Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 28, 2017 | Jun. 30, 2016 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | BROADVISION INC | ||
Entity Central Index Key | 920,448 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Smaller Reporting Company | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Trading Symbol | bvsn | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Public Float | $ 21,545,571 | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Common Stock, Shares Outstanding | 4,957,524 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 11,730 | $ 9,600 |
Short-term investments | 7,974 | 19,531 |
Accounts receivable, net of reserves of $167 and $135 as of December 31, 2016 and 2015, respectively | 896 | 1,751 |
Prepaids and other | 1,186 | 1,098 |
Total current assets | 21,786 | 31,980 |
Property and equipment, net | 60 | 87 |
Other assets | 147 | 143 |
Total assets | 21,993 | 32,210 |
Current liabilities: | ||
Accounts payable | 377 | 551 |
Accrued expenses | 1,866 | 2,161 |
Unearned revenue | 1,260 | 1,518 |
Deferred maintenance | 893 | 1,553 |
Total current liabilities | 4,396 | 5,783 |
Other non-current liabilities | 734 | 918 |
Total liabilities | 5,130 | 6,701 |
Commitments and contingencies (Note 6) | ||
Stockholders' equity | ||
Convertible preferred stock, $0.0001 par value; 1,000 shares authorized; none issued and outstanding | ||
Common stock, $0.0001 par value; 11,200 shares authorized; 4,958 and 4,895 shares issued and outstanding as of December 31, 2016 and 2015, respectively | ||
Additional paid-in capital | 1,270,649 | 1,269,582 |
Accumulated other comprehensive loss | (967) | (739) |
Accumulated deficit | (1,252,819) | (1,243,334) |
Total stockholders' equity | 16,863 | 25,509 |
Total liabilities and stockholders' equity | $ 21,993 | $ 32,210 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Consolidated Balance Sheets [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $ 167 | $ 135 |
Convertible preferred stock, par value (USD per share) | $ 0.0001 | $ 0.0001 |
Convertible preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Convertible preferred stock, shares issued | 0 | 0 |
Convertible preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (USD per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 11,200,000 | 11,200,000 |
Common stock, shares issued | 4,958,000 | 4,895,000 |
Common stock, shares outstanding | 4,958,000 | 4,895,000 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues: | ||
Software licenses | $ 4,227 | $ 4,414 |
Services | 3,713 | 5,028 |
Total revenues | 7,940 | 9,442 |
Cost of revenues: | ||
Cost of software revenues | 172 | 152 |
Cost of services | 3,152 | 3,341 |
Total cost of revenues | 3,324 | 3,493 |
Gross profit | 4,616 | 5,949 |
Operating expenses: | ||
Research and development | 6,901 | 7,219 |
Sales and marketing | 4,051 | 4,889 |
General and administrative | 3,618 | 3,501 |
Total operating expenses | 14,570 | 15,609 |
Operating loss | (9,954) | (9,660) |
Other income (loss): | ||
Interest income, net | 86 | 76 |
Other income (loss), net | 431 | (1,824) |
Total other income (loss) | 517 | (1,748) |
Loss before income taxes | (9,437) | (11,408) |
Provision for income taxes | (48) | (29) |
Net loss | (9,485) | (11,437) |
Other comprehensive income (loss), net of tax: | ||
Foreign currency translation adjustment | 2 | 177 |
Foreign currency translation reclassified into earnings for discontinued foreign subsidiaries | (230) | (183) |
Comprehensive loss | $ (9,713) | $ (11,443) |
Earnings per share, basic and diluted: | ||
Basic and diluted net loss per share | $ (1.93) | $ (2.36) |
Shares used in computing: | ||
Weighted average shares-basic and diluted | 4,924 | 4,857 |
Consolidated Statements Of Stoc
Consolidated Statements Of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Loss [Member] | Accumulated Deficit [Member] | Total |
Balances, value at Dec. 31, 2014 | $ 1,268,243 | $ (733) | $ (1,231,897) | $ 35,613 | |
Balances, shares at Dec. 31, 2014 | 4,832 | ||||
Net loss | (11,437) | (11,437) | |||
Other comprehensive income (loss) | (6) | (6) | |||
Stock-based compensation | 1,064 | 1,064 | |||
Issuance of common stock from restricted stock award, shares | 9 | ||||
Issuance of common stock from restricted stock award, value | |||||
Issuance of common stock under employee stock purchase plan, shares | 54 | ||||
Issuance of common stock under employee stock purchase plan, value | 275 | 275 | |||
Issuance of common stock from exercise of options, shares | |||||
Issuance of common stock from exercise of options, value | |||||
Balances, shares at Dec. 31, 2015 | 4,895 | 4,895 | |||
Balances, value at Dec. 31, 2015 | 1,269,582 | (739) | (1,243,334) | $ 25,509 | |
Net loss | (9,485) | (9,485) | |||
Other comprehensive income (loss) | (228) | (228) | |||
Stock-based compensation | 875 | 875 | |||
Issuance of common stock from restricted stock award, shares | 23 | ||||
Issuance of common stock from restricted stock award, value | |||||
Issuance of common stock under employee stock purchase plan, shares | 38 | ||||
Issuance of common stock under employee stock purchase plan, value | 181 | 181 | |||
Issuance of common stock from exercise of options, shares | 2 | ||||
Issuance of common stock from exercise of options, value | 11 | $ 11 | |||
Balances, shares at Dec. 31, 2016 | 4,958 | 4,958 | |||
Balances, value at Dec. 31, 2016 | $ 1,270,649 | $ (967) | $ (1,252,819) | $ 16,863 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | ||
Net loss | $ (9,485) | $ (11,437) |
Adjustments to reconcile net loss to net cash used for operating activities: | ||
Depreciation and amortization | 41 | 77 |
Stock-based compensation | 875 | 1,064 |
Provision (Benefit) of receivable reserves | 37 | (9) |
(Gain) Loss on deconsolidation of a fully-owned subsidiary | (230) | (183) |
Changes in operating assets and liabilities: | ||
Accounts receivable | 818 | 1,544 |
Prepaids and other | (88) | 21 |
Other non-current assets | (4) | 51 |
Accounts payable and accrued expenses | (469) | (62) |
Unearned revenue and deferred maintenance | (918) | 406 |
Other noncurrent liabilities | (184) | 144 |
Net cash used for operating activities | (9,607) | (8,384) |
Cash flows from investing activities: | ||
Purchase of property and equipment | (14) | (16) |
Purchase of short-term investment | (10,666) | (21,931) |
Maturities of short-term investment | 22,223 | 14,538 |
Net cash provided by (used for) by investing activities | 11,543 | (7,409) |
Cash flows from financing activities: | ||
Proceeds from issuance of common stock, net | 181 | 275 |
Proceeds from exercise of common stock options, net | 11 | |
Net cash provided by financing activities | 192 | 275 |
Effect of exchange rates on cash and cash equivalents | 2 | 177 |
Net increase (decrease) in cash and cash equivalents | 2,130 | (15,341) |
Cash and cash equivalents at beginning of year | 9,600 | 24,941 |
Cash and cash equivalents at end of year | 11,730 | 9,600 |
Supplemental cash flows disclosures: | ||
Cash paid for income taxes | $ 6 | $ 1 |
Organization And Summary Of Sig
Organization And Summary Of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Organization And Summary Of Significant Accounting Policies [Abstract] | |
Organization And Summary Of Significant Accounting Policies | Note 1---Organization and Summary of Significant Accounting Policies Nature of Business BroadVision, Inc. (collectively with its subsidiaries, "BroadVision" or "we") was incorporated in the state of Delaware on May 13, 1993, and has been a publicly traded corporation since 1996. We develop, market, and support enterprise portal applications that enable companies to unify their e-business infrastructure and conduct both interactions and transactions with employees, partners, and customers through a personalized self-service model that increases revenues, reduces costs, and improves productivity. Principles of Consolidation The accompanying Consolidated Financial Statements include our and our subsidiaries’ accounts. All significant intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of Consolidated Financial Statements in conformity with U.S. GAAP requires management to make certain assumptions and estimates that affect reported amounts of assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, we evaluate the reasonableness of our estimates, including those related to receivable reserves, stock-based compensation, investments and income taxes, as well as contingencies and litigation. We base our estimates on historical experience and on various other assumptions that we believe are reasonable, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates using different assumptions or conditions. We believe the following significant accounting policies reflect the more significant judgments and estimates used in the preparation of our Consolidated Financial Statements. Revenue Recognition Overview Our revenue consists of fees for licenses of our software products, maintenance, consulting services and training. Our revenue recognition policies comply with Accounting Standards Codification ASC 985-605, Software: Revenue Recognition , and Staff Accounting Bulletin SAB 104, Revenue Recognition . In October 2009, the FASB amended the accounting standards in Accounting Standards Update ("ASU") 2009-13 (an update to ASC 605-25) ("ASU 2009-13") for certain multiple deliverable revenue arrangements to: 1) provide updated guidance on whether multiple deliverables exist, how the deliverables in an arrangement should be separated, and how the consideration should be allocated; 2) require an entity to allocate revenue in an arrangement using best estimated selling price ("BESP") of deliverables if a vendor does not have VSOE of selling price or third-party evidence ("TPE") of selling price; and 3) eliminate the use of the residual method and require an entity to allocate revenue using the relative selling price method. We recognize revenue when all four of the following revenue recognition criteria have been met: • Persuasive evidence of an arrangement exists; • We have delivered the product or performed the service; • The fee is fixed or determinable; and • Collection is probable. We qualify the second of the above listed criteria differently for different types of revenues, as follows. Software License Revenue, Non-Subscription and Non-Hosted Products Delivery of non-subscription and non-hosted software products is considered to have occurred when title to the physical media and risk of loss have been transferred to the customer, which generally occurs when media containing the licensed programs is provided to a common carrier. In case of electronic delivery, delivery occurs when the customer is given access to the licensed programs. For products that cannot be used without a licensing key, the delivery requirement is met when the licensing key is made available to the customer. We do not grant a right of return for non-subscription or non-hosted software products. We recognize revenue upon delivery of our software. Software License Revenue, Subscription Products or Hosted Products Although we made the software available to the customer at a particular point in time, the delivery of subscription software products (such as QuickSilver ) and hosted software products (such as Vmoso, Clearvale and Clear ) is considered to have occurred ratably over the duration of the contract. We recognize revenue ratably over the contract periods. Services Revenues Consulting services revenues and training revenues are recognized as such services are performed. These services are not essential to the functionality of the software. We record reimbursements from our customers for out-of-pocket expenses as an increase to services revenues. Maintenance revenue, which includes revenue that is derived from software license agreements that entitle the customers to technical support and future unspecified enhancements to our products, is recognized ratably over the related agreement period, which time period is generally twelve months. Cash and Cash Equivalents, and Short-term Investments We consider all debt with remaining maturities of three months or less at the date of purchase to be cash equivalents. Short-term investments consist of debt that has a remaining maturity of less than one year as of the date of the balance sheet. Management determines the appropriate classification of short-term investments at the time of purchase and evaluates such designation as of each balance sheet date. All short-term investments to date have been classified as held-to-maturity and carried at amortized cost, which approximates fair market value, on our Consolidated Balance Sheets. Our held-to-maturity securities did not have any gross unrealized gains and losses as of December 31, 2016 and 2015, respectively. Our short-term investments’ contractual maturities occur before July 2017. Total interest income during fiscal years 2016 and 2015 was $86,000 and $76,000 , respectively. Research and Development and Software Development Costs ASC 985-20, Cost of Software to be Sold, Leased, or Marketed ("ASC 985-20"), requires capitalization of certain software development costs subsequent to the establishment of technological feasibility. Based on our product development process, technological feasibility is established upon the completion of a working model. To date, costs incurred by us from the completion of the working model to the point at which the product is ready for general release have been insignificant. Accordingly, we have charged all such costs to research and development expenses in the period incurred. Advertising Costs Advertising costs are expensed as incurred. Advertising expense, which is included in sales and marketing expense in the accompanying Consolidated Statements of Comprehensive Loss, amounted to $46,000 and $22,000 in 2016 and 2015, respectively. Receivable Reserves Occasionally, our customers experience financial difficulty after we recognize the revenue but before payment has been received. We maintain