Peraso (PRSO) 10-K 12 Mar 18 2017 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2017	Feb. 28, 2018	Jun. 30, 2017
Document and Entity Information
Entity Registrant Name	MoSys, Inc.
Entity Central Index Key	890,394
Document Type	10-K
Document Period End Date	Dec. 31, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Entity Public Float			$ 11,107,611
Entity Common Stock, Shares Outstanding		8,152,823
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	FY

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Current assets
Cash and cash equivalents	$ 3,868	$ 8,766
Short-term investments		1,002
Accounts receivable, net	1,681	559
Inventories	1,766	1,451
Prepaid expenses and other	1,347	473
Total current assets	8,662	12,251
Property and equipment, net	827	1,274
Goodwill	13,276	13,276
Intangible assets, net	111	223
Other	263	121
Total assets	23,139	27,145
Current liabilities
Accounts payable	170	561
Deferred revenue	3,938	271
Accrued expenses and other	2,507	2,502
Total current liabilities	6,615	3,334
Long-term liabilities	18	233
Convertible notes payable	9,160	8,250
Total liabilities	15,793	11,817
Commitments and contingencies (Note 9)
Stockholders' equity
Preferred stock, $0.01 par value; 20,000 shares authorized; none issued and outstanding
Common stock, $0.001 par value; 120,000 shares authorized; 8,068 shares and 6,630 shares issued and outstanding at December 31, 2017 and December 31, 2016, respectively	8	7
Additional paid-in capital	232,026	229,341
Accumulated deficit	(224,688)	(214,020)
Total stockholders' equity	7,346	15,328
Total liabilities and stockholders' equity	$ 23,139	$ 27,145

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares shares in Thousands	Dec. 31, 2017	Dec. 31, 2016	Nov. 10, 2010
CONSOLIDATED BALANCE SHEETS
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01	$ 0.01
Preferred stock, shares authorized	20,000	20,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	120,000	120,000
Common stock, shares issued	8,068	6,630
Common stock, shares outstanding	8,068	6,630

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Net revenue
Product	$ 7,833	$ 4,604	$ 2,400
Royalty and other	1,009	1,420	1,990
Total net revenue	8,842	6,024	4,390
Cost of net revenue	4,694	3,075	2,474
Gross profit	4,148	2,949	1,916
Operating expenses
Research and development	8,158	18,086	27,108
Selling, general and administrative	4,702	5,693	6,299
Impairment of goodwill		9,858
Restructuring charges	1,321	676
Total operating expenses	14,181	34,313	33,407
Loss from operations	(10,033)	(31,364)	(31,491)
Interest expense	927	687
Other income, net	59	48	94
Loss before income taxes	(10,901)	(32,003)	(31,397)
Income tax provision (benefit)	(233)	45	86
Net loss	(10,668)	(32,048)	(31,483)
Other comprehensive income (loss), net of tax:
Net unrealized gains (losses) on available-for-sale securities		16	(6)
Comprehensive loss	$ (10,668)	$ (32,032)	$ (31,489)
Net loss per share
Basic and diluted	$ (1.45)	$ (4.86)	$ (5.04)
Shares used in computing net loss per share
Basic and diluted	7,338	6,601	6,249

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit	Total
Balance at Dec. 31, 2014	$ 5	$ 200,034	$ (10)	$ (150,489)	$ 49,540
Balance (in shares) at Dec. 31, 2014	4,979
Increase (Decrease) in Stockholders' Equity
Issuance of common stock for exercise of options, employee stock purchase plan and release of awards		1,772			1,772
Issuance of common stock for exercise of options, employee stock purchase plan and release of awards (in shares)	133
Issuance of common stock, net of issuance costs	$ 2	21,366			21,368
Issuance of common stock, net of issuance costs (in shares)	1,437
Stock-based compensation		3,650			3,650
Change in unrealized gain/(loss) on available-for-sale investments			(6)		(6)
Net loss				(31,483)	(31,483)
Balance at Dec. 31, 2015	$ 7	226,822	(16)	(181,972)	44,841
Balance (in shares) at Dec. 31, 2015	6,549
Increase (Decrease) in Stockholders' Equity
Issuance of common stock, net of issuance costs		364			364
Issuance of common stock, net of issuance costs (in shares)	81
Stock-based compensation		2,155			2,155
Change in unrealized gain/(loss) on available-for-sale investments			$ 16		16
Net loss				(32,048)	(32,048)
Balance at Dec. 31, 2016	$ 7	229,341		(214,020)	$ 15,328
Balance (in shares) at Dec. 31, 2016	6,630				6,630
Increase (Decrease) in Stockholders' Equity
Issuance of common stock for exercise of options, employee stock purchase plan and release of awards		(20)			$ (20)
Issuance of common stock for exercise of options, employee stock purchase plan and release of awards (in shares)	113
Issuance of common stock, net of issuance costs	$ 1	1,986			1,987
Issuance of common stock, net of issuance costs (in shares)	1,325
Stock-based compensation		719			719
Net loss				(10,668)	(10,668)
Balance at Dec. 31, 2017	$ 8	$ 232,026		$ (224,688)	$ 7,346
Balance (in shares) at Dec. 31, 2017	8,068				8,068

CONSOLIDATED STATEMENTS OF STO6

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2015
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
Issuance of common stock, costs	$ 265	$ 1,632

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Cash flows from operating activities:
Net loss	$ (10,668,000)	$ (32,048,000)	$ (31,483,000)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	747,000	998,000	607,000
Stock-based compensation	719,000	2,155,000	3,650,000
Amortization of intangible assets	112,000	111,000	321,000
Impairment of goodwill		9,858,000
Amortization of debt issuance costs	45,000	37,000
Accrued interest	898,000	650,000
(Gain) loss on disposal of assets	(12,000)	4,000
Changes in assets and liabilities:
Accounts receivable	(1,122,000)	170,000	(552,000)
Inventories	(315,000)	146,000	(716,000)
Prepaid expenses and other assets	(1,016,000)	459,000	104,000
Accounts payable	(402,000)	(419,000)	261,000
Deferred revenue and other liabilities	3,435,000	(64,000)	334,000
Net cash used in operating activities	(7,579,000)	(17,943,000)	(27,474,000)
Cash flows from investing activities:
Purchases of property and equipment	(300,000)	(646,000)	(1,202,000)
Net proceeds from sale of assets	12,000
Proceeds from sales and maturities of marketable securities	2,604,000	50,486,000	44,953,000
Purchases of marketable securities	(1,602,000)	(36,874,000)	(36,873,000)
Net cash provided by investing activities	714,000	12,966,000	6,878,000
Cash flows from financing activities:
Proceeds from sale of common stock, net of issuance costs	1,967,000	364,000	23,140,000
Proceeds from the issuance of notes payable, net of issuance costs		7,877,000
Payments on capital lease obligations		(138,000)	(14,000)
Net cash provided by financing activities	1,967,000	8,103,000	23,126,000
Net increase (decrease) in cash and cash equivalents	(4,898,000)	3,126,000	2,530,000
Cash and cash equivalents at beginning of period	8,766,000	5,640,000
Cash and cash equivalents at end of period	3,868,000	8,766,000	5,640,000
Supplemental disclosure:
Issuance of convertible notes in settlement of accrued interest	854,000	336,000
Cash paid for income taxes	$ 2,000	$ 21,000	$ 56,000

