Overland Storage (OVRL) 10-Q 14 Nov 14 2015 Q1 Quarterly report Financial data

Document_Entity_Information

Document Entity Information	3 Months Ended
	Sep. 30, 2014	Nov. 06, 2014
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'OVERLAND STORAGE INC	'
Entity Central Index Key	'0000889930	'
Current Fiscal Year End Date	'--06-30	'
Entity Filer Category	'Smaller Reporting Company	'
Document Type	'10-Q	'
Document Period End Date	30-Sep-14	'
Document Fiscal Year Focus	'2015	'
Document Fiscal Period Focus	'Q1	'
Amendment Flag	'false	'
Entity Common Stock, Shares Outstanding	'	17,690,908

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations (Unaudited) (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Net revenue:	'	'
Product revenue	$19,256	$6,133
Service revenue	3,640	4,473
Revenue, net	22,896	10,606
Cost of product revenue	14,983	5,377
Cost of service revenue	1,551	1,660
Gross profit	6,362	3,569
Operating expenses:	'	'
Sales and marketing	5,586	3,745
Research and development	1,920	1,309
General and administrative	5,811	2,611
Operating expenses	13,317	7,665
Loss from operations	-6,955	-4,096
Investment income	1,801	0
Interest expense	-364	-314
Other income (expense), net	-381	-161
Loss before income taxes	-5,899	-4,571
Provision for income taxes	1,395	19
Net loss	($7,294)	($4,590)
Net loss per share:	'	'
Basic and diluted	($0.42)	($0.75)
Shares used in computing net loss per share:	'	'
Basic and diluted	17,567	6,145

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Comprehensive Loss (Unaudited) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Statement of Comprehensive Income [Abstract]	'	'
Net loss	($7,294)	($4,590)
Other comprehensive income (loss):	'	'
Change in unrealized gains on related party short-term investment, net of income tax of $1,021 and $0, respectively	-1,849	1,384
Reclassification of realized gains on related party short-term investment included in net income, net of income tax of $639 and $0, respectively	-1,162	0
Foreign currency translation adjustments	57	75
Total other comprehensive income (loss)	-2,954	1,459
Comprehensive loss	($10,248)	($3,131)

Condensed_Consolidated_Stateme2

Condensed Consolidated Statements of Comprehensive Loss (Unaudited) (Parentheticals) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Other Comprehensive Income (Loss), Tax, Parenthetical Disclosures [Abstract]	'	'
Change in unrealized gains on related party short-term investment, tax	$1,021	$0
Reclassification of realized gains on related party short-term investment included in net income, tax	$639	$0

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (Unaudited) (USD $)	Sep. 30, 2014	Jun. 30, 2014
In Thousands, unless otherwise specified
Assets	'	'
Cash	$3,452	$4,262
Short-term investment — related party	3,444	7,814
Accounts receivable, net of allowance for doubtful accounts of $61 and $31, respectively	13,292	14,171
Inventories	15,821	15,525
Other current assets	3,417	2,419
Total current assets	39,426	44,191
Property and equipment, net	5,802	5,799
Goodwill	19,044	19,044
Intangible assets, net	23,142	23,784
Other non-current assets	1,331	1,121
Total assets	88,745	93,939
Liabilities and Shareholders’ Equity	'	'
Accounts payable	13,454	11,159
Accrued liabilities	6,731	6,780
Accrued payroll and employee compensation	3,930	3,561
Income taxes payable	128	118
Accrued warranty	942	994
Deferred revenue	7,254	7,941
Other current liabilities	1,487	1,874
Current portion of debt	5,137	0
Total current liabilities	39,063	32,427
Deferred revenue, long-term	3,171	3,371
Long-term debt — related party	17,278	14,528
Long-term debt	0	5,406
Other long-term liabilities	1,794	1,413
Total liabilities	61,306	57,145
Commitments and contingencies (Note 11)	'	'
Shareholders' equity:	'	'
Preferred stock, no par value, 1,000 shares authorized; no shares issued and outstanding as of September 30, 2014 and June 30, 2014	0	0
Common stock, no par value, 125,000 shares authorized; 17,586 and 17,540 shares issued and outstanding as of September 30, 2014 and June 30, 2014, respectively	188,326	187,434
Accumulated other comprehensive income	1,700	4,654
Accumulated deficit	-162,587	-155,294
Total shareholders’ equity	27,439	36,794
Total liabilities and shareholders’ equity	$88,745	$93,939

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets Parenthetical Data (USD $)	Sep. 30, 2014	Jun. 30, 2014
In Thousands, unless otherwise specified
Statement of Financial Position [Abstract]	'	'
Allowance for Doubtful Accounts Receivable, Current	$61	$31
Preferred Stock, No Par Value	$0	$0
Preferred Stock, Shares Authorized	1,000	1,000
Preferred Stock, Shares Issued	0	0
Preferred Stock, Shares Outstanding	0	0
Common Stock, No Par Value	$0	$0
Common stock, shares authorized	125,000	125,000
Common Stock, Shares, Issued	17,586	17,540
Common Stock, Shares, Outstanding	17,586	17,540

Condensed_Consolidated_Stateme3

Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Operating activities:	'	'
Net loss	($7,294)	($4,590)
Adjustments to reconcile net loss to cash used in operating activities:	'	'
Depreciation and amortization	896	328
Tax provision	1,661	0
Gain on sale of short-term investment — related party	-1,801	0
Share-based compensation	794	910
Changes in operating assets and liabilities:	'	'
Accounts receivable	879	273
Inventories	-295	333
Accounts payable and accrued liabilities	2,008	-1,011
Accrued payroll and employee compensation	510	-200
Deferred revenue	-887	-580
Other assets and liabilities, net	-406	251
Net cash used in operating activities	-3,935	-4,286
Investing activities:	'	'
Proceeds from sale of short-term investment — related party	1,000	0
Purchase of fixed assets	-270	-190
Purchase of intangible assets	0	-250
Net cash provided by (used in) investing activities	730	-440
Financing activities:	'	'
Proceeds from borrowings - related party	2,750	0
Repayment of borrowings	-270	0
Payment for restricted stock tax liability on net settlement	-42	-224
Proceeds from ESPP purchases	23	49
Net cash provided by (used in) financing activities	2,461	-175
Effect of exchange rate changes on cash	-66	4
Net decrease in cash	-810	-4,897
Cash, beginning of period	4,262	8,831
Cash, end of period	3,452	3,934
Supplemental disclosures of non-cash activities:	'	'
Sale of short-term investment in other current assets	1,000	0
Fixed asset purchases in accounts payable and accrued liabilities	463	105
Short-term investment - related party	500	481
Equity award fair value adjustment to liability	117	145
Common stock issued for purchase of intangible assets — related party	$0	$250

