Governmental debentures [Member]
Debt Securities, Available-for-sale [Line Items]
Amortized cost
Gross unrealized gain
Gross unrealized loss
Fair value
Available-for-sale securities matures after three year through five years [Member] | Corporate debentures [Member]
Debt Securities, Available-for-sale [Line Items]
Amortized cost	101	205
Gross unrealized gain
Gross unrealized loss	(2)	(4)
Fair value	$ 99	$ 201

FAIR VALUE MEASUREMENTS (Schedu

FAIR VALUE MEASUREMENTS (Schedule of Financial Assets Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale marketable securities	$ 64,290	$ 63,194
Foreign currency derivative contracts	(324)	18
Earn-out liability	(6,051)	(5,267)
Total financial net assets	57,915	57,945
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale marketable securities
Foreign currency derivative contracts
Total financial net assets
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale marketable securities	64,290	63,194
Foreign currency derivative contracts	(324)	18
Earn-out liability
Total financial net assets	63,966	63,212
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale marketable securities
Foreign currency derivative contracts
Earn-out liability	(6,051)	(5,267)
Total financial net assets	$ (6,051)	$ (5,267)

FAIR VALUE MEASUREMENTS (Sche_2

FAIR VALUE MEASUREMENTS (Schedule of Fair value measurements using significant unobservable inputs) (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2018USD ($)
Fair Value Measurements Schedule Of Fair Value Measurements Using Significant Unobservable Inputs
Balance at January 1, 2018	$ 5,267
Earn Out liability - Netonomy	1,041
Earn Out liability adjustments due to exchange rates	(244)
Adjustment due to change in forecast and time value of earn-out consideration	(33)
Balance at December 31, 2018	$ 6,051

DERIVATIVE INSTRUMENTS (Narrati

DERIVATIVE INSTRUMENTS (Narrative) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Net losses recognized from currency transactions	$ 1,480	$ (1,801)	$ 286
Unrealized gain (loss) on forward contracts, net	(418)	159	(61)
Outstanding hedge transactions	20,816	14,994
Non-designated hedge transactions	16,023	24,593
Gain (loss) on derivative instruments reclassified from OCI to operating expenses	903	(796)	$ (242)
Changes in fair value of derivatives not designated as hedging instrument	$ 94	$ (141)

DERIVATIVE INSTRUMENTS (Schedul

DERIVATIVE INSTRUMENTS (Schedule of the Fair Value Open Foreign Exchange Contracts) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Fair value of foreign exchange hedge transactions	$ 56	$ 160
Fair value of foreign exchange hedge transactions	(474)	(1)
Total derivatives designated as hedging instruments	$ (418)	$ 159

DERIVATIVE INSTRUMENTS (Sched_2

DERIVATIVE INSTRUMENTS (Schedule of the Fair value of the outstanding non-designated foreign exchange contracts) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Derivative Instruments Schedule Of Fair Value Of Outstanding Non-designated Foreign Exchange Contracts
Fair value of foreign exchange non-designated hedge transactions	$ 94	$ 6
Fair value of foreign exchange non-designated hedge transactions		(147)
Total derivatives non-designated as hedging instruments	$ 94	$ (141)

OTHER RECEIVABLES AND PREPAID_3

OTHER RECEIVABLES AND PREPAID EXPENSES (Schedule of Other Accounts Receivable and Prepaid Expenses) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Prepaid expenses	$ 1,635	$ 1,172
Government authorities	1,327	919
Short-term lease deposits	159	145
Others	376	247
Other receivables and prepaid expenses	3,647	2,649
Foreign Exchange Contract [Member]
Foreign currency derivative contracts	$ 150	$ 166

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Inventory Disclosure [Abstract]
Raw materials	$ 551	$ 1,220
Finished goods	10,794	6,677
Total inventory	11,345	7,897
Cost of goods sold, deferred finished goods inventory	$ 1,336	$ 901

PROPERTY AND EQUIPMENT, NET (De

PROPERTY AND EQUIPMENT, NET (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Line Items]
Cost	$ 40,127	$ 36,923
Accumulated depreciation	33,878	31,921
Deprecated cost	6,249	5,002
Depreciation	2,203	2,191	$ 2,334
Lab equipment [Member]
Property, Plant and Equipment [Line Items]
Cost	16,038	14,613
Accumulated depreciation	13,273	12,066
Computers and peripheral equipment [Member]
Property, Plant and Equipment [Line Items]
Cost	20,680	19,430
Accumulated depreciation	19,039	18,430
Office furniture and equipment [Member]
Property, Plant and Equipment [Line Items]
Cost	1,197	1,071
Accumulated depreciation	598	550
Leasehold improvements [Member]
Property, Plant and Equipment [Line Items]
Cost	2,212	1,809
Accumulated depreciation	$ 968	$ 875