The Company and Summary of Sign

The Company and Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2017
The Company and Summary of Significant Accounting Policies
The Company and Summary of Significant Accounting Policies	MOSYS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Note 1: The Company and Summary of Significant Accounting Policies The Company MoSys, Inc. (the “Company”) was incorporated in California in September 1991 and reincorporated in September 2000 in Delaware. The Company’s strategy and primary business objective is to be an IP-rich fabless semiconductor company focused on the development and sale of integrated circuit (“IC”) products. Its Bandwidth Engine ICs combine the Company’s proprietary high-density embedded memory with its high-speed 10 gigabits per second and higher interface technology. The Company’s future success and ability to achieve and maintain profitability depends on its success in developing a market for its ICs. Liquidity The Company incurred net losses of approximately $11 million and $32 million for the years ended December 31, 2017 and 2016, respectively, and had an accumulated deficit of approximately $225 million as of December 31, 2017. These and prior year losses have resulted in significant negative cash flows for almost a decade and have required the Company to raise substantial amounts of additional capital during this period. To date, the Company has primarily financed its operations through multiple offerings of common stock to investors and affiliates, as well as asset sale transactions. In March 2016, the Company entered into a 10% Senior Secured Convertible Note Purchase Agreement with the purchasers of $8.0 million principal amount of 10% Senior Secured Convertible Notes due August 15, 2018 (the “Notes”), at par, in a private placement transaction. The Notes bore interest at the annual rate of 10%. Accrued interest was payable semi-annually in cash or in-kind through the issuance of identical new Notes, or with a combination of the two, at the Company’s option. Through February 15, 2018, the Company had made the interest payments in-kind through the issuance of additional notes totaling approximately $1.7 million. As a result of the Company’s financial position, the Company’s management implemented a restructuring plan to better align the Company’s resources with its financial outlook including reductions in the Company’s workforce and associated operating expense, concluding the development of new products, and relocating its corporate offices. (See Note 10, Restructuring ) Additionally, pursuant to an amendment to the Notes and related loan documents effective February 18, 2018, the interest rate has been reduced to 8%, the maturity date of the Notes has been extended to August 15, 2019, the optional conversion price has been reduced from $8.50 of Note principal per share of common stock to $4.25 of Note principal per share of common stock, and the redemption purchase price in the event of certain transactions, such as an acquisition, has been reduced from 120% to 100% of the total amount of debt to be redeemed. The Notes restrict the ability of the Company to incur any indebtedness for borrowed money, unless such indebtedness by its terms is expressly subordinated to the Notes in right of payment and to the security interest of the Note holder(s) in respect to the priority and enforcement of any security interest in property of the Company securing such new debt; provided that the Note holder(s) security interest and cash payment rights under the Notes shall be subordinate to a maximum of $5 million of indebtedness for a secured accounts receivable line of credit facility under certain conditions. (See Note 11, Convertible Notes ) Our historical operating results and the initial requirement to repay the Notes in August 2018 raised substantial doubt about the Company's ability to continue as a going concern. As a result of the measures discussed above, the Company has better aligned its resources with its financial outlook, and, with the amendment of the terms of the Notes, the Company has until August 2019 to repay the Notes. Accordingly, the Company expects to satisfy its estimated liquidity needs for at least 12 months from the issuance of these financial statements and has mitigated its going concern risk. However, the Company cannot predict, with certainty, its ability to achieve and maintain profitability and the generation of positive cash flows, and the outcome of its future actions to generate liquidity, including the availability of additional financing. Basis of Presentation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions and balances have been eliminated in consolidation. The Company’s fiscal year ends on December 31 of each calendar year. Reverse Stock Split On February 16, 2017, the Company effected a one-for-10 reverse stock split of its common stock. As a result of the reverse stock split, every ten shares of the Company’s pre-reverse split outstanding common stock was combined and reclassified into one share of common stock. Proportionate voting rights and other rights of common stock holders were not affected by the reverse stock split. No fractional shares were issued in connection with the reverse stock split; stockholders who would otherwise hold a fractional share of common stock received cash in an amount equal to the product obtained by multiplying (i) the closing sale price of the Company’s common stock on the effective date of the reverse stock split, by (ii) the number of shares of the Company’s common stock held by the stockholder that would otherwise have been exchanged for the fractional share interest. All stock options and restricted stock units outstanding and common stock reserved for issuance under the Company’s equity incentive plans immediately prior to the reverse stock split were adjusted by dividing the number of affected shares of common stock by 10 and, as applicable, multiplying the exercise price by 10, as a result of the reverse stock split. The common stock par value was adjusted to $0.001 in conjunction with the reverse stock split. All of the share numbers, share prices, and exercise prices have been adjusted, on a retroactive basis to reflect this 1-for-10 reverse stock split. Use of Estimates The preparation of financial statements in accordance with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses recognized during the reported period. Actual results could differ from those estimates. Foreign Currency The functional currency of the Company’s foreign entities is the U.S. dollar. The financial statements of these entities are translated into U.S. dollars and the resulting gains or losses are included in other income, net in the consolidated statements of operations and comprehensive loss. Such gains and losses were not material for any period presented. Cash Equivalents and Investments The Company has invested its excess cash in money market accounts, certificates of deposit, corporate debt, government-sponsored enterprise bonds and municipal bonds and considers all highly liquid debt instruments purchased with an original maturity of three months or less to be cash equivalents. Investments with original maturities greater than three months and remaining maturities less than one year are classified as short-term investments. Investments with remaining maturities greater than one year are classified as long-term investments. Management generally determines the appropriate classification of securities at the time of purchase. All securities are classified as available-for-sale. The Company’s available-for-sale short-term and long-term investments are carried at fair value, with the unrealized holding gains and losses reported in accumulated other comprehensive loss. Realized gains and losses and declines in the value judged to be other-than-temporary are included in the other income, net line item in the consolidated statements of operations and comprehensive loss. The cost of securities sold is based on the specific identification method. Fair Value Measurements The Company measures the fair value of financial instruments using a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels: Level 1—Inputs used to measure fair value are unadjusted quoted prices that are available in active markets for the identical assets or liabilities as of the reporting date. Level 2—Pricing is provided by third party sources of market information obtained through the Company’s investment advisors, rather than models. The Company does not adjust for, or apply, any additional assumptions or estimates to the pricing information it receives from advisors. The Company’s Level 2 securities include cash equivalents and available-for-sale securities, which consisted primarily of certificates of deposit, corporate debt, and government agency and municipal debt securities from issuers with high-quality credit ratings. The Company’s investment advisors obtain pricing data from independent sources, such as Standard & Poor’s, Bloomberg and Interactive Data Corporation, and rely on comparable pricing of other securities because the Level 2 securities are not actively traded and have fewer observable transactions. The Company considers this the most reliable information available for the valuation of the securities. Level 3—Unobservable inputs that are supported by little or no market activity and reflect the use of significant management judgment are used to measure fair value. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions. The determination of fair value for Level 3 investments and other financial instruments involves the most management judgment and subjectivity. Allowance for Doubtful Accounts The Company establishes an allowance for doubtful accounts to ensure that its trade receivables balances are not overstated due to uncollectibility. The Company performs ongoing customer credit evaluations within the context of the industry in which it operates and generally does not require collateral from its customers. A specific allowance of up to 100% of the invoice value is provided for any problematic customer balances. Delinquent account balances are written off after management has determined that the likelihood of collection is remote. The Company grants credit only to customers deemed creditworthy in the judgment of management. There was no allowance for doubtful accounts receivable at December 31, 2017 and 2016. Inventory The Company values its inventories at the lower of cost, which approximates actual cost on a first-in, first-out basis, or net realizable value. The Company records inventory reserves for estimated obsolescence or unmarketable inventories based upon assumptions about future demand and market conditions. Once a reserve is established, it is maintained until the product to which it relates is sold or otherwise disposed of. If actual market conditions are less favorable than those expected by management, additional adjustment to inventory valuation may be required. Charges for obsolete and slow-moving inventories are recorded based upon an analysis of specific identification of obsolete inventory items and quantification of slow moving inventory items. The Company recorded inventory write-downs during the year ended December 31, 2017 of $0.3 million, no inventory write-downs during the year ended December 31, 2016 and inventory write-downs of $0.3 million during the year ended December 31, 2015. Property and Equipment Property and equipment are originally recorded at cost. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, generally three to five years. Depreciation is recorded in cost of sales and operating expenses in the consolidated statements of operations and comprehensive loss. Leasehold improvements and assets acquired through capital leases are amortized over the shorter of their estimated useful life or the lease term, and amortization is recorded in operating expenses in the consolidated statements of operations and comprehensive loss. Valuation of Long-lived Assets The Company evaluates the recoverability of long-lived assets with finite lives whenever events or changes in circumstances occur that indicate that the carrying value of the asset or asset group may not be recoverable. Finite-lived intangible assets are being amortized on a straight-line basis over their estimated useful lives of three to seven years. An impairment charge is recognized as the difference between the net book value of such assets and the fair value of such assets at the date of measurement. The measurement of impairment requires management to estimate future cash flows and the fair value of long-lived assets. Intangible Assets Intangible assets acquired in business combinations, referred to as purchased intangible assets, are accounted for based on the fair value of assets purchased and are amortized over the period in which economic benefit is estimated to be received. Goodwill In January 2017, the Company early adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No. 2017-04, Simplifying the Test for Goodwill Impairment (“ASU No. 2017-04”), which eliminates step 2, the computation of the implied fair value of goodwill to determine the amount of impairment, from the goodwill impairment test. Under the amendments in this update, the Company determines the amount of goodwill impairment by comparing the fair value of the reporting unit with its carrying amount. To the extent the carrying value of a reporting unit exceeds its fair value, a goodwill impairment charge is recognized. The Company has determined that it has a single reporting unit for purposes of performing its goodwill impairment test. As the Company uses the market approach to determine the step one fair value, the price of its common stock is an important component of the fair value calculation. If the Company’s stock price continues to experience significant price and volume fluctuations, this will impact the fair value of the reporting unit, which can lead to potential impairment in future periods. The Company reviews goodwill for impairment on an annual basis or whenever events or changes in circumstances indicate the carrying value of an asset may not be recoverable. The Company first assesses qualitative factors to determine whether it is more-likely-than-not that the fair value of the reporting unit is less than the carrying amount as a basis for determining whether it is necessary to perform an impairment test. If the qualitative assessment warrants further analysis, the Company compares the fair value of the reporting unit to its carrying value. The fair value of the reporting unit is determined using the market approach. If the fair value of the reporting unit exceeds the carrying value of net assets of the reporting unit, goodwill is not impaired. If the carrying value of the reporting unit’s goodwill exceeds its fair value, then the Company must record an impairment charge equal to the difference. The Company performed its annual test for goodwill impairment as of September 1, 2017, and performed a subsequent test on December 31, 2017. In both tests, the Company’s fair value exceeded its carrying value of net assets and, as such, there was no additional impairment of goodwill. During the fourth quarter of 2016, the Company concluded a triggering event had occurred due to a sustained decrease in the price per share of its common stock and related reduced market capitalization. The Company performed the first step of the impairment test to identify potential goodwill impairment, and the test results indicated the goodwill carrying value was greater than its fair value. The Company then performed a step-two analysis to compare the carrying amount of goodwill to the implied fair value of the goodwill, and the Company determined the estimated fair values of the assets and liabilities of its single reporting unit. The fair values of the assets and liabilities identified in the impairment test were determined using the combination of the income approach and the market approach. The implied fair value of goodwill was measured as the excess of the fair value of the Company’s single reporting unit over the fair value of its assets and liabilities. As a result of the step-two test, the Company recorded a non-cash impairment charge of $9.9 million during the fourth quarter of 2016. Revenue Recognition General The Company generates revenue from the sales of IC products and licensing of its IP. The Company recognizes revenue when persuasive evidence of an arrangement exists, delivery or performance has occurred, the sales price is fixed or determinable, and collectibility is reasonably assured. Evidence of an arrangement generally consists of signed agreements or customer purchase orders. IC products The Company sells products both directly to customers, as well as through distributors. Revenue from sales directly to customers is generally recognized at the time of shipment. The Company may record an estimated allowance, at the time of shipment, for future returns and other charges against revenue consistent with the terms of sale. IC product revenue and costs relating to sales made through distributors with rights of return or stock rotation are generally deferred until the distributors sell the product to end customers due to the Company’s inability to estimate future returns and credits to be issued. Distributors are generally able to return up to 10% of their purchases for slow, non-moving or obsolete inventory for credit every six months. At the time of shipment to distributors, an accounts receivable for the selling price is recorded, as there is a legally enforceable right to receive payment, and inventory is relieved, as legal title to the inventory is transferred upon shipment. Revenues are recognized upon receiving notification from the distributors that products have been sold to end customers. Distributors provide information regarding products and quantity, end customer shipments and remaining inventory on hand. The associated deferred margin is included in the accrued expenses and other line item in the consolidated balance sheets. Royalty The Company’s licensing contracts typically also provide for royalties based on the licensees’ use of the Company’s memory technology in their currently shipping commercial products. The Company recognizes royalties in the quarter in which it receives the licensees’ reports. Licensing Licensing revenue consists of fees earned from license agreements, development services and support and maintenance. For stand-alone license agreements or license deliverables in multi-deliverable arrangements that do not require significant development, modification or customization, revenues are recognized when all revenue recognition criteria have been met. Delivery of the licensed technology is typically the final revenue recognition criterion met, at which time revenue is recognized. If any of the criteria are not met, revenue recognition is deferred until such time as all criteria have been met. Support and maintenance revenue is recognized ratably over the period during which the obligation exists, typically 12 months. The Company recognized no licensing revenue during the years ended December 31, 2017, 2016 and 2015. Cost of Net Revenue Cost of net revenue consists primarily of direct and indirect costs of IC product sales and engineering personnel costs directly related to maintenance and support services specified in licensing agreements. Maintenance and support typically includes engineering support to assist in the commencement of production of a licensee’s products. Advertising Costs Advertising costs are expensed as incurred. Advertising costs were not significant in the years ended December 31, 2017, 2016 and 2015. Research and Development Engineering costs are recorded as research and development expense in the period incurred. Stock-Based Compensation The Company recognizes stock-based compensation for awards on a straight-line basis over the requisite service period, usually the vesting period, based on the grant-date fair value. The Company records stock-based compensation expense for stock options granted to non-employees, excluding non-employee directors, based upon the estimated then-current fair value of the equity instrument using the Black-Scholes pricing model. Assumptions used to value the equity instruments are consistent with equity instruments issued to employees. The Company charges the value of the equity instrument to earnings over the term of the service agreement and the unvested shares underlying the option are subject to periodic revaluation over the remaining vesting period. Per Share Amounts Basic net loss per share is computed by dividing net loss for the period by the weighted-average number of shares of common stock outstanding during the period. Diluted net loss per share gives effect to all potentially dilutive common shares outstanding during the period. Potentially dilutive common shares consist of incremental shares of common stock issuable upon the exercise of stock options, vesting of stock awards and purchases under the employee stock purchase plan. The following table sets forth securities outstanding which were excluded from the computation of diluted net loss per share as their inclusion would be anti-dilutive (in thousands): December 31, 2017 2016 2015 Options outstanding to purchase common stock 307 522 839 Employee stock purchase plan — 44 44 Unvested restricted common stock units 376 148 24 Convertible debt 1,081 926 — Outstanding warrants 663 — — Total 2,427 1,640 907 Income Taxes The Company determines deferred tax assets and liabilities based upon the differences between the financial statement and tax bases of the Company’s assets and liabilities using tax rates in effect for the year in which the Company expects the differences to affect taxable income. A valuation allowance is established for any deferred tax assets for which it is more likely than not that all or a portion of the deferred tax assets will not be realized. The Company files U.S. federal and state and foreign income tax returns in jurisdictions with varying statutes of limitations. The 2013 through 2017 tax years generally remain subject to examination by U.S. federal and state tax authorities, and the 2009 through 2017 tax years generally remain subject to examination by foreign tax authorities. As of December 31, 2017, the Company did not have any unrecognized tax benefits nor expect its unrecognized tax benefits to change significantly over the next 12 months. The Company recognizes interest related to unrecognized tax benefits in its income tax expense and penalties related to unrecognized tax benefits as other income and expenses. During the years ended December 31, 2017, 2016 and 2015, the Company did not recognize any interest or penalties related to unrecognized tax benefits. Comprehensive Loss Comprehensive loss includes unrealized gains and losses on available-for-sale securities. Realized gains and losses on available-for-sale securities are reclassified from accumulated other comprehensive loss and included in other income, net in the consolidated statements of operations and comprehensive loss. All amounts recorded were not significant in the years ended December 31, 2017, 2016 and 2015. Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09 (“ASU 2014-09”), Revenue from Contracts with Customers , which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods and services to customers. In March, April and May 2016, the FASB issued additional updates to the new revenue standard relating to reporting revenue on a gross versus net basis, identifying performance obligations and licensing arrangements, and narrow-scope improvements and practical expedients, respectively. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. generally accepted accounting principles (“GAAP”) when it becomes effective. The accounting standard is effective for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2017. Early adoption is permitted for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2016. ASU 2014-09 provides for one of two methods of transition: retrospective application to each prior period presented; or recognition of the cumulative effect of retrospective application of the new standard in the period of initial application. The Company has continued to monitor FASB activity related to the new standard and has assessed certain interpretative issues and the associated implementation of the new standard. The Company has drafted its accounting policy for the new standard based on a detailed review of its business and contracts. While the Company continues to assess all potential impacts of the new standard, it does not currently expect that the adoption of the new revenue standard will have a material impact on its revenues, results of operations or financial position. However, as a result of the adoption of this standard, the Company expects to make material additional footnote disclosures related to the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. The Company will adopt the new revenue standard effective January 1, 2018. The Company currently intends to adopt the new standard using the modified retrospective method. In February 2016, the FASB issued ASU No. 2016-02 (“ASU 2016-02”), Leases . ASU 2016-02 requires lessees to recognize a right-of-use asset and a lease liability equal to the present value of the lease payments for virtually all leases not classified as short term. Consistent with current U.S. GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily depend on its classification as a finance or operating lease. The ASU also will require disclosures to provide additional qualitative and quantitative information about the amounts recorded in the financial statements. ASU 2016-02 is effective for annual and interim reporting periods beginning after December 15, 2018, with early adoption permitted. The new standard requires a modified retrospective transition for application at the beginning of the earliest comparative period presented. The Company is currently evaluating the impact that ASU 2016-02 will have on its consolidated financial statements and related disclosures. In March 2016, the FASB issued ASU No. 2016-09 (“ASU 2016-09”), Improvements to Employee Share-Based Payment Accounting . This guidance simplifies the accounting for the taxes related to stock-based compensation, requiring excess tax benefits and deficiencies to be recognized as a component of income tax expense rather than equity. ASU 2016-09 also requires excess tax benefits and deficiencies to be presented as operating activities on the statement of cash flows and allows an entity to make an accounting policy election to either estimate expected forfeitures or to account for them as they occur. The adoption requires recognition through retained earnings of any pre-adoption date net operating loss carryforwards (“NOLs”) from non-qualified stock options and other employee stock-based payments. As a result, the Company determined the impact of the adoption to be a $10.5 million increase to deferred tax assets related to stock-based compensation incurred as of December 31, 2017 with a corresponding increase to the Company's valuation allowance for financial statement purposes.

Consolidated Balance Sheets and

Consolidated Balance Sheets and Statements of Operations and Comprehensive Loss Components	12 Months Ended
	Dec. 31, 2017
Consolidated Balance Sheets and Statements of Operations and Comprehensive Loss Components
Consolidated Balance Sheets and Statements of Operations and Comprehensive Loss Components	Note 2: Consolidated Balance Sheets and Statements of Operations and Comprehensive Loss Components December 31, 2017 2016 (in thousands) Inventories: Work-in-process $ 1,612 $ 1,270 Finished goods 154 181 $ 1,766 $ 1,451 Prepaid expenses and other: Prepaid IC material and production costs $ 1,107 $ 3 Prepaid insurance 115 116 Prepaid software 38 250 Interest receivable — 17 Other 87 87 $ 1,347 $ 473 Property and equipment, net: Equipment, furniture and fixtures and leasehold improvements $ 4,478 $ 5,906 Acquired software 296 304 4,774 6,210 Less: Accumulated depreciation and amortization (3,947) (4,936) $ 827 $ 1,274 Intangible assets, net: Identifiable intangible assets were (dollar amounts in thousands): December 31, 2017 Gross Net Life Carrying Accumulated Carrying (years) Amount Amortization Amount Patent license $ 780 $ 669 $ 111 December 31, 2016 Gross Net Life Carrying Accumulated Carrying (years) Amount Amortization Amount Patent license $ 780 $ 557 $ 223 Amortization expense has been included in research and development expense in the consolidated statements of operations and comprehensive loss. The remaining estimated aggregate amortization expense to be recognized is approximately $0.1 million for the year ending December 31, 2018. Accrued expenses and other: December 31, 2017 2016 (in thousands) Accrued wages and employee benefits $ 616 $ 1,051 Accrued restructuring liabilities 478 5 Interest payable 346 314 IC development and wafer purchase costs 335 598 Professional fees, legal and consulting 182 282 Corporate taxes 153 52 Employee stock purchase plan withholdings — 200 Other 397 — $ 2,507 $ 2,502 As of December 31, 2017 and 2016, the amounts in long-term liabilities comprised deferred rent.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	12 Months Ended
	Dec. 31, 2017
Fair Value of Financial Instruments
Fair Value of Financial Instruments	Note 3: Fair Value of Financial Instruments The estimated fair values of financial instruments outstanding were (in thousands): December 31, 2017 Unrealized Unrealized Fair Cost Gains Losses Value Cash and cash equivalents $ 3,868 $ — $ — $ 3,868 December 31, 2016 Unrealized Unrealized Fair Cost Gains Losses Value Cash and cash equivalents $ 8,766 $ — $ — $ 8,766 Short-term investments: U.S. government-sponsored enterprise bonds $ 762 $ — $ — $ 762 Corporate notes 240 — — 240 Total short-term investments $ 1,002 $ — $ — $ 1,002 The unrealized losses from available-for-sale securities as of December 31, 2017 and 2016 were not material. The following table represents the Company’s fair value hierarchy for its financial assets (cash equivalents and investments) as of December 31, 2017 and 2016 (in thousands): December 31, 2017 Fair Value Level 1 Level 2 Level 3 Money market funds $ 621 $ 621 $ — $ — December 31, 2016 Fair Value Level 1 Level 2 Level 3 Money market funds $ 84 $ 84 $ — $ — U.S. government-sponsored enterprise bonds 3,767 — 3,767 — Municipal bonds 4,027 — 4,027 — Corporate notes 480 — 480 — Total assets $ 8,358 $ 84 $ 8,274 $ — There were no transfers in or out of Level 1 and Level 2 securities during the years ended December 31, 2017 and 2016.

