Guidance Software Inactive 10-K24 Feb 152014 FY Annual reportFinancial data

Company Profile

Document_and_Entity_Informatio

Document and Entity Information (USD $)	12 Months Ended
Document and Entity Information (USD $)	Dec. 31, 2014	Feb. 18, 2015	Jun. 30, 2014
Document and Entity Information
Entity Registrant Name	Guidance Software, Inc.
Entity Central Index Key	1375557
Document Type	10-K
Document Period End Date	31-Dec-14
Amendment Flag	FALSE
Current Fiscal Year End Date	-19
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float			$77,058,000
Entity Common Stock, Shares Outstanding		29,934,000
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	FY

CONSOLIDATED_BALANCE_SHEETS

CONSOLIDATED BALANCE SHEETS (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$18,355	$19,919
Restricted cash	153
Trade receivables, net of allowance for doubtful accounts of $634 and $815, respectively	20,255	19,027
Inventory	2,684	1,928
Prepaid expenses and other current assets	5,054	4,148
Total current assets	46,501	45,022
Long-term assets:
Property and equipment, net	14,558	18,464
Intangible assets, net	7,766	9,953
Goodwill	14,632	14,632
Other assets	2,370	1,160
Total long-term assets	39,326	44,209
Total assets	85,827	89,231
Current liabilities:
Accounts payable	5,919	5,517
Accrued liabilities	8,407	10,148
Capital lease obligations	67	182
Deferred revenues	39,128	37,316
Total current liabilities	53,521	53,163
Long-term liabilities:
Deferred rent	7,661	7,058
Other long-term liabilities	645	158
Deferred revenues	6,232	4,347
Deferred tax liabilities	584	465
Total long-term liabilities	15,122	12,028
Commitments and contingencies (Notes 11 and 15)
Stockholders' equity:
Preferred stock, $0.001 par value: 10,000,000 shares authorized; no shares issued or outstanding
Common stock, $0.001 par value; 100,000,000 shares authorized; 31,155,000 and 30,539,000 shares issued, respectively; 29,376,000 and 28,760,000 shares outstanding, respectively	25	25
Additional paid-in capital	110,265	102,392
Treasury stock, at cost, 1,779,000 and 1,779,000 shares, respectively	-11,479	-11,479
Accumulated deficit	-81,627	-66,898
Total stockholders' equity	17,184	24,040
Total liabilities and stockholders' equity	$85,827	$89,231

CONSOLIDATED_BALANCE_SHEETS_Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
CONSOLIDATED BALANCE SHEETS
Trade receivables, allowance for doubtful accounts (in dollars)	$634	$815
Preferred stock, par value (in dollars per share)	$0.00	$0.00
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	31,155,000	30,539,000
Common stock, shares outstanding	29,376,000	28,760,000
Treasury stock, shares	1,779,000	1,779,000

CONSOLIDATED_STATEMENTS_OF_OPE

CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)	12 Months Ended
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Revenues:
Product revenue	$34,412	$34,203	$56,116
Subscription revenue	7,406	10,345	9,202
Services and maintenance revenues	66,838	65,976	64,152
Total revenues	108,656	110,524	129,470
Cost of revenues (excluding amortization and depreciation, shown below):
Cost of product revenue	8,427	7,450	7,982
Cost of subscription revenue	4,574	4,314	3,722
Cost of services and maintenance revenues	23,005	25,756	24,733
Total cost of revenues (excluding amortization and depreciation, shown below)	36,006	37,520	36,437
Operating expenses:
Selling and marketing	39,011	41,486	42,278
Research and development	22,998	27,744	24,459
General and administrative	18,350	17,403	21,224
Depreciation and amortization	7,426	7,678	6,859
Total operating expenses	87,785	94,311	94,820
Operating loss	-15,135	-21,307	-1,787
Other income and expense:
Interest income	13	22	39
Interest expense	-12	-34	-72
Other income, net	669	36	25
Total other income and expense	670	24	-8
Loss before income taxes	-14,465	-21,283	-1,795
Income tax provision	264	217	188
Net loss	($14,729)	($21,500)	($1,983)
Net loss per share calculation:
Net loss per common share - basic (in dollars per share)	($0.55)	($0.83)	($0.08)
Net loss per common share - diluted (in dollars per share)	($0.55)	($0.83)	($0.08)
Weighted average number of shares used in per share calculation:
Shares used in the calculation of net loss per common share- basic	26,758	25,757	24,577
Shares used in the calculation of net loss per common share - diluted	26,758	25,757	24,577

CONSOLIDATED_STATEMENTS_OF_STO

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (USD $)	Common Stock	Additional Paid-in Capital	Treasury Stock	Accumulated Deficit	Total
In Thousands, except Share data, unless otherwise specified	Common Stock	Additional Paid-in Capital	Treasury Stock	Accumulated Deficit	Total
Balances at Dec. 31, 2011 (Previously Reported)	$23	$74,297	($6,594)	($43,415)	$24,311
Balances at Dec. 31, 2011	23	74,297	-6,594	-43,415	24,311
Balances (in shares) at Dec. 31, 2011 (Previously Reported)	23,342,000		1,288,000
Balances (in shares) (Correction)	1,909,000
Balances (in shares) at Dec. 31, 2011	25,251,000		1,288,000
Increase (Decrease) in Stockholders' Equity
Stock issued in acquisition	1	9,497			9,498
Stock issued in acquisition (in shares)	850,000
Share-based compensation		5,851			5,851
Exercise of stock options	1	3,392			3,393
Exercise of stock options (in shares)	647,000
Grant of restricted stock awards, net of forfeitures (in shares)	1,251,000
Common stock repurchased or withheld			-2,050		-2,050
Common stock repurchased or withheld (in shares)	-207,000		207,000
Net loss				-1,983	-1,983
Balances at Dec. 31, 2012	25	93,037	-8,644	-45,398	39,020
Balances (in shares) at Dec. 31, 2012	27,792,000		1,495,000
Increase (Decrease) in Stockholders' Equity
Share-based compensation		7,626			7,626
Exercise of stock options		1,729			1,729
Exercise of stock options (in shares)	293,000
Grant of restricted stock awards, net of forfeitures (in shares)	959,000
Common stock repurchased or withheld			-2,835		-2,835
Common stock repurchased or withheld (in shares)	-284,000		284,000
Net loss				-21,500	-21,500
Balances at Dec. 31, 2013	25	102,392	-11,479	-66,898	24,040
Balances (in shares) at Dec. 31, 2013	28,760,000		1,779,000		28,760,000
Increase (Decrease) in Stockholders' Equity
Share-based compensation		6,694			6,694
Exercise of stock options		1,179			1,179
Exercise of stock options (in shares)	244,000
Grant of restricted stock awards, net of forfeitures (in shares)	372,000
Net loss				-14,729	-14,729
Balances at Dec. 31, 2014	$25	$110,265	($11,479)	($81,627)	$17,184
Balances (in shares) at Dec. 31, 2014	29,376,000		1,779,000		29,376,000

CONSOLIDATED_STATEMENTS_OF_CAS

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Operating Activities:
Net loss	($14,729)	($21,500)	($1,983)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization	7,426	7,678	6,859
Provision for doubtful accounts		600	-47
Share-based compensation	6,694	7,626	5,851
Reduction in contingent consideration payable		-600
Gain on sale of domain name	-630
Deferred taxes	87	78	86
Loss on disposal of assets	249	184	85
Changes in operating assets and liabilities, net of acquisitions:
Restricted cash.	-153
Trade receivables	-1,228	3,931	-933
Inventory	-756	80	-614
Prepaid expenses and other assets	-1,453	1,798	131
Accounts payable	1,296	2,104	-285
Accrued liabilities	-1,138	2,663	-326
Deferred revenues	3,697	-1,789	570
Net cash (used in)provided by operating activities	-638	2,853	9,394
Investing Activities:
Purchase of property and equipment	-1,911	-13,231	-4,022
Acquisition, net of cash acquired			-9,642
Net cash used in investing activities	-1,911	-13,231	-13,664
Financing Activities:
Proceeds from the exercise of stock options	1,179	1,729	3,393
Common stock repurchased or withheld		-2,835	-2,050
Principal payments on capital lease obligations and other obligations	-194	-1,203	-1,515
Net cash provided by(used in) financing activities	985	-2,309	-172
Net decrease in cash and cash equivalents	-1,564	-12,687	-4,442
Cash and cash equivalents, beginning of period	19,919	32,606	37,048
Cash and cash equivalents, end of period	18,355	19,919	32,606
Supplemental disclosures of cash flow information:
Interest expense paid	13	38	68
Income taxes paid	94	43	47
Supplemental disclosures of non-cash investing and financing activities:
Purchase of equipment included in accounts payable and accrued expenses	281	409	202
Capital lease obligations incurred to acquire assets	76	141	131
Third party software financing			1,800
Contingent consideration included in the purchase price of acquisition			600
849,554 shares of common stock issued as part of the purchase price of acquisition			$9,498

CONSOLIDATED_STATEMENTS_OF_CAS1

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical)	12 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical)	Dec. 31, 2012
CONSOLIDATED STATEMENTS OF CASH FLOWS
Common stock issued as part of the purchase price of acquisition	849,554

Description_of_the_Business

Description of the Business	12 Months Ended
Description of the Business	Dec. 31, 2014
Description of the Business
Description of the Business
	Note 1. Description of the Business

	General

	Guidance Software, Inc. was incorporated in the state of California in 1997 and reincorporated in Delaware on December 11, 2006. Guidance and its subsidiaries are collectively referred to herein as “Guidance,” “we,” “our,” or the “Company.” Headquartered in Pasadena, California, Guidance is a global provider of software and hardware solutions to conduct digital investigations.

	Our main products are: EnCase® Enterprise, a comprehensive, network-enabled digital investigative solution that enables corporations and government agencies to search, collect, preserve and analyze data across all of the servers, desktops and laptops that comprise their entire network from a single location; EnCase® eDiscovery, which automates the search, collection, preservation and processing of electronically stored information for litigation and compliance purposes; EnCase® Cybersecurity, which provides the ability to identify potential threats and analyze them, identify other advanced hacking techniques that evade traditional network or host-based defenses, provides investigative capabilities that target confidential or sensitive data, and mitigates risk by removing sensitive data from unauthorized locations; EnCase® Forensic, a desktop-based product primarily used by law enforcement and government agencies for collecting, preserving, analyzing and authenticating electronic computer forensic data for use in criminal and civil court proceedings. In 2009, we launched EnCase® Portable, a data acquisition solution that enables customers to leverage the search and acquisition capabilities of EnCase® software in a wide range of field applications through the use of a portable device and in May 2010, we added a family of data acquisition forensic hardware products including forensic duplicators, multiple write blockers and other hardware through our acquisition of Tableau, LLC (“Tableau”). In February 2012, we added cloud-based document review and production software-as-a-service for corporations and law firms through our acquisition of CaseCentral, Inc. In September 2013, we added EnCase® Analytics, a security intelligence product designed to derive insights from the data generated by endpoint activity. In addition, we complement our offerings with a comprehensive array of professional and training services including technical support and maintenance services to help our customers implement our solutions, conduct investigations and train their IT and legal professionals to effectively and efficiently use our products.

Summary_of_Significant_Account

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2014

Summary of Significant Accounting Policies

Note 2. Summary of Significant Accounting Policies

Basis of Presentation

The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”), and include the accounts of Guidance and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated.

Prior Period Correction

In the Company’s Annual Report on Form 10-K for 2013 the Company disclosed that subsequent to the issuance of the 2012 consolidated financial statements, management concluded that certain share data had been incorrectly reported. The Company’s restricted stock award agreements provide that holders of the restricted stock awards shall have all the rights of a stockholder upon the grant date, including the right to vote as a stockholder. As such, these shares are considered issued and outstanding on the date of grant. Historically, the Company excluded unvested restricted stock awards from the presented quantity of common shares issued and outstanding. The table below highlights the previously reported common stock balances and corrections necessary to reflect the restricted stock awards as issued and outstanding upon the grant date (in thousands).

Common Stock Issued

Common Stock Outstanding

Previously

Correction

Previously

Correction

Reported

Corrected

Reported

Corrected

December 31, 2011

24,630

1,909

26,539

23,342

1,909

25,251

Stock issued in acquisition

850

—

850

—

850

Exercise of stock options

647

—

647

—

647

Grant of restricted stock awards, net of forfeitures

—

1,251

—

1,251

Vesting of restricted stock awards

649

(649

)

—

649

(649

)

—

Common stock repurchased or withheld

—

(207

)

—

(207

)

December 31, 2012 balance

26,776

2,511

29,287

25,281

2,511

27,792

As a result of this change, the Consolidated Statements of Stockholders’ Equity for 2012 was updated to include unvested restricted stock awards. Basic and diluted net income (loss) per common share did not change for the twelve months ended December 31, 2012.

The Company and the Audit Committee have determined that these corrections are not material to the prior periods, the trend of earnings, and the annual 2012 consolidated financial statements.

Use of Estimates and Assumptions

The preparation of financial statements in conformity with GAAP requires management to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. On an ongoing basis, we evaluate these estimates, including those related to revenue recognition, share-based compensation, bad debts, income taxes, contingent consideration, goodwill and long-lived asset impairment, non-monetary transactions, commitments, contingencies and litigation. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Actual results may differ from these estimates.

Cash and Cash Equivalents

We invest excess cash in money market funds and highly liquid debt instruments of the US government and its agencies. Highly liquid investments with stated maturities of three months or less from the date of purchase are classified as cash and cash equivalents.

Restricted Cash

At December 31, 2014, we had $0.2 million of restricted cash held as collateral on outstanding letters of credit, related to our San Francisco office lease.

Fair Value of Financial Instruments

The carrying amounts of cash equivalents, accounts receivable, and accounts payable approximate fair value because of the short-term maturities of these instruments. Based on borrowing rates currently available to us for borrowings with similar terms, the carrying values of our capital lease obligations also approximate fair value.

Trade Receivables

Trade receivables are carried at original invoice amount less an allowance for doubtful accounts. The allowance is established through a provision for bad debt expense. We determine the adequacy of this allowance by evaluating individual customer accounts receivable, through consideration of the customer’s financial condition, credit history and current economic conditions. In addition, we analyze our historical credit loss history and apply these loss rates to our current accounts receivable balances to verify the reasonableness of our allowance. Trade receivables are written off when deemed uncollectible. A trade receivable is generally considered past due if any portion of the receivable balance is outstanding for more than 30 days unless alternate terms are provided.

Inventory

Inventory is comprised of hardware components, packaged software components and finished goods and is valued at the lower of cost or market, using the weighted average cost method. We conduct quarterly inventory reviews for obsolescence, and inventory considered unlikely to be sold is adjusted to net realizable value.

Business Combinations

The purchase price of an acquisition is allocated to the underlying assets acquired and liabilities assumed based upon their estimated fair values at the date of acquisition. To the extent the purchase price exceeds the fair value of the net identifiable tangible and intangible assets acquired and liabilities assumed, such excess is allocated to goodwill. We determine the estimated fair values after review and consideration of relevant information including discounted cash flows, quoted market prices and estimates made by management. Accordingly, these can be affected by certain performance measurements and other factors over time, which may cause final amounts to differ materially from original estimates. We adjust the preliminary purchase price allocation, as necessary, up to periods of one year after the acquisition closing date as we obtain more information regarding asset valuations and liabilities assumed. We refer to this preliminary purchase price allocation period as the measurement period. Goodwill acquired in business combinations is assigned to the reporting unit(s) expected to benefit from the combination as of the acquisition date. Acquisition related costs are recognized separately from the acquisition and are expensed as incurred.

Property and Equipment

The cost of property and equipment, less applicable estimated residual values, is depreciated over the shorter of their estimated useful lives or the life of the lease (if applicable), on the straight-line method, from the date the specific asset is completed, installed, and ready for use, as follows:

Estimated Useful Life

Leasehold improvements

Shorter of life of asset or lease term

Furniture and fixtures

5 years

Computer hardware and software and equipment (tooling, engineering, etc.)

3-5 years

Also included in property and equipment is software maintained for internal use. Internally used software, whether purchased or developed, is capitalized and amortized using the straight-line method over an estimated useful life of two to five years.

Impairment of Long-Lived Assets

We review our long-lived assets for impairment in accordance with Property, Plant and Equipment (ASC 360). Long-lived assets are reviewed for impairment 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 the assets to future net cash flows (undiscounted and without interest) expected to be generated by the asset. 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. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. To date, we have not determined that any of our long-lived assets have been impaired.

Amortization of Intangible Assets with Finite Lives

Intangible assets with finite lives are recorded at the fair value of such assets at the time of acquisition. With the exception of our customer relationships intangible assets, which are amortized on a double-declining basis, the acquisition date fair value of such assets are amortized on a straight-line basis over the estimated useful lives.

Goodwill and Indefinite-Lived Intangibles

Goodwill represents the excess of purchase price over fair value of net assets acquired and is assigned to a reporting unit at the date the goodwill is initially recorded. Goodwill and indefinite-lived intangible assets are not amortized but evaluated for impairment annually, or whenever events or changes in circumstances indicate that the value may not be recoverable. Commencing on January 1, 2013, the Company adopted the ASU 2011-08 issued by the Financial Accounting Standards Board (“FASB”) for the revised guidance on “Testing of Goodwill for Impairment.” Under this guidance, the Company has the option to choose whether it will apply the qualitative assessment first before the quantitative assessment. If a quantitative assessment is necessary a two-step test is performed at the reporting unit level to assess goodwill for impairment. First, the fair value of the reporting unit is compared to its carrying value. If the fair value exceeds the carrying value, the reporting unit is not impaired and no further testing is performed. The second step is performed if the carrying value exceeds the fair value. If the carrying value of the reporting unit exceeds its implied fair value, an impairment loss equal to the difference will be recorded. Indefinite-lived intangible assets are assessed for impairment by comparing the carrying value of the assets with their fair values. If the carrying value of an indefinite-lived intangible asset exceeds its implied fair value, an impairment loss equal to the difference will be recorded.