BASIS_OF_PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Sep. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	'
	BASIS OF PRESENTATION
	Financial Statement Preparation
	Overland Storage, Inc. (“Overland” or the “Company”), incorporated in September 1980, provides data protection solutions designed for backup and recovery to ensure business continuity. The Company has a portfolio of disk-based data protection solutions, including network attached storage (“NAS”) and storage area network (“SAN”) products and solutions, as well as tape-based data protection solutions, including tape and virtual tape library systems, designed for small and medium business computing environments.
	The accompanying interim unaudited condensed consolidated financial statements include the accounts of Overland and its wholly-owned subsidiaries, including Tandberg Data Holdings S.à r.l. (“Tandberg”) which the Company acquired on January 21, 2014. All intercompany balances and transactions have been eliminated in consolidation. The accompanying condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). These condensed consolidated statements do not include all of the information and disclosures required by GAAP for complete financial statements. In the opinion of management, the unaudited financial information for the interim periods presented reflects all adjustments, which are normal and recurring, necessary for a fair statement of the Company's condensed consolidated results of operations, comprehensive loss, financial position, and cash flows as of September 30, 2014, and for all periods presented. The results reported in these condensed consolidated financial statements for the three months ended September 30, 2014 are not necessarily indicative of the results that may be expected for the full fiscal year. The accompanying condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the Company's annual report on Form 10-K for the fiscal year ended June 30, 2014.
	The Company operates its business in one operating segment.
	Effective the second quarter of fiscal 2014, the Company changed how it reports its operations to use a 52-week fiscal year end with each year ending on June 30, compared to prior year reporting using a 52-53 week fiscal year with each year ending on the Sunday closest to June 30. The first quarter of fiscal 2014 ended September 29, 2013.
	The Company has incurred losses since fiscal 2006 and negative cash flows from operating activities since fiscal 2007. As of September 30, 2014, the Company had an accumulated deficit of $162.6 million. During the first quarter of fiscal 2015, the Company incurred a net loss of $7.3 million. The Company expects to incur negative operating cash flows during the continued period of integration for its acquisition completed in January 2014 as the Company works to improve operational efficiencies.
	The Company has projected its cash on hand, its short-term investment (the common shares of Sphere 3D the Company owns), available borrowings under the Company's credit facility, and other sources of funding will be sufficient to allow the Company to continue operations for the next 12 months. Significant changes from the Company's current forecast, including but not limited to: (i) shortfalls from projected sales levels, (ii) unexpected increases in product costs, (iii) increases in operating costs, (iv) changes in the historical timing of collecting accounts receivable, and/or (v) the Company's inability to liquidate its short-term investment could have a material adverse impact on the Company's ability to access the level of funding necessary to continue its operations at current levels. If any of these events occur or if we are not able to secure additional funding (including from Sphere 3D), the Company may be forced to make further reductions in spending, extend payment terms with suppliers, liquidate assets where possible and/or suspend or curtail planned programs. Any of these actions could materially harm the Company's business, results of operations and future prospects, and/or prevent us from consummating the proposed merger with Sphere 3D. The Company may seek debt, equity or equity-based financing (such as convertible debt) when market conditions and the merger agreement with Sphere 3D permit.
	The Company's recurring losses and negative cash flows from operations raise substantial doubt about its ability to continue as a going concern. The accompanying condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business.
	Reverse Stock Split
	On April 9, 2014, the Company filed a certificate of amendment to its Amended and Restated Certificate of Incorporation with the Secretary of the State of California effecting a one-for-five reverse split of the Company's capital stock. All share, per share, and stock option data information in the accompanying consolidated financial statements and the notes thereto have been restated for all periods to reflect the reverse stock split.
	Proposed Merger
	In May 2014 and amended in October 2014, the Company entered into an agreement and plan of merger (the “Merger Agreement”) with Sphere 3D Corporation (“Sphere 3D”).
	Pursuant to the terms of the merger agreement, upon the consummation of the merger, the Company would become a wholly owned subsidiary of Sphere 3D. The merger is expected to close in the second quarter of fiscal 2015.
	At the effective time of the merger, each issued and outstanding share of common stock of the Company will be canceled and automatically converted into the right to receive 0.46385 shares of common stock of Sphere 3D, subject to adjustment in certain circumstances. The Merger Agreement contains customary reciprocal operating covenants as well as customary negative covenants. Additionally, the Company is subject to a “no-shop” restriction on its ability to solicit alternative acquisition proposals, provide information to third parties and engage in discussions with third parties (subject to exceptions in certain limited circumstance).
	The Merger Agreement contains certain termination rights for both the Company and Sphere 3D. The Merger Agreement provides that, upon termination under specified circumstances, the Company would be required to pay Sphere 3D a termination fee of $3.5 million. The Company and Sphere 3D are entitled to seek specific performance in order to enforce one another's obligations under the Merger Agreement.
	The Company's shareholders will be asked to vote on the approval of the Merger Agreement and the Merger at a special shareholders' meeting that will be held on a date to be announced. The closing of the Merger is subject to a condition that the Merger be approved by the affirmative vote of the holders of a majority of all outstanding shares of common stock of the Company. Consummation of the Merger is also subject to certain customary closing conditions. Certain shareholders of the Company holding a majority of the issued and outstanding shares of common stock of the Company have entered into voting agreements with Sphere 3D pursuant to which they have agreed to vote their shares of common stock in favor of the Merger at the special meeting. The Merger is not conditioned upon Sphere 3D obtaining additional financing.
	The Board of Directors of the Company approved the Merger Agreement on May 15, 2014, with Eric Kelly abstaining (in order to avoid any appearance of conflict of interest resulting from his position as a director of Sphere 3D) and Daniel Bordessa abstaining (in order to avoid any appearance of conflict of interest resulting from his position as a nominee of Cyrus Capital Partners, the majority shareholder of the Company, and a holder of certain debt securities of Sphere 3D).
	The terms of the Merger Agreement did not impact the Company's consolidated financial statements as of and for the period ended September 30, 2014.
	Fair Value of Financial Instruments
	Financial instruments including cash, accounts receivable, accounts payable, and accrued liabilities are carried at cost, which management believes approximates fair value because of the short-term maturity of these instruments. Short-term investment is measured at fair value using Level 1 inputs from the TSX Venture Exchange on which the stock is traded. The carrying amount of the credit facilities borrowings approximate their fair value as the interest rate of the credit facilities are substantially comparable to rates offered for similar debt instruments. At September 30, 2014, the fair value of related party long-term debt is estimated at $14.0 million using an estimated interest rate of 12%, and is classified within Level 3 of the fair value hierarchy. At September 30, 2014, the carrying value of the related party long-term debt was $17.3 million.
	The framework for measuring fair value provides a hierarchy that prioritizes the inputs to valuation techniques used in measuring fair value as follows:
	Level 1 -	Quoted prices (unadjusted) in active markets for identical assets or liabilities,
	Level 2 -	Inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data, and
	Level 3 -	Unobservable inputs for the asset or liability only used when there is little, if any, market activity for the asset or liability at the measurement date.
	Recently Issued Accounting Pronouncements
	From time to time, new accounting pronouncements are issued by the FASB that are adopted by the Company as of the specified effective date. If not discussed, the Company believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company's consolidated financial statements upon adoption.
	In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements — Going Concern. ASU 2014-15 provides that in connection with preparing financial statements for each annual and interim reporting period, an entity's management should evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity's ability to continue as a going concern within one year after the date that the financial statements are issued (or within one year after the date that the financial statements are available to be issued when applicable). ASU 2014-15 will be effective for the annual reporting period ending after December 15, 2016, and for annual and interim periods thereafter. Early application is permitted. The impact on our financial condition, results of operations and cash flows as a result of the adoption of ASU 2014-15 has not yet been determined.
	In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. ASU 2014-09 outlines a single comprehensive model for accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance. ASU 2014-09 requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 will be effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. The impact on our financial condition, results of operations and cash flows as a result of the adoption of ASU 2014-09 has not yet been determined.
	In July 2013, the FASB, issued ASU No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. ASU No. 2013-11 provides that an entity is required to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. If a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. ASU No. 2013-11 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The adoption of this guidance affected presentation only and, therefore, did not have a material impact on the Company's consolidated financial results.

BUSINESS_COMBINATION_Notes

BUSINESS COMBINATION (Notes)	3 Months Ended
	Sep. 30, 2014
Business Combinations [Abstract]	'
Business Combination Disclosure [Text Block]	'
	BUSINESS COMBINATION
	On January 21, 2014, the Company acquired Tandberg, a privately held provider of data storage and data protection solutions, for a purchase price of approximately $49.0 million, which was paid in shares of the Company's common stock. The shareholders of Tandberg received 9,430,526 shares of the Company's common stock at $5.20 per share. This acquisition expanded the Company's number of global channel and service partners, product lines and service offerings, as well as expanded the Company's market reach in Europe and the Asia-Pacific region.
	A summary of the estimated fair values of the assets acquired and liabilities assumed as of the closing date (in thousands):
	Cash and cash equivalents		$	1,715
	Restricted cash		400
	Accounts receivable		7,571
	Inventories		6,416
	Property and equipment		3,763
	Identifiable intangible assets		24,260
	Other assets		1,959
	Total identifiable assets acquired		46,084
	Current liabilities		(13,796		)
	Other liabilities		(2,293		)
	Total identifiable liabilities assumed		(16,089		)
	Net identifiable assets acquired		29,995
	Goodwill		19,044
	Net assets acquired		$	49,039
	Goodwill is comprised of expected synergies from combining Tandberg's operations with that of the Company, reduction in future combined research and development expenses, and intangible assets, such as acquired workforce, that do not qualify for separate recognition.
	The fair value estimates for the assets acquired and liabilities assumed for the acquisition were based on estimates and analysis, including work performed by third-party valuation specialists. None of the goodwill recognized upon acquisition is deductible for tax purposes.
	The following unaudited pro forma combined financial information gives effect to the acquisition as if it were consummated on July 1, 2012 (the beginning of the earliest fiscal period presented). The unaudited pro forma combined financial information is presented for informational purposes only, is not intended to represent or be indicative of the results of operations of the Company that would have been reported had the acquisition occurred on July 1, 2012, and should not be taken as representative of future consolidated results of operations of the combined company (in thousands):
		Three Months Ended
		30-Sep-13
	Net revenue		$	24,323
	Net loss		$	(6,996	)
	Net loss per share		$	(0.40	)