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2017
Income Taxes
Income Taxes	Note 4: Income Taxes The income tax provision (benefit) consisted of the following (in thousands): Year Ended December 31, 2017 2016 2015 Current portion: State $ 3 $ 3 $ 3 Foreign 7 42 83 10 45 86 Deferred portion: Federal (243) — — $ (233) $ 45 $ 86 On December 22, 2017, the Tax Cuts and Jobs Act (“the Act”) was signed into law making significant changes to the Internal Revenue Code of 1986, as amended. Changes include, but are not limited to, reducing the U.S. federal corporate tax rate from 35.0% to 21.0% as of January 1, 2018 and repealing the alternative minimum tax (“AMT”) for tax years beginning in 2018. Income tax effects resulting from changes in tax laws are accounted for by the Company in accordance with the authoritative guidance, which requires that these tax effects be recognized in the period in which the law is enacted and the effects are recorded as a component of provision for income taxes from continuing operations. As a result of the Act, the Company revalued its federal deferred tax assets and liabilities to the new rate of 21%. The Company’s effective tax rate for the year ended December 31, 2017 was not impacted from this revaluation due to its valuation allowance. Additionally, the Company paid $0.2 million in federal AMT tax for 2011, which, under the Act, is now refundable through 2022 subject to limitations by year, and is therefore recorded as a deferred tax asset as of December 31, 2017. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets and liabilities were (in thousands): December 31, 2017 2016 Deferred tax assets: Federal and state loss carryforwards $ 49,533 $ 68,829 Reserves, accruals and other 391 519 Depreciation and amortization 1,100 1,718 Deferred stock-based compensation 2,483 4,287 Research and development credit carryforwards 15,487 13,867 Foreign tax and other credits 513 536 Total deferred tax assets 69,507 89,756 Deferred tax liabilities: Acquired intangible assets and other 408 328 Less: Valuation allowance (68,857) (89,428) Net deferred tax assets $ 242 $ — The valuation allowance decreased by $20.6 million for the year ended December 31, 2017 and increased by $9.8 million for the year ended December 31, 2016. As of December 31, 2017, the Company had NOLs of approximately $196.1 million for federal income tax purposes and approximately $119.6 million for state income tax purposes. These losses are available to reduce future taxable income and expire at various times from 2025 through 2037. The Company also had federal research and development tax credit carryforwards of approximately $9.1 million, which will begin expiring in 2018, and California research and development credits of approximately $8.1 million, which do not have an expiration date. The Company had remaining foreign tax credits available for federal income tax purposes of approximately $0.3 million, which will begin expiring in 2018. Utilization of the Company’s NOLs and tax credit carryforwards may be subject to a substantial annual limitation due to the ownership change limitations provided by the Internal Revenue Code (“IRC”); and similar state provisions. Section 382 of the IRC (“Section 382”) imposes limitations on a corporation’s ability to utilize its NOLs, if it experiences an “ownership change.” In general terms, an ownership change may result from transactions increasing the ownership percentage of certain stockholders in the stock of the corporation by more than 50% over a three-year period. In the event of an ownership change, utilization of the NOLs would be subject to an annual limitation under Section 382 determined by multiplying the value of the Company’s stock at the time of the ownership change by the applicable long-term tax-exempt rate. The Company has not completed a Section 382 study in recent years; however, should a study be completed, certain NOLs may be subject to such limitations. Any future annual limitation may result in the expiration of NOLs before utilization. The Company is in the process of dissolving its only foreign subsidiary. As of December 31, 2017, the Company has no unremitted earnings from its foreign subsidiary. A reconciliation of income taxes provided at the federal statutory rate (35%) to the actual income tax provision follows (in thousands): Year Ended December 31, 2017 2016 2015 Income tax benefit computed at U.S. statutory rate $ (3,815) $ (11,229) $ (10,989) State income tax (net of federal benefit) 3 3 3 Foreign income tax at rate different from U.S. statutory rate 3 (7) (15) Research and development credits (480) (981) (1,580) Stock-based compensation (40) 75 123 Amortization of intangible assets (100) (100) (100) Goodwill impairment — 1,856 — Federal tax rate reduction (26,617) — — Valuation allowance changes affecting tax provision 30,811 10,022 12,588 Other 2 406 56 Income tax (benefit) provision $ (233) $ 45 $ 86 The domestic and foreign components of loss before income tax provision were (in thousands): Year Ended December 31, 2017 2016 2015 U.S. $ (11,063) $ (31,115) $ (31,580) Non-U.S. 162 (888) 183 $ (10,901) $ (32,003) $ (31,397)

Stock-Based Compensation

Stock-Based Compensation	12 Months Ended
	Dec. 31, 2017
Stock-Based Compensation
Stock-Based Compensation	Note 5: Stock-Based Compensation Equity Compensation Plans Common Stock Option Plans In 2000, the Company adopted the 2000 Stock Plan, which was amended in 2004 (“Amended 2000 Plan”), and terminated in 2010. As of December 31, 2017, no options were available for future issuance under the Amended 2000 Plan, as the remaining options outstanding under the Amended 2000 Plan expired in June 2016. In June 2010, the Company’s stockholders approved the 2010 Equity Incentive Plan, which was amended and restated in 2014 and amended again in 2017 (“Amended 2010 Plan”). The Amended 2010 Plan authorizes the board of directors or the compensation committee of the board of directors to grant a broad range of awards including stock options, stock appreciation rights, restricted stock, performance-based awards, and restricted stock units. Under the Amended 2010 Plan, 400,000 shares were initially reserved for issuance. In June 2014, the Company’s stockholders approved an amendment increasing the number of shares reserved for issuance by 150,000 shares. In December 2017, the Company’s stockholders approved an amendment increasing the number of shares reserved for issuance by an additional 200,000 shares. In addition, the terms of the Amended 2010 Plan provide for an automatic annual increase in the share reserve of 50,000 on January 1 of each year. The Amended 2010 Plan has a 10-year term and provides for annual option grants or other awards to non-employee directors to acquire up to 40,000 shares and for a one-time grant of an option or other award to a non-employee director to acquire up to 120,000 shares upon initial appointment or election to the board of directors. The term of options granted under the Amended 2010 Plan may not exceed ten years. The term of all incentive stock options granted to a person who, at the time of grant, owns stock representing more than 10% of the voting power of all classes of the Company’s stock may not exceed five years. The exercise price of stock options granted under the Amended 2010 Plan must be at least equal to the fair market value of the shares on the date of grant. Generally, options granted under the Amended 2010 Plan will vest over a four-year period and will have a six or ten-year term. In addition, the Amended 2010 Plan provides for automatic acceleration of vesting for options granted to non-employee directors upon a change of control of the Company. The Amended 2000 Plan and Amended 2010 Plan are referred to collectively as the “Plans.” The Company may also award shares to new employees outside the Plans, as material inducements to the acceptance of employment with the Company, as permitted under the Listing Rules of the Nasdaq Stock Market. These grants must be approved by the compensation committee of the board of directors, a majority of the independent directors or, below a specified share level, by an authorized executive officer. As of December 31, 2017 and 2016, no such grants were outstanding. Employee Stock Purchase Plan In June 2010, the Company’s stockholders approved the 2010 Employee Stock Purchase Plan (“ESPP”). A total of 200,000 shares of common stock were initially reserved for issuance under the ESPP in 2010. On September 1, 2010, the Company commenced the first offering period under the ESPP. In May 2015, the Company’s stockholders approved an amendment increasing the number of shares reserved for issuance by 200,000 shares. The ESPP, which is intended to qualify under Section 423 of the IRC, is administered by the board of directors or the compensation committee of the board of directors. The ESPP provides that eligible employees may purchase up to $25,000 worth of the Company’s common stock annually over the course of two six-month offering periods. The purchase price to be paid by participants is 85% of the price per share of the Company’s common stock either at the beginning or the end of each six-month offering period, whichever is less. On February 29, 2016, approximately 37,300 shares of common stock were issued at an aggregate purchase price of $197,000 under the ESPP. On August 31, 2016, approximately 31,900 shares of common stock were issued at an aggregate purchase price of $167,000 under the ESPP. In February 2017, the Company’s board of directors canceled the current purchase period under the ESPP, decided not to authorize a new purchase period and directed the Company to refund payroll contributions made under the ESPP during the purchase period that began September 1, 2016. As of December 31, 2017, there were approximately 150,000 shares authorized and unissued under the ESPP. Stock-Based Compensation Expense The unamortized compensation cost, net of expected forfeitures, as of December 31, 2017 was $1.0 million related to stock options and is expected to be recognized as expense over a weighted average period of approximately 2.4 years. The unamortized compensation cost, net of expected forfeitures, as of December 31, 2017 was $0.6 million related to restricted stock units and is expected to be recognized as expense over a weighted average period of approximately 1.1 years. For the year ended December 31, 2017, the fair value of options and awards vested was approximately $0.6 million. The Company is required to present the tax benefits resulting from tax deductions in excess of the compensation cost recognized from the exercise of stock options as financing cash flows in the consolidated statements of cash flows. For the years ended December 31, 2017, 2016 and 2015, there were no such tax benefits associated with the exercise of stock options. Valuation Assumptions and Expense Information for Stock-based Compensation The fair value of the Company’s share-based payment awards for the years ended December 31, 2017, 2016 and 2015 was estimated on the grant dates using the Black-Scholes valuation option-pricing model with the following assumptions: Year Ended December 31, 2017 2016 2015 Risk-free interest rate 1.6% - 1.8% 1% - 2.1% 0.6% -1.7% Volatility 70.2% - 101.5% 61.4% - 65.0% 55.7% - 59.3% Expected life (years) 4.0 3.0 - 5.0 3.0 - 5.0 Dividend yield 0% 0% 0% The risk-free interest rate was derived from the Daily Treasury Yield Curve Rates as published by the U.S. Department of the Treasury as of the grant date for terms equal to the expected terms of the options. The expected volatility was based on the historical volatility of the Company’s stock price over the expected term of the options. The expected term of options granted was derived from historical data based on employee exercises and post-vesting employment termination behavior. A dividend yield of zero is applied because the Company has never paid dividends and has no intention to pay dividends in the near future. The stock-based compensation expense recorded is adjusted based on estimated forfeiture rates. An annualized forfeiture rate has been used as a best estimate of future forfeitures based on the Company’s historical forfeiture experience. The stock-based compensation expense will be adjusted in later periods if the actual forfeiture rate is different from the estimate. Common Stock Options and Restricted Stock A summary of stock option and restricted stock unit (“RSU”) award activity under the Plans is presented below (in thousands, except exercise price): Awards outstanding Weighted Shares Average Available Number of Exercise for Grant Shares Prices Balance at January 1, 2015 176 599 $ 38.70 Additional shares authorized under the Plan 50 — — RSUs cancelled and returned to the Plan 2 — — Options granted (154) 154 $ 20.20 Options cancelled and returned to the Plan 70 (70) $ 35.20 Options exercised — (8) $ (16.40) Options expired (38) — $ 32.00 Balance at December 31, 2015 106 675 $ 35.10 Additional shares authorized under the Amended 2010 Plan 50 — — RSUs granted (144) — — RSUs cancelled and returned to Plan 7 — — Options granted (384) 384 $ 6.96 Options cancelled and returned to Plan 479 (479) $ 35.64 Options cancelled and expired — (58) $ 44.80 Balance at December 31, 2016 114 522 $ 13.88 Additional shares authorized under the Amended 2010 Plan 250 — — RSUs granted (407) — — RSUs cancelled and returned to Plan 59 — — Options granted (160) 160 $ 0.76 Options cancelled and returned to Plan 375 (375) $ 15.69 Balance at December 31, 2017 231 307 $ 4.81 On July 26, 2016, the Company initiated a one-time option exchange program pursuant to which employees (excluding the chief executive officer and non-employees, including members of the Company’s board of directors) who held certain options to purchase shares of the Company’s common stock (such options, eligible options) were given the opportunity to exchange such eligible options for a lesser number of replacement options with a lower exercise price. Upon the expiration of the option exchange program on August 23, 2016, the Company accepted for cancellation exchanged options to purchase an aggregate of 456,995 shares of common stock and issued replacement options covering 334,027 shares of common stock from the Amended 2010 Plan. The exchanged eligible options included options to purchase 113,531 shares of the Company’s common stock, which were originally inducement grants. The replacement options have an exercise price of $7.20 per share and vest monthly over three years. This one-time option exchange was treated as a modification for accounting purposes and resulted in incremental expense of approximately $926,000, which was calculated using the Black-Scholes option pricing model. The incremental expense and the unamortized expense remaining on the exchanged options are being amortized over the three-year vesting period of the replacement options. A summary of restricted stock unit activity under the Plans is presented below (in thousands, except fair value): Weighted Average Number of Grant-Date Shares Fair Value Non-vested shares at January 1, 2015 39 $ 46.11 Granted — $ — Vested (13) $ 45.97 Cancelled (2) $ 46.20 Non-vested shares at December 31, 2015 24 $ Granted 144 $ 5.30 Vested (12) $ 46.06 Cancelled (8) $ 15.67 Non-vested shares at December 31, 2016 148 $ 8.13 Granted 407 $ 0.93 Vested (120) $ 5.76 Cancelled (59) $ 5.04 Non-vested shares at December 31, 2017 376 $ 1.58 The total intrinsic value of the restricted stock units outstanding as of December 31, 2017 was $0.4 million. The following table summarizes significant ranges of outstanding and exercisable options as of December 31, 2017 (in thousands, except contractual life and exercise price): Options Outstanding Options Exercisable Weighted Average Remaining Weighted Weighted Contractual Average Average Aggregate Number Life Exercise Number Exercise Intrinsic Range of Exercise Price Outstanding (in Years) Price Exercisable Price value $0.75 - $2.35 160 5.80 $ 0.75 — $ — $ 58 $2.36 - $7.19 11 8.66 $ 4.92 6 $ 5.18 $ — $7.20 - $20.49 114 8.64 $ 7.20 51 $ 7.20 $ — $20.50 - $43.59 20 6.83 $ 20.89 15 $ 21.02 $ — $44.60 - $46.19 1 2.76 $ 44.60 1 $ 44.60 $ — $46.20 - $46.20 1 6.13 $ 46.20 — $ 46.20 $ — $0.75 - $46.20 307 7.02 $ 4.81 73 $ 10.55 $ 58 Vested and expected to vest 281 7.09 $ 5.07 $ 50 Exercisable 73 8.15 $ 10.55 $ — There were no stock options exercised during the years ended December 31, 2017 and 2016. The aggregate intrinsic value of employee stock options exercised during the year ended December 31, 2015 was $0.3 million.