Application of the impairment test requires significant judgment to estimate the fair value. Changes in estimates and assumptions could materially affect the determination of fair value and/or impairment. See Note 7 — Goodwill and Other Intangibles.

Concentrations of Credit Risk

Financial instruments that potentially subject us to significant concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. We restrict our investments in cash and cash equivalents to financial institutions, US government or federal agency instruments and obligations of corporations with high credit standing. At December 31, 2014, the majority of our cash balances were held at financial institutions located in California, in accounts that are insured by the Federal Deposit Insurance Corporation up to $250,000. Uninsured balances aggregate approximately $18.0 million as of December 31, 2014. At December 31, 2014, all of our cash equivalents consisted of financial institution obligations. We periodically perform credit evaluations of our customers and maintain reserves for potential losses on our accounts receivable. We do not believe we are subject to concentrations of credit risk with respect to such receivables.

Revenue Recognition

We generate revenues principally from the sale of our EnCase® Enterprise and EnCase® Forensic software products. Our Enterprise products include perpetual licenses and are related to our EnCase® Enterprise, EnCase® Cybersecurity, and eDiscovery products. Our Forensic products include revenues related to EnCase® Forensic, EnCase® Portable, and forensic hardware sales. Revenue associated with the sale of software licenses and revenue associated with forensic hardware sales are referred to as product revenue. Revenue associated with cloud-based document review and production software-as-a-service which is referred to as subscription revenue. Revenues are also generated from training courses, implementation services and consulting services in which we assist customers with the performance of digital investigations and train their IT and legal professionals in the use of our software products, which we collectively refer to as services revenues. Our proprietary products are generally sold with one to three years of maintenance, which can be renewed at a stated renewal rate and is referred to as maintenance revenues.

We recognize revenue in accordance with Accounting Standards Update (“ASU”) 2009-13, Multiple-Deliverable Revenue Arrangements, (amendment to Accounting Standards Codification (“ASC”) Topic 605, Revenue Recognition), Revenue Recognition - Software topic (ASC 985-605) and Revenue Recognition (ASC 605). While the standards govern the basis for revenue recognition, significant judgment and the use of estimates are required in connection with the allocation of revenue between product, subscription, services and maintenance revenues, as well as the amount of deferred revenue to be recognized in each accounting period.

Revenue Recognition Criteria: In general, we recognize revenue when the following criteria have been met:

Persuasive evidence of an arrangement: If we either enter into contracts or receive written purchase orders issued by a customer that legally bind us and the customer, we consider that as persuasive evidence of an arrangement.

Delivery: We deem delivery of products to have occurred when the title and risk of ownership have passed to the buyer. Services revenues are considered delivered as they are performed.

Fixed or determinable fee: We consider the fee to be fixed or determinable if the fee is not subject to refund or adjustment and the payment terms are within normal established practices. If the fee is not fixed or determinable, we recognize revenues as amounts become due and payable with respect to transactions with extended payment terms, or as refund rights lapse with respect to transactions containing such provisions, provided all other revenue recognition criteria have been met.

Collection is deemed probable: We conduct a credit review for all significant transactions at the time of the arrangement to determine the credit-worthiness of the customer. Collection is deemed probable if we have a reasonable basis to expect that the customer will pay amounts under the arrangement as payments become due.

Revenue Recognition for Software Products and Software-Related Services (Software Elements)

Software product revenue. The timing of software product revenue recognition is dependent on the nature of the product sold or the structure of the license.

EnCase® Enterprise Solutions and EnCase® Forensic Solutions: Revenue associated with these arrangements, exclusive of amounts allocated to maintenance and other undelivered elements, for which we have vendor-specific objective evidence of fair value (“VSOE”), is recognized upon delivery, provided that all other criteria for revenue recognition have been met. Revenue associated with term licenses are recognized ratably over the term of the license because we have not established VSOE for post-contract customer support in term license arrangements.

Services and maintenance revenues. The majority of our consulting and implementation services are performed under per hour, or fixed fee arrangements. Revenues from such services are recognized as the services are provided or upon expiration of the contractual service period.

Training revenue is either recognized on a per-class basis upon a participant’s attendance or, for those customers who have subscribed to our Annual Training Passport program, revenue is recognized ratably over the annual period.

Maintenance revenue includes technical support and software updates on a when-and-if-available basis. We recognize maintenance revenue ratably over the applicable maintenance period. We determine the amount of maintenance revenue to be allocated through reference to substantive maintenance renewal provisions contained in multiple element arrangements. We consider substantive maintenance provisions to be provisions where the cost of the maintenance renewal, stated in the contract with our customer as a percentage of the product fee.

Revenue Recognition for Multiple-Element Arrangements — Software Products and Software-Related Services (Software Arrangements)

We often enter into arrangements with customers that purchase both software products and software-related services from us at the same time, or within close proximity of one another (referred to as software-related multiple-element arrangements). Such software-related multiple-element arrangements may include the sale of our software products, software maintenance services, which include license updates and product support, consulting/implementation services and training whereby the software license delivery is followed by the subsequent delivery of the other elements. For those software-related multiple-element arrangements, we have applied the residual method to determine the amount of software license revenues to be recognized pursuant to ASC 985-605. Under the residual method, if VSOE exists for the undelivered elements, this amount is deferred with the remaining, or residual, portion of the arrangement consideration recognized upon delivery of the software license, provided all other revenue recognition criteria are met.

Revenue Recognition for Hardware and Subscription Revenues (Nonsoftware Elements)

Hardware product revenue. Revenue associated with the sale of forensic hardware is recognized upon shipment to the customers, which include certain resellers, provided that all other criteria for revenue recognition have been met.

Subscription revenue. Customers pay subscription fees to access our cloud-based document review and production software; however, they may not take possession of the software at any time during the term of the agreement. In general, we recognize revenue for subscription fees on a straight-line basis over the contract period commencing on the date the subscription is made available to the customer. Usage-based fees, which are determined monthly, are recognized when incurred.

Revenue Recognition for Multiple-Element Arrangements — Hardware, SaaS and Nonsoftware-Related Services (Nonsoftware Arrangements)

We enter into arrangements with customers that purchase both nonsoftware-related SaaS subscription and nonsoftware-related services, such as consulting services, at the same time or within close proximity of one another (referred to as nonsoftware multiple-element arrangements). Each element within a nonsoftware multiple-element arrangement is accounted for as a separate unit of accounting provided the following criteria are met: the delivered products or services have value to the customer on a standalone basis; and for an arrangement that includes a general right of return relative to the delivered products or services, delivery or performance of the undelivered product or service is considered probable and is substantially controlled by us. We consider a deliverable to have standalone value if the product or service is sold separately by us or another vendor, or could be resold by the customer. Further, our revenue arrangements generally do not include a general right of return relative to the delivered products. Where the aforementioned criteria for a separate unit of accounting are not met, the deliverable is combined with the undelivered element and treated as a single unit of accounting for the purposes of allocation of the arrangement consideration and revenue recognition. For those units of accounting that include more than one deliverable but are treated as a single unit of accounting, we generally recognize revenues ratably over the delivery period. For the purposes of revenue classification of the elements that are accounted for as a single unit of accounting, we allocate revenue to the respective revenue line items within our consolidated statements of operations based on a rational and consistent methodology utilizing our best estimate of relative selling prices of such elements.

For our nonsoftware multiple-element arrangements, we allocate revenue to each element based on a selling price hierarchy at the arrangement’s inception. The selling price for each element is based upon the following selling price hierarchy: VSOE, if available; third party evidence (“TPE”) if VSOE is not available; or best estimate of selling price (“BESP”) if neither VSOE nor TPE are available. A description as to how we determine VSOE, TPE and BESP is provided below:

VSOE. VSOE is determined based on its historical pricing and discounting practices for the specific product or service when sold separately. In determining VSOE, we require that a substantial majority of the selling prices for these services fall within a reasonably narrow pricing range.

TPE. When VSOE cannot be established for deliverables in a multiple element arrangement, judgment is applied with respect to whether we can establish a selling price based on TPE. TPE is determined based on competitor prices for similar deliverables when sold separately. Generally, our go-to-market strategy differs from that of our peers and our offerings contain a significant level of differentiation such that comparable pricing of services with similar functionality has not been obtained. Furthermore, we have been unable to reliably determine selling prices of similar competitive services on a stand-alone basis. As a result, we have not been able to establish selling prices based on TPE.

BESP. When VSOE or TPE cannot be established, we use BESP in our allocation of arrangement consideration. The objective of BESP is to determine the price at which we would transact a sale if the service were sold on a stand-alone basis. We determine BESP for deliverables by considering multiple factors including but not limited to prices we charge for similar offerings, market conditions, competitive landscape and pricing practices.

Revenue Recognition for Multiple-Element Arrangements — Arrangements with Software and Nonsoftware Elements

We also enter into multiple-element arrangements that may include a combination of our various software-related and nonsoftware-related products and services. In such arrangements, we first allocate the total arrangement consideration based on the relative selling prices to the software group of elements as a whole and to the nonsoftware group of elements. We then further allocate consideration allocated to the software group and nonsoftware group to the respective elements within that group following the guidance in ASC 985-605, ASC 605-25, and our policies described above. After the arrangement consideration has been allocated to the elements, we recognize revenue for each respective element in the arrangement as described above.

Deferred Revenue

Deferred revenue consists primarily of payments received in advance of delivery of products and services associated with the sale of EnCase® product and service offerings including deferral of annual post contract support agreements. Deferred revenue also includes revenue related to undelivered elements that may or may not have been sold in conjunction with the sale of EnCase® products for which VSOE of the undelivered elements exists.

Research and Development

We maintain a research and development staff to develop new products and enhance or maintain existing products. In accordance with Software Industry—Costs of Software to Be Sold, Leased, or Marketed (ASC 985-20) software costs are expensed as incurred until technological feasibility of the software is determined and the recovery of the cost can reasonably be expected, after which any additional costs are capitalized. To date, we have expensed all software development costs because the establishment of technological feasibility of products and their availability for sale has substantially coincided.

Commissions

Although we expense our sales commissions at the time a sale is invoiced to the customer, revenues from certain of our products are recognized over the relevant performance or license period. Accordingly, for those products, we generally experience a delay between when sales commissions are expensed and when we recognize the corresponding revenue.

Leases

We lease office facilities under operating leases and certain equipment under capital leases, and account for those leases in accordance with Leases (ASC 840). For operating leases that contain rent escalation or rent concession provisions, the total rent expense during the lease term is recorded on a straight-line basis over the term of the lease, with the difference between rent payments and the straight-line rent expense recorded as deferred rent in the accompanying Consolidated Balance Sheets.

Advertising Costs

Advertising costs are charged to operations as incurred and were $0.6 million as of December 31, 2014, and not significant for other periods presented.

Accounting for Income Taxes

We account for income taxes in accordance with Income Taxes (ASC 740). Deferred income taxes are recorded for the expected tax consequences of temporary differences between the tax bases of assets and liabilities for financial reporting purposes and amounts recognized for income tax purposes. We record a valuation allowance to reduce our deferred tax assets to the amount of future tax benefit that is more likely than not to be realized.

We account for uncertainty in income taxes in accordance with Income Taxes, which requires companies to determine whether it is more likely than not that a tax position will be sustained upon examination by the appropriate taxing authorities before any part of the benefit can be recorded in the financial statements. The standard also provides guidance on de-recognition, classification, accounting in interim periods and disclosure requirements for tax contingencies. In addition, we have applied the standards in determining whether a tax position is effectively settled for the purpose of recognizing previously unrecognized tax benefits.

Foreign Currency Transactions

Assets and liabilities denominated in foreign currencies are remeasured at the balance sheet date. Resulting exchange rate gains or losses, which were not material to any years presented, are included as a component of general and administrative expense in current period earnings.

Commitments and Contingencies

We periodically evaluate all pending or threatened litigation and contingencies or commitments, if any, that are reasonably likely to have a material adverse effect on our operations or financial position. In so doing, we assess the probability of an outcome and determine if it is remote, reasonably possible or probable as defined in accordance with the provisions of Contingency (ASC 450). If information available prior to the issuance of our financial statements indicates that it is probable that an asset had been impaired or a liability had been incurred at the date of the financial statements, and the amount of the loss, or the range of probable loss can be reasonably estimated, then such loss is accrued and charged to operations. If no accrual is made for a loss contingency because one or both of the conditions are not met, but the probability of an outcome is at least reasonably possible, we disclose the nature of the contingency and provide an estimate of the possible loss or range of loss, or state that such an estimate cannot be made.

Recent Accounting Pronouncements

Testing Indefinite-Lived Intangible Assets for Impairment: In July 2012, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2012-02, Intangibles—Goodwill and Other (Topic 350)—Testing Indefinite-Lived Intangible Assets for Impairment (ASU 2012-02), to allow entities to use a qualitative approach to test indefinite-lived intangible assets for impairment. ASU 2012-02 permits an entity to first perform a qualitative assessment to determine whether it is more likely than not that the fair value of an indefinite-lived intangible asset is less than its carrying value. If it is concluded that this is the case, it is necessary to perform the currently prescribed quantitative impairment test by comparing the fair value of the indefinite-lived intangible asset with its carrying value. Otherwise, the quantitative impairment test is not required. ASU 2012-02 is effective for us beginning in 2013 and earlier adoption is permitted. We adopted ASU 2012-02 effective January 1, 2013; the adoption of ASU 2012-02 did not have a material impact on our results.

In May 2014, the FASB and IASB jointly issued ASU No. 2014-09, Revenue from Contracts with Customers, which supercedes the revenue recognition requirements in ASC 605 Revenue Recognition. ASU 2014-09 is a comprehensive new revenue recognition standard that will supercede nearly all existing revenue recognition guidance under US GAAP. The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under current authoritative guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. The standard is effective beginning after December 15, 2016, and early adoption is not permitted under US GAAP. We are currently evaluating the financial statement impact of the new revenue recognition standard.

In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements-Going Concern (Subtopic 205-40), Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. This standard sets forth management’s responsibility to evaluate, each reporting period, whether there is substantial doubt about our ability to continue as a going concern, and if so, to provide related footnote disclosures. The standard is effective for annual and interim reporting periods ending after December 15, 2016. We are currently evaluating this new standard and expect it to have no impact on our financial position and results of operations.

Realignment Expense

As a result of reducing headcount and consolidating office space during 2014, we have incurred realignment expenses of $3.6 million. Included in the realignment expense is $3.2 million of severance expense and $0.4 million to accrue for the present value of lease payments for abandoned office space. The severance costs are included in cost of services and maintenance revenues, selling and marketing, research and development and general and administrative expenses, based on the employees’ cost center assignments prior to termination. Lease abandonment charges are included in general and administrative expenses.

Business_Combinations

Business Combinations	12 Months Ended
Business Combinations	Dec. 31, 2014
Business Combinations
Business Combinations
	Note 3. Business Combinations

	On February 21, 2012, we acquired CaseCentral Inc., a privately held cloud-based document review and production software-as-a-service provider for an aggregate purchase price of approximately $21.1 million, consisting of $9.6 million in cash (net of $1.4 million in cash acquired), $9.5 million of our common stock, consisting of 849,554 shares valued at the market price of $11.18 per share on the closing date of the transaction, and contingent consideration which had a fair value of approximately $0.6 million as of the closing date of the transaction. Both the issuance of shares valued at $9.5 million and the contingent consideration of $0.6 million are reflected as noncash activities in the accompanying consolidated statements of cash flows for the year ended December 31, 2012.

	In connection with the CaseCentral acquisition, we may be required to pay former CaseCentral shareholders a total of up to $33 million with respect to the three 12-month periods (“earn-out periods”) starting April 1, 2012. The amount of contingent consideration payable with respect to each of the earn-out periods is equal to 35% of certain qualifying CaseCentral SaaS revenues and EnCase® eDiscovery revenues in excess of $11.1 million during each of the three earn-out periods and is limited to $3.0 million for the first earn-out period, a cumulative total of $13.0 million for the first and second earn-out periods and a cumulative total of $33.0 million for all three earn-out periods. Any earn-out consideration is payable within 65 days after the end of the applicable earn-out period. At December 31, 2014 and 2013, the fair value of the contingent consideration, which is calculated by summing the present values of various probability-weighted possible outcomes, was estimated to be zero. We incurred $2.0 million in acquisition-related costs during the year ended December 31, 2012 which were expensed as incurred and included in general and administrative expenses.