SHORTTERM_INVESTMENT_RELATED_P

SHORT-TERM INVESTMENT - RELATED PARTY (Notes)	3 Months Ended
	Sep. 30, 2014
Short-term Investments [Abstract]	'
Short-term Investment - Related Party Disclosure [Text Block]	'
	SHORT-TERM INVESTMENT - RELATED PARTY
	In July 2013, the Company entered into a supply agreement with Sphere 3D Corporation (“Sphere 3D”). For certain payments under the supply agreement, Sphere 3D has issued common shares to the Company. Sphere 3D's common shares are traded on the TSX Venture Exchange and the NASDAQ Global Market. The short-term investment is classified as available-for-sale marketable securities. See note 6 for additional related party disclosure.
	The following summarizes short-term investments (in thousands):
		September 30, 2014
		Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
	Short-term investment — related party	$	781	$	2,801	$	(138	)	$	3,444
		June 30, 2014
		Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
	Short-term investment — related party	$	481	$	7,333	$	—		$	7,814
	As of September 30, 2014, a portion of the Company's investment in Sphere 3D is in a gross unrealized loss position, all of which had been in such position for less than twelve months. Based on the Company's review of these securities, the Company believes it had no other-than-temporary impairments on these securities as of September 30, 2014.

INVENTORIES

INVENTORIES	3 Months Ended
	Sep. 30, 2014
Inventory, Net [Abstract]	'
Inventory Disclosure [Text Block]	'
	INVENTORIES
	The following table summarizes inventories (in thousands):
		September 30,		June 30,
		2014		2014
	Raw materials	$	4,652	$	4,767
	Work in process	843		875
	Finished goods	10,326		9,883
		$	15,821	$	15,525

INTANGIBLE_ASSETS

INTANGIBLE ASSETS	3 Months Ended
	Sep. 30, 2014
Goodwill and Intangible Assets Disclosure [Abstract]	'
Intangible Assets Disclosure [Text Block]	'
	INTANGIBLE ASSETS
	The following table summarizes purchased intangible assets (in thousands):
		September 30,			June 30,
		2014			2014
	Developed technology	$	23,467		$	23,467
	Customer contracts and trade names	3,853			3,853
	Customer relationships(1)	1,043			1,120
		28,363			28,440
	Less: Accumulated amortization	(7,321		)	(6,756		)
	Total finite-lived intangible assets, net	21,042			21,684
	Indefinite lived intangible assets - trade name	2,100			2,100
	Total intangible assets, net	$	23,142		$	23,784
	____________________
	-1	Includes the impact of foreign currency exchange rate fluctuations.
	Amortization expense of intangible assets was $0.6 million and $0.2 million during the first quarter of fiscal 2015 and 2014, respectively. Estimated amortization expense for intangible assets is approximately $1.7 million for the remainder of fiscal 2015 and $2.2 million, $2.0 million, $1.8 million, $1.8 million and $1.8 million in fiscal 2016, 2017, 2018, 2019, and 2020, respectively.

RELATED_PARTY_Notes

RELATED PARTY (Notes)	3 Months Ended
	Sep. 30, 2014
Related Party Transactions [Abstract]	'
Related Party Transactions Disclosure [Text Block]	'
	RELATED PARTY
	In July 2013, the Company entered into a supply agreement, and a technology license agreement, with Sphere 3D. As consideration for the transactions contemplated by the technology license agreement, the Company paid Sphere 3D $250,000 in cash and issued Sphere 3D shares of common stock with a value at the time of issuance of approximately $250,000. As payments under the supply agreement, Sphere 3D issued common shares with a value as of the date of issuance equal to approximately $0.5 million to the Company during both the three months ended September 30, 2014 and 2013.
	During the quarter ended September 30, 2014, Sphere 3D entered into a commercial relationship with a third party customer to sell a license to its Glassware product. The customer required that the Glassware product be provided through one of its preapproved distribution partners. Sphere 3D did not have a relationship with such distribution partner and in order to facilitate such transaction on a timely basis, Sphere 3D and Overland agreed that Overland would purchase the Glassware product from Sphere 3D and resell it to the distribution partner, with whom Overland had a preexisting relationship. As a result, Overland issued a purchase order of approximately $0.3 million for the Glassware products being supplied through the distribution partner.
	In connection with the July 2013 Sphere 3D transaction, Eric Kelly, the Company's President and Chief Executive Officer, was appointed chairman of the board of directors of Sphere 3D. Mr. Kelly was also awarded an option to purchase up to 850,000 shares of common stock of Sphere 3D with an exercise price of approximately $0.63.
	At September 30, 2014, the Company had $0.6 million, $0.3 million, $0.6 million, and $0.7 million in accounts receivable, inventory, accrued expenses, and other long-term liabilities, respectively, related to the Sphere 3D supply agreement. At June 30, 2014, the Company had $0.5 million and $0.2 million in accounts receivable and other long-term liabilities, respectively, related to the Sphere 3D supply agreement. The Company recognized $0.6 million and zero in revenue related to the supply agreement during the three months ended September 30, 2014 and 2013, respectively. No related party expense, other than debt interest expense, was recognized during the three months ended September 30, 2014 and 2013.

