Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended |
Mar. 31, 2015 | |
Document and Entity Information | |
Entity Registrant Name | RAMBUS INC |
Entity Central Index Key | 917273 |
Current Fiscal Year End Date | -19 |
Entity Filer Category | Large Accelerated Filer |
Document Type | 10-Q |
Document Period End Date | 31-Mar-15 |
Document Fiscal Year Focus | 2015 |
Document Fiscal Period Focus | Q1 |
Amendment Flag | FALSE |
Entity Current Reporting Status | Yes |
Entity Common Stock, Shares Outstanding | 115,473,870 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $171,567 | $154,126 |
Marketable securities | 146,194 | 145,983 |
Accounts receivable | 6,541 | 6,001 |
Prepaids and other current assets | 10,141 | 8,541 |
Deferred taxes | 1,123 | 187 |
Total current assets | 335,566 | 314,838 |
Intangible assets, net | 83,049 | 89,371 |
Goodwill | 116,899 | 116,899 |
Property, plant and equipment, net | 61,577 | 64,023 |
Deferred taxes, long-term | 447 | 536 |
Other assets | 2,333 | 2,612 |
Total assets | 599,871 | 588,279 |
Current liabilities: | ||
Accounts payable | 5,697 | 6,962 |
Accrued salaries and benefits | 10,477 | 14,840 |
Deferred Revenue, Current | 5,405 | 4,133 |
Other current liabilities | 6,450 | 8,723 |
Total current liabilities | 28,029 | 34,658 |
Convertible notes, long-term | 116,508 | 115,089 |
Long-term imputed financing obligation | 38,974 | 39,063 |
Long-term income taxes payable | 2,790 | 2,769 |
Other long-term liabilities | 7,628 | 5,078 |
Total liabilities | 193,929 | 196,657 |
Commitments and contingencies (Notes 9 and 13) | ||
Stockholders’ equity: | ||
Convertible preferred stock, $.001 par value: Authorized: 5,000,000 shares Issued and outstanding: no shares at March 31, 2015 and December 31, 2014 | 0 | 0 |
Common stock, $.001 par value: Authorized: 500,000,000 shares Issued and outstanding: 115,473,870 shares at March 31, 2015 and 115,161,675 shares at December 31, 2014 | 115 | 115 |
Additional paid-in capital | 1,158,200 | 1,153,435 |
Accumulated deficit | -752,024 | -761,526 |
Accumulated other comprehensive loss | -349 | -402 |
Total stockholders’ equity | 405,942 | 391,622 |
Total liabilities and stockholders’ equity | $599,871 | $588,279 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Stockholders’ equity: | ||
Convertible preferred stock, par value (in dollars per share) | $0.00 | $0.00 |
Convertible preferred stock, Authorized shares | 5,000,000 | 5,000,000 |
Convertible preferred stock, Issued shares | 0 | 0 |
Convertible preferred stock, Outstanding shares | 0 | 0 |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, Authorized shares | 500,000,000 | 500,000,000 |
Common stock, Issued shares | 115,473,870 | 115,161,675 |
Common stock, Outstanding shares | 115,473,870 | 115,161,675 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Revenue: | ||||
Royalties | $66,963 | $73,637 | ||
Contract and other revenue | 5,951 | 4,651 | ||
Total revenue | 72,914 | 78,288 | ||
Operating costs and expenses: | ||||
Cost of revenue | 10,756 | [1] | 10,022 | [1] |
Research and development | 28,534 | [1] | 26,898 | [1] |
Sales, general and administrative | 18,502 | [1] | 18,820 | [1] |
Gain from sale of intellectual property | -2,260 | -170 | ||
Restructuring charges | 0 | 39 | ||
Gain from settlement | -510 | -510 | ||
Total operating costs and expenses | 55,022 | 55,099 | ||
Operating income (loss) | 17,892 | 23,189 | ||
Interest income and other income (expense), net | 132 | 13 | ||
Interest expense | -3,083 | -9,926 | ||
Interest and other income (expense), net | -2,951 | -9,913 | ||
Income before income taxes | 14,941 | 13,276 | ||
Provision for income taxes | 5,439 | 5,472 | ||
Net Income (Loss) | $9,502 | $7,804 | ||
Net income per share: | ||||
Earnings Per Share, Basic | $0.08 | $0.07 | ||
Earnings Per Share, Diluted | $0.08 | $0.07 | ||
Weighted average shares used in per share calculation: | ||||
Basic (in shares) | 115,336 | 113,590 | ||
Diluted (in shares) | 117,442 | 116,629 | ||
[1] | Includes stock-based compensation |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cost of revenue | ||
Stock-based compensation | $12 | $7 |
Research and development | ||
Stock-based compensation | 1,767 | 1,311 |
Sales, general and administrative | ||
Stock-based compensation | $1,987 | $1,581 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statement of Comprehensive Income [Abstract] | ||
Net Income (Loss) | $9,502 | $7,804 |
Other comprehensive income (loss): | ||
Unrealized gain (loss) on marketable securities, net of tax | 53 | 8 |
Total comprehensive income | $9,555 | $7,812 |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash flows from operating activities: | ||
Net Income (Loss) | $9,502 | $7,804 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Stock-based compensation | 3,766 | 2,899 |
Depreciation | 3,227 | 3,481 |
Amortization of intangible assets | 6,322 | 6,797 |
Non-cash interest expense and amortization of convertible debt issuance costs | 1,559 | 6,242 |
Deferred income taxes | 644 | 5,967 |
Gain from sale of intellectual property | -2,267 | -170 |
Change in operating assets and liabilities: | ||
Accounts receivable | -540 | -5,565 |
Prepaid expenses and other assets | -1,436 | -183 |
Accounts payable | -965 | 749 |
Accrued salaries and benefits and other liabilities | -5,959 | -6,623 |
Income taxes payable | -86 | -4,828 |
Deferred revenue | 1,272 | -59 |
Net cash provided by operating activities | 15,039 | 16,511 |
Cash flows from investing activities: | ||
Purchases of property, plant and equipment | -1,095 | -3,145 |
Purchases of marketable securities | -46,779 | -34,050 |
Maturities of marketable securities | 40,070 | 26,050 |
Proceeds from sale of marketable securities | 6,600 | 0 |
Proceeds from sale of intellectual property | 2,280 | 1,250 |
Net cash provided by (used in) investing activities | 1,076 | -9,895 |
Cash flows from financing activities: | ||
Proceeds received from issuance of common stock under employee stock plans | 1,424 | 1,352 |
Principal payments against lease financing obligation | -98 | -60 |
Payments under installment payment arrangement | 0 | -28 |
Net cash provided by financing activities | 1,326 | 1,264 |
Net increase in cash and cash equivalents | 17,441 | 7,880 |
Cash and cash equivalents at beginning of period | 154,126 | 338,696 |
Cash and cash equivalents at end of period | 171,567 | 346,576 |
Non-cash investing activities during the period: | ||
Property, plant and equipment received and accrued in accounts payable and other liabilities | $248 | $280 |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation |
The accompanying unaudited condensed consolidated financial statements include the accounts of Rambus Inc. (“Rambus” or the “Company”) and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in the accompanying unaudited condensed consolidated financial statements. Investments in entities with less than 20% ownership or in which the Company does not have the ability to significantly influence the operations of the investee are being accounted for using the cost method and are included in other assets. | |
In the opinion of management, the unaudited condensed consolidated financial statements include all adjustments (consisting only of normal recurring items) necessary to state fairly the financial position and results of operations for each interim period presented. Interim results are not necessarily indicative of results for a full year. | |
The unaudited condensed consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) applicable to interim financial information. Certain information and Note disclosures included in the financial statements prepared in accordance with generally accepted accounting principles have been omitted in these interim statements pursuant to such SEC rules and regulations. The information included in this Form 10-Q should be read in conjunction with the consolidated financial statements and notes thereto in Form 10-K for the year ended December 31, 2014. | |
Operating Segment Definitions | |
Operating segments are based upon Rambus' internal organization structure, the manner in which its operations are managed, the criteria used by its Chief Operating Decision Maker ("CODM") to evaluate segment performance and availability of separate financial information regularly reviewed for resource allocation and performance assessment. | |
The Company determined its CODM to be the Chief Executive Officer and determined its operating segments to be: (1) Memory and Interface Division ("MID"), which focuses on the design, development and licensing of technology that is related to memory and interfaces; (2) Cryptography Research Division ("CRD"), which focuses on the design, development and licensing of technologies for chip and system security and anti-counterfeiting; (3) Emerging Solutions Division ("ESD"), which includes the computational sensing and imaging group along with the development efforts in the area of emerging technologies; and (4) Lighting and Display Technologies ("LDT"), which focuses on the design, development and licensing of technologies for lighting. | |
For the three months ended March 31, 2015 only MID and CRD were reportable segments as each of them met the quantitative thresholds for disclosure as a reportable segment. The results of the remaining other operating segment were shown under “Other.” | |
Reclassifications | |
Certain prior periods' amounts were reclassified to conform to the current year’s presentation. None of these reclassifications had an impact on reported net income for any of the periods presented. |
Recent_Accounting_Pronouncemen
Recent Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2015 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements |
In April 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2015-03, "Simplifying the Presentation of Debt Issuance Costs", which requires debt issuance costs related to a recognized debt liability to be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. This ASU requires retrospective adoption and is effective for financial statements issued for fiscal years beginning after December 15, 2015 and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact that this guidance will have on its financial statements. | |
In August 2014, the FASB issued ASU No. 2014-15, "Disclosures of Uncertainties About an Entity's Ability to Continue as a Going Concern." The new standard provides guidance around management's responsibility to evaluate whether there is substantial doubt about an entity's ability to continue as a going concern and to provide related footnote disclosures. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. Early adoption is permitted. The Company does not expect that this guidance will have a material impact on its financial position, results of operations or cash flows. | |
In June 2014, the FASB issued ASU No. 2014-12, "Compensation - Stock Compensation (Topic 718)," which makes amendments to the codification topic 718, "Accounting for Share-Based Payments," when the terms of an award provide that a performance target could be achieved after the requisite service period. The new accounting standards update becomes effective for the Company on January 1, 2016. The Company is currently evaluating the impact that this guidance will have on its financial position, results of operations or cash flows. | |
In May 2014, the FASB and International Accounting Standards Board issued their converged accounting standards update on revenue recognition. The core principle of the new guidance is for companies to recognize revenue to depict the transfer of goods or services to customers in amounts that reflect the consideration (that is, payment) to which the company expects to be entitled in exchange for those goods or services. The new guidance also will result in enhanced disclosures about revenue, provide guidance for transactions that were not previously addressed comprehensively (for example, service revenue and contract modifications) and improve guidance for multiple-element arrangements. The new accounting standards update becomes effective for the Company on January 1, 2017. The Company is currently evaluating the impact that this guidance will have on its financial condition and results of operations. |
Earnings_Loss_Per_Share
Earnings (Loss) Per Share | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Earnings (Loss) Per Share | Earnings (Loss) Per Share | |||||||
Basic earnings (loss) per share is calculated by dividing the net income (loss) by the weighted average number of common shares outstanding during the period. Diluted earnings per share is calculated by dividing the earnings by the weighted average number of common shares and potentially dilutive securities outstanding during the period. Potentially dilutive common shares consist of incremental common shares issuable upon exercise of stock options, employee stock purchases, restricted stock and restricted stock units and shares issuable upon the conversion of convertible notes. The dilutive effect of outstanding shares is reflected in diluted earnings per share by application of the treasury stock method. This method includes consideration of the amounts to be paid by the employees, the amount of excess tax benefits that would be recognized in equity if the instrument was exercised and the amount of unrecognized stock-based compensation related to future services. No potential dilutive common shares are included in the computation of any diluted per share amount when a net loss is reported. | ||||||||
The following table sets forth the computation of basic and diluted net income per share: | ||||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Net income per share: | (In thousands, except per share amounts) | |||||||
Numerator: | ||||||||
Net income | $ | 9,502 | $ | 7,804 | ||||
Denominator: | ||||||||
Weighted-average shares outstanding - basic | 115,336 | 113,590 | ||||||
Effect of potential dilutive common shares | 2,106 | 3,039 | ||||||
Weighted-average shares outstanding - diluted | 117,442 | 116,629 | ||||||
Basic net income per share | $ | 0.08 | $ | 0.07 | ||||
Diluted net income per share | $ | 0.08 | $ | 0.07 | ||||
For the three months ended March 31, 2015 and 2014, options to purchase approximately 3.8 million and 6.9 million shares, respectively, were excluded from the calculation because they were anti-dilutive after considering proceeds from exercise, taxes and related unrecognized stock-based compensation expense. |
Intangible_Asset_and_Goodwill
Intangible Asset and Goodwill | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||
Intangible Asset and Goodwill | Intangible Assets and Goodwill | ||||||||||||||||
Goodwill | |||||||||||||||||
The following tables present goodwill information for each of the reportable segments for the three months ended March 31, 2015: | |||||||||||||||||