	We acquired CaseCentral to extend our market leadership by delivering a complete and integrated platform solving the e-discovery needs of corporate and government customers. The CaseCentral acquisition closed on February 21, 2012 and the results of operations of CaseCentral have been included in the Company’s financial statements subsequent to such date. CaseCentral’s revenues, expenses and net income included in the Consolidated Statements of Operations from the acquisition date through December 31, 2012, including amortization of the acquired intangible assets, were as follows (in thousands):

		Year Ended
		December 31, 2012
	Revenue	$	14,244
	Expense	(15,534		)
	Net loss	$	(1,290	)

	The assets and liabilities of CaseCentral have been recorded at their estimated fair values at the date of acquisition. The excess of the purchase price over the estimated fair values of the underlying net tangible and identifiable intangible assets has been recorded as goodwill. The fair value of net tangible assets other than deferred revenue approximates their carrying values on the date of acquisition. The fair value assigned to deferred revenue was determined based on estimated costs to fulfill the underlying service obligation. The fair value assigned to identifiable intangible assets was determined primarily by using a discounted cash flow method. The acquisition transaction was a stock purchase in which the income tax attributes of CaseCentral carried over to the Company. The estimated deferred income tax attributes of CaseCentral, after establishment of deferred income tax liabilities associated with the step-up of the fair values of the net assets acquired over their pre-acquisition tax basis, resulted in a net deferred income tax asset. Given CaseCentral’s history of reporting net losses, our management concluded that realization of the net deferred income tax asset acquired is not likely and therefore a valuation allowance was established to offset the entire net deferred income tax asset. As a result, deferred income taxes are not reflected in the table below. The goodwill recognized for CaseCentral is attributable to intangible assets acquired that do not qualify for separate recognition, expected synergies that are projected to increase revenue and profits and an assembled workforce. The CaseCentral goodwill is not tax deductible.

	The final purchase price allocation is as follows (in thousands):

		Weighted Average				Fair Market Values
		Estimated Useful
		Life
	Cash and cash equivalents					$	1,400
	Accounts receivable					3,072
	Prepaids & other assets					1,240
	Property and equipment					1,101
	Identifiable intangible assets:
	Core & developed technology	7		$	4,700
	Customer relationships	10		5,900
	Trade name	3		300
	Covenant not-to compete	5		200
	Total identifiable intangible assets					11,100
	Goodwill					10,921
	Accounts payable and accrued expenses					(3,465		)
	Capital lease obligations					(929		)
	Deferred revenue					(3,300		)
	Total purchase price					$	21,140

	The following are the unaudited pro forma condensed consolidated financial statements of the combined entity for the year ended December 31, 2012 assuming the business combination had occurred on January 1, 2012, (in thousands, except per share amounts).

		Year Ended
		December 31, 2012
	Total revenues	$	132,141
	Total net expenses	135,840
	Income (loss) before income taxes	(3,699		)
	Income tax provision	188
	Net income (loss)	$	(3,887	)
	Net income (loss) per share — basic and diluted	$	(0.16	)

Net_Loss_Per_Share

Net Loss Per Share	12 Months Ended
	Dec. 31, 2014
Net Loss Per Share
Net Loss Per Share
	Note 4. Net Loss Per Share

	Earnings Per Share (ASC 260) defines unvested share-based payment awards that contain non-forfeitable rights to dividends as participating securities that should be included in computing EPS using the two-class method. The Company’s nonvested restricted stock awards qualify as participating securities.

	Basic net loss per common share is calculated by dividing net loss by the weighted average number of common shares outstanding during the reporting period. Diluted net loss per share is calculated based on the weighted average number of common shares and dilutive potential common shares outstanding during the period. Dilutive potential common shares consist of the shares issuable upon the exercise of stock options and upon the vesting of restricted stock awards under the treasury stock method. In net loss periods, basic net loss per share and diluted net loss per share are identical since the effect of potential common shares is anti-dilutive and therefore excluded.

	The following table sets forth the computation of basic and diluted net loss per share (in thousands, except per share data):

		Year Ended December 31,
		2014			2013			2012
	Basic loss per common share:
	Numerator:
	Net loss	$	(14,729	)	$	(21,500	)	$	(1,983	)
	Net income allocated to participating securities	—			—			—
	Net loss allocated to common stockholders	$	(14,729	)	$	(21,500	)	$	(1,983	)
	Denominator:
	Basic weighted average shares outstanding	26,758			25,757			24,577
	Net loss per basic common share	$	(0.55	)	$	(0.83	)	$	(0.08	)

	Diluted loss per common share:
	Numerator:
	Net loss	$	(14,729	)	$	(21,500	)	$	(1,983	)
	Net income allocated to participating securities	—			—			—
	Net loss allocated to common stockholders	$	(14,729	)	$	(21,500	)	$	(1,983	)
	Denominator:
	Basic weighted average shares outstanding	26,758			25,757			24,577
	Effect of dilutive share-based awards	—			—			—
	Diluted weighted average shares outstanding	26,758			25,757			24,577
	Net loss per diluted common share	$	(0.55	)	$	(0.83	)	$	(0.08	)

	Antidilutive securities, which consist of stock options and restricted stock awards that are not included in the diluted net loss per share calculation, consisted of an aggregate of approximately 1,765,000, 2,132,000 and 1,599,000 shares as of December 31, 2014, 2013 and 2012, respectively.

Inventory

Inventory	12 Months Ended
	Dec. 31, 2014
Inventory
Inventory	Note 5. Inventory

	Inventory is comprised of hardware components, packaged software components and finished goods and is valued at the lower of cost or market, using the weighted average cost method. The following table sets forth inventory by major classes:
		December 31,
		2014		2013
		(in thousands)
	Components	$	1,121	$	777
	Finished goods	1,563		1,151
	Total inventory	$	2,684	$	1,928

Property_and_Equipment

Property and Equipment	12 Months Ended
	Dec. 31, 2014
Property and Equipment
Property and Equipment	Note 6.Property and Equipment

	Property and equipment, including assets held under capital leases, consist of the following:

		December 31,
		2014			2013
		(in thousands)
	Leasehold improvements	$	11,762		$	12,304
	Computer hardware and software	22,376			21,435
	Office equipment and furniture	4,138			4,205
	Computers and office equipment under capital leases	395			416
	Assets not yet placed in service	250			784
		38,921			39,144

	Accumulated depreciation	(24,363		)	(20,680		)
	Property and equipment, net	$	14,558		$	18,464

	Accumulated amortization related to capital leases was $0.3 million for the years ended December 31, 2014 and 2013.

	Depreciation and amortization expense related to property and equipment, including equipment under capital leases, was $5.2 million, $5.2 million and $4.4 million for the years ended December 31, 2014, 2013 and 2012, respectively.

Goodwill_and_Other_Intangibles

Goodwill and Other Intangibles	12 Months Ended
Goodwill and Other Intangibles	Dec. 31, 2014
Goodwill and Other Intangibles
Goodwill and Other Intangibles	Note 7. Goodwill and Other Intangibles

	The Company’s goodwill balance has been assigned to its reportable segments as follows (in thousands):

		Products		Subscription			Professional		Training		Maintenance			Unassigned			Total
		Products		Subscription			Services		Training		Maintenance			Unassigned			Total
	Goodwill balance, December 31, 2012	$	3,711	$	—		$	—	$	—	$	—		$	10,921		$	14,632
	Goodwill assigned	—		6,935			3,986		—		—			(10,921		)	—
	Goodwill balance, December 31, 2013	$	3,711	$	6,935		$	3,986	$	—	$	—		$	—		$	14,632
	Goodwill balance, December 31, 2014	$	3,711	$	6,935		$	3,986	$	—	$	—		$	—		$	14,632

	The following table summarizes goodwill (in thousands):

		Goodwill
	Balance, December 31, 2012	$	14,632
	Additions	—
	Balance, December 31, 2013	$	14,632
	Additions	—
	Balance, December 31, 2014	$	14,632

	We evaluate goodwill for impairment on an annual basis, or more frequently if we believe indicators of impairment exist, by comparing the carrying value of each of our reporting units to their estimated fair value. We have six reporting units: Hardware Products, Software Products, Subscription, Professional Services, Maintenance, and Training.

	Our goodwill impairment analysis for the year ended December 31, 2014 indicated that the estimated fair value of all but one of our reporting units with goodwill was in excess of the carrying value by approximately 140% to over 450%, and are not considered by management to be at risk of failing step one of the impairment test. The estimated fair value of the subscription reporting unit, with $6.9 million of goodwill, exceeded its carrying value by 18%. The significant assumptions that drive the estimated fair value are projected future cash flows, growth rates, and weighted average cost of capital and market multiples. Due to the subjectivity of these assumptions, the subscription reporting unit may be at greater risk for goodwill impairment if actual results differ from our projections or there are significant changes in market and economic factors affecting fair value. Deterioration in estimated future cash flows in this reporting unit could result in future goodwill impairment. Additionally, one customer represents approximately 47% of our subscription revenue for the year ended December 31, 2014. If we were to lose this specific customer, our subscription operations and therefore future cash flows would be adversely affected.

	If a quantitative assessment is necessary a two-step test is performed at the reporting unit level to assess goodwill for impairment. First, the fair value of the reporting unit is compared to its carrying value. If the fair value exceeds the carrying value, the reporting unit is not impaired and no further testing is performed. The second step is performed if the carrying value exceeds the fair value. If the carrying value of the reporting unit exceeds its implied fair value, an impairment loss equal to the difference will be recorded. Indefinite-lived intangible assets are assessed for impairment by comparing the carrying value of the assets with their fair values; however, there were no indefinite-lived intangible assets as of December 31, 2014 and 2013.

	In February 2012, the Company acquired CaseCentral resulting in acquired intangible assets. With the exception of customer relationships, which are amortized on a double-declining basis, the acquired intangible assets are being amortized on a straight line basis over their estimated useful lives.

	Amortization expense for intangible assets with finite lives was $2.2 million, $2.5 million and $2.4 million for the years ended December 31, 2014, 2013 and 2012, respectively. The following table summarizes cumulative amortization expense related to intangible assets subject to amortization as of December 31, 2014 and 2013 (in thousands):

		December 31, 2014							December 31, 2013
		Gross Costs		Accumulated			Net		Gross Costs		Accumulated			Net
		Gross Costs		Amortization			Net		Gross Costs		Amortization			Net
	Core technology	$	5,800	$	(2,430	)	$	3,370	$	5,800	$	(1,648	)	$	4,152
	Existing and developed technology	2,300		(2,300		)	—		2,300		(2,042		)	258
	Customer relationships	6,475		(3,143		)	3,332		6,475		(2,315		)	4,160
	Trade names	2,100		(1,122		)	978		2,100		(843		)	1,257
	Covenant not-to-compete	200		(114		)	86		200		(74		)	126
	Total	$	16,875	$	(9,109	)	$	7,766	$	16,875	$	(6,922	)	$	9,953

	The following table summarizes the estimated remaining amortization expense through the year 2019 and thereafter (in thousands):

	Year ending	Amortization
	Year ending	Expense
	2015	$	1,652
	2016	1,499
	2017	1,399
	2018	1,392
	2019	816
	Thereafter	1,008
	Total amortization expense	$	7,766

Income_Taxes

Income Taxes	12 Months Ended
Income Taxes	Dec. 31, 2014
Income Taxes
Income Taxes
	Note 8.Income Taxes

	We are subject to federal, state and foreign corporate income taxes. The provision for income taxes consists of the following:

			Year Ended December 31,
			2014			2013			2012
			(in thousands)
	Current:
	Federal		$	—		$	—		$	—
	State		9			38			52
	Foreign		168			101			50
			177			139			102
	Deferred:
	Federal		84			84			75
	State		6			8			11
	Foreign		(3		)	(14		)	—
			87			78			86
			$	264		$	217		$	188

	A reconciliation of the provision for income taxes at the federal statutory rate compared to our actual tax provision is as follows:

			Year Ended December 31,
			2014			2013			2012
			(in thousands)
	Federal income tax benefit at statutory rate		$	(4,918	)	$	(7,236	)	$	(610	)
	State income taxes, net of federal benefit		(1,131		)	(1,302		)	(350		)
	Foreign income taxes, net of federal benefit		107			53			33
	Share-based compensation		(9		)	221			(110		)
	Change in valuation allowance affecting income tax expense		6,483			10,804			717
	Research and development tax credits		(437		)	(1,254		)	—
	Other tax credits		—			(898		)	—
	Nondeductible meal and entertainment expense		74			108			109
	Nondeductible stock acquisition related expense		—			—			392
	State tax law changes		—			—			383
	Deferred income tax adjustments		82			(77		)	(360		)
	Other, net		13			(202		)	(16		)
			$	264		$	217		$	188

	The components of deferred tax assets and liabilities are as follows:


			December 31,
			2014			2013
			(in thousands)
	Deferred tax assets:
	Accrued expenses		$	4,122		$	4,340
	Deferred revenues		1,567			1,066
	Share-based compensation		2,035			3,811
	Tax credits		7,707			6,478
	Net operating losses		25,761			19,321
	Depreciable assets		361			1,711
	Prepaids/other		281			259
	Total deferred tax assets		41,834			36,986
	Deferred tax liabilities:
	Intangible assets		(1,282		)	(1,909		)
	Goodwill		(418		)	(333		)
	Total deferred tax liabilities		(1,700		)	(2,242		)
	Net deferred tax assets prior to valuation allowance		40,134			34,744
	Valuation allowance		(40,552		)	(35,064		)
	Net deferred tax liabilities		$	(418	)	$	(320	)
	Our foreign income is not a material component of total income (loss) before provision for income taxes. We intend to reinvest the earnings of our non-U.S. subsidiary. Undistributed earnings in our foreign subsidiary are not significant as of December 31, 2014.

	Our valuation allowance increased by $5.5 million from $35.1 million as of December 31, 2013 to $40.6 million as of December 31, 2014. Our valuation allowance increased $12.5 million to $35.1 million as of December 31, 2013. We have fully reserved against our deferred tax assets based on our assessment of the future realizability of our deferred tax assets. In performing these assessments, we consider whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. We consider all available evidence, both positive and negative, including historical levels of income, expectations and risks associated with estimates of future taxable income in assessing the need for a valuation allowance. A cumulative taxable loss in recent years makes it more difficult for us to realize our deferred tax assets. We have had three years of cumulative U.S. tax losses and can no longer rely on common tax planning strategies to use U.S. tax losses and we are precluded from relying on projections of future taxable income to support the recognition of deferred tax assets. As such, the ultimate realization of our deferred tax assets is dependent upon the existence of sufficient taxable income generated in the carryforward periods.

As of December 31, 2014, we have federal and state research and development tax credit carryforwards of approximately $4.3 million and $5.2 million, respectively. The federal tax credits begin to expire in 2026. The state tax credit carryforward can be carried forward indefinitely.

As of December 31, 2014, our federal and state net operating loss carryforwards for income tax purposes are approximately $72.0 million and $56.0 million, respectively, which expire at various dates through 2034. Our federal and California NOLs have increased significantly as a result of acquired NOL carryforwards through our stock acquisition of CaseCentral Inc. in 2012. The utilization of NOL carryforwards to reduce taxable income is subject to certain statutory limitations as defined in section 382 of the Internal Revenue Code, as amended.

Included in the NOL deferred tax asset above is approximately $4.0 million of deferred tax asset attributable to excess stock option deductions. Due to a provision within ASC 718, Compensation — Stock Compensation, concerning when tax benefits related to excess stock option deductions can be credited to paid in capital, the related valuation allowance cannot be reversed, even if the facts and circumstances indicate that it is more likely than that the deferred tax asset can be realized. The valuation allowance will only be reversed as the related deferred tax asset is applied to reduce taxes payable. The Company follows Income Taxes (ASC 740) ordering to determine when such NOL has been realized.

We file income tax returns with the Internal Revenue Service, and the taxing authorities of various state and foreign jurisdictions. We adopted the provisions of accounting for uncertain tax positions in accordance with the Income Taxes (ASC 740) topic on January 1, 2007 and, accordingly, performed a comprehensive review of our uncertain tax positions as of that date. In this regard, an uncertain tax position represents our expected treatment of a tax position taken in a filed tax return, or planned to be taken in a future tax return, that has not been reflected in measuring income tax expense for financial reporting purposes. A reconciliation of our total unrecognized tax benefits at December 31, 2014, 2013 and 2012 follows:

		Year Ended December 31,
		2014			2013			2012
		(in thousands)
Balance at beginning of year		$	703		$	507		$	445
Additions based on tax positions in the current period		268			196			62
Balance at end of year		$	971		$	703		$	507

Our unrecognized tax benefit as of December 31, 2014 is $1.0 million. We are subject to routine corporate income tax audits in the United States and foreign jurisdictions. Due to the net operating loss carryforwards, the Company’s United States federal and state returns are generally open to examination by the Internal Revenue Service and state jurisdictions when such net operating losses are utilized. Most foreign jurisdictions have statute of limitations that range from three to six years.

Since we have fully reserved against our deferred tax assets, the liability for uncertain tax positions is merely a reduction to our deferred tax assets and related valuation allowance which is reflected in our Consolidated Balance Sheets. Any subsequent reduction of the valuation allowance and the recognition of the associated tax benefit would affect our effective tax rate. Our policy is to recognize interest and penalties related to uncertain tax positions, if any, in the income tax provision. Interest and penalties are computed based upon the difference between our uncertain tax positions under Income Taxes and the amount deducted or expected to be deducted in our tax returns. Due to the overall tax loss position of the Company, we have not accrued or paid for interest and penalties in 2014, 2013 and 2012. The Company does not expect its uncertain income tax positions to have a material impact on its consolidated financial statements within the next twelve months.

Debt_Obligations

Debt Obligations	12 Months Ended
Debt Obligations	Dec. 31, 2014
Debt Obligations
Debt Obligations	Note 9.Debt Obligations

	On July 12, 2012, we entered into a Loan and Security Agreement (as amended or supplemented from time to time, the “Loan Agreement”) with a bank. On October 31, 2013, we entered into a modification agreement (“Modification Agreement”) of the Loan Agreement with the bank to modify certain financial covenants pertaining to the Loan Agreement. On September 30, 2014, the Loan Agreement expired.