DEBT

DEBT	3 Months Ended
	Sep. 30, 2014
Debt Disclosure [Abstract]	'
Debt Disclosure [Text Block]	'
	DEBT
	Credit Facility
	In August 2011, the Company entered into a loan and security agreement, or credit facility, which allows for revolving cash borrowings up to $8.0 million. The proceeds of the credit facility may be used to fund the Company's working capital and to fund its general business requirements. The obligations under the credit facility are secured by substantially all assets of the Company other than 65% of the stock of its foreign subsidiaries, which are pledged under the Company's convertible notes. Borrowings under the credit facility bear interest at the prime rate (as defined in the credit facility) plus a margin of either 1.00% or 1.25%, depending on the Company's liquidity coverage ratio. The Company is also obligated to pay other customary facility fees and arrangement fees for a credit facility of this size and type. In August 2013, the credit facility was amended to extend the scheduled maturity date to August 7, 2015 and add a separate line of credit in the amount of $750,000 for letters of credit, foreign exchange contracts, and cash management. In March 2014, the credit facility was amended to provide for a $3.0 million sublimit for advances to one of the Company's subsidiaries. Borrowings under the sublimit bear interest at the prime rate (as defined in the credit facility) plus a margin of either 2.00% or 2.25%, depending on the Company's net cash. At September 30, 2014, the interest rates on the credit facility and the sublimit were 4.5% and 5.5%, respectively.
	The credit facility requires the Company to comply with a liquidity coverage ratio and contains customary covenants, including covenants that limit or restrict the Company's and its subsidiaries' ability to incur liens and indebtedness, make certain types of payments, merge or consolidate, and make dispositions of assets. The credit facility specifies customary events of default (some of which are subject to applicable grace or cure periods) including, among other things, non-payment defaults, covenant defaults, cross-defaults to other material indebtedness, bankruptcy and insolvency defaults, and material judgment defaults. Upon the occurrence of an event of default under the credit facility, the lender may cease making loans, terminate the credit facility, and declare all amounts outstanding to be immediately due and deduct such amounts from the Company’s lockbox account on deposit with the bank. At September 30, 2014, the Company was in compliance with all covenants of the credit facility.
	At September 30, 2014 and June 30, 2014, the Company had $5.1 million and $5.4 million, respectively, outstanding on the credit facility. At September 30, 2014, an external borrowing capacity of up to $2.9 million remained on the credit facility. Payment is due in full upon maturity on August 7, 2015.
	Convertible Notes - Related Party
	In February 2013, the Company entered into a note purchase agreement (the “NPA”) with the purchasers party thereto (the “Purchasers”), including certain affiliates of Cyrus Capital Partners, L.P. (the “Cyrus Purchasers”), which was amended in March 2013. The Company sold to the Purchasers convertible promissory notes (the “Initial Notes”) of the Company in an aggregate original principal amount of $13.25 million. On November 1, 2013, the Company amended and restated the NPA and agreed to sell additional convertible promissory notes (the “Additional Notes” and, together with the Initial Notes, the “Notes”) to the Cyrus Purchasers. The Company issued the Additional Notes in amounts of $3.0 million, $2.0 million, and $2.0 million on November 12, 2013, December 24, 2013, and January 21, 2014, respectively.
	The Initial Notes are scheduled to mature in February 2017. The Additional Notes are scheduled to mature four years from date of issuance. Debt issuance costs of $0.3 million have been included in other assets and will be amortized over the term of the Notes. The Notes bear interest at a rate of 8% per annum, payable semi-annually.
	On November 8, 2013, the Company issued 1,649,579 shares of common stock to the Purchasers in satisfaction of approximately $10.7 million of the Initial Notes. On November 8, 2013, the Cyrus Purchasers, the beneficial owners of Tandberg, became the sole holders of the outstanding Notes. In January 2014, the Company completed the acquisition of Tandberg.
	At September 30, 2014 and June 30, 2014, the Notes' principal balance was $9.5 million and has been recorded as long-term debt — related party. No payments of principal are due within the next 12 months.
	Through July 2015, the Company may, subject to certain limitations, pay interest in cash or in shares of common stock at its option. Subsequent to July 2015, if at any time the Cyrus Purchasers hold 20% or more of the then outstanding common stock, the Cyrus Purchasers (and not the Company) will have the option to determine whether the applicable interest payment payable to the Cyrus Purchasers during such time is payable in cash or shares of common stock. The number of shares of common stock that may be issued as payment of interest on the Notes will be determined by dividing the amount of interest due to the holders of the Notes by the volume weighted average of the closing prices of one share of common stock as reported on the NASDAQ Capital Market for the 20 consecutive trading days up to and including the trading day on the third trading day prior to the valuation date, using the interest payment due date as the valuation date; provided the Company may not pay interest in shares of common stock at a price per share lower than, in the case of the Initial Notes, $4.90, and in the case of the Additional Notes, $4.50 (in each case as adjusted from time to time for items such as stock splits, combinations, reclassifications, or recapitalizations). In the event of a share price lower than, in the case of the Initial Notes, $4.90, and in the case of the Additional Notes, $4.50, the Company has the option to pay interest in a combination of shares of common stock and cash so long as the number of shares of common stock that the Company issues does not exceed the quotient obtained by dividing the interest payable at such time by, in the case of the Initial Notes, $4.90, and in the case of the Additional Notes, $4.50, and the difference between the amount of the interest paid in shares and the average closing price of the shares of common stock, determined as described above, will be payable in cash. Interest expense for the Notes was $0.2 million and $0.3 million for the three months ended September 30, 2014 and 2013, respectively.
	The Cyrus Purchasers may elect to convert all or a portion of the outstanding principal amount of such Purchaser's Note into shares of common stock (subject to certain limitations) in an amount equal to the principal amount of the Notes being converted divided by, in the case of the Initial Notes, $6.50, and in the case of the Additional Notes, $5.00, in each case subject to adjustment as set forth in the NPA, such as stock splits.
	The Company may, at its option, convert the outstanding Initial Notes or Additional Notes, as applicable, into shares of common stock (subject to certain limitations) on the first trading day immediately following the date that the closing bid price of the common stock exceeds, in the case of the Initial Notes, $13.00, and in the case of the Additional Notes, $7.50, for 10 consecutive trading days.
	The obligations under the Notes are secured by a pledge of 65% of the Company's stock in each of its foreign subsidiaries.
	The NPA contains customary covenants, including covenants that limit or restrict the Company's ability to incur liens, incur indebtedness, or make certain restricted payments. Upon the occurrence of an event of default under the NPA, the Cyrus Purchasers may declare all amounts outstanding to be immediately due and payable. The NPA specifies a number of events of default (some of which are subject to applicable grace or cure periods) including, among other things, non-payment defaults, covenant defaults, cross-defaults to other material indebtedness, bankruptcy and insolvency defaults, and material judgment defaults. In the event of default, the interest rate shall automatically increase to 11%. The Company has also granted certain registration rights to the Notes' Purchasers. At September 30, 2014, the Company was in compliance with all covenants of the Notes.
	Note Payable - Related Party
	In May 2014, the Company issued a note to Sphere 3D, which was amended and restated on September 8, 2014 to increase the principal amount under the note to the greater of the amount actually borrowed from Sphere 3D and $10 million. The note is subordinated to certain existing indebtedness and is secured by the Company's inventory and shares of common stock of Sphere 3D owned by the Company. The note bears interest at the prime rate (as defined in the agreement) plus 2% which is payable in kind semi-annually through an increase in the principal balance of the note. At September 30, 2014, the interest rate on the note was 5.25% and the principal balance was $7.8 million, recorded as long-term debt - related party. Interest expense for the note was $0.1 million and zero during the three months ended September 30, 2014 and 2013, respectively.
	The note is payable in full in one lump sum on May 15, 2018; provided however that immediately prior to the closing of the proposed merger with Sphere 3D, the note is required to be repaid in shares of common stock of Sphere 3D owned by the Company with a value equal to the total borrowings under the note, and to the extent the note is not repaid in full by such transfer of shares, any remaining portion of the note will remain outstanding following the completion of the merger. In addition, following the September 2014 amendment of the note, the Company may not sell any shares of Sphere 3D common stock without the prior consent of Sphere 3D to such sale.

EQUITY

EQUITY	3 Months Ended
	Sep. 30, 2014
Equity [Abstract]	'
Stockholders' Equity Note Disclosure [Text Block]	'
	EQUITY
	Restricted Stock
	During the first quarter of fiscal 2015, the Company issued 38,555 shares of common stock in conjunction with vested restricted stock units. The restricted stock unit holders surrendered 10,696 restricted stock units to pay for minimum withholding taxes totaling $42,000. During the first quarter of fiscal 2014, the Company issued 89,659 shares of common stock in conjunction with vested restricted stock units, and the restricted stock unit holders surrendered 40,641 restricted stock units to pay for minimum withholding taxes totaling $0.2 million. Options and restricted stock units outstanding were approximately 2.1 million shares and 2.2 million shares as of September 30, 2014 and June 30, 2014, respectively.
	Employee Stock Purchase Plan
	During the first quarter of fiscal 2015 and 2014, the Company issued 7,973 and 10,871, respectively, shares of common stock purchased through the Company's 2006 employee stock purchase plan.

NET_LOSS_PER_SHARE

NET LOSS PER SHARE	3 Months Ended
	Sep. 30, 2014
NET LOSS PER SHARE [Abstract]	'
Loss Per Share [Text Block]	'
	NET LOSS PER SHARE
	Basic net loss per share is computed by dividing net loss applicable to common shareholders by the weighted-average number of shares of common stock outstanding during the period. Diluted net loss per share is computed based on the weighted-average number of shares of common stock outstanding during the period increased by the weighted-average number of dilutive common stock equivalents outstanding during the period, using the treasury stock method. Dilutive common stock equivalents are comprised of options granted under the Company's stock option plans, employee stock purchase plan (“ESPP”) share purchase rights, convertible notes, and common stock purchase warrants. For all periods presented, there is no difference in the number of shares used to calculate basic and diluted shares outstanding due to the Company's net loss position.
	Anti-dilutive common stock equivalents excluded from the computation of diluted net loss per share were as follows (in thousands):
		Three Months Ended
		September 30,
		2014	2013
	Restricted stock not yet vested and released	1,854	419
	Options outstanding and ESPP share purchase rights	277	309
	Common stock purchase warrants	2,875	2,726
	Convertible notes	1,789	2,038
	Convertible notes interest	523	795

INCOME_TAXES

INCOME TAXES	3 Months Ended
	Sep. 30, 2014
Income Tax Disclosure [Abstract]	'
Income Tax Disclosure [Text Block]	'
	INCOME TAXES
	The Company recognizes the impact of an uncertain income tax position on its income tax return at the largest amount that is more-likely-than-not to be sustained upon audit by the relevant taxing authority. An uncertain income tax position will not be recognized if it has less than a 50% likelihood of being sustained. The Company recognizes interest and penalties related to unrecognized tax benefits in its provision for income taxes. The Company had no material accrual for interest and penalties in its condensed consolidated balance sheets at September 30, 2014 and June 30, 2014, and recognized no interest or penalties in the condensed consolidated statements of operations for the three months ended September 30, 2014 and 2013.
	The Company's ability to use its net operating loss and research and development credit carryforwards may be substantially limited due to ownership change limitations that may have occurred or that could occur in the future, as required by Section 382 of the Internal Revenue Code of 1986, as amended, as well as similar state provisions. The Company has not completed a study to assess whether an ownership change has occurred or whether there have been multiple ownership changes since the Company became a “loss corporation” under the definition of Section 382. Due to the existence of the valuation allowance, it is not expected that any possible limitation will have an impact on the results of operations or financial position of the Company.