receivable reserves for estimated losses resulting from the inability of our customers to make required payments. Our normal payment terms are generally 30 to 90 days from the invoice date. If the financial condition of our customers were to deteriorate, resulting in their inability to make the contractual payments, additional reserves may be required. Losses from customer receivables in the two-year period ended December 31, 2016, have not been significant. If all efforts to collect a receivable fail, and the receivable is considered uncollectible, such receivable would be written off against the receivable reserve. Concentrations of Credit Risk Financial instruments that potentially subject us to concentrations of credit risk consist primarily of cash and cash equivalents, short-term investments, and accounts receivable. We maintain our cash and cash equivalents and short-term investments with high-quality institutions. Our management performs ongoing credit evaluations of our customers and requires certain of these customers to provide security deposits or letters of credit. Cash deposits and cash equivalents in foreign countries of approximately $1.8 million and $3.4 million on December 31, 2016 and 2015, respectively, are subject to local banking laws and may bear higher or lower risk than cash deposited in the United States. As part of our cash and investment management processes, we perform periodic evaluations of the credit standing of the financial institutions and we have not sustained any credit losses from instruments held at these financial institutions. From time to time, our financial instruments maintained in our foreign subsidiaries may be subject to political risks or instability that may arise in foreign countries where we operate. For the year ended December 31, 2016, Indian Railways Catering and Tourism Corporation Limited accounted for 12% of our total revenues. For the year ended December 31, 2015, no customer accounted for more than 10% of our total revenues. Property and Equipment Property and equipment are stated at cost and depreciated on a straight-line basis over their estimated useful lives (generally two years for software, three years for computer equipment and four years for furniture and fixtures). Leasehold improvements are amortized over the lesser of the remaining life of the lease term or their estimated useful lives. Maintenance and repairs are charged to operations as incurred. When assets are retired or otherwise disposed of, the cost and accumulated depreciation and amortization are removed from the accounts and any resulting gain or loss is reflected in operations in the period realized. Fair Value of Financial Instruments We adopted the provisions of ASC 820-10, Fair Value Measurement ("ASC 820-10 "). ASC 820-10 establishes a framework for measuring fair value and requires disclosures about fair value measurements by establishing a hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: • Level 1 – Quoted prices in active markets for identical assets or liabilities. • Level 2 – Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. We measure the following financial assets at fair value on a recurring basis. The fair value of these financial assets as of December 31, 2016 and 2015 (in thousands) were as follows Fair Value at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable December 31, Assets Inputs Inputs 2016 (Level 1) (Level 2) (Level 3) Cash and cash equivalents: Cash $ 3,664 $ 3,664 $ - $ - Money market funds 8,066 8,066 - - Total cash and cash equivalents $ 11,730 $ 11,730 $ - $ - Fixed income securities Corporate bonds - financial $ 2,201 $ - $ 2,201 $ - Corporate bonds - industrial 2,275 - 2,275 - U.S. Treasury Securities 3,498 - 3,498 - Total fixed income securities $ 7,974 $ - $ 7,974 $ - Fair Value at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable December 31, Assets Inputs Inputs 2015 (Level 1) (Level 2) (Level 3) Cash and cash equivalents: Cash $ 8,909 $ 8,909 $ - $ - Money market funds 691 691 - - Total cash and cash equivalents $ 9,600 $ 9,600 $ - $ - Fixed income securities Corporate bonds - financial $ 3,267 $ - $ 3,267 $ - Corporate bonds - industrial 5,051 - 5,051 - U.S. Treasury Securities 2,488 - 2,488 - Certificates of deposit 8,725 - 8,725 - Total fixed income securities $ 19,531 $ - $ 19,531 $ - Level 2 securities are priced using quoted market prices for similar instruments, nonbinding market prices that are corroborated by observable market data, or discounted cash flow techniques. The fair value of cash and cash equivalents, short-term investments, accounts receivable and accounts payable for all periods presented approximates their respective carrying amounts due to the short-term nature of these balances. Employee Benefit Plans Amended and Restated 2006 Equity Incentive Plan: At our 2006 annual meeting held on August 8, 2006, our stockholders approved the adoption of our 2006 Equity Incentive Plan (the "Equity Plan"). At that time, our 1996 Equity Incentive Plan (the "Prior Equity Plan") was terminated and replaced by the Equity Plan. On January 21, 2009, our Board of Directors adopted the Amended and Restated BroadVision, Inc. 2006 Equity Incentive Plan (the "Amended and Restated Plan"), which was subsequently approved by our stockholders on April 30, 2009. The Amended and Restated Plan includes an "evergreen" provision that provides for automatic annual increases in the number of shares authorized for issuance. As of December 31, 2016, we had 1,223,824 shares of our Common Stock reserved for issuance under the plan. In addition, the number of shares of our Common Stock available for issuance under the Plan will automatically increase on January 1st of each year for a period of ten years, commencing on January 1, 2010 and ending on (and including) January 1, 2019. Further, our Board of Directors may grant incentive or nonqualified stock options at prices not less than 100% of the fair market value of our common stock, as determined by the Board of Directors, at the date of grant. The vesting of individual options may vary but in each case at least 20% of the total number of shares subject to vesting will become exercisable per year. These options generally expire ten years after the grant date. 2000 Non-Officer Plan: In February 2000, we adopted our 2000 Non-Officer Plan under which 106,666 shares of common stock were reserved for issuance to selected employees, consultants, and our affiliates who are not Officers or Directors. As of December 31, 2016, we had 72,625 shares available for issuance under the 2000 Non-Officer Plan. Under the 2000 Non-Officer Plan, we may grant non-statutory stock options at prices not less than 85% of the fair market value of our common stock at the date of grant. Options granted under the 2000 Non-Officer Plan generally vest over two years and are exercisable for not more than ten years. Employee Stock Purchase Plan: We also have a compensatory Employee Stock Purchase Plan (the "Purchase Plan") that enables employees to purchase, through payroll deductions, shares of our common stock at a discount from the market price of the stock at the time of purchase. As of December 31, 2016, we had 92,207 shares available for issuance under the Purchase Plan. The Purchase Plan permits eligible employees to purchase common stock with a value equivalent to a percentage of the employee's earnings, not to exceed the lesser of 15% of the employee's earnings or $25,000 under Section 423(b)(8) of the Internal Revenue Code of 1986, at a price equal to the lesser of 85% of the fair market value of the common stock on the date of the offering or the date of purchase. In accordance with ASC 718-10, Compensation – Stock Compensation ("ASC 718-10"), we record stock-based compensation expense related to the fair value of the employee purchase rights in our Consolidated Statements of Comprehensive Loss. During 2016 and 2015, we received a total of $181,000 and $ 275,000 , respectively, primarily from the purchase of shares under the Purchase Plan. Stock-Based Compensation Under the fair value recognition provisions of ASC 718-10, share-based compensation cost is estimated at the grant date based on the fair value of the award and is recognized as expense, net of estimated pre-vesting forfeitures, ratably over the vesting period of the award. In addition, the adoption of ASC 718-10 requires additional accounting related to the income tax effects and disclosure regarding the cash flow effects resulting from share-based payment arrangements. Calculating share-based compensation expense requires the input of highly subjective assumptions, including the expected term of the share-based awards, stock price volatility, dividend yield, risk free interest rates, and pre-vesting forfeitures. The assumptions used in calculating the fair value of stock-based awards represent our best estimates, but these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and we use different assumptions, our share-based compensation expense could be materially different in the future. In addition, we are required to estimate the expected pre-vesting forfeiture rate and only recognize expense for those shares expected to vest. If our actual forfeiture rate is materially different from our estimate, our share-based compensation expense could be significantly different from what we have recorded in the current period. The total amount of stock-based compensation expense recognized during the years ended December 31, 2016 and 2015, is as follows (in thousands): Years Ended December 31, 2016 2015 Cost of services $ 127 $ 162 Research and development 272 309 Sales and marketing 297 355 General and administrative 179 238 $ 875 $ 1,064 We adopted the alternative transition method for calculating the tax effects of stock-based compensation pursuant to ASC 718-10. The alternative transition method includes simplified methods to establish the beginning balance of the additional paid-in capital pool ("APIC pool") related to the tax effects of employee stock-based compensation, and to determine the subsequent impact on the APIC pool and Consolidated Statements of Cash Flows of the tax effects of employee stock-based compensation awards that are outstanding upon adoption of ASC 718-10. The fair value of each option award is estimated on the date of grant using the Black-Scholes option valuation model based on assumptions noted in the following table below. The expected term of our options represents the period that our stock-based awards are expected to be outstanding based on the simplified method provided for in SAB 107, as amended by SAB No. 110, Share-Based Payment . Because we do not have sufficient historical exercise data, we used the simplified method for estimating the stock option expected term. The risk-free interest rate for periods related to the expected life of the options is based on the U.S. Treasury yield curve in effect at the time of grant. The expected volatility is based on historical volatilities of our stock over the expected life of the option. The expected dividend yield is zero , as we do not anticipate paying dividends in the near future. The following assumptions were used to determine stock-based compensation during the years ended December 31, 2016 and 2015: Years Ended December 31, 2016 2015 Expected volatility 67 % 59 % Expected dividends 0 % 0 % Expected term (in years) 6.25 year 6.25 year Risk free interest rate 1.5 % 2 % The following assumptions were used to determine the expense related to the Employee Stock Purchase Plan: Years Ended December 31, 2016 2015 Expected volatility 45 % 22 % Weighted average volatility 42 % 29 % Risk-free interest rate 0.2 % 0 % Expected term (in years) 1 year 1 year Expected dividend yield 0 % 0 % The weighted-average fair value of the purchase rights granted in the years ended December 31, 2016 and 2015, were $1.50 and $1.40 , respectively. Earnings Per Share Information Basic loss per share is computed using the weighted-average number of shares of common stock outstanding. Diluted net loss per share is computed using the weighted-average number of shares of common stock outstanding and, when dilutive, common equivalent shares from outstanding stock options using the treasury stock method. The following table sets forth the basic and diluted net loss per share computational data for the periods presented (in thousands, except per share amounts): Years Ended December 31, 2016 2015 Net loss $ (9,485) $ (11,437) Weighted-average common shares outstanding used to compute basic and diluted net loss per share 4,924 4,857 Basic and diluted net loss per share $ (1.93) $ (2.36) Foreign Currency Transactions The functional currencies of all foreign subsidiaries are the local currencies of the respective countries. Assets and liabilities of these subsidiaries are translated into U.S. dollars at the balance sheet date. Income and expense items are translated at average exchange rates for the period. Foreign exchange gains and losses resulting from the remeasurement of foreign currency assets and liabilities are included as other income, net in the Consolidated Statements of Comprehensive Loss. For the years ended December 31, 2016 and 2015, translation loss was $228,000 and $6,000 , respectively, and is included in other comprehensive loss account in the Consolidated Statements of Stockholder's Equity. Discontinued Foreign Subsidiary In September 2016, we completed the sale of BroadVision Scandinavia AB. The total sale price was $10,000 , of which the Company received cash payment of $7,500 in 2016, and the remainder is to be paid in 2017 as stipulated in the underlying agreement. Based on the assets and liabilities attributed to BroadVision Scandinavia AB on the date of the sale, and the estimated costs and expenses incurred in connection with the sale, the Company recorded a gain of $230,000 in the consolidated statement of comprehensive loss for the year ended December 31, 2016. In January 2015, we wound down the operations of BroadVision B .V. . Based on the assets and