Reportable Segment: | As of December 31, 2014 | Additions to Goodwill | Impairment Charge of Goodwill | As of March 31, 2015 | |||||||||||||
(In thousands) | |||||||||||||||||
MID | $ | 19,905 | $ | — | $ | — | $ | 19,905 | |||||||||
CRD | 96,994 | — | — | 96,994 | |||||||||||||
Total | $ | 116,899 | $ | — | $ | — | $ | 116,899 | |||||||||
As of | |||||||||||||||||
March 31, 2015 | |||||||||||||||||
Reportable Segment: | Gross Carrying Amount | Accumulated Impairment Losses | Net Carrying Amount | ||||||||||||||
(In thousands) | |||||||||||||||||
MID | $ | 19,905 | $ | — | $ | 19,905 | |||||||||||
CRD | 96,994 | — | 96,994 | ||||||||||||||
Other | 21,770 | (21,770 | ) | — | |||||||||||||
Total | $ | 138,669 | $ | (21,770 | ) | $ | 116,899 | ||||||||||
Intangible Assets | |||||||||||||||||
The components of the Company’s intangible assets as of March 31, 2015 and December 31, 2014 were as follows: | |||||||||||||||||
As of March 31, 2015 | |||||||||||||||||
Useful Life | Gross Carrying | Accumulated | Net Carrying | ||||||||||||||
Amount | Amortization | Amount | |||||||||||||||
(In thousands) | |||||||||||||||||
Existing technology | 3 to 10 years | $ | 185,321 | $ | (110,130 | ) | $ | 75,191 | |||||||||
Customer contracts and contractual relationships | 1 to 10 years | 31,093 | (23,235 | ) | 7,858 | ||||||||||||
Non-compete agreements | 3 years | 300 | (300 | ) | — | ||||||||||||
Total intangible assets | $ | 216,714 | $ | (133,665 | ) | $ | 83,049 | ||||||||||
As of December 31, 2014 | |||||||||||||||||
Useful Life | Gross Carrying | Accumulated | Net Carrying | ||||||||||||||
Amount | Amortization | Amount | |||||||||||||||
(In thousands) | |||||||||||||||||
Existing technology | 3 to 10 years | $ | 185,321 | $ | (104,426 | ) | $ | 80,895 | |||||||||
Customer contracts and contractual relationships | 1 to 10 years | 31,093 | (22,617 | ) | 8,476 | ||||||||||||
Non-compete agreements | 3 years | 300 | (300 | ) | — | ||||||||||||
Total intangible assets | $ | 216,714 | $ | (127,343 | ) | $ | 89,371 | ||||||||||
During the three months ended March 31, 2015, the Company did not purchase any intangible assets. | |||||||||||||||||
The favorable contracts (included in customer contracts and contractual relationships) are acquired patent licensing agreements where the Company has no performance obligations. Cash received from these acquired favorable contracts reduces the favorable contract intangible asset. For the three months ended March 31, 2015 and 2014, the Company received zero and $0.9 million related to the favorable contracts, respectively. As of March 31, 2015 and December 31, 2014, the net balance of the favorable contract intangible assets was $0.1 million and $0.1 million, respectively. | |||||||||||||||||
Amortization expense for intangible assets for the three months ended March 31, 2015 and 2014 was $6.3 million and $6.8 million, respectively. The estimated future amortization expense of intangible assets as of March 31, 2015 was as follows (amounts in thousands): | |||||||||||||||||
Years Ending December 31: | Amount | ||||||||||||||||
2015 (remaining 9 months) | $ | 18,776 | |||||||||||||||
2016 | 24,318 | ||||||||||||||||
2017 | 23,709 | ||||||||||||||||
2018 | 10,827 | ||||||||||||||||
2019 | 1,789 | ||||||||||||||||
Thereafter | 3,630 | ||||||||||||||||
$ | 83,049 | ||||||||||||||||
It is reasonably possible that the businesses could perform significantly below the Company's expectations or a deterioration of market and economic conditions could occur. This would adversely impact the Company's ability to meet its projected results, which could cause the goodwill in any of its reporting units or long-lived assets in any of its asset groups to become impaired. Significant differences between these estimates and actual cash flows could materially affect the Company's future financial results. If the reporting units are not successful in commercializing new business arrangements, if the businesses are unsuccessful in signing new license agreements or renewing their existing license agreements, or if the Company is unsuccessful in managing its costs, the revenue and income for these reporting units could adversely and materially deviate from their historical trends and could cause goodwill or long-lived assets to become impaired. If the Company determines that its goodwill or long-lived assets are impaired, it would be required to record a non-cash charge that could have a material adverse effect on its results of operations and financial position. |
Segments_and_Major_Customers
Segments and Major Customers | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||
Segments and Major Customers | Segments and Major Customers | |||||||||||||||
For the three months ended March 31, 2015, MID and CRD were reportable segments as each of them met the quantitative thresholds for disclosure as a reportable segment. The results of the remaining operating segments were shown under “Other.” Additionally, some employees moved departments in the fourth quarter of 2014 causing a change in the prior period reportable segment financial results. The presentation of the 2014 segment data has been updated accordingly to conform with the updated segment presentation. | ||||||||||||||||
The Company evaluates the performance of its segments based on segment operating income (loss), which is defined as revenue minus segment operating expenses. Segment operating expenses are comprised of direct operating expenses. | ||||||||||||||||
Segment operating expenses do not include sales, general and administrative expenses and the allocation of certain expenses managed at the corporate level, such as stock-based compensation, amortization, and certain bonus and acquisition costs. The “Reconciling Items” category includes these unallocated sales, general and administrative expenses as well as corporate level expenses. | ||||||||||||||||
The tables below present reported segment operating income (loss) for the three months ended March 31, 2015 and 2014, respectively. | ||||||||||||||||
For the Three Months Ended March 31, 2015 | ||||||||||||||||
MID | CRD | Other | Total | |||||||||||||
(In thousands) | ||||||||||||||||
Revenues | $ | 54,733 | $ | 12,826 | $ | 5,355 | $ | 72,914 | ||||||||
Segment operating expenses | 11,520 | 7,339 | 7,259 | 26,118 | ||||||||||||
Segment operating income (loss) | $ | 43,213 | $ | 5,487 | $ | (1,904 | ) | $ | 46,796 | |||||||
Reconciling items | (28,904 | ) | ||||||||||||||
Operating income | $ | 17,892 | ||||||||||||||
Interest and other income (expense), net | (2,951 | ) | ||||||||||||||
Income before income taxes | $ | 14,941 | ||||||||||||||
For the Three Months Ended March 31, 2014 | ||||||||||||||||
MID | CRD | Other | Total | |||||||||||||
(In thousands) | ||||||||||||||||
Revenues | $ | 61,156 | $ | 12,903 | $ | 4,229 | $ | 78,288 | ||||||||
Segment operating expenses | 9,281 | 6,531 | 8,653 | 24,465 | ||||||||||||
Segment operating income (loss) | $ | 51,875 | $ | 6,372 | $ | (4,424 | ) | $ | 53,823 | |||||||
Reconciling items | (30,634 | ) | ||||||||||||||
Operating income | $ | 23,189 | ||||||||||||||
Interest and other income (expense), net | (9,913 | ) | ||||||||||||||
Income before income taxes | $ | 13,276 | ||||||||||||||
The Company’s CODM does not review information regarding assets on an operating segment basis. Additionally, the Company does not record intersegment revenue or expense. | ||||||||||||||||
Accounts receivable from the Company's major customers representing 10% or more of total accounts receivable at March 31, 2015 and December 31, 2014, respectively, was as follows: | ||||||||||||||||
As of | ||||||||||||||||
Customer | March 31, 2015 | December 31, 2014 | ||||||||||||||
Customer 1 (MID reportable segment) | —% | 33% | ||||||||||||||
Customer 2 (Other segment) | 67% | 50% | ||||||||||||||
Revenue from the Company’s major customers representing 10% or more of total revenue for the three months ended March 31, 2015 and 2014, respectively, was as follows: | ||||||||||||||||
Three Months Ended | ||||||||||||||||
March 31, | ||||||||||||||||
Customer | 2015 | 2014 | ||||||||||||||
Customer A (MID and CRD reportable segments) | 21 | % | 19 | % | ||||||||||||
Customer B (MID reportable segment) | 16 | % | 15 | % | ||||||||||||
Customer C (MID reportable segment) | 13 | % | 12 | % | ||||||||||||
Revenue from customers in the geographic regions based on the location of contracting parties was as follows: | ||||||||||||||||
Three Months Ended | ||||||||||||||||
March 31, | ||||||||||||||||
(In thousands) | 2015 | 2014 | ||||||||||||||
South Korea | $ | 26,821 | $ | 26,853 | ||||||||||||
USA | 27,707 | 28,674 | ||||||||||||||
Japan | 8,491 | 9,255 | ||||||||||||||
Europe | 5,175 | 8,563 | ||||||||||||||
Canada | 196 | 1,824 | ||||||||||||||
Asia-Other | 4,524 | 3,119 | ||||||||||||||
Total | $ | 72,914 | $ | 78,288 | ||||||||||||
Marketable_Securities
Marketable Securities | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Available-for-sale Securities [Abstract] | ||||||||||||||||||||
Marketable Securities | Marketable Securities | |||||||||||||||||||
Rambus invests its excess cash and cash equivalents primarily in U.S. government sponsored obligations, commercial paper, corporate notes and bonds, money market funds and municipal notes and bonds that mature within three years. As of March 31, 2015 and December 31, 2014, all of the Company’s cash equivalents and marketable securities had a remaining maturity of less than one year. | ||||||||||||||||||||
All cash equivalents and marketable securities are classified as available-for-sale. Total cash, cash equivalents and marketable securities are summarized as follows: | ||||||||||||||||||||
As of March 31, 2015 | ||||||||||||||||||||
(In thousands) | Fair Value | Amortized | Gross | Gross | Weighted | |||||||||||||||
Cost | Unrealized | Unrealized | Rate of | |||||||||||||||||
Gains | Losses | Return | ||||||||||||||||||
Money market funds | $ | 151,054 | $ | 151,054 | $ | — | $ | — | 0.01 | % | ||||||||||
Corporate notes, bonds and commercial paper | 146,194 | 146,254 | 8 | (68 | ) | 0.34 | % | |||||||||||||
Total cash equivalents and marketable securities | 297,248 | 297,308 | 8 | (68 | ) | |||||||||||||||
Cash | 20,513 | 20,513 | — | — | ||||||||||||||||
Total cash, cash equivalents and marketable securities | $ | 317,761 | $ | 317,821 | $ | 8 | $ | (68 | ) | |||||||||||
As of December 31, 2014 | ||||||||||||||||||||
(In thousands) | Fair Value | Amortized | Gross | Gross | Weighted | |||||||||||||||
Cost | Unrealized | Unrealized | Rate of | |||||||||||||||||
Gains | Losses | Return | ||||||||||||||||||
Money market funds | $ | 124,938 | $ | 124,938 | $ | — | $ | — | 0.01 | % | ||||||||||
Corporate notes, bonds and commercial paper | 145,983 | 146,096 | 1 | (114 | ) | 0.25 | % | |||||||||||||
Total cash equivalents and marketable securities | 270,921 | 271,034 | 1 | (114 | ) | |||||||||||||||
Cash | 29,188 | 29,188 | — | — | ||||||||||||||||
Total cash, cash equivalents and marketable securities | $ | 300,109 | $ | 300,222 | $ | 1 | $ | (114 | ) | |||||||||||
Available-for-sale securities are reported at fair value on the balance sheets and classified as follows: | ||||||||||||||||||||
As of | ||||||||||||||||||||
March 31, | December 31, | |||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Cash equivalents | $ | 151,054 | $ | 124,938 | ||||||||||||||||
Short term marketable securities | 146,194 | 145,983 | ||||||||||||||||||
Total cash equivalents and marketable securities | 297,248 | 270,921 | ||||||||||||||||||
Cash | 20,513 | 29,188 | ||||||||||||||||||
Total cash, cash equivalents and marketable securities | $ | 317,761 | $ | 300,109 | ||||||||||||||||
The Company continues to invest in highly rated quality, highly liquid debt securities. As of March 31, 2015, these securities have a remaining maturity of less than one year. The Company holds all of its marketable securities as available-for-sale, marks them to market, and regularly reviews its portfolio to ensure adherence to its investment policy and to monitor individual investments for risk analysis, proper valuation, and unrealized losses that may be other than temporary. | ||||||||||||||||||||
The estimated fair value of cash equivalents and marketable securities classified by the length of time that the securities have been in a continuous unrealized loss position at March 31, 2015 and December 31, 2014 are as follows: | ||||||||||||||||||||
Fair Value | Gross Unrealized Loss | |||||||||||||||||||
March 31, | December 31, | March 31, | December 31, | |||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||
(In thousands) | ||||||||||||||||||||
Less than one year | ||||||||||||||||||||
Corporate notes, bonds and commercial paper | $ | 110,382 | $ | 139,989 | $ | (68 | ) | $ | (114 | ) | ||||||||||
The gross unrealized loss at March 31, 2015 and December 31, 2014 was not material in relation to the Company’s total available-for-sale portfolio. The gross unrealized loss can be primarily attributed to a combination of market conditions as well as the demand for and duration of the corporate notes and bonds. There is no requirement to sell and the Company believes that it can recover the amortized cost of these investments. The Company has found no evidence of impairment due to credit losses in its portfolio. Therefore, these unrealized losses were recorded in other comprehensive income (loss). However, the Company cannot provide any assurance that its portfolio of cash, cash equivalents and marketable securities will not be impacted by adverse conditions in the financial markets, which may require the Company in the future to record an impairment charge for credit losses which could adversely impact its financial results. | ||||||||||||||||||||
See Note 7, “Fair Value of Financial Instruments,” for discussion regarding the fair value of the Company’s cash equivalents and marketable securities. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||
Fair Value of Financial Instruments | Fair Value of Financial Instruments | ||||||||||||||||||||||||
The Company reviews the pricing inputs by obtaining prices from a different source for the same security on a sample of its portfolio. The Company has not adjusted the pricing inputs it has obtained. The following table presents the financial instruments that are carried at fair value and summarizes the valuation of its cash equivalents and marketable securities by the above pricing levels as of March 31, 2015 and December 31, 2014: | |||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Total | Quoted | Significant | Significant | ||||||||||||||||||||||
Market | Other | Unobservable | |||||||||||||||||||||||
Prices in | Observable | Inputs | |||||||||||||||||||||||
