v3.25.4
Intangible Assets and Goodwill
12 Months Ended
Dec. 31, 2025
Intangible Assets and Goodwill  
Intangible Assets And Goodwill

8. Intangible Assets and Goodwill

 

Acquired intangible assets subject to amortization consist of the following (in thousands):

 

 

 

December 31, 2025

 

 

December 31, 2024

 

 

 

Gross Carrying Amount

 

 

Accumulated Amortization

 

 

Net Carrying Amount

 

 

Gross Carrying Amount

 

 

Accumulated Amortization

 

 

Net Carrying Amount

 

Customer relationships

 

$26,073

 

 

$(9,404)

 

$16,669

 

 

$26,073

 

 

$(7,403)

 

$18,670

 

Developed technologies

 

 

4,900

 

 

 

(3,811)

 

 

1,089

 

 

 

4,900

 

 

 

(3,081)

 

 

1,819

 

Trademark and trade names

 

 

400

 

 

 

(400)

 

 

-

 

 

 

400

 

 

 

(361)

 

 

39

 

Capitalized software development costs

 

 

410

 

 

 

(308)

 

 

102

 

 

 

-

 

 

 

-

 

 

 

-

 

Total acquired intangible assets

 

$31,783

 

 

$(13,923)

 

$17,860

 

 

$31,373

 

 

$(10,845)

 

$20,528

 

  

As of December 31, 2025, the weighted average remaining useful life for customer relationships was 11.4 years, developed technologies was 1.4 years, and capitalized software development costs was 0.3 years.

 

Amortization expense for customer relationships intangible assets is included in selling and marketing expenses, amortization expense for developed technologies intangible assets is included in cost of software solutions revenue, amortization expense for trademark and trade name intangible assets is included in general and administrative expenses, amortization expense for capitalized software development costs intangible assets is included in general and administrative expenses. The following table summarizes the amortization expense by financial statement line item (in thousands):

 

 

 

Year Ended December 31,

 

 

 

2025

 

 

2024

 

Cost of software solutions revenue

 

$730

 

 

$812

 

Selling and marketing

 

 

2,001

 

 

 

2,105

 

General and administrative

 

 

347

 

 

 

111

 

Total amortization expense

 

$3,078

 

 

$3,028

 

 

As of December 31, 2025, annual amortization of definite lived intangible assets, based on existing intangible assets and current useful lives, is estimated to be the following (in thousands):

 

Year ending December 31,

 

 

 

2026

 

$2,560

 

2027

 

 

2,202

 

2028

 

 

1,637

 

2029

 

 

1,557

 

2030

 

 

1,491

 

2031 and thereafter

 

 

8,413

 

Total

 

$17,860

 

 

The following table provides a summary of changes in the carrying amounts of goodwill (in thousands):

 

 

 

Goodwill

 

Balance at January 1, 2024

 

$9,454

 

Additions

 

 

-

 

Balance at December 31, 2024

 

 

9,454

 

Additions

 

 

-

 

Balance at December 31, 2025

 

$9,454