liabilities attributed to BroadVision B.V. on the date the legal entity was closed, the Company recorded a gain of $183,000 in the consolidated statement of comprehensive loss for the year ended December 31, 2015. Comprehensive Loss Comprehensive loss includes net loss and other comprehensive loss, which consist of cumulative translation adjustments. Total accumulated other comprehensive loss is displayed as a separate component of Consolidated Statement of Stockholder's Equity in the accompanying Consolidated Balance Sheets. The accumulated balance of other comprehensive loss, consisting of foreign currency translation adjustment and foreign currency translation reclassification upon sale of foreign subsidiary , net of taxes is as follows (in thousands): Accumulated Other Comprehensive Loss Balance, December 31, 2015 $ (739) Foreign currency translation adjustment 2 Foreign currency translation reclassified into earnings upon sale of foreign subsidiary (230) Balance, December 31, 2016 $ (967) Income Taxes and Deferred Tax Assets Income taxes are computed using an asset and liability approach in accordance with ASC 740-10, Income Taxes ("ASC 740-10"), which requires the recognition of taxes payable or refundable for the current year and deferred tax assets and liabilities for the future tax consequences of events that have been recognized in our Consolidated Financial Statements or tax returns. The measurement of current and deferred tax assets and liabilities is based on provisions of the enacted tax law; the effects of future changes in tax laws or rates are not anticipated. The measurement of deferred tax assets is reduced, if necessary, by the amount of any tax benefits that, based on available evidence, is not expected to be realized. We analyze our deferred tax assets with regard to potential realization. We have established a valuation allowance on our deferred tax assets to the extent that management has determined that it is more likely than not that some portion or all of the deferred tax asset will not be realized based upon the uncertainty of their realization. We consider the effects of estimated future taxable income, current economic conditions and ongoing prudent and feasible tax planning strategies in assessing the amount of the valuation allowance. Segment and Geographic Information We operate in one segment, electronic commerce business solutions. Our CEO is our chief operating decision maker. The CEO reviews financial information presented on a consolidated basis accompanied by disaggregated information about revenues by geographic region and by product for purposes of making operating decisions and assessing financial performance. Comparative Figures Certain comparative figures have been reclassified to conform to the current year presentation. These reclassifications had no effect on net income, total assets or cash flow Recent Accounting Pronouncements In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers: Topic 606 (ASU 2014-09), which amended the existing accounting standards for revenue recognition and will supersede most existing revenue recognition guidance under U.S. GAAP. ASU 2014-09 establishes princ iples to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. ASU 2014-09 defines a five step process to achieve this core principle and, in doing so, it is possible more judgment and estimates may be required within the revenue recognition process than are required under existing U.S. GAAP, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. ASU 2014-09 is effective for us using either of two methods: (i) retrospective application of ASU 2014-09 to each prior reporting period presented with the option to elect certain practical expedients as defined within ASU 2014-09; or (ii) retrospective application of ASU 2014-09 with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application and providing certain additional disclosures as defined per ASU 2014-09. As currently issued and amended, ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Early adoption is permitted only as of annual reporting periods beginning after December 15, 2016, with early adoption permitted but not earlier than the original effective date. Accordingly, the updated standard is effective for us in the first quarter of fiscal 2018 and we do not plan to early adopt. We have not yet selected a transition method and we are currently evaluating the effect that the updated standard will have on our consolidated financial statements and related disclosures. While we are continuing to assess all potential impacts of the new standard, we currently believe the most significant impact relates to our accounting for arrangements that include term-based software licenses bundled with maintenance and support. Undercurrent GAAP, the revenue attributable to these software licenses is recognized ratably over the term of the arrangement because VSOE does not exist for the undelivered maintenance and support element as it is not sold separately. The requirement to have VSOE for undelivered elements to enable the separation of revenue for the delivered software licenses is eliminated under the new standard. Accordingly, under the new standard we will be required to recognize as revenue a portion of the arrangement fee upon delivery of the software license. While we currently expect revenue related to our professional services and cloud offerings for business enterprises, individuals and teams to remain substantially unchanged, we are still in the process of evaluating the impact of the new standard on these arrangements. Due to the complexity of certain of our contracts, the actual revenue recognition treatment required under the new standard for these arrangements may be dependent on contract-specific terms and vary in some instances. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements — Going Concern (Subtopic 205-40). The new guidance addresses 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. Management’s evaluation should be based on relevant conditions and events that are known and reasonably knowable at the date that the financial statements are issued. The standard will be effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. Early adoption is permitted. ASU 2014-15 will be effective for the company beginning in the first quarter of fiscal 2017. The Company does not believe that the adoption of this guidance will have a material impact on its Consolidated Financial Statements. In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (Topic 842) ("ASU 2016-02"), which requires recognition of an asset and liability for lease arrangements longer than twelve months. ASU 2016-02 will be effective for the Company beginning in the first quarter of fiscal 2019. Early application is permitted, and it is required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The Company is currently assessing the potential impact of adopting this new guidance on its Consolidated Financial Statements. In March 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting ("ASU 2016-09"), which simplifies several aspects of the accounting for employee share-based payment transactions for both public and nonpublic entities, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. ASU 2016-09 will be effective for the Company beginning in the first quarter of fiscal 2017. Early application is permitted in any interim or annual period, with any adjustments reflected as of the beginning of the fiscal year of adoption. We believe the new standard will cause volatility in our effective tax rates and diluted earnings per share due to the tax effects related to share-based payments being recorded to the income statement. The volatility in future periods will depend on our stock price at the awards ’ vest dates and the number of awards that vest in each period. Further, we will not elect an accounting policy change to record forfeitures as they occur and will continue to estimate forfeitures at each period. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2016 | |
Property and Equipment [Abstract] | |
Property and Equipment | Note 2---Property and Equipment Property and equipment consisted of the following (in thousands): December 31, 2016 2015 Furniture and fixtures $ 159 $ 158 Computer and software 2,174 2,177 Leasehold improvements 179 178 Total property and equipment 2,512 2,513 Less accumulated depreciation and amortization (2,452) (2,426) Property and equipment, net $ 60 $ 87 Depreciation and amortization expense for the years ended December 31, 201 6 and 201 5 was $41,000 and $77,000 , respectively. We retired zero and $69,000 in fully depreciated property and equipment in 201 6 and 201 5 , respectively. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2016 | |
Accrued Expenses [Abstract] | |
Accrued Expenses | Note 3---Accrued Expenses Accrued expenses consisted of the following (in thousands): December 31, 2016 2015 Employee benefits $ 568 $ 615 Income tax 297 278 Sales and other taxes 158 144 Commissions and bonuses 243 298 Deferred rent 111 89 Other 489 737 Total accrued expenses $ 1,866 $ 2,161 |
Other Non-Current Liabilities
Other Non-Current Liabilities | 12 Months Ended |
Dec. 31, 2016 | |
Other Non-Current Liabilities [Abstract] | |
Other Non-Current Liabilities | Note 4---Other Non-Current Liabilities Other non-current liabilities consist of the following (in thousands): December 31, 2016 2015 Deferred maintenance and unearned revenue $ 223 $ 301 Other 511 617 Total other non-current liabilities $ 734 $ 918 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Taxes [Abstract] | |
Income Taxes | Note 5---Income Taxes Losses before income taxes as follows (in thousands): Years Ended December 31, 2016 2015 Domestic $ (7,812) $ (10,223) Foreign (1,625) (1,185) Loss before income taxes $ (9,437) $ (11,408) The components of benefit/( expense ) for income taxes are as follows (in thousands): Years Ended December 31, 2016 2015 Current: Federal $ - $ 4 State (4) (1) Foreign (44) (32) Total current (48) (29) Deferred: Federal (1,422) (3,871) State (336) 1,186 Foreign 318 461 Total deferred (1,440) (2,224) Valuation allowance 1,440 2,224 Provision for income taxes $ (48) $ (29) The differences between the benefit/ (expense) for income taxes computed at the federal statutory rate of 35% and our actual income tax expense for the periods presented are as follows (in thousands): Years Ended December 31, 2016 2015 Expected income tax benefit $ 3,303 $ 3,993 Expected state income taxes expense, net of federal tax benefit 216 (771) Research and development credit 169 147 Foreign taxes and foreign loss not benefited (925) (904) Change in valuation allowance (1,440) (2,224) Stock-based compensation (78) (198) True-ups (51) (155) Unrealized tax benefits (7) 154 Unrealized loss from foreign investments (1,226) - Others (9) (71) Provision for income taxes $ (48) $ (29) The individual components of our deferred tax assets are as follows (in thousands): Years Ended December 31, 2016 2015 Deferred tax assets: Depreciation and amortization $ 72 $ 265 Accrued, allowance and others 3,166 3,085 Net operating losses 207,270 204,693 Tax credits 8,731 8,407 Unrealized losses on marketable securities - 1,349 Total deferred tax assets 219,239 217,799 Less: valuation allowance (219,239) (217,799) Net deferred tax assets $ - $ - We have provided a valuation allowance for all of our deferred tax assets as of December 31, 201 6 and 201 5 , due to the uncertainty regarding their future realization. The total valuation allowance increased $1,440,000 from December 31, 201 5 to December 31, 201 6 . As of December 31, 201 6 , we had federal and state net operating loss ("NOL") carryforwards of approximately $578,378,000 and $ 30,946,000 available to offset future regular and alternative minimum taxable income. The NOLs include deductions for stock-based compensation for which a benefit would be recorded in additional paid-in capital when realized of $2,652,000 and $1,908,000 respectively. Our federal net operating loss carryforwards expire in various years from 2018 through 2036 , if not used. The state net operating loss carryforwards expire in various years from 2031 to 2036 , if not used. Due to the projected loss for the year with a full valuation allowance against its deferred tax assets, there is no tax impact for 2015 and 2016. As of December 31, 2016, we had federal and state research and development credit carryforwards of approximately $6,789,000 and $6,003,000 , respectively, available to offset future tax liabilities. The federal tax credit carryforwards expire in the tax years from 2018 through 2036, if not utilized. The state research and development credits can be carried forward indefinitely. Federal and state tax laws impose substantial restrictions on the utilization of net operating loss (“NOL”) and credit carryforwards in the event of an "ownership change" for tax purposes, as defined in IRC Section 382. Based on a high-level ownership change analysis performed each year, management concluded that there were no ownership changes through December 31, 201 6 . We follow the provision of ASC 740-10-25, Income Taxes: Recognition ("ASC 740-10-25"). Our total amount of unrecognized tax benefits as of December 31, 201 6 and 201 5 were $2,880,000 and $2,800,000 , respectively. The total amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate were $ 160,000 and $160,000 as of December 31, 201 6 and 201 5 , respectively. We recognize interest and penalties accrued related to unrecognized tax benefits in our provision for income taxes. During the years ended December 31, 2016 and 2015, respectively, we did not recognize any interest and penalties. A reconciliation of the beginning and ending balances of the total amounts of unrecognized tax benefits for the year ended December 31, 201 6 is as follows (in thousands): Balance at January 1, 2016 $ 2,800 Additions based on tax provisions related to the current year 112 Additions for tax provisions of prior year - Lapse of the statute of limitation (32) Balance at December 31, 2016 $ 2,880 We are subject to taxation in the United States and various foreign jurisdictions. Our tax years 1998 and forward remain open in several jurisdictions due to the NOL carryforward from those tax years. It is possible that the amount of our liability for unrecognized tax benefits may change within the next 12 months. However, an estimate of the range of possible changes cannot be made at this time. |
Commitments And Contingencies
Commitments And Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments And Contingencies [Abstract] | |
Commitments And Contingencies | Note 6 - - - Commitments and Contingencies Warranties and Indemnification We provide a warranty to our perpetual license customers that our software will perform substantially in accordance with the documentation we provide with the software, typically for a period of 90 days following receipt of the software. Historically, costs related to these warranties have been immaterial. Accordingly, we have not recorded any warranty liabilities as of December 31, 201 6 and 201 5 , respectively. Our perpetual software license agreements typically provide for indemnification of customers for intellectual property infringement claims caused by use of a current release of our software consistent with the terms of the license agreement. The term of these indemnification clauses is generally perpetual. The potential future payments we could be required to make under these indemnification clauses is generally limited to the amount the customer paid for the software. Historically, costs related to these indemnification provisions have been immaterial. We also maintain liability insurance that limits our exposure. As a result, we believe the potential liability of these indemnification clauses is minimal. We rarely have litigation initiated against us by customers. We entered into agreements whereby we indemnify our officers and directors for certain events or occurrences while the officer is, or was, serving in such capacity. The term of the indemnification period is for so long as such officer or director is subject to an indemnifiable event by reason of the fact that such person was serving in such capacity. The maximum potential amount of future payments we could be required to make under these indemnification agreements may be unlimited; however, we have a director and officer insurance policy that limits our exposure and enables us to recover a portion of any future amounts paid. As a result of our insurance policy coverage, we believe the estimated fair value of these indemnification agreements is insignificant. Accordingly, we have no liabilities recorded for these agreements as of December 31, 201 6 and 201 5 . We assess the need for an indemnification reserve on a quarterly basis and there can be no guarantee that an indemnification reserve will not become necessary in the future. Leases We lease our headquarters facility and our other facilities under noncancelable operating lease agreements expiring through the year 2018. Under the terms of the agreements, we are required to pay property taxes, insurance and normal maintenance costs. A summary of total future minimum lease payments under noncancelable operating lease agreements is as follows (in thousands): Operating Leases Years ending December 31, 2017 953 2018 420 2019 40 2020 - 2021 and thereafter - Total minimum lease payments $ 1,413 Rent expense for the year ended December 31, 201 6 , was $1,300,000 , same as for the year ending December 31 , 2015 . Legal Proceedings We are subject from time to time to various legal actions and other claims arising in the ordinary course of business. We are not presently a party to any material legal proceedings. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity [Abstract] | |
Stockholders' Equity | Note 7---Stockholders' Equity Convertible Preferred Stock As of December 31, 201 6 , there were no outstanding shares of convertible preferred stock. Our Board of Directors and our stockholders have authorized 1,000,000 shares of convertible preferred stock that are available for issuance. Common Stock As of December 31, 201 6 , we had reserved 385,666 common shares for future issuance upon the exercise of stock options. Year Ended December 31, 2016 Weighted- Weighted- Average Average Exercise Remaining Aggregate Options Price Contractual Intrinsic (000's) Per Share Term (Years) Value Outstanding at beginning of year 734 $ 9.06 Granted 10 $ 4.70 Exercised (2) $ 6.01 $ - Forfeited (45) $ 6.76 Expired (30) $ 9.96 Outstanding at end of year 667 $ 9.12 6.71 $ - Options exercisable at end of year 481 $ 9.87 6.31 $ - Options vested and expected to vest at end of year 635 $ 9.25 0.20 $ - The weighted-average fair market value per share of options granted under our stock option plans during fiscal 201 6 and 201 5 was $2.90 and $ 3.20 , respectively. We granted 16,965 shares of restricted stock to the non-employee members of our Board of Directors and Board of Directors’ advisor in 2016 and recorded a stock-based compensation expense of $ 92,000 . We granted 10,832 shares of restricted stock to the non-employee members of our Board of Directors in 201 5 , and recorded a stock-based compensation expense of $63,000 . The restricted stock of our Board of Directors will vest over a one -year period measured from the date of the annual meeting of stockholders with one quarter of the shares included in such Director Grant vesting on each of the dates that are three months, six months, nine months and twelve months from the annual meeting, so long as each board member continues to serve as a member of our board of directors on such vesting date. As of December 31, 201 6 , total unrecognized compensation cost related to unvested stock options was $732,000 , which is expected to be recognized over the remaining weighted-average vesting periods of 1 year . During the year ended December 31, 201 6 and 201 5 , we have received cash of $192,000 and $275,000 , respectively from the employee stock purchases and exercise of stock options. |
Geographic, Segment And Signifi
Geographic, Segment And Significant Customer Information | 12 Months Ended |
Dec. 31, 2016 | |
Geographic, Segment and Significant Customer Information [Abstract] | |
Geographic, Segment and Significant Customer Information | Note 8---Geographic, Segment and Significant Customer Information We operate in one segment: electronic business solutions. Our reportable segment includes our facilities in North and South America (Americas), Europe and Asia Pacific and the Middle East (Asia/Pacific). Our chief operating decision maker is considered to be the CEO. The CEO reviews financial information presented on a consolidated basis accompanied by disaggregated information about revenues by geographic region and by product for purposes of making operating decisions and assessing financial performance. The disaggregated revenue information reviewed by the CEO is as follows (in thousands): Years Ended December 31, 2016 2015 Software licenses $ 4,227 $ 4,414 Consulting services 1,521 2,056 Maintenance 2,192 2,972 Total revenues $ 7,940 $ 9,442 We sell our products and provide global services through a direct sales force and through a channel of independent distributors, value-added resellers ("VARs") and Application Service Providers ("ASPs"). In addition, the sales of our products are promoted through independent professional consulting organizations known as systems integrators ("SIs"). We provide global services through our BroadVision Global Services organization and indirectly through distributors, VARs, ASPs, and SIs. We currently operate in three primary geographical territories. Disaggregated financial information regarding our product and service revenues by geographic region is as follows (in thousands): Years Ended December 31, 2016 2015 Americas $ 3,665 $ 3,903 Europe 1,320 2,149 Asia/Pacific 2,955 3,390 Total revenues $ 7,940 $ 9,442 In 201 6 , license sales through independent distributors, VARs, ASPs, and SIs became significant. Although it was immaterial in the Americas and Europe, license sales via these channels accounted for 62% in Asia Pacific in 201 6 . |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 9---Related Party Transactions On November 14, 2008, BroadVision (Delaware) LLC, a Delaware limited liability company (“BVD”), which was then our wholly owned subsidiary, entered into a Share Purchase Agreement with CHRM LLC, a Delaware limited liability company, that is controlled by Dr. Pehong Chen, our CEO and largest stockholder and in which our CFO, Peter Chu holds a minority interest. We and CHRM LLC then entered into an Amended and Restated Operating Agreement of BroadVision (Delaware) LLC dated as of November 14, 2008 (the “BVD Operating Agreement”). Under these agreements, CHRM LLC received, in exchange for the assignment of certain intellectual property rights, 20 Class B Sh ares of BVD, representing the right to receive a portion of any distribution of Funds from “Capital Transactions” (as such term is defined in the BVD Operating Agreement), with the exact amount to be determined based on our and CHRM LLC’s capital account balances at the time of such distribution. A “capital transaction” under that agreement is any merger or sale of substantially all of the assets of BVD as a result of which the members of BVD will no longer have an interest in BVD or the assets of BVD will be distributed to its members. Class B Shares do not participate in any profits of BVD except for net profits related to a “capital transaction,” in which case the net profits are allocated to the owners of Class A and Class B Shares in proportion to their respective number of shares. To the extent BVD’s losses do not exceed undistributed net profits accumulated since the date of issuance of Class B Shares, such losses are allocated to Class A Shares. To the extent net losses exceed the undistributed net profits accumulated since the date of issuance of Class B Shares, such excess is allocated to the owners of Class A and Class B Shares in proportion to their respective cumulative capital contributions less any return of capital, until allocation of such losses results in having the capital account balances equal to zero . Then, net losses are allocated to the owners of Class A and Class B Shares in proportion to their respective number of shares. Upon liquidation the net assets of BVD are distributed to the owners of Class A and Class B in proportion to their capital account balances. BVD is the sole owner of BroadVision (Barbados) Limited (“BVB”) and BVB is the sole owner of BroadVision On Demand, a Chinese entity (“BVOD”). We have invested approximately $9.0 million in BVOD (directly and through BVD and BVB). In 2014 , we began making payments directly to BVOD for certain labor outsourcing services and expect to continue to pay BVOD for such services at the rate of approximately $500,000 per quarter for the foreseeable future. We made aggregate payments to BVOD of $2.0 million and $1.9 million (based on the RMB to USD exchange rates on the applicable dates of payment) for such services in the years ended December 31, 2016 and 2015, respectively. These payments in part covered services rendered outside of the applicable twelve month periods. We have a controlling voting interest in BVD. Pursuant to the terms of the BVD Operating Agreement, the Class B Shares held by CHRM LLC have no voting rights. The 20 Class B Shares of BVD represent a non-controlling interest. We allocate profits and losses of BVD to the non-controlling interest under the Hypothetical Liquidation Book Value (“HLBV”) method. Under this method the profits and losses are allocated by reference to the profit sharing provisions in the BVD Operating Agreement assuming liquidation of BVD at its book value at the end of each reporting period. Profits and losses allocated to the balance of such interest under the HLBV method have not been material. In April 2015, we executed a renewal contract with SINA Corporation of which Dr. Pehong Chen, our CEO and largest stockholder, is a board member through December 2015, pursuant to which we provided HR information management hosting service, including software subscription, system upgrade and technical support, to SINA Corporation . The total license revenue that we were entitled to receive under that contract through its expiration in March 2016 was $184,000 . We recognized $46,000 and $176,000 of license revenue related to that contract for the fiscal year 2016 and 2015, respectively. |
Employee Benefit Plan
Employee Benefit Plan | 12 Months Ended |
Dec. 31, 2016 | |
Employee Benefit Plan [Abstract] | |
Employee Benefit Plan | Note 10---Employee Benefit Plan We provide for a defined contribution employee retirement plan in accordance with section 401(k) of the Internal Revenue Code. Eligible employees are entitled to contribute up to the lower of 100% of their compensation or the IRS annual maximum. The Plan allows for discretionary contributions by us. As of July 1, 2011, we started a discretionary matching contribution. The amount is equal to a percentage determined annually by our management for the contribution period. Employees will be eligible for the match after 12 months of service and after completing 1,000 hours of work during the plan year. Employees must be employed on the last business day of the plan year to be eligible for the match. We have funded $61,000 and $69,000 for the year ended December 31, 201 6 and 2015, respectively . |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2016 | |
Schedule II - Valuation and Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts | Charged Balance at (Credited) to Balance at Beginning of Costs and End of Period Expenses Deductions(1) Period Receivable reserves: Year Ended December 31, 2016 $ 135 $ 32 $ - $ 167 Year Ended December 31, 2015 $ 213 $ - $ (78) $ 135 |
Orgnaization And Summary Of Sig
Orgnaization And Summary Of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Organization And Summary Of Significant Accounting Policies [Abstract] | |
Nature of Business | Nature of Business BroadVision, Inc. (collectively with its subsidiaries, "BroadVision" or "we") was incorporated in the state of Delaware on May 13, 1993, and has been a publicly traded corporation since 1996. We develop, market, and support enterprise portal applications that enable companies to unify their e-business infrastructure and conduct both interactions and transactions with employees, partners, and customers through a personalized self-service model that increases revenues, reduces costs, and improves productivity. |
Principles of Consolidation | Principles of Consolidation The accompanying Consolidated Financial Statements include our and our subsidiaries’ accounts. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of Consolidated Financial Statements in conformity with U.S. GAAP requires management to make certain assumptions and estimates that affect reported amounts of assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, we evaluate the reasonableness of our estimates, including those related to receivable reserves, stock-based compensation, investments and income taxes, as well as contingencies and litigation. We base our estimates on historical experience and on various other assumptions that we believe are reasonable, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates using different assumptions or conditions. We believe the following significant accounting policies reflect the more significant judgments and estimates used in the preparation of our Consolidated Financial Statements. |
Revenue Recognition | Revenue Recognition Overview Our revenue consists of fees for licenses of our software products, maintenance, consulting services and training. Our revenue recognition policies comply with Accounting Standards Codification ASC 985-605, Software: Revenue Recognition , and Staff Accounting Bulletin SAB 104, Revenue Recognition . In October 2009, the FASB amended the accounting standards in Accounting Standards Update ("ASU") 2009-13 (an update to ASC 605-25) ("ASU 2009-13") for certain multiple deliverable revenue arrangements to: 1) provide updated guidance on whether multiple deliverables exist, how the deliverables in an arrangement should be separated, and how the consideration should be allocated; 2) require an entity to allocate revenue in an arrangement using best estimated selling price ("BESP") of deliverables if a vendor does not have VSOE of selling price or third-party evidence ("TPE") of selling price; and 3) eliminate the use of the residual method and require an entity to allocate revenue using the relative selling price method. We recognize revenue when all four of the following revenue recognition criteria have been met: • Persuasive evidence of an arrangement exists; • We have delivered the product or performed the service; • The fee is fixed or determinable; and • Collection is probable. We qualify the second of the above listed criteria differently for different types of revenues, as follows. Software License Revenue, Non-Subscription and Non-Hosted Products Delivery of non-subscription and non-hosted software products is considered to have occurred when title to the physical media and risk of loss have been transferred to the customer, which generally occurs when media containing the licensed programs is provided to a common carrier. In case of electronic delivery, delivery occurs when the customer is given access to the licensed programs. For products that cannot be used without a licensing key, the delivery requirement is met when the licensing key is made available to the customer. We do not grant a right of return for non-subscription or non-hosted software products. We recognize revenue upon delivery of our software. Software License Revenue, Subscription Products or Hosted Products Although we made the software available to the customer at a particular point in time, the delivery of subscription software products (such as QuickSilver ) and hosted software products (such as Vmoso, Clearvale and Clear ) is considered to have occurred ratably over the duration of the contract. We recognize revenue ratably over the contract periods. Services Revenues Consulting services revenues and training revenues are recognized as such services are performed. These services are not essential to the functionality of the software. We record reimbursements from our customers for out-of-pocket expenses as an increase to services revenues. Maintenance revenue, which includes revenue that is derived from software license agreements that entitle the customers to technical support and future unspecified enhancements to our products, is recognized ratably over the related agreement period, which time period is generally twelve months. |
Cash and Cash Equivalents, and Short-term Investments | Cash and Cash Equivalents, and Short-term Investments We consider all debt with remaining maturities of three months or less at the date of purchase to be cash equivalents. Short-term investments consist of debt that has a remaining maturity of less than one year as of the date of the balance sheet. Management determines the appropriate classification of short-term investments at the time of purchase and evaluates such designation as of each balance sheet date. All short-term investments to date have been classified as held-to-maturity and carried at amortized cost, which approximates fair market value, on our Consolidated Balance Sheets. Our held-to-maturity securities did not have any gross unrealized gains and losses as of December 31, 2016 and 2015, respectively. Our short-term investments’ contractual maturities occur before July 2017. Total interest income during fiscal years 2016 and 2015 was $86,000 and $76,000 , respectively. |
Research and Development and Software Development Costs | Research and Development and Software Development Costs ASC 985-20, Cost of Software to be Sold, Leased, or Marketed ("ASC 985-20"), requires capitalization of certain software development costs subsequent to the establishment of technological feasibility. Based on our product development process, technological feasibility is established upon the completion of a working model. To date, costs incurred by us from the completion of the working model to the point at which the product is ready for general release have been insignificant. Accordingly, we have charged all such costs to research and development expenses in the period incurred. |
Advertising Costs | Advertising Costs Advertising costs are expensed as incurred. Advertising expense, which is included in sales and marketing expense in the accompanying Consolidated Statements of Comprehensive Loss, amounted to $46,000 and $22,000 in 2016 and 2015, respectively. |
Receivable Reserves | Receivable Reserves Occasionally, our customers experience financial difficulty after we recognize the revenue but before payment has been received. We maintain receivable reserves for estimated losses resulting from the inability of our customers to make required payments. Our normal payment terms are generally 30 to 90 days from the invoice date. If the financial condition of our customers were to deteriorate, resulting in their inability to make the contractual payments, additional reserves may be required. Losses from customer receivables in the two-year period ended December 31, 2016, have not been significant. If all efforts to collect a receivable fail, and the receivable is considered uncollectible, such receivable would be written off against the receivable reserve. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject us to concentrations of credit risk consist primarily of cash and cash equivalents, short-term investments, and accounts receivable. We maintain our cash and cash equivalents and short-term investments with high-quality institutions. Our management performs ongoing credit evaluations of our customers and requires certain of these customers to provide security deposits or letters of credit. Cash deposits and cash equivalents in foreign countries of approximately $1.8 million and $3.4 million on December 31, 2016 and 2015, respectively, are subject to local banking laws and may bear higher or lower risk than cash deposited in the United States. As part of our cash and investment management processes, we perform periodic evaluations of the credit standing of the financial institutions and we have not sustained any credit losses from instruments held at these financial institutions. From time to time, our financial instruments maintained in our foreign subsidiaries may be subject to political risks or instability that may arise in foreign countries where we operate. For the year ended December 31, 2016, Indian Railways Catering and Tourism Corporation Limited accounted for 12% of our total revenues. For the year ended December 31, 2015, no customer accounted for more than 10% of our total revenues. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost and depreciated on a straight-line basis over their estimated useful lives (generally two years for software, three years for computer equipment and four years for furniture and fixtures). Leasehold improvements are amortized over the lesser of the remaining life of the lease term or their estimated useful lives. Maintenance and repairs are charged to operations as incurred. When assets are retired or otherwise disposed of, the cost and accumulated depreciation and amortization are removed from the accounts and any resulting gain or loss is reflected in operations in the period realized. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments We adopted the provisions of ASC 820-10, Fair Value Measurement ("ASC 820-10 "). ASC 820-10 establishes a framework for measuring fair value and requires disclosures about fair value measurements by establishing a hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: • Level 1 – Quoted prices in active markets for identical assets or liabilities. • Level 2 – Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. We measure the following financial assets at fair value on a recurring basis. The fair value of these financial assets as of December 31, 2016 and 2015 (in thousands) were as follows Fair Value at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable December 31, Assets Inputs Inputs 2016 (Level 1) (Level 2) (Level 3) Cash and cash equivalents: Cash $ 3,664 $ 3,664 $ - $ - Money market funds 8,066 8,066 - - Total cash and cash equivalents $ 11,730 $ 11,730 $ - $ - Fixed income securities Corporate bonds - financial $ 2,201 $ - $ 2,201 $ - Corporate bonds - industrial 2,275 - 2,275 - U.S. Treasury Securities 3,498 - 3,498 - Total fixed income securities $ 7,974 $ - $ 7,974 $ - Fair Value at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable December 31, Assets Inputs Inputs 2015 (Level 1) (Level 2) (Level 3) Cash and cash equivalents: Cash $ 8,909 $ 8,909 $ - $ - Money market funds 691 691 - - Total cash and cash equivalents $ 9,600 $ 9,600 $ - $ - Fixed income securities Corporate bonds - financial $ 3,267 $ - $ 3,267 $ - Corporate bonds - industrial 5,051 - 5,051 - U.S. Treasury Securities 2,488 - 2,488 - Certificates of deposit 8,725 - 8,725 - Total fixed income securities $ 19,531 $ - $ 19,531 $ - Level 2 securities are priced using quoted market prices for similar instruments, nonbinding market prices that are corroborated by observable market data, or discounted cash flow techniques. The fair value of cash and cash equivalents, short-term investments, accounts receivable and accounts payable for all periods presented approximates their respective carrying amounts due to the short-term nature of these balances. |
Employee Benefit Plans | Employee Benefit Plans Amended and Restated 2006 Equity Incentive Plan: At our 2006 annual meeting held on August 8, 2006, our stockholders approved the adoption of our 2006 Equity Incentive Plan (the "Equity Plan"). At that time, our 1996 Equity Incentive Plan (the "Prior Equity Plan") was terminated and replaced by the Equity Plan. On January 21, 2009, our Board of Directors adopted the Amended and Restated BroadVision, Inc. 2006 Equity Incentive Plan (the "Amended and Restated Plan"), which was subsequently approved by our stockholders on April 30, 2009. The Amended and Restated Plan includes an "evergreen" provision that provides for automatic annual increases in the number of shares authorized for issuance. As of December 31, 2016, we had 1,223,824 shares of our Common Stock reserved for issuance under the plan. In addition, the number of shares of our Common Stock available for issuance under the Plan will automatically increase on January 1st of each year for a period of ten years, commencing on January 1, 2010 and ending on (and including) January 1, 2019. Further, our Board of Directors may grant incentive or nonqualified stock options at prices not less than 100% of the fair market value of our common stock, as determined by the Board of Directors, at the date of grant. The vesting of individual options may vary but in each case at least 20% of the total number of shares subject to vesting will become exercisable per year. These options generally expire ten years after the grant date. 2000 Non-Officer Plan: In February 2000, we adopted our 2000 Non-Officer Plan under which 106,666 shares of common stock were reserved for issuance to selected employees, consultants, and our affiliates who are not Officers or Directors. As of December 31, 2016, we had 72,625 shares available for issuance under the 2000 Non-Officer Plan. Under the 2000 Non-Officer Plan, we may grant non-statutory stock options at prices not less than 85% of the fair market value of our common stock at the date of grant. Options granted under the 2000 Non-Officer Plan generally vest over two years and are exercisable for not more than ten years. Employee Stock Purchase Plan: We also have a compensatory Employee Stock Purchase Plan (the "Purchase Plan") that enables employees to purchase, through payroll deductions, shares of our common stock at a discount from the market price of the stock at the time of purchase. As of December 31, 2016, we had 92,207 shares available for issuance under the Purchase Plan. The Purchase Plan permits eligible employees to purchase common stock with a value equivalent to a percentage of the employee's earnings, not to exceed the lesser of 15% of the employee's earnings or $25,000 under Section 423(b)(8) of the Internal Revenue Code of 1986, at a price equal to the lesser of 85% of the fair market value of the common stock on the date of the offering or the date of purchase. In accordance with ASC 718-10, Compensation – Stock Compensation ("ASC 718-10"), we record stock-based compensation expense related to the fair value of the employee purchase rights in our Consolidated Statements of Comprehensive Loss. During 2016 and 2015, we received a total of $181,000 and $ 275,000 , respectively, primarily from the purchase of shares under the Purchase Plan. |
Stock-based Compensation | Stock-Based Compensation Under the fair value recognition provisions of ASC 718-10, share-based compensation cost is estimated at the grant date based on the fair value of the award and is recognized as expense, net of estimated pre-vesting forfeitures, ratably over the vesting period of the award. In addition, the adoption of ASC 718-10 requires additional accounting related to the income tax effects and disclosure regarding the cash flow effects resulting from share-based payment arrangements. Calculating share-based compensation expense requires the input of highly subjective assumptions, including the expected term of the share-based awards, stock price volatility, dividend yield, risk free interest rates, and pre-vesting forfeitures. The assumptions used in calculating the fair value of stock-based awards represent our best estimates, but these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and we use different assumptions, our share-based compensation expense could be materially different in the future. In addition, we are required to estimate the expected pre-vesting forfeiture rate and only recognize expense for those shares expected to vest. If our actual forfeiture rate is materially different from our estimate, our share-based compensation expense could be significantly different from what we have recorded in the current period. The total amount of stock-based compensation expense recognized during the years ended December 31, 2016 and 2015, is as follows (in thousands): Years Ended December 31, 2016 2015 Cost of services $ 127 $ 162 Research and development 272 309 Sales and marketing 297 355 General and administrative 179 238 $ 875 $ 1,064 We adopted the alternative transition method for calculating the tax effects of stock-based compensation pursuant to ASC 718-10. The alternative transition method includes simplified methods to establish the beginning balance of the additional paid-in capital pool ("APIC pool") related to the tax effects of employee stock-based compensation, and to determine the subsequent impact on the APIC pool and Consolidated Statements of Cash Flows of the tax effects of employee stock-based compensation awards that are outstanding upon adoption of ASC 718-10. The fair value of each option award is estimated on the date of grant using the Black-Scholes option valuation model based on assumptions noted in the following table below. The expected term of our options represents the period that our stock-based awards are expected to be outstanding based on the simplified method provided for in SAB 107, as amended by SAB No. 110, Share-Based Payment . Because we do not have sufficient historical exercise data, we used the simplified method for estimating the stock option expected term. The risk-free interest rate for periods related to the expected life of the options is based on the U.S. Treasury yield curve in effect at the time of grant. The expected volatility is based on historical volatilities of our stock over the expected life of the option. The expected dividend yield is zero , as we do not anticipate paying dividends in the near future. The following assumptions were used to determine stock-based compensation during the years ended December 31, 2016 and 2015: Years Ended December 31, 2016 2015 Expected volatility 67 % 59 % Expected dividends 0 % 0 % Expected term (in years) 6.25 year 6.25 year Risk free interest rate 1.5 % 2 % The following assumptions were used to determine the expense related to the Employee Stock Purchase Plan: Years Ended December 31, 2016 2015 Expected volatility 45 % 22 % Weighted average volatility 42 % 29 % Risk-free interest rate 0.2 % 0 % Expected term (in years) 1 year 1 year Expected dividend yield 0 % 0 % The weighted-average fair value of the purchase rights granted in the years ended December 31, 2016 and 2015, were $1.50 and $1.40 , respectively. |
Earning Per Share Information | Earnings Per Share Information Basic loss per share is computed using the weighted-average number of shares of common stock outstanding. Diluted net loss per share is computed using the weighted-average number of shares of common stock outstanding and, when dilutive, common equivalent shares from outstanding stock options using the treasury stock method. The following table sets forth the basic and diluted net loss per share computational data for the periods presented (in thousands, except per share amounts): Years Ended December 31, 2016 2015 Net loss $ (9,485) $ (11,437) Weighted-average common shares outstanding used to compute basic and diluted net loss per share 4,924 4,857 Basic and diluted net loss per share $ (1.93) $ (2.36) |
Foreign Currency Translations | Foreign Currency Transactions The functional currencies of all foreign subsidiaries are the local currencies of the respective countries. Assets and liabilities of these subsidiaries are translated into U.S. dollars at the balance sheet date. Income and expense items are translated at average exchange rates for the period. Foreign exchange gains and losses resulting from the remeasurement of foreign currency assets and liabilities are included as other income, net in the Consolidated Statements of Comprehensive Loss. For the years ended December 31, 2016 and 2015, translation loss was $228,000 and $6,000 , respectively, and is included in other comprehensive loss account in the Consolidated Statements of Stockholder's Equity. |
Discontinued Foreign Subsidiary | Discontinued Foreign Subsidiary In September 2016, we completed the sale of BroadVision Scandinavia AB. The total sale price was $10,000 , of which the Company received cash payment of $7,500 in 2016, and the remainder is to be paid in 2017 as stipulated in the underlying agreement. Based on the assets and liabilities attributed to BroadVision Scandinavia AB on the date of the sale, and the estimated costs and expenses incurred in connection with the sale, the Company recorded a gain of $230,000 in the consolidated statement of comprehensive loss for the year ended December 31, 2016. In January 2015, we wound down the operations of BroadVision B .V. . Based on the assets and liabilities attributed to BroadVision B.V. on the date the legal entity was closed, the Company recorded a gain of $183,000 in the consolidated statement of comprehensive loss for the year ended December 31, 2015. |
Comprehensive Loss | Comprehensive Loss Comprehensive loss includes net loss and other comprehensive loss, which consist of cumulative translation adjustments. Total accumulated other comprehensive loss is displayed as a separate component of Consolidated Statement of Stockholder's Equity in the accompanying Consolidated Balance Sheets. The accumulated balance of other comprehensive loss, consisting of foreign currency translation adjustment and foreign currency translation reclassification upon sale of foreign subsidiary , net of taxes is as follows (in thousands): Accumulated Other Comprehensive Loss Balance, December 31, 2015 $ (739) Foreign currency translation adjustment 2 Foreign currency translation reclassified into earnings upon sale of foreign subsidiary (230) Balance, December 31, 2016 $ (967) |
Income Taxes and Deferred Tax Assets | Income Taxes and Deferred Tax Assets Income taxes are computed using an asset and liability approach in accordance with ASC 740-10, Income Taxes ("ASC 740-10"), which requires the recognition of taxes payable or refundable for the current year and deferred tax assets and liabilities for the future tax consequences of events that have been recognized in our Consolidated Financial Statements or tax returns. The measurement of current and deferred tax assets and liabilities is based on provisions of the enacted tax law; the effects of future changes in tax laws or rates are not anticipated. The measurement of deferred tax assets is reduced, if necessary, by the amount of any tax benefits that, based on available evidence, is not expected to be realized. We analyze our deferred tax assets with regard to potential realization. We have established a valuation allowance on our deferred tax assets to the extent that management has determined that it is more likely than not that some portion or all of the deferred tax asset will not be realized based upon the uncertainty of their realization. We consider the effects of estimated future taxable income, current economic conditions and ongoing prudent and feasible tax planning strategies in assessing the amount of the valuation allowance. |
Segment and Geographic Information | Segment and Geographic Information We operate in one segment, electronic commerce business solutions. Our CEO is our chief operating decision maker. The CEO reviews financial information presented on a consolidated basis accompanied by disaggregated information about revenues by geographic region and by product for purposes of making operating decisions and assessing financial performance. |
Comparative Figures | Comparative Figures Certain comparative figures have been reclassified to conform to the current year presentation. These reclassifications had no effect on net income, total assets or cash flow |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers: Topic 606 (ASU 2014-09), which amended the existing accounting standards for revenue recognition and will supersede most existing revenue recognition guidance under U.S. GAAP. ASU 2014-09 establishes princ iples to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. ASU 2014-09 defines a five step process to achieve this core principle and, in doing so, it is possible more judgment and estimates may be required within the revenue recognition process than are required under existing U.S. GAAP, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. ASU 2014-09 is effective for us using either of two methods: (i) retrospective application of ASU 2014-09 to each prior reporting period presented with the option to elect certain practical expedients as defined within ASU 2014-09; or (ii) retrospective application of ASU 2014-09 with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application and providing certain additional disclosures as defined per ASU 2014-09. As currently issued and amended, ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Early adoption is permitted only as of annual reporting periods beginning after December 15, 2016, with early adoption permitted but not earlier than the original effective date. Accordingly, the updated standard is effective for us in the first quarter of fiscal 2018 and we do not plan to early adopt. We have not yet selected a transition method and we are currently evaluating the effect that the updated standard will have on our consolidated financial statements and related disclosures. While we are continuing to assess all potential impacts of the new standard, we currently believe the most significant impact relates to our accounting for arrangements that include term-based software licenses bundled with maintenance and support. Undercurrent GAAP, the revenue attributable to these software licenses is recognized ratably over the term of the arrangement because VSOE does not exist for the undelivered maintenance and support element as it is not sold separately. The requirement to have VSOE for undelivered elements to enable the separation of revenue for the delivered software licenses is eliminated under the new standard. Accordingly, under the new standard we will be required to recognize as revenue a portion of the arrangement fee upon delivery of the software license. While we currently expect revenue related to our professional services and cloud offerings for business enterprises, individuals and teams to remain substantially unchanged, we are still in the process of evaluating the impact of the new standard on these arrangements. Due to the complexity of certain of our contracts, the actual revenue recognition treatment required under the new standard for these arrangements may be dependent on contract-specific terms and vary in some instances. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements — Going Concern (Subtopic 205-40). The new guidance addresses 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. Management’s evaluation should be based on relevant conditions and events that are known and reasonably knowable at the date that the financial statements are issued. The standard will be effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. Early adoption is permitted. ASU 2014-15 will be effective for the company beginning in the first quarter of fiscal 2017. The Company does not believe that the adoption of this guidance will have a material impact on its Consolidated Financial Statements. In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (Topic 842) ("ASU 2016-02"), which requires recognition of an asset and liability for lease arrangements longer than twelve months. ASU 2016-02 will be effective for the Company beginning in the first quarter of fiscal 2019. Early application is permitted, and it is required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The Company is currently assessing the potential impact of adopting this new guidance on its Consolidated Financial Statements. In March 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting ("ASU 2016-09"), which simplifies several aspects of the accounting for employee share-based payment transactions for both public and nonpublic entities, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. ASU 2016-09 will be effective for the Company beginning in the first quarter of fiscal 2017. Early application is permitted in any interim or annual period, with any adjustments reflected as of the beginning of the fiscal year of adoption. We believe the new standard will cause volatility in our effective tax rates and diluted earnings per share due to the tax effects related to share-based payments being recorded to the income statement. The volatility in future periods will depend on our stock price at the awards ’ vest dates and the number of awards that vest in each period. Further, we will not elect an accounting policy change to record forfeitures as they occur and will continue to estimate forfeitures at each period. |
