4. INTANGIBLE AND OTHER ASSETS
|12 Months Ended|
Dec. 31, 2019
|Finite-Lived Intangible Assets, Net [Abstract]|
|INTANGIBLE AND OTHER ASSETS||
Intangible and other assets consisted of the following at December 31, 2019 and 2018:
Amortization expense totaled $497,000 and $245,000 for the years ended December 31, 2019 and 2018, respectively.
Future amortization expense of intangible and other assets is expected to be as follows:
On September 23, 2019, the Company and ggCircuit, LLC (“ggCircuit”), an esports services company that provides gaming center management software solutions and other esports offerings, entered into an expanded commercial partnership agreement (the “Expanded Agreement”) pursuant to which Super League became the primary consumer-facing brand within ggCircuit’s B2B gaming center software platform. ggCircuit’s software platform is a B2B platform and B2C application created and owned by ggCircuit, which is licensed and distributed to owners and operators of video gaming centers throughout the world.
In consideration for the rights granted by ggCircuit to Super League, Super League paid an upfront fee of $340,000 and will pay quarterly fees over the term of the Agreement, commencing with the first quarter of 2020, ranging from $0 to $150,000, based on predetermined contractual revenue levels. Pursuant to the terms and conditions of the Expanded Agreement, revenues generated in connection with applicable activities under the Expanded Agreement will be shared between Super League and ggCircuit based on contractual revenue sharing percentages. The initial term of the Expanded Agreement commences on October 1, 2019, the effective date and concludes on the fifth anniversary of the effective date, subject to certain automatic renewal provisions. The upfront fee is included as "Licenses" in intangible assets and other assets, net, in the accompanying balance sheet and will be amortized over the initial term of the Expanded Agreement of five years, commencing October 1, 2019.
The entire disclosure for all or part of the information related to intangible assets.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef