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Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2012	Jul. 31, 2012
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2012
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	Q2
Trading Symbol	LPSN
Entity Registrant Name	LIVEPERSON INC
Entity Central Index Key	0001102993
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		55,652,591

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2012	Dec. 31, 2011
Current assets:
Cash and cash equivalents	$ 100,576	$ 93,278
Accounts receivable, net of allowance for doubtful accounts of $708 and $688 as of June 30, 2012 and December 31, 2011, respectively	19,591	20,999
Prepaid expenses and other current assets	7,178	5,390
Deferred tax assets, net	2,456	2,342
Total current assets	129,801	122,009
Property and equipment, net	13,327	13,879
Intangibles, net	14,625	1,095
Goodwill	25,249	24,090
Deferred tax assets, net	2,374	2,829
Deferred implementation costs, net of current	222	247
Security deposits	546	356
Other assets	1,554	1,546
Total assets	187,698	166,051
Current liabilities:
Accounts payable	9,364	8,258
Accrued expenses	14,060	12,019
Deferred revenue	4,342	5,378
Total current liabilities	27,766	25,655
Deferred revenue, net of current	2,863	1,152
Other liabilities	1,554	1,546
Total liabilities	32,183	28,353
Commitments and contingencies
Stockholders' equity:
Preferred stock, $.001 par value per share; 5,000,000 shares authorized, 0 shares issued and outstanding at June 30, 2012 and December 31, 2011
Common stock, $.001 par value per share; 100,000,000 shares authorized, 55,542,463 shares issued and outstanding at June 30, 2012 and 54,090,344 shares issued and outstanding at December 31, 2011	56	54
Additional paid-in capital	240,620	226,113
Accumulated deficit	(84,872)	(88,135)
Accumulated other comprehensive loss	(289)	(334)
Total stockholders' equity	155,515	137,698
Total liabilities and stockholders' equity	$ 187,698	$ 166,051

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2012	Dec. 31, 2011
Accounts receivable, allowance for doubtful accounts	$ 708	$ 688
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	55,542,463	54,090,344
Common stock, shares outstanding	55,542,463	54,090,344

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Revenue	$ 38,505	$ 31,851	$ 75,264	$ 62,234
Operating expenses:
Cost of revenue	8,492	8,685	16,414	16,780
Product development	7,219	5,016	13,877	9,393
Sales and marketing	13,017	9,379	24,107	18,239
General and administrative	9,342	5,386	15,467	9,346
Amortization of intangibles	11	11	87	22
Total operating expenses	38,081	28,477	69,952	53,780
Income from operations	424	3,374	5,312	8,454
Other (expense) income:
Financial (expense) income	(254)	208	77	363
Interest income	21	16	36	30
Total other (expense) income, net	(233)	224	113	393
Income before provision for income taxes	191	3,598	5,425	8,847
Provision for income taxes	51	1,402	2,162	3,419
Net income	$ 140	$ 2,196	$ 3,263	$ 5,428
Basic net income per common share	$ 0.00	$ 0.04	$ 0.06	$ 0.10
Diluted net income per common share	$ 0.00	$ 0.04	$ 0.06	$ 0.10
Weighted average shares outstanding used in basic net income per common share calculation	55,146,901	52,735,556	54,786,499	52,409,769
Weighted average shares outstanding used in diluted net income per common share calculation	57,150,256	55,553,247	56,649,160	55,125,730

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Net income	$ 140	$ 2,196	$ 3,263	$ 5,428
Foreign currency translation adjustment	58	(22)	45	(29)
Comprehensive income	$ 198	$ 2,174	$ 3,308	$ 5,399

- Definition

The change in equity [net assets] of a business enterprise during a period from transactions and other events and circumstances from non-owner sources which are attributable to the reporting entity. It includes all changes in equity during a period except those resulting from investments by owners and distributions to owners, but excludes any and all transactions which are directly or indirectly attributable to that ownership interest in subsidiary equity which is not attributable to the parent.

+ References + Details

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Net Income
-URI http://asc.fasb.org/extlink&oid=6518256

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 230
-SubTopic 10
-Section 45
-Paragraph 28
-URI http://asc.fasb.org/extlink&oid=6943989&loc=d3e3602-108585

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
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-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 4: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
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-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.18)
-URI http://asc.fasb.org/extlink&oid=6880815&loc=d3e20235-122688

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Paragraph 1
-Subparagraph (SX 210.7-04.22)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Other Comprehensive Income
-URI http://asc.fasb.org/extlink&oid=6519514

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
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-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=20435746&loc=d3e565-108580

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 51
-Paragraph 38
-Subparagraph d
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 130
-Paragraph 10, 15
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 51
-Paragraph A7
-Appendix A

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Emerging Issues Task Force (EITF)
-Number 87-21
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 03
-Paragraph 19
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Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 51
-Paragraph 38
-Subparagraph a
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 95
-Paragraph 28, 29, 30
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Paragraph 20
-Article 9

+ Details

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 3,263	$ 5,428
Adjustments to reconcile net income to net cash provided by operating activities:
Stock-based compensation expense	4,794	3,214
Depreciation	3,329	3,225
Amortization of intangibles	153	635
Deferred income taxes	(740)	185
Provision for doubtful accounts, net	20	120
CHANGES IN OPERATING ASSETS AND LIABILITIES:
Accounts receivable	1,388	(1,376)
Prepaid expenses and other current assets	(1,920)	1,244
Deferred implementation costs	25	(49)
Security deposits	(189)	39
Other assets		116
Accounts payable	1,296	852
Accrued expenses	2,173	(2,123)
Deferred revenue	675	300
Net cash provided by operating activities	14,267	11,810
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment, including capitalized software	(2,970)	(4,297)
Acquisition of Look.io, net of cash acquired	(900)
Acquisition of Amadesa technology assets	(10,798)
Acquisition of Proficient	(77)	(75)
Net cash used in investing activities	(14,745)	(4,372)
CASH FLOWS FROM FINANCING ACTIVITIES:
Excess tax benefit from the exercise of employee stock options	1,156	545
Proceeds from issuance of common stock in connection with the exercise of options	6,573	5,078
Net cash provided by financing activities	7,729	5,623
Effect of foreign exchange rate changes on cash and cash equivalents	47	(19)
Net increase in cash and cash equivalents	7,298	13,042
Cash and cash equivalents at the beginning of the period	93,278	61,336
Cash and cash equivalents at the end of the period	$ 100,576	$ 74,378

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011
Supplemental disclosure of non-cash investing activities:
Capitalized equipment related to the Company's co-location facility	$ 1,300	$ 877
Net cash paid for income taxes	$ 1,500	$ 511
Shares issued In connection with acquisition of Look.io, Shares	109,517
Shares issued In connection with acquisition of Look.io, Value	$ 1,984

SUMMARY OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES

6 Months Ended

Jun. 30, 2012

SUMMARY OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES

(1) SUMMARY OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES

(A) SUMMARY OF OPERATIONS

LivePerson, Inc. (the “Company” or “LivePerson”) provides online engagement solutions offering a cloud-based platform which enables businesses to proactively connect with consumers through chat, voice, and content delivery, across multiple channels and screens, including websites, social media, and mobile devices. The Company’s engagements are driven by insights derived from a broad set of consumer and business data, including historical, behavioral, operational, and third party data. Each engagement is based on proprietary analytics and a real-time understanding of consumer needs and business objectives. The Company’s products, coupled with its domain knowledge and industry expertise, have been proven to maximize the effectiveness of the online channel — by increasing sales, as well as consumer satisfaction and loyalty ratings for their customers, while also enabling their customers to reduce consumer service costs.

LivePerson monitors and analyzes valuable online consumer behavioral data on behalf of their customers. Spanning the breadth of an online visitor session starting from an initial keyword search, through actions on their customer’s website, and even into a shopping cart and an executed sale, this data enables the Company to develop unique insights into consumer behavior during specific transactions within a customer’s user base.

The Company’s primary revenue source is from the sale of LivePerson services to businesses of all sizes. The Company also offers an online marketplace that connects independent service providers (“Experts”) who provide information and knowledge for a fee via real-time chat with individual consumers (“Users”).

LivePerson was incorporated in the State of Delaware in November 1995 and the LivePerson service was introduced in November 1998. In April 2000, the company completed an initial public offering and is currently traded on the Nasdaq and the Tel Aviv Stock Exchange. LivePerson is headquartered in New York City with offices in Atlanta, San Francisco, London, Melbourne, and Tel Aviv.