Orgnaization And Summary Of S19
Orgnaization And Summary Of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Organization And Summary Of Significant Accounting Policies [Abstract] | |
Schedule Of Fair Value, Assets Measured on Recurring Basis | Fair Value at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable December 31, Assets Inputs Inputs 2016 (Level 1) (Level 2) (Level 3) Cash and cash equivalents: Cash $ 3,664 $ 3,664 $ - $ - Money market funds 8,066 8,066 - - Total cash and cash equivalents $ 11,730 $ 11,730 $ - $ - Fixed income securities Corporate bonds - financial $ 2,201 $ - $ 2,201 $ - Corporate bonds - industrial 2,275 - 2,275 - U.S. Treasury Securities 3,498 - 3,498 - Total fixed income securities $ 7,974 $ - $ 7,974 $ - Fair Value at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable December 31, Assets Inputs Inputs 2015 (Level 1) (Level 2) (Level 3) Cash and cash equivalents: Cash $ 8,909 $ 8,909 $ - $ - Money market funds 691 691 - - Total cash and cash equivalents $ 9,600 $ 9,600 $ - $ - Fixed income securities Corporate bonds - financial $ 3,267 $ - $ 3,267 $ - Corporate bonds - industrial 5,051 - 5,051 - U.S. Treasury Securities 2,488 - 2,488 - Certificates of deposit 8,725 - 8,725 - Total fixed income securities $ 19,531 $ - $ 19,531 $ - |
Schedule Of Components Of The Total Stock-Based Compmensation Expense | Years Ended December 31, 2016 2015 Cost of services $ 127 $ 162 Research and development 272 309 Sales and marketing 297 355 General and administrative 179 238 $ 875 $ 1,064 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | Years Ended December 31, 2016 2015 Expected volatility 67 % 59 % Expected dividends 0 % 0 % Expected term (in years) 6.25 year 6.25 year Risk free interest rate 1.5 % 2 % |
Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions | Years Ended December 31, 2016 2015 Expected volatility 45 % 22 % Weighted average volatility 42 % 29 % Risk-free interest rate 0.2 % 0 % Expected term (in years) 1 year 1 year Expected dividend yield 0 % 0 % |
Schedule Of Basic And Diluted Net Loss Per Share | Years Ended December 31, 2016 2015 Net loss $ (9,485) $ (11,437) Weighted-average common shares outstanding used to compute basic and diluted net loss per share 4,924 4,857 Basic and diluted net loss per share $ (1.93) $ (2.36) |
Schedule of Accumulated Balances Of Other Comprehensive Loss | Accumulated Other Comprehensive Loss Balance, December 31, 2015 $ (739) Foreign currency translation adjustment 2 Foreign currency translation reclassified into earnings upon sale of foreign subsidiary (230) Balance, December 31, 2016 $ (967) |
Property And Equipment (Tables)
Property And Equipment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property and Equipment [Abstract] | |
Schedule of Property and Equipment | December 31, 2016 2015 Furniture and fixtures $ 159 $ 158 Computer and software 2,174 2,177 Leasehold improvements 179 178 Total property and equipment 2,512 2,513 Less accumulated depreciation and amortization (2,452) (2,426) Property and equipment, net $ 60 $ 87 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accrued Expenses [Abstract] | |
Schedule Of Accrued Expenses | December 31, 2016 2015 Employee benefits $ 568 $ 615 Income tax 297 278 Sales and other taxes 158 144 Commissions and bonuses 243 298 Deferred rent 111 89 Other 489 737 Total accrued expenses $ 1,866 $ 2,161 |
Other Non-Current Liabilities (
Other Non-Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Other Non-Current Liabilities [Abstract] | |
Schedule Of Other Non Current Liabilities | December 31, 2016 2015 Deferred maintenance and unearned revenue $ 223 $ 301 Other 511 617 Total other non-current liabilities $ 734 $ 918 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Taxes [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign | Years Ended December 31, 2016 2015 Domestic $ (7,812) $ (10,223) Foreign (1,625) (1,185) Loss before income taxes $ (9,437) $ (11,408) |
Schedule of Components of Income Tax Expense | Years Ended December 31, 2016 2015 Current: Federal $ - $ 4 State (4) (1) Foreign (44) (32) Total current (48) (29) Deferred: Federal (1,422) (3,871) State (336) 1,186 Foreign 318 461 Total deferred (1,440) (2,224) Valuation allowance 1,440 2,224 Provision for income taxes $ (48) $ (29) |
Schedule of Effective Income Tax Rate Reconciliation | Years Ended December 31, 2016 2015 Expected income tax benefit $ 3,303 $ 3,993 Expected state income taxes expense, net of federal tax benefit 216 (771) Research and development credit 169 147 Foreign taxes and foreign loss not benefited (925) (904) Change in valuation allowance (1,440) (2,224) Stock-based compensation (78) (198) True-ups (51) (155) Unrealized tax benefits (7) 154 Unrealized loss from foreign investments (1,226) - Others (9) (71) Provision for income taxes $ (48) $ (29) |
Schedule of Deferred Tax Assets and Liabilities | Years Ended December 31, 2016 2015 Deferred tax assets: Depreciation and amortization $ 72 $ 265 Accrued, allowance and others 3,166 3,085 Net operating losses 207,270 204,693 Tax credits 8,731 8,407 Unrealized losses on marketable securities - 1,349 Total deferred tax assets 219,239 217,799 Less: valuation allowance (219,239) (217,799) Net deferred tax assets $ - $ - |
Summary of Income Tax Contingencies | Balance at January 1, 2016 $ 2,800 Additions based on tax provisions related to the current year 112 Additions for tax provisions of prior year - Lapse of the statute of limitation (32) Balance at December 31, 2016 $ 2,880 |
Commitments And Contingencies (
Commitments And Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments And Contingencies [Abstract] | |
Schedule Of Future Minimum Lease Payments | Operating Leases Years ending December 31, 2017 953 2018 420 2019 40 2020 - 2021 and thereafter - Total minimum lease payments $ 1,413 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity [Abstract] | |
Schedule of Summary of Activity Under Stock Option Plans | Year Ended December 31, 2016 Weighted- Weighted- Average Average Exercise Remaining Aggregate Options Price Contractual Intrinsic (000's) Per Share Term (Years) Value Outstanding at beginning of year 734 $ 9.06 Granted 10 $ 4.70 Exercised (2) $ 6.01 $ - Forfeited (45) $ 6.76 Expired (30) $ 9.96 Outstanding at end of year 667 $ 9.12 6.71 $ - Options exercisable at end of year 481 $ 9.87 6.31 $ - Options vested and expected to vest at end of year 635 $ 9.25 0.20 $ - |
Geographical, Segment And Signi
Geographical, Segment And Significant Customer Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Geographic, Segment and Significant Customer Information [Abstract] | |
Schedule Of Revenue Regarding Types Of Revenue | Years Ended December 31, 2016 2015 Software licenses $ 4,227 $ 4,414 Consulting services 1,521 2,056 Maintenance 2,192 2,972 Total revenues $ 7,940 $ 9,442 |
Schedule of Revenue by Geographic Area | Years Ended December 31, 2016 2015 Americas $ 3,665 $ 3,903 Europe 1,320 2,149 Asia/Pacific 2,955 3,390 Total revenues $ 7,940 $ 9,442 |
Organization And Summary Of S27
Organization And Summary Of Significant Accounting Policies (Narrative) (Details) | 12 Months Ended | |
Dec. 31, 2016USD ($)segment$ / sharesshares | Dec. 31, 2015USD ($)$ / shares | |
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Held-to-maturity Securities, Unrecognized Holding Gain | $ 0 | $ 0 |
Held-to-maturity Securities, Unrecognized Holding Loss | $ 0 | 0 |
Short-term investment, maturity date | Jul. 31, 2017 | |
Interest income, net | $ 86,000 | 76,000 |
Advertising costs | 46,000 | 22,000 |
Cash and cash equivalents | $ 11,730,000 | 9,600,000 |
Vesting period | 1 year | |
Proceeds from issuance of common stock, net | $ 181,000 | 275,000 |
Other comprehensive income (loss) | $ (228,000) | (6,000) |
Operating segments | segment | 1 | |
Disposal Group, Not Discontinued Operations [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Total sale price | $ 10,000 | |
Cash payment | 7,500 | |
Gain on foreign subsidiary | $ 230,000 | 183,000 |
Sales Revenue, Net [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
A single customer accounts for 10% of revenue | 12.00% | |
Software Licenses [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Estimated useful lives | 2 years | |
Computer Equipment [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Estimated useful lives | 3 years | |
Furniture and Fixtures [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Estimated useful lives | 4 years | |
Foreign [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Cash and cash equivalents | $ 1,800,000 | $ 3,400,000 |
Employee Stock Purchase Plan [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Number of shares available for Future Issuance | shares | 92,207 | |
Weighted-average fair value of the employee purchase right | $ / shares | $ 1.50 | $ 1.40 |
Employee Stock Purchase Plan [Member] | Maximum [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Employee Stock Purchase Plan Purchase Price Percent Of Fair Value During Offerring Period | 85.00% | |
Maximum employee subscription rate | 15.00% | |
Maximum employee subscription amount | $ 25,000 | |
Amended And Restated 2006 Equity Incentive Plan [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Number of shares authorized for future issuance | shares | 1,223,824 | |
Amended And Restated 2006 Equity Incentive Plan [Member] | Minimum [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Minmum stock option exercise price | 100.00% | |
Number of shares subject to vesting that will become exercisable per year | 20.00% | |
Amended And Restated 2006 Equity Incentive Plan [Member] | Maximum [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Stock-based compensation contractual term | 10 years | |
2000 Non-Officer Plan [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Number of shares authorized for future issuance | shares | 106,666 | |
Vesting period | 2 years | |
Number of shares available for Future Issuance | shares | 72,625 | |
2000 Non-Officer Plan [Member] | Minimum [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Minmum stock option exercise price | 85.00% | |
2000 Non-Officer Plan [Member] | Maximum [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Stock-based compensation contractual term | 10 years | |
Employee Stock Option [Member] | ||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||
Number of shares available for Future Issuance | shares | 385,666 | |
Expected dividend | 0.00% | 0.00% |
Organization And Summary Of S28
Organization And Summary Of Significant Accounting Policies (Schedule of fair value, assets measured on recurring basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | $ 11,730 | $ 9,600 |
Fixed income securities | 7,974 | 19,531 |
Cash [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 3,664 | 8,909 |
Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 8,066 | 691 |
Corporate Bonds - Financial [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | 2,201 | 3,267 |
Corporate Bonds - Industrial [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | 2,275 | 5,051 |
US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | 3,498 | 2,488 |
Certificates of Deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | 8,725 | |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 11,730 | 9,600 |
Fixed income securities | ||
Fair Value, Inputs, Level 1 [Member] | Cash [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 3,664 | 8,909 |
Fair Value, Inputs, Level 1 [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 8,066 | 691 |
Fair Value, Inputs, Level 1 [Member] | Corporate Bonds - Financial [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | ||
Fair Value, Inputs, Level 1 [Member] | Corporate Bonds - Industrial [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | ||
Fair Value, Inputs, Level 1 [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | ||
Fair Value, Inputs, Level 1 [Member] | Certificates of Deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | ||
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | ||
Fixed income securities | 7,974 | 19,531 |
Fair Value, Inputs, Level 2 [Member] | Cash [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | ||
Fair Value, Inputs, Level 2 [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | ||
Fair Value, Inputs, Level 2 [Member] | Corporate Bonds - Financial [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | 2,201 | 3,267 |
Fair Value, Inputs, Level 2 [Member] | Corporate Bonds - Industrial [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | 2,275 | 5,051 |
Fair Value, Inputs, Level 2 [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | 3,498 | 2,488 |
Fair Value, Inputs, Level 2 [Member] | Certificates of Deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | 8,725 | |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | ||
Fixed income securities | ||
Fair Value, Inputs, Level 3 [Member] | Cash [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | ||