COMMITMENTS_AND_CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Sep. 30, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Commitments and Contingencies Disclosure [Text Block]	'
	COMMITMENTS AND CONTINGENCIES
	Warranty and Extended Warranty
	The Company had $1.0 million and $1.1 million in deferred costs related to deferred service revenue at September 30, 2014 and June 30, 2014, respectively. Changes in the liability for product warranty and deferred revenue associated with extended warranties and service contracts were as follows (in thousands):
		Product			Deferred
		Warranty			Revenue
	Liability at June 30, 2014	$	1,419		$	10,216
	Settlements made during the period	(44		)	(2,661		)
	Change in liability for warranties issued during the period(1)	113			1,947
	Change in liability for pre-existing warranties	(159		)	—
	Liability at September 30, 2014	$	1,329		$	9,502
	Current liability	$	942		$	6,397
	Non-current liability	387			3,105
	Liability at September 30, 2014	$	1,329		$	9,502
	____________________
	-1	Includes the impact of foreign currency exchange rate fluctuations.
	Litigation
	From time to time, the Company may be involved in various lawsuits, legal proceedings, or claims that arise in the ordinary course of business. Management does not believe any legal proceedings or claims pending at September 30, 2014 will have, individually or in the aggregate, a material adverse effect on its business, liquidity, financial position, or results of operations. Litigation, however, is subject to inherent uncertainties, and an adverse result in these or other matters may arise from time to time that may harm the Company's business.
	Proposed Merger
	In May 2014, the Company announced that it had signed an agreement and plan of merger by and among the Company and Sphere 3D. Since the merger was announced, four separate putative shareholder class action lawsuits were filed against the Company, all of its directors, and Sphere 3D in the California Superior Court in and for the County of San Diego. Three of the lawsuits also named Cyrus Capital Partners, the majority shareholder of the Company, as a defendant. On June 25, 2014, the Superior Court entered an order providing for the consolidation of all cases relating to the Company's decision to enter into the merger agreement with Sphere 3D. These cases have been consolidated before a single judge and are referred to as In re Overland Storage Inc., Shareholders Litigation, Lead Case No. 37-2014-00016017-CU-SL-CTL. On July 30, 2014, the plaintiffs filed their consolidated amended complaint. The lawsuit alleges breaches of fiduciary duties and conflicts of interest against the Company's directors relating to the merger process, the terms of the merger agreement, and the consideration to be received by Company shareholders under the terms of the merger agreement. The lawsuit alleges that the other defendants aided and abetted the purported breaches of fiduciary duties by the Company's directors. The relief sought includes an injunction prohibiting the consummation of the proposed merger, rescission of the merger to the extent already implemented or rescissory damages, damages, and an award of attorneys' fees and costs.
	On October 13, 2014, the plaintiffs and the Company Defendants entered into a memorandum of understanding (the “Memorandum of Understanding”) to settle the Consolidated Action and Merger Actions. The Memorandum of Understanding provides, among other things, that additional disclosures would be made concerning the analysis performed by the Company’s financial advisor relating to the proposed merger, the Company’s management projections, and the circumstances leading up to the proposed merger.
	While the Company believes that the lawsuits are without merit, and the Company specifically denies the allegations made in the lawsuits and maintains that it and the other defendants committed no wrongdoing whatsoever, to permit the timely consummation of the proposed merger, and without admitting the validity of any allegations made in the lawsuits, the Company concluded that it is desirable that the Consolidated Action and Merger Actions be resolved. The proposed settlement of the Consolidated Action and Merger Actions, which is subject to confirmatory discovery and court approval, provides for the release of all claims against the defendants relating to the proposed merger and the allegations in the Consolidated Action and Merger Actions. There can be no assurance that the settlement will be finalized or that the Superior Court will approve the settlement.
	Patent Infringement
	In August 2010 and October 2010, the Company filed patent infringement lawsuits in the United States District Court for the Southern District of California and United States International Trade Commission (“ITC”), respectively, against various parties. Both lawsuits claim infringement of two of the Company's U.S. Patents, Nos. 6,328,766 and 6,353,581.
	In November 2011, the Company entered into a multi-year settlement and cross-licensing agreement with IBM pursuant to which the Company released all claims it had against IBM and Dell Inc. in connection with the patent infringement lawsuits the Company had filed.
	In July 2014, the Company entered into a settlement and cross-license agreement with BDT pursuant to which the Company released all claims it had against BDT. In connection with the settlement, the Company also dismissed its patent infringement claims filed against PivotStor, LLC, a BDT customer based in Irvine, California, which was pending in the United States District Court for the Southern District of California.
	In June 2012, the Company filed patent infringement lawsuits in the United States District Court for the Southern District of California against Spectra Logic Corporation (“Spectra Logic”), based in Boulder, Colorado, and Qualstar Corporation (“Qualstar”), based in Simi Valley, California. In the Spectra Logic case, the Company claimed infringement of U.S. Patent Nos. 6,328,766 and 6,353,581. In the Qualstar case, the Company claimed infringement of U.S. Patent No. 6,328,766.
	In June 2013, Spectra Logic filed a Petition for Inter Partes Review of the claims of U.S. Patent No. 6,328,766 with the United States Patent and Trademark Office. The petition has been assigned Case No. IPR2013-00357. In December 2013, the United States Patent and Trademark Office initiated an inter partes review proceeding involving U.S. Patent No. 6,328,766. On November 7, 2014, the United States Patent and Trademark Office issued a Final Written Decision finding claims 1-11 of U.S. Patent No. 6,328,766 to be unpatentable. The Company has the option to appeal the decision to the United States Court of Appeals for the Federal Circuit.
	In January and February 2014, the District Court for the Southern District of California stayed the Company's litigation against Qualstar and Spectra Logic, respectively, pending the results of the inter partes review filed by Spectra Logic. The Company is continuing to pursue its claims against Spectra Logic and Qualstar.
	In May 2013, Safe Storage LLC (“Safe Storage”), a Delaware limited liability company, filed a complaint against the Company in the United States District Court for the District of Delaware alleging infringement of U.S. Patent No. 6,978,346 by the Company's products. Safe Storage is seeking monetary damages from the Company and injunctive relief.
	Patent Litigation Funding Agreement
	In December 2010, the Company entered into a litigation funding agreement (the “Funding Agreement”) with Special Situations Fund III QP, L.P., Special Situations Private Equity Fund, L.P., Special Situations Technology Fund, L.P., and Special Situations Technology Fund II, L.P. (collectively, the “Special Situations Funds”) pursuant to which the Special Situations Funds agreed to fund certain patent litigation brought by the Company. In May 2014, the Special Situations Funds filed a complaint against the Company in the Supreme Court for New York County, alleging breach of the Funding Agreement. The Special Situations Funds allege that the Company's January 2014 acquisition of Tandberg Data entitled the Special Situation Funds to a $6.0 million payment under the Funding Agreement, and therefore the Company's refusal to make the payment constitutes a breach of the Funding Agreement by the Company. The Special Situations Funds are seeking $6.0 million in contractual damages as well as costs and fees. The Company believes the lawsuit to be without merit and intends to vigorously defend against the action.

SUBSEQUENT_EVENTS_Notes

SUBSEQUENT EVENTS (Notes)	3 Months Ended
	Sep. 30, 2014
Subsequent Events [Abstract]	'
Subsequent Events [Text Block]	'
	SUBSEQUENT EVENTS
	Note Payable - Related Party
	On October 13, 2014, the Company entered into a Loan and Security Agreement (the “Loan Agreement”) with FBC Holdings S.à r.l. (the “Lender”), the majority shareholder of the Company and an affiliate of Cyrus Capital Partners, L.P. Pursuant to the Loan Agreement, the Lender loaned to the Company $7.5 million (the “Loan”). The Loan is scheduled to mature on the second anniversary of the funding date of the Loan; provided, however, that if the closing of the proposed merger between the Company and Sphere SD does not occur prior to January 12, 2015, the Company shall be required to pay the Loan in full on such date, together with all accrued and unpaid interest thereon. Outstanding principal under the Loan will bear interest at 8.0% simple interest per annum, payable semi-annually in arrears on the last day of June and December of each year.
	On October 14, 2014, the Company paid $2.5 million of the Company’s outstanding note payable to Sphere 3D.
	Amendment to Merger Agreement
	On October 13, 2014, the Company entered into an Amendment to Agreement and Plan of Merger (the “Amendment to the Merger Agreement”) with Sphere 3D. Pursuant to the Amendment to the Merger Agreement, Sphere 3D consented to the entry by the Company into the Loan Agreement with the Lender and the completion of the transactions contemplated thereby. Sphere 3D additionally agreed to guaranty $2.5 million in principal amount of the Loan as described above and to permit the Company to transfer 25,000 shares of common stock of Sphere 3D to the holders of the existing convertible notes issued by the Company (all of which are affiliates of the Lender) as a fee for waiving the debt and lien restrictions under such convertible notes.
	In exchange for the consent of Sphere 3D to the entry by the Company into the Loan Agreement and the issuance of shares of common stock by Sphere pursuant to the Conversion and the Waiver Issuance, the Company agreed in the Amendment to the Merger Agreement to reduce the Exchange Ratio from 0.510594 to 0.46385, subject to adjustment in certain circumstances.