	On August 29, 2014, we entered into a three year, Senior Secured Revolving Line of Credit (“Revolver”) with another bank. The maximum principal amount that may be outstanding at any given time under the Revolver, which includes up to $3.0 million of standby letters of credit, is $10.0 million. Any borrowings under the Revolver would be collateralized by substantially all of our assets, as well as pledges of capital stock. The Revolver requires that, if we suffer an event of default or have borrowed more than 75% of the maximum principal amount permitted to be outstanding, we maintain an Adjusted Quick Ratio of at least 1.15 to 1.0. If the Adjusted Quick Ratio falls below 1.5 to 1.0, any collections received by the bank on behalf of the Company will be applied to outstanding loan balances before being remitted to the Company’s operating account. The Adjusted Quick Ratio is calculated by dividing Quick Assets (cash less restricted cash plus accounts receivable) by current liabilities (current liabilities plus outstanding standby letter of credit less the current portion of deferred revenue). Borrowings under the Revolver bear interest at a floating rate ranging from 1.25% to 3.25% above the Prime Rate depending on the Company’s Adjusted Quick Ratio. We are obligated to pay a commitment fee of $0.2 million over the three year term of the Revolver. All principal, interest and any other fees will be due and payable in full on or prior to August 29, 2017.

	As of December 31, 2014, we were in compliance with all the covenants of the Revolver. We had letters of credit outstanding against the Revolver in the amount of $1.3 million, resulting in the maximum available borrowing under the Revolver to be $8.5 million. Availability is calculated as 80% of eligible accounts receivable, with a maximum of $10.0 million. To date we have not borrowed under the Revolver.

Leases

Leases	12 Months Ended
	Dec. 31, 2014
Leases
Leases	Note 10.Leases

	We lease certain facilities and equipment under non-cancellable operating leases extending through 2024. The present value of the remaining future minimum lease payments under capital leases is recorded in the Consolidated Balance Sheets. The following is a schedule of future minimum lease payments under capital leases and operating leases (in thousands):

	Years Ending December 31,	Future Minimum			Future Minimum		Future
		Capital Lease			Operating Lease		Minimum Lease
		Payments			Payments		Payments
	2015	73			4,580		4,653
	2016	59			3,853		3,912
	2017	38			3,892		3,930
	2018	11			3,829		3,840
	2019	—			3,456		3,456
	Thereafter	—			13,030		13,030
	Total	$	181		$	32,640	$	32,821
	Less amounts representing interest (2.5%—8.0%)	(11		)
		$	170

	Rent expense related to operating leases for 2014, 2013 and 2012 was approximately $4.9 million, $6.2 million and $5.2 million, respectively. During the years ended December 31, 2014, 2013 and 2012, we did not have sublease rental income.

Employee_Benefit_Plans

Employee Benefit Plans	12 Months Ended
Employee Benefit Plans	Dec. 31, 2014
Employee Benefit Plans
Employee Benefit Plans	Note 11.Employee Benefit Plans

	Equity Incentive Plan

	At our 2012 Annual Meeting of Stockholders, our stockholders approved the Second Amendment (the “Second Amendment”) to the Guidance Software, Inc. Second Amended and Restated 2004 Equity Incentive Plan (the “Plan”). The Second Amendment amended the Plan to: increase the aggregate number of shares of our common stock available for awards under the Plan by an additional 2,500,000 shares, from 9,088,313 shares to a total of 11,588,313 shares; prohibit the re-pricing of stock options and the cancellation of underwater options in exchange for cash payments or other awards, without the approval of our stockholders; provide that shares tendered or withheld to satisfy the grant or exercise price or tax withholding obligation pursuant to any award will count against the limit of shares available for awards under the Plan; and modify the initial and annual equity award grants to our non-employee directors. The Second Amendment was approved by our Board of Directors in March 2012, and approved by our stockholders at our 2012 Annual Meeting of Stockholders on May 9, 2012. At December 31, 2013, approximately 1,535,074 shares were available for grant as options or nonvested restricted stock awards under the Plan.

	Stock Options

	The terms of the options granted under the Second Amended and Restated Plan are determined at the time of grant, and generally vest 25% annually over a four-year service period and typically must be exercised within 10 years from the date of grant.

	A summary of stock option activity follows:

			Number of		Weighted		Weighted		Aggregate
			Options		Average		Average		Intrinsic Value
			(in thousands)		Exercise		Remaining		(in thousands)
					Price		Contractual
							Term
							(in years)

	Outstanding, December 31, 2013		2,169		$	9.34	3.5		$	4,432
	Granted		150		5.89
	Exercised		(244	)	4.83
	Forfeited or expired		(660	)	12.33

	Outstanding, December 31, 2014		1,415		8.36		2.8		$	1,589

	Exercisable, December 31, 2014		1,265		$	8.65	2		$	1,385

	We define in-the-money options at December 31, 2014 as options that had exercise prices that were lower than the $7.25 fair market value of our common stock at that date. The aggregate intrinsic value of options outstanding at December 31, 2014 is calculated as the difference between the exercise price of the underlying options and the fair market value of our common stock for the approximately 3,734,000 options that were in-the-money at that date, of which approximately 584,000 were exercisable. The total intrinsic value of stock options exercised, determined as of the date of exercise, was $1.1 million, $1.5 million and $3.4 million during the years 2014, 2013 and 2012, respectively.

	The following summarizes information about options unvested at December 31, 2014 that, based on current forfeiture rates, are expected to ultimately vest:

			Number of		Weighted		Weighted		Aggregate
			Options		Average		Average		Intrinsic Value
			(in thousands)		Exercise		Remaining		(in thousands)
					Price		Contractual
							Term
							(in years)
	Options expected to vest		111		$	5.89	9.9		$	151

	Restricted Stock Awards

	We issue restricted stock awards to certain directors, officers and employees. The terms of the awards granted under the Second Amended and Restated Plan are determined at the time of grant, and vest 25% annually over a four-year service period. A summary of restricted stock awards activity follows:

			Number of		Weighted
			Shares		Average
			(in thousands)		Fair Value

	Outstanding, December 31, 2013		2,653		$	9.17
	Granted		1,259		8.15
	Vested and issued		(966	)	8.6
	Forfeited		(887	)	9.66

	Outstanding, December 31, 2014		2,059		$	8.6

	The total grant date fair value of shares vested under such grants during 2014, 2013 and 2012 was $8.3 million, $6.3 million and $4.0 million, respectively.

	Share-Based Compensation

	We account for share-based compensation in accordance with Compensation-Stock Compensation (ASC 718). Compensation expense for stock options is recognized using the Black-Scholes option pricing model to determine the grant date fair value of share-based payments and recognize that cost, net of an estimated forfeiture rate, as compensation expense on a straight-line basis over the vesting period. Stock awards generally vest 25% annually over a four-year service period. The determination of the grant date fair value of share-based awards using that model is affected by our stock price as well as assumptions regarding a number of complex and subjective variables. These variables include the estimated number of years that we expect employees to hold their stock options (the option “expected term”) and our expected stock price volatility, risk-free interest rates and dividends to be paid on our stock over that term.

	The fair values of stock options granted under the Second Amended and Restated Plan were estimated at the date of grant using the Black-Scholes option pricing model and the following weighted average assumptions (no stock options were awarded in 2012 and 2013):

			Year ended
December 31,
2014
Risk-free interest rate		1.81%
Dividend yield		—%
Expected life (years)		5.81
Volatility		47.46%
Weighted average grant date fair value		$2.72

When historical data is available and relevant, the expected term of options granted is determined by calculating the average term from historical stock option exercise experience. The volatility of our common stock is estimated at the date of grant based on the volatility of our publicly traded common stock over the prior 24 months. The volatility is calculated based on the adjusted close price each day from a composite index. The risk-free interest rate used in option valuation is based on the implied yield in effect at the time of each option grant, based on US Treasury zero-coupon issues with equivalent expected terms. We use a dividend yield of zero in the Black-Scholes model, as we have no expectation we will pay any cash dividends on our common stock in the foreseeable future. Compensation-Stock Compensation (ASC 718) also requires that we estimate forfeitures at the time of grant and revise those estimates in subsequent periods if actual forfeitures differ from those estimates. We use historical data to estimate pre-vesting option forfeitures and record share-based compensation expense only for those awards that are expected to vest. Quarterly changes in the estimated forfeiture rate can potentially have a significant effect on reported share-based compensation, as the cumulative effect of adjusting the forfeiture rate for all expense amortization after the grant date is recognized in the period the forfeiture estimate is changed.

During the year ended December 31, 2014, we recorded $0.6 million in additional share-based compensation expense for the accelerated vesting of a certain employee’s restricted stock awards. The original vesting was to occur during the first quarter of 2015; however, due to the modified terms, the awards vested during the fourth quarter of 2014.

The following table summarizes the share-based compensation expense we recorded:

		Year Ended December 31,
		2014			2013		2012
		(in thousands)
Stock option awards		$	54		$	156	$	343
Restricted stock awards		6,640			7,470		5,508
Share-based compensation expense		$	6,694		$	7,626	$	5,851

		Year Ended December 31,
		2014			2013		2012
		(in thousands)
Cost of product revenue		$	131		$	137	$	101
Cost of subscription revenue		128			189		142
Cost of services and maintenance revenues		1,419			1,284		1,041
Selling and marketing		1,308			2,100		1,639
Research and development		1,783			2,044		1,428
General and administrative		1,925			1,872		1,500
Total share-based compensation		$	6,694		$	7,626	$	5,851

As of December 31, 2014, there was approximately $403,000 of total unrecognized share-based compensation cost related to stock options that is expected to be recognized over a weighted-average period of 4.0 years and approximately $14.5 million of total unrecognized share-based compensation cost related to restricted stock awards that is expected to be recognized over a weighted-average period of 2.8 years. We expect to record approximately $6.1 million in share-based compensation in 2015 related to options and restricted stock awards outstanding at December 31, 2014.

Defined Employee Contribution Plans

The Company has a 401(k) plan that allows all full-time eligible employees to contribute up to 75% of their semi-monthly earnings, up to the maximum limit set by the IRS each year. We match $0.50 on each dollar up to 6% of the employee’s semi-monthly contribution. Additionally, the Company may make discretionary contributions to the Plan regardless of profitability. We recorded contribution related expense of approximately $0.9 million, $1.1 million and $1.0 million in the years 2014, 2013 and 2012, respectively.

Stockholders_Equity

Stockholders' Equity	12 Months Ended
Stockholders' Equity	Dec. 31, 2014
Stockholders' Equity
Stockholders' Equity	Note 12.Stockholders’ Equity

	In August 2008, our Board of Directors authorized a program to repurchase shares of our common stock having an aggregate value of up to $8.0 million. As of December 31, 2014, we had approximately $3.6 million remaining under this authorization. Acquisitions of shares may be made from time-to-time at management’s discretion, at prevailing prices in the open market, or in privately negotiated transactions, as permitted by securities laws and other legal requirements, and are subject to market conditions and other factors. For the years ended December 31, 2014, 2013, and 2012 we withheld approximately zero, 284,000, and 207,000 common shares from employees for personal income tax purposes upon the vesting of restricted stock awards. Collectively, these shares are recorded as treasury stock, at cost, in the Consolidated Balance Sheets.

Fair_Value_Measurements

Fair Value Measurements	12 Months Ended
	Dec. 31, 2014
Fair Value Measurements
Fair Value Measurements

	Note 13.Fair Value Measurements

	In accordance with Fair Value Measurements and Disclosures (ASC 820) for financial assets and liabilities measured at fair value on a recurring basis. Fair Value Measurements and Disclosures (ASC 820) requires disclosure that establishes a framework for measuring fair value and expands disclosure about fair value measurements. Under this standard, fair value is defined as the price that would be received in exchange for selling an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between market participants at the measurement date. Fair Value Measurements and Disclosures(ASC 820) establishes a hierarchy for inputs used in measuring fair value that minimizes the use of unobservable inputs by requiring the use of observable market data when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on active market data. Unobservable inputs would be inputs that reflect our assumptions about the assumptions market participants would use in pricing the asset or liability based on the best information available in the circumstances. The statement requires fair value measurements be classified and disclosed in one of the following three categories:

	Level 1:	Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets and liabilities.
	Level 2:	Quoted prices in markets that are not active or financial instruments for which all significant inputs are observable, either directly or indirectly, and corroborated by market data.
	Level 3:	Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable.

	The following table sets forth, by level within the fair value hierarchy, financial assets and liabilities that are accounted for at fair value on a recurring basis as of December 31, 2014 and 2013 (in thousands):


		Fair Value Measurements at December 31, 2014
		Total		Level 1		Level 2		Level 3
	Assets:
	U.S. Treasury Securities	$	2,006	$	2,006	$	—	$	—
	Money market accounts	4,280		4,280		—		—
	Total assets	$	6,286	$	6,286	$	—	$	—

		Fair Value Measurements at December 31, 2013
		Total		Level 1		Level 2		Level 3
	Assets:
	U.S. Treasury Securities	$	2,005	$	2,005	$	—	$	—
	Money market accounts	269		269		—		—
	Total assets	$	2,274	$	2,274	$	—	$	—

	Sale of Domain Name

	On May 1, 2014, we entered into an agreement with one of our vendors, acquiring the rights to distribute certain of their software products, which are to be combined with certain of our own products, in exchange for a domain name owned by the Company. The term of the agreement extends through December 31, 2018, and includes a one-year renewal option for the larger of 1% of the maintenance revenue of certain of the Company’s products, or $450,000.

	Market data to determine the fair value of the domain name was not readily available and therefore we used the more clearly evident fair value of the acquired distribution rights to determine the fair value of the agreement.

	To estimate the fair value of the distribution rights, we developed our own assumptions related to the domain name’s future financial performance and projected maintenance revenue of certain of its products. We developed various scenarios (base case, downside case, and upside case) and evaluated each case according to the probability of occurrence. Expected cash flows were determined using the probability weighted average of possible outcomes we expect to occur. The fair value of the acquired distribution rights was determined to be $0.6 million and was based on the present value of these projected scenarios.

	As the domain name had zero book value as of the date of sale, we recorded a gain on the sale of $0.6 million. The acquired distribution right has been recorded in other assets on the accompanying condensed consolidated balance sheet. Given the significant unobservable inputs to the calculation, the other asset recognized for the distribution rights falls within Level 3 of the ASC 820 hierarchy, as defined above. The other asset will be expensed to cost of goods sold ratably over the term of the agreement.

	CaseCentral Contingent Consideration

	The Company had obligations, to be paid in cash, to the former shareholders of CaseCentral if certain SaaS revenue thresholds were achieved during the three 12-month periods starting April 1, 2012. The fair value of this contingent consideration was determined using an expected present value technique. Expected cash flows were determined using the probability - weighted average of possible outcomes that would occur should certain revenue metrics be reached. There was no market data available to use in valuing the contingent consideration; therefore, the Company developed its own assumptions related to the future financial performance of the businesses to evaluate the fair value of these liabilities. As such, the contingent consideration was classified within Level 3, as described above.

	In connection with estimating the fair value of the contingent consideration, the Company developed various scenarios (base case, downside case, and upside case) and weighted each case according to the probability of occurrence. The probabilities ranged from 20 percent to 50 percent, with the most significant weighting given to the base case at 50 percent. These scenarios were developed based on the expected financial performance of CaseCentral, with SaaS revenue growth rates being a primary input in the calculation. An increase or decrease in the probability of achievement of any of the scenarios could result in a significant increase or decrease to the estimated fair value.

	The fair value is reviewed quarterly based on the financial performance of the most recently completed fiscal quarter. An analysis is performed at the end of each fiscal quarter to compare actual results to forecasted financial performance. If performance has deviated from projected levels, the valuation is updated for the latest information available.

	The significant assumptions that may materially affect fair value are developed in conjunction with the guidance of our senior management to ensure that the most accurate and latest financial projections are used and compared with the most recent financial results in the fair value measurement.

	As of December 31, 2014 and December 31, 2013, the fair value of the contingent consideration is zero based on forecasted revenues for the remainder of the earn-out period. As of December 31, 2012, the fair value of the contingent consideration current liability is included in the Consolidated Balance Sheets in accrued liabilities and the non-current portion is included in contingent earn-out, net of current portion.

Contractual_Obligations_Commit

Contractual Obligations, Commitments and Contingencies	12 Months Ended
Contractual Obligations, Commitments and Contingencies	Dec. 31, 2014
Contractual Obligations, Commitments and Contingencies
Contractual Obligations, Commitments and Contingencies
	Note 14.Contractual Obligations, Commitments and Contingencies

	Office Lease

	On July 26, 2012, we entered into an Office Lease Agreement (the “Lease”) to lease approximately 90,000 rentable square feet of an office building located in Pasadena, California. The Lease commenced on August 1, 2013 and expires May 2024. The Lease allows the Company to consolidate its Pasadena operations into a single location. The total annual rent under the Lease ranges from approximately $2.5 million for the first year to approximately $3.4 million for the final year of the Lease. The Company has two options to extend the Lease, each for a period of five years. Leasehold improvements associated with this lease are amortized over the shorter of the expected useful life or lease term.

	On July 3, 2014, we entered into an Office Lease Agreement (the “San Francisco Lease”) to lease approximately 6,000 rentable square feet of an office building located in San Francisco, California. The office building is the new location of our San Francisco office. The San Francisco Lease commenced on January 1, 2015 and expires in January 2020. The total annual rent under the San Francisco Lease ranges from approximately $295,000 for the first year to approximately $332,000 for the final year.