Fair Value, Inputs, Level 3 [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | ||
Fair Value, Inputs, Level 3 [Member] | Corporate Bonds - Financial [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | ||
Fair Value, Inputs, Level 3 [Member] | Corporate Bonds - Industrial [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | ||
Fair Value, Inputs, Level 3 [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities | ||
Fair Value, Inputs, Level 3 [Member] | Certificates of Deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed income securities |
Organization And Summary Of S29
Organization And Summary Of Significant Accounting Policies (Schedule Of Components Of The Total Stock-Based Compmensation Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense | $ 875 | $ 1,064 |
Cost of Services [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense | 127 | 162 |
Research and Development [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense | 272 | 309 |
Sales and Marketing [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense | 297 | 355 |
General and Administrative [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense | $ 179 | $ 238 |
Organization And Summary of S30
Organization And Summary of Significant Accounting Policies (Schedule of share-based payment award, stock options, valuation assumption) (Details) - Employee Stock Option [Member] | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected volatility | 67.00% | 59.00% |
Expected dividend | 0.00% | 0.00% |
Expected term (in years) | 6 years 3 months | 6 years 3 months |
Risk free interest rate | 1.50% | 2.00% |
Organization And Summary of S31
Organization And Summary of Significant Accounting Policies (Schedule Of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions) (Details) - Employee Stock Purchase [Member] | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected volatility | 45.00% | 22.00% |
Weighted average volatility | 42.00% | 29.00% |
Risk free interest rate | 0.20% | 0.00% |
Expected term | 1 year | 1 year |
Expected dividend | 0.00% | 0.00% |
Organization And Summary Of S32
Organization And Summary Of Significant Accounting Policies (Schedule Of Basic And Diluted Net Loss Per Share) (Details) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Organization And Summary Of Significant Accounting Policies [Abstract] | ||
Net loss | $ (9,485) | $ (11,437) |
Weighted average shares-basic and diluted | 4,924 | 4,857 |
Orgnaization And Summary Of S33
Orgnaization And Summary Of Significant Accounting Policies (Schedule of Accumulated Balances Of Other Comprehensive Loss)(Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Organization And Summary Of Significant Accounting Policies [Abstract] | ||
Balance | $ (739) | |
Foreign currency translation adjustment | 2 | |
Foreign currency translation reclassified into earnings for discontinued foreign subsidiaries | (230) | $ (183) |
Balance | $ (967) | $ (739) |
Property And Equipment (Narrati
Property And Equipment (Narratives) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Property and Equipment [Abstract] | ||
Depreciation and amortization | $ 41 | $ 77 |
Property, Plant and Equipment, Disposals | $ 0 | $ 69 |
Property And Equipment (Schedul
Property And Equipment (Schedule of Property and Equipment) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Property and Equipment [Abstract] | ||
Furniture and fixtures | $ 159 | $ 158 |
Computer and software | 2,174 | 2,177 |
Leasehold improvements | 179 | 178 |
Total property and equipment | 2,512 | 2,513 |
Less accumulated depreciation and amortization | (2,452) | (2,426) |
Property and equipment, net | $ 60 | $ 87 |
Accrued Expenses (Schedule Of A
Accrued Expenses (Schedule Of Accrued Expenses) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Accrued Expenses [Abstract] | ||
Employee benefits | $ 568 | $ 615 |
Income tax | 297 | 278 |
Sales and other taxes | 158 | 144 |
Commissions and bonuses | 243 | 298 |
Deferred rent | 111 | 89 |
Other | 489 | 737 |
Total accrued expenses | $ 1,866 | $ 2,161 |
Other Non-Current Liabilitiesl
Other Non-Current Liabilitiesl (Schedule Of Other Non-Current Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Other Non-Current Liabilities [Abstract] | ||
Deferred maintenance and unearned revenue | $ 223 | $ 301 |
Other | 511 | 617 |
Total other non-current liabilities | $ 734 | $ 918 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Income Taxes [Line Items] | ||
U.S. federal statutory income tax rate | 35.00% | 35.00% |
Change in valuation allowance during the year | $ 1,440,000 | $ 2,224,000 |
Unrecognized tax benefits | 2,880,000 | 2,800,000 |
Unrecognized tax benefits that would impact effective tax rate | $ 160,000 | 160,000 |
Open Tax Year | 1,998 | |
Federal [Member] | ||
Income Taxes [Line Items] | ||
Operating Loss Carryforwards | $ 578,378,000 | |
Operating loss carryforward, tax effected, benefit to be recognized in additional paid-in capital | 2,652,000 | $ 1,908,000 |
Federal [Member] | Research Tax Credit Carryforward [Member] | ||
Income Taxes [Line Items] | ||
Tax credit carryforward | $ 6,789,000 | |
Federal [Member] | Earliest Tax Year [Member] | ||
Income Taxes [Line Items] | ||
Operating Loss Carryforwards, Expiration Date | Dec. 31, 2018 | |
Federal [Member] | Latest Tax Year [Member] | ||
Income Taxes [Line Items] | ||
Operating Loss Carryforwards, Expiration Date | Dec. 31, 2036 | |
State [Member] | ||
Income Taxes [Line Items] | ||
Operating Loss Carryforwards | $ 30,946,000 | |
State [Member] | Research Tax Credit Carryforward [Member] | ||
Income Taxes [Line Items] | ||
Tax credit carryforward | $ 6,003,000 | |
State [Member] | Earliest Tax Year [Member] | ||
Income Taxes [Line Items] | ||
Operating Loss Carryforwards, Expiration Date | Dec. 31, 2031 | |
State [Member] | Latest Tax Year [Member] | ||
Income Taxes [Line Items] | ||
Operating Loss Carryforwards, Expiration Date | Dec. 31, 2036 |
Income Taxes (Copmonents Of Inc
Income Taxes (Copmonents Of Income Before Income Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Income Taxes [Abstract] | ||
Domestic | $ (7,812) | $ (10,223) |
Foreign | (1,625) | (1,185) |
Loss before income taxes | $ (9,437) | $ (11,408) |
Income Taxes (Schedule Of The P
Income Taxes (Schedule Of The Provision For Income Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Current: | ||
Federal | $ 4 | |
State | (4) | (1) |
Foreign | (44) | (32) |
Total current | (48) | (29) |
Deferred: | ||
Federal | (1,422) | (3,871) |
State | (336) | 1,186 |
Foreign | 318 | 461 |
Total deferred | (1,440) | (2,224) |
Valuation allowance | 1,440 | 2,224 |
Provision for income taxes | $ (48) | $ (29) |
Income Taxes (Schedule Of Diffe
Income Taxes (Schedule Of Difference Between Effective Income Taxes And Federal Statutory Income Tax) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Income Taxes [Abstract] | ||
Expected income tax benefit | $ 3,303 | $ 3,993 |
Expected state income taxes expense, net of federal tax benefit | 216 | (771) |
Research and development credit | 169 | 147 |
Foreign taxes and foreign loss not benefited | (925) | (904) |
Change in valuation allowance | (1,440) | (2,224) |
Stock-based compensation | (78) | (198) |
True-ups | (51) | (155) |
Unrealized tax benefits | (7) | 154 |
Unrealized loss from foreign investments | (1,226) | |
Others | (9) | (71) |
Provision for income taxes | $ (48) | $ (29) |
Income Taxes (Principal Compone
Income Taxes (Principal Components Of Deferred Taxes Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred tax assets: | ||
Depreciation and amortization | $ 72 | $ 265 |
Accrued, allowance and others | 3,166 | 3,085 |
Net operating losses | 207,270 | 204,693 |
Tax credits | 8,731 | 8,407 |
Unrealized losses on marketable securities | 1,349 | |
Total deferred tax assets | 219,239 | 217,799 |
Less: valuation allowance | (219,239) | (217,799) |
Net deferred tax assets |
Income Taxes (Schedule Of Chang
Income Taxes (Schedule Of Changes In Unrecognized Tax Benefits) (Details) | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Income Taxes [Abstract] | |
Balance at January 1, 2014 | $ 2,800,000 |
Additions based on tax provisions related to the current year | 112,000 |
Additions for tax provisions of prior year | |
Lapse of the statute of limitation | 32,000 |
Balance at December 31, 2014 | $ 2,880,000 |
Commitments And Contingencies44
Commitments And Contingencies (Narrative) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Commitments And Contingencies [Abstract] | |
Rent Expense | $ 1,300 |
Commitments And Contingencies45
Commitments And Contingencies (Schedule Of Future Minimum Lease Payments) (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Commitments And Contingencies [Abstract] | |
2,017 | $ 953 |
2,018 | 420 |
2,019 | 40 |
2,020 | |
2021 and thereafter | |
Total minimum lease payments | $ 1,413 |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Preferred Stock Shares Outstanding | 0 | 0 |
Preferred Stock Shares Authorized | 1,000,000 | 1,000,000 |
Weighted-Average Garnt Date Fair Value, Options Grants Per Share | $ 2.90 | $ 3.20 |
Restricted stock award vesting period | 1 year | |
Unrecognized Compensation Costs, Related to Unvested Stock Options | $ 732 | |
Unrecognized Compensation Costs, Weighted-Average Period of Recognition | 1 year | |
Proceeds from Stock Plans | $ 192 | $ 275 |
Restricted Stock [Member] | Director [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Issuance of common stock from restricted stock award, shares | 16,965 | 10,832 |
Restricted Stock or Unit Expense | $ 92 | $ 63 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares available for Future Issuance | 385,666 |
Stockholders' Equity (Schedule
Stockholders' Equity (Schedule of Summary of Activity Under Stock Options Plans) (Details) shares in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Stockholders' Equity [Abstract] | |
Shares, Outstanding, Beginning of Year | shares | 734 |
Shares, Granted | shares | 10 |
Shares, Exercised | shares | (2) |
Shares, Forfeited | shares | (45) |
Shares, Expired | shares | (30) |
Shares, Outstanding, End of Year | shares | 667 |
Shares, Exercisable, End of Year | shares | 481 |
Shares, Vested and Expected to Vest, End of Year | shares | 635 |
Weighted-Average Exercise Price, Outstanding, Beginning of Year | $ / shares | $ 9.06 |
Weighted-Average Exercise Price, Granted | $ / shares | 4.70 |
Weighted-Average Exercise Price, Exercised | $ / shares | 6.01 |
Weighted-Average Exercise Price, Forfeited | $ / shares | 6.76 |
Weighted-Average Exercise Price, Expired | $ / shares | 9.96 |
Weighted-Average Exercise Price, Outstanding, End of Year | $ / shares | 9.12 |
Weighted-Average Exercise Price, Exercisable, End of Year | $ / shares | 9.87 |
Weighted-Average Exercise Price, Vested and Expected to Vest, End of Year | $ / shares | $ 9.25 |
Weighted-Average Remaining Contractual Term, Outstanding, End of Year | 6 years 8 months 16 days |
Weighted-Average Remaining Contractual Term, Exercisable, End of Year | 6 years 3 months 22 days |
Weighted-Average Remaining Contractual Term, Vested and Expected to Vest, End of Year | 2 months 12 days |
Total Intrinsic Value, exercised | $ | |
Aggregate Intrinsic Value, Outstanding, End of Year | $ | |
Aggregate Intrinsic Value, Exercisable, End of Year | $ | |
Aggregate Intrinsic Value, Vested and Expected to Vest, End of Year | $ |
Geographic, Segment And Signi48
Geographic, Segment And Significant Customer Information (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2016segment | |
Geographic, Segment and Significant Customer Information [Abstract] | |
Operating segments | 1 |
Geographic, Segment And Signi49
Geographic, Segment And Significant Customer Information (Schedule Of Revenue Regarding Types Of Revenues) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Geographic, Segment and Significant Customer Information [Abstract] | ||
Software licenses | $ 4,227 | $ 4,414 |
Consulting services | 1,521 | 2,056 |
Maintenance | 2,192 | 2,972 |
Total revenues | $ 7,940 | $ 9,442 |
Geographic, Segment And Signi50
Geographic, Segment And Significant Customer Information (Schedule of Revenue by Geographic Area) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Geographical Revenue [Line Items] | ||
Revenues | $ 7,940 | $ 9,442 |
Americas [Member] | ||
Geographical Revenue [Line Items] | ||
Revenues | 3,665 | 3,903 |
Europe [Member] | ||
Geographical Revenue [Line Items] | ||
Revenues | 1,320 | 2,149 |
Asia Pacific [Member] | ||
Geographical Revenue [Line Items] | ||
Revenues | $ 2,955 | $ 3,390 |
License Sales Through Channels Of Distributors, Resellers, and Application Service Providers | 62.00% |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | Nov. 14, 2008 | Dec. 31, 2016 | Dec. 31, 2015 |
Related Party Transaction [Line Items] | |||
Current equity investment | $ 9,000,000 | ||
Future equity quarterly investments | 500,000 | ||
Capital account balance | 0 | ||
Aggregate payments | 2,000,000 | $ 1,900,000 | |
Total license revenue that we were entitled to receive | 184,000 | ||
License revenue | $ 46,000 | $ 176,000 | |
Common Class B [Member] | |||
Related Party Transaction [Line Items] | |||
Number Of Shares Issued By The Subsidiary For The Related Party Transaction | 20 |
Employee Benefit Plan (Details)
Employee Benefit Plan (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Employee Benefit Plan [Abstract] | ||
Maximum contribution | 100.00% | |
Eligibility term | 12 months | |
Hours worked | 1000 hours | |
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 61 | $ 69 |
Schedule II - Valuation and Q53
Schedule II - Valuation and Qualifying Accounts (Schedule II: Valuation and Qualifying Accounts) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | ||
Schedule II - Valuation and Qualifying Accounts [Abstract] | |||
Balance at Beginning of Period | $ 135 | $ 213 | |
Charged (Credited) to Costs and Expenses | 32 | ||
Deductions | [1] | (78) | |
Balance at End of Period | $ 167 | $ 135 | |
[1] | Represents net charge-offs of specific receivables. |