BASIS_OF_PRESENTATION_Policies

BASIS OF PRESENTATION (Policies)	3 Months Ended
	Sep. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Consolidation, Policy [Policy Text Block]	'
	The accompanying interim unaudited condensed consolidated financial statements include the accounts of Overland and its wholly-owned subsidiaries, including Tandberg Data Holdings S.à r.l. (“Tandberg”) which the Company acquired on January 21, 2014. All intercompany balances and transactions have been eliminated in consolidation.
Fair Value of Financial Instruments, Policy [Policy Text Block]	'
	Fair Value of Financial Instruments
	Financial instruments including cash, accounts receivable, accounts payable, and accrued liabilities are carried at cost, which management believes approximates fair value because of the short-term maturity of these instruments. Short-term investment is measured at fair value using Level 1 inputs from the TSX Venture Exchange on which the stock is traded. The carrying amount of the credit facilities borrowings approximate their fair value as the interest rate of the credit facilities are substantially comparable to rates offered for similar debt instruments. At September 30, 2014, the fair value of related party long-term debt is estimated at $14.0 million using an estimated interest rate of 12%, and is classified within Level 3 of the fair value hierarchy. At September 30, 2014, the carrying value of the related party long-term debt was $17.3 million.
	The framework for measuring fair value provides a hierarchy that prioritizes the inputs to valuation techniques used in measuring fair value as follows:
	Level 1 -	Quoted prices (unadjusted) in active markets for identical assets or liabilities,
	Level 2 -	Inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data, and
	Level 3 -	Unobservable inputs for the asset or liability only used when there is little, if any, market activity for the asset or liability at the measurement date.
New Accounting Pronouncements, Policy [Policy Text Block]	'
	Recently Issued Accounting Pronouncements
	From time to time, new accounting pronouncements are issued by the FASB that are adopted by the Company as of the specified effective date. If not discussed, the Company believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company's consolidated financial statements upon adoption.
	In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements — Going Concern. ASU 2014-15 provides that in connection with preparing financial statements for each annual and interim reporting period, an entity's management should evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity's ability to continue as a going concern within one year after the date that the financial statements are issued (or within one year after the date that the financial statements are available to be issued when applicable). ASU 2014-15 will be effective for the annual reporting period ending after December 15, 2016, and for annual and interim periods thereafter. Early application is permitted. The impact on our financial condition, results of operations and cash flows as a result of the adoption of ASU 2014-15 has not yet been determined.
	In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. ASU 2014-09 outlines a single comprehensive model for accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance. ASU 2014-09 requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 will be effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. The impact on our financial condition, results of operations and cash flows as a result of the adoption of ASU 2014-09 has not yet been determined.
	In July 2013, the FASB, issued ASU No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. ASU No. 2013-11 provides that an entity is required to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. If a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. ASU No. 2013-11 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The adoption of this guidance affected presentation only and, therefore, did not have a material impact on the Company's consolidated financial results.

NET_LOSS_PER_SHARE_Policies

NET LOSS PER SHARE (Policies)	3 Months Ended
	Sep. 30, 2014
NET LOSS PER SHARE [Abstract]	'
Loss Per Share, Policy [Policy Text Block]	'
	Basic net loss per share is computed by dividing net loss applicable to common shareholders by the weighted-average number of shares of common stock outstanding during the period. Diluted net loss per share is computed based on the weighted-average number of shares of common stock outstanding during the period increased by the weighted-average number of dilutive common stock equivalents outstanding during the period, using the treasury stock method. Dilutive common stock equivalents are comprised of options granted under the Company's stock option plans, employee stock purchase plan (“ESPP”) share purchase rights, convertible notes, and common stock purchase warrants. For all periods presented, there is no difference in the number of shares used to calculate basic and diluted shares outstanding due to the Company's net loss position.

INCOME_TAXES_Policies

INCOME TAXES (Policies)	3 Months Ended
	Sep. 30, 2014
Income Tax Disclosure [Abstract]	'
Income Tax, Policy [Policy Text Block]	'
	The Company recognizes the impact of an uncertain income tax position on its income tax return at the largest amount that is more-likely-than-not to be sustained upon audit by the relevant taxing authority. An uncertain income tax position will not be recognized if it has less than a 50% likelihood of being sustained. The Company recognizes interest and penalties related to unrecognized tax benefits in its provision for income taxes. The Company had no material accrual for interest and penalties in its condensed consolidated balance sheets at September 30, 2014 and June 30, 2014, and recognized no interest or penalties in the condensed consolidated statements of operations for the three months ended September 30, 2014 and 2013.
	The Company's ability to use its net operating loss and research and development credit carryforwards may be substantially limited due to ownership change limitations that may have occurred or that could occur in the future, as required by Section 382 of the Internal Revenue Code of 1986, as amended, as well as similar state provisions. The Company has not completed a study to assess whether an ownership change has occurred or whether there have been multiple ownership changes since the Company became a “loss corporation” under the definition of Section 382. Due to the existence of the valuation allowance, it is not expected that any possible limitation will have an impact on the results of operations or financial position of the Company.

BUSINESS_COMBINATION_Tables

BUSINESS COMBINATION (Tables)	3 Months Ended
	Sep. 30, 2014
Business Combinations [Abstract]	'
Schedule of business acquisition, net assets acquired	'
	(in thousands):
	Cash and cash equivalents		$	1,715
	Restricted cash		400
	Accounts receivable		7,571
	Inventories		6,416
	Property and equipment		3,763
	Identifiable intangible assets		24,260
	Other assets		1,959
	Total identifiable assets acquired		46,084
	Current liabilities		(13,796		)
	Other liabilities		(2,293		)
	Total identifiable liabilities assumed		(16,089		)
	Net identifiable assets acquired		29,995
	Goodwill		19,044
	Net assets acquired		$	49,039
Pro forma information	'
	:
		Three Months Ended
		30-Sep-13
	Net revenue		$	24,323
	Net loss		$	(6,996	)
	Net loss per share		$	(0.40	)

SHORTTERM_INVESTMENT_RELATED_P1

SHORT-TERM INVESTMENT - RELATED PARTY (Tables)	3 Months Ended
	Sep. 30, 2014
Short-term Investments [Abstract]	'
Available-for-sale Securities [Table Text Block]	'
	The following summarizes short-term investments (in thousands):
		September 30, 2014
		Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
	Short-term investment — related party	$	781	$	2,801	$	(138	)	$	3,444
		June 30, 2014
		Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
	Short-term investment — related party	$	481	$	7,333	$	—		$	7,814

INVENTORIES_Tables

INVENTORIES (Tables)	3 Months Ended
	Sep. 30, 2014
Inventory, Net [Abstract]	'
Schedule of Inventory, Current [Table Text Block]	'
	The following table summarizes inventories (in thousands):
		September 30,		June 30,
		2014		2014
	Raw materials	$	4,652	$	4,767
	Work in process	843		875
	Finished goods	10,326		9,883
		$	15,821	$	15,525

INTANGIBLE_ASSETS_Tables

INTANGIBLE ASSETS (Tables)	3 Months Ended
	Sep. 30, 2014
Goodwill and Intangible Assets Disclosure [Abstract]	'
Schedule of Finite-Lived Intangible Assets [Table Text Block]	'
	The following table summarizes purchased intangible assets (in thousands):
		September 30,			June 30,
		2014			2014
	Developed technology	$	23,467		$	23,467
	Customer contracts and trade names	3,853			3,853
	Customer relationships(1)	1,043			1,120
		28,363			28,440
	Less: Accumulated amortization	(7,321		)	(6,756		)
	Total finite-lived intangible assets, net	21,042			21,684
	Indefinite lived intangible assets - trade name	2,100			2,100
	Total intangible assets, net	$	23,142		$	23,784
	____________________
	-1	Includes the impact of foreign currency exchange rate fluctuations.