	Data Center Lease

	Effective April 1, 2014, we entered into a Colocation Lease Agreement (the “Colocation Lease”) to rent space in a building located in Chandler, Arizona. The Colocation Lease expires on June 30, 2018. The Colocation Lease will serve as our new data center, replacing our former San Francisco location obtained in the Case Central acquisition. Rent is based on power allocation and ranges from approximately $236,000 for the first year to approximately $265,000 for the final year.

	Third-party Software Licenses

	During the year ended December 31, 2012, the Company entered into a $1.5 million third-party software license agreement that authorizes the Company to integrate database software as a component of its products through November 2015. The agreement also provides for maintenance and support over a two-year period for $0.3 million, which was renewed by the Company after the expiration of the two-year period ending November 2014. The $1.8 million was payable in eight quarterly installments of $229,000, with the final installment being paid in January 2014. The license, maintenance and remaining liability have been recorded on the accompanying Consolidated Balance Sheets.

	During the year ended December 31, 2014, the Company entered into a $1.5 million third-party software license agreement authorizing the Company to integrate software as a component of its products through March 2018. The agreement also provides for maintenance and support over a three-year period, which may be renewed by the Company at the expiration of the three-year period ending March 2018. The $1.5 million is payable in three annual installments of $492,000, with the final installment being paid in November 2016. The license, maintenance and remaining liability have been recorded on the accompanying Consolidated Balance Sheets.

	Legal Matters

	On May 20, 2011, MyKey Technology Inc. (“MyKey”) filed a complaint against us and certain other parties for patent infringement in the United States District Court for the District of Delaware. With respect to the Company, the complaint alleged that certain of our data acquisition forensic hardware products that we acquired as a result of our acquisition of certain assets of Tableau, LLC (“Tableau”) infringe three of MyKey’s patents relating to write blocking, duplication and data removal technologies, respectively. The complaint sought a declaration of infringement, a finding of willful infringement, compensatory damages, treble damages, injunctive relief, interest, expenses, costs and attorneys’ fees.

	On July 22, 2011, MyKey also filed a complaint with the United States International Trade Commission (the “ITC”), alleging infringement by the Company and certain other parties of the three patents discussed in the preceding paragraph and requesting that the ITC commence an investigation pursuant to Section 337 of the Tariff Act of 1930. The complaint sought injunctive relief barring the Company from the importation of products that allegedly infringed the three patents of MyKey. On August 24, 2011, the ITC commenced an investigation of the Company and certain other parties related to the complaint by MyKey. On August 31, 2011 the proceeding in the District Court was stayed pending the resolution of the ITC matter. On August 1, 2012, MyKey amended its ITC complaint to remove allegations that its duplication patent had been infringed by the Company and to reduce the number of claims it alleges the Company has infringed related to MyKey’s data removal patent. In August 2012, the parties completed a trial on the remaining patent claims at issue.

	On December 28, 2012, the ITC released a final determination and Order holding that no violation of Section 337 of the Tariff Act of 1930 occurred as a result of the Company’s importation into the United States and sale of the products at issue. This Order effectively ended the ITC proceeding in the Company’s favor.

	On February 20, 2013, the U.S. District Court of Delaware lifted the stay of the proceedings in the MyKey matter. Effective April 8, 2013, the parties stipulated to a transfer of the matter to the U.S. District Court for the Central District of California. On April 16, 2013, the Company filed its Answer and Counterclaim. MyKey filed a petition to consolidate a number of related cases, including the case against the Company in the Central District of California, into a Multi-District Litigation (“MDL”) proceeding. On August 16, 2013, the MDL panel approved the petition and assigned the MDL consolidated cases to the judge who is also presiding over the individual case against the Company. The MDL case will dispose of certain issues common to the consolidated cases, such as the validity of patents being asserted against the joint defendants. On May 23, 2014, the parties completed a Markman hearing related to claim construction of the patents at issue.

	On March 26, 2014, MyKey also filed a complaint against the United States of America alleging that the United States has infringed U.S. Patents No. 6,813,682, 7,159,086 and 7,228,379 by or through its acceptance, receipt and/or use of write blocker products, data duplication products and data removal products. The complaint alleges that such products were supplied to the government by the Company and certain of its co-defendants in the MDL proceeding. No damages amount is stated in the complaint. The government could assert a claim for indemnification against the Company but has not done so yet.

	On October 16, 2014, MyKey filed a Notice of Status on Claim Construction Issues in which it acknowledged that MyKey will not be able to prove that the Company’s data duplication products infringed U.S. Patent 7,159,086. In the same filing, MyKey acknowledged that certain claims of United States Patent 6,813,682 are invalid and therefore cannot be infringed by any product.

	We intend to defend the remaining MyKey matters vigorously and, at this time, are unable to estimate what, if any, liability we may have in connection with these matters. Although a financial loss is reasonably possible from currently pending MyKey cases, the Company is unable to estimate a range of reasonably possible financial losses due to various reasons, including, among others, that (1) certain of the proceedings are still at an early stage, (2) there is uncertainty as to the outcome of pending appeals, motions, or settlements, (3) there are significant factual issues to be resolved, (4) there are unresolved negotiations with certain indemnitors or indemnitees of the Company, related to the actions, and (5) we have meritorious defenses that we intend to assert.

	From time to time, we may become involved in various other lawsuits and legal proceedings that arise in the ordinary course of business. Litigation is subject to inherent uncertainties, and an adverse result in these or other matters may arise from time to time that may harm our business. We are not currently aware of any such other legal proceedings or claims that are likely to have a material impact on our business.

	Indemnifications

	We have agreed to indemnify our directors and executive officers for costs associated with any fees, expenses, judgments, fines and settlement amounts incurred by them in any action or proceeding to which any of them is, or is threatened to be, made a party by reason of his or her services in their role as a director or officer.

	Sales Tax Liabilities

	The Company’s sales and use tax filings are subject to customary audits by authorities in the jurisdictions where it conducts business in the United States, which may result in assessments of additional taxes. In March 2011, we determined that additional sales taxes were probable of being assessed by a certain state as a result of the preliminary findings specific to a sales and use tax audit. The balance for the years in which the statute of limitation has not expired is approximately $1.2 million, including interest of approximately $0.4 million as of December 31, 2014. The estimated incremental sales and use tax liability was based on a similar model that was being used by the state conducting the sales and use tax audit.

	Should other states where we have not imposed sales and use taxes determine that the sale of our products or services are subject to sales and use taxes, we could incur future assessments, which would require charges to operations.

Segment_Information

Segment Information	12 Months Ended
Segment Information	Dec. 31, 2014
Segment Information
Segment Information	Note 15. Segment Information

	We apply the guidance in Segment Reporting (ASC 280) based on our internal organization and reporting of revenue and other performance measures. Our segments are designed to allocate resources internally and provide a framework to determine management responsibility. Operating segments are defined as components of an enterprise about which discrete financial information is available that is evaluated regularly by the chief operating decision maker, or decision making group, in deciding how to allocate resources and in assessing performance. Our chief operating decision maker is our Chief Executive Officer. We have five operating segments, as summarized below:

		·		Products segment— Includes EnCase® Enterprise, EnCase® Cybersecurity, EnCase® Analytics, EnCase® eDiscovery, EnCase® Forensic, EnCase® Portable, Premium License Support Program and hardware sales.

		·		Subscription segment— Includes subscription services for cloud-based document review and production software. The subscription segment was new as of February 2012 due to our acquisition of CaseCentral.

		·		Professional services segment— Performs consulting services and implementations.

		·		Training segment— Provides training classes by which we train our customers to effectively and efficiently use our software products.

		·		Maintenance segment— Provides software updates, telephone and email support.

	Currently, we do not separately allocate operating expenses to these segments, nor do we allocate specific assets, with the exception of goodwill, to segments. Therefore, the segment information reported includes only revenues, cost of revenues and segment profit. The following tables present the results of operations for each operating segment (in thousands):

			Year Ended December 31, 2014
			Products		Subscription		Professional		Training		Maintenance		Total
			Products		Subscription		services		Training		Maintenance		Total

	Revenues		$	34,412	$	7,406	$	17,999	$	8,928	$	39,911	$	108,656
	Cost of revenues		8,427		4,574		14,929		5,882		2,194		36,006
	Segment profit		$	25,985	$	2,832	$	3,070	$	3,046	$	37,717	72,650
	Total operating expenses												87,785
	Operating loss												$	(15,135	)

			Year Ended December 31, 2013
			Products		Subscription		Professional		Training		Maintenance		Total
			Products		Subscription		services		Training		Maintenance		Total

	Revenues		$	34,203	$	10,345	$	19,337	$	8,824	$	37,815	$	110,524
	Cost of revenues		7,450		4,314		17,516		6,225		2,015		37,520
	Segment profit		$	26,753	$	6,031	$	1,821	$	2,599	$	35,800	73,004
	Total operating expenses												94,311
	Operating loss												$	(21,307	)

			Year Ended December 31, 2012
			Products		Subscription		Professional		Training		Maintenance		Total
			Products		Subscription		services		Training		Maintenance		Total

	Revenues		$	56,116	$	9,202	$	18,058	$	9,835	$	36,259	$	129,470
	Cost of revenues		7,982		3,722		16,681		6,095		1,957		36,437
	Segment profit		$	48,134	$	5,480	$	1,377	$	3,740	$	34,302	93,033
	Total operating expenses												94,820
	Operating loss												$	(1,787	)

	Revenue, classified by the major geographic areas in which we operate, is as follows:

			Year Ended December 31,
			2014		2013		2012
			(in thousands)
	Revenues:
	US		$	83,506	$	86,830	$	105,065
	Europe		14,483		13,469		13,132
	Asia		5,998		5,076		6,176
	Other		4,669		5,149		5,097
			$	108,656	$	110,524	$	129,470

	At December 31, 2014 and 2013, long-lived assets located in the United States, net of accumulated depreciation and amortization was approximately $14.4 million and $18.2 million, respectively. At December 31, 2014, 2013 and 2012, long-lived assets located in foreign countries, net of accumulated depreciation and amortization was approximately $0.2 million, $0.2 million, and $0.3 million, respectively. No individual country outside of the United States accounted for more than 10% of our consolidated long-lived assets. Long-lived assets exclude goodwill and intangibles assets, which are not allocated to specific geographies as it is impracticable to do so.

	Revenues from transactions with the U.S. Government were generated across all reporting segments and were greater than 10% of total revenues. U.S. Government revenues were $19.8 million and $14.7 million for the years ended December 31, 2014 and 2013, respectively.

Unaudited_Quarterly_Informatio

Unaudited Quarterly Information	12 Months Ended
	Dec. 31, 2014
Unaudited Quarterly Information
Unaudited Quarterly Information
	Note 16. Unaudited Quarterly Information

	The following tables set forth below are unaudited quarterly data. In the opinion of management, the following unaudited quarterly data has been prepared on the same basis as the audited financial statements and includes all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the results of operations for the periods presented.

		(in thousands, except share data)
		Quarter Ended
		Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,			Mar. 31,
		2014			2014			2014			2014			2013			2013			2013			2013
	Total revenues	$	28,248		$	27,847		$	27,180		$	25,381		$	27,960		$	28,314		$	27,306		$	26,944
	Total cost of revenues	9,097			9,259			8,959			8,691			8,605			9,705			9,755			9,455
	Gross profit(1)	19,151			18,588			18,221			16,690			19,355			18,609			17,551			17,489
	Total operating expenses	22,169			21,132			21,711			22,773			22,686			23,519			24,143			23,963
	Operating (loss) income	(3,018		)	(2,544		)	(3,490		)	(6,083		)	(3,331		)	(4,910		)	(6,592		)	(6,474		)
	Total other income and expense	7			9			637			17			6			9			3			6
	(Loss) income before income taxes	(3,011		)	(2,535		)	(2,853		)	(6,066		)	(3,325		)	(4,901		)	(6,589		)	(6,468		)
	Income tax provision	53			51			82			78			34			67			51			65
	Net (loss) income	$	(3,064	)	$	(2,586	)	$	(2,935	)	$	(6,144	)	$	(3,359	)	$	(4,968	)	$	(6,640	)	$	(6,533	)
	Net (loss) income per common share:
	Basic	$	(0.11	)	$	(0.10	)	$	(0.11	)	$	(0.23	)	$	(0.13	)	$	(0.19	)	$	(0.26	)	$	(0.26	)
	Diluted	$	(0.11	)	$	(0.10	)	$	(0.11	)	$	(0.23	)	$	(0.13	)	$	(0.19	)	$	(0.26	)	$	(0.26	)
	Weighted average shares outstanding used in the calculation of net (loss) income per common share:
	Basic	27,199			26,977			26,789			26,425			26,017			25,914			25,802			25,508
	Diluted	27,199			26,977			26,789			26,425			26,017			25,914			25,802			25,508

	(1)Excluding amortization and depreciation.

SCHEDULE_II_VALUATION_AND_QUAL

SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS	12 Months Ended
	Dec. 31, 2014
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS
	SCHEDULE II

	VALUATION AND QUALIFYING ACCOUNTS

	Description	Balance at		Additions			Additions			Deductions			Balance at
		Beginning		Charged to			Charged to			and Other			End of
		of Period		Costs and			Other			Adjustments			Period
				Expenses			Accounts
		(in thousands)
	Allowance for doubtful accounts:
	Year ended December 31, 2012	$	520	$	(47	)	$	(26	)	$	(10	)	$	437
	Year ended December 31, 2013	$	437	$	600		$	—		$	(222	)	$	815
	Year ended December 31, 2014	$	815	$	—		$	—		$	(181	)	$	634

	Deferred tax asset valuation allowance:
	Year ended December 31, 2012	$	14,452	$	8,109		$	—		$	—		$	22,561
	Year ended December 31, 2013	$	22,561	$	12,503		$	—		$	—		$	35,064
	Year ended December 31, 2014	$	35,064	$	5,488		$	—		$	—		$	40,552

Summary_of_Significant_Account1

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2014

Summary of Significant Accounting Policies

Basis of Presentation

Prior Period Adjustment

Prior Period Correction

Common Stock Issued

Common Stock Outstanding

Previously

Correction

Previously

Correction

Reported

Corrected

Reported

Corrected

December 31, 2011

24,630

1,909

26,539

23,342

1,909

25,251

Stock issued in acquisition

850

—

850

—

850

Exercise of stock options

647

—

647

—

647

Grant of restricted stock awards, net of forfeitures

—

1,251

—

1,251

Vesting of restricted stock awards

649

(649

)

—

649

(649

)

—

Common stock repurchased or withheld

—

(207

)

—

(207

)

December 31, 2012 balance

26,776

2,511

29,287

25,281

2,511

27,792

The Company and the Audit Committee have determined that these corrections are not material to the prior periods, the trend of earnings, and the annual 2012 consolidated financial statements.

Use of Estimates and Assumptions

Cash and Cash Equivalents

Restricted Cash

At December 31, 2014, we had $0.2 million of restricted cash held as collateral on outstanding letters of credit, related to our San Francisco office lease.

Fair Value of Financial Instruments

Trade Receivables

Inventory

Business Combinations

Property and Equipment

Estimated Useful Life

Leasehold improvements

Shorter of life of asset or lease term

Furniture and fixtures

5 years

Computer hardware and software and equipment (tooling, engineering, etc.)

3-5 years

Impairment of Long-Lived Assets

Amortization of Intangible Assets with Finite Lives

Goodwill and Indefinite-Lived Intangibles

Concentrations of Credit Risk

Revenue Recognition

Revenue Recognition Criteria: In general, we recognize revenue when the following criteria have been met:

Delivery: We deem delivery of products to have occurred when the title and risk of ownership have passed to the buyer. Services revenues are considered delivered as they are performed.

Revenue Recognition for Software Products and Software-Related Services (Software Elements)

Software product revenue. The timing of software product revenue recognition is dependent on the nature of the product sold or the structure of the license.

Revenue Recognition for Multiple-Element Arrangements — Software Products and Software-Related Services (Software Arrangements)

Revenue Recognition for Hardware and Subscription Revenues (Nonsoftware Elements)

Revenue Recognition for Multiple-Element Arrangements — Hardware, SaaS and Nonsoftware-Related Services (Nonsoftware Arrangements)

 VSOE. VSOE is determined based on its historical pricing and discounting practices for the specific product or service when sold separately. In determining VSOE, we require that a substantial majority of the selling prices for these services fall within a reasonably narrow pricing range.

 TPE. When VSOE cannot be established for deliverables in a multiple element arrangement, judgment is applied with respect to whether we can establish a selling price based on TPE. TPE is determined based on competitor prices for similar deliverables when sold separately. Generally, our go-to-market strategy differs from that of our peers and our offerings contain a significant level of differentiation such that comparable pricing of services with similar functionality has not been obtained. Furthermore, we have been unable to reliably determine selling prices of similar competitive services on a stand-alone basis. As a result, we have not been able to establish selling prices based on TPE.

 BESP. When VSOE or TPE cannot be established, we use BESP in our allocation of arrangement consideration. The objective of BESP is to determine the price at which we would transact a sale if the service were sold on a stand-alone basis. We determine BESP for deliverables by considering multiple factors including but not limited to prices we charge for similar offerings, market conditions, competitive landscape and pricing practices.

