Balance Sheet Details | 4. Balance Sheet Details Balance sheet components consist of the following: December 31, June 30, 2016 2016 (in thousands) Inventories: Raw materials $ 57 $ 57 Distributor inventory 1,138 1,677 Finished goods 14,570 10,754 Total inventories $ 15,765 $ 12,488 Property and equipment: Computer equipment and tooling $ 34,909 $ 33,739 Computer rental equipment 20,358 17,194 Software 7,771 7,328 Furniture and fixtures 3,805 3,880 Leasehold improvements and others 9,698 8,836 Total property and equipment 76,541 70,977 Less accumulated depreciation and amortization (55,722 ) (49,426 ) Property and equipment, net $ 20,819 $ 21,551 Deferred revenue: Product $ 3,763 $ 5,433 Support and services 59,953 59,465 Hosted and related services 13,718 12,807 Total deferred revenue $ 77,434 $ 77,705 Depreciation expense for the three months ended December 31, 2016 and 2015 was $3.4 million and $2.8 million, respectively. Depreciation expense for the six months ended December 31, 2016 and 2015 was $6.6 million and $5.7 million, respectively. Intangible Assets: Intangible assets consist of the following (in thousands): December 31, 2016 June 30, 2016 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Patents $ 4,446 $ (4,027 ) $ 419 $ 4,446 $ (3,919 ) $ 527 Technology 31,434 (25,763 ) 5,671 31,434 (23,523 ) 7,911 Customer relationships 24,700 (16,303 ) 8,397 24,700 (14,513 ) 10,187 Intangible assets in process and other 178 (30 ) 148 178 (15 ) 163 Intangible assets $ 60,758 $ (46,123 ) $ 14,635 $ 60,758 $ (41,970 ) $ 18,788 The intangible assets that are amortizable have estimated useful lives of two to eight years. Amortization of intangible assets for the three months ended December 31, 2016 and 2015 was $2.1 million and $2.0 million, respectively. Amortization of intangible assets for the six months ended December 31, 2016 and 2015 was $4.2 million and $3.9 million, respectively. The estimated amortization expenses for intangible assets as of December 31, 2016 for the next five years and thereafter are as follows (in thousands): Years Ending June 30, 2017 (remaining 6 months) $ 3,355 2018 5,513 2019 4,010 2020 1,267 2021 477 Thereafter 13 Total $ 14,635 Short-Term Investments: The following tables summarize the Company’s short-term investments (in thousands): December 31, 2016 Amortized Gross Unrealized Gross Unrealized Fair Value Corporate bonds and commercial paper $ 20,002 $ - $ (37 ) $ 19,965 U.S. Government agency securities 29,216 - (33 ) 29,183 Total short-term investments $ 49,218 $ - $ (70 ) $ 49,148 June 30, 2016 Amortized Gross Unrealized Gross Unrealized Fair Value Corporate bonds and commercial paper $ 26,359 $ 9 $ (5 ) $ 26,363 U.S. Government agency securities 20,038 32 - 20,070 Total short-term investments $ 46,397 $ 41 $ (5 ) $ 46,433 The following table summarizes the maturities of the Company’s fixed income securities (in thousands): December 31, 2016 Amortized Cost Fair Value Less than 1 year $ 35,041 $ 35,008 Due in 1 to 3 years 14,177 14,140 Total $ 49,218 $ 49,148 June 30, 2016 Amortized Cost Fair Value Less than 1 year $ 28,107 $ 28,114 Due in 1 to 3 years 18,290 18,319 Total $ 46,397 $ 46,433 All available-for-sale securities have been classified as current based on management’s ability to use the funds in current operations. Actual maturities may differ from the contractual maturities because borrowers may have the right to call or prepay certain obligations. |