NET_LOSS_PER_SHARE_Tables

NET LOSS PER SHARE (Tables)	3 Months Ended
	Sep. 30, 2014
NET LOSS PER SHARE [Abstract]	'
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	'
	Anti-dilutive common stock equivalents excluded from the computation of diluted net loss per share were as follows (in thousands):
		Three Months Ended
		September 30,
		2014	2013
	Restricted stock not yet vested and released	1,854	419
	Options outstanding and ESPP share purchase rights	277	309
	Common stock purchase warrants	2,875	2,726
	Convertible notes	1,789	2,038
	Convertible notes interest	523	795

COMMITMENTS_AND_CONTINGENCIES_

COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Sep. 30, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Schedule of Product Warranty Liability and Deferred Revenue [Table Text Block]	'
	Changes in the liability for product warranty and deferred revenue associated with extended warranties and service contracts were as follows (in thousands):
		Product			Deferred
		Warranty			Revenue
	Liability at June 30, 2014	$	1,419		$	10,216
	Settlements made during the period	(44		)	(2,661		)
	Change in liability for warranties issued during the period(1)	113			1,947
	Change in liability for pre-existing warranties	(159		)	—
	Liability at September 30, 2014	$	1,329		$	9,502
	Current liability	$	942		$	6,397
	Non-current liability	387			3,105
	Liability at September 30, 2014	$	1,329		$	9,502
	____________________
	-1	Includes the impact of foreign currency exchange rate fluctuations.

BASIS_OF_PRESENTATION_Textuals

BASIS OF PRESENTATION Textuals (Details) (USD $)	0 Months Ended	3 Months Ended
	Apr. 09, 2014	Sep. 30, 2014	Sep. 30, 2013	Jun. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'	'	'	'
Number of operating segments	'	1	'	'
Accumulated deficit	'	($162,587,000)	'	($155,294,000)
Net loss	'	-7,294,000	-4,590,000	'
Stockholders' Equity, Reverse Stock Split	'one-for-five reverse split	'	'	'
Stockholders' Equity Note, Stock Split, Conversion Ratio	0.2	'	'	'
Merger termination fee	'	$3,500,000	'	'

BASIS_OF_PRESENTATION_Subseque

BASIS OF PRESENTATION Subsequent event (Details) (Sphere 3D [Member])	0 Months Ended
	Oct. 13, 2014
Sphere 3D [Member]	'
Subsequent Event [Line Items]	'
Merger consideration, conversion ratio	0.46385

BASIS_OF_PRESENTATION_Fair_Val

BASIS OF PRESENTATION Fair Value of Financial Instruments (Details) (USD $)	Sep. 30, 2014	Jun. 30, 2014	Sep. 30, 2014	Sep. 30, 2014
			Fair Value, Inputs, Level 3 [Member]	Fair Value, Inputs, Level 3 [Member]
				Long-term Debt [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis	'	'	'	'
Long-term debt - related party, fair value	'	'	'	$14,000,000
Risk free interest rate	'	'	'	12.00%
Long-term debt — related party	$17,278,000	$14,528,000	$17,278,000	'

BUSINESS_COMBINATION_Details

BUSINESS COMBINATION (Details) (USD $)	0 Months Ended
	Jan. 21, 2014
Business Combinations [Abstract]	'
Stock Issued During Period, Value, Acquisitions	$49,000,000
Stock Issued During Period, Shares, Acquisitions	9,430,526
Business Acquisition, Share Price	$5.20
Business Acquisition, Goodwill, Expected Tax Deductible Amount	$0

BUSINESS_COMBINATION_Purchase_

BUSINESS COMBINATION Purchase consideration (Details) (USD $)	Jan. 21, 2014
In Thousands, unless otherwise specified
Business Acquisition [Line Items]	'
Cash and cash equivalents	$1,715
Restricted cash	400
Accounts receivable	7,571
Inventories	6,416
Property and equipment	3,763
Identifiable intangible assets	24,260
Other assets	1,959
Total identifiable assets acquired	46,084
Current liabilities	-13,796
Other liabilities	-2,293
Total identifiable liabilities assumed	-16,089
Net identifiable assets acquired	29,995
Goodwill	19,044
Net assets acquired	$49,039

BUSINESS_COMBINATION_Pro_forma

BUSINESS COMBINATION Pro forma schedule (Details) (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2013
Business Acquisition [Line Items]	'
Pro Forma Net Revenue	$24,323
Pro Forma Net Loss	($6,996)
Pro Forma Net Loss Per Share	($0.40)

SHORTTERM_INVESTMENT_RELATED_P2

SHORT-TERM INVESTMENT - RELATED PARTY (Details) (Sphere 3D [Member], USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Jun. 30, 2014
Sphere 3D [Member]	'	'
Related Party Transaction [Line Items]	'	'
Short-term investment related party, cost	$781	$481
Gross unrealized gain	2,801	7,333
Gross unrealized loss	-138	0
Estimated fair value	3,444	7,814
Other than temporary impairment losses	$0	'

INVENTORIES_Inventory_Details

INVENTORIES Inventory (Details) (USD $)	Sep. 30, 2014	Jun. 30, 2014
In Thousands, unless otherwise specified
Inventory, Net [Abstract]	'	'
Raw materials	$4,652	$4,767
Work in process	843	875
Finished goods	10,326	9,883
Inventories	$15,821	$15,525

INTANGIBLE_ASSETS_Details

INTANGIBLE ASSETS (Details) (USD $)	Sep. 30, 2014		Jun. 30, 2014
In Thousands, unless otherwise specified
Finite-Lived Intangible Assets [Line Items]	'		'
Finite-lived intangible assets, gross	$28,363		$28,440
Accumulated amortization	-7,321		-6,756
Total finite-lived intangible assets, net	21,042		21,684
Indefinite-lived intangible assets, trade name	2,100		2,100
Total intangible assets, net	23,142		23,784
Developed technology	'		'
Finite-Lived Intangible Assets [Line Items]	'		'
Finite-lived intangible assets, gross	23,467		23,467
Customer contracts and trade names	'		'
Finite-Lived Intangible Assets [Line Items]	'		'
Finite-lived intangible assets, gross	3,853		3,853
Customer relationships	'		'
Finite-Lived Intangible Assets [Line Items]	'		'
Finite-lived intangible assets, gross	$1,043	[1]	$1,120
[1]	Includes the impact of foreign currency exchange rate fluctuations.

INTANGIBLE_ASSETS_Intangible_A

INTANGIBLE ASSETS Intangible Assets (Textuals) (Details) (USD $)	3 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Amortization [Abstract]	'	'
Amortization of intangible assets	$0.60	$0.20
Amortization expense, remainder of fiscal year	1.7	'
Amortization expense, next twelve months	2.2	'
Amortization Expense, Year Two	2	'
Amortization Expense, Year Three	1.8	'
Amortization Expense, Year Four	1.8	'
Amortization Expense, Year Five	$1.80	'

RELATED_PARTY_Details

RELATED PARTY (Details) (USD $)	3 Months Ended			3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Jun. 30, 2014	Sep. 30, 2014	Sep. 30, 2013	Jul. 12, 2013
				Sphere 3D [Member]	Sphere 3D [Member]	Chief Executive Officer
Related Party Transaction [Line Items]	'	'	'	'	'	'
Purchase of intangible assets, cash payment	'	'	'	'	$250	'
Common stock issued for purchase of intangible assets, amount	0	250	'	'	250	'
Related party payments received, deferred revenue	'	'	'	500	500	'
Purchase order, related party	300	'	'	'	'	'
Option granted to CEO by related party	'	'	'	'	'	850
Option exercise price coverted to USD, CEO options from related party	'	'	'	'	'	$0.63
Accounts receivable, related party	600	'	500	'	'	'
Inventory, related party	300	'	'	'	'	'
Accrued expenses, related party	627	'	'	'	'	'
Related party other long-term liability	700	'	200	'	'	'
Revenue from related party	600	0	'	'	'	'
Expenses from transactions with related party, other than debt interest	$0	$0	'	'	'	'