Revenue Recognition for Multiple-Element Arrangements — Arrangements with Software and Nonsoftware Elements

Deferred Revenue

Research and Development

Commissions

Leases

Advertising Costs

Advertising costs are charged to operations as incurred and were $0.6 million as of December 31, 2014, and not significant for other periods presented.

Accounting for Income Taxes

Foreign Currency Transactions

Commitments and Contingencies

Recent Accounting Pronouncements

Realignment Expense

Summary_of_Significant_Account2

Summary of Significant Accounting Policies (Tables)	12 Months Ended
Summary of Significant Accounting Policies (Tables)	Dec. 31, 2014
Summary of Significant Accounting Policies
Schedule of estimated useful lives of property and equipment
		Estimated Useful Life
	Leasehold improvements	Shorter of life of asset or lease term
	Furniture and fixtures	5 years
	Computer hardware and software and equipment (tooling, engineering, etc.)	3-5 years


Schedule of previously reported common stock balances and corrections necessary to reflect the restricted stock awards as issued and outstanding upon the grant date
		Common Stock Issued				Common Stock Outstanding
		Previously	Correction		As	Previously		Correction		As
		Reported	Correction		Corrected	Reported		Correction		Corrected
	December 31, 2011	24,630	1,909		26,539	23,342		1,909		25,251
	Stock issued in acquisition	850	—		850	850		—		850
	Exercise of stock options	647	—		647	647		—		647
	Grant of restricted stock awards, net of forfeitures	—	1,251		1,251	—		1,251		1,251
	Vesting of restricted stock awards	649	(649	)	—	649		(649	)	—
	Common stock repurchased or withheld	—	—		—	(207	)	—		(207	)
	December 31, 2012 balance	26,776	2,511		29,287	25,281		2,511		27,792

Business_Combinations_Tables

Business Combinations (Tables)	12 Months Ended
Business Combinations (Tables)	Dec. 31, 2014
Business Combinations
Schedule of revenues, expenses and net income of the acquired entity included in the entity's Consolidated Statements of Operations	CaseCentral’s revenues, expenses and net income included in the Consolidated Statements of Operations from the acquisition date through December 31, 2012, including amortization of the acquired intangible assets, were as follows (in thousands):

		Year Ended
		December 31, 2012
	Revenue	$	14,244
	Expense	(15,534		)
	Net loss	$	(1,290	)


Schedule of purchase price allocation	The final purchase price allocation is as follows (in thousands):

		Weighted Average				Fair Market Values
		Estimated Useful
		Life
	Cash and cash equivalents					$	1,400
	Accounts receivable					3,072
	Prepaids & other assets					1,240
	Property and equipment					1,101
	Identifiable intangible assets:
	Core & developed technology	7		$	4,700
	Customer relationships	10		5,900
	Trade name	3		300
	Covenant not-to compete	5		200
	Total identifiable intangible assets					11,100
	Goodwill					10,921
	Accounts payable and accrued expenses					(3,465		)
	Capital lease obligations					(929		)
	Deferred revenue					(3,300		)
	Total purchase price					$	21,140


Schedule of unaudited pro forma condensed consolidated financial statement
	The following are the unaudited pro forma condensed consolidated financial statements of the combined entity for the year ended December 31, 2012 assuming the business combination had occurred on January 1, 2012, (in thousands, except per share amounts).

		Year Ended
		December 31, 2012
	Total revenues	$	132,141
	Total net expenses	135,840
	Income (loss) before income taxes	(3,699		)
	Income tax provision	188
	Net income (loss)	$	(3,887	)
	Net income (loss) per share — basic and diluted	$	(0.16	)

Net_Loss_Per_Share_Tables

Net Loss Per Share (Tables)	12 Months Ended
Net Loss Per Share (Tables)	Dec. 31, 2014
Net Loss Per Share
Schedule of computation of basic and diluted net loss per share
	The following table sets forth the computation of basic and diluted net loss per share (in thousands, except per share data):

		Year Ended December 31,
		2014			2013			2012
	Basic loss per common share:
	Numerator:
	Net loss	$	(14,729	)	$	(21,500	)	$	(1,983	)
	Net income allocated to participating securities	—			—			—
	Net loss allocated to common stockholders	$	(14,729	)	$	(21,500	)	$	(1,983	)
	Denominator:
	Basic weighted average shares outstanding	26,758			25,757			24,577
	Net loss per basic common share	$	(0.55	)	$	(0.83	)	$	(0.08	)

	Diluted loss per common share:
	Numerator:
	Net loss	$	(14,729	)	$	(21,500	)	$	(1,983	)
	Net income allocated to participating securities	—			—			—
	Net loss allocated to common stockholders	$	(14,729	)	$	(21,500	)	$	(1,983	)
	Denominator:
	Basic weighted average shares outstanding	26,758			25,757			24,577
	Effect of dilutive share-based awards	—			—			—
	Diluted weighted average shares outstanding	26,758			25,757			24,577
	Net loss per diluted common share	$	(0.55	)	$	(0.83	)	$	(0.08	)

Inventory_Tables

Inventory (Tables)	12 Months Ended
	Dec. 31, 2014
Inventory
Schedule of inventory by major classes
		December 31,
		2014		2013
		(in thousands)
	Components	$	1,121	$	777
	Finished goods	1,563		1,151
	Total inventory	$	2,684	$	1,928

Property_and_Equipment_Tables

Property and Equipment (Tables)	12 Months Ended
	Dec. 31, 2014
Property and Equipment
Schedule of property and equipment, including assets held under capital leases
		December 31,
		2014			2013
		(in thousands)
	Leasehold improvements	$	11,762		$	12,304
	Computer hardware and software	22,376			21,435
	Office equipment and furniture	4,138			4,205
	Computers and office equipment under capital leases	395			416
	Assets not yet placed in service	250			784
		38,921			39,144

	Accumulated depreciation	(24,363		)	(20,680		)
	Property and equipment, net	$	14,558		$	18,464

Goodwill_and_Other_Intangibles1

Goodwill and Other Intangibles (Tables)	12 Months Ended
Goodwill and Other Intangibles (Tables)	Dec. 31, 2014
Goodwill and Other Intangibles
Summary of assignment of goodwill to the reporting segments
	The Company’s goodwill balance has been assigned to its reportable segments as follows (in thousands):

		Products		Subscription			Professional		Training		Maintenance			Unassigned			Total
		Products		Subscription			Services		Training		Maintenance			Unassigned			Total
	Goodwill balance, December 31, 2012	$	3,711	$	—		$	—	$	—	$	—		$	10,921		$	14,632
	Goodwill assigned	—		6,935			3,986		—		—			(10,921		)	—
	Goodwill balance, December 31, 2013	$	3,711	$	6,935		$	3,986	$	—	$	—		$	—		$	14,632
	Goodwill balance, December 31, 2014	$	3,711	$	6,935		$	3,986	$	—	$	—		$	—		$	14,632


Schedule of goodwill
	The following table summarizes goodwill (in thousands):

		Goodwill
	Balance, December 31, 2012	$	14,632
	Additions	—
	Balance, December 31, 2013	$	14,632
	Additions	—
	Balance, December 31, 2014	$	14,632


Summary of cumulative amortization expense related to intangible assets subject to amortization	The following table summarizes cumulative amortization expense related to intangible assets subject to amortization as of December 31, 2014 and 2013 (in thousands):

		December 31, 2014							December 31, 2013
		Gross Costs		Accumulated			Net		Gross Costs		Accumulated			Net
		Gross Costs		Amortization			Net		Gross Costs		Amortization			Net
	Core technology	$	5,800	$	(2,430	)	$	3,370	$	5,800	$	(1,648	)	$	4,152
	Existing and developed technology	2,300		(2,300		)	—		2,300		(2,042		)	258
	Customer relationships	6,475		(3,143		)	3,332		6,475		(2,315		)	4,160
	Trade names	2,100		(1,122		)	978		2,100		(843		)	1,257
	Covenant not-to-compete	200		(114		)	86		200		(74		)	126
	Total	$	16,875	$	(9,109	)	$	7,766	$	16,875	$	(6,922	)	$	9,953


Schedule of estimated remaining amortization expense	The following table summarizes the estimated remaining amortization expense through the year 2019 and thereafter (in thousands):

	Year ending	Amortization
	Year ending	Expense
	2015	$	1,652
	2016	1,499
	2017	1,399
	2018	1,392
	2019	816
	Thereafter	1,008
	Total amortization expense	$	7,766

Income_Taxes_Tables

Income Taxes (Tables)	12 Months Ended
Income Taxes (Tables)	Dec. 31, 2014
Income Taxes
Schedule of provision for income taxes
		Year Ended December 31,
		2014			2013			2012
		(in thousands)
	Current:
	Federal	$	—		$	—		$	—
	State	9			38			52
	Foreign	168			101			50
		177			139			102
	Deferred:
	Federal	84			84			75
	State	6			8			11
	Foreign	(3		)	(14		)	—
		87			78			86
		$	264		$	217		$	188


Schedule of reconciliation of the provision for income taxes at the federal statutory rate compared to actual tax provision
		Year Ended December 31,
		2014			2013			2012
		(in thousands)
	Federal income tax benefit at statutory rate	$	(4,918	)	$	(7,236	)	$	(610	)
	State income taxes, net of federal benefit	(1,131		)	(1,302		)	(350		)
	Foreign income taxes, net of federal benefit	107			53			33
	Share-based compensation	(9		)	221			(110		)
	Change in valuation allowance affecting income tax expense	6,483			10,804			717
	Research and development tax credits	(437		)	(1,254		)	—
	Other tax credits	—			(898		)	—
	Nondeductible meal and entertainment expense	74			108			109
	Nondeductible stock acquisition related expense	—			—			392
	State tax law changes	—			—			383
	Deferred income tax adjustments	82			(77		)	(360		)
	Other, net	13			(202		)	(16		)
		$	264		$	217		$	188


Schedule of components of deferred tax assets and liabilities
		December 31,
		2014			2013
		(in thousands)
	Deferred tax assets:
	Accrued expenses	$	4,122		$	4,340
	Deferred revenues	1,567			1,066
	Share-based compensation	2,035			3,811
	Tax credits	7,707			6,478
	Net operating losses	25,761			19,321
	Depreciable assets	361			1,711
	Prepaids/other	281			259
	Total deferred tax assets	41,834			36,986
	Deferred tax liabilities:
	Intangible assets	(1,282		)	(1,909		)
	Goodwill	(418		)	(333		)
	Total deferred tax liabilities	(1,700		)	(2,242		)
	Net deferred tax assets prior to valuation allowance	40,134			34,744
	Valuation allowance	(40,552		)	(35,064		)
	Net deferred tax liabilities	$	(418	)	$	(320	)


Schedule of reconciliation of total unrecognized tax benefits
		Year Ended December 31,
		2014			2013			2012
		(in thousands)
	Balance at beginning of year	$	703		$	507		$	445
	Additions based on tax positions in the current period	268			196			62
	Balance at end of year	$	971		$	703		$	507

Leases_Tables

Leases (Tables)	12 Months Ended
	Dec. 31, 2014
Leases
Schedule of future minimum lease payments under capital leases and operating leases	The following is a schedule of future minimum lease payments under capital leases and operating leases (in thousands):

	Years Ending December 31,	Future Minimum			Future Minimum		Future
		Capital Lease			Operating Lease		Minimum Lease
		Payments			Payments		Payments
	2015	73			4,580		4,653
	2016	59			3,853		3,912
	2017	38			3,892		3,930
	2018	11			3,829		3,840
	2019	—			3,456		3,456
	Thereafter	—			13,030		13,030
	Total	$	181		$	32,640	$	32,821
	Less amounts representing interest (2.5%—8.0%)	(11		)
		$	170

Employee_Benefit_Plans_Tables

Employee Benefit Plans (Tables)	12 Months Ended
Employee Benefit Plans (Tables)	Dec. 31, 2014
Employee Benefit Plans
Schedule of stock option activity
		Number of		Weighted			Weighted		Aggregate
		Options		Average			Average		Intrinsic Value
		(in thousands)		Exercise			Remaining		(in thousands)
				Price			Contractual
							Term
							(in years)

	Outstanding, December 31, 2013	2,169		$	9.34		3.5		$	4,432
	Granted	150		5.89
	Exercised	(244	)	4.83
	Forfeited or expired	(660	)	12.33

	Outstanding, December 31, 2014	1,415		8.36			2.8		$	1,589

	Exercisable, December 31, 2014	1,265		$	8.65		2		$	1,385


Summarizes information about options unvested, based on current forfeiture rates, that are expected to ultimately vest	The following summarizes information about options unvested at December 31, 2014 that, based on current forfeiture rates, are expected to ultimately vest:

		Number of		Weighted			Weighted		Aggregate
		Options		Average			Average		Intrinsic Value
		(in thousands)		Exercise			Remaining		(in thousands)
				Price			Contractual
							Term
							(in years)
	Options expected to vest	111		$	5.89		9.9		$	151


Schedule of restricted stock awards activity
		Number of		Weighted
		Shares		Average
		(in thousands)		Fair Value

	Outstanding, December 31, 2013	2,653		$	9.17
	Granted	1,259		8.15
	Vested and issued	(966	)	8.6
	Forfeited	(887	)	9.66

	Outstanding, December 31, 2014	2,059		$	8.6


Schedule of weighted average assumptions used in valuation of awards
		Year ended
		December 31,
		2014
	Risk-free interest rate	1.81%
	Dividend yield	—%
	Expected life (years)	5.81
	Volatility	47.46%
	Weighted average grant date fair value	$2.72


Schedule of share-based compensation expense
		Year Ended December 31,
		2014			2013			2012
		(in thousands)
	Stock option awards	$	54		$	156		$	343
	Restricted stock awards	6,640			7,470			5,508
	Share-based compensation expense	$	6,694		$	7,626		$	5,851





Schedule of non-cash share-based compensation
		Year Ended December 31,
		2014			2013			2012
		(in thousands)
	Cost of product revenue	$	131		$	137		$	101
	Cost of subscription revenue	128			189			142
	Cost of services and maintenance revenues	1,419			1,284			1,041
	Selling and marketing	1,308			2,100			1,639
	Research and development	1,783			2,044			1,428
	General and administrative	1,925			1,872			1,500
	Total share-based compensation	$	6,694		$	7,626		$	5,851

Fair_Value_Measurements_Tables

Fair Value Measurements (Tables)	12 Months Ended
Fair Value Measurements (Tables)	Dec. 31, 2014
Fair Value Measurements
Schedule of financial assets and liabilities accounted for at fair value on a recurring basis


		Fair Value Measurements at December 31, 2014
		Total		Level 1		Level 2		Level 3
	Assets:
	U.S. Treasury Securities	$	2,006	$	2,006	$	—	$	—
	Money market accounts	4,280		4,280		—		—
	Total assets	$	6,286	$	6,286	$	—	$	—

		Fair Value Measurements at December 31, 2013
		Total		Level 1		Level 2		Level 3
	Assets:
	U.S. Treasury Securities	$	2,005	$	2,005	$	—	$	—
	Money market accounts	269		269		—		—
	Total assets	$	2,274	$	2,274	$	—	$	—

Segment_Information_Tables

Segment Information (Tables)	12 Months Ended
Segment Information (Tables)	Dec. 31, 2014
Segment Information
Schedule of results of operations for each operating segment	The following tables present the results of operations for each operating segment (in thousands):

		Year Ended December 31, 2014
		Products		Subscription		Professional		Training		Maintenance		Total
		Products		Subscription		services		Training		Maintenance		Total

	Revenues	$	34,412	$	7,406	$	17,999	$	8,928	$	39,911	$	108,656
	Cost of revenues	8,427		4,574		14,929		5,882		2,194		36,006
	Segment profit	$	25,985	$	2,832	$	3,070	$	3,046	$	37,717	72,650
	Total operating expenses											87,785
	Operating loss											$	(15,135	)

		Year Ended December 31, 2013
		Products		Subscription		Professional		Training		Maintenance		Total
		Products		Subscription		services		Training		Maintenance		Total

	Revenues	$	34,203	$	10,345	$	19,337	$	8,824	$	37,815	$	110,524
	Cost of revenues	7,450		4,314		17,516		6,225		2,015		37,520
	Segment profit	$	26,753	$	6,031	$	1,821	$	2,599	$	35,800	73,004
	Total operating expenses											94,311
	Operating loss											$	(21,307	)

		Year Ended December 31, 2012
		Products		Subscription		Professional		Training		Maintenance		Total
		Products		Subscription		services		Training		Maintenance		Total

	Revenues	$	56,116	$	9,202	$	18,058	$	9,835	$	36,259	$	129,470
	Cost of revenues	7,982		3,722		16,681		6,095		1,957		36,437
	Segment profit	$	48,134	$	5,480	$	1,377	$	3,740	$	34,302	93,033
	Total operating expenses											94,820
	Operating loss											$	(1,787	)


Schedule of revenues, classified by the major geographic areas
		Year Ended December 31,
		2014		2013		2012
		(in thousands)
	Revenues:
	US	$	83,506	$	86,830	$	105,065
	Europe	14,483		13,469		13,132
	Asia	5,998		5,076		6,176
	Other	4,669		5,149		5,097
		$	108,656	$	110,524	$	129,470

Unaudited_Quarterly_Informatio1

Unaudited Quarterly Information (Tables)	12 Months Ended
	Dec. 31, 2014
Unaudited Quarterly Information
Schedule of unaudited quarterly data

		(in thousands, except share data)
		Quarter Ended
		Dec. 31,			Sept. 30,			June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,			Mar. 31,
		2014			2014			2014			2014			2013			2013			2013			2013
	Total revenues	$	28,248		$	27,847		$	27,180		$	25,381		$	27,960		$	28,314		$	27,306		$	26,944
	Total cost of revenues	9,097			9,259			8,959			8,691			8,605			9,705			9,755			9,455
	Gross profit(1)	19,151			18,588			18,221			16,690			19,355			18,609			17,551			17,489
	Total operating expenses	22,169			21,132			21,711			22,773			22,686			23,519			24,143			23,963
	Operating (loss) income	(3,018		)	(2,544		)	(3,490		)	(6,083		)	(3,331		)	(4,910		)	(6,592		)	(6,474		)
	Total other income and expense	7			9			637			17			6			9			3			6
	(Loss) income before income taxes	(3,011		)	(2,535		)	(2,853		)	(6,066		)	(3,325		)	(4,901		)	(6,589		)	(6,468		)
	Income tax provision	53			51			82			78			34			67			51			65
	Net (loss) income	$	(3,064	)	$	(2,586	)	$	(2,935	)	$	(6,144	)	$	(3,359	)	$	(4,968	)	$	(6,640	)	$	(6,533	)
	Net (loss) income per common share:
	Basic	$	(0.11	)	$	(0.10	)	$	(0.11	)	$	(0.23	)	$	(0.13	)	$	(0.19	)	$	(0.26	)	$	(0.26	)
	Diluted	$	(0.11	)	$	(0.10	)	$	(0.11	)	$	(0.23	)	$	(0.13	)	$	(0.19	)	$	(0.26	)	$	(0.26	)
	Weighted average shares outstanding used in the calculation of net (loss) income per common share:
	Basic	27,199			26,977			26,789			26,425			26,017			25,914			25,802			25,508
	Diluted	27,199			26,977			26,789			26,425			26,017			25,914			25,802			25,508

	(1)Excluding amortization and depreciation.