(B) UNAUDITED CONDENSED CONSOLIDATED FINANCIAL INFORMATION

The accompanying condensed consolidated financial statements as of June 30, 2012 and for the three and six months ended June 30, 2012 and 2011 are unaudited. In the opinion of management, the unaudited condensed consolidated financial statements have been prepared on the same basis as the annual financial statements and reflect all adjustments, which include only normal recurring adjustments, necessary to present fairly the consolidated financial position of LivePerson as of June 30, 2012, and the consolidated results of operations, comprehensive income and cash flows for the interim periods ended June 30, 2012 and 2011. The financial data and other information disclosed in these notes to the condensed consolidated financial statements related to these periods are unaudited. The results of operations for any interim period are not necessarily indicative of the results of operations for any other future interim period or for a full fiscal year. The condensed consolidated balance sheet at December 31, 2011 has been derived from audited consolidated financial statements at that date.

Certain information and note disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the year ended December 31, 2011, included in the Company’s Annual Report on Form 10-K filed with the SEC on March 13, 2012.

(C) REVENUE RECOGNITION

The majority of the Company’s revenue is generated from monthly service revenues and related professional services from the sale of the LivePerson services. Because the Company provides its application as a service, the Company follows the provisions of Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 605-10-S99, “Revenue Recognition” and ASC 605-25,“Revenue Recognition with Multiple-Element Arrangements.” The Company charges a monthly fee, which varies by type of service, the level of customer usage and website traffic, and in some cases, the number of orders placed via the Company’s online engagement solutions.

For certain of the Company’s larger customers, the Company may provide call center labor through an arrangement with one or more of several qualified vendors. For most of these customers, the Company passes the fee it incurs with the labor provider and its fee for the hosted services through to its customers in the form of a fixed fee for each order placed via the Company’s online engagement solutions. For these Pay for Performance (“PFP”) arrangements, the Company recognizes revenue net of the labor provider’s fee in accordance with ASC 605-45, “Principal Agent Considerations,” due primarily to the fact that the call center labor vendor is the primary obligor with respect to the labor services provided. Additionally, the Company performs as an agent without risk of loss for collection and does not bear inventory risk with respect to the outsourced labor services. Finally, the Company does not provide any part of the labor services, has no latitude in establishing prices for the labor services and generally does not have discretion in selecting the vendor.

The majority of the Company’s larger customers also pay a professional services fee related to implementation. The Company defers these implementation fees and associated direct costs and recognizes them ratably over the expected term of the customer relationship upon commencement of the hosting services. The Company may also charge professional service fees related to additional training, business consulting and analysis in support of the LivePerson services.

The Company also sells certain of the LivePerson services directly via Internet download. These services are marketed as LivePerson Pro and LivePerson Contact Center for small and mid-sized businesses (“SMBs”), and are paid for almost exclusively by credit card. Credit card payments accelerate cash flow and reduce the Company’s collection risk, subject to the merchant bank’s right to hold back cash pending settlement of the transactions. Sales of LivePerson Pro and LivePerson Contact Center may occur with or without the assistance of an online sales representative, rather than through face-to-face or telephone contact that is typically required for traditional direct sales.

The Company recognizes monthly service revenue based upon the fee charged for the LivePerson services, provided that there is persuasive evidence of an arrangement, no significant Company obligations remain, collection of the resulting receivable is probable and the amount of fees to be paid is fixed or determinable. The Company’s service agreements typically have twelve month terms and, in some cases, are terminable or may terminate upon 30 to 90 days’ notice without penalty. When professional service fees add value to the customer on a standalone basis, the Company recognizes professional service fees upon completion and customer acceptance in accordance with FASB Accounting Standards Update 2009-13. This guidance establishes a selling price hierarchy for determining the selling price of a deliverable, which is based on: (a) vendor-specific objective evidence; (b) third-party evidence; or (c) estimates. If a professional services arrangement does not qualify for separate accounting, the Company recognizes the fees, and the related labor costs, ratably over a period of 48 months, representing the Company’s current estimate of the term of the customer relationship.

For revenue generated from online transactions between Experts and Users, the Company recognizes revenue net of the Expert fees in accordance with ASC 605-45, “Principal Agent Considerations,” due primarily to the fact that the Expert is the primary obligor. Additionally, the Company performs as an agent without any risk of loss for collection, and is not involved in selecting the Expert or establishing the Expert’s fee. The Company collects a fee from the User and retains a portion of the fee, and then remits the balance to the Expert. Revenue from these transactions is recognized when there is persuasive evidence of an arrangement, no significant Company obligations remain, collection of the resulting receivable is probable and the amount of fees to be paid is fixed and determinable.

(D) STOCK-BASED COMPENSATION

The Company follows FASB ASC 718-10, “Stock Compensation,” which addresses the accounting for transactions in which an entity exchanges its equity instruments for goods or services, with a primary focus on transactions in which an entity obtains employee services in share-based payment transactions. ASC 718-10 requires measurement of the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). Incremental compensation costs arising from subsequent modifications of awards after the grant date must be recognized.

The following table summarizes stock-based compensation expense related to employee stock options under ASC 718-10 included in Company’s Statements of Income for the three and six months ended June 30, 2012 and 2011:

	Three Months Ended June 30,				Six Months Ended June 30,
	2012		2011		2012		2011
Cost of revenue	$	388	$	248	$	701	$	546
Product development expense		789		441		1,399		881
Sales and marketing expense		739		443		1,291		779
General and administrative expense		722		547		1,403		1,008
Total stock based compensation included in operating expenses	$	2,638	$	1,679	$	4,794	$	3,214

The per share weighted average fair value of stock options granted during the three and six months ended June 30, 2012 was $8.29 and $7.24, respectively. The per share weighted average fair value of stock options granted during the three and six months ended June 30, 2011 was $7.07 and $6.97, respectively. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions:

	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
Dividend yield		0.0	%		0.0	%		0.0	%		0.0	%
Risk-free interest rate		0.72% - 0.84	%		2.9% - 3.5	%		0.72% - 0.87	%		2.9% - 3.7	%
Expected life (in years)		5.0			5.0			5.0			5.0
Historical volatility		60.6% -60.7	%		60.7% - 61.5	%		60.3% -60.8	%		60.7% - 61.5	%

During 1998, the Company established the Stock Option and Restricted Stock Purchase Plan (the “1998 Plan”). Under the 1998 Plan, the Board of Directors could issue incentive stock options or nonqualified stock options to purchase up to 5,850,000 shares of common stock. The 2000 Stock Incentive Plan (the “2000 Plan”) succeeded the 1998 Plan. Under the 2000 Plan, the options which had been outstanding under the 1998 Plan were incorporated in the 2000 Plan increasing the number of shares available for issuance under the plan by approximately 4,150,000, thereby reserving for issuance 10,000,000 shares of common stock in the aggregate.

The Company established the 2009 Stock Incentive Plan (as amended and restated, the “2009 Plan”) as a successor to the 2000 Plan. Under the 2009 Plan, the options which had been outstanding under the 2000 Plan were incorporated into the 2009 Plan and the Company increased the number of shares available for issuance under the plan by 6,000,000. The Company amended the 2009 stock incentive plan (the “Amended 2009 Plan”) effective June 7, 2012. The Amended 2009 Plan increased the number of shares authorized for issuance under the plan by an additional 4,250,000, thereby reserving for issuance 23,817,744 shares of common stock in the aggregate. Options to acquire common stock granted thereunder have ten-year terms. As of June 30, 2012, approximately 11,427,000 shares of common stock were reserved for issuance under the 2009 Plan (taking into account all option exercises through June 30, 2012). As of June 30, 2012, there was approximately $28,198 of total unrecognized compensation cost related to nonvested share-based compensation arrangements. That cost is expected to be recognized over a weighted average period of approximately 2.1 years.

In March 2000, the Company adopted the 2000 Employee Stock Purchase Plan with 450,000 shares of common stock initially reserved for issuance (the “2000 ESPP”). The 2000 ESPP expired on its terms on the last day of April 2010.

In June 2010, our stockholders approved the 2010 Employee Stock Purchase Plan with 1,000,000 shares of common stock initially reserved for issuance. As of June 30, 2012, approximately 899,000 shares of common stock were reserved for issuance under the Employee Stock Purchase Plan (taking into account all share purchases through June 30, 2012).