Active | Inputs | (Level 3) | |||||||||||||||||||||||
Markets | (Level 2) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Money market funds | $ | 151,054 | $ | 151,054 | $ | — | $ | — | |||||||||||||||||
Corporate notes, bonds and commercial paper | 146,194 | — | 146,194 | — | |||||||||||||||||||||
Total available-for-sale securities | $ | 297,248 | $ | 151,054 | $ | 146,194 | $ | — | |||||||||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Total | Quoted | Significant | Significant | ||||||||||||||||||||||
Market | Other | Unobservable | |||||||||||||||||||||||
Prices in | Observable | Inputs | |||||||||||||||||||||||
Active | Inputs | (Level 3) | |||||||||||||||||||||||
Markets | (Level 2) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Money market funds | $ | 124,938 | $ | 124,938 | $ | — | $ | — | |||||||||||||||||
Corporate notes, bonds and commercial paper | 145,983 | — | 145,983 | — | |||||||||||||||||||||
Total available-for-sale securities | $ | 270,921 | $ | 124,938 | $ | 145,983 | $ | — | |||||||||||||||||
The Company monitors its investments for other-than-temporary impairment and records appropriate reductions in carrying value when necessary. The Company monitors its investments for other-than-temporary losses by considering current factors, including the economic environment, market conditions, operational performance and other specific factors relating to the business underlying the investment, reductions in carrying values when necessary and the Company’s ability and intent to hold the investment for a period of time which may be sufficient for anticipated recovery in the market. Any other-than-temporary loss is reported under “Interest and other income (expense), net” in the condensed consolidated statement of operations. | |||||||||||||||||||||||||
For the three months ended March 31, 2015 and 2014, there were no transfers of financial instruments between different categories of fair value. | |||||||||||||||||||||||||
The following table presents the financial instruments that are not carried at fair value but require fair value disclosure as of March 31, 2015 and December 31, 2014: | |||||||||||||||||||||||||
As of March 31, 2015 | As of December 31, 2014 | ||||||||||||||||||||||||
(In thousands) | Face | Carrying | Fair Value | Face | Carrying | Fair Value | |||||||||||||||||||
Value | Value | Value | Value | ||||||||||||||||||||||
1.125% Convertible Senior Notes due 2018 (the "2018 Notes") | $ | 138,000 | $ | 116,508 | $ | 168,034 | $ | 138,000 | $ | 115,089 | $ | 159,293 | |||||||||||||
The fair value of the convertible notes at each balance sheet date is determined based on recent quoted market prices for these notes which is a level 2 measurement. As discussed in Note 8, "Convertible Notes," as of March 31, 2015, the 2018 Notes are carried at their face value of $138.0 million, less any unamortized debt discount. The carrying value of other financial instruments, including accounts receivable, accounts payable and other liabilities, approximates fair value due to their short maturities. |
Convertible_Notes
Convertible Notes | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Convertible Notes | Convertible Notes | ||||||||
The Company’s convertible notes are shown in the following table: | |||||||||
(In thousands) | As of March 31, 2015 | As of December 31, 2014 | |||||||
1.125% Convertible Senior Notes due 2018 | $ | 138,000 | $ | 138,000 | |||||
Unamortized discount | (21,492 | ) | (22,911 | ) | |||||
Total convertible notes | $ | 116,508 | $ | 115,089 | |||||
Less current portion | — | — | |||||||
Total long-term convertible notes | $ | 116,508 | $ | 115,089 | |||||
Interest expense related to the notes for the three months ended March 31, 2015 and 2014 was as follows: | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
(In thousands) | |||||||||
2014 Notes coupon interest at a rate of 5% | $ | — | $ | 2,156 | |||||
2014 Notes amortization of discount and debt issuance costs at an additional effective interest rate of 11.7% | — | 4,769 | |||||||
2018 Notes coupon interest at a rate of 1.125% | 403 | 388 | |||||||
2018 Notes amortization of discount and debt issuance costs at an additional effective interest rate of 5.5% | 1,559 | 1,473 | |||||||
Total interest expense on convertible notes | $ | 1,962 | $ | 8,786 | |||||
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended | |||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||||||||||
Commitments and Contingencies | Commitments and Contingencies | |||||||||||||||||||||||||||
As of March 31, 2015, the Company’s material contractual obligations were as follows (in thousands): | ||||||||||||||||||||||||||||
Total | Remainder of 2015 | 2016 | 2017 | 2018 | 2019 | Thereafter | ||||||||||||||||||||||
Contractual obligations (1) | ||||||||||||||||||||||||||||
Imputed financing obligation (2) | $ | 32,901 | $ | 4,525 | $ | 6,156 | $ | 6,302 | $ | 6,447 | $ | 6,602 | $ | 2,869 | ||||||||||||||
Leases and other contractual obligations | 7,521 | 3,809 | 2,034 | 1,338 | 340 | — | — | |||||||||||||||||||||
Software licenses (3) | 7,968 | 6,220 | 1,748 | — | — | — | — | |||||||||||||||||||||
Convertible notes | 138,000 | — | — | — | 138,000 | — | — | |||||||||||||||||||||
Interest payments related to convertible notes | 5,434 | 776 | 1,553 | 1,553 | 1,552 | — | — | |||||||||||||||||||||
Total | $ | 191,824 | $ | 15,330 | $ | 11,491 | $ | 9,193 | $ | 146,339 | $ | 6,602 | $ | 2,869 | ||||||||||||||
_________________________________________ | ||||||||||||||||||||||||||||
-1 | The above table does not reflect possible payments in connection with uncertain tax benefits of approximately $21.4 million including $18.4 million recorded as a reduction of long-term deferred tax assets and $3.0 million in long-term income taxes payable as of March 31, 2015. As noted below in Note 12, “Income Taxes,” although it is possible that some of the unrecognized tax benefits could be settled within the next 12 months, the Company cannot reasonably estimate the outcome at this time. | |||||||||||||||||||||||||||
-2 | With respect to the imputed financing obligation, the main components of the difference between the amount reflected in the contractual obligations table and the amount reflected on the condensed consolidated balance sheets are the interest on the imputed financing obligation and the estimated common area expenses over the future periods. The amount includes the amended Ohio lease and the amended Sunnyvale lease. | |||||||||||||||||||||||||||
-3 | The Company has commitments with various software vendors for non-cancellable agreements generally having terms longer than one year. | |||||||||||||||||||||||||||
Building lease expense was approximately $0.7 million and $0.6 million for the three months ended March 31, 2015 and 2014, respectively. Deferred rent of $1.0 million and $1.1 million as of March 31, 2015 and December 31, 2014, respectively, was included primarily in other long-term liabilities. | ||||||||||||||||||||||||||||
Indemnification | ||||||||||||||||||||||||||||
The Company enters into standard license agreements in the ordinary course of business. Although the Company does not indemnify most of its customers, there are times when an indemnification is a necessary means of doing business. Indemnification covers customers for losses suffered or incurred by them as a result of any patent, copyright, or other intellectual property infringement or any other claim by any third party arising as result of the applicable agreement with the Company. The Company generally attempts to limit the maximum amount of indemnification that the Company could be required to make under these agreements to the amount of fees received by the Company. |
Equity_Incentive_Plans_and_Sto
Equity Incentive Plans and Stock-Based Compensation | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||
Equity Incentive Plans and Stock-Based Compensation | Equity Incentive Plans and Stock-Based Compensation | ||||||||||||
As of March 31, 2015, 8,161,965 shares of the 31,400,000 shares approved under the 2006 Equity Incentive Plan (the “2006 Plan”) remain available for grant which included an increase of 10,000,000 shares approved by stockholders on April 24, 2014. The 2006 Plan was the Company’s only plan for providing stock-based incentive awards to eligible employees, executive officers, non-employee directors and consultants as of March 31, 2015. However, the 1997 Stock Option Plan (the “1997 Plan”) continues to govern awards previously granted under that plan. Additionally, on April 23, 2015, the Company's stockholders approved the 2015 Equity Incentive Plan (the “2015 Plan”), which authorizes 4,000,000 shares for future issuance plus the number of shares that remain available for grant under the 2006 Plan as of the effective date of the 2015 Plan. The 2015 Plan became effective and replaced the 2006 Plan on April 23, 2015. No further awards will be made under the 2006 Plan, but the 2006 Plan will continue to govern awards previously granted under it. In addition, any shares subject to stock options or other awards granted under the 2006 Plan that on or after the effective date of the 2015 Plan are forfeited, cancelled, exchanged or surrendered or terminate under the 2006 Plan will become available for grant under the 2015 Plan. | |||||||||||||
A summary of shares available for grant under the Company’s plans is as follows: | |||||||||||||
Shares Available | |||||||||||||
for Grant | |||||||||||||
Shares available as of December 31, 2014 | 10,724,228 | ||||||||||||
Stock options granted | (362,335 | ) | |||||||||||
Stock options forfeited | 518,778 | ||||||||||||
Stock options expired under former plans | (285,000 | ) | |||||||||||
Nonvested equity stock and stock units granted (1) (2) | (2,520,747 | ) | |||||||||||
Nonvested equity stock and stock units forfeited (1) | 87,041 | ||||||||||||
Total available for grant as of March 31, 2015 | 8,161,965 | ||||||||||||
_________________________________________ | |||||||||||||
-1 | For purposes of determining the number of shares available for grant under the 2006 Plan against the maximum number of shares authorized, each share of restricted stock granted reduces the number of shares available for grant by 1.5 shares and each share of restricted stock forfeited increases shares available for grant by 1.5 shares. | ||||||||||||
-2 | Amount includes 238,980 shares that have been reserved for potential future issuance related to certain performance unit awards discussed under the section titled "Nonvested Equity Stock and Stock Units" below. | ||||||||||||
General Stock Option Information | |||||||||||||
The following table summarizes stock option activity under the 1997 Plan and 2006 Plan for the three months ended March 31, 2015 and information regarding stock options outstanding, exercisable, and vested and expected to vest as of March 31, 2015. | |||||||||||||
Options Outstanding | |||||||||||||
Number of | Weighted | Weighted | Aggregate | ||||||||||
Shares | Average | Average | Intrinsic | ||||||||||
Exercise Price | Remaining | Value | |||||||||||
Per Share | Contractual | ||||||||||||
Term (years) | |||||||||||||
(In thousands, except per share amounts) | |||||||||||||
Outstanding as of December 31, 2014 | 11,441,646 | $ | 10.73 | ||||||||||
Options granted | 362,335 | $ | 11.27 | ||||||||||
Options exercised | (217,241 | ) | $ | 6.9 | |||||||||
Options forfeited | (518,778 | ) | $ | 16.37 | |||||||||
Outstanding as of March 31, 2015 | 11,067,962 | $ | 10.55 | 5.95 | $ | 45,831 | |||||||
Vested or expected to vest at March 31, 2015 | 10,524,492 | $ | 10.64 | 5.81 | $ | 43,741 | |||||||
Options exercisable at March 31, 2015 | 6,207,537 | $ | 12.84 | 4.3 | $ | 21,336 | |||||||
No stock options that contain a market condition were granted during the three months ended March 31, 2015. As of both March 31, 2015 and December 31, 2014, there were 1,315,000 stock options outstanding that require the Company to achieve minimum market conditions in order for the options to become exercisable. The fair values of the options granted with a market condition were calculated, on their respective grant dates, using a binomial valuation model, which estimates the potential outcome of reaching the market condition based on simulated future stock prices. | |||||||||||||
The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value for in-the-money options at March 31, 2015, based on the $12.58 closing stock price of Rambus’ common stock on March 31, 2015 on the NASDAQ Global Select Market, which would have been received by the option holders had all option holders exercised their options as of that date. The total number of in-the-money options outstanding and exercisable as of March 31, 2015 was 8,384,579 and 3,673,017, respectively. | |||||||||||||
Employee Stock Purchase Plan | |||||||||||||
No purchases were made under the 2006 Employee Stock Purchase Plan (“2006 ESPP”) during the three months ended March 31, 2015 and 2014, respectively. As of March 31, 2015, 923,044 shares under the 2006 ESPP remain available for issuance. On April 23, 2015, the Company's stockholders approved the 2015 Employee Stock Purchase Plan (“2015 ESPP”) which reserves an additional 2,000,000 shares of the Company's common stock for purchase. The 2006 ESPP will remain in effect until the Company’s next offering period scheduled to begin on November 2, 2015 at which time the 2015 ESPP will become effective. | |||||||||||||
Stock-Based Compensation | |||||||||||||
For the three months ended March 31, 2015 and 2014, the Company maintained stock plans covering a broad range of potential equity grants including stock options, nonvested equity stock and equity stock units and performance based instruments. In addition, the Company sponsors the 2006 ESPP and 2015 ESPP, whereby eligible employees are entitled to purchase common stock semi-annually, by means of limited payroll deductions, at a 15% discount from the fair market value of the common stock as of specific dates. | |||||||||||||
Stock Options | |||||||||||||
During the three months ended March 31, 2015, the Company granted 362,335 stock options with an estimated total grant-date fair value of $1.7 million. During the three months ended March 31, 2015, the Company recorded stock-based compensation expense related to stock options of $2.2 million. | |||||||||||||
During the three months ended March 31, 2014, the Company granted 1,797,462 stock options with an estimated total grant-date fair value of $7.0 million. During the three months ended March 31, 2014, the Company recorded stock-based compensation expense related to stock options of $2.2 million. | |||||||||||||