INTANGIBLE ASSETS, NET (Narrati

INTANGIBLE ASSETS, NET (Narrative) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense	$ 1,631	$ 1,477	$ 1,709

INTANGIBLE ASSETS, NET (Schedul

INTANGIBLE ASSETS, NET (Schedule of Intangible Assets) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Finite-Lived Intangible Assets [Line Items]
Cost	$ 18,239	$ 14,580
Accumulated amortization	13,278	11,647
Total	$ 4,961	2,933
Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted Average Useful life (Years)	3 years 9 months 18 days
Cost	$ 9,111	9,111
Accumulated amortization	$ 8,563	7,633
Backlog [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted Average Useful life (Years)	2 years 9 months 18 days
Cost	$ 1,877	1,877
Accumulated amortization	$ 1,877	1,877
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted Average Useful life (Years)	4 years 4 months 24 days
Cost	$ 3,592	3,592
Accumulated amortization	$ 2,838	2,137
IP R&D [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted Average Useful life (Years)	6 years
Cost	$ 3,659
Accumulated amortization

INTANGIBLE ASSETS, NET (Sched_2

INTANGIBLE ASSETS, NET (Schedule of Estimated Amortization Expense) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
2019	$ 1,454
2020	610
2021	610
Thereafter	2,287
Total	$ 4,961	$ 2,933

OTHER PAYABLES AND ACCRUED EX_3

OTHER PAYABLES AND ACCRUED EXPENSES (Details) - USD ($) $ in Thousands		Dec. 31, 2018	Dec. 31, 2017
OTHER PAYABLES AND ACCRUED EXPENSES [Abstract]
Advances from customers		$ 5,700	$ 17
Accrued expenses		3,346	3,011
Accrued taxes		3,356	2,311
Holdback and contingent earnout		484
Provision for returns	[1]	191
Others		144	255
Total other payables and accrued expenses		13,695	5,742
Foreign Exchange Contract [Member]
OTHER PAYABLES AND ACCRUED EXPENSES [Abstract]
Foreign currency derivative contracts		$ 474	$ 148
[1]	Following the adoption of ASC 606, the provision for return was recorded as part of other payables and accrued expenses as of December 31, 2018.

COMMITMENTS AND CONTINGENT LI_3

COMMITMENTS AND CONTINGENT LIABILITIES (Narrative) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Lease period	6 years
Monthly rental expenses	$ 207
Rent expense	2,934	$ 3,126	$ 2,758
Maximum possible litigation amount	$ 190

COMMITMENTS AND CONTINGENT LI_4

COMMITMENTS AND CONTINGENT LIABILITIES (Schedule of Aggregate Future Minimum Lease Obligations) (Details) $ in Thousands	Dec. 31, 2018USD ($)
Commitments and Contingencies Disclosure [Abstract]
2019	$ 2,277
2020	1,751
2021	707
2022	199
2023	116
Total	$ 5,050