A summary of the Company’s stock option activity and weighted average exercise prices follows:

	Options			Weighted Average Exercise Price
Options outstanding at December 31, 2011		8,843,413		$	7.91
Options granted		1,120,300			14.15
Options exercised		(1,388,890	)		4.81
Options cancelled		(363,083	)		9.00
Options outstanding at June 30, 2012		8,211,740			9.24
Options exercisable at June 30, 2012		2,774,457		$	5.89

The total value of stock options exercised during the six months ended June 30, 2012 was approximately $13,739. The total intrinsic value of options exercisable at June 30, 2012 was approximately $36,071. The total intrinsic value of nonvested options at June 30, 2012 was approximately $44,206. The total intrinsic value of all outstanding options at June 30, 2012 was $80,277.

A summary of the status of the Company’s nonvested shares as of December 31, 2011, and changes during the six months ended June 30, 2012 is as follows:

	Shares			Weighted Average Grant Date Fair Value
Nonvested Shares at December 31, 2011		6,038,014		$	5.04
Granted		1,120,300			7.24
Vested		(1,362,573	)		4.14
Cancelled		(358,458	)		4.73
Nonvested Shares at June 30, 2012		5,437,283		$	5.76

(E) BASIC AND DILUTED NET INCOME PER SHARE

The Company calculates earnings per share (“EPS”) in accordance with the provisions of ASC 260-10 and the guidance of SEC Staff Accounting Bulletin (“SAB”) No. 98. Under ASC 260-10, basic EPS excludes dilution for common stock equivalents and is computed by dividing net income or loss attributable to common shareholders by the weighted average number of common shares outstanding for the period. All options, warrants or other potentially dilutive instruments issued for nominal consideration are required to be included in the calculation of basic and diluted net income attributable to common stockholders. Diluted EPS is calculated using the treasury stock method and reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock and resulted in the issuance of common stock.

Diluted net income per common share for the three and six months ended June 30, 2012 includes the effect of options to purchase 5,315,243 and 4,141,393 shares, respectively, of common stock with a weighted average exercise price of $6.87 and $5.60, respectively. Diluted net income per common share for the three and six months ended June 30, 2011 includes the effect of options to purchase 6,963,746 and 6,744,246 shares, respectively, of common stock with a weighted average exercise price of $4.90 and $4.77, respectively.

A reconciliation of shares used in calculating basic and diluted earnings per share follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2012		2011		2012		2011
Basic		55,146,901		52,735,556		54,786,499		52,409,769
Effect of assumed exercised options		2,003,355		2,817,691		1,862,661		2,715,961
Diluted		57,150,256		55,553,247		56,649,160		55,125,730

(F) SEGMENT REPORTING

The Company accounts for its segment information in accordance with the provisions of ASC 280-10, “Segment Reporting.” ASC 280-10 establishes annual and interim reporting standards for operating segments of a company. ASC 280-10 requires disclosures of selected segment-related financial information about products, major customers, and geographic areas based on the Company’s internal accounting methods. The Company is organized into two operating segments for purposes of making operating decisions and assessing performance. The Business segment facilitates real-time online interactions – chat, voice, and content delivery across multiple channels and screens for global corporations of all sizes. The Consumer segment facilitates online transactions between Experts and Users and sells its services to consumers. Both segments currently generate their revenue primarily in the U.S. The chief operating decision makers evaluate performance, make operating decisions, and allocate resources based on the operating income of each segment. The reporting segments follow the same accounting polices used in the preparation of the Company’s consolidated financial statements which are described in the summary of significant accounting policies. The Company allocates cost of revenue, sales and marketing and amortization of purchased intangibles to the segments, but it does not allocate product development expenses, general and administrative expenses and income tax expense because management does not use this information to measure performance of the operating segments. There are currently no inter-segment sales.

Summarized financial information by segment for the three months ended June 30, 2012, based on the Company’s internal financial reporting system utilized by the Company’s chief operating decision makers, follows:

	Consolidated		Corporate			Business		Consumer
Revenue:
Hosted services — Business	$	32,151	$	—		$	32,151	$	—
Hosted services — Consumer		3,961		—			—		3,961
Professional services		2,393		—			2,393		—
Total revenue		38,505		—			34,544		3,961
Cost of revenue		8,492		—			7,939		553
Sales and marketing		13,017		—			11,624		1,393
Amortization of intangibles		11		—			11		—
Unallocated corporate expenses		16,561		16,561			—		—
Operating income (loss)	$	424	$	(16,561	)	$	14,970	$	2,015

Summarized financial information by segment for the three months ended June 30, 2011, based on the Company’s internal financial reporting system utilized by the Company’s chief operating decision makers, follows:

	Consolidated		Corporate			Business		Consumer
Revenue:
Hosted services — Business	$	26,736	$	—		$	26,736	$	—
Hosted services — Consumer		3,735		—			—		3,735
Professional services		1,380		—			1,380		—
Total revenue		31,851		—			28,116		3,735
Cost of revenue		8,685		—			7,688		997
Sales and marketing		9,379		—			7,822		1,557
Amortization of intangibles		11		—			11		—
Unallocated corporate expenses		10,402		10,402			—		—
Operating income (loss)	$	3,374	$	(10,402	)	$	12,595	$	1,181

Revenues attributable to domestic and foreign operations for the three months ended June 30, 2012 and 2011, follows:

	June 30,
	2012		2011
United States	$	29,225	$	24,311
United Kingdom		5,245		4,299
Other countries		4,035		3,241
Total revenue	$	38,505	$	31,851

Summarized financial information by segment for the six months ended June 30, 2012, based on the Company’s internal financial reporting system utilized by the Company’s chief operating decision makers, follows:

	Consolidated		Corporate			Business		Consumer
Revenue:
Hosted services — Business	$	63,390	$	—		$	63,390	$	—
Hosted services — Consumer		7,809		—			—		7,809
Professional services		4,065		—			4,065		—
Total revenue		75,264		—			67,455		7,809
Cost of revenue		16,414		—			15,306		1,108
Sales and marketing		24,107		—			21,114		2,993
Amortization of intangibles		87		—			87		—
Unallocated corporate expenses		29,344		29,344			—		—
Operating income (loss)	$	5,312	$	(29,344	)	$	30,948	$	3,708

Summarized financial information by segment for the six months ended June 30, 2011, based on the Company’s internal financial reporting system utilized by the Company’s chief operating decision makers, follows:

	Consolidated		Corporate			Business		Consumer
Revenue:
Hosted services — Business	$	52,321	$	—		$	52,321	$	—
Hosted services — Consumer		7,393		—			—		7,393
Professional services		2,520		—			2,520		—
Total revenue		62,234		—			54,841		7,393
Cost of revenue		16,780		—			14,875		1,905
Sales and marketing		18,239		—			15,137		3,102
Amortization of intangibles		22		—			22		—
Unallocated corporate expenses		18,739		18,739			—		—
Operating income (loss)	$	8,454	$	(18,739	)	$	24,807	$	2,386

Revenues attributable to domestic and foreign operations for the six months ended June 30, 2012 and 2011, follows:

	June 30,
	2012		2011
United States	$	57,380	$	47,945
United Kingdom		10,121		7,994
Other countries		7,763		6,295
Total revenue	$	75,264	$	62,234

Long-lived assets by geographic region follows:

	June 30, 2012		December 31, 2011
United States	$	31,835	$	28,626
Israel		23,883		13,167
United Kingdom		2,179		2,249
Total long-lived assets	$	57,897	$	44,042

(G) GOODWILL AND INTANGIBLE ASSETS

The changes in the carrying amount of goodwill for the six months ended June 30, 2012 are as follows:

	Total		Business		Consumer
Balance as of December 31, 2011	$	24,090	$	16,066	$	8,024
Adjustments to goodwill:
Look.io acquisition (see Note 3)		1,082		1,082		—
Contingent earnout payments (see Note 3)		77		77		—
Balance as of June 30, 2012	$	25,249	$	17,225	$	8,024

The changes in the carrying amount of goodwill for the year ended December 31, 2011 are as follows:

	Total		Business		Consumer
Balance as of December 31, 2010	$	24,015	$	15,991	$	8,024
Adjustments to goodwill:
Contingent earnout payments (see Note 3)		75		75		—
Balance as of December 31, 2011	$	24,090	$	16,066	$	8,024

Intangible assets are summarized as follows (see Note 3):

Acquired Intangible Assets

	As of June 30, 2012
	Gross Carrying Amount		Weighted Average Amortization Period		Accumulated Amortization
Amortizing intangible assets:
Technology	$	19,882		3.6 years	$	5,607
Customer contracts		2,400		3.0 years		2,400
Trade names		630		3.0 years		630
Non-compete agreements		410		1.2 years		410
Patents		475		11.0 years		125
Other		235		3.0 years		235
Total	$	24,032			$	9,407

	As of December 31, 2011
	Gross Carrying Amount		Weighted Average Amortization Period		Accumulated Amortization
Amortizing intangible assets:
Technology	$	6,199		3.8 years	$	5,474
Customer contracts		2,400		3.0 years		2,400
Trade names		630		3.0 years		630
Non-compete agreements		410		1.2 years		410
Patents		475		11.0 years		105
Other		235		3.0 years		235
Total	$	10,349			$	9,254

Amortization expense is calculated on a straight-line basis over the estimated useful life of the asset. Aggregate amortization expense for intangible assets was $77 and $153 for the three and six months ended June 30, 2012, respectively, and $318 and $635 for the three and six months ended June 30, 2011, respectively. Estimated amortization expense for the next five years and thereafter is: $874 in 2012, $4,448 in 2013, $3,661 in 2014, $2,743 in 2015, $2,743 in 2016 and $156 thereafter.

(H) RECENTLY ISSUED ACCOUNTING STANDARDS

In December 2011, the FASB issued ASU No. 2011-11, Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities. This ASU is intended to provide enhanced disclosures that will enable users of its financial statements to evaluate the effect or potential effect of netting arrangements on an entity’s financial position. This includes the effect or potential effect of rights of setoff associated with an entity’s recognized assets and recognized liabilities within the scope of this update. The amendments require enhanced disclosures by requiring improved information about financial instruments and derivative instruments that are either (1) offset in accordance with either Section 210-20-45 or Section 815-10-45 or (2) subject to an enforceable master netting arrangement or similar agreement, irrespective of whether they are offset in accordance with either Section 210-20-45 or Section 815-10-45. An entity is required to apply this amendment for annual reporting periods beginning on or after January 1, 2013, and interim periods within those annual periods. An entity should provide the disclosures required by those amendments retrospectively for all comparative periods presented. ASU No. 2011-11 relates specifically to disclosures, it will not have an impact on the Company’s consolidated financial statements.

In May 2011, the FASB issued ASU No. 2011-04, Fair Value Measurement (Topic 820): Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs. This ASU represents the converged guidance of the FASB and the IASB (the Boards) on fair value measurement. The collective efforts of the Boards and their staffs, reflected in ASU 2011-04, have resulted in common requirements for measuring fair value and for disclosing information about fair value measurements, including a consistent meaning of the term “fair value.” The Boards have concluded the common requirements will result in greater comparability of fair value measurements presented and disclosed in financial statements prepared in accordance with U.S. GAAP and IFRSs. The amendments to the FASB Accounting Standards Codification (Codification) in this ASU are to be applied prospectively. For public entities, the amendments are effective during interim and annual periods beginning after December 15, 2011. Early application by public entities is not permitted. This update did not have an impact on the Company’s consolidated financial statements.

BALANCE SHEET COMPONENTS

6 Months Ended

Jun. 30, 2012

BALANCE SHEET COMPONENTS

(2) BALANCE SHEET COMPONENTS

Property and Equipment

Property and equipment is summarized as follows:

	June 30, 2012		December 31, 2011
Computer equipment and software	$	32,423	$	30,182
Furniture, equipment and building improvements		4,892		4,356
		37,315		34,538
Less accumulated depreciation		23,988		20,659
Total	$	13,327	$	13,879

Accrued Expenses

Accrued expenses consist of the following:

	June 30, 2012		December 31, 2011
Payroll and other employee related costs	$	6,458	$	6,435
Professional services and consulting and other vendor fees		6,927		4,686
Sales commissions		294		446
Other		381		452
Total	$	14,060	$	12,019

ACQUISITIONS

6 Months Ended

Jun. 30, 2012

ACQUISITIONS

(3) ACQUISITIONS

Proficient Systems

On July 18, 2006, the Company acquired Proficient Systems, Inc. (“Proficient”), a provider of hosted proactive chat solutions that help companies generate revenue on their web sites. This transaction was accounted for under the purchase method of accounting and, accordingly, the operating results of Proficient were included in the Company’s consolidated results of operations from the date of acquisition. The acquisition added several U.K. based financial services customers and provided an innovative product marketing team. During the twelve months ended December 31, 2011, the Company incurred additional costs related to the earn-out litigation in the amount of $75, resulting in an increase in goodwill.

Based on the achievement of certain revenue targets as of March 31, 2007, LivePerson was contingently required to issue up to an additional 2,050,000 shares of common stock. Based on these targets, the Company issued 1,127,985 shares of common stock valued at $8,894, based on the quoted market price of the Company’s common stock on the date the contingency was resolved, and made a cash payment of $20 related to this contingency. At March 31, 2007, the value of these shares has been allocated to goodwill with a corresponding increase in equity. In accordance with the purchase agreement, the earn-out consideration was subject to review by Proficient’s Shareholders’ Representative. On July 31, 2007, the Company was served with a complaint filed in the United States District Court for the Southern District of New York by the Shareholders’ Representative of Proficient (“Plaintiff”). The complaint filed by the Shareholders’ Representative sought certain documentation relating to calculation of the earn-out consideration, and demanded payment of damages on the grounds that substantially all of the remaining contingently issuable earn-out shares should have been paid. The case proceeded to trial, which ended on November 4, 2010. On June 27, 2012, the District Court issued its decision, ruling substantially in favor of the Company with the exception of certain immaterial claims by Plaintiff that were upheld and for which the Court ordered the payment of a nominal amount in damages by the Company to the former shareholders of Proficient. This payment will not have a material impact on the Company’s ongoing operations. This amount is included in Goodwill on the Company’s June 30, 2012 balance sheet.

NuConomy Ltd.

On April 13, 2010, the Company acquired all of the outstanding shares of NuConomy Ltd. (“NuConomy”), an Israeli-based development-stage company whose web analytics and optimization platform is intended to help companies better assess and understand website and social marketing performance, in exchange for aggregate cash consideration of $800. This transaction was accounted for as an asset purchase. The amount of the net asset was allocated to “Intangibles, net.”

Amadesa Ltd.

On May 31, 2012, the Company acquired technology assets from Amadesa, Ltd., an Israeli-based start-up, for aggregate cash consideration of approximately $10,301. The acquisition provides the Company with sophisticated, machine-learning predictive modeling that it expects to leverage across multiple engagement channels, enhancing its real-time intelligent engagement platform. The asset was allocated to “Intangibles, net” on the Company’s June 30, 2012, balance sheet and will be amortized over its expected period of benefit. The acquisition did not have a material impact on the Company’s reported operating results. Total acquisition costs incurred in the three months ended June 30, 2012 were approximately $283 and are included in “Intangibles, net” on the Company’s June 30, 2012, balance sheet.

Look.io

On June 13, 2012, the Company acquired Look.io, a start-up that provides mobile engagement solutions. The transaction was accounted for under the purchase method of accounting and, accordingly, the operating results of Look.io were included in the Company’s consolidated results of operations from the date of acquisition. The acquisition did not have a material impact on the Company’s reported operating results.

The purchase price was approximately $2,884, which included the issuance of 109,517 shares of the Company’s common stock valued at approximately $1,984, based on the quoted market price of the Company’s common stock on the day of closing, and a cash payment of $900. Total acquisition costs incurred in the three months ended June 30, 2012 were approximately $187 and are included in general and administrative expenses in the Company’s Consolidated Statements of Income for the same period. The acquisition did not have a material impact on the Company’s reported operating results. The acquisition adds plug-and-play mobile engagement capabilities to LivePerson’s platform allowing its customers to connect with consumers on mobile devices. All 109,517 shares are included in the weighted average shares outstanding used in basic and diluted net income per share as of the acquisition date. The purchase price was allocated based on management’s preliminary estimate of fair values, taking into account all relevant information available. Actual amounts for each of the fair values of the assets and liabilities acquired may vary. A substantial amount of the purchase price was allocated to intangibles (technology) and the excess was allocated to goodwill. The intangible asset will be amortized over its expected period of benefit. In addition to the purchase price, certain founders can earn additional compensation by achieving an employment milestone. The Company will accrue this contingent compensation ratably over the requisite employment period.

Management’s preliminary allocation of the purchase price in connection with the Look.io acquisition is as follows:

Intangible assets (technology)	$	2,884
Goodwill		1,082
		3,966
Deferred tax liability		(1,082	)
Total purchase price consideration	$	2,884

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

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+ Details

FAIR VALUE MEASUREMENTS

6 Months Ended

Jun. 30, 2012

FAIR VALUE MEASUREMENTS

(4) FAIR VALUE MEASUREMENTS

The Company follows the provisions of ASC 820-10, Fair Value Measurements, for financial assets and liabilities. This ASC defines fair value, establishes a framework for measuring fair value, and expands the related disclosure requirements. The ASC indicates, among other things, that a fair value measurement assumes a transaction to sell an asset or transfer a liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. In order to increase consistency and comparability in fair value measurements, ASC 820-10 establishes a hierarchy for observable and unobservable inputs used to measure fair value into three broad levels, which are described below:

Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs.

Level 2: Observable prices that are based on inputs not quoted on active markets, but corroborated by market data.

Level 3: Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs.

In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as considers counterparty credit risk in its assessment of fair value.

The carrying value of cash and cash equivalents, accounts receivable, accounts payable and certain accrued expenses approximate fair value because of their short-term maturity. On a nonrecurring basis, the Company uses fair value measures when analyzing asset impairment. Long-lived tangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If it is determined such indicators are present and the review indicates that the assets will not be fully recoverable, based on undiscounted estimated cash flows over the remaining amortization periods, their carrying values are reduced to estimated fair value. The Company uses an income approach and inputs that constitute level 3. During the third quarter of each year, the Company evaluates goodwill for impairment at the reporting unit level. The Company uses a combination of discounted cash flows and other qualitative factors in accordance with ASU No. 2011-08 to determine whether it is "more likely than not" that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test. This measurement is classified based on level 3 input.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References

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Reference 9: http://www.xbrl.org/2003/role/presentationRef
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+ Details

COMMITMENTS AND CONTINGENCIES

6 Months Ended

Jun. 30, 2012

COMMITMENTS AND CONTINGENCIES

(5) COMMITMENTS AND CONTINGENCIES

Leases

The Company leases facilities and certain equipment under agreements accounted for as operating leases. These leases generally require the Company to pay all executory costs such as maintenance and insurance. Rental expense for operating leases for the three and six months ended June 30, 2012 was approximately $1,746 and $3,345, respectively. Rental expense for operating leases for the three and six months ended June 30, 2011 was approximately $1,777 and $3,466, respectively.

Employee Benefit Plans

The Company has a 401(k) defined contribution plan covering all eligible employees. The Company provides for employer matching contributions equal to 50% of employee contributions, up to the lesser of 5% of eligible compensation or $6. Matching contributions are deposited in to the employees 401(k) account and are subject to 5 year graded vesting. Salaries and related expenses include $197 and $364 of employer matching contributions for the three and six months ended June 30, 2012, respectively. Salaries and related expenses include $146 and $296 of employer matching contributions for the three and six months ended June 30, 2011, respectively.

- Definition

The entire disclosure for commitments and contingencies.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6449706&loc=d3e16207-108621

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 460
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6398077&loc=d3e12565-110249

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6952336&loc=d3e14435-108349

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.25)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 440
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6394976&loc=d3e25287-109308

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name FASB Interpretation (FIN)
-Number 14
-Paragraph 3
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 5
-Paragraph 9, 10, 11, 12
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

LEGAL MATTERS

6 Months Ended

Jun. 30, 2012

LEGAL MATTERS

(6) LEGAL MATTERS

On July 31, 2007, the Company was served with a complaint filed in the United States District Court for the Southern District of New York by the Shareholders’ Representative of Proficient Systems, Inc. In connection with the July 2006 acquisition of Proficient, the Company was contingently required to issue up to 2,050,000 shares of common stock based on the terms of an earn-out provision in the merger agreement. In accordance with the terms of the earn-out provision, the Company issued 1,127,985 shares of LivePerson common stock in the second quarter of 2007 to the former shareholders of Proficient. The amended complaint filed by the Shareholders’ Representative, or Plaintiff, on May 12, 2009 alleges that the Company breached the merger agreement by failing to properly account for net annualized revenue, and demands payment of damages on the grounds that substantially all of the remaining contingently issuable earn-out shares should have been paid. The case proceeded to trial, which ended on November 4, 2010. On June 27, 2012, the District Court issued its decision, ruling substantially in favor of the Company with the exception of certain immaterial claims by Plaintiff that were upheld and for which the Court ordered the payment of a nominal amount in damages by the Company to the former shareholders of Proficient. This payment will not have a material impact on the Company’s ongoing operations. This amount is included in Goodwill on the Company’s June 30, 2012 balance sheet.

On June 15, 2011, the Company filed suit against Lodsys, LLC, in the United States District Court for the Northern District of Illinois, seeking a declaratory judgment that the Company’s products do not infringe four patents which Lodsys had previously asserted were infringed by the Company’s customers, as well as a declaratory judgment that those four patents are invalid; that case was transferred to the Eastern District of Wisconsin on October 25, 2011, based on a joint motion filed by the parties. On July 5, 2011, Lodsys countersued the Company and other plaintiffs in similarly-situated declaratory judgment actions, including DriveTime Automotive Group, Inc., ESET, LLC, ForeSee Results, LLC, OpinionLab, Inc., and The New York Times Company, in the United States District Court for the Eastern District of Texas. In the Texas case, Lodsys alleged that the Company infringes two of the patents involved in the co-pending declaratory judgment case, and sought damages for past infringement, and an injunction against future infringement. In July 2012, the parties reached a mutual, confidential agreement resolving all claims and counterclaims against each party. The terms of the agreement will not have a material impact on the Company’s ongoing operations. In August 2012, Lodsys and the Company filed notices of dismissal with prejudice of all pending claims asserted in both litigations, which the parties expect will be endorsed by the courts in August 2012, thereby dismissing with prejudice all claims in these litigations involving the Company.

On February 7, 2012, the Company filed suit against Pragmatus Telecom LLC in the District of Delaware, seeking a declaratory judgment that the Company’s products do not infringe three patents owned by Pragmatus which Pragmatus had previously asserted were infringed by certain of the Company’s customers. On March 13, 2012, the Company amended its complaint to add a request for a declaratory judgment that those three patents are invalid. On April 6, 2012, Pragmatus answered the Amended Complaint, and asserted counterclaims against the Company asserting infringement of the same three patents. Pursuant to a June 1, 2012 Scheduling Order entered by the Court, trial in this matter will begin on or after September 8, 2014. Although the Company currently does not expect that the outcome of this matter will have a material adverse effect on its financial condition or results of operations, litigation is inherently unpredictable. Therefore, judgments could be rendered or settlements entered, that could adversely affect the Company’s operating results or cash flows in a particular period.

The Company routinely assesses all of its litigation and threatened litigation as to the probability of ultimately incurring a liability, and records its best estimate of the ultimate loss in situations where it assesses the likelihood of loss as probable.

From time to time, the Company is involved in other legal proceedings arising in the ordinary course of its business, which may arise from, among other things, direct legal claims brought by or against the Company, or from claims brought against the Company’s customers for which the Company has a contractual indemnification obligation.

SUMMARY OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES (Tables)

6 Months Ended

Jun. 30, 2012

Summary of Stock-Based Compensation Expense Related to Employee Stock Options

	Three Months Ended June 30,				Six Months Ended June 30,
	2012		2011		2012		2011
Cost of revenue	$	388	$	248	$	701	$	546
Product development expense		789		441		1,399		881
Sales and marketing expense		739		443		1,291		779
General and administrative expense		722		547		1,403		1,008
Total stock based compensation included in operating expenses	$	2,638	$	1,679	$	4,794	$	3,214

Weighted Average Assumptions of Fair Value Options Using Black-Scholes Option-Pricing Model

and six months ended June 30, 2011 was $7.07 and $6.97, respectively. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions:

	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
Dividend yield		0.0	%		0.0	%		0.0	%		0.0	%
Risk-free interest rate		0.72% - 0.84	%		2.9% - 3.5	%		0.72% - 0.87	%		2.9% - 3.7	%
Expected life (in years)		5.0			5.0			5.0			5.0
Historical volatility		60.6% -60.7	%		60.7% - 61.5	%		60.3% -60.8	%		60.7% - 61.5	%

Summary of Stock Option Activity and Weighted Average Exercise Prices

A summary of the Company’s stock option activity and weighted average exercise prices follows:

	Options			Weighted Average Exercise Price
Options outstanding at December 31, 2011		8,843,413		$	7.91
Options granted		1,120,300			14.15
Options exercised		(1,388,890	)		4.81
Options cancelled		(363,083	)		9.00
Options outstanding at June 30, 2012		8,211,740			9.24
Options exercisable at June 30, 2012		2,774,457		$	5.89

Summary of Status of Nonvested Shares

A summary of the status of the Company’s nonvested shares as of December 31, 2011, and changes during the six months ended June 30, 2012 is as follows:

	Shares			Weighted Average Grant Date Fair Value
Nonvested Shares at December 31, 2011		6,038,014		$	5.04
Granted		1,120,300			7.24
Vested		(1,362,573	)		4.14
Cancelled		(358,458	)		4.73
Nonvested Shares at June 30, 2012		5,437,283		$	5.76

Reconciliation of Shares Used in Calculating Basic and Diluted Earnings Per Share

A reconciliation of shares used in calculating basic and diluted earnings per share follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2012		2011		2012		2011
Basic		55,146,901		52,735,556		54,786,499		52,409,769
Effect of assumed exercised options		2,003,355		2,817,691		1,862,661		2,715,961
Diluted		57,150,256		55,553,247		56,649,160		55,125,730

Summary of Financial Information by Segment

	Consolidated		Corporate			Business		Consumer
Revenue:
Hosted services — Business	$	32,151	$	—		$	32,151	$	—
Hosted services — Consumer		3,961		—			—		3,961
Professional services		2,393		—			2,393		—
Total revenue		38,505		—			34,544		3,961
Cost of revenue		8,492		—			7,939		553
Sales and marketing		13,017		—			11,624		1,393
Amortization of intangibles		11		—			11		—
Unallocated corporate expenses		16,561		16,561			—		—
Operating income (loss)	$	424	$	(16,561	)	$	14,970	$	2,015

	Consolidated		Corporate			Business		Consumer
Revenue:
Hosted services — Business	$	26,736	$	—		$	26,736	$	—
Hosted services — Consumer		3,735		—			—		3,735
Professional services		1,380		—			1,380		—
Total revenue		31,851		—			28,116		3,735
Cost of revenue		8,685		—			7,688		997
Sales and marketing		9,379		—			7,822		1,557
Amortization of intangibles		11		—			11		—
Unallocated corporate expenses		10,402		10,402			—		—
Operating income (loss)	$	3,374	$	(10,402	)	$	12,595	$	1,181

	Consolidated		Corporate			Business		Consumer
Revenue:
Hosted services — Business	$	63,390	$	—		$	63,390	$	—
Hosted services — Consumer		7,809		—			—		7,809
Professional services		4,065		—			4,065		—
Total revenue		75,264		—			67,455		7,809
Cost of revenue		16,414		—			15,306		1,108
Sales and marketing		24,107		—			21,114		2,993
Amortization of intangibles		87		—			87		—
Unallocated corporate expenses		29,344		29,344			—		—
Operating income (loss)	$	5,312	$	(29,344	)	$	30,948	$	3,708

	Consolidated		Corporate			Business		Consumer
Revenue:
Hosted services — Business	$	52,321	$	—		$	52,321	$	—
Hosted services — Consumer		7,393		—			—		7,393
Professional services		2,520		—			2,520		—
Total revenue		62,234		—			54,841		7,393
Cost of revenue		16,780		—			14,875		1,905
Sales and marketing		18,239		—			15,137		3,102
Amortization of intangibles		22		—			22		—
Unallocated corporate expenses		18,739		18,739			—		—
Operating income (loss)	$	8,454	$	(18,739	)	$	24,807	$	2,386

Revenues Attributable to Domestic and Foreign Operations

Revenues attributable to domestic and foreign operations for the three months ended June 30, 2012 and 2011, follows:

	June 30,
	2012		2011
United States	$	29,225	$	24,311
United Kingdom		5,245		4,299
Other countries		4,035		3,241
Total revenue	$	38,505	$	31,851

Revenues attributable to domestic and foreign operations for the six months ended June 30, 2012 and 2011, follows:

	June 30,
	2012		2011
United States	$	57,380	$	47,945
United Kingdom		10,121		7,994
Other countries		7,763		6,295
Total revenue	$	75,264	$	62,234

Long-Lived Assets by Geographic Region

Long-lived assets by geographic region follows:

	June 30, 2012		December 31, 2011
United States	$	31,835	$	28,626
Israel		23,883		13,167
United Kingdom		2,179		2,249
Total long-lived assets	$	57,897	$	44,042

Changes in Carrying Amount of Goodwill

The changes in the carrying amount of goodwill for the six months ended June 30, 2012 are as follows:

	Total		Business		Consumer
Balance as of December 31, 2011	$	24,090	$	16,066	$	8,024
Adjustments to goodwill:
Look.io acquisition (see Note 3)		1,082		1,082		—
Contingent earnout payments (see Note 3)		77		77		—
Balance as of June 30, 2012	$	25,249	$	17,225	$	8,024

The changes in the carrying amount of goodwill for the year ended December 31, 2011 are as follows:

	Total		Business		Consumer
Balance as of December 31, 2010	$	24,015	$	15,991	$	8,024
Adjustments to goodwill:
Contingent earnout payments (see Note 3)		75		75		—
Balance as of December 31, 2011	$	24,090	$	16,066	$	8,024

Summary of Intangible Assets

Intangible assets are summarized as follows (see Note 3):

Acquired Intangible Assets

	As of June 30, 2012
	Gross Carrying Amount		Weighted Average Amortization Period		Accumulated Amortization
Amortizing intangible assets:
Technology	$	19,882		3.6 years	$	5,607
Customer contracts		2,400		3.0 years		2,400
Trade names		630		3.0 years		630
Non-compete agreements		410		1.2 years		410
Patents		475		11.0 years		125
Other		235		3.0 years		235
Total	$	24,032			$	9,407

	As of December 31, 2011
	Gross Carrying Amount		Weighted Average Amortization Period		Accumulated Amortization
Amortizing intangible assets:
Technology	$	6,199		3.8 years	$	5,474
Customer contracts		2,400		3.0 years		2,400
Trade names		630		3.0 years		630
Non-compete agreements		410		1.2 years		410
Patents		475		11.0 years		105
Other		235		3.0 years		235
Total	$	10,349			$	9,254

BALANCE SHEET COMPONENTS (Tables)

6 Months Ended

Jun. 30, 2012

Summary of Property And Equipment

Property and equipment is summarized as follows:

	June 30, 2012		December 31, 2011
Computer equipment and software	$	32,423	$	30,182
Furniture, equipment and building improvements		4,892		4,356
		37,315		34,538
Less accumulated depreciation		23,988		20,659
Total	$	13,327	$	13,879

Accrued Expenses

Accrued expenses consist of the following:

	June 30, 2012		December 31, 2011
Payroll and other employee related costs	$	6,458	$	6,435
Professional services and consulting and other vendor fees		6,927		4,686
Sales commissions		294		446
Other		381		452
Total	$	14,060	$	12,019

ACQUISITIONS (Tables)

6 Months Ended

Jun. 30, 2012

Purchase Price Preliminary Allocation

Management’s preliminary allocation of the purchase price in connection with the Look.io acquisition is as follows:

Intangible assets (technology)	$	2,884
Goodwill		1,082
		3,966
Deferred tax liability		(1,082	)
Total purchase price consideration	$	2,884