As of March 31, 2015, there was $12.1 million of total unrecognized compensation cost, net of expected forfeitures, related to non-vested stock-based compensation arrangements granted under the stock option plans. That cost is expected to be recognized over a weighted-average period of 1.9 years. The total fair value of shares vested as of March 31, 2015 was $51.8 million. | |||||||||||||
The total intrinsic value of options exercised was $1.0 million for the three months ended March 31, 2015. The total intrinsic value of options exercised was $0.6 million for the three months ended March 31, 2014. Intrinsic value is the total value of exercised shares based on the price of the Company’s common stock at the time of exercise less the cash received from the employees to exercise the options. | |||||||||||||
During the three months ended March 31, 2015, net proceeds from employee stock option exercises totaled approximately $1.5 million. | |||||||||||||
Employee Stock Purchase Plan | |||||||||||||
For the three months ended March 31, 2015, the Company recorded compensation expense related to the 2006 ESPP of $0.4 million. For the three months ended March 31, 2014, the Company recorded an immaterial amount of compensation expense related to the 2006 ESPP. As of March 31, 2015, there was $0.3 million of total unrecognized compensation cost related to stock-based compensation arrangements granted under the 2006 ESPP. That cost is expected to be recognized over one month. | |||||||||||||
There were no tax benefits realized as a result of employee stock option exercises, stock purchase plan purchases, and vesting of equity stock and stock units for the three months ended March 31, 2015 and 2014 calculated in accordance with accounting for share-based payments. | |||||||||||||
Valuation Assumptions | |||||||||||||
The fair value of stock awards is estimated as of the grant date using the Black-Scholes-Merton (“BSM”) option-pricing model assuming a dividend yield of 0% and the additional weighted-average assumptions as listed in the table below. | |||||||||||||
The following table presents the weighted-average assumptions used to estimate the fair value of stock options granted that contain only service conditions in the periods presented. | |||||||||||||
Stock Option Plans | |||||||||||||
Three Months Ended | |||||||||||||
March 31, | |||||||||||||
2015 | 2014 | ||||||||||||
Stock Option Plans | |||||||||||||
Expected stock price volatility | 41 | % | 44 | % | |||||||||
Risk free interest rate | 1.2 | % | 2.1 | % | |||||||||
Expected term (in years) | 6 | 6.1 | |||||||||||
Weighted-average fair value of stock options granted to employees | $ | 4.59 | $ | 3.92 | |||||||||
No shares were issued under the 2006 ESPP during the three months ended March 31, 2015 and 2014. | |||||||||||||
Nonvested Equity Stock and Stock Units | |||||||||||||
The Company grants nonvested equity stock units to officers, employees and directors. During the three months ended March 31, 2015, the Company granted nonvested equity stock units totaling 1,521,178 shares under the 2006 Plan. During the three months ended March 31, 2014, the Company granted nonvested equity stock units totaling 205,808 shares under the 2006 Plan. These awards have a service condition, generally a service period of four years, except in the case of grants to directors, for which the service period is one year. For the three months ended March 31, 2015, the nonvested equity stock units were valued at the date of grant giving them a fair value of approximately $17.1 million. For the three months ended March 31, 2014, the nonvested equity stock units were valued at the date of grant giving them a fair value of approximately $1.8 million. During the first quarter of 2015, the Company granted performance unit awards to certain Company executive officers with vesting subject to the achievement of certain performance conditions. The ultimate number of performance units that can be earned can range from 0% to 150% of target depending on performance relative to target over the applicable period. The shares earned will vest on the third anniversary of the date of grant. The Company's shares available for grant has been reduced to reflect the shares that could be earned at 150% of target. During the three months ended March 31, 2015, the Company recorded $0.2 million of stock-based compensation expense related to these performance unit awards. | |||||||||||||
For the three months ended March 31, 2015, the Company recorded stock-based compensation expense of approximately $1.2 million related to all outstanding nonvested equity stock grants. For the three months ended March 31, 2014, the Company recorded stock-based compensation expense of approximately $0.7 million related to all outstanding nonvested equity stock grants. Unrecognized stock-based compensation related to all nonvested equity stock grants, net of estimated forfeitures, was approximately $14.6 million at March 31, 2015. This amount is expected to be recognized over a weighted average period of 3.3 years. | |||||||||||||
The following table reflects the activity related to nonvested equity stock and stock units for the three months ended March 31, 2015: | |||||||||||||
Nonvested Equity Stock and Stock Units | Shares | Weighted- | |||||||||||
Average | |||||||||||||
Grant-Date | |||||||||||||
Fair Value | |||||||||||||
Nonvested at December 31, 2014 | 673,864 | $ | 9.23 | ||||||||||
Granted | 1,521,178 | $ | 11.27 | ||||||||||
Vested | (138,810 | ) | $ | 8.55 | |||||||||
Forfeited | (58,027 | ) | $ | 10.35 | |||||||||
Nonvested at March 31, 2015 | 1,998,205 | $ | 10.8 | ||||||||||
Stockholders_Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2015 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Stockholders’ Equity |
Share Repurchase Program | |
During the three months ended March 31, 2015, the Company did not repurchase any shares of its common stock under its share repurchase program. | |
On January 21, 2015, the Company's Board approved a new share repurchase program authorizing the repurchase of up to an aggregate of 20.0 million shares. Share repurchases under the plan may be made through the open market, established plans or privately negotiated transactions in accordance with all applicable securities laws, rules, and regulations. There is no expiration date applicable to the plan. This new stock repurchase program replaced the previous program approved by the Board in February 2010 and canceled the remaining shares outstanding as part of the previous authorization. No repurchases have been made under the new plan. | |
The Company records stock repurchases as a reduction to stockholders’ equity. The Company records a portion of the purchase price of the repurchased shares as an increase to accumulated deficit when the price of the shares repurchased exceeds the average original proceeds per share received from the issuance of common stock. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes |
The Company recorded a provision for income taxes of $5.4 million and $5.5 million for the three months ended March 31, 2015 and 2014, respectively. The provision for income taxes for the three months ended March 31, 2015 and 2014 is primarily comprised of withholding taxes, state taxes and other foreign taxes based upon income earned during the period. | |
During the three months ended March 31, 2015, the Company paid withholding taxes of $4.8 million. During the three months ended March 31, 2014, the Company paid withholding taxes of $5.1 million. | |
As of March 31, 2015, the Company’s condensed consolidated balance sheets included net deferred tax assets, before valuation allowance, of approximately $189.1 million, which consists of net operating loss carryovers, tax credit carryovers, amortization, employee stock-based compensation expenses and certain liabilities, partially reduced by deferred tax liabilities associated with the convertible notes. As of March 31, 2015, a full valuation allowance has been recorded against the U.S. deferred tax assets. | |
Management periodically evaluates the realizability of the Company's net deferred tax assets based on all available evidence, both positive and negative. The realization of net deferred tax assets is dependent on the Company's ability to generate sufficient future taxable income during periods prior to the expiration of tax attributes to fully utilize these assets. The Company weighed both positive and negative evidence and determined that there is a continued need for a full valuation allowance on its deferred tax assets in the United States as of March 31, 2015. The Company emerged from a cumulative loss position over the previous three years during the first quarter of 2015. However, given economic uncertainties and the uncertainty of commercializing new business arrangements and new product acceptances, the Company currently believes there is not sufficient positive evidence of future profitability to change its judgment regarding the need for a full valuation allowance on its deferred tax assets in the United States. The continued improvement in the Company's operating results, conditioned on successfully commercializing new business arrangements, signing new or renewing existing license agreements and managing costs would provide additional positive evidence in determining the need for the valuation allowance and could lead to reversal of substantially all of the Company's valuation allowance on its deferred tax assets in the United States. Until such time, consumption of tax attributes to offset profits will reduce the overall level of deferred tax assets subject to valuation allowance. Should the Company determine that it would be able to realize its remaining deferred tax assets in the foreseeable future, an adjustment to its remaining deferred tax assets would cause a material increase to income in the period such determination is made. | |
The Company maintains liabilities for uncertain tax positions within its long-term income taxes payable accounts and as a reduction to existing deferred tax assets to the extent tax attributes are available to offset such liabilities. These liabilities involve judgment and estimation and are monitored by management based on the best information available including changes in tax regulations, the outcome of relevant court cases and other information. | |
As of March 31, 2015, the Company had approximately $21.4 million of unrecognized tax benefits, including $18.4 million recorded as a reduction of long-term deferred tax assets and $3.0 million in long-term income taxes payable. If recognized, approximately $3.0 million would be recorded as an income tax benefit. No benefit would be recorded for the remaining unrecognized tax benefits as the recognition would require a corresponding increase in the valuation allowance. As of December 31, 2014, the Company had $19.9 million of unrecognized tax benefits, including $17.8 million recorded as a reduction of long-term deferred tax assets and $2.1 million recorded in long-term income taxes payable. | |
Although it is possible that some of the unrecognized tax benefits could be settled within the next 12 months, the Company cannot reasonably estimate the outcome at this time. | |
The Company recognizes interest and penalties related to uncertain tax positions as a component of the income tax provision. At March 31, 2015 and December 31, 2014, an immaterial amount of interest and penalties is included in long-term income taxes payable. | |
Rambus files income tax returns for the U.S., California, India and various other state and foreign jurisdictions. The U.S. federal returns are subject to examination from 2012 and forward. The California returns are subject to examination from 2009 and forward. In addition, any research and development credit carryforward or net operating loss carryforward generated in prior years and utilized in these or future years may also be subject to examination. The India returns are subject to examination from fiscal year ended March 2006 and forward. The Company is currently under examination by California for the 2010 and 2011 tax years. The Company’s India subsidiary is under examination by the Indian tax administration for years 2008 through 2010. These examinations may result in proposed adjustments to the income taxes as filed during these periods. Management regularly assesses the likelihood of outcomes resulting from income tax examinations to determine the adequacy of their provision for income taxes and believes their provision for unrecognized tax benefits is adequate. | |
Additionally, the Company's future effective tax rates could be adversely affected by earnings being higher than anticipated in countries where the Company has higher statutory rates or lower than anticipated in countries where it has lower statutory rates, by changes in valuation of its deferred tax assets and liabilities or by changes in tax laws or interpretations of those laws. |
Litigation_and_Asserted_Claims
Litigation and Asserted Claims | 3 Months Ended |
Mar. 31, 2015 | |
LitigationAndAssertedClaimsDisclosureAbstract | |
Litigation and Asserted Claims | Litigation and Asserted Claims |
Rambus is not currently a party to any material pending legal proceeding; however, from time to time, Rambus may become involved in legal proceedings or be subject to claims arising in the ordinary course of its business. Although the results of litigation and claims cannot be predicted with certainty, the Company currently believes that the final outcome of these ordinary course matters will not have a material adverse effect on our business, operating results, financial position or cash flows. Regardless of the outcome, litigation can have an adverse impact on the Company because of defense and settlement costs, diversion of management resources and other factors. | |
The Company records a contingent liability when it is probable that a loss has been incurred and the amount is reasonably estimable in accordance with accounting for contingencies. |
Agreements_with_SK_hynix_and_M
Agreements with SK hynix and Micron | 3 Months Ended | |||||||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||||||
Patent License Agreement [Abstract] | ||||||||||||||||||||||||||||||||
Agreement with SK hynix and Micron | Agreements with SK hynix and Micron | |||||||||||||||||||||||||||||||
SK hynix | ||||||||||||||||||||||||||||||||
On June 11, 2013, Rambus, SK hynix and certain related entities of SK hynix entered into a settlement agreement, pursuant to which the parties have agreed to release all claims against each other with respect to all outstanding litigation between them. Pursuant to the settlement agreement, Rambus and SK hynix entered into a semiconductor patent license agreement on June 11, 2013, under which SK hynix licenses from Rambus non-exclusive rights to certain Rambus patents and has agreed to pay Rambus cash amounts over the next five years. Under the license agreement, Rambus has granted to SK hynix (i) a paid-up perpetual patent license for certain identified SK hynix DRAM products and (ii) a five-year term patent license to all other DRAM and other semiconductor products. | ||||||||||||||||||||||||||||||||