DEBT_Credit_Facility_Details

DEBT Credit Facility (Details) (USD $)	3 Months Ended
	Sep. 30, 2014	Jun. 30, 2014
Credit Facility [Line Items]	'	'
Maximum borrowing capacity	$8,000,000	'
Interest rate description	'prime rate (as defined in the credit facility) plus a margin	'
Line of credit facility, expiration date	7-Aug-15	'
Line of credit for letters of credit, foreign exchange contract, and cash management	750,000	'
Covenant compliance	'was in compliance	'
Credit facility outstanding, current	5,137,000	0
Credit facility outstanding, long-term	'	5,406,000
Credit facility, remaining borrowing capacity	2,900,000	'
Line of credit	'	'
Credit Facility [Line Items]	'	'
Notes not secured by percentage of foreign subsidiaries stock	65.00%	'
Interest rate at period end	4.50%	'
Line of credit | Minimum	'	'
Credit Facility [Line Items]	'	'
Basis spread on variable rate	1.00%	'
Line of credit | Maximum	'	'
Credit Facility [Line Items]	'	'
Basis spread on variable rate	1.25%	'
Line of credit sublimit	'	'
Credit Facility [Line Items]	'	'
Credit facility sub-limit for subsidiary	$3,000,000	'
Interest rate at period end	5.50%	'
Line of credit sublimit | Minimum	'	'
Credit Facility [Line Items]	'	'
Basis spread on variable rate	2.00%	'
Line of credit sublimit | Maximum	'	'
Credit Facility [Line Items]	'	'
Basis spread on variable rate	2.25%	'

DEBT_Convertible_Notes_Details

DEBT Convertible Notes (Details) (USD $)

0 Months Ended

3 Months Ended

3 Months Ended

3 Months Ended

Nov. 08, 2013

Feb. 13, 2013

Sep. 30, 2013

Sep. 30, 2014

Sep. 30, 2014

Sep. 30, 2014

Jan. 21, 2014

Dec. 24, 2013

Nov. 12, 2013

Sep. 30, 2014

Sep. 30, 2014

Jun. 30, 2014

Initial Notes

Convertible Notes

Cyrus Partners

Cyrus Partners

Cyrus Partners

Cyrus Partners

Cyrus Partners

Cyrus Partners

Cyrus Partners

Cyrus Partners

Cyrus Partners

Initial Notes

Initial Notes

Additional Notes

Additional Notes

Additional Notes

Additional Notes

Additional Notes

Convertible Notes

Convertible Notes

Debt Instrument [Line Items]

'

'

'

'

'

'

'

'

'

'

'

'

Convertible notes original principal

'

$13,250,000

'

'

'

'

'

'

'

'

'

'

Additional convertible notes issued

'

'

'

'

'

'

2,000,000

2,000,000

3,000,000

'

'

'

Convertible notes, maturity date

'

'

'

28-Feb-17

'

'

'

'

'

'

'

'

Additional convertible notes, term

'

'

'

'

'

'4 years

'

'

'

'

'

'

Notes issuance cost

'

'

'

'

'

'

'

'

'

'

300,000

'

Convertible notes, interest rate, stated percentage

'

'

'

'

'

'

'

'

'

'

8.00%

'

Convertible notes outstanding

'

'

'

'

'

'

'

'

'

'

9,500,000

9,500,000

Convertible notes, current maturities

'

'

'

'

'

'

'

'

'

'

0

'

Threashold of ownership to determine payment terms of interest

'

'

'

'

'

'

'

'

'

'

20.00%

'

Number of trading days used for calculation of number of common shares for interest payment

'

'

'

'

'

'

'

'

'

'

'20 days

'

Stock price floor for interest payments paid in common stock

'

'

'

$4.90

'

$4.50

'

'

'

'

'

'

Interest Expense, Debt

'

'

300,000

'

'

'

'

'

'

'

200,000

'

Conversion price

'

'

'

$6.50

$13

$5

'

'

'

$7.50

'

'

Number of trading days at multiplied conversion price before the Company has option to convert

'

'

'

'

'

'

'

'

'

'

'10 days

'

Notes secured by percentage of foreign subsidiaries stock

'

'

'

'

'

'

'

'

'

'

65.00%

'

Default on notes, interest rate

'

'

'

'

'

'

'

'

'

'

11.00%

'

Covenant compliance

'

'

'

'

'

'

'

'

'

'

'was in compliance

'

Convertible notes, equity issued

'

'

'

'

'

'

'

'

'

'

'

'

Convertible notes, shares issued

1,649,579

'

'

'

'

'

'

'

'

'

'

'

Conversion of convertible notes

$10,700,000

'

'

'

'

'

'

'

'

'

'

'

DEBT_Note_Payable_Related_Part

DEBT Note Payable - Related Party (Details) (Sphere 3D [Member], USD $)	3 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Sphere 3D [Member]	'	'
Debt Instrument [Line Items]	'	'
Note maximum borrowing capacity	$10	'
Description of variable rate basis	'prime rate (as defined in the agreement) plus	'
Basis spread on variable rate	2.00%	'
Interest rate at end of period	5.25%	'
Note payable outstanding, related party	7.8	'
Interest expense, related party	$0.10	$0
Note payable, payment description	'payable in full in one lump sum	'
Note payable, maturity date	15-May-18	'

EQUITY_Details

EQUITY (Details) (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Jun. 30, 2014
Restricted Stock	'	'	'
Payment for restricted stock tax liability on net settlement	$42	$224	'
Options and Awards Outstanding	'	'	'
Options and Awards, outstanding, number	2,100,000	'	2,200,000
Employee Stock Purchase Plan	'	'	'
Stock issued during period, shares	7,973	10,871	'
Restricted Stock	'	'	'
Restricted Stock	'	'	'
Shares issued net of shares for tax withholdings	38,555	89,659	'
Shares paid for tax withholding for restricted stock units released	10,696	40,641	'
Payment for restricted stock tax liability on net settlement	$42	$224	'

NET_LOSS_PER_SHARE_Details

NET LOSS PER SHARE (Details)	3 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Restricted stock not yet vested and released	'	'
Antidilutive securities excluded from computation of loss per share	1,854	419
Options outstanding and ESPP share purchase rights	'	'
Antidilutive securities excluded from computation of loss per share	277	309
Common stock purchase warrants	'	'
Antidilutive securities excluded from computation of loss per share	2,875	2,726
Convertible notes	'	'
Antidilutive securities excluded from computation of loss per share	1,789	2,038
Convertible notes interest	'	'
Antidilutive securities excluded from computation of loss per share	523	795

INCOME_TAXES_Textuals_Details

INCOME TAXES Textuals (Details) (USD $)	3 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Jun. 30, 2014
Income Tax Disclosure [Abstract]	'	'	'
Income tax penalties and interest accrued	$0	'	$0
Income tax penalties and interest expense	$0	$0	'

COMMITMENTS_AND_CONTINGENCIES_1

COMMITMENTS AND CONTINGENCIES (Details) (USD $)	Sep. 30, 2014	Jun. 30, 2014	Sep. 30, 2014		Sep. 30, 2014
In Thousands, unless otherwise specified			Warranty reserves		Deferred revenue
Deferred costs	$1,000	$1,100	'		'
Extended Product Warranty Disclosure [Abstract]	'	'	'		'
Liability, beginning balance	'	'	1,419		'
Deferred revenue, beginning balance	'	'	'		10,216
Settlements made during the period	'	'	-44		-2,661
Change in liability for warranties issued during the period	'	'	113	[1]	1,947	[1]
Change in liability for pre-existing warranties	'	'	-159		0
Deferred revenue, ending balance	'	'	'		9,502
Liability, ending balance	'	'	1,329		'
Warranty accrual, current	942	994	'		'
Warranty accrual, noncurrent	387	'	'		'
Deferred revenue extended warranties, current	6,397	'	'		'
Deferred revenue extended warranties, noncurrent	$3,105	'	'		'
[1]	Includes the impact of foreign currency exchange rate fluctuations.

COMMITMENTS_AND_CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES Patent litigation (Details) (USD $)	3 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Loss Contingency, Damages Sought, Value	$6

SUBSEQUENT_EVENTS_Note_payable

SUBSEQUENT EVENTS Note payable - related party (Details) (USD $)	0 Months Ended		0 Months Ended
In Millions, unless otherwise specified	Oct. 13, 2014	Sep. 30, 2014	Oct. 14, 2014
	Cyrus Partners	Sphere 3D [Member]	Sphere 3D [Member]
			Debt
Subsequent Event [Line Items]	'	'	'
Notes payable, related party	$7.50	$7.80	'
Related party, interest rate	8.00%	'	'
Note payable payment, principal	'	'	$2.50

SUBSEQUENT_EVENTS_Merger_Agree

SUBSEQUENT EVENTS Merger Agreement (Details) (USD $)	0 Months Ended	3 Months Ended
In Millions, except Share data, unless otherwise specified	Oct. 13, 2014	Sep. 30, 2014
	Sphere 3D [Member]	Sphere 3D [Member]
Subsequent Event [Line Items]	'	'
Loan guaranteed by related party	$2.50	'
Short term investment, shares in lieu of cash payment	25,000	'
Merger consideration, conversion ratio	0.46385	0.510594