SUMMARY OF OPERATIONS AND SIGNIFICANT ACCOUNTING POLICIES - Additional information (Detail) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2012 USD ($) $ / shares shares	Jun. 30, 2011 USD ($) $ / shares shares	Jun. 30, 2012 USD ($) Segment $ / shares shares	Jun. 30, 2011 USD ($) $ / shares shares	Jun. 30, 2010 shares	Mar. 31, 2000 shares
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Typical service agreements			12 months
Fees and related labor costs, recognition period (current estimate of term of customer relationship)			48 months
Weighted average fair value of stock options granted \| $ / shares	$ 8.29	$ 7.07	$ 7.24	$ 6.97
Stock option term			10 years
Unrecognized compensation cost related to nonvested share-based compensation arrangements	$ 28,198		$ 28,198
Total value of stock options exercised			13,739
Total intrinsic value of options exercisable	36,071		36,071
Total intrinsic value of nonvested options	44,206		44,206
Total intrinsic value of all outstanding options	$ 80,277		$ 80,277
Effect of option to purchase share of common stock on diluted net income per share \| shares	5,315,243	6,963,746	4,141,393	6,744,246
Weighted average exercise price of options \| $ / shares	$ 6.87	$ 4.90	$ 5.60	$ 4.77
Number of operating segments \| Segment			2
Aggregate amortization expense for intangible assets	$ 77	$ 318	$ 153	$ 635
Estimated amortization expense in 2012	874		874
Estimated amortization expense in 2013	4,448		4,448
Estimated amortization expense in 2014	3,661		3,661
Estimated amortization expense in 2015	2,743		2,743
Estimated amortization expense in 2016	2,743		2,743
Estimated amortization expenses thereafter 2016	$ 156		$ 156
Minimum
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Typical service agreements termination notice period	30 days		30 days
Maximum
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Typical service agreements termination notice period	90 days		90 days
Two Thousand Employee Stock Purchase Plan
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Shares of common stock available for issuance \| shares						450,000
Shares of common stock available for issuance, expiration date			Apr. 30, 2010
Employee Stock Purchase Plan, 2010
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Shares of common stock available for issuance \| shares	899,000		899,000		1,000,000
Incentive Stock Option
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Shares of common stock available for issuance \| shares	23,817,744		23,817,744
Weighted average recognition period of unrecognized compensation cost			2 years 1 month 6 days
Incentive Stock Option \| Nineteen Ninety Eight Plan \| Maximum
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Shares of common stock available for issuance \| shares	5,850,000		5,850,000
Incentive Stock Option \| Two Thousand Plan
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Shares of common stock available for issuance \| shares	4,150,000		4,150,000
Incentive Stock Option \| Nineteen Ninety Eight and Two Thousand Plan
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Shares of common stock available for issuance \| shares	10,000,000		10,000,000
Incentive Stock Option \| Two Thousand Nine Plan
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Shares of common stock available for issuance \| shares	11,427,000		11,427,000
Increase in number of shares of common stock available for issuance \| shares			6,000,000
Incentive Stock Option \| Two Thousand Nine Plan \| 2009 Plan
Organization Consolidation And Summary Of Significant Accounting Policies [Line Items]
Increase in number of shares of common stock available for issuance \| shares			4,250,000

Summary of Stock-Based Compensation Expense Related to Employee Stock Options (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 2,638	$ 1,679	$ 4,794	$ 3,214
Cost of revenue
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	388	248	701	546
Product development expense
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	789	441	1,399	881
Sales and marketing expense
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	739	443	1,291	779
General and Administrative Expense
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 722	$ 547	$ 1,403	$ 1,008

Weighted Average Assumptions of Fair Value Options Using Black-Scholes Option-Pricing Model (Detail)	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Dividend yield	0.00%	0.00%	0.00%	0.00%
Risk-free interest rate, minimum	0.72%	2.90%	0.72%	2.90%
Risk-free interest rate, maximum	0.84%	3.50%	0.87%	3.70%
Expected life (in years)	5 years	5 years	5 years	5 years
Historical volatility, minimum	60.60%	60.70%	60.30%	60.70%
Historical volatility, maximum	60.70%	61.50%	60.80%	61.50%

Summary of Stock Option Activity and Weighted Average Exercise Prices (Detail)	6 Months Ended
	Jun. 30, 2012 $ / shares shares
Options
Options outstanding at December 31, 2011 \| shares	8,843,413
Options granted \| shares	1,120,300
Options exercised \| shares	(1,388,890)
Options cancelled \| shares	(363,083)
Options outstanding at June 30, 2012 \| shares	8,211,740
Options exercisable at June 30,2012 \| shares	2,774,457
Weighted Average Exercise Price
Options outstanding at December 31, 2011 \| $ / shares	$ 7.91
Options granted \| $ / shares	14.15
Options exercised \| $ / shares	4.81
Options cancelled \| $ / shares	9.00
Options outstanding at June 30, 2012 \| $ / shares	9.24
Options exercisable at June 30,2012 \| $ / shares	$ 5.89

Summary of Status of Nonvested Shares (Detail)	6 Months Ended
Summary of Status of Nonvested Shares (Detail)	Jun. 30, 2012 $ / shares shares
Shares
Nonvested Shares at December 31, 2011 \| shares	6,038,014
Granted \| shares	1,120,300
Vested \| shares	(1,362,573)
Cancelled \| shares	(358,458)
Nonvested Shares at June 30, 2012 \| shares	5,437,283
Weighted Average Grant-Date Fair Value
Nonvested Shares at December 31, 2011 \| $ / shares	$ 5.04
Granted \| $ / shares	7.24
Vested \| $ / shares	4.14
Cancelled \| $ / shares	4.73
Nonvested Shares at June 30,2012 \| $ / shares	$ 5.76

Reconciliation of Shares Used in Calculating Basic and Diluted Earnings Per Share (Detail) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Earnings Per Share [Line Items]
Basic	55,146,901	52,735,556	54,786,499	52,409,769
Effect of assumed exercised options	2,003,355	2,817,691	1,862,661	2,715,961
Diluted	57,150,256	55,553,247	56,649,160	55,125,730

- Definition

The average number of shares or units issued and outstanding that are used in calculating diluted EPS or earnings per unit (EPU), determined based on the timing of issuance of shares or units in the period.

+ References + Details

- Definition

Number of [basic] shares or units, after adjustment for contingently issuable shares or units and other shares or units not deemed outstanding, determined by relating the portion of time within a reporting period that common shares or units have been outstanding to the total time in that period.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 45
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=7655603&loc=d3e1448-109256

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Weighted-Average Number of Common Shares Outstanding
-URI http://asc.fasb.org/extlink&oid=6528421

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Emerging Issues Task Force (EITF)
-Number 07-4
-Paragraph 4
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 128
-Paragraph 8
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 128
-Paragraph 171
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 128
-Paragraph 40
-Subparagraph a
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Summary of Financial Information by Segment (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Segment Reporting Information [Line Items]
Hosted services - Business	$ 32,151	$ 26,736	$ 63,390	$ 52,321
Hosted services - Consumer	3,961	3,735	7,809	7,393
Professional services	2,393	1,380	4,065	2,520
Total revenue	38,505	31,851	75,264	62,234
Cost of revenue	8,492	8,685	16,414	16,780
Sales and marketing	13,017	9,379	24,107	18,239
Amortization of intangibles	11	11	87	22
Unallocated corporate expenses	16,561	10,402	29,344	18,739
Income from operations	424	3,374	5,312	8,454
Corporate
Segment Reporting Information [Line Items]
Unallocated corporate expenses	16,561	10,402	29,344	18,739
Income from operations	(16,561)	(10,402)	(29,344)	(18,739)
Business
Segment Reporting Information [Line Items]
Hosted services - Business	32,151	26,736	63,390	52,321
Professional services	2,393	1,380	4,065	2,520
Total revenue	34,544	28,116	67,455	54,841
Cost of revenue	7,939	7,688	15,306	14,875
Sales and marketing	11,624	7,822	21,114	15,137
Amortization of intangibles	11	11	87	22
Income from operations	14,970	12,595	30,948	24,807
Consumer
Segment Reporting Information [Line Items]
Hosted services - Consumer	3,961	3,735	7,809	7,393
Total revenue	3,961	3,735	7,809	7,393
Cost of revenue	553	997	1,108	1,905
Sales and marketing	1,393	1,557	2,993	3,102
Income from operations	$ 2,015	$ 1,181	$ 3,708	$ 2,386

Revenues Attributable to Domestic and Foreign Operations (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Segment Reporting Information [Line Items]
Revenue	$ 38,505	$ 31,851	$ 75,264	$ 62,234
United States
Segment Reporting Information [Line Items]
Revenue	29,225	24,311	57,380	47,945
United Kingdom
Segment Reporting Information [Line Items]
Revenue	5,245	4,299	10,121	7,994
Other Countries
Segment Reporting Information [Line Items]
Revenue	$ 4,035	$ 3,241	$ 7,763	$ 6,295

