| INTANGIBLE ASSETS |
INTANGIBLE ASSETS Amortization expense related to intangible assets is as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended | | Nine Months Ended | | July 3, 2026 | | July 4, 2025 | | July 3, 2026 | | July 4, 2025 | | Cost of revenue | $ | 1,622 | | | $ | 3,349 | | | $ | 4,866 | | | $ | 10,024 | | | Research and development | 2,623 | | | 2,269 | | | 7,823 | | | 6,618 | | | Selling, general and administrative | 1,911 | | | 1,756 | | | 5,829 | | | 6,771 | | | Total | $ | 6,156 | | | $ | 7,374 | | | $ | 18,518 | | | $ | 23,413 | |
A summary of the activity in gross intangible assets as of July 3, 2026 and October 3, 2025 is as follows (in thousands):
| | | | | | | | | | | | | | | | | | | | July 3, 2026 | | | Gross Carrying Amount | | Accumulated Amortization | | Net Carrying Amount | | | Acquired technology | $ | 34,837 | | | $ | (19,668) | | | $ | 15,169 | | | | | | | | | | | Customer relationships | 74,539 | | | (46,376) | | | 28,163 | | | | | | | | | | | Software licenses and licensed technology | 27,804 | | | (13,923) | | | 13,881 | | | Trade name (1) | 5,200 | | | (866) | | | 4,334 | | | Balance as of July 3, 2026 (2) | $ | 142,380 | | | $ | (80,833) | | | $ | 61,547 | | |
| | | | | | | | | | | | | | | | | | | October 3, 2025 | | Gross Carrying Amount | | Accumulated Amortization | | Net Carrying Amount | | Acquired technology | $ | 34,994 | | | $ | (14,859) | | | $ | 20,135 | | | Customer relationships | 74,572 | | | (41,304) | | | 33,268 | | | Software licenses | 26,186 | | | (5,544) | | | 20,642 | | Trade name (1) | 5,200 | | | (675) | | | 4,525 | | Balance as of October 3, 2025 (2) | $ | 140,952 | | | $ | (62,382) | | | $ | 78,570 | |
(1) Includes an indefinite-lived trade name of $3.4 million that is not amortized. (2) Foreign intangible asset carrying amounts include foreign currency translation adjustments. As of July 3, 2026, our estimated amortization of our intangible assets in future fiscal years is as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | 2026 Remaining | 2027 | 2028 | 2029 | 2030 | Thereafter | Total | | Amortization expense | $ | 6,223 | | 21,916 | | 9,630 | | 5,943 | | 5,217 | | 9,218 | | $ | 58,147 | |
A summary of the changes in goodwill as of July 3, 2026 is as follows (in thousands): | | | | | | | | Goodwill | | Balance as of October 3, 2025 | $ | 336,315 | | | Acquired (1) | (6) | | | | Foreign currency translation adjustment | (893) | | | Balance as of July 3, 2026 | $ | 335,416 | | |
(1) The acquired balance consists of an immaterial change related to the ENGIN-IC Acquisition. For additional information refer to Note 3 - Acquisitions.
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