Quarterly report pursuant to Section 13 or 15(d)

3. INTANGIBLE AND OTHER ASSETS

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3. INTANGIBLE AND OTHER ASSETS
6 Months Ended
Jun. 30, 2020
Finite-Lived Intangible Assets, Net [Abstract]  
INTANGIBLE AND OTHER ASSETS

Intangible and other assets consisted of the following for the periods presented:

 

   

June 30,

2020

   

December 31,

2019

 
    (Unaudited)        
Capitalized software development costs   $ 2,947,000     $ 2,363,000  
Licenses     -       340,000  
Trade name     189,000       189,000  
Domain     68,000       68,000  
Copyrights and other     361,000       289,000  
      3,565,000       3,249,000  
Less: accumulated amortization     (1,612,000 )     (1,265,000 )
Intangible and other assets, net   $ 1,953,000     $ 1,984,000  

 

Amortization expense for the three and six months ended June 30, 2020 totaled $302,000 and $795,000, respectively. Amortization expense for the three and six months ended June 30, 2019 totaled $107,000 and $192,000, respectively. In April 2020, we amended our arrangement with ggCircuit, LLC (“ggCircuit”) terminating certain rights and licenses from a prior agreement, as amended, focused on in-person play in gaming centers, and securing other rights and licenses from ggCircuit, focused on online play at home. ggCircuit is an esports services company that provides gaming center management software solutions for online play at home, along with access to a global network of gaming centers. As a result of the termination of the rights and licenses related to the prior arrangement, the Company accelerated the amortization of the remaining balance related to the prior rights and licenses included in “Licenses” above, totaling $306,000, and certain capitalized internal use software development costs totaling $107,000, which are included in technology platform and infrastructure expense in the accompanying statement of operations for the six months ended June 30, 2020.