Long-Lived Assets by Geographic Region (Detail) - USD ($) $ in Thousands	Jun. 30, 2012	Dec. 31, 2011
Segment Reporting Information [Line Items]
Total long-lived assets	$ 57,897	$ 44,042
United States
Segment Reporting Information [Line Items]
Total long-lived assets	31,835	28,626
Israel
Segment Reporting Information [Line Items]
Total long-lived assets	23,883	13,167
United Kingdom
Segment Reporting Information [Line Items]
Total long-lived assets	$ 2,179	$ 2,249

Changes in Carrying Amount of Goodwill (Detail) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2012	Dec. 31, 2011
Goodwill [Line Items]
Beginning Balance	$ 24,090
Look.io acquisition (see Note 3)	1,082
Contingent earnout payments (see Note 3)	77
Ending Balance	25,249	$ 24,090
Proficient
Goodwill [Line Items]
Beginning Balance	24,090	24,015
Contingent earnout payments (see Note 3)		75
Ending Balance		24,090
Business
Goodwill [Line Items]
Beginning Balance	16,066
Look.io acquisition (see Note 3)	1,082
Contingent earnout payments (see Note 3)	77
Ending Balance	17,225	16,066
Business \| Proficient
Goodwill [Line Items]
Beginning Balance	16,066	15,991
Contingent earnout payments (see Note 3)		75
Ending Balance		16,066
Consumer
Goodwill [Line Items]
Beginning Balance	8,024
Ending Balance	8,024	8,024
Consumer \| Proficient
Goodwill [Line Items]
Beginning Balance	$ 8,024	8,024
Ending Balance		$ 8,024

- Definition

Carrying amount as of the balance sheet date, which is the cumulative amount paid and (if applicable) the fair value of any noncontrolling interest in the acquiree, adjusted for any amortization recognized prior to the adoption of any changes in generally accepted accounting principles (as applicable) and for any impairment charges, in excess of the fair value of net assets acquired in one or more business combination transactions.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 350
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=14024403&loc=d3e13816-109267

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 350
-SubTopic 20
-Section 45
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6388280&loc=d3e13770-109266

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 142
-Paragraph 45
-Subparagraph e
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 142
-Paragraph 43
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 141R
-Paragraph 72
-Subparagraph d
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 142
-Paragraph 45
-Subparagraph e
-Clause 1
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 141R
-Paragraph 68
-Subparagraph l
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 141R
-Paragraph 34
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Summary of Intangible Assets (Detail) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2012	Dec. 31, 2011
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 24,032	$ 10,349
Accumulated Amortization	9,407	9,254
Technology
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 19,882	$ 6,199
Weighted Average Amortization Period	3 years 7 months 6 days	3 years 9 months 18 days
Accumulated Amortization	$ 5,607	$ 5,474
Customer Contracts
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 2,400	$ 2,400
Weighted Average Amortization Period	3 years	3 years
Accumulated Amortization	$ 2,400	$ 2,400
Trade Names
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 630	$ 630
Weighted Average Amortization Period	3 years	3 years
Accumulated Amortization	$ 630	$ 630
Non-compete Agreements
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 410	$ 410
Weighted Average Amortization Period	1 year 2 months 12 days	1 year 2 months 12 days
Accumulated Amortization	$ 410	$ 410
Patents
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 475	$ 475
Weighted Average Amortization Period	11 years	11 years
Accumulated Amortization	$ 125	$ 105
Other
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 235	$ 235
Weighted Average Amortization Period	3 years	3 years
Accumulated Amortization	$ 235	$ 235

Summary of Property And Equipment (Detail) - USD ($) $ in Thousands	Jun. 30, 2012	Dec. 31, 2011
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	$ 37,315	$ 34,538
Less accumulated depreciation	23,988	20,659
Total	13,327	13,879
Computer Equipment And Software
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	32,423	30,182
Furniture, Equipment and Building Improvements
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	$ 4,892	$ 4,356

- Definition

The cumulative amount of depreciation, depletion and amortization (related to property, plant and equipment, but not including land) that has been recognized in the income statement.

+ References + Details

Accrued Expenses (Detail) - USD ($) $ in Thousands	Jun. 30, 2012	Dec. 31, 2011
Schedule of Accrued Liabilities [Line Items]
Payroll and other employee related costs	$ 6,458	$ 6,435
Professional services and consulting and other vendor fees	6,927	4,686
Sales commissions	294	446
Other	381	452
Total	$ 14,060	$ 12,019

- Definition

Carrying value as of the balance sheet date of obligations incurred through that date and payable for professional fees, such as for legal and accounting services received. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).

+ References + Details

- Definition

Carrying value as of the balance sheet date of obligations incurred through that date and payable for sales commissions. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).

+ References + Details

- Definition

Carrying value as of the balance sheet date of obligations incurred through that date and payable arising from transactions not otherwise specified in the taxonomy. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).

+ References + Details

ACQUISITIONS - Additional Information (Detail) - USD ($) $ in Thousands	1 Months Ended		3 Months Ended		6 Months Ended	12 Months Ended
	Jun. 30, 2012	Mar. 31, 2007	Jun. 30, 2012	Jul. 31, 2007	Jun. 30, 2012	Dec. 31, 2011	May 31, 2012	Apr. 13, 2010
Business Acquisition [Line Items]
Additional costs related to earn-out litigation					$ 77
Technology asset acquired, aggregate cash consideration							$ 10,301
Acquisition costs			$ 283
Proficient
Business Acquisition [Line Items]
Additional costs related to earn-out litigation						$ 75
Business acquisition, additional shares of common stock contingently required to be issued		2,050,000		2,050,000
Business acquisition, shares of common stock issued		1,127,985		1,127,985
Business acquisition, value of shares of common stock issued		$ 8,894
Business acquisition, cash paid for contingency		$ 20
Look.io
Business Acquisition [Line Items]
Business acquisition, shares of common stock issued	109,517
Business acquisition, value of shares of common stock issued	$ 1,984		1,984		1,984
Business acquisition, purchase price cash	2,884		2,884		$ 2,884
Acquisition costs			187
Business acquisition, acquisition Date					Jun. 13, 2012
Business Acquisition, Cost of Acquired Entity, Cash Paid	$ 900		$ 900		$ 900
Weighted average shares outstanding used in basic and diluted net income per share as of the acquisition date	109,517
Nuconomy
Business Acquisition [Line Items]
Business acquisition, purchase price cash								$ 800

Purchase Price Preliminary Allocation (Detail) - Look.io $ in Thousands	Jun. 30, 2012 USD ($)
Business Acquisition [Line Items]
Intangible assets (technology)	$ 2,884
Goodwill	1,082
Business Acquisition Purchase Price Allocation Net Assets Acquired, Total	3,966
Deferred tax liability	(1,082)
Total purchase price consideration	$ 2,884

COMMITMENTS AND CONTINGENCIES - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Commitments and Contingencies [Line Items]
Rental expense for operating leases	$ 1,746	$ 1,777	$ 3,345	$ 3,466
Defined benefit plan employer matching contribution on first five percent of employee compensation			50.00%
Defined benefit plan employer contribution limit			$ 6
Defined benefit plan employer contribution vesting period			5 years
Maximum
Commitments and Contingencies [Line Items]
Percentage of employees' eligible compensation for employer matching contribution			5.00%
Salaries And Related Expenses
Commitments and Contingencies [Line Items]
Defined benefit plan employer contribution	$ 197	$ 146	$ 364	$ 296

LEGAL MATTERS - Additional Information (Detail)	1 Months Ended			3 Months Ended
LEGAL MATTERS - Additional Information (Detail)	Jun. 30, 2012	Jul. 05, 2011	Mar. 31, 2007 shares	Jul. 31, 2007 shares	Feb. 07, 2012 Patent	Jun. 15, 2011 Patent
Lodsys, Llc
Legal Proceedings [Line Items]
Number of patents, seeking a declaratory judgment that products do not infringe \| Patent						4
Agreement to resolve claims and counter claims, month and year		2012-07
Notices of dismissal filing month and year		2012-08
Pragmatus Telecom, Llc
Legal Proceedings [Line Items]
Number of patents, seeking a declaratory judgment that products do not infringe \| Patent					3
Trial start date	Sep. 08, 2014
Proficient
Legal Proceedings [Line Items]
Shares of common stock contingently required to be issued \| shares			2,050,000	2,050,000
Business acquisition, shares of common stock issued \| shares			1,127,985	1,127,985