Stockholders' Equity

Stockholders' Equity	12 Months Ended
	Dec. 31, 2017
Stockholders' Equity
Stockholders' Equity	Note 6: Stockholders’ Equity In March 2015, the Company completed a public offering and issued approximately 1,437,000 shares of its common stock for approximately $21.4 million in net proceeds. Two of the Company’s executive officers between them purchased a total of 40,625 shares at the public offering price. In July 2017, the Company sold to certain institutional investors an aggregate of 1,325,000 shares of common stock at a purchase price of $1.70 per share, for aggregate proceeds to the Company of $1,987,000, net of transaction expenses. In a concurrent private placement, the Company also sold to each of the purchasers a warrant to purchase one half of a share of the common stock for each share purchased for cash in the offering, pursuant to a common stock purchase warrant, by and between the Company and each Purchaser (each, a “Warrant,” and collectively, the “Warrants”) representing in the aggregate rights to purchase 662,500 shares of common stock at the exercise price. The Warrants became exercisable on January 6, 2018 at an exercise price of $2.35 per share and will expire on January 6, 2023. The Warrants will be exercisable on a “cashless” basis if at any time after the six-month anniversary there is not an effective registration statement for the resale of the warrant shares in place, or there is not a current resale prospectus then available. Stockholder Rights Plan On November 10, 2010, the Company executed a rights agreement in connection with the declaration by the Company’s board of directors of a dividend of one preferred stock purchase right (a Right) to be paid on November 10, 2010 (the Record Date) for each share of the Company’s common stock issued and outstanding at the close of business on the Record Date. Each Right entitles the registered holder to purchase one one-thousandth of a share of Series AA Preferred Stock, $0.01 par value per share (a Preferred Share), of the Company at a price of $4.80 per one one-thousandth of a Preferred Share, subject to adjustment. The rights will not be exercisable until a third party acquires 15.0% of the Company’s common stock or commences or announces its intent to commence a tender offer for at least 15.0% of the common stock.

Retirement Savings Plan

Retirement Savings Plan	12 Months Ended
	Dec. 31, 2017
Retirement Savings Plan
Retirement Savings Plan	Note 7: Retirement Savings Plan Effective January 1997, the Company adopted the MoSys 401(k) Plan (the Savings Plan) which qualifies as a thrift plan under Section 401(k) of the Internal Revenue Code. Full-time and part-time employees who are at least 21 years of age are eligible to participate in the Savings Plan at the time of hire. Participants may contribute up to 15% of their earnings to the Savings Plan. No matching contributions were made by the Company in the years ended December 31, 2017, 2016 and 2015.

Business Segments, Concentratio

Business Segments, Concentration of Credit Risk and Significant Customers	12 Months Ended
	Dec. 31, 2017
Business Segments, Concentration of Credit Risk and Significant Customers
Business Segments, Concentration of Credit Risk and Significant Customers	Note 8: Business Segments, Concentration of Credit Risk and Significant Customers The Company operates in one business segment and uses one measurement of profitability for its business. Revenue attributed to the United States and to all foreign countries is based on the geographical location of the customer. Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash, cash equivalents, short-term and long-term investments and accounts receivable. Cash, cash equivalents and short-term and long-term investments are deposited with high credit-quality institutions. The Company recognized revenue from licensing of its technologies and shipment of ICs to customers in North America, Asia and Rest of world as follows (in thousands): Year Ended December 31, 2017 2016 2015 North America $ 6,531 $ 3,816 $ 2,222 Japan 1,520 1,303 667 Taiwan 613 804 1,396 Rest of world 178 101 105 Total net revenue $ 8,842 $ 6,024 $ 4,390 Customers who accounted for at least 10% of total net revenues were: Years Ended December 31, 2017 2016 2015 Customer A 46 % * * Customer B 17 % 21 % 12 % Customer C 11 % 47 % Customer D * % 13 % 31 % * Represents percentage less than 10%. One customer accounted for 63% of net accounts receivable as of December 31, 2017. One customer accounted for 72% of net accounts receivable as of December 31, 2016. Net long-lived assets (property and equipment), classified by major geographic areas, was (in thousands): December 31, 2017 2016 (in thousands) U.S. $ 827 $ 1,274

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2017
Commitments and Contingencies
Commitments and Contingencies	Note 9: Commitments and Contingencies Leases and Purchase Commitments The Company leases its facility under a non-cancelable operating lease that expires in 2020. On October 3, 2017, the Company entered into a sublease agreement under which the Company subleased a new headquarters facility located in San Jose, California for a term of 36 months commencing November 1, 2017. The monthly rent and common-area costs under the new facility lease are approximately $22,000, and compare with monthly rent and common-area costs for the previous facility of approximately $89,000. On October 3, 2017, the Company entered into a lease termination agreement with M West Propco XII LLC (“MWest”) under which the Company and MWest agreed to terminate the Company’s lease for previous its headquarters facility effective October 31, 2017. In connection with the lease termination, the Company incurred fees of approximately $250,000, which have been recorded as restructuring charges in the statements of operations and comprehensive loss in these consolidated financial statements. Rent expense was approximately $470,000, $783,000 and $798,000 for the years ended December 31, 2017, 2016 and 2015, respectively. The leases provide for monthly payments and are being charged to operations ratably over the lease terms. In addition to the minimum lease payments, the Company is responsible for property taxes, insurance and certain other operating costs. Future minimum lease payments under non-cancelable operating leases and purchase commitments are (in thousands): Operating Year ended December 31, leases 2018 $ 213 2019 219 2020 187 Total minimum payments $ 619 Indemnification In the ordinary course of business, the Company enters into contractual arrangements under which it may agree to indemnify the counterparties from any losses incurred relating to breach of representations and warranties, failure to perform certain covenants, or claims and losses arising from certain events as outlined within the particular contract, which may include, for example, losses arising from litigation or claims relating to past performance. Such indemnification clauses may not be subject to maximum loss clauses. The Company has entered into indemnification agreements with its officers and directors. No material amounts were reflected in the Company’s consolidated financial statements for the years ended December 31, 2017, 2016 or 2015 related to these indemnifications. The Company has not estimated the maximum potential amount of indemnification liability under these agreements due to the limited history of prior claims and the unique facts and circumstances applicable to each particular agreement. To date, the Company has not made any payments related to these indemnification agreements. Legal Matters In October 2017, Trinity Technologies, Inc., our former sales representative in the San Francisco bay area, filed a lawsuit against us in the Superior Court of California alleging non-payment of commissions. The lawsuit is still in its early stages, and the Company intends to vigorously defend itself.

Restructuring Charge

Restructuring Charge	12 Months Ended
	Dec. 31, 2017
Restructuring Charge
Restructuring Charge	Note 10: Restructuring In the first quarter of 2016, the Company effected a reduction in its workforce and associated operating expenses, net loss and cash burn and realigned resources, as the Company had substantially concluded development of new products, including its third generation Bandwidth Engine IC product family, and brought these products to market in 2016. The Company reduced United States headcount by 12 positions and ceased operations at its subsidiary in Hyderabad, India, which had 18 employees. As a result of these reductions, the Company incurred total charges of approximately $800,000, including approximately $660,000 of charges for severance benefits and other one-time termination costs. The remaining charges represent lease obligations, asset impairments and other expenses related to the Company’s Indian subsidiary. Substantially all of these charges were realized and resulted in cash expenditures of approximately $820,000 in the first quarter of 2016. In the second quarter of 2017, the Company effected a reduction in its workforce and associated operating expenses, net loss and cash burn. The Company reduced headcount by approximately 60% with the majority of the reductions occurring in its U.S. headquarters facility. As a result of the restructuring, the Company recorded approximately $1.0 million of charges for severance benefits and future obligations under computer-aided design software licenses. In the third quarter of 2017, the Company closed its Japanese branch and Iowa locations and further reduced headcount resulting in additional expenses of approximately $50,000. In the fourth quarter of 2017, the Company terminated its existing headquarters facility lease and incurred lease termination expenses of approximately $270,000. Expenses related to the restructure are included in the restructuring charges line in the consolidated statements of operations and comprehensive loss and the remaining liability is included in accrued expenses and other on the consolidated balance sheets consisting of (in thousands): Contractual obligations Workforce Facility and other reduction related termination costs Total Balance as of January 1, 2017 $ — $ — $ 5 $ 5 Restructuring charge 458 269 594 1,321 Cash payments (458) (180) (210) (848) Balance as of December 31, 2017 $ — $ 89 $ 389 $ 478

Convertible Notes

Convertible Notes	12 Months Ended
	Dec. 31, 2017
Convertible Notes
Convertible Notes	Note 11: Convertible Notes On March 14, 2016, the Company entered into a 10% Senior Secured Convertible Note Purchase Agreement (the “Purchase Agreement”) with the purchasers of $8,000,000 principal amount of 10% Senior Secured Convertible Notes due August 15, 2018 (the “Notes”), at par, in a private placement transaction effected pursuant to an exemption from the registration requirements under the Securities Act of 1933, as amended. Pursuant to an amendment to the Notes and related documents effective February 18, 2018, the interest rate has been reduced to 8%, the maturity date of the Notes has been extended to August 15, 2019, and the optional conversion price has been reduced from $8.50 of Note principal per share of common stock to $4.25 of Note principal per share of common stock. The conversion price is subject to adjustment upon certain events, such as stock splits, reverse stock splits, stock dividends and similar kinds of transactions, as set forth in the Purchase Agreement. Pursuant to a security agreement entered into by the Company, the Notes are secured by a security interest in all of the assets of the Company. The Notes originally had an interest rate of 10%, but from February 15, 2018, the annual rate of interest is 8%. Accrued interest is payable semi-annually in cash or in kind through the issuance of identical new Notes, or with a combination of the two, at the Company’s option. The Notes are noncallable and nonredeemable by the Company. The Notes are redeemable at the election of the holders if the Company experiences a fundamental change (as defined in the Notes), which generally would occur in the event (i) any person acquires beneficial ownership of shares of common stock of the Company entitling such person to exercise at least 40% of the total voting power of all of the shares of capital stock of the Company entitled to vote generally in elections of directors, (ii) an acquisition of the Company by another person through a merger or consolidation, or the sale, transfer or lease of all or substantially all of the Company’s assets, or (iii) the Company’s current directors cease to constitute a majority of the board of directors of the Company within a 12-month period, disregarding for this purpose any director who voluntarily resigns as a director or dies while serving as a director. Effective February 18, 2018, pursuant to the amendment to the Notes, the redemption price has been reduced from 120% to 100% of the principal amount of the Note to be repurchased plus accrued and unpaid interest as of the redemption date. No Note holder shall be entitled to convert such holder’s Notes if effective upon the applicable conversion date (i) the holder would have beneficial ownership of more than 9.9% of the voting capital stock of the Company as determined in accordance with Rule 13d-3 under the Securities Exchange Act of 1934, as amended, (with exceptions specified in the Purchase Agreement), or (ii) if the shares are being acquired or held with a purpose or effect of changing or influencing control of the Company, or in connection with or as a participant in any transaction having that purpose or effect, as determined in the sole discretion of the board of directors of the Company. There is no required sinking fund for the Notes. The Notes have not been registered for resale, and the holder(s) do not have registration rights. The Notes restrict the ability of the Company to incur any indebtedness for borrowed money, unless such indebtedness by its terms is expressly subordinated to the Notes in right of payment and to the security interest of the Note holder(s) in respect to the priority and enforcement of any security interest in property of the Company securing such new debt; provided that the Note holder(s) security interest and cash payment rights under the Notes shall be subordinate to a maximum of $5,000,000 of indebtedness for a secured accounts receivable line of credit facility provided to the Company by a bank or institutional lender; and, provided further, that in no event may the amount of indebtedness to which the security interest of the Note holder(s) is subordinated exceed the outstanding balance of accounts receivable less than 90 days old for which the Company has not recorded an allowance for doubtful accounts pledged under such credit facility. The Notes define an event of default generally as any failure by the Company to pay an amount owed under the Notes when due (subject to cure periods), a default with respect to other indebtedness of the Company resulting in acceleration of such indebtedness, the commencement of bankruptcy or insolvency proceedings, or the cessation of business. If an event of default occurs under the Notes, the holder(s) of a majority-in-interest of the outstanding principal amount of the Notes may declare the outstanding principal amount thereof to be immediately due and payable and pursue all available remedies, including taking possession of the assets of the Company and selling them to pay the amount of debt then due, plus expenses, in accordance with applicable laws and procedures. The Company incurred debt issuance costs of approximately $0.1 million, which were recorded as a debt discount and are being amortized to interest expense over the repayment period for the loan using the effective interest rate method. The interest expense related to the debt discount during the year ended December 31, 2017 and 2016 was approximately $45,000 and $37,000, respectively, and the remaining unamortized debt discount was approximately $30,000. Semi-annual interest payments have been made in each of August 2016, February 2017, and August 2017, for approximately $336,000, $420,000, and $434,000, respectively, in-kind with the issue of additional notes (Interest Notes) to the Purchasers. The Interest Notes have terms identical to the Notes. As of December 31, 2017, the Notes and Interest Notes could be converted into a maximum of 1,081,166 shares of common stock at $8.50 per share, excluding the effects of future payments of interest in-kind. Future repayments on outstanding convertible notes payable are as follows: Year ending December 31, 2018 $ — 2019 $ 9,189 $ 9,189

Related Party Transactions

Related Party Transactions	12 Months Ended
	Dec. 31, 2017
Related Party Transactions
Related Party Transactions	Note 12: Related Party Transactions A related party to one of the Company's executive officers performed construction work at the Company’s new corporate headquarters in the fourth quarter of 2017. The construction work was completed at a cost of approximately $195,000, which was paid in the fourth quarter of 2017.

Subsequent Events

Subsequent Events	12 Months Ended
	Dec. 31, 2017
Subsequent Events
Subsequent Events	Note 13: Subsequent Events Conversion of Interest Payable to Note In February 2018, the Company made payment in-kind of interest on the Notes and the Interest Notes for the period from August 16, 2017 to February 15, 2018 with the issue of an additional note to the Purchasers (Interest Note 4). Interest Note 4 has a principal amount of approximately $463,000 and has terms identical to the Notes and the Interest Notes.