SHAREHOLDERS' EQUITY (Narrative

SHAREHOLDERS' EQUITY (Narrative) (Details) ₪ / shares in Units, $ / shares in Units, ₪ in Thousands, $ in Thousands	1 Months Ended		12 Months Ended
	May 02, 2016USD ($)$ / sharesshares	Aug. 31, 2015USD ($)shares	Dec. 31, 2018USD ($)$ / sharesshares	Dec. 31, 2018USD ($)₪ / sharesshares	Dec. 31, 2017USD ($)$ / sharesshares	Dec. 31, 2017USD ($)₪ / sharesshares	Dec. 31, 2016USD ($)$ / sharesshares	Dec. 31, 2016USD ($)₪ / sharesshares	Dec. 31, 2018ILS (₪)₪ / sharesshares	Dec. 31, 2017₪ / shares	Dec. 31, 2015shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share capital, amount authorized | ₪									₪ 20,000
Ordinary shares, shares authorized | shares			200,000,000	200,000,000	200,000,000	200,000,000			200,000,000
Ordinary shares, par value per share | ₪ / shares									₪ 0.1	₪ 0.1
Authorized amount of ordinary shares to repurchase | $		$ 15,000
Number of ordinary shares repurchased | shares		15,000,000					791,000
Purchase of ordinary shares | $							$ 3,832
Intrinsic value of options outstanding | $			1,518	$ 1,518	1,063	$ 1,063	728	$ 728
Intrinsic value of options exercisable | $			1,058	1,058	684	684	604	604
Intrinsic value of options vested and expected to vest | $			1,246	$ 1,246	819	$ 819	634	$ 634
Intrinsic value of options exercised | $			$ 201		$ 176		$ 415
Stock options vested during period | shares			299,406
Weighted average remaining contractual life of options outstanding			4 years 1 month 24 days
Weighted-average remaining contractual life of exercisable options			3 years 8 months 19 days
Weighted-average grant-date fair value of the options granted | ₪ / shares				$ 2.89		$ 2.36		$ 2.12
Options outstanding | shares			1,736,143	1,736,143	2,189,297	2,189,297	1,959,014	1,959,014	1,736,143		2,811,966
Stock options granted | shares			62,200		676,550		643,697
Stock options granted, exercise price | $ / shares			$ 5.91		$ 4.93		$ 4.99
Repricing Program [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period for plan	2 years
Stock options granted | shares	384,635
Stock options granted, exercise price | $ / shares	$ 7
Incremental compensation cost | $	$ 470
Share based compensation | $	$ 155
Stock Compensation Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to non-vested stock options | $			$ 936	$ 936
Unrecognized compensation cost, recognition period			2 years 10 months 17 days
Shares available for future issuance | shares			261,746	261,746					261,746
Vesting period for plan			4 years
Options, expiration period			10 years
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to non-vested stock options | $			$ 5,275	$ 5,275
Unrecognized compensation cost, recognition period			2 years 10 months 17 days
Number of restricted stock units outstanding | shares			1,252,031	1,252,031	713,090	713,090	592,126	592,126	1,252,031
Granted | shares			996,200		612,173
Restricted Stock Units (RSUs) [Member] | 2006 option plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period for plan			4 years
Restricted Stock Units (RSUs) [Member] | 2016 option plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted | shares			996,200		612,173

SHAREHOLDERS' EQUITY (Schedule

SHAREHOLDERS' EQUITY (Schedule of Stock Option Activity) (Details) - $ / shares	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Number of shares upon exercise
Outstanding at beginning of year	2,189,297	1,959,014	2,811,966
Granted	62,200	676,550	643,697
Forfeited	(414,617)	(346,750)	(1,358,492)
Exercised	(100,737)	(99,517)	(138,157)
Outstanding at end of year	1,736,143	2,189,297	1,959,014
Exercisable at end of year	1,281,665	1,274,649	1,072,658
Vested and expected to vest	1,464,802	1,607,782	1,407,930
Weighted average exercise price
Outstanding at beginning of year	$ 7.63	$ 8.24	$ 10.70
Granted	5.91	4.93	4.99
Forfeited	9.79	7.01	12.41
Exercised	4.07	3.56	1.75
Outstanding at end of year	7.26	7.63	8.24
Exercisable at end of year	8.02	9.26	9.87
Vested and expected to vest	$ 7.65	$ 8.44	$ 9.04

SHAREHOLDERS' EQUITY (Schedul_2

SHAREHOLDERS' EQUITY (Schedule of Options Outstanding) (Details) - $ / shares	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Shares upon exercise of options outstanding as of December 31, 2018	1,736,143	2,189,297	1,959,014	2,811,966
Weighted average remaining contractual life	4 years 1 month 24 days
Shares upon exercise of options exercisable as of December 31, 2018	1,281,665	1,274,649	1,072,658
$23.31-27.58 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Prices, minimum	$ 23.31
Exercise Prices, maximum	$ 27.58
Shares upon exercise of options outstanding as of December 31, 2018	73,000
Weighted average remaining contractual life	3 years 6 months
Shares upon exercise of options exercisable as of December 31, 2018	73,000
$15.43-17.07 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Prices, minimum	$ 15.43
Exercise Prices, maximum	$ 17.07
Shares upon exercise of options outstanding as of December 31, 2018	54,936
Weighted average remaining contractual life	2 years 11 months 15 days
Shares upon exercise of options exercisable as of December 31, 2018	54,936
$10.16-14.68 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Prices, minimum	$ 10.16
Exercise Prices, maximum	$ 14.68
Shares upon exercise of options outstanding as of December 31, 2018	179,250
Weighted average remaining contractual life	4 years 8 months 19 days
Shares upon exercise of options exercisable as of December 31, 2018	179,250
$5.01-9.13 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Prices, minimum	$ 5.01
Exercise Prices, maximum	$ 9.13
Shares upon exercise of options outstanding as of December 31, 2018	605,416
Weighted average remaining contractual life	3 years 9 months 22 days
Shares upon exercise of options exercisable as of December 31, 2018	477,222
$0.1-4.95 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Prices, minimum	$ 0.1
Exercise Prices, maximum	$ 4.95
Shares upon exercise of options outstanding as of December 31, 2018	823,541
Weighted average remaining contractual life	4 years 5 months 1 day
Shares upon exercise of options exercisable as of December 31, 2018	497,257