The agreements with SK hynix are considered a multiple element arrangement for accounting purposes. For a multiple element arrangement under the applicable accounting rules, the Company is required to identify specific elements of the arrangement and then determine when those elements should be recognized. The Company identified three elements in the arrangement: antitrust litigation settlement, settlement of past infringement, and license agreement. The Company considered several factors in determining the accounting fair value of the elements of the SK hynix agreements which included a third party valuation using an income approach (collectively the “SK hynix Fair Value”). The inputs and assumptions used in this accounting valuation were from a market participant perspective and included projected customer revenue, royalty rates, estimated discount rates, useful lives and income tax rates, among others. The development of a number of these inputs and assumptions in the model requires a significant amount of management judgment and discretion, and is based upon a number of factors, including the selection of industry comparables, market growth rates and other relevant factors. Changes in any number of these assumptions may have a substantial impact on the SK hynix Fair Value as assigned to each element. These inputs and assumptions represent management’s best estimates at the time of the transaction. | ||||||||||||||||||||||||||||||||
During the first quarter of 2015, the Company received cash consideration of $12.0 million from SK hynix. The amount was allocated between royalty revenue ($11.8 million) and gain from settlement ($0.2 million) based on the elements’ SK hynix Fair Value. | ||||||||||||||||||||||||||||||||
The remaining $156.0 million is expected to be paid in successive quarterly payments of $12.0 million, concluding in the second quarter of 2018. | ||||||||||||||||||||||||||||||||
The cumulative cash receipts through March 31, 2015 and the remaining future cash receipts from the agreements with SK hynix are expected to be recognized as follows assuming no adjustments to the payments under the terms of the agreements: | ||||||||||||||||||||||||||||||||
Cumulative Received | Estimated to Be Received in | Total Estimated | ||||||||||||||||||||||||||||||
to-date as of March 31, | Cash Receipts | |||||||||||||||||||||||||||||||
2015 | Remainder | 2016 | 2017 | 2018 | ||||||||||||||||||||||||||||
of 2015 | ||||||||||||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||||||||||
Royalty revenue | $ | 82.7 | $ | 35.5 | $ | 47.9 | $ | 48 | $ | 24 | $ | 238.1 | ||||||||||||||||||||
Gain from settlement | 1.3 | 0.5 | 0.1 | — | — | 1.9 | ||||||||||||||||||||||||||
Total | $ | 84 | $ | 36 | $ | 48 | $ | 48 | $ | 24 | $ | 240 | ||||||||||||||||||||
Micron | ||||||||||||||||||||||||||||||||
On December 9, 2013, Rambus, Micron and certain related entities of Micron entered into a settlement agreement, pursuant to which the parties have agreed that they will release all claims against each other with respect to all outstanding litigation between them and certain other potential claims. Pursuant to the settlement agreement, Rambus and Micron entered into a semiconductor patent license agreement on December 9, 2013. Under the license agreement, Rambus has granted to Micron and its subsidiaries and certain affiliated entities (i) a paid-up perpetual patent license for certain identified Micron DRAM products and (ii) a seven-year term patent license to other memory and semiconductor products. | ||||||||||||||||||||||||||||||||
The agreements with Micron are considered a multiple element arrangement for accounting purposes. For a multiple element arrangement under the applicable accounting rules, the Company is required to identify specific elements of the arrangement and then determine when those elements should be recognized. The Company identified three elements in the arrangement: antitrust litigation settlement, settlement of past infringement, and license agreement. The Company considered several factors in determining the accounting fair value of the elements of the Micron agreements which included a third party valuation using an income approach (collectively the “Micron Fair Value”). The inputs and assumptions used in this accounting valuation were from a market participant perspective and included projected customer revenue, royalty rates, estimated discount rates, useful lives and income tax rates, among others. The development of a number of these inputs and assumptions in the model requires a significant amount of management judgment and discretion, and is based upon a number of factors, including the selection of industry comparables, market growth rates and other relevant factors. Changes in any number of these assumptions may have a substantial impact on the Micron Fair Value as assigned to each element. These inputs and assumptions represent management’s best estimates at the time of the transaction. | ||||||||||||||||||||||||||||||||
During the first quarter of 2015, the Company received cash consideration of $10.0 million from Micron. The amount was allocated between royalty revenue ($9.7 million) and gain from settlement ($0.3 million) based on the elements’ Micron Fair Value. | ||||||||||||||||||||||||||||||||
The remaining $224.5 million is expected to be paid in successive quarterly payments of $10.0 million, concluding in the fourth quarter of 2020. | ||||||||||||||||||||||||||||||||
The cumulative cash receipts through March 31, 2015 and the remaining future cash receipts from the agreements with Micron are expected to be recognized as follows assuming no adjustments to the payments under the terms of the agreements: | ||||||||||||||||||||||||||||||||
Cumulative Received | Estimated to Be Received in | Total Estimated | ||||||||||||||||||||||||||||||
to-date as of March 31, | Cash Receipts | |||||||||||||||||||||||||||||||
2015 | Remainder of 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | ||||||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||||||||||
Royalty revenue | $ | 53.7 | $ | 29 | $ | 39.5 | $ | 40 | $ | 40 | $ | 40 | $ | 34.5 | $ | 276.7 | ||||||||||||||||
Gain from settlement | 1.8 | 1 | 0.5 | — | — | — | — | 3.3 | ||||||||||||||||||||||||
Total | $ | 55.5 | $ | 30 | $ | 40 | $ | 40 | $ | 40 | $ | 40 | $ | 34.5 | $ | 280 | ||||||||||||||||
Earnings_Loss_Per_Share_Tables
Earnings (Loss) Per Share (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Computation of basic and diluted loss per share | The following table sets forth the computation of basic and diluted net income per share: | |||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Net income per share: | (In thousands, except per share amounts) | |||||||
Numerator: | ||||||||
Net income | $ | 9,502 | $ | 7,804 | ||||
Denominator: | ||||||||
Weighted-average shares outstanding - basic | 115,336 | 113,590 | ||||||
Effect of potential dilutive common shares | 2,106 | 3,039 | ||||||
Weighted-average shares outstanding - diluted | 117,442 | 116,629 | ||||||
Basic net income per share | $ | 0.08 | $ | 0.07 | ||||
Diluted net income per share | $ | 0.08 | $ | 0.07 | ||||
Intangible_Asset_and_Goodwill_
Intangible Asset and Goodwill (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||
Schedule of changes in carrying amount of goodwill by reporting unit | The following tables present goodwill information for each of the reportable segments for the three months ended March 31, 2015: | ||||||||||||||||
Reportable Segment: | As of December 31, 2014 | Additions to Goodwill | Impairment Charge of Goodwill | As of March 31, 2015 | |||||||||||||
(In thousands) | |||||||||||||||||
MID | $ | 19,905 | $ | — | $ | — | $ | 19,905 | |||||||||
CRD | 96,994 | — | — | 96,994 | |||||||||||||
Total | $ | 116,899 | $ | — | $ | — | $ | 116,899 | |||||||||
As of | |||||||||||||||||
March 31, 2015 | |||||||||||||||||
Reportable Segment: | Gross Carrying Amount | Accumulated Impairment Losses | Net Carrying Amount | ||||||||||||||
(In thousands) | |||||||||||||||||
MID | $ | 19,905 | $ | — | $ | 19,905 | |||||||||||
CRD | 96,994 | — | 96,994 | ||||||||||||||
Other | 21,770 | (21,770 | ) | — | |||||||||||||
Total | $ | 138,669 | $ | (21,770 | ) | $ | 116,899 | ||||||||||
Components of intangible assets | The components of the Company’s intangible assets as of March 31, 2015 and December 31, 2014 were as follows: | ||||||||||||||||
As of March 31, 2015 | |||||||||||||||||
Useful Life | Gross Carrying | Accumulated | Net Carrying | ||||||||||||||
Amount | Amortization | Amount | |||||||||||||||
(In thousands) | |||||||||||||||||
Existing technology | 3 to 10 years | $ | 185,321 | $ | (110,130 | ) | $ | 75,191 | |||||||||
Customer contracts and contractual relationships | 1 to 10 years | 31,093 | (23,235 | ) | 7,858 | ||||||||||||
Non-compete agreements | 3 years | 300 | (300 | ) | — | ||||||||||||
Total intangible assets | $ | 216,714 | $ | (133,665 | ) | $ | 83,049 | ||||||||||
As of December 31, 2014 | |||||||||||||||||
Useful Life | Gross Carrying | Accumulated | Net Carrying | ||||||||||||||
Amount | Amortization | Amount | |||||||||||||||
(In thousands) | |||||||||||||||||
Existing technology | 3 to 10 years | $ | 185,321 | $ | (104,426 | ) | $ | 80,895 | |||||||||
Customer contracts and contractual relationships | 1 to 10 years | 31,093 | (22,617 | ) | 8,476 | ||||||||||||
Non-compete agreements | 3 years | 300 | (300 | ) | — | ||||||||||||
Total intangible assets | $ | 216,714 | $ | (127,343 | ) | $ | 89,371 | ||||||||||
Estimated future amortization expense of intangible assets | The estimated future amortization expense of intangible assets as of March 31, 2015 was as follows (amounts in thousands): | ||||||||||||||||
Years Ending December 31: | Amount | ||||||||||||||||
2015 (remaining 9 months) | $ | 18,776 | |||||||||||||||
2016 | 24,318 | ||||||||||||||||
2017 | 23,709 | ||||||||||||||||
2018 | 10,827 | ||||||||||||||||
2019 | 1,789 | ||||||||||||||||
Thereafter | 3,630 | ||||||||||||||||
$ | 83,049 | ||||||||||||||||
Segments_and_Major_Customers_T
Segments and Major Customers (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Concentration Risk [Line Items] | ||||||||||||||||
Reported segment revenues, and reported segment direct operating income (loss) | The tables below present reported segment operating income (loss) for the three months ended March 31, 2015 and 2014, respectively. | |||||||||||||||
For the Three Months Ended March 31, 2015 | ||||||||||||||||
MID | CRD | Other | Total | |||||||||||||
(In thousands) | ||||||||||||||||
Revenues | $ | 54,733 | $ | 12,826 | $ | 5,355 | $ | 72,914 | ||||||||
Segment operating expenses | 11,520 | 7,339 | 7,259 | 26,118 | ||||||||||||
Segment operating income (loss) | $ | 43,213 | $ | 5,487 | $ | (1,904 | ) | $ | 46,796 | |||||||
Reconciling items | (28,904 | ) | ||||||||||||||
Operating income | $ | 17,892 | ||||||||||||||
Interest and other income (expense), net | (2,951 | ) | ||||||||||||||
Income before income taxes | $ | 14,941 | ||||||||||||||
For the Three Months Ended March 31, 2014 | ||||||||||||||||
MID | CRD | Other | Total | |||||||||||||
(In thousands) | ||||||||||||||||
Revenues | $ | 61,156 | $ | 12,903 | $ | 4,229 | $ | 78,288 | ||||||||
Segment operating expenses | 9,281 | 6,531 | 8,653 | 24,465 | ||||||||||||
Segment operating income (loss) | $ | 51,875 | $ | 6,372 | $ | (4,424 | ) | $ | 53,823 | |||||||
Reconciling items | (30,634 | ) | ||||||||||||||
Operating income | $ | 23,189 | ||||||||||||||
Interest and other income (expense), net | (9,913 | ) | ||||||||||||||
Income before income taxes | $ | 13,276 | ||||||||||||||
Revenue from external customer by geographic regions | Revenue from customers in the geographic regions based on the location of contracting parties was as follows: | |||||||||||||||
Three Months Ended | ||||||||||||||||
March 31, | ||||||||||||||||
(In thousands) | 2015 | 2014 | ||||||||||||||
South Korea | $ | 26,821 | $ | 26,853 | ||||||||||||
USA | 27,707 | 28,674 | ||||||||||||||
Japan | 8,491 | 9,255 | ||||||||||||||
Europe | 5,175 | 8,563 | ||||||||||||||
Canada | 196 | 1,824 | ||||||||||||||
Asia-Other | 4,524 | 3,119 | ||||||||||||||
Total | $ | 72,914 | $ | 78,288 | ||||||||||||
Accounts Receivable [Member] | ||||||||||||||||
Concentration Risk [Line Items] | ||||||||||||||||
Schedule of customer accounts representing 10% or more than 10% of total revenue | Accounts receivable from the Company's major customers representing 10% or more of total accounts receivable at March 31, 2015 and December 31, 2014, respectively, was as follows: | |||||||||||||||
As of | ||||||||||||||||
Customer | March 31, 2015 | December 31, 2014 | ||||||||||||||
Customer 1 (MID reportable segment) | —% | 33% | ||||||||||||||
Customer 2 (Other segment) | 67% | 50% | ||||||||||||||
Sales, net | ||||||||||||||||
Concentration Risk [Line Items] | ||||||||||||||||
Schedule of customer accounts representing 10% or more than 10% of total revenue | Revenue from the Company’s major customers representing 10% or more of total revenue for the three months ended March 31, 2015 and 2014, respectively, was as follows: | |||||||||||||||
Three Months Ended | ||||||||||||||||
March 31, | ||||||||||||||||
Customer | 2015 | 2014 | ||||||||||||||
Customer A (MID and CRD reportable segments) | 21 | % | 19 | % | ||||||||||||
Customer B (MID reportable segment) | 16 | % | 15 | % | ||||||||||||
Customer C (MID reportable segment) | 13 | % | 12 | % |
Marketable_Securities_Tables
Marketable Securities (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Available-for-sale Securities [Abstract] | ||||||||||||||||||||
Cash equivalents and marketable securities classified as available-for-sale | All cash equivalents and marketable securities are classified as available-for-sale. Total cash, cash equivalents and marketable securities are summarized as follows: | |||||||||||||||||||
As of March 31, 2015 | ||||||||||||||||||||
(In thousands) | Fair Value | Amortized | Gross | Gross | Weighted | |||||||||||||||
Cost | Unrealized | Unrealized | Rate of | |||||||||||||||||
Gains | Losses | Return | ||||||||||||||||||
Money market funds | $ | 151,054 | $ | 151,054 | $ | — | $ | — | 0.01 | % | ||||||||||
Corporate notes, bonds and commercial paper | 146,194 | 146,254 | 8 | (68 | ) | 0.34 | % | |||||||||||||
Total cash equivalents and marketable securities | 297,248 | 297,308 | 8 | (68 | ) | |||||||||||||||
Cash | 20,513 | 20,513 | — | — | ||||||||||||||||
Total cash, cash equivalents and marketable securities | $ | 317,761 | $ | 317,821 | $ | 8 | $ | (68 | ) | |||||||||||
