on january 8 , 2013 , we acquired the remaining 37 % interest of our majority-owned subsidiary , brightcove kabushiki kaisha , or brightcove kk , a japanese joint venture which was formed on july 18 , 2008. the purchase price of the remaining equity interest was approximately $ 1.1 million and was funded by cash on hand . given that we now own 100 % of brightcove kk , we will continue to consolidate brightcove kk for financial reporting purposes , however , commencing on january 8 , 2013 , we no longer record a non-controlling interest in the consolidated statements of operations . on january 31 , 2014 , we acquired substantially all of the assets of unicorn media , inc. and certain of its subsidiaries , or unicorn , a provider of cloud video ad insertion technology , for total consideration of approximately $ 40.1 million , which was funded by cash on hand of $ 9.5 million and 2,850,547 shares of our common stock . the results of operations of unicorn will be consolidated with our results of operations beginning on january 31 , 2014 , the closing date of the transaction . 31 key metrics we regularly review a number of metrics , including the following key metrics , to evaluate our business , measure our performance , identify trends affecting our business , formulate financial projections and make strategic decisions . number of customers . we define our number of customers at the end of a particular quarter as the number of customers generating subscription revenue at the end of the quarter . we believe the number of customers is a key indicator of our market penetration , the productivity of our sales organization and the value that our products bring to both large and small organizations . we classify our customers by including them in either premium or volume offerings . our premium offerings include our premium video cloud customers ( enterprise and pro editions ) and our zencoder customers who are on annual contracts . our volume offerings include our video cloud express customers and our zencoder customers on month-to-month and pay-as-you-go contracts . during 2013 , the number of customers remained relatively consistent , and during 2012 , the number of customers increased 64 % . as of december 31 , 2013 , we had 6,318 customers , of which 4,556 used our volume offerings and 1,762 used our premium offerings . as of december 31 , 2012 , we had 6,367 customers , of which 4,742 used our volume offerings and 1,625 used our premium offerings . volume customers decreased during 2013 primarily due to our discontinuation of the promotional video cloud express offering . as a result , we experienced attrition of this base level offering without a corresponding addition of customers . we expect customers using our volume offerings to continue to decrease in 2014 as we discontinue additional video cloud express price levels . average monthly streams . we define average monthly streams as the year-to-date average number of monthly stream starts on video cloud . we believe the average number of monthly streams is a key indicator of both the adoption of video cloud as an online video platform and the growth of video content across the internet . during the year ended december 31 , 2013 , the average number of monthly streams was approximately 963 million , an increase of 38 % from approximately 699 million during the year ended december 31 , 2012. recurring dollar retention rate . we assess our ability to retain customers using a metric we refer to as our recurring dollar retention rate . we calculate the recurring dollar retention rate by dividing the retained recurring value of subscription revenue for a period by the previous recurring value of subscription revenue for the same period . we define retained recurring value of subscription revenue as the committed subscription fees for all contracts that renew in a given period . we define previous recurring value of subscription revenue as the recurring value from committed subscription fees for all contracts that expire in that same period . we typically calculate our recurring dollar retention rate on a monthly basis . recurring dollar retention rate provides visibility into our ongoing revenue . during both the years ended december 31 , 2013 and 2012 , the recurring dollar retention rate was 94 % . the following table includes our key metrics for the periods presented : replace_table_token_6_th 32 components of consolidated statements of operations revenue subscription and support revenue  we generate subscription and support revenue from the sale of video cloud and the zencoder service . video cloud is offered in two product lines . the first product line is comprised of our premium product editions , enterprise and pro . the enterprise edition provides additional features and functionality such as a multi-account environment with consolidated billing , ip address filtering , the ability to produce live events with dvr functionality and advanced upload acceleration of content . customer arrangements are typically one year contracts , which include a subscription to our platform , basic support and a pre-determined amount of video streams , bandwidth , and managed content . we also offer gold support to our premium customers for an additional fee , which includes extended phone support . the pricing for our premium editions is based on the number of users , accounts and usage , which is comprised of video streams , bandwidth and managed content . should a customer 's usage of this service exceed the contractual entitlements , the contract will provide the rate at which the customer must pay for actual usage above the contractual entitlements . the second product line is comprised of our volume product edition , which we refer to as our express edition . our express edition targets small and medium-sized businesses , or smbs . story_separator_special_tag 2009-13 , revenue recognition ( topic 605 ) , multiple-deliverable revenue arrangements  a consensus of the fasb emerging issues task force . arrangement consideration is allocated to deliverables based on their relative selling price . in order to treat deliverables in a multiple-element arrangement as separate units of accounting , the deliverables must have stand-alone value upon delivery . if the deliverables have stand-alone value upon delivery , we account for each deliverable separately . subscription services have stand-alone value as such services are often sold separately . in determining whether professional services have stand-alone value , we consider the following factors for each professional services agreement : availability of the services from other vendors , the nature of the professional services , the timing of when the professional services contract was signed in comparison to the subscription service start date , and the contractual dependence of the subscription service on the customer 's satisfaction with the professional services work . to date , we have concluded that all of the professional services included in multiple-element arrangements executed have stand-alone value , with the exception of initiation and activation fees . when multiple deliverables included in an arrangement are separated into different units of accounting , the arrangement consideration is allocated to the identified separate units based on a relative selling price hierarchy . we determine the relative selling price for a deliverable based on its vendor-specific objective evidence of fair value ( vsoe ) , if available , or its best estimate of selling price ( besp ) , if vsoe is not available . we have determined that third-party evidence of selling price is not a practical alternative due to differences in our service offerings compared to other parties and the availability of relevant third party pricing information . the amount of revenue allocated to delivered items is limited by contingent revenue , if any . we have not established vsoe for our offerings due to