SHAREHOLDERS' EQUITY (Summary o

SHAREHOLDERS' EQUITY (Summary of Restricted Stock Unit Activity) (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Number of shares upon exercise
Outstanding at beginning of year	713,090	592,126
Granted	996,200	612,173
Vested	(312,201)	(326,026)
Forfeited	(145,058)	(165,183)
Unvested at end of year	1,252,031	713,090
Weighted average share price
Outstanding at beginning of year	$ 6.04	$ 6.53
Granted	5.54	5
Vested	5.72	6.48
Forfeited	5.01	6.04
Unvested at end of year	$ 5.45	$ 6.04

TAXES ON INCOME (Narrative) (De

TAXES ON INCOME (Narrative) (Details) ₪ in Thousands, $ in Thousands	1 Months Ended	12 Months Ended
	Dec. 31, 2017ILS (₪)	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)
Taxes On Income [Line Items]
Revenues		$ 95,837	$ 81,992	$ 90,369
Israeli Income tax rate		23.00%	24.00%	25.00%
Tax-exempt period		2 years
Dividend, withholding tax rate		15.00%
Patent use right, period		8 years
Expense deductible period		3 years
Net operating loss carry forwards		$ 57,715
Net operating loss offset limitation, percentage of accumulated losses		14.00%
Net operating loss offset limitation, percentage of taxable income		50.00%
Capital loss carry forwards		$ 27,243
Provision		243
Deferred tax assets valuation allowance		$ 24,790	$ 23,601
Commencement Of Production [Member]
Taxes On Income [Line Items]
Tax benefit period		12 years
Approval Date [Member]
Taxes On Income [Line Items]
Tax benefit period		14 years
Development Zone A [Member]
Taxes On Income [Line Items]
Israeli Income tax rate			9.00%	9.00%
Change in corporate tax rate		7.50%
Outside Development Zone [Member]
Taxes On Income [Line Items]
Israeli Income tax rate			16.00%	16.00%
Israel [Member]
Taxes On Income [Line Items]
Write-off prepaid and withholding taxes		$ 5,646
Preferred Enterprise [Member]
Taxes On Income [Line Items]
Revenues | ₪	₪ 10,000,000
Israeli Income tax rate	12.00%
Special Technological Preferred Enterprise [Member]
Taxes On Income [Line Items]
Revenues | ₪	₪ 10,000,000
Israeli Income tax rate	6.00%
Israeli resident corporation [Member]
Taxes On Income [Line Items]
Dividend, withholding tax rate		20.00%	20.00%	20.00%
Israeli resident individual [Member]
Taxes On Income [Line Items]
Dividend, withholding tax rate		20.00%	20.00%	20.00%
non-Israeli resident [Member]
Taxes On Income [Line Items]
Dividend, withholding tax rate		20.00%	20.00%	20.00%
Minimum [Member]
Taxes On Income [Line Items]
Change in corporate tax rate		24.00%
Tax-exempt period		5 years
Minimum [Member] | United States of America [Member]
Taxes On Income [Line Items]
Net operating loss carry forwards		$ 5,948
Expiration of operating loss carry forward		Dec. 31, 2026
Maximum [Member]
Taxes On Income [Line Items]
Change in corporate tax rate		25.00%
Tax-exempt period		8 years
Maximum [Member] | United States of America [Member]
Taxes On Income [Line Items]
Net operating loss carry forwards		$ 7,556
Expiration of operating loss carry forward		Dec. 31, 2037

TAXES ON INCOME (Schedule of Pr

TAXES ON INCOME (Schedule of Pre-tax Income (Loss)) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Tax Disclosure [Abstract]
Domestic	$ (9,877)	$ (17,539)	$ (7,033)
Foreign	1,890	1,031	1,243
Pre-tax income (loss)	$ (7,987)	$ (16,508)	$ (5,790)