As of December 31, 2014 | ||||||||||||||||||||
(In thousands) | Fair Value | Amortized | Gross | Gross | Weighted | |||||||||||||||
Cost | Unrealized | Unrealized | Rate of | |||||||||||||||||
Gains | Losses | Return | ||||||||||||||||||
Money market funds | $ | 124,938 | $ | 124,938 | $ | — | $ | — | 0.01 | % | ||||||||||
Corporate notes, bonds and commercial paper | 145,983 | 146,096 | 1 | (114 | ) | 0.25 | % | |||||||||||||
Total cash equivalents and marketable securities | 270,921 | 271,034 | 1 | (114 | ) | |||||||||||||||
Cash | 29,188 | 29,188 | — | — | ||||||||||||||||
Total cash, cash equivalents and marketable securities | $ | 300,109 | $ | 300,222 | $ | 1 | $ | (114 | ) | |||||||||||
Available-for-sale securities reported at fair value | Available-for-sale securities are reported at fair value on the balance sheets and classified as follows: | |||||||||||||||||||
As of | ||||||||||||||||||||
March 31, | December 31, | |||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Cash equivalents | $ | 151,054 | $ | 124,938 | ||||||||||||||||
Short term marketable securities | 146,194 | 145,983 | ||||||||||||||||||
Total cash equivalents and marketable securities | 297,248 | 270,921 | ||||||||||||||||||
Cash | 20,513 | 29,188 | ||||||||||||||||||
Total cash, cash equivalents and marketable securities | $ | 317,761 | $ | 300,109 | ||||||||||||||||
Estimated fair value of cash equivalents and marketable securities classified by the length of time that the securities have been in a continuous unrealized loss position | The estimated fair value of cash equivalents and marketable securities classified by the length of time that the securities have been in a continuous unrealized loss position at March 31, 2015 and December 31, 2014 are as follows: | |||||||||||||||||||
Fair Value | Gross Unrealized Loss | |||||||||||||||||||
March 31, | December 31, | March 31, | December 31, | |||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||
(In thousands) | ||||||||||||||||||||
Less than one year | ||||||||||||||||||||
Corporate notes, bonds and commercial paper | $ | 110,382 | $ | 139,989 | $ | (68 | ) | $ | (114 | ) | ||||||||||
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||
Summary of the valuation of cash equivalents and marketable securities by pricing levels | The following table presents the financial instruments that are carried at fair value and summarizes the valuation of its cash equivalents and marketable securities by the above pricing levels as of March 31, 2015 and December 31, 2014: | ||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Total | Quoted | Significant | Significant | ||||||||||||||||||||||
Market | Other | Unobservable | |||||||||||||||||||||||
Prices in | Observable | Inputs | |||||||||||||||||||||||
Active | Inputs | (Level 3) | |||||||||||||||||||||||
Markets | (Level 2) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Money market funds | $ | 151,054 | $ | 151,054 | $ | — | $ | — | |||||||||||||||||
Corporate notes, bonds and commercial paper | 146,194 | — | 146,194 | — | |||||||||||||||||||||
Total available-for-sale securities | $ | 297,248 | $ | 151,054 | $ | 146,194 | $ | — | |||||||||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Total | Quoted | Significant | Significant | ||||||||||||||||||||||
Market | Other | Unobservable | |||||||||||||||||||||||
Prices in | Observable | Inputs | |||||||||||||||||||||||
Active | Inputs | (Level 3) | |||||||||||||||||||||||
Markets | (Level 2) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||
Money market funds | $ | 124,938 | $ | 124,938 | $ | — | $ | — | |||||||||||||||||
Corporate notes, bonds and commercial paper | 145,983 | — | 145,983 | — | |||||||||||||||||||||
Total available-for-sale securities | $ | 270,921 | $ | 124,938 | $ | 145,983 | $ | — | |||||||||||||||||
Financial instruments not carried at fair value but requiring fair value disclosure | The following table presents the financial instruments that are not carried at fair value but require fair value disclosure as of March 31, 2015 and December 31, 2014: | ||||||||||||||||||||||||
As of March 31, 2015 | As of December 31, 2014 | ||||||||||||||||||||||||
(In thousands) | Face | Carrying | Fair Value | Face | Carrying | Fair Value | |||||||||||||||||||
Value | Value | Value | Value | ||||||||||||||||||||||
1.125% Convertible Senior Notes due 2018 (the "2018 Notes") | $ | 138,000 | $ | 116,508 | $ | 168,034 | $ | 138,000 | $ | 115,089 | $ | 159,293 | |||||||||||||
Convertible_Notes_Tables
Convertible Notes (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Schedule of convertible notes | The Company’s convertible notes are shown in the following table: | ||||||||
(In thousands) | As of March 31, 2015 | As of December 31, 2014 | |||||||
1.125% Convertible Senior Notes due 2018 | $ | 138,000 | $ | 138,000 | |||||
Unamortized discount | (21,492 | ) | (22,911 | ) | |||||
Total convertible notes | $ | 116,508 | $ | 115,089 | |||||
Less current portion | — | — | |||||||
Total long-term convertible notes | $ | 116,508 | $ | 115,089 | |||||
Schedule of interest expense on notes | Interest expense related to the notes for the three months ended March 31, 2015 and 2014 was as follows: | ||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
(In thousands) | |||||||||
2014 Notes coupon interest at a rate of 5% | $ | — | $ | 2,156 | |||||
2014 Notes amortization of discount and debt issuance costs at an additional effective interest rate of 11.7% | — | 4,769 | |||||||
2018 Notes coupon interest at a rate of 1.125% | 403 | 388 | |||||||
2018 Notes amortization of discount and debt issuance costs at an additional effective interest rate of 5.5% | 1,559 | 1,473 | |||||||
Total interest expense on convertible notes | $ | 1,962 | $ | 8,786 | |||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 3 Months Ended | |||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||||||||||
Company's material contractual obligations | As of March 31, 2015, the Company’s material contractual obligations were as follows (in thousands): | |||||||||||||||||||||||||||
Total | Remainder of 2015 | 2016 | 2017 | 2018 | 2019 | Thereafter | ||||||||||||||||||||||
Contractual obligations (1) | ||||||||||||||||||||||||||||
Imputed financing obligation (2) | $ | 32,901 | $ | 4,525 | $ | 6,156 | $ | 6,302 | $ | 6,447 | $ | 6,602 | $ | 2,869 | ||||||||||||||
Leases and other contractual obligations | 7,521 | 3,809 | 2,034 | 1,338 | 340 | — | — | |||||||||||||||||||||
Software licenses (3) | 7,968 | 6,220 | 1,748 | — | — | — | — | |||||||||||||||||||||
Convertible notes | 138,000 | — | — | — | 138,000 | — | — | |||||||||||||||||||||
Interest payments related to convertible notes | 5,434 | 776 | 1,553 | 1,553 | 1,552 | — | — | |||||||||||||||||||||
Total | $ | 191,824 | $ | 15,330 | $ | 11,491 | $ | 9,193 | $ | 146,339 | $ | 6,602 | $ | 2,869 | ||||||||||||||
_________________________________________ | ||||||||||||||||||||||||||||
-1 | The above table does not reflect possible payments in connection with uncertain tax benefits of approximately $21.4 million including $18.4 million recorded as a reduction of long-term deferred tax assets and $3.0 million in long-term income taxes payable as of March 31, 2015. As noted below in Note 12, “Income Taxes,” although it is possible that some of the unrecognized tax benefits could be settled within the next 12 months, the Company cannot reasonably estimate the outcome at this time. | |||||||||||||||||||||||||||
-2 | With respect to the imputed financing obligation, the main components of the difference between the amount reflected in the contractual obligations table and the amount reflected on the condensed consolidated balance sheets are the interest on the imputed financing obligation and the estimated common area expenses over the future periods. The amount includes the amended Ohio lease and the amended Sunnyvale lease. | |||||||||||||||||||||||||||
-3 | The Company has commitments with various software vendors for non-cancellable agreements generally having terms longer than one year. |
Equity_Incentive_Plans_and_Sto1
Equity Incentive Plans and Stock-Based Compensation (Tables) | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||
Shares available for grant under stock-based incentive plans | A summary of shares available for grant under the Company’s plans is as follows: | ||||||||||||
Shares Available | |||||||||||||
for Grant | |||||||||||||
Shares available as of December 31, 2014 | 10,724,228 | ||||||||||||
Stock options granted | (362,335 | ) | |||||||||||
Stock options forfeited | 518,778 | ||||||||||||
Stock options expired under former plans | (285,000 | ) | |||||||||||
Nonvested equity stock and stock units granted (1) (2) | (2,520,747 | ) | |||||||||||
Nonvested equity stock and stock units forfeited (1) | 87,041 | ||||||||||||
Total available for grant as of March 31, 2015 | 8,161,965 | ||||||||||||
_________________________________________ | |||||||||||||
-1 | For purposes of determining the number of shares available for grant under the 2006 Plan against the maximum number of shares authorized, each share of restricted stock granted reduces the number of shares available for grant by 1.5 shares and each share of restricted stock forfeited increases shares available for grant by 1.5 shares. | ||||||||||||
-2 | Amount includes 238,980 shares that have been reserved for potential future issuance related to certain performance unit awards discussed under the section titled "Nonvested Equity Stock and Stock Units" below. | ||||||||||||
Schedule of stock option activity | The following table summarizes stock option activity under the 1997 Plan and 2006 Plan for the three months ended March 31, 2015 and information regarding stock options outstanding, exercisable, and vested and expected to vest as of March 31, 2015. | ||||||||||||
Options Outstanding | |||||||||||||
Number of | Weighted | Weighted | Aggregate | ||||||||||
Shares | Average | Average | Intrinsic | ||||||||||
Exercise Price | Remaining | Value | |||||||||||
Per Share | Contractual | ||||||||||||
Term (years) | |||||||||||||
(In thousands, except per share amounts) | |||||||||||||
Outstanding as of December 31, 2014 | 11,441,646 | $ | 10.73 | ||||||||||
Options granted | 362,335 | $ | 11.27 | ||||||||||
Options exercised | (217,241 | ) | $ | 6.9 | |||||||||
Options forfeited | (518,778 | ) | $ | 16.37 | |||||||||
Outstanding as of March 31, 2015 | 11,067,962 | $ | 10.55 | 5.95 | $ | 45,831 | |||||||
Vested or expected to vest at March 31, 2015 | 10,524,492 | $ | 10.64 | 5.81 | $ | 43,741 | |||||||
Options exercisable at March 31, 2015 | 6,207,537 | $ | 12.84 | 4.3 | $ | 21,336 | |||||||
Weighted-average assumptions for Stock Option Plans | The following table presents the weighted-average assumptions used to estimate the fair value of stock options granted that contain only service conditions in the periods presented. | ||||||||||||
Stock Option Plans | |||||||||||||
Three Months Ended | |||||||||||||
March 31, | |||||||||||||
2015 | 2014 | ||||||||||||
Stock Option Plans | |||||||||||||
Expected stock price volatility | 41 | % | 44 | % | |||||||||
Risk free interest rate | 1.2 | % | 2.1 | % | |||||||||
Expected term (in years) | 6 | 6.1 | |||||||||||
Weighted-average fair value of stock options granted to employees | $ | 4.59 | $ | 3.92 | |||||||||
Schedule of nonvested equity stock and stock units activity | The following table reflects the activity related to nonvested equity stock and stock units for the three months ended March 31, 2015: | ||||||||||||
Nonvested Equity Stock and Stock Units | Shares | Weighted- | |||||||||||
Average | |||||||||||||
Grant-Date | |||||||||||||
Fair Value | |||||||||||||
Nonvested at December 31, 2014 | 673,864 | $ | 9.23 | ||||||||||
Granted | 1,521,178 | $ | 11.27 | ||||||||||
Vested | (138,810 | ) | $ | 8.55 | |||||||||
Forfeited | (58,027 | ) | $ | 10.35 | |||||||||
Nonvested at March 31, 2015 | 1,998,205 | $ | 10.8 | ||||||||||
Agreements_with_SK_hynix_and_M1
Agreements with SK hynix and Micron (Tables) | 3 Months Ended | |||||||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||||||
SK hynix [Member] | ||||||||||||||||||||||||||||||||
Revenue Recognition, Multiple-deliverable Arrangements [Line Items] | ||||||||||||||||||||||||||||||||
Revenue Recognition, Multiple-deliverable Arrangements [Table Text Block] | The cumulative cash receipts through March 31, 2015 and the remaining future cash receipts from the agreements with SK hynix are expected to be recognized as follows assuming no adjustments to the payments under the terms of the agreements: | |||||||||||||||||||||||||||||||
Cumulative Received | Estimated to Be Received in | Total Estimated | ||||||||||||||||||||||||||||||
to-date as of March 31, | Cash Receipts | |||||||||||||||||||||||||||||||
2015 | Remainder | 2016 | 2017 | 2018 | ||||||||||||||||||||||||||||
of 2015 | ||||||||||||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||||||||||
Royalty revenue | $ | 82.7 | $ | 35.5 | $ | 47.9 | $ | 48 | $ | 24 | $ | 238.1 | ||||||||||||||||||||
Gain from settlement | 1.3 | 0.5 | 0.1 | — | — | 1.9 | ||||||||||||||||||||||||||
Total | $ | 84 | $ | 36 | $ | 48 | $ | 48 | $ | 24 | $ | 240 | ||||||||||||||||||||
Micron [Member] | ||||||||||||||||||||||||||||||||
Revenue Recognition, Multiple-deliverable Arrangements [Line Items] | ||||||||||||||||||||||||||||||||
Revenue Recognition, Multiple-deliverable Arrangements [Table Text Block] | The cumulative cash receipts through March 31, 2015 and the remaining future cash receipts from the agreements with Micron are expected to be recognized as follows assuming no adjustments to the payments under the terms of the agreements: | |||||||||||||||||||||||||||||||
Cumulative Received | Estimated to Be Received in | Total Estimated | ||||||||||||||||||||||||||||||
to-date as of March 31, | Cash Receipts | |||||||||||||||||||||||||||||||
2015 | Remainder of 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | ||||||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||||||||||
Royalty revenue | $ | 53.7 | $ | 29 | $ | 39.5 | $ | 40 | $ | 40 | $ | 40 | $ | 34.5 | $ | 276.7 | ||||||||||||||||
Gain from settlement | 1.8 | 1 | 0.5 | — | — | — | — | 3.3 | ||||||||||||||||||||||||
Total | $ | 55.5 | $ | 30 | $ | 40 | $ | 40 | $ | 40 | $ | 40 | $ | 34.5 | $ | 280 | ||||||||||||||||
Basis_of_Presentation_Details
Basis of Presentation (Details) | 3 Months Ended |
Mar. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Percentage of ownership for cost method investment, maximum | 20.00% |
Earnings_Loss_Per_Share_Detail
Earnings (Loss) Per Share (Details) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Numerator: | ||
Net Income (Loss) | $9,502 | $7,804 |
Denominator: | ||
Weighted-average common shares outstanding, Basic (in shares) | 115,336 | 113,590 |