The Company and Summary of Si21

The Company and Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2017
The Company and Summary of Significant Accounting Policies
Liquidity	Liquidity The Company incurred net losses of approximately $11 million and $32 million for the years ended December 31, 2017 and 2016, respectively, and had an accumulated deficit of approximately $225 million as of December 31, 2017. These and prior year losses have resulted in significant negative cash flows for almost a decade and have required the Company to raise substantial amounts of additional capital during this period. To date, the Company has primarily financed its operations through multiple offerings of common stock to investors and affiliates, as well as asset sale transactions. In March 2016, the Company entered into a 10% Senior Secured Convertible Note Purchase Agreement with the purchasers of $8.0 million principal amount of 10% Senior Secured Convertible Notes due August 15, 2018 (the “Notes”), at par, in a private placement transaction. The Notes bore interest at the annual rate of 10%. Accrued interest was payable semi-annually in cash or in-kind through the issuance of identical new Notes, or with a combination of the two, at the Company’s option. Through February 15, 2018, the Company had made the interest payments in-kind through the issuance of additional notes totaling approximately $1.7 million. As a result of the Company’s financial position, the Company’s management implemented a restructuring plan to better align the Company’s resources with its financial outlook including reductions in the Company’s workforce and associated operating expense, concluding the development of new products, and relocating its corporate offices. (See Note 10, Restructuring ) Additionally, pursuant to an amendment to the Notes and related loan documents effective February 18, 2018, the interest rate has been reduced to 8%, the maturity date of the Notes has been extended to August 15, 2019, the optional conversion price has been reduced from $8.50 of Note principal per share of common stock to $4.25 of Note principal per share of common stock, and the redemption purchase price in the event of certain transactions, such as an acquisition, has been reduced from 120% to 100% of the total amount of debt to be redeemed. The Notes restrict the ability of the Company to incur any indebtedness for borrowed money, unless such indebtedness by its terms is expressly subordinated to the Notes in right of payment and to the security interest of the Note holder(s) in respect to the priority and enforcement of any security interest in property of the Company securing such new debt; provided that the Note holder(s) security interest and cash payment rights under the Notes shall be subordinate to a maximum of $5 million of indebtedness for a secured accounts receivable line of credit facility under certain conditions. (See Note 11, Convertible Notes ) Our historical operating results and the initial requirement to repay the Notes in August 2018 raised substantial doubt about the Company's ability to continue as a going concern. As a result of the measures discussed above, the Company has better aligned its resources with its financial outlook, and, with the amendment of the terms of the Notes, the Company has until August 2019 to repay the Notes. Accordingly, the Company expects to satisfy its estimated liquidity needs for at least 12 months from the issuance of these financial statements and has mitigated its going concern risk. However, the Company cannot predict, with certainty, its ability to achieve and maintain profitability and the generation of positive cash flows, and the outcome of its future actions to generate liquidity, including the availability of additional financing.
Basis of Presentation	Basis of Presentation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions and balances have been eliminated in consolidation. The Company’s fiscal year ends on December 31 of each calendar year.
Reverse stock split	Reverse Stock Split On February 16, 2017, the Company effected a one-for-10 reverse stock split of its common stock. As a result of the reverse stock split, every ten shares of the Company’s pre-reverse split outstanding common stock was combined and reclassified into one share of common stock. Proportionate voting rights and other rights of common stock holders were not affected by the reverse stock split. No fractional shares were issued in connection with the reverse stock split; stockholders who would otherwise hold a fractional share of common stock received cash in an amount equal to the product obtained by multiplying (i) the closing sale price of the Company’s common stock on the effective date of the reverse stock split, by (ii) the number of shares of the Company’s common stock held by the stockholder that would otherwise have been exchanged for the fractional share interest. All stock options and restricted stock units outstanding and common stock reserved for issuance under the Company’s equity incentive plans immediately prior to the reverse stock split were adjusted by dividing the number of affected shares of common stock by 10 and, as applicable, multiplying the exercise price by 10, as a result of the reverse stock split. The common stock par value was adjusted to $0.001 in conjunction with the reverse stock split. All of the share numbers, share prices, and exercise prices have been adjusted, on a retroactive basis to reflect this 1-for-10 reverse stock split.
Use of Estimates	Use of Estimates The preparation of financial statements in accordance with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses recognized during the reported period. Actual results could differ from those estimates.
Foreign Currency	Foreign Currency The functional currency of the Company’s foreign entities is the U.S. dollar. The financial statements of these entities are translated into U.S. dollars and the resulting gains or losses are included in other income, net in the consolidated statements of operations and comprehensive loss. Such gains and losses were not material for any period presented.
Cash Equivalents and Investments	Cash Equivalents and Investments The Company has invested its excess cash in money market accounts, certificates of deposit, corporate debt, government-sponsored enterprise bonds and municipal bonds and considers all highly liquid debt instruments purchased with an original maturity of three months or less to be cash equivalents. Investments with original maturities greater than three months and remaining maturities less than one year are classified as short-term investments. Investments with remaining maturities greater than one year are classified as long-term investments. Management generally determines the appropriate classification of securities at the time of purchase. All securities are classified as available-for-sale. The Company’s available-for-sale short-term and long-term investments are carried at fair value, with the unrealized holding gains and losses reported in accumulated other comprehensive loss. Realized gains and losses and declines in the value judged to be other-than-temporary are included in the other income, net line item in the consolidated statements of operations and comprehensive loss. The cost of securities sold is based on the specific identification method.
Fair Value Measurements	Fair Value Measurements The Company measures the fair value of financial instruments using a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels: Level 1—Inputs used to measure fair value are unadjusted quoted prices that are available in active markets for the identical assets or liabilities as of the reporting date. Level 2—Pricing is provided by third party sources of market information obtained through the Company’s investment advisors, rather than models. The Company does not adjust for, or apply, any additional assumptions or estimates to the pricing information it receives from advisors. The Company’s Level 2 securities include cash equivalents and available-for-sale securities, which consisted primarily of certificates of deposit, corporate debt, and government agency and municipal debt securities from issuers with high-quality credit ratings. The Company’s investment advisors obtain pricing data from independent sources, such as Standard & Poor’s, Bloomberg and Interactive Data Corporation, and rely on comparable pricing of other securities because the Level 2 securities are not actively traded and have fewer observable transactions. The Company considers this the most reliable information available for the valuation of the securities. Level 3—Unobservable inputs that are supported by little or no market activity and reflect the use of significant management judgment are used to measure fair value. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions. The determination of fair value for Level 3 investments and other financial instruments involves the most management judgment and subjectivity.
Allowance for Doubtful Accounts	Allowance for Doubtful Accounts The Company establishes an allowance for doubtful accounts to ensure that its trade receivables balances are not overstated due to uncollectibility. The Company performs ongoing customer credit evaluations within the context of the industry in which it operates and generally does not require collateral from its customers. A specific allowance of up to 100% of the invoice value is provided for any problematic customer balances. Delinquent account balances are written off after management has determined that the likelihood of collection is remote. The Company grants credit only to customers deemed creditworthy in the judgment of management. There was no allowance for doubtful accounts receivable at December 31, 2017 and 2016.
Inventory	Inventory The Company values its inventories at the lower of cost, which approximates actual cost on a first-in, first-out basis, or net realizable value. The Company records inventory reserves for estimated obsolescence or unmarketable inventories based upon assumptions about future demand and market conditions. Once a reserve is established, it is maintained until the product to which it relates is sold or otherwise disposed of. If actual market conditions are less favorable than those expected by management, additional adjustment to inventory valuation may be required. Charges for obsolete and slow-moving inventories are recorded based upon an analysis of specific identification of obsolete inventory items and quantification of slow moving inventory items. The Company recorded inventory write-downs during the year ended December 31, 2017 of $0.3 million, no inventory write-downs during the year ended December 31, 2016 and inventory write-downs of $0.3 million during the year ended December 31, 2015.
Property and Equipment	Property and Equipment Property and equipment are originally recorded at cost. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, generally three to five years. Depreciation is recorded in cost of sales and operating expenses in the consolidated statements of operations and comprehensive loss. Leasehold improvements and assets acquired through capital leases are amortized over the shorter of their estimated useful life or the lease term, and amortization is recorded in operating expenses in the consolidated statements of operations and comprehensive loss.
Valuation of Long-lived Assets	Valuation of Long-lived Assets The Company evaluates the recoverability of long-lived assets with finite lives whenever events or changes in circumstances occur that indicate that the carrying value of the asset or asset group may not be recoverable. Finite-lived intangible assets are being amortized on a straight-line basis over their estimated useful lives of three to seven years. An impairment charge is recognized as the difference between the net book value of such assets and the fair value of such assets at the date of measurement. The measurement of impairment requires management to estimate future cash flows and the fair value of long-lived assets.
Intangible Assets	Intangible Assets Intangible assets acquired in business combinations, referred to as purchased intangible assets, are accounted for based on the fair value of assets purchased and are amortized over the period in which economic benefit is estimated to be received.
Goodwill	Goodwill In January 2017, the Company early adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No. 2017-04, Simplifying the Test for Goodwill Impairment (“ASU No. 2017-04”), which eliminates step 2, the computation of the implied fair value of goodwill to determine the amount of impairment, from the goodwill impairment test. Under the amendments in this update, the Company determines the amount of goodwill impairment by comparing the fair value of the reporting unit with its carrying amount. To the extent the carrying value of a reporting unit exceeds its fair value, a goodwill impairment charge is recognized. The Company has determined that it has a single reporting unit for purposes of performing its goodwill impairment test. As the Company uses the market approach to determine the step one fair value, the price of its common stock is an important component of the fair value calculation. If the Company’s stock price continues to experience significant price and volume fluctuations, this will impact the fair value of the reporting unit, which can lead to potential impairment in future periods. The Company reviews goodwill for impairment on an annual basis or whenever events or changes in circumstances indicate the carrying value of an asset may not be recoverable. The Company first assesses qualitative factors to determine whether it is more-likely-than-not that the fair value of the reporting unit is less than the carrying amount as a basis for determining whether it is necessary to perform an impairment test. If the qualitative assessment warrants further analysis, the Company compares the fair value of the reporting unit to its carrying value. The fair value of the reporting unit is determined using the market approach. If the fair value of the reporting unit exceeds the carrying value of net assets of the reporting unit, goodwill is not impaired. If the carrying value of the reporting unit’s goodwill exceeds its fair value, then the Company must record an impairment charge equal to the difference. The Company performed its annual test for goodwill impairment as of September 1, 2017, and performed a subsequent test on December 31, 2017. In both tests, the Company’s fair value exceeded its carrying value of net assets and, as such, there was no additional impairment of goodwill. During the fourth quarter of 2016, the Company concluded a triggering event had occurred due to a sustained decrease in the price per share of its common stock and related reduced market capitalization. The Company performed the first step of the impairment test to identify potential goodwill impairment, and the test results indicated the goodwill carrying value was greater than its fair value. The Company then performed a step-two analysis to compare the carrying amount of goodwill to the implied fair value of the goodwill, and the Company determined the estimated fair values of the assets and liabilities of its single reporting unit. The fair values of the assets and liabilities identified in the impairment test were determined using the combination of the income approach and the market approach. The implied fair value of goodwill was measured as the excess of the fair value of the Company’s single reporting unit over the fair value of its assets and liabilities. As a result of the step-two test, the Company recorded a non-cash impairment charge of $9.9 million during the fourth quarter of 2016.
Revenue Recognition	Revenue Recognition General The Company generates revenue from the sales of IC products and licensing of its IP. The Company recognizes revenue when persuasive evidence of an arrangement exists, delivery or performance has occurred, the sales price is fixed or determinable, and collectibility is reasonably assured. Evidence of an arrangement generally consists of signed agreements or customer purchase orders. IC products The Company sells products both directly to customers, as well as through distributors. Revenue from sales directly to customers is generally recognized at the time of shipment. The Company may record an estimated allowance, at the time of shipment, for future returns and other charges against revenue consistent with the terms of sale. IC product revenue and costs relating to sales made through distributors with rights of return or stock rotation are generally deferred until the distributors sell the product to end customers due to the Company’s inability to estimate future returns and credits to be issued. Distributors are generally able to return up to 10% of their purchases for slow, non-moving or obsolete inventory for credit every six months. At the time of shipment to distributors, an accounts receivable for the selling price is recorded, as there is a legally enforceable right to receive payment, and inventory is relieved, as legal title to the inventory is transferred upon shipment. Revenues are recognized upon receiving notification from the distributors that products have been sold to end customers. Distributors provide information regarding products and quantity, end customer shipments and remaining inventory on hand. The associated deferred margin is included in the accrued expenses and other line item in the consolidated balance sheets. Royalty The Company’s licensing contracts typically also provide for royalties based on the licensees’ use of the Company’s memory technology in their currently shipping commercial products. The Company recognizes royalties in the quarter in which it receives the licensees’ reports. Licensing Licensing revenue consists of fees earned from license agreements, development services and support and maintenance. For stand-alone license agreements or license deliverables in multi-deliverable arrangements that do not require significant development, modification or customization, revenues are recognized when all revenue recognition criteria have been met. Delivery of the licensed technology is typically the final revenue recognition criterion met, at which time revenue is recognized. If any of the criteria are not met, revenue recognition is deferred until such time as all criteria have been met. Support and maintenance revenue is recognized ratably over the period during which the obligation exists, typically 12 months. The Company recognized no licensing revenue during the years ended December 31, 2017, 2016 and 2015.
Cost of Net Revenue	Cost of Net Revenue Cost of net revenue consists primarily of direct and indirect costs of IC product sales and engineering personnel costs directly related to maintenance and support services specified in licensing agreements. Maintenance and support typically includes engineering support to assist in the commencement of production of a licensee’s products.
Advertising Costs	Advertising Costs Advertising costs are expensed as incurred. Advertising costs were not significant in the years ended December 31, 2017, 2016 and 2015.
Research and Development	Research and Development Engineering costs are recorded as research and development expense in the period incurred.
Stock-Based Compensation	Stock-Based Compensation The Company recognizes stock-based compensation for awards on a straight-line basis over the requisite service period, usually the vesting period, based on the grant-date fair value. The Company records stock-based compensation expense for stock options granted to non-employees, excluding non-employee directors, based upon the estimated then-current fair value of the equity instrument using the Black-Scholes pricing model. Assumptions used to value the equity instruments are consistent with equity instruments issued to employees. The Company charges the value of the equity instrument to earnings over the term of the service agreement and the unvested shares underlying the option are subject to periodic revaluation over the remaining vesting period.
Per Share Amounts	Per Share Amounts Basic net loss per share is computed by dividing net loss for the period by the weighted-average number of shares of common stock outstanding during the period. Diluted net loss per share gives effect to all potentially dilutive common shares outstanding during the period. Potentially dilutive common shares consist of incremental shares of common stock issuable upon the exercise of stock options, vesting of stock awards and purchases under the employee stock purchase plan. The following table sets forth securities outstanding which were excluded from the computation of diluted net loss per share as their inclusion would be anti-dilutive (in thousands): December 31, 2017 2016 2015 Options outstanding to purchase common stock 307 522 839 Employee stock purchase plan — 44 44 Unvested restricted common stock units 376 148 24 Convertible debt 1,081 926 — Outstanding warrants 663 — — Total 2,427 1,640 907
Income Taxes	Income Taxes The Company determines deferred tax assets and liabilities based upon the differences between the financial statement and tax bases of the Company’s assets and liabilities using tax rates in effect for the year in which the Company expects the differences to affect taxable income. A valuation allowance is established for any deferred tax assets for which it is more likely than not that all or a portion of the deferred tax assets will not be realized. The Company files U.S. federal and state and foreign income tax returns in jurisdictions with varying statutes of limitations. The 2013 through 2017 tax years generally remain subject to examination by U.S. federal and state tax authorities, and the 2009 through 2017 tax years generally remain subject to examination by foreign tax authorities. As of December 31, 2017, the Company did not have any unrecognized tax benefits nor expect its unrecognized tax benefits to change significantly over the next 12 months. The Company recognizes interest related to unrecognized tax benefits in its income tax expense and penalties related to unrecognized tax benefits as other income and expenses. During the years ended December 31, 2017, 2016 and 2015, the Company did not recognize any interest or penalties related to unrecognized tax benefits.
Comprehensive Loss	Comprehensive Loss Comprehensive loss includes unrealized gains and losses on available-for-sale securities. Realized gains and losses on available-for-sale securities are reclassified from accumulated other comprehensive loss and included in other income, net in the consolidated statements of operations and comprehensive loss. All amounts recorded were not significant in the years ended December 31, 2017, 2016 and 2015.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09 (“ASU 2014-09”), Revenue from Contracts with Customers , which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods and services to customers. In March, April and May 2016, the FASB issued additional updates to the new revenue standard relating to reporting revenue on a gross versus net basis, identifying performance obligations and licensing arrangements, and narrow-scope improvements and practical expedients, respectively. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. generally accepted accounting principles (“GAAP”) when it becomes effective. The accounting standard is effective for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2017. Early adoption is permitted for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2016. ASU 2014-09 provides for one of two methods of transition: retrospective application to each prior period presented; or recognition of the cumulative effect of retrospective application of the new standard in the period of initial application. The Company has continued to monitor FASB activity related to the new standard and has assessed certain interpretative issues and the associated implementation of the new standard. The Company has drafted its accounting policy for the new standard based on a detailed review of its business and contracts. While the Company continues to assess all potential impacts of the new standard, it does not currently expect that the adoption of the new revenue standard will have a material impact on its revenues, results of operations or financial position. However, as a result of the adoption of this standard, the Company expects to make material additional footnote disclosures related to the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. The Company will adopt the new revenue standard effective January 1, 2018. The Company currently intends to adopt the new standard using the modified retrospective method. In February 2016, the FASB issued ASU No. 2016-02 (“ASU 2016-02”), Leases . ASU 2016-02 requires lessees to recognize a right-of-use asset and a lease liability equal to the present value of the lease payments for virtually all leases not classified as short term. Consistent with current U.S. GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily depend on its classification as a finance or operating lease. The ASU also will require disclosures to provide additional qualitative and quantitative information about the amounts recorded in the financial statements. ASU 2016-02 is effective for annual and interim reporting periods beginning after December 15, 2018, with early adoption permitted. The new standard requires a modified retrospective transition for application at the beginning of the earliest comparative period presented. The Company is currently evaluating the impact that ASU 2016-02 will have on its consolidated financial statements and related disclosures. In March 2016, the FASB issued ASU No. 2016-09 (“ASU 2016-09”), Improvements to Employee Share-Based Payment Accounting . This guidance simplifies the accounting for the taxes related to stock-based compensation, requiring excess tax benefits and deficiencies to be recognized as a component of income tax expense rather than equity. ASU 2016-09 also requires excess tax benefits and deficiencies to be presented as operating activities on the statement of cash flows and allows an entity to make an accounting policy election to either estimate expected forfeitures or to account for them as they occur. The adoption requires recognition through retained earnings of any pre-adoption date net operating loss carryforwards (“NOLs”) from non-qualified stock options and other employee stock-based payments. As a result, the Company determined the impact of the adoption to be a $10.5 million increase to deferred tax assets related to stock-based compensation incurred as of December 31, 2017 with a corresponding increase to the Company's valuation allowance for financial statement purposes