Summary_of_Significant_Account3

Summary of Significant Accounting Policies (Details)	12 Months Ended
Summary of Significant Accounting Policies (Details)	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013
Common stock balances and corrections necessary to reflect the restricted stock awards as issued and outstanding upon the grant date
Balances (in shares)		29,376,000	28,760,000
Balances (in shares)		29,376,000	28,760,000
Common Stock Issued
Common stock balances and corrections necessary to reflect the restricted stock awards as issued and outstanding upon the grant date
Balances (in shares)	26,539,000
Stock issued in acquisition (in shares)	850,000
Exercise of stock options (in shares)	647,000
Grant of restricted stock awards, net of forfeitures (in shares)	1,251,000
Balances (in shares)	29,287,000
Common Stock Outstanding
Common stock balances and corrections necessary to reflect the restricted stock awards as issued and outstanding upon the grant date
Balances (in shares)	25,251,000
Stock issued in acquisition (in shares)	850,000
Exercise of stock options (in shares)	647,000
Grant of restricted stock awards, net of forfeitures (in shares)	1,251,000
Common stock repurchased or withheld (in shares)	-207,000
Balances (in shares)	27,792,000
Previously Reported \| Common Stock Issued
Common stock balances and corrections necessary to reflect the restricted stock awards as issued and outstanding upon the grant date
Balances (in shares)	24,630,000
Stock issued in acquisition (in shares)	850,000
Exercise of stock options (in shares)	647,000
Vesting of restricted stock awards (in shares)	649,000
Balances (in shares)	26,776,000
Previously Reported \| Common Stock Outstanding
Common stock balances and corrections necessary to reflect the restricted stock awards as issued and outstanding upon the grant date
Balances (in shares)	23,342,000
Stock issued in acquisition (in shares)	850,000
Exercise of stock options (in shares)	647,000
Vesting of restricted stock awards (in shares)	649,000
Common stock repurchased or withheld (in shares)	-207,000
Balances (in shares)	25,281,000
Correction \| Common Stock Issued
Common stock balances and corrections necessary to reflect the restricted stock awards as issued and outstanding upon the grant date
Balances (in shares)	1,909,000
Grant of restricted stock awards, net of forfeitures (in shares)	1,251,000
Vesting of restricted stock awards (in shares)	-649,000
Balances (in shares)	2,511,000
Correction \| Common Stock Outstanding
Common stock balances and corrections necessary to reflect the restricted stock awards as issued and outstanding upon the grant date
Balances (in shares)	1,909,000
Grant of restricted stock awards, net of forfeitures (in shares)	1,251,000
Vesting of restricted stock awards (in shares)	-649,000
Balances (in shares)	2,511,000

Summary_of_Significant_Account4

Summary of Significant Accounting Policies (Details 2) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014
Restricted cash and cash equivalents
Restricted cash	$153
Trade Receivables
Minimum number of days after which receivables are considered past due	30 days
Business Combinations
Maximum period for adjusting preliminary purchase price allocation	1 year
Office Lease Agreement
Restricted cash and cash equivalents
Restricted cash	$200
Furniture and fixtures
Property and Equipment
Estimated useful life	5 years
Computer hardware and software \| Minimum
Property and Equipment
Estimated useful life	3 years
Computer hardware and software \| Maximum
Property and Equipment
Estimated useful life	5 years
Internally used software \| Minimum
Property and Equipment
Estimated useful life	2 years
Internally used software \| Maximum
Property and Equipment
Estimated useful life	5 years

Summary_of_Significant_Account5

Summary of Significant Accounting Policies (Details 3) (Cash and cash equivalents, Concentration of credit risk, USD $)	Dec. 31, 2014
Concentrations of Credit Risk
Uninsured cash balances	$18,000,000
Maximum
Concentrations of Credit Risk
Cash balances insured by the Federal Deposit Insurance Corporation	$250,000

Summary_of_Significant_Account6

Summary of Significant Accounting Policies (Details 4) (USD $)	12 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2014
Realignment Expense
Advertising cost charged to operations	$0.60
Realignment expenses	3.6
Severance expense	3.2
Present value of lease payments for abandoned office space	$0.40
Minimum
Summary of Significant Accounting Policies
Period of maintenance of proprietary products	1 year
Maximum
Summary of Significant Accounting Policies
Period of maintenance of proprietary products	3 years

Business_Combination_Details

Business Combination (Details) (USD $)	12 Months Ended	0 Months Ended
	Dec. 31, 2012	Apr. 02, 2012	Feb. 21, 2012	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2011
	Dec. 31, 2012	item	Feb. 21, 2012	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2011
Business Combinations
Purchase price paid in cash	$9,642,000
Value of common stock issued			9,500,000
Contingent consideration included in the purchase price of acquisition	600,000
Purchase price allocation
Goodwill	14,632,000			14,632,000	14,632,000	14,632,000
CaseCentral
Business Combinations
Aggregate purchase price			21,100,000
Purchase price paid in cash			9,600,000
Cash acquired			1,400,000
Value of common stock issued			9,500,000
Common stock issued as part of the purchase price of acquisition, shares			849,554
Market price per share of common stock issued (in dollars per share)			$11.18
Contingent consideration fair value			600,000
Acquisition-related costs	2,000,000
Number of 12-month periods over which required cash payment is payable		3
Number of months in period over which required cash payment is payable		12 months
Amount of contingent consideration payable with respect to each of the earn-out periods as percentage of certain qualifying product's revenues			35.00%
Limited amount for the first earn-out period			3,000,000
Amount of contingent consideration payable with respect to each of the earn-out periods, Threshold revenues			11,100,000
Cumulative total amount for the first and second earn-out periods			13,000,000
Earn-out consideration payment period			65 days
Contingent earn-out payable				0
Unaudited pro forma condensed consolidated financial statement
Total revenues	132,141,000
Revenue	14,244,000
Total net expenses	135,840,000
Expense	-15,534,000
Net loss	-1,290,000
Income (loss) before income taxes	-3,699,000
Income tax provision	188,000
Net income (loss)	-3,887,000
Net income (loss) per share - basic and diluted	($0.16)
Purchase price allocation
Cash and cash equivalents			1,400,000
Accounts receivable			3,072,000
Prepaids & other assets			1,240,000
Property and equipment			1,101,000
Identifiable intangible assets			11,100,000
Goodwill			10,921,000
Accounts payable and accrued expenses			-3,465,000
Capital lease obligations			-929,000
Deferred revenue			-3,300,000
Total purchase price			21,140,000
Unaudited pro forma condensed consolidated financial statement
Total revenues	132,141,000
Revenue	14,244,000
Total net expenses	135,840,000
Expense	-15,534,000
Net loss	-1,290,000
Income (loss) before income taxes	-3,699,000
Income tax provision	188,000
Net income (loss)	-3,887,000
Net income (loss) per share - basic and diluted	($0.16)
CaseCentral \| Maximum
Business Combinations
Contingent consideration included in the purchase price of acquisition			33,000,000
CaseCentral \| Core & developed technology
Purchase price allocation
Identifiable intangible assets			4,700,000
Weighted Average Estimated Useful Life			7 years
CaseCentral \| Customer relationships
Purchase price allocation
Identifiable intangible assets			5,900,000
Weighted Average Estimated Useful Life			10 years
CaseCentral \| Trade names
Purchase price allocation
Identifiable intangible assets			300,000
Weighted Average Estimated Useful Life			3 years
CaseCentral \| Covenant not-to-compete
Purchase price allocation
Identifiable intangible assets			$200,000
Weighted Average Estimated Useful Life			5 years

Net_Loss_Per_Share_Details

Net Loss Per Share (Details) (USD $)	3 Months Ended								12 Months Ended
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Numerator:
Net loss	($3,064)	($2,586)	($2,935)	($6,144)	($3,359)	($4,968)	($6,640)	($6,533)	($14,729)	($21,500)	($1,983)
Net loss allocated to common stockholders									-14,729	-21,500	-1,983
Denominator:
Basic weighted average shares outstanding	27,199	26,977	26,789	26,425	26,017	25,914	25,802	25,508	26,758	25,757	24,577
Net loss per basic common share (in dollars per share)	($0.11)	($0.10)	($0.11)	($0.23)	($0.13)	($0.19)	($0.26)	($0.26)	($0.55)	($0.83)	($0.08)
Numerator:
Net loss	($3,064)	($2,586)	($2,935)	($6,144)	($3,359)	($4,968)	($6,640)	($6,533)	($14,729)	($21,500)	($1,983)
Denominator:
Basic weighted average shares outstanding	27,199	26,977	26,789	26,425	26,017	25,914	25,802	25,508	26,758	25,757	24,577
Diluted weighted average shares outstanding	27,199	26,977	26,789	26,425	26,017	25,914	25,802	25,508	26,758	25,757	24,577
Net loss per diluted common share (in dollars per share)	($0.11)	($0.10)	($0.11)	($0.23)	($0.13)	($0.19)	($0.26)	($0.26)	($0.55)	($0.83)	($0.08)
Number of stock options and restricted stock awards excluded from calculation of diluted net loss per share (in shares)									1,765,000	2,132,000	1,599,000

Inventory_Details

Inventory (Details) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Inventory
Components	$1,121	$777
Finished goods	1,563	1,151
Total inventory	$2,684	$1,928

Property_and_Equipment_Details

Property and Equipment (Details) (USD $)	12 Months Ended
Property and Equipment (Details) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Property and Equipment
Property and equipment, gross	$38,921,000	$39,144,000
Accumulated depreciation	-24,363,000	-20,680,000
Property, Plant and Equipment, Net, Total	14,558,000	18,464,000
Accumulated amortization related to capital leases	300,000	300,000
Depreciation and amortization expense related to property and equipment including equipment under capital leases	5,200,000	5,200,000	4,400,000
Leasehold improvements
Property and Equipment
Property and equipment, gross	11,762,000	12,304,000
Computer hardware and software
Property and Equipment
Property and equipment, gross	22,376,000	21,435,000
Office equipment and furniture
Property and Equipment
Property and equipment, gross	4,138,000	4,205,000
Computers and office equipment under capital leases
Property and Equipment
Property and equipment, gross	395,000	416,000
Assets not yet placed in service
Property and Equipment
Property and equipment, gross	$250,000	$784,000

Goodwill_and_Other_Intangibles2

Goodwill and Other Intangibles (Details) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2011
Goodwill
Goodwill balance at the beginning of the period		$14,632	$14,632	$14,632
Goodwill balance at the end of the period	14,632	14,632	14,632	14,632
Unassigned
Goodwill
Goodwill balance at the beginning of the period	10,921
Goodwill assigned	-10,921
Products
Goodwill
Goodwill balance at the beginning of the period			3,711	3,711
Goodwill balance at the end of the period	3,711		3,711	3,711
Subscription
Goodwill
Goodwill balance at the beginning of the period			6,935
Goodwill assigned	6,935
Goodwill balance at the end of the period	6,935		6,935
Professional services
Goodwill
Goodwill balance at the beginning of the period			3,986
Goodwill assigned	3,986
Goodwill balance at the end of the period	$3,986		$3,986

Goodwill_and_Other_Intangibles3

Goodwill and Other Intangibles (Details 2) (USD $)	12 Months Ended
Goodwill and Other Intangibles (Details 2) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Goodwill
Goodwill balance at the beginning of the period	$14,632,000	$14,632,000	$14,632,000
Goodwill balance at the end of the period	14,632,000	14,632,000	14,632,000
Amortization expense	2,200,000	2,500,000	2,400,000
Subscription
Goodwill
Goodwill balance at the end of the period		$6,935,000	$6,935,000
Percentage of fair value of reporting unit in excess of carrying amount	18.00%
Subscription \| Revenue \| Customer Concentration
Goodwill
Number of customers	1
Percentage of customer concentration	47.00%
Minimum
Goodwill
Percentage of fair value of reporting unit in excess of carrying amount	140.00%
Maximum
Goodwill
Percentage of fair value of reporting unit in excess of carrying amount	450.00%

Goodwill_and_Other_Intangibles4

Goodwill and Other Intangibles (Details 3) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
	item	Dec. 31, 2013
Goodwill and Other Intangibles
Gross Costs	$16,875	$16,875
Accumulated Amortization	-9,109	-6,922
Total amortization Expense	7,766	9,953
Number of Reporting Units	6
Core technology
Goodwill and Other Intangibles
Gross Costs	5,800	5,800
Accumulated Amortization	-2,430	-1,648
Total amortization Expense	3,370	4,152
Existing and developed technology
Goodwill and Other Intangibles
Gross Costs	2,300	2,300
Accumulated Amortization	-2,300	-2,042
Total amortization Expense		258
Customer relationships
Goodwill and Other Intangibles
Gross Costs	6,475	6,475
Accumulated Amortization	-3,143	-2,315
Total amortization Expense	3,332	4,160
Trade names
Goodwill and Other Intangibles
Gross Costs	2,100	2,100
Accumulated Amortization	-1,122	-843
Total amortization Expense	978	1,257
Covenant not-to-compete
Goodwill and Other Intangibles
Gross Costs	200	200
Accumulated Amortization	-114	-74
Total amortization Expense	$86	$126

Goodwill_and_Other_Intangibles5

Goodwill and Other Intangibles (Details 4) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Estimated remaining amortization expense
2015	$1,652
2016	1,499
2017	1,399
2018	1,392
2019	816
Thereafter	1,008
Total amortization Expense	$7,766	$9,953

Income_Taxes_Details

Income Taxes (Details) (USD $)	3 Months Ended								12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Current:
State									$9	$38	$52
Foreign									168	101	50
Current									177	139	102
Deferred:
Federal									84	84	75
State									6	8	11
Foreign									-3	-14
Deferred									87	78	86
Provision for income taxes	53	51	82	78	34	67	51	65	264	217	188
Reconciliation of the provision for income taxes at the federal statutory rate compared to actual tax provision
Federal income tax benefit at statutory rate									-4,918	-7,236	-610
State income taxes, net of federal benefit									-1,131	-1,302	-350
Foreign income taxes, net of federal benefit									107	53	33
Share-based compensation									-9	221	-110
Change in valuation allowance affecting income tax expense									6,483	10,804	717
Research and development tax credits									-437	-1,254
Other tax credits										-898
Nondeductible meal and entertainment expense									74	108	109
Nondeductible stock acquisition related expense											392
State tax law changes											383
Deferred income tax adjustments									82	-77	-360
Other, net									13	-202	-16
Income Tax Expense (Benefit), Total	53	51	82	78	34	67	51	65	264	217	188
Deferred tax assets:
Accrued expenses	4,122				4,340				4,122	4,340
Deferred revenues	1,567				1,066				1,567	1,066
Share-based compensation	2,035				3,811				2,035	3,811
Tax credits	7,707				6,478				7,707	6,478
Net operating losses	25,761				19,321				25,761	19,321
Depreciable assets	361				1,711				361	1,711
Prepaids/other	281				259				281	259
Total deferred tax assets	41,834				36,986				41,834	36,986
Deferred tax liabilities:
Intangible assets	-1,282				-1,909				-1,282	-1,909
Goodwill	-418				-333				-418	-333
Total deferred tax liabilities	-1,700				-2,242				-1,700	-2,242
Net deferred tax assets prior to valuation allowance	40,134				34,744				40,134	34,744
Valuation allowance	-40,552				-35,064				-40,552	-35,064
Net deferred tax liabilities	($418)				($320)				($418)	($320)

Income_Taxes_Details_2

Income Taxes (Details 2) (USD $)	12 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Income Taxes
Increase in valuation allowance	$5.50	$12.50
Deferred tax asset attributable to excess stock option deductions	4
Period of cumulative U.S. tax losses	3 years
Federal \| Research and development.
Tax credit carryforwards
Tax credit carryforwards	4.3
State \| Research and development.
Tax credit carryforwards
Tax credit carryforwards	$5.20