Effect of potential dilutive common shares | 2,106 | 3,039 |
Denominator: | ||
Weighted-average common shares outstanding, Diluted (in shares) | 117,442 | 116,629 |
Earnings Per Share, Basic | $0.08 | $0.07 |
Earnings Per Share, Diluted | $0.08 | $0.07 |
Earnings_Loss_Per_Share_Detail1
Earnings (Loss) Per Share (Details 2) (Options) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Options | ||
Anti-dilutive shares excluded from calculation of earnings per share | ||
Anti-dilutive shares excluded from calculation of earnings per share | 3.8 | 6.9 |
Intangible_Asset_and_Goodwill_1
Intangible Asset and Goodwill (Details) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 |
Goodwill [Roll Forward] | |
Beginning Balance | $116,899 |
Additions to Goodwill | 0 |
Impairment Charge of Goodwill | 0 |
Ending Balance | 116,899 |
MID Segment | |
Goodwill [Roll Forward] | |
Beginning Balance | 19,905 |
Additions to Goodwill | 0 |
Impairment Charge of Goodwill | 0 |
Ending Balance | 19,905 |
CRD Segment | |
Goodwill [Roll Forward] | |
Beginning Balance | 96,994 |
Additions to Goodwill | 0 |
Impairment Charge of Goodwill | 0 |
Ending Balance | 96,994 |
Other | |
Goodwill [Roll Forward] | |
Ending Balance | $0 |
Intangible_Asset_and_Goodwill_2
Intangible Asset and Goodwill (Details 2) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Goodwill | ||
Gross Carrying Amount | $138,669 | |
Accumulated Impairment Losses | -21,770 | |
Net Carrying Amount | 116,899 | 116,899 |
MID Segment | ||
Goodwill | ||
Gross Carrying Amount | 19,905 | |
Accumulated Impairment Losses | 0 | |
Net Carrying Amount | 19,905 | 19,905 |
CRD Segment | ||
Goodwill | ||
Gross Carrying Amount | 96,994 | |
Accumulated Impairment Losses | 0 | |
Net Carrying Amount | 96,994 | 96,994 |
Other | ||
Goodwill | ||
Gross Carrying Amount | 21,770 | |
Accumulated Impairment Losses | -21,770 | |
Net Carrying Amount | $0 |
Intangible_Asset_and_Goodwill_3
Intangible Asset and Goodwill (Details 3) (USD $) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Components of intangible assets | |||
Gross Carrying Amount | $216,714,000 | 216,714,000 | |
Accumulated Amortization | -133,665,000 | -127,343,000 | |
Net Carrying Amount | 83,049,000 | 89,371,000 | |
Amortization expense for intangible assets | 6,322,000 | 6,797,000 | |
Existing technology | |||
Components of intangible assets | |||
Gross Carrying Amount | 185,321,000 | 185,321,000 | |
Accumulated Amortization | -110,130,000 | -104,426,000 | |
Net Carrying Amount | 75,191,000 | 80,895,000 | |
Existing technology | Minimum | |||
Components of intangible assets | |||
Useful Life (in years) | 3 years | 3 years | |
Existing technology | Maximum | |||
Components of intangible assets | |||
Useful Life (in years) | 10 years | 10 years | |
Customer contracts and contractual relationships | |||
Components of intangible assets | |||
Gross Carrying Amount | 31,093,000 | 31,093,000 | |
Accumulated Amortization | -23,235,000 | -22,617,000 | |
Net Carrying Amount | 7,858,000 | 8,476,000 | |
Customer contracts and contractual relationships | Minimum | |||
Components of intangible assets | |||
Useful Life (in years) | 1 year | 1 year | |
Customer contracts and contractual relationships | Maximum | |||
Components of intangible assets | |||
Useful Life (in years) | 10 years | 10 years | |
Non-compete agreements | |||
Components of intangible assets | |||
Useful Life (in years) | 3 years | 3 years | |
Gross Carrying Amount | 300,000 | 300,000 | |
Accumulated Amortization | -300,000 | -300,000 | |
Net Carrying Amount | 0 | 0 | |
Favorable contracts | |||
Components of intangible assets | |||
Net Carrying Amount | 100,000 | 100,000 | |
Cash received related to favorable contracts | $0 | $900,000 |
Intangible_Asset_and_Goodwill_4
Intangible Asset and Goodwill (Details 4) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Estimated future amortization expense of intangible assets | ||
2015 (remaining 9 months) | $18,776 | |
2016 | 24,318 | |
2017 | 23,709 | |
2018 | 10,827 | |
2019 | 1,789 | |
Thereafter | 3,630 | |
Net Carrying Amount | $83,049 | $89,371 |
Segments_and_Major_Customers_D
Segments and Major Customers (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Financial information of business segments | ||
Revenues | $72,914 | $78,288 |
Segment operating expenses | 26,118 | 24,465 |
Segment operating income (loss) | 46,796 | 53,823 |
Segment reconciling items | -28,904 | -30,634 |
Operating income (loss) | 17,892 | 23,189 |
Interest and other income (expense), net | -2,951 | -9,913 |
Income (Loss) before income taxes | 14,941 | 13,276 |
MID Segment | ||
Financial information of business segments | ||
Revenues | 54,733 | 61,156 |
Segment operating expenses | 11,520 | 9,281 |
Segment operating income (loss) | 43,213 | 51,875 |
CRD Segment | ||
Financial information of business segments | ||
Revenues | 12,826 | 12,903 |
Segment operating expenses | 7,339 | 6,531 |
Segment operating income (loss) | 5,487 | 6,372 |
Other | ||
Financial information of business segments | ||
Revenues | 5,355 | 4,229 |
Segment operating expenses | 7,259 | 8,653 |
Segment operating income (loss) | ($1,904) | ($4,424) |
Segments_and_Major_Customers_D1
Segments and Major Customers (Details 2) (Customer Concentration Risk, Sales, net) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Customer A | ||
Concentration Risk [Line Items] | ||
Revenue from major customer as a percentage of total revenue | 21.00% | 19.00% |
Customer B | ||
Concentration Risk [Line Items] | ||
Revenue from major customer as a percentage of total revenue | 16.00% | 15.00% |
Customer C | ||
Concentration Risk [Line Items] | ||
Revenue from major customer as a percentage of total revenue | 13.00% | 12.00% |
Segments_and_Major_Customers_D2
Segments and Major Customers (Details 3) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Major Customer Disclosure | ||
Revenues | $72,914 | $78,288 |
South Korea | ||
Major Customer Disclosure | ||
Revenues | 26,821 | 26,853 |
USA | ||
Major Customer Disclosure | ||
Revenues | 27,707 | 28,674 |
Japan | ||
Major Customer Disclosure | ||
Revenues | 8,491 | 9,255 |
Europe | ||
Major Customer Disclosure | ||
Revenues | 5,175 | 8,563 |
Canada | ||
Major Customer Disclosure | ||
Revenues | 196 | 1,824 |
Asia-Other | ||
Major Customer Disclosure | ||
Revenues | $4,524 | $3,119 |
Marketable_Securities_Details
Marketable Securities (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Cash equivalents and marketable securities | ||
Maximum maturity period of available-for-sale securities (in years) | 3 years | 3 years |
Maximum remaining maturity period of available-for-sale securities (in years) | 1 year | 1 year |
Fair Value | $297,248 | $270,921 |
Amortized Cost | 297,308 | 271,034 |
Gross Unrealized Gains | 8 | 1 |
Gross Unrealized Losses | -68 | -114 |
Cash, fair value | 20,513 | 29,188 |
Cash, amortized cost | 20,513 | 29,188 |
Cash, cash equivalents and marketable securities | ||
Fair Value | 317,761 | 300,109 |
Amortized Cost | 317,821 | 300,222 |
Gross Unrealized Gains | 8 | 1 |
Gross Unrealized Losses | -68 | -114 |
Money market funds | ||
Cash equivalents and marketable securities | ||
Fair Value | 151,054 | 124,938 |
Amortized Cost | 151,054 | 124,938 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Weighted Rate of Return (as a percent) | 0.01% | 0.01% |
Corporate notes, bonds and commercial paper | ||
Cash equivalents and marketable securities | ||
Fair Value | 146,194 | 145,983 |
Amortized Cost | 146,254 | 146,096 |
Gross Unrealized Gains | 8 | 1 |
Gross Unrealized Losses | ($68) | ($114) |
Weighted Rate of Return (as a percent) | 0.34% | 0.25% |
Marketable_Securities_Marketab
Marketable Securities Marketable Securities (Details 1) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities | $297,248 | $270,921 |
Cash, fair value | 20,513 | 29,188 |
Cash, Cash Equivalents and Short Term Investments, Fair Value Disclosure | 317,761 | 300,109 |
Cash Equivalents [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities | 151,054 | 124,938 |
Short-term Investments [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities | $146,194 | $145,983 |
Marketable_Securities_Details_
Marketable Securities (Details 2) (Corporate Debt Securities [Member], USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Corporate Debt Securities [Member] | ||
Cash equivalents and marketable securities, Continuous unrealized loss position | ||
Less than one year, Fair Value | $110,382 | $139,989 |
Unrealized gain (loss), Gross | ||
Less than one year, Gross Unrealized Loss | ($68) | ($114) |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | $297,248 | $270,921 |
Money market funds | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 151,054 | 124,938 |
Corporate notes, bonds and commercial paper | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 146,194 | 145,983 |
Recurring basis | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 297,248 | 270,921 |
Recurring basis | Money market funds | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 151,054 | 124,938 |
Recurring basis | Corporate notes, bonds and commercial paper | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 146,194 | 145,983 |
Recurring basis | Quoted Market Prices in Active Markets (Level 1) | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 151,054 | 124,938 |
Recurring basis | Quoted Market Prices in Active Markets (Level 1) | Money market funds | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 151,054 | 124,938 |
Recurring basis | Quoted Market Prices in Active Markets (Level 1) | Corporate notes, bonds and commercial paper | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 0 | 0 |
Recurring basis | Significant Other Observable Inputs (Level 2) | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 146,194 | 145,983 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Money market funds | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 0 | 0 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Corporate notes, bonds and commercial paper | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 146,194 | 145,983 |
Recurring basis | Significant Unobservable Inputs (Level 3) | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Money market funds | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Corporate notes, bonds and commercial paper | ||
Financial assets subject to fair value measurements and the necessary disclosures | ||
Total available-for-sale securities | $0 | $0 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments (Details 2) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Convertible Senior Notes | ||
Debt Instrument [Line Items] | ||
Convertible Notes Payable | $116,508 | $115,089 |
5% Convertible Senior Notes due 2014 | Convertible Senior Notes | ||
Debt Instrument [Line Items] | ||
Convertible notes stated interest rate (as a percent) | 5.00% | 5.00% |
1.125% Convertible Senior Notes due 2018 | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Face Amount | 138,000 | |
1.125% Convertible Senior Notes due 2018 | Convertible Senior Notes | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Face Amount | 138,000 | 138,000 |
Convertible Notes Payable | 116,508 | 115,089 |
Convertible Debt, Fair Value Disclosures | $168,034 | $159,293 |
Convertible notes stated interest rate (as a percent) | 1.13% | 1.13% |
Convertible_Notes_Details
Convertible Notes (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Convertible notes, long-term | $116,508 | $115,089 |
1.125% Convertible Senior Notes due 2018 | ||
Debt Instrument [Line Items] | ||
Principal amount of convertible notes | 138,000 | |
Convertible Senior Notes | ||
Debt Instrument [Line Items] | ||
Total convertible notes | 116,508 | 115,089 |
Convertible notes, short-term | 0 | 0 |
Convertible notes, long-term | 116,508 | 115,089 |
Convertible Senior Notes | 5% Convertible Senior Notes due 2014 | ||
Debt Instrument [Line Items] | ||
Convertible notes stated interest rate (as a percent) | 5.00% | 5.00% |
Convertible Senior Notes | 1.125% Convertible Senior Notes due 2018 | ||
Debt Instrument [Line Items] | ||
Convertible notes stated interest rate (as a percent) | 1.13% | 1.13% |
Principal amount of convertible notes | 138,000 | 138,000 |
Unamortized discount | -21,492 | -22,911 |
Total convertible notes | $116,508 | $115,089 |
Convertible_Notes_Details_3
Convertible Notes (Details 3) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Interest expense related to notes | |||
Amortization of discount and debt issuance costs | $1,559 | $6,242 | |
Interest expense | 3,083 | 9,926 | |
Convertible Senior Notes | |||
Interest expense related to notes | |||
Interest expense | 1,962 | 8,786 | |
Convertible Senior Notes | 5% Convertible Senior Notes due 2014 | |||
Interest expense related to notes | |||
Interest | 0 | 2,156 | |
Amortization of discount and debt issuance costs | 0 | 4,769 | |
Convertible notes stated interest rate (as a percent) | 5.00% | 5.00% | |
Additional Effective Interest Rate | 0.00% | 11.70% | |
Convertible Senior Notes | 1.125% Convertible Senior Notes due 2018 | |||
Interest expense related to notes | |||
Interest | 403 | 388 | |
Amortization of discount and debt issuance costs | $1,559 | $1,473 | |
Convertible notes stated interest rate (as a percent) | 1.13% | 1.13% | |
Additional Effective Interest Rate | 5.50% | 5.50% |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (USD $) | 3 Months Ended | |||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | ||
Contractual obligations | ||||
Remainder of 2015 | $15,330,000 | [1] | ||
2016 | 11,491,000 | [1] | ||
2017 | 9,193,000 | [1] | ||
2018 | 146,339,000 | [1] | ||
2019 | 6,602,000 | [1] | ||
Thereafter | 2,869,000 | [1] | ||
Contractual Obligation | 191,824,000 | [1] | ||
Unrecognized tax benefits | 21,400,000 | 19,900,000 | ||
Unrecognized tax benefits, reduction of long-term deferred tax assets | 18,400,000 | 17,800,000 | ||
Unrecognized tax benefits included in long-term income taxes payable | 3,000,000 | 2,100,000 | ||
Terms of noncancellable license agreement, minimum (in years) | 1 year | |||
Rent expense | 700,000 | 600,000 | ||
Deferred rent | 1,000,000 | 1,100,000 | ||
Imputed financing obligation | ||||
Contractual obligations | ||||
Remainder of 2015 | 4,525,000 | [1],[2] | ||
2016 | 6,156,000 | [1],[2] | ||
2017 | 6,302,000 | [1],[2] | ||
2018 | 6,447,000 | [1],[2] | ||
2019 | 6,602,000 | [1],[2] | ||
Thereafter | 2,869,000 | [1],[2] | ||
Contractual Obligation | 32,901,000 | [1],[2] | ||
Leases and other contractual obligations | ||||
Contractual obligations | ||||
Remainder of 2015 | 3,809,000 | [1] | ||
2016 | 2,034,000 | [1] | ||
2017 | 1,338,000 | [1] | ||
2018 | 340,000 | [1] | ||
2019 | 0 | [1] | ||
Thereafter | 0 | [1] | ||
Contractual Obligation | 7,521,000 | [1] | ||
Software licenses | ||||
Contractual obligations | ||||