The Company and Summary of Si22

The Company and Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2017
The Company and Summary of Significant Accounting Policies
Schedule of securities outstanding which were excluded from the computation of diluted net loss per share as their inclusion would be anti-dilutive.	The following table sets forth securities outstanding which were excluded from the computation of diluted net loss per share as their inclusion would be anti-dilutive (in thousands): December 31, 2017 2016 2015 Options outstanding to purchase common stock 307 522 839 Employee stock purchase plan — 44 44 Unvested restricted common stock units 376 148 24 Convertible debt 1,081 926 — Outstanding warrants 663 — — Total 2,427 1,640 907

Consolidated Balance Sheets a23

Consolidated Balance Sheets and Statements of Operations and Comprehensive Loss Components (Tables)	12 Months Ended
	Dec. 31, 2017
Consolidated Balance Sheets and Statements of Operations and Comprehensive Loss Components
Schedule of inventory prepaid expenses and other current assets and property and equipment	December 31, 2017 2016 (in thousands) Inventories: Work-in-process $ 1,612 $ 1,270 Finished goods 154 181 $ 1,766 $ 1,451 Prepaid expenses and other: Prepaid IC material and production costs $ 1,107 $ 3 Prepaid insurance 115 116 Prepaid software 38 250 Interest receivable — 17 Other 87 87 $ 1,347 $ 473 Property and equipment, net: Equipment, furniture and fixtures and leasehold improvements $ 4,478 $ 5,906 Acquired software 296 304 4,774 6,210 Less: Accumulated depreciation and amortization (3,947) (4,936) $ 827 $ 1,274
Schedule of identifiable intangible assets	Identifiable intangible assets were (dollar amounts in thousands): December 31, 2017 Gross Net Life Carrying Accumulated Carrying (years) Amount Amortization Amount Patent license $ 780 $ 669 $ 111 December 31, 2016 Gross Net Life Carrying Accumulated Carrying (years) Amount Amortization Amount Patent license $ 780 $ 557 $ 223
Schedule of accrued expenses and other	December 31, 2017 2016 (in thousands) Accrued wages and employee benefits $ 616 $ 1,051 Accrued restructuring liabilities 478 5 Interest payable 346 314 IC development and wafer purchase costs 335 598 Professional fees, legal and consulting 182 282 Corporate taxes 153 52 Employee stock purchase plan withholdings — 200 Other 397 — $ 2,507 $ 2,502

Fair Value of Financial Instr24

Fair Value of Financial Instruments (Tables)	12 Months Ended
	Dec. 31, 2017
Fair Value of Financial Instruments
Schedule of estimated fair values of financial instruments outstanding	The estimated fair values of financial instruments outstanding were (in thousands): December 31, 2017 Unrealized Unrealized Fair Cost Gains Losses Value Cash and cash equivalents $ 3,868 $ — $ — $ 3,868 December 31, 2016 Unrealized Unrealized Fair Cost Gains Losses Value Cash and cash equivalents $ 8,766 $ — $ — $ 8,766 Short-term investments: U.S. government-sponsored enterprise bonds $ 762 $ — $ — $ 762 Corporate notes 240 — — 240 Total short-term investments $ 1,002 $ — $ — $ 1,002
Schedule of fair value hierarchy for financial assets (cash equivalents and investments)	The following table represents the Company’s fair value hierarchy for its financial assets (cash equivalents and investments) as of December 31, 2017 and 2016 (in thousands): December 31, 2017 Fair Value Level 1 Level 2 Level 3 Money market funds $ 621 $ 621 $ — $ — December 31, 2016 Fair Value Level 1 Level 2 Level 3 Money market funds $ 84 $ 84 $ — $ — U.S. government-sponsored enterprise bonds 3,767 — 3,767 — Municipal bonds 4,027 — 4,027 — Corporate notes 480 — 480 — Total assets $ 8,358 $ 84 $ 8,274 $ —

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2017
Income Taxes
Schedule of income tax provision (benefit)	The income tax provision (benefit) consisted of the following (in thousands): Year Ended December 31, 2017 2016 2015 Current portion: State $ 3 $ 3 $ 3 Foreign 7 42 83 10 45 86 Deferred portion: Federal (243) — — $ (233) $ 45 $ 86
Schedule of significant components of the Company's deferred tax assets and liabilities	Significant components of the Company’s deferred tax assets and liabilities were (in thousands): December 31, 2017 2016 Deferred tax assets: Federal and state loss carryforwards $ 49,533 $ 68,829 Reserves, accruals and other 391 519 Depreciation and amortization 1,100 1,718 Deferred stock-based compensation 2,483 4,287 Research and development credit carryforwards 15,487 13,867 Foreign tax and other credits 513 536 Total deferred tax assets 69,507 89,756 Deferred tax liabilities: Acquired intangible assets and other 408 328 Less: Valuation allowance (68,857) (89,428) Net deferred tax assets $ 242 $ —
Schedule of reconciliation of income taxes provided at the federal statutory rate (35%) to actual income tax provision (benefit)	A reconciliation of income taxes provided at the federal statutory rate (35%) to the actual income tax provision follows (in thousands): Year Ended December 31, 2017 2016 2015 Income tax benefit computed at U.S. statutory rate $ (3,815) $ (11,229) $ (10,989) State income tax (net of federal benefit) 3 3 3 Foreign income tax at rate different from U.S. statutory rate 3 (7) (15) Research and development credits (480) (981) (1,580) Stock-based compensation (40) 75 123 Amortization of intangible assets (100) (100) (100) Goodwill impairment — 1,856 — Federal tax rate reduction (26,617) — — Valuation allowance changes affecting tax provision 30,811 10,022 12,588 Other 2 406 56 Income tax (benefit) provision $ (233) $ 45 $ 86
Schedule of domestic and foreign components of (loss) income before income tax provision	The domestic and foreign components of loss before income tax provision were (in thousands): Year Ended December 31, 2017 2016 2015 U.S. $ (11,063) $ (31,115) $ (31,580) Non-U.S. 162 (888) 183 $ (10,901) $ (32,003) $ (31,397)

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	12 Months Ended
	Dec. 31, 2017
Stock-Based Compensation
Schedule of assumptions used in estimation of fair value of the share-based payment awards on the grant date	Year Ended December 31, 2017 2016 2015 Risk-free interest rate 1.6% - 1.8% 1% - 2.1% 0.6% -1.7% Volatility 70.2% - 101.5% 61.4% - 65.0% 55.7% - 59.3% Expected life (years) 4.0 3.0 - 5.0 3.0 - 5.0 Dividend yield 0% 0% 0%
Summary of option and RSU activity under Amended and Restated 2000 Stock Option and Equity Incentive Plan and Amended and Restated 2010 Equity Incentive Plan	A summary of stock option and restricted stock unit (“RSU”) award activity under the Plans is presented below (in thousands, except exercise price): Awards outstanding Weighted Shares Average Available Number of Exercise for Grant Shares Prices Balance at January 1, 2015 176 599 $ 38.70 Additional shares authorized under the Plan 50 — — RSUs cancelled and returned to the Plan 2 — — Options granted (154) 154 $ 20.20 Options cancelled and returned to the Plan 70 (70) $ 35.20 Options exercised — (8) $ (16.40) Options expired (38) — $ 32.00 Balance at December 31, 2015 106 675 $ 35.10 Additional shares authorized under the Amended 2010 Plan 50 — — RSUs granted (144) — — RSUs cancelled and returned to Plan 7 — — Options granted (384) 384 $ 6.96 Options cancelled and returned to Plan 479 (479) $ 35.64 Options cancelled and expired — (58) $ 44.80 Balance at December 31, 2016 114 522 $ 13.88 Additional shares authorized under the Amended 2010 Plan 250 — — RSUs granted (407) — — RSUs cancelled and returned to Plan 59 — — Options granted (160) 160 $ 0.76 Options cancelled and returned to Plan 375 (375) $ 15.69 Balance at December 31, 2017 231 307 $ 4.81
Summary of RSU activity under the Plans	A summary of restricted stock unit activity under the Plans is presented below (in thousands, except fair value): Weighted Average Number of Grant-Date Shares Fair Value Non-vested shares at January 1, 2015 39 $ 46.11 Granted — $ — Vested (13) $ 45.97 Cancelled (2) $ 46.20 Non-vested shares at December 31, 2015 24 $ Granted 144 $ 5.30 Vested (12) $ 46.06 Cancelled (8) $ 15.67 Non-vested shares at December 31, 2016 148 $ 8.13 Granted 407 $ 0.93 Vested (120) $ 5.76 Cancelled (59) $ 5.04 Non-vested shares at December 31, 2017 376 $ 1.58
Summary of significant ranges of outstanding and exercisable options	The following table summarizes significant ranges of outstanding and exercisable options as of December 31, 2017 (in thousands, except contractual life and exercise price): Options Outstanding Options Exercisable Weighted Average Remaining Weighted Weighted Contractual Average Average Aggregate Number Life Exercise Number Exercise Intrinsic Range of Exercise Price Outstanding (in Years) Price Exercisable Price value $0.75 - $2.35 160 5.80 $ 0.75 — $ — $ 58 $2.36 - $7.19 11 8.66 $ 4.92 6 $ 5.18 $ — $7.20 - $20.49 114 8.64 $ 7.20 51 $ 7.20 $ — $20.50 - $43.59 20 6.83 $ 20.89 15 $ 21.02 $ — $44.60 - $46.19 1 2.76 $ 44.60 1 $ 44.60 $ — $46.20 - $46.20 1 6.13 $ 46.20 — $ 46.20 $ — $0.75 - $46.20 307 7.02 $ 4.81 73 $ 10.55 $ 58 Vested and expected to vest 281 7.09 $ 5.07 $ 50 Exercisable 73 8.15 $ 10.55 $ —

Business Segments, Concentrat27

Business Segments, Concentration of Credit Risk and Significant Customers (Tables)	12 Months Ended
	Dec. 31, 2017
Business Segments, Concentration of Credit Risk and Significant Customers
Schedule of revenue from licensing technologies and shipment of ICs to customers by geographical location:	The Company recognized revenue from licensing of its technologies and shipment of ICs to customers in North America, Asia and Rest of world as follows (in thousands): Year Ended December 31, 2017 2016 2015 North America $ 6,531 $ 3,816 $ 2,222 Japan 1,520 1,303 667 Taiwan 613 804 1,396 Rest of world 178 101 105 Total net revenue $ 8,842 $ 6,024 $ 4,390
Schedule of customers who accounted for at least 10% of total net revenue	Customers who accounted for at least 10% of total net revenues were: Years Ended December 31, 2017 2016 2015 Customer A 46 % * * Customer B 17 % 21 % 12 % Customer C 11 % 47 % Customer D * % 13 % 31 % * Represents percentage less than 10%.
Schedule of net long-lived assets (property and equipment), classified by major geographic areas	Net long-lived assets (property and equipment), classified by major geographic areas, was (in thousands): December 31, 2017 2016 (in thousands) U.S. $ 827 $ 1,274