TAXES ON INCOME (Schedule of th

TAXES ON INCOME (Schedule of the Reconciliation of the Theoretical Tax Expense) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Tax Disclosure [Abstract]
Loss before taxes on income	$ (7,987)	$ (16,508)	$ (5,790)
Theoretical tax income computed at the Israeli statutory tax rate (23%, 24% and 25% for the years 2018, 2017 and 2016, respectively)	(1,837)	(3,962)	(1,448)
Changes in valuation allowance	1,189	8,946	(469)
Increase (decrease) in losses and temporary differences due to change in Israeli corporate and "Approved Enterprise" tax	659	(5,376)	(216)
Write off of prepaid and withholding taxes	1,828	909	1,759
Foreign tax rates differences related to subsidiaries	50	(48)	576
Non-deductible expenses and other	65	684	567
Non-deductible share-based compensation expense	474	411	1,435
Income tax expense	$ 2,428	$ 1,564	$ 2,204
Israeli Income tax rate	23.00%	24.00%	25.00%

TAXES ON INCOME (Schedule of In

TAXES ON INCOME (Schedule of Income Tax Expense (Benefit)) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Tax Disclosure [Abstract]
Current taxes	$ 580	$ 689	$ 211
Deferred taxes expense (benefit)	20	(34)	234
Write off of prepaid and withholding taxes	1,828	909	1,759
Income tax expense	$ 2,428	$ 1,564	$ 2,204

TAXES ON INCOME (Schedule of De

TAXES ON INCOME (Schedule of Deferred Income Taxes) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Deferred tax assets:
Operating and capital loss carry forwards	$ 21,348	$ 20,102
Reserves and allowances	3,723	3,800
Deferred tax asset before valuation allowance	25,071	23,902
Valuation allowance	(24,790)	(23,601)
Net deferred tax asset	281	301
Deferred tax liability
Net deferred tax asset	$ 281	$ 301

GEOGRAPHIC INFORMATION (Schedul

GEOGRAPHIC INFORMATION (Schedule of Revenue by Geographic Location) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	$ 95,837	$ 81,992	$ 90,369
Europe [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	45,730	40,394	34,279
Asia And Oceania [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	22,018	13,936	27,700
Americas [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	14,363	15,532	16,025
Middle East And Africa [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	$ 13,726	$ 12,130	$ 12,365

GEOGRAPHIC INFORMATION (Sched_2

GEOGRAPHIC INFORMATION (Schedule of Major Customers) (Details)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Revenue, Major Customer [Line Items]
Concentration risk percentage	74.00%
Network intelligence solutions [Member]
Revenue, Major Customer [Line Items]
Concentration risk percentage	26.00%
Sales [Member]
Revenue, Major Customer [Line Items]
Concentration risk percentage	22.00%	32.00%	42.00%
Sales [Member] | Customer A [Member]
Revenue, Major Customer [Line Items]
Concentration risk percentage	22.00%	32.00%	25.00%
Sales [Member] | Customer B [Member]
Revenue, Major Customer [Line Items]
Concentration risk percentage			17.00%

GEOGRAPHIC INFORMATION (Sched_3

GEOGRAPHIC INFORMATION (Schedule of Long-Lived Assets) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Segment Reporting, Asset Reconciling Item [Line Items]
Long-lived assets	$ 6,249	$ 5,002
Israel [Member]
Segment Reporting, Asset Reconciling Item [Line Items]
Long-lived assets	5,931	4,741
United States [Member]
Segment Reporting, Asset Reconciling Item [Line Items]
Long-lived assets	4	14
Other [Member]
Segment Reporting, Asset Reconciling Item [Line Items]
Long-lived assets	$ 313	$ 247

FINANCIAL INCOME (EXPENSES), _3

FINANCIAL INCOME (EXPENSES), NET (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Financial income:
Interest income	$ 2,696	$ 2,513	$ 2,466
Exchange rate differences and other	305
Financial expenses:
Exchange rate differences and other		602	186
Amortization/accretion of premium/discount on marketable securities, net	793	1,017	1,221
Financial and other expenses, total	$ 2,208	$ 894	$ 1,059

EARNINGS PER SHARE (Schedule of

EARNINGS PER SHARE (Schedule of Basic and Diluted Net Earnings (loss) Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Numerator:
Net loss	$ (10,415)	$ (18,072)	$ (7,994)
Weighted average number of shares used in per share computations of net earnings (loss):
Weighted average number of shares outstanding used in computing basic and diluted net loss per share	33,710,507	33,253,158	33,202,309
Basic and diluted net loss per share	$ (0.31)	$ (0.54)	$ (0.24)