Remainder of 2015 | 6,220,000 | [1],[3] | ||
2016 | 1,748,000 | [1],[3] | ||
2017 | 0 | [1],[3] | ||
2018 | 0 | [1],[3] | ||
2019 | 0 | [1],[3] | ||
Thereafter | 0 | [1],[3] | ||
Contractual Obligation | 7,968,000 | [1],[3] | ||
Convertible notes | ||||
Contractual obligations | ||||
Remainder of 2015 | 0 | [1] | ||
2016 | 0 | [1] | ||
2017 | 0 | [1] | ||
2018 | 138,000,000 | [1] | ||
2019 | 0 | [1] | ||
Thereafter | 0 | [1] | ||
Contractual Obligation | 138,000,000 | [1] | ||
Interest payments related to convertible notes | ||||
Contractual obligations | ||||
Remainder of 2015 | 776,000 | [1] | ||
2016 | 1,553,000 | [1] | ||
2017 | 1,553,000 | [1] | ||
2018 | 1,552,000 | [1] | ||
2019 | 0 | [1] | ||
Thereafter | 0 | [1] | ||
Contractual Obligation | $5,434,000 | [1] | ||
[1] | The above table does not reflect possible payments in connection with uncertain tax benefits of approximately $21.4 million including $18.4 million recorded as a reduction of long-term deferred tax assets and $3.0 million in long-term income taxes payable as of March 31, 2015. As noted below in Note 12, “Income Taxes,†although it is possible that some of the unrecognized tax benefits could be settled within the next 12 months, the Company cannot reasonably estimate the outcome at this time. | |||
[2] | With respect to the imputed financing obligation, the main components of the difference between the amount reflected in the contractual obligations table and the amount reflected on the condensed consolidated balance sheets are the interest on the imputed financing obligation and the estimated common area expenses over the future periods. The amount includes the amended Ohio lease and the amended Sunnyvale lease. | |||
[3] | The Company has commitments with various software vendors for non-cancellable agreements generally having terms longer than one year. |
Equity_Incentive_Plans_and_Sto2
Equity Incentive Plans and Stock-Based Compensation (Details Textual) (USD $) | 3 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | |
Mar. 31, 2015 | Apr. 24, 2014 | Mar. 31, 2014 | Apr. 23, 2015 | Dec. 31, 2014 | |
Stock-Based Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | ||||
Minimum [Member] | |||||
Stock-Based Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 0.00% | ||||
Maximum [Member] | |||||
Stock-Based Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 150.00% | ||||
Stock Compensation Plan [Member] | |||||
Stock-Based Compensation | |||||
Shares available for issuance | 8,161,965 | 10,724,228 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 31,400,000 | ||||
Share Based Compensation Arrangement by Share Based Payment Award Additional Number of Shares Authorized | 10,000,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 362,335 | ||||
Employee Stock Option [Member] | |||||
Stock-Based Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 11,067,962 | 11,441,646 | |||
Entity Closing Stock Price | 12.58 | ||||
Share Based Compensation Arrangement by Share Based Payment Award Options, In The Money Outstanding, Number | 8,384,579 | ||||
Share Based Compensation Arrangement By Share Based Payment Award, Options in the Money Exercisable, Number | 3,673,017 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 362,335 | 1,797,462 | |||
Estimated total grant date fair value | 1,700,000 | $7,000,000 | |||
Stock-based compensation | 2,200,000 | 2,200,000 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | 12,100,000 | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 10 months 13 days | ||||
Total fair value of options vested | 51,800,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | 1,000,000 | 600,000 | |||
Proceeds from Stock Options Exercised | 1,500,000 | ||||
Employee Stock [Member] | |||||
Stock-Based Compensation | |||||
Shares available for issuance | 923,044 | ||||
Share Based Compensation Arrangement by Share Based Payment Award Discount from Market Price Specific Date | 15.00% | ||||
Stock-based compensation | 400,000 | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | 300,000 | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 month | ||||
Restricted Stock and Stock Units [Member] | |||||
Stock-Based Compensation | |||||
Granted (in shares) | 1,521,178 | 205,808 | |||
Stock-based compensation | 1,200,000 | 700,000 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | 14,600,000 | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 3 years 3 months 0 days | ||||
Share Based Compensation Arrangement by Share Based Payment Award Equity Instruments Other than Options Nonvested Requisite Service Period | 4 years | ||||
Share Based Compensation Arrangement by Share Based Payment Award, Equity Instruments Other than Options Nonvested Requisite Service Period for Directors | 1 year | ||||
Share Based Compensation Arrangement by Share Based Payment Award Equity Instruments Other than Options Nonvested Grants in Period Total Fair Value | 17,100,000 | 1,800,000 | |||
Stock Options with Market Condition [Member] | Employee Stock Option [Member] | |||||
Stock-Based Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 1,315,000 | 1,315,000 | |||
Performance Stock Units [Member] | Restricted Stock and Stock Units [Member] | |||||
Stock-Based Compensation | |||||
Stock-based compensation | 200,000 | ||||
Subsequent Event [Member] | Stock Compensation Plan [Member] | |||||
Stock-Based Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 4,000,000 | ||||
Subsequent Event [Member] | Employee Stock [Member] | |||||
Stock-Based Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized | 2,000,000 |
Equity_Incentive_Plans_and_Sto3
Equity Incentive Plans and Stock-Based Compensation (Details) | 0 Months Ended | 3 Months Ended | 0 Months Ended | |
Apr. 24, 2014 | Mar. 31, 2015 | Apr. 23, 2015 | ||
Employee Stock [Member] | ||||
Shares available for grant | ||||
Shares available, at the end of the period | 923,044 | |||
Stock-Based Incentive Compensation Plans | ||||
Stock-Based Compensation | ||||
Number of shares reserved under the 2006 Purchase Plan | 31,400,000 | |||
Shares available for grant | ||||
Shares available, at the beginning of the year | 10,724,228 | |||
Increase in shares approved for issuance | 10,000,000 | |||
Stock options granted (in shares) | -362,335 | |||
Stock options forfeited (in shares) | 518,778 | |||
Stock options expired under former plans (in shares) | -285,000 | |||
Nonvested equity stock and stock units granted (in shares) | -2,520,747 | [1],[2] | ||
Nonvested equity stock and stock units forfeited (in shares) | 87,041 | [2] | ||
Shares available, at the end of the period | 8,161,965 | |||
Conversion factor used to calculate the decrease in the number of shares available for grant resulting from the grant of restricted stock awards | 1.5 | |||
Conversion factor used to calculate the increase in the number of shares available for grant resulting from the forfeiture of restricted stock awards | 1.5 | |||
Potential Additional Performance Stock Units [Domain] | ||||
Shares available for grant | ||||
Nonvested equity stock and stock units granted (in shares) | 238,980 | [1],[2] | ||
Subsequent Event [Member] | Employee Stock [Member] | ||||
Stock-Based Compensation | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized | 2,000,000 | |||
Subsequent Event [Member] | Stock-Based Incentive Compensation Plans | ||||
Stock-Based Compensation | ||||
Number of shares reserved under the 2006 Purchase Plan | 4,000,000 | |||
[1] | (2)Amount includes 238,980 shares that have been reserved for potential future issuance related to certain performance unit awards discussed under the section titled "Nonvested Equity Stock and Stock Units" below. | |||
[2] | For purposes of determining the number of shares available for grant under the 2006 Plan against the maximum number of shares authorized, each share of restricted stock granted reduces the number of shares available for grant by 1.5 shares and each share of restricted stock forfeited increases shares available for grant by 1.5 shares. |
Equity_Incentive_Plans_and_Sto4
Equity Incentive Plans and Stock-Based Compensation (Details 2) (Employee Stock Option [Member], USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Employee Stock Option [Member] | ||
Number of Shares | ||
Outstanding, at the beginning of the period (in shares) | 11,441,646 | |
Options granted (in shares) | 362,335 | 1,797,462 |
Options exercised (in shares) | -217,241 | |
Options forfeited (in shares) | -518,778 | |
Outstanding, at the end of the period (in shares) | 11,067,962 | |
Vested or expected to vest at the end of the period (in shares) | 10,524,492 | |
Options exercisable at the end of the period (in shares) | 6,207,537 | |
Weighted Average Exercise Price | ||
Outstanding at the beginning of the year (in dollars per shares) | $10.73 | |
Options granted (in dollars per share) | $11.27 | |
Options exercised (in dollars per share) | $6.90 | |
Options forfeited (in dollars per share) | $16.37 | |
Outstanding at the end of the period (in dollars per shares) | $10.55 | |
Vested or expected to vest at the end of the period (in dollars per share) | $10.64 | |
Options exercisable at the end of the period (in dollars per share) | $12.84 | |
Weighted Average Remaining Contractual Term | ||
Outstanding | 5 years 11 months 12 days | |
Vested or expected to vest | 5 years 9 months 22 days | |
Options exercisable | 4 years 3 months 18 days | |
Aggregate Intrinsic Value | ||
Outstanding | $45,831 | |
Vested or expected to vest | 43,741 | |
Options exercisable | $21,336 |
Equity_Incentive_Plans_and_Sto5
Equity Incentive Plans and Stock-Based Compensation (Details 3) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Employee Stock Option [Member] | ||
Valuation assumptions | ||
Expected stock price volatility (as a percent) | 41.00% | 44.00% |
Risk free interest rate | 1.20% | 2.10% |
Expected term | 5 years 11 months 19 days | 6 years 0 months 29 days |
Weighted-average fair value of stock options granted (in dollars per share) | $4.59 | $3.92 |
Restricted Stock and Stock Units [Member] | ||
Nonvested equity stock and stock units | ||
Nonvested at the beginning of the period (in shares) | 673,864 | |
Granted (in shares) | 1,521,178 | 205,808 |
Vested (in shares) | -138,810 | |
Forfeited (in shares) | -58,027 | |
Nonvested at the end of the period (in shares) | 1,998,205 | |
Weighted-Average Grant-Date Fair Value | ||
Nonvested at the beginning of the period (in dollars per share) | $9.23 | |
Granted (in dollars per share) | $11.27 | |
Vested (in dollars per share) | $8.55 | |
Forfeited (in dollars per share) | $10.35 | |
Nonvested at the end of the period (in dollars per share) | $10.80 |
Stockholders_Equity_Details
Stockholders' Equity (Details) | Jan. 21, 2015 |
Share repurchase program | |
Stock Repurchase Program, Number of Shares Authorized to be Repurchased | 20,000,000 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Provision for income taxes | $5,439,000 | $5,472,000 | |
Payment of withholding taxes to foreign tax authorities | 4,800,000 | 5,100,000 | |
Deferred Tax Assets, Gross | 189,100,000 | ||
Unrecognized tax benefits | 21,400,000 | 19,900,000 | |
Unrecognized tax benefits, reduction of long-term deferred tax assets | 18,400,000 | 17,800,000 | |
Unrecognized tax benefits included in long-term income taxes payable | 3,000,000 | 2,100,000 | |
Portion of unrecognized tax benefits, which if recognized, would be recorded as an income tax benefit | $3,000,000 |
Agreements_with_SK_hynix_and_M2
Agreements with SK hynix and Micron (Details) (USD $) | 0 Months Ended | ||
In Millions, unless otherwise specified | Jun. 11, 2013 | Dec. 09, 2013 | Mar. 31, 2015 |
SK hynix [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
License Agreement, Term of Agreement | 5 years | ||
Amount to be paid quarterly | $12 | ||
Future Receivables | 156 | ||
Micron [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
License Agreement, Term of Agreement | 7 years | ||
Amount to be paid quarterly | 10 | ||
Future Receivables | $224.50 |
Agreements_with_SK_hynix_and_M3
Agreements with SK hynix and Micron (Details 2) (USD $) | 3 Months Ended | 22 Months Ended | 16 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 |
SK hynix [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Cash Received to date in 2015 | $12 | $84 | |
Estimated to Be Received in Remainder of 2015 | 36 | 36 | 36 |
Estimated to Be Received in 2016 | 48 | 48 | 48 |
Estimated to Be Received in 2017 | 48 | 48 | 48 |
Estimated to Be Received in 2018 | 24 | 24 | 24 |
Total Estimated Cash receipts | 240 | 240 | 240 |
SK hynix [Member] | Royalty revenue | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Cash Received to date in 2015 | 11.8 | 82.7 | |
Estimated to Be Received in Remainder of 2015 | 35.5 | 35.5 | 35.5 |
Estimated to Be Received in 2016 | 47.9 | 47.9 | 47.9 |
Estimated to Be Received in 2017 | 48 | 48 | 48 |
Estimated to Be Received in 2018 | 24 | 24 | 24 |
Total Estimated Cash receipts | 238.1 | 238.1 | 238.1 |
SK hynix [Member] | Gain from settlement | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Cash Received to date in 2015 | 0.2 | 1.3 | |
Estimated to Be Received in Remainder of 2015 | 0.5 | 0.5 | 0.5 |
Estimated to Be Received in 2016 | 0.1 | 0.1 | 0.1 |
Estimated to Be Received in 2017 | 0 | 0 | 0 |
Estimated to Be Received in 2018 | 0 | 0 | 0 |
Total Estimated Cash receipts | 1.9 | 1.9 | 1.9 |
Micron [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Cash Received to date in 2015 | 10 | 55.5 | |
Estimated to Be Received in Remainder of 2015 | 30 | 30 | 30 |
Estimated to Be Received in 2016 | 40 | 40 | 40 |
Estimated to Be Received in 2017 | 40 | 40 | 40 |
Estimated to Be Received in 2018 | 40 | 40 | 40 |
Estimated to Be Received in 2019 | 40 | 40 | 40 |
Estimated to Be Received in 2020 | 34.5 | 34.5 | 34.5 |
Total Estimated Cash receipts | 280 | 280 | 280 |
Micron [Member] | Royalty revenue | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Cash Received to date in 2015 | 9.7 | 53.7 | |
Estimated to Be Received in Remainder of 2015 | 29 | 29 | 29 |
Estimated to Be Received in 2016 | 39.5 | 39.5 | 39.5 |
Estimated to Be Received in 2017 | 40 | 40 | 40 |
Estimated to Be Received in 2018 | 40 | 40 | 40 |
Estimated to Be Received in 2019 | 40 | 40 | 40 |
Estimated to Be Received in 2020 | 34.5 | 34.5 | 34.5 |
Total Estimated Cash receipts | 276.7 | 276.7 | 276.7 |
Micron [Member] | Gain from settlement | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Cash Received to date in 2015 | 0.3 | 1.8 | |
Estimated to Be Received in Remainder of 2015 | 1 | 1 | 1 |
Estimated to Be Received in 2016 | 0.5 | 0.5 | 0.5 |
Estimated to Be Received in 2017 | 0 | 0 | 0 |
Estimated to Be Received in 2018 | 0 | 0 | 0 |
Estimated to Be Received in 2019 | 0 | 0 | 0 |
Estimated to Be Received in 2020 | 0 | 0 | 0 |
Total Estimated Cash receipts | $3.30 | $3.30 | $3.30 |