Commitments and Contingencies (

Commitments and Contingencies (Tables)	12 Months Ended
	Dec. 31, 2017
Commitments and Contingencies
Schedule of future minimum lease payments under non-cancelable operating leases and purchase commitments	Future minimum lease payments under non-cancelable operating leases and purchase commitments are (in thousands): Operating Year ended December 31, leases 2018 $ 213 2019 219 2020 187 Total minimum payments $ 619

Restructuring (Tables)

Restructuring (Tables)	12 Months Ended
	Dec. 31, 2017
Restructuring Charge
Summary of restructuring charges	Expenses related to the restructure are included in the restructuring charges line in the consolidated statements of operations and comprehensive loss and the remaining liability is included in accrued expenses and other on the consolidated balance sheets consisting of (in thousands): Contractual obligations Workforce Facility and other reduction related termination costs Total Balance as of January 1, 2017 $ — $ — $ 5 $ 5 Restructuring charge 458 269 594 1,321 Cash payments (458) (180) (210) (848) Balance as of December 31, 2017 $ — $ 89 $ 389 $ 478

Convertible Notes (Tables)

Convertible Notes (Tables)	12 Months Ended
	Dec. 31, 2017
Convertible Notes
Schedule of future repayments on outstanding convertible notes payable	Year ending December 31, 2018 $ — 2019 $ 9,189 $ 9,189

The Company and Summary of Si31

The Company and Summary of Significant Accounting Policies (Details) $ / shares in Units, shares in Thousands	Feb. 18, 2018USD ($)$ / shares	Feb. 16, 2017$ / shares	Mar. 14, 2016USD ($)	Mar. 31, 2016USD ($)	Dec. 31, 2017USD ($)GB / s$ / sharesshares	Dec. 31, 2016USD ($)$ / sharesshares	Dec. 31, 2015USD ($)shares	Feb. 15, 2018
Speed per second of high-speed interface technology of Bandwidth Engine ICs (in giga per second) | GB / s					10
Net loss					$ (10,668,000)	$ (32,048,000)	$ (31,483,000)
Accumulated deficit					(224,688,000)	(214,020,000)
Interest payments in-kind through the issuance of additional notes					$ 898,000	$ 650,000
Reverse stock split		10
Common Stock, Par or Stated Value Per Share | $ / shares		$ 0.001			$ 0.001	$ 0.001
Maximum specific allowance as percentage of invoice value for problematic customer balances					100.00%
Allowance for doubtful accounts receivable					$ 0	$ 0
Inventory reserves					$ 300,000	0	300,000
Impairment of goodwill						9,858,000
Threshold purchase return percentage by distributors for slow, non-moving or obsolete inventory					10.00%
Specified period for return of threshold percentage of purchases by distributors for slow, non-moving or obsolete inventory					6 months
Support and maintenance revenue recognition period					12 months
Licensing revenue					$ 0	$ 0	$ 0
Per Share Amounts
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | shares					2,427	1,640	907
Deferred tax assets					$ 69,507,000	$ 89,756,000
Valuation allowance					68,857,000	$ 89,428,000
ASU No. 2016-09
Per Share Amounts
Deferred tax assets					10,500,000
Valuation allowance					$ 10,500,000
Options
Per Share Amounts
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | shares					307	522	839
Employee stock purchase plan
Per Share Amounts
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | shares						44	44
RSU's
Per Share Amounts
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | shares					376	148	24
Convertible debt
Per Share Amounts
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | shares					1,081	926
Outstanding warrants
Per Share Amounts
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | shares					663
Senior Secured Convertible Notes due August 15 2018
Stated interest rate (as a percent)			10.00%	10.00%	10.00%			8.00%
Aggregate principal amount			$ 8,000,000	$ 8,000,000
Interest payments in-kind through the issuance of additional notes				$ 1,700,000
Conversion price (in dollars per share) | $ / shares	$ 4.25				$ 8.50
Redemption purchase price (as a percent)	100.00%				120.00%
Maximum amount of indebtedness subordinated by security interest and cash payment rights under debt instruments	$ 5,000,000		$ 5,000,000
Minimum
Estimated useful lives					3 years
Estimated useful life					3 years
Maximum
Estimated useful lives					5 years
Estimated useful life					7 years

Consolidated Balance Sheets a32

Consolidated Balance Sheets and Statements of Operations and Comprehensive Loss Components - Inventories/Prepaid/PP&E (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Inventories:
Work-in-process	$ 1,612	$ 1,270
Finished goods	154	181
Total	1,766	1,451
Prepaid expenses and other:
Prepaid IC material and production costs	1,107	3
Prepaid insurance	115	116
Prepaid software	38	250
Interest receivable		17
Other	87	87
Total	1,347	473
Property and equipment, net:
Property and equipment, gross	4,774	6,210
Less: Accumulated depreciation and amortization	(3,947)	(4,936)
Property and equipment, net	827	1,274
Equipment, furniture and fixtures and leasehold improvements
Property and equipment, net:
Property and equipment, gross	4,478	5,906
Acquired software
Property and equipment, net:
Property and equipment, gross	$ 296	$ 304

Consolidated Balance Sheets a33

Consolidated Balance Sheets and Statements of Operations and Comprehensive Loss Components - Intangible assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Intangible assets
Net Carrying Value	$ 111	$ 223
Estimated aggregate amortization expense to be recognized in future
2,018	$ 100
Patent license
Intangible assets
Life	7 years	7 years
Gross Carrying Amount	$ 780	$ 780
Accumulated Amortization	669	557
Net Carrying Value	$ 111	$ 223

Consolidated Balance Sheets a34

Consolidated Balance Sheets and Statements of Operations and Comprehensive Loss Components - Accrued Expenses (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Accrued expenses and other:
Accrued wages and employee benefits	$ 616	$ 1,051
Accrued restructuring liabilities	478	5
Interest payable	346	314
IC development and wafer purchase costs	335	598
Professional fees, legal and consulting	182	282
Corporate taxes	153	52
Employee stock purchase plan withholdings		200
Other	397
Total	$ 2,507	$ 2,502

Fair Value of Financial Instr35

Fair Value of Financial Instruments - Financial Instruments Outstanding (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2013
Estimated fair values of financial instruments
Cash and cash equivalents, cost	$ 3,868	$ 8,766	$ 5,640	$ 3,110
Cash and cash equivalents, fair value	$ 3,868	8,766
Short-term investments.
Estimated fair values of financial instruments
Total		1,002
Fair Value		1,002
Short-term investments. | U.S. government-sponsored enterprise bonds
Estimated fair values of financial instruments
Total		762
Fair Value		762
Short-term investments. | Corporate notes
Estimated fair values of financial instruments
Total		240
Fair Value		$ 240

Fair Value of Financial Instr36

Fair Value of Financial Instruments - Fair Value Hierarchy for Financial Assets (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Fair value hierarchy for its financial assets
Transfer of assets between Level 1 to Level 2	$ 0	$ 0
Transfer of assets between Level 2 to Level 1	0	0
Transfer of liabilities between Level 1 to Level 2	0	0
Transfer of liabilities between Level 2 to Level 1	0	0
Fair Value, Measurements, Recurring
Fair value hierarchy for its financial assets
Total assets		8,358
Fair Value, Measurements, Recurring | Money market funds
Fair value hierarchy for its financial assets
Available-for-sale Securities		84
Fair Value, Measurements, Recurring | U.S. government-sponsored enterprise bonds
Fair value hierarchy for its financial assets
Available-for-sale Securities		3,767
Fair Value, Measurements, Recurring | Municipal Bonds
Fair value hierarchy for its financial assets
Available-for-sale Securities		4,027
Fair Value, Measurements, Recurring | Corporate notes
Fair value hierarchy for its financial assets
Available-for-sale Securities	621	480
Fair Value, Measurements, Recurring | Level 1
Fair value hierarchy for its financial assets
Total assets		84
Fair Value, Measurements, Recurring | Level 1 | Money market funds
Fair value hierarchy for its financial assets
Available-for-sale Securities		84
Fair Value, Measurements, Recurring | Level 1 | Corporate notes
Fair value hierarchy for its financial assets
Available-for-sale Securities	$ 621
Fair Value, Measurements, Recurring | Level 2
Fair value hierarchy for its financial assets
Total assets		8,274
Fair Value, Measurements, Recurring | Level 2 | U.S. government-sponsored enterprise bonds
Fair value hierarchy for its financial assets
Available-for-sale Securities		3,767
Fair Value, Measurements, Recurring | Level 2 | Municipal Bonds
Fair value hierarchy for its financial assets
Available-for-sale Securities		4,027
Fair Value, Measurements, Recurring | Level 2 | Corporate notes
Fair value hierarchy for its financial assets
Available-for-sale Securities		$ 480

Income Taxes - Current_Deferred

Income Taxes - Current/Deferred (Details) - USD ($) $ in Thousands	Jan. 01, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Net operating loss carryforwards
U.S. federal corporate tax rate		35.00%
Federal AMT tax		$ 200
Current portion:
State		3	$ 3	$ 3
Foreign		7	42	83
Income tax provision, Current		10	45	86
Deferred portion:
Federal		(243)
Income tax provision		(233)	45	$ 86
Deferred tax assets:
Federal and state loss carryforwards		49,533	68,829
Reserves, accruals and other		391	519
Depreciation and amortization		1,100	1,718
Deferred stock-based compensation		2,483	4,287
Research and development credit carryforwards		15,487	13,867
Foreign tax and other credits		513	536
Total deferred tax assets		69,507	89,756
Deferred tax liabilities:
Acquired intangible assets and other		408	328
Less: Valuation allowance		(68,857)	(89,428)
Net deferred tax assets		242	0
Increase (Decrease) in valuation allowance during the year		20,600	$ 9,800
Forecast
Net operating loss carryforwards
U.S. federal corporate tax rate	21.00%
Federal
Net operating loss carryforwards
Net operating loss carryforwards, amount		196,100
State
Net operating loss carryforwards
Net operating loss carryforwards, amount		$ 119,600

Income Taxes - Reconciliation (

Income Taxes - Reconciliation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Tax credit carryforwards
Undistributed earnings of foreign subsidiaries	$ 0
Reconciliation of income taxes provided at the federal statutory rate (35%) to actual income tax provision (benefit)
Federal statutory rate	35.00%
Income tax benefit computed at U.S. statutory rate	$ (3,815)	$ (11,229)	$ (10,989)
State income tax (net of federal benefit)	3	3	3
Foreign income tax at rate different from U.S. statutory rate	3	(7)	(15)
Research and development credits	(480)	(981)	(1,580)
Stock-based compensation	(40)	75	123
Amortization of intangible assets	(100)	(100)	(100)
Goodwill impairment		1,856
Federal tax rate reduction	(26,617)
Valuation allowance changes affecting tax provision	30,811	10,022	12,588
Other	2	406	56
Income tax provision	(233)	45	86
Domestic and foreign components of income (loss) before income tax provision (benefit)
U.S.	(11,063)	(31,115)	(31,580)
Non-U.S.	162	(888)	183
Loss before income taxes	(10,901)	$ (32,003)	$ (31,397)
Federal
Tax credit carryforwards
Foreign tax credit carryforward that began expiring in 2016	300
Research and development | Federal
Tax credit carryforwards
Tax credit carryforwards with expiration	9,100
Tax credit carryforwards without expiration	$ 8,100

Stock-Based Compensation - Narr

Stock-Based Compensation - Narrative (Details)	Jan. 01, 2017shares	Aug. 31, 2016USD ($)shares	Aug. 23, 2016USD ($)shares	Feb. 29, 2016USD ($)shares	May 31, 2015shares	Jun. 30, 2014shares	Jun. 30, 2010USD ($)itemshares	Dec. 31, 2017USD ($)shares	Dec. 31, 2016USD ($)shares	Dec. 31, 2015USD ($)shares	Dec. 31, 2014shares
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Shares authorized and unissued								231,000	114,000	106,000	176,000
Options granted (in shares)								160,000	384,000	154,000
Options expired in relation to the Offer			456,995						58,000
Shares issued in Replacement Offering			334,027					160,000	384,000	154,000
Shares eligible for purchase via options			113,531
Vesting period of replacement options			3 years
Incremental charge resulting from the plan modification | $			$ 926,000
Amortization period of incremental charge			3 years
Increase in number of shares reserved for issuance								250,000	50,000	50,000
Options
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Unamortized compensation cost, net of expected forfeitures | $								$ 1,000,000
Weighted average expected period over which the expense is to be recognized								2 years 4 months 24 days
Fair value of vested options and awards | $								$ 600,000
Tax benefits associated with exercise of stock options | $								0	$ 0	$ 0
Intrinsic value of awards exercised | $								0	$ 0	$ 300,000
RSU's
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Unamortized compensation cost, net of expected forfeitures | $								$ 600,000
Weighted average expected period over which the expense is to be recognized								1 year 1 month 6 days
Employee stock purchase plan
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Shares authorized and unissued								150,000
Number of shares reserved for issuance							200,000
Increase in number of shares reserved for issuance					200,000
Number of offering periods | item							2
Offering period							6 months
Purchase price to be paid by participants as a percentage of price per share either at the beginning or the end of each six-month offering period, whichever is less							85.00%
Shares of common stock issued under the plan		31,900		37,300
Aggregate purchase price of shares issued | $		$ 167,000		$ 197,000
Employee stock purchase plan | Maximum
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Maximum amount of shares that eligible employee may purchase annually (in dollars) | $							$ 25,000
Equity Incentive Plan2010 [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Term of Plan								10 years
Number of shares reserved for issuance											400,000
Increase in number of shares reserved for issuance	50,000
Equity Incentive Plan2010 [Member] | Options
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Maximum annual option grants or other awards to the entity's non-employee directors (in shares)								40,000
Maximum one-time grant of an option or other awards to the entitiy's non employee directors (in shares) | $								$ 120,000
Maximum term of options granted								10 years
Minimum percentage of voting rights required for applicability of a specific expriation term								10.00%
Maximum expiration term of options granted								5 years
Vesting period of replacement options								4 years
Increase in number of shares reserved for issuance						150,000					200,000
Equity Incentive Plan2010 [Member] | Options | Minimum
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Term of Plan								6 years
Equity Incentive Plan2010 [Member] | Options | Maximum
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Term of Plan								10 years
Equity Incentive Plan2010 [Member] | RSU's
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Total intrinsic value of the restricted stock units outstanding | $								$ 400,000
Amended2000 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Shares authorized and unissued								0	0

Stock-Based Compensation - Valu

Stock-Based Compensation - Valuation Assumptions (Details) - Options	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Assumptions used in estimation of fair value of the share-based payment awards on the grant date
Risk-free interest rate, minimum (as a percent)	1.60%	1.00%	0.60%
Risk-free interest rate, maximum (as a percent)	1.80%	2.10%	1.70%
Volatility, minimum (as a percent)	70.20%	61.40%	55.70%
Volatility, maximum (as a percent)	101.50%	65.00%	59.30%
Expected life	4 years
Dividend yield (as a percent)	0.00%	0.00%	0.00%
Minimum
Assumptions used in estimation of fair value of the share-based payment awards on the grant date
Expected life		3 years	3 years
Maximum
Assumptions used in estimation of fair value of the share-based payment awards on the grant date
Expected life		5 years	5 years

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Option and RSU Activity (Details) - $ / shares	Jan. 01, 2017	Aug. 23, 2016	May 31, 2015	Jun. 30, 2014	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Shares Available for Grant
Balance at the beginning of the year (in shares)	114,000				114,000	106,000	176,000
Additional shares authorized					250,000	50,000	50,000
RSUs granted (in shares)					(407,000)	(144,000)
RSUs cancelled and returned to Plan (in shares)					59,000	7,000	2,000
Options granted (in shares)		(334,027)			(160,000)	(384,000)	(154,000)
Options cancelled and returned to Plan (in shares)					375,000	479,000	70,000
Options expired (in shares)							(38,000)
Balance at the end of the year (in shares)					231,000	114,000	106,000	176,000
Number of Shares
Balance at the beginning of the period (in shares)	522,000				522,000	675,000	599,000
Options granted (in shares)					160,000	384,000	154,000
Options cancelled and returned to Plan (in shares)					(375,000)	(479,000)	(70,000)
Options cancelled and expired (in shares)		(456,995)				(58,000)
Options exercised (in shares)							8,000
Options expired (in shares)							(38,000)
Balance at the end of the period (in shares)					307,000	522,000	675,000	599,000
Weighted Average Exercise Prices
Weighted-average exercise price (in dollars per share)		$ 7.20			$ 4.81	$ 13.88	$ 35.10	$ 38.70
Options granted (in dollars per share)					0.76	6.96	20.20
Options cancelled and returned to Plan (in dollars per share)					$ 15.69	35.64	35.20
Options exercised (in dollars per share)							16.40
Options expired (in dollars per share)						$ 44.80	$ 32
Equity Incentive Plan2010 [Member]
Shares Available for Grant
Additional shares authorized	50,000
Amended2000 Plan [Member]
Shares Available for Grant
Balance at the beginning of the year (in shares)	0				0
Balance at the end of the year (in shares)					0	0
RSU's | Equity Incentive Plan2010 [Member]
Shares Available for Grant
RSUs granted (in shares)					(407,000)	(144,000)
RSUs cancelled and returned to Plan (in shares)					59,000	8,000	2,000
Options | Equity Incentive Plan2010 [Member]
Shares Available for Grant
Additional shares authorized				150,000				200,000
Employee stock purchase plan
Shares Available for Grant
Additional shares authorized			200,000
Balance at the end of the year (in shares)					150,000

Stock-Based Compensation - Su42

Stock-Based Compensation - Summary of RSU Activity (Details) - $ / shares shares in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Number of Shares
Granted (in shares)	407	144
Cancelled (in shares)	(59)	(7)	(2)
Equity Incentive Plan2010 [Member] | RSU's
Number of Shares
Non-vested shares at the beginning of the year	148	24	39
Granted (in shares)	407	144
Vested (in shares)	(120)	(12)	(13)
Cancelled (in shares)	(59)	(8)	(2)
Non-vested shares at the end of the period	376	148	24
Weighted Average Grant-Date Fair Value
Weighted average grant date fair value	$ 1.58	$ 8.13	$ 47.17	$ 46.11
Vested (in dollars per share)	5.76	46.06	45.97
Granted (in dollars per share)	0.93	5.30
Cancelled (in dollars per share)	$ 5.04	$ 15.67	$ 46.20

Stock-Based Compensation - Rang

Stock-Based Compensation - Ranges of Outstanding and Exercisable Options (Details) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2017USD ($)$ / sharesshares
$20.50 - $43.59
Options Outstanding
Number Outstanding (in shares) | shares	20
Weighted Average Remaining Contractual Life	6 years 9 months 29 days
Weighted Average Exercise Price (in dollars per share)	$ 20.89
Options Exercisable
Number Exercisable (in shares) | shares	15
Weighted Average Exercise Price (in dollars per share)	$ 21.02
Options
Options Outstanding
Vested and expected to vest, Number Outstanding | shares	281
Vested and expected to vest, Weighted Average Remaining Contractual Life (in Years)	7 years 1 month 2 days
Vested and expected to vest, Weighted Average Exercise Price	$ 5.07
Exercisable, Number Outstanding | shares	73
Exercisable, Weighted Average Remaining Contractual Life	8 years 1 month 24 days
Exercisable, Weighted Average Exercise Price	$ 10.55
Aggregate Intrinsic Value [Abstract]
Vested and expected to vest, Aggregate Intrinsic Value | $	$ 50
Options | $0.75 - $2.35
Exercise price range
Lower range limit (in dollars per share)	$ 0.75
Upper range limit (in dollars per share)	$ 2.35
Options Outstanding
Number Outstanding (in shares) | shares	160
Weighted Average Remaining Contractual Life	5 years 9 months 18 days
Weighted Average Exercise Price (in dollars per share)	$ 0.75
Aggregate Intrinsic Value [Abstract]
Options Outstanding, Aggregate Intrinsic Value | $	$ 58
Options | $2.36 - $7.19
Exercise price range
Lower range limit (in dollars per share)	$ 2.36
Upper range limit (in dollars per share)	$ 7.19
Options Outstanding
Number Outstanding (in shares) | shares	11
Weighted Average Remaining Contractual Life	8 years 7 months 28 days
Weighted Average Exercise Price (in dollars per share)	$ 4.92
Options Exercisable
Number Exercisable (in shares) | shares	6
Weighted Average Exercise Price (in dollars per share)	$ 5.18
Options | $7.20 - $20.49
Exercise price range
Lower range limit (in dollars per share)	7.20
Upper range limit (in dollars per share)	$ 20.49
Options Outstanding
Number Outstanding (in shares) | shares	114
Weighted Average Remaining Contractual Life	8 years 7 months 21 days
Weighted Average Exercise Price (in dollars per share)	$ 7.20
Options Exercisable
Number Exercisable (in shares) | shares	51
Weighted Average Exercise Price (in dollars per share)	$ 7.20
Options | $20.50 - $43.59
Exercise price range
Lower range limit (in dollars per share)	20.50
Upper range limit (in dollars per share)	43.59
Options | $44.60 - $46.19
Exercise price range
Lower range limit (in dollars per share)	44.60
Upper range limit (in dollars per share)	$ 46.19
Options Outstanding
Number Outstanding (in shares) | shares	1
Weighted Average Remaining Contractual Life	2 years 9 months 4 days
Weighted Average Exercise Price (in dollars per share)	$ 44.60
Options Exercisable
Number Exercisable (in shares) | shares	1
Weighted Average Exercise Price (in dollars per share)	$ 44.60
Options | $46.20 - $46.20
Exercise price range
Lower range limit (in dollars per share)	46.20
Upper range limit (in dollars per share)	$ 46.20
Options Outstanding
Number Outstanding (in shares) | shares	1
Weighted Average Remaining Contractual Life	6 years 1 month 17 days
Weighted Average Exercise Price (in dollars per share)	$ 46.20
Options Exercisable
Weighted Average Exercise Price (in dollars per share)	46.20
Options | $0.75 - $46.20
Exercise price range
Lower range limit (in dollars per share)	0.75
Upper range limit (in dollars per share)	$ 46.20
Options Outstanding
Number Outstanding (in shares) | shares	307
Weighted Average Remaining Contractual Life	7 years 7 days
Weighted Average Exercise Price (in dollars per share)	$ 4.81
Options Exercisable
Number Exercisable (in shares) | shares	73
Weighted Average Exercise Price (in dollars per share)	$ 10.55
Aggregate Intrinsic Value [Abstract]
Options Outstanding, Aggregate Intrinsic Value | $	$ 58

Stockholders' Equity (Details)

Stockholders' Equity (Details)	Nov. 10, 2010item$ / sharesshares	Jul. 31, 2017USD ($)$ / sharesshares	Mar. 31, 2015USD ($)itemshares	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)	Dec. 31, 2015USD ($)
Stockholders' Equity
Shares of common stock issued		1,325,000	1,437,000
Net proceeds from issuance of common stock | $		$ 1,987,000	$ 21,400,000	$ 1,967,000	$ 364,000	$ 23,140,000
Number of executive officers | item			2
Shares purchased by executive officers			40,625
Sale of Stock, Price Per Share | $ / shares		$ 1.70
Shares of common stock available by warrant		0.5
Warrants available to purchase		662,500
Exercise price of warrants | $ / shares	$ 4.80	$ 2.35
Number of preferred share purchase rights declared as dividend for each outstanding share of common stock | item	1
Number of shares of Series AA Preferred Stock that a registered holder of right is entitled to purchase	0.001
Percentage of the company's common stock acquired by a third party upon which the rights become exercisable	15.00%
Minimum percentage of the company's common stock that must receive a tender offer from a third party upon which the rights become exercisable	15.00%

Retirement Savings Plan (Detail

Retirement Savings Plan (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Defined Contribution Pension and Other Postretirement Plans Disclosure [Abstract]
Minimum age for eligibility to participate in the Savings Plan	21 years
Maximum contribution by the participants (as a percent)	15.00%
Matching contribution by the Company	$ 0	$ 0	$ 0

Business Segments, Concentrat46

Business Segments, Concentration of Credit Risk and Significant Customers - Segments/Concentration (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2017USD ($)segmentitem	Dec. 31, 2016USD ($)	Dec. 31, 2015USD ($)
Business Segments
Number of business segments | segment	1
Number of measurements of profitability | item	1
Total net revenue	$ 8,842	$ 6,024	$ 4,390
North America
Business Segments
Total net revenue	6,531	3,816	2,222
Japan
Business Segments
Total net revenue	1,520	1,303	667
Taiwan
Business Segments
Total net revenue	613	804	1,396
Rest of world
Business Segments
Total net revenue	$ 178	$ 101	$ 105

Business Segments, Concentrat47

Business Segments, Concentration of Credit Risk and Significant Customers - Significant Customers (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2017USD ($)customer	Dec. 31, 2016USD ($)customer	Dec. 31, 2015
Significant Customers
Property and equipment, net	$ 827	$ 1,274
United States
Significant Customers
Property and equipment, net	$ 827	$ 1,274
Customer A
Significant Customers
Percentage of concentration risk	46.00%
Customer B
Significant Customers
Percentage of concentration risk	17.00%	21.00%	12.00%
Customer C
Significant Customers
Percentage of concentration risk	11.00%	47.00%	34.00%
Customer D
Significant Customers
Percentage of concentration risk		13.00%	31.00%
Net accounts receivable | Credit concentration | One customer
Significant Customers
Percentage of concentration risk	63.00%	72.00%
Number of customers | customer	1	1

Commitments and Contingencies48

Commitments and Contingencies (Details) - USD ($)	Oct. 03, 2017	Dec. 31, 2017	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Commitments and Contingencies
Termination fee		$ 270,000
Rent expense			$ 470,000	$ 783,000	$ 798,000
Future minimum lease payments, Operating leases
2,018		213,000	213,000
2,019		219,000	219,000
2,020		187,000	187,000
Total minimum payments		$ 619,000	$ 619,000
Cyren Inc - New Lessor
Commitments and Contingencies
Lease term	36 months
Monthly rent and common-area costs	$ 22,000
M West Propco - Old Lessor
Commitments and Contingencies
Monthly rent and common-area costs	89,000
Termination fee	$ 250,000

Restructuring (Details)

Restructuring (Details)	3 Months Ended				12 Months Ended
	Dec. 31, 2017USD ($)	Sep. 30, 2017USD ($)	Jun. 30, 2017	Mar. 31, 2016USD ($)position	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)
Total termination charges	$ 800,000				$ 800,000
Severance benefits and other one-time termination costs	660,000				660,000
Cash expenditures				$ 820,000
Reduction in workforce, as a percent			60.00%
Restructuring expense		$ 50,000			1,000,000
Termination fee	270,000
Restructuring charges
Balance at the beginning of the period					5,000
Restructuring charge					1,321,000	$ 676,000
Cash payments					(848,000)
Balance at the end of the period	478,000				478,000	5,000
Hyderabad India
Number of positions/employees terminated | position				18
United States
Number of positions/employees terminated | position				12
Workforce reduction
Restructuring charges
Restructuring charge					458,000
Cash payments					(458,000)
Facility related
Restructuring charges
Restructuring charge					269,000
Cash payments					(180,000)
Balance at the end of the period	89,000				89,000
Contractual obligations and other termination costs
Restructuring charges
Balance at the beginning of the period					5,000
Restructuring charge					594,000
Cash payments					(210,000)
Balance at the end of the period	$ 389,000				$ 389,000	$ 5,000

Convertible Notes (Details)

Convertible Notes (Details) - USD ($)	Feb. 18, 2018	Mar. 14, 2016	Aug. 31, 2017	Feb. 28, 2017	Aug. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Feb. 15, 2018	Mar. 31, 2016
Convertible Notes
Interest Expense						$ 927,000	$ 687,000
Senior Secured Convertible Notes due August 15 2018
Convertible Notes
Stated interest rate (as a percent)		10.00%				10.00%		8.00%	10.00%
Principal amount		$ 8,000,000							$ 8,000,000
Conversion price (in dollars per share)	$ 4.25					$ 8.50
Redemption purchase price (as a percent)	100.00%					120.00%
Minimum ownership percentage triggering event for redemption of notes		40.00%
Maximum amount of indebtedness subordinated by security interest and cash payment rights under debt instruments	$ 5,000,000	$ 5,000,000
Senior Secured Convertible Notes due August 15 2018 | Minimum
Convertible Notes
Percentage of beneficial ownership if effective upon conversion date of debt instrument		9.90%
Senior Secured Convertible Notes due August 15 2018 | Maximum
Convertible Notes
Period for outstanding balance of accounts receivable has not recorded an allowance for doubtful accounts (in days)		90 days
Senior Secured Convertible Notes due August 15 2018 | Contractual obligations and other termination costs
Convertible Notes
Debt issuance costs						$ 100,000
Interest Expense						45,000	$ 37,000
Remaining unamortized debt discount						$ 30,000
Interest Note
Convertible Notes
Conversion price (in dollars per share)						$ 8.50
Number of shares issuable if notes converted to shares of common stock						1,081,166
Semi-annual interest payments			$ 434,000	$ 420,000	$ 336,000

Convertible Notes (Future Repay

Convertible Notes (Future Repayments on Convertbile Notes Payable) (Details) $ in Thousands	Dec. 31, 2017USD ($)
Convertible Notes
2,019	$ 9,189
Long-term Debt, Total	$ 9,189

Related Party Transactions (Det

Related Party Transactions (Details)	3 Months Ended
	Dec. 31, 2017USD ($)
Related Party Transactions
Payments to related party for construction work	$ 195,000

Subsequent Events (Details)

Subsequent Events (Details)	Feb. 28, 2018USD ($)
Subsequent Event | Interest Note 4
Subsequent Event
Principal amount	$ 463,000