Annual report pursuant to Section 13 and 15(d)

Software Development Costs, Net

v3.19.1
Software Development Costs, Net
12 Months Ended
Dec. 31, 2018
Research and Development [Abstract]  
Software Development Costs, Net
Note 7 — Software Development Costs, Net
 
 
 
December 31,

2018
 
 
December 31,

2017
 
 
 
 
 
 
 
 
Software Development Costs
 
$
496,223
 
 
$
1,268,074
 
Less: Accumulated Amortization
 
 
(100,000
)
 
 
(859,351
)
Impairment
 
 
(196,223
)
 
 
 
 
 
 
 
 
 
 
 
 
Software Development Costs, Net
 
$
200,000
 
 
$
408,723
 
 
Total amortization expense for capitalized software development costs for the years ended December 31, 2018, 2017 and 2016 was $100,000, $214,838 and $286,450, respectively. During the year ended December 31, 2018, new software development related costs totaling $87,500 were capitalized. The remaining costs of $200,000 are being amortized over two years and are included in Cost of Sales – Products in the Consolidated Statements of Operations. During the year ended December 31, 2018, a $196,223 
impairment charge was recorded related to previously capitalized costs related to application software being developed for our M300 Smart Glasses, which was not expected to achieve expected revenue projections and was discontinued in 2018.