Income_Taxes_Details_3

Income Taxes (Details 3) (USD $)	12 Months Ended
Income Taxes (Details 3) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Reconciliation of total unrecognized tax benefits
Balance at beginning of year	$703,000	$507,000	$445,000
Additions based on tax positions in the current period	268,000	196,000	62,000
Balance at end of year	971,000	703,000	507,000
Federal
Operating loss carryforwards
Net operating loss carryforwards	72,000,000
State
Operating loss carryforwards
Net operating loss carryforwards	$56,000,000

Income_Taxes_Details_4

Income Taxes (Details 4) (Foreign)	12 Months Ended
Income Taxes (Details 4) (Foreign)	Dec. 31, 2014
Minimum
Corporate income tax audits
Period of statute of limitations	3 years
Maximum
Corporate income tax audits
Period of statute of limitations	6 years

Debt_Obligations_Details

Debt Obligations (Details) (USD $)	0 Months Ended	12 Months Ended
In Millions, unless otherwise specified	Aug. 29, 2014	Dec. 31, 2014	Aug. 29, 2014
Loans
Debt Obligations
Revolving line of credit maintained with a bank	$3		$3
Letters of Credit Outstanding	1.3		1.3
Revolver
Debt Obligations
Term	3 years
Revolving line of credit maintained with a bank	10	8.5	10
Maximum principal amount permitted to be outstanding that has been borrowed (as a percent)	75.00%
Commitment fee		0.2
Percentage of eligible accounts receivable for calculation of availability of borrowings		80.00%
Remaining borrowing capacity		$10
Revolver \| Minimum
Debt Obligations
Adjusted Quick Ratio below which collections will be applied to outstanding loan	1.5
Basis spread on variable rate (as a percent)		1.25%
Revolver \| Maximum
Debt Obligations
Adjusted Quick Ratio below which collections will be applied to outstanding loan	1
Basis spread on variable rate (as a percent)		3.25%

Leases_Details

Leases (Details) (USD $)	12 Months Ended
Leases (Details) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Future Minimum Capital Lease Payments
2015	$73,000
2016	59,000
2017	38,000
2018	11,000
Total	181,000
Less amounts representing interest	-11,000
Future Minimum Capital Lease Payments	170,000
Future Minimum Operating Lease Payments
2015	4,580,000
2016	3,853,000
2017	3,892,000
2018	3,829,000
2019	3,456,000
Thereafter	13,030,000
Total	32,640,000
Future Minimum Lease Payments
2015	4,653,000
2016	3,912,000
2017	3,930,000
2018	3,840,000
2019	3,456,000
Thereafter	13,030,000
Total	32,821,000
Operating leases
Rent expense related to operating leases	$4,900,000	$6,200,000	$5,200,000
Minimum
Future Minimum Capital Lease Payments
Interest (as a percent)	2.50%
Maximum
Future Minimum Capital Lease Payments
Interest (as a percent)	8.00%

Employee_Benefit_Plans_Details

Employee Benefit Plans (Details) (USD $)	12 Months Ended
Employee Benefit Plans (Details) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Stock options
Equity Incentive Plan
Annual vesting percentage of shares granted under the Plan	25.00%
Vesting period	4 years
Maximum period for exercise of shares	10 years
Number of Options
Outstanding at the beginning of the period (in shares)	2,169,000
Granted (in shares)	150,000	0	0
Exercised (in shares)	-244,000
Forfeited or expired (in shares)	-660,000
Outstanding at the end of the period (in shares)	1,415,000	2,169,000
Exercisable at the end of the period (in shares)	1,265,000
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$9.34
Granted (in dollars per share)	$5.89
Exercised (in dollars per share)	$4.83
Forfeited or expired (in dollars per share)	$12.33
Outstanding at the end of the period (in dollars per share)	$8.36	$9.34
Exercisable at the end of the period (in dollars per share)	$8.65
Weighted Average Remaining Contractual Term
Outstanding at the beginning of the period	2 years 9 months 18 days	3 years 6 months
Outstanding at the end of the period	2 years 9 months 18 days	3 years 6 months
Exercisable at the end of the period	2 years
Aggregate Intrinsic Value
Outstanding at the beginning of the period	$4,432,000
Outstanding at the end of the period	1,589,000	4,432,000
Exercisable at the end of the period	1,385,000
Additional disclosures
Fair market value of common stock used to define in-the-money options (in dollars per share)	$7.25
Number of in-the-money options used to calculate the aggregate intrinsic value of options (in shares)	3,734,000
Number of in-the-money options exercisable (in shares)	584,000
Total intrinsic value of stock options exercised	1,100,000	1,500,000	3,400,000
Options expected to vest
Number of Options (in shares)	111,000
Weighted Average Exercise Price (in dollars per share)		$5.89
Weighted Average Remaining Contractual Term	9 years 10 months 24 days
Aggregate Intrinsic Value		151,000
Restricted stock awards
Equity Incentive Plan
Annual vesting percentage of shares granted under the Plan	25.00%
Vesting period	4 years
Number of Shares
Outstanding at the beginning of the period (in shares)	2,653,000
Granted (in shares)	1,259,000
Vested and issued (in shares)	-966,000
Forfeited (in shares)	-887,000
Outstanding at the end of the period (in shares)	2,059,000	2,653,000
Weighted Average Fair Value
Outstanding at the beginning of the period (in dollars per share)	$9.17
Granted (in dollars per share)	$8.15
Vested (in dollars per share)	$8.60
Forfeited (in dollars per share)	$9.66
Outstanding at the end of the period (in dollars per share)	$8.60	$9.17
Total grant date fair value of shares vested	$8,300,000	$6,300,000	$4,000,000
Plan
Equity Incentive Plan
Number of additional shares authorized	2,500,000
Number of shares authorized before amendment	9,088,313
Number of shares authorized	11,588,313
Plan \| Restricted stock awards
Equity Incentive Plan
Number of shares available for grant		1,535,074

Employee_Benefit_Plans_Details1

Employee Benefit Plans (Details 2) (USD $)	12 Months Ended
Employee Benefit Plans (Details 2) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Additional disclosures
Share-based compensation expense	$6,694,000	$7,626,000	$5,851,000
Share-based compensation cost expected to be recorded in the next fiscal year	6,100,000
Total share-based compensation	6,694,000	7,626,000	5,851,000
Cost of product revenue
Additional disclosures
Total share-based compensation	131,000	137,000	101,000
Cost of subscription revenue
Additional disclosures
Total share-based compensation	128,000	189,000	142,000
Cost of services and maintenance revenue
Additional disclosures
Total share-based compensation	1,419,000	1,284,000	1,041,000
Selling and marketing
Additional disclosures
Total share-based compensation	1,308,000	2,100,000	1,639,000
Research and development
Additional disclosures
Total share-based compensation	1,783,000	2,044,000	1,428,000
General and administrative
Additional disclosures
Total share-based compensation	1,925,000	1,872,000	1,500,000
Stock options
Additional disclosures
Share-based compensation expense	54,000	156,000	343,000
Total unrecognized share-based compensation cost related to stock options	403,000
Weighted-average period over which unrecognized compensation cost is expected to be recognized	4 years
Weighted average assumptions
Risk-free interest rate (as a percent)	1.81%
Expected life	5 years 9 months 22 days
Volatility (as a percent)	47.46%
Weighted average grant date fair value (in dollars per share)	$2.72
Restricted stock awards
Additional disclosures
Share-based compensation expense	6,640,000	7,470,000	5,508,000
Weighted-average period over which unrecognized compensation cost is expected to be recognized	2 years 9 months 18 days
Total unrecognized share-based compensation cost related to stock awards	$14,500,000

Employee_Benefit_Plans_Details2

Employee Benefit Plans (Details 3) (USD $)	12 Months Ended
Employee Benefit Plans (Details 3) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Defined Employee Contribution Plans
Maximum percentage of semi-monthly earnings that eligible employees can contribute	75.00%
Matching contribution by employer per dollar	$0.50
Maximum matching contributions as a percentage of employee's semi-monthly contribution	6.00%
Contribution related expense	$900,000	$1,100,000	$1,000,000

Stockholders_Equity_Details

Stockholders' Equity (Details) (USD $)	12 Months Ended
In Millions, except Share data, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Aug. 31, 2008
Stockholders' Equity
Amount of shares authorized to be repurchased				$8
Remaining amount of shares authorized to be repurchased	$3.60
Shares withheld for tax purposes (in shares)	0	284,000	207,000

Fair_Value_Measurements_Detail

Fair Value Measurements (Details) (USD $)	0 Months Ended	12 Months Ended	0 Months Ended
	1-May-14	Dec. 31, 2014	Apr. 02, 2012	Dec. 31, 2013
	1-May-14	Dec. 31, 2014	item	Dec. 31, 2013
Liabilities:
Term of renewal option under barter agreement	1 year
Gain on sale of domain name		($630,000)
Minimum
Liabilities:
Probability of occurrence (as a percent)		20.00%
Percentage of maintenance revenue under renewal option of barter agreement	1.00%
Amount of maintenance revenue under renewal option of barter agreement	450,000
Maximum
Liabilities:
Probability of occurrence (as a percent)		50.00%
CaseCentral
Assets:
Contingent earn-out payable		0
Liabilities:
Number of 12-month periods over which required cash payment is payable			3
Number of months in period over which required cash payment is payable			12 months
Recurring \| Total
Assets:
Total assets		6,286,000		2,274,000
Liabilities:
Acquisition contingent consideration earn-out		0		0
Recurring \| Total \| U.S. Treasury Securities
Assets:
Total assets		2,006,000		2,005,000
Recurring \| Total \| Money market accounts
Assets:
Total assets		4,280,000		269,000
Recurring \| Level 1
Assets:
Total assets		6,286,000		2,274,000
Recurring \| Level 1 \| U.S. Treasury Securities
Assets:
Total assets		2,006,000		2,005,000
Recurring \| Level 1 \| Money market accounts
Assets:
Total assets		4,280,000		269,000
Recurring \| Level 3
Liabilities:
Fair value of distribution rights acquired	600,000
Book value of asset given in transaction	0
Gain on sale of domain name	600,000

Contractual_Obligations_Commit1

Contractual Obligations, Commitments and Contingencies (Details) (USD $)	12 Months Ended		0 Months Ended
	Dec. 31, 2014	Dec. 31, 2012	Jul. 26, 2012	Jul. 03, 2014	Apr. 01, 2014	Jul. 22, 2011
	item		item	sqft		item
			sqft
Contractual Obligations, Commitments and Contingencies
Agreement term	3 years
Payment to be made over the license term	$1,500,000
Quarterly installments	492,000,000
Number of Annual installments	3
Software license agreement
Contractual Obligations, Commitments and Contingencies
Payment to be made over the license term	1,800,000	1,500,000
Number of quarterly installments	8
Quarterly installments	229,000
Maintenance and support agreement
Contractual Obligations, Commitments and Contingencies
Agreement term		2 years
Maintenance and support obligation		300,000
Office Lease Agreement
Contractual Obligations, Commitments and Contingencies
Rentable area of office (in square feet)			90,000	6,000
Number of options available for lease extension			2
Period of lease extension available under each option			5 years
Office Lease Agreement \| Minimum
Contractual Obligations, Commitments and Contingencies
Annual rent			2,500,000	295,000
Office Lease Agreement \| Maximum
Contractual Obligations, Commitments and Contingencies
Annual rent			3,400,000	332,000
Colocation Lease Agreement \| Minimum
Contractual Obligations, Commitments and Contingencies
Annual rent					236,000,000
Colocation Lease Agreement \| Maximum
Contractual Obligations, Commitments and Contingencies
Annual rent					265,000,000
Patent infringement complaint
Contractual Obligations, Commitments and Contingencies
Number of patents for which infringement is alleged						3
Sales Tax Liabilities
Contractual Obligations, Commitments and Contingencies
Incremental sales tax liability expected to result from preliminary findings	1,200,000
Interest included in sales tax liability	$400,000

Segment_Information_Details

Segment Information (Details) (USD $)	3 Months Ended								12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	segment	Dec. 31, 2013	Dec. 31, 2012
Segment Information
Number of operating segments									5
Segment Information
Revenues	$28,248	$27,847	$27,180	$25,381	$27,960	$28,314	$27,306	$26,944	$108,656	$110,524	$129,470
Cost of revenues	9,097	9,259	8,959	8,691	8,605	9,705	9,755	9,455	36,006	37,520	36,437
Segment profit	19,151	18,588	18,221	16,690	19,355	18,609	17,551	17,489	72,650	73,004	93,033
Total operating expenses	22,169	21,132	21,711	22,773	22,686	23,519	24,143	23,963	87,785	94,311	94,820
Operating loss	-3,018	-2,544	-3,490	-6,083	-3,331	-4,910	-6,592	-6,474	-15,135	-21,307	-1,787
Products
Segment Information
Revenues									34,412	34,203	56,116
Cost of revenues									8,427	7,450	7,982
Segment profit									25,985	26,753	48,134
Subscription
Segment Information
Revenues									7,406	10,345	9,202
Cost of revenues									4,574	4,314	3,722
Segment profit									2,832	6,031	5,480
Professional services
Segment Information
Revenues									17,999	19,337	18,058
Cost of revenues									14,929	17,516	16,681
Segment profit									3,070	1,821	1,377
Training
Segment Information
Revenues									8,928	8,824	9,835
Cost of revenues									5,882	6,225	6,095
Segment profit									3,046	2,599	3,740
Maintenance
Segment Information
Revenues									39,911	37,815	36,259
Cost of revenues									2,194	2,015	1,957
Segment profit									$37,717	$35,800	$34,302

Segment_Information_Details_2

Segment Information (Details 2) (USD $)	3 Months Ended								12 Months Ended
Segment Information (Details 2) (USD $)	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Segment Information
Revenues	$28,248,000	$27,847,000	$27,180,000	$25,381,000	$27,960,000	$28,314,000	$27,306,000	$26,944,000	$108,656,000	$110,524,000	$129,470,000
Government
Segment Information
Revenues									19,800,000	14,700,000
United States
Segment Information
Revenues									83,506,000	86,830,000	105,065,000
Long-lived assets	14,400,000				18,200,000				14,400,000	18,200,000
Europe
Segment Information
Revenues									14,483,000	13,469,000	13,132,000
Asia
Segment Information
Revenues									5,998,000	5,076,000	6,176,000
Other
Segment Information
Revenues									4,669,000	5,149,000	5,097,000
Foreign countries
Segment Information
Long-lived assets	$200,000				$200,000				$200,000	$200,000	$300,000

Unaudited_Quarterly_Informatio2

Unaudited Quarterly Information (Details) (USD $)	3 Months Ended								12 Months Ended
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Unaudited Quarterly Information
Total revenues	$28,248	$27,847	$27,180	$25,381	$27,960	$28,314	$27,306	$26,944	$108,656	$110,524	$129,470
Total cost of revenues	9,097	9,259	8,959	8,691	8,605	9,705	9,755	9,455	36,006	37,520	36,437
Segment profit	19,151	18,588	18,221	16,690	19,355	18,609	17,551	17,489	72,650	73,004	93,033
Total operating expenses	22,169	21,132	21,711	22,773	22,686	23,519	24,143	23,963	87,785	94,311	94,820
Operating loss	-3,018	-2,544	-3,490	-6,083	-3,331	-4,910	-6,592	-6,474	-15,135	-21,307	-1,787
Total other income and expense	7	9	637	17	6	9	3	6	670	24	-8
Loss before income taxes	-3,011	-2,535	-2,853	-6,066	-3,325	-4,901	-6,589	-6,468	-14,465	-21,283	-1,795
Income tax provision	53	51	82	78	34	67	51	65	264	217	188
Net loss	($3,064)	($2,586)	($2,935)	($6,144)	($3,359)	($4,968)	($6,640)	($6,533)	($14,729)	($21,500)	($1,983)
Net (loss) income per common share:
Net loss per common share - basic (in dollars per share)	($0.11)	($0.10)	($0.11)	($0.23)	($0.13)	($0.19)	($0.26)	($0.26)	($0.55)	($0.83)	($0.08)
Net loss per common share - diluted (in dollars per share)	($0.11)	($0.10)	($0.11)	($0.23)	($0.13)	($0.19)	($0.26)	($0.26)	($0.55)	($0.83)	($0.08)
Weighted average shares outstanding used in the calculation of net (loss) income per common share:
Shares used in the calculation of net loss per common share- basic	27,199	26,977	26,789	26,425	26,017	25,914	25,802	25,508	26,758	25,757	24,577
Shares used in the calculation of net loss per common share - diluted	27,199	26,977	26,789	26,425	26,017	25,914	25,802	25,508	26,758	25,757	24,577

SCHEDULE_II_VALUATION_AND_QUAL1

SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS (Details) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Allowance for doubtful accounts
VALUATION AND QUALIFYING ACCOUNTS
Balance at Beginning of Period	$815	$437	$520
Additions Charged to Costs and Expenses		600	-47
Additions Charged to Other Accounts			-26
Deductions and Other Adjustments	-181	-222	-10
Balance at End of Period	634	815	437
Deferred tax asset valuation allowance
VALUATION AND QUALIFYING ACCOUNTS
Balance at Beginning of Period	35,064	22,561	14,452
Additions Charged to Costs and Expenses	5,488	12,503	8,109
Balance at End of Period	$40,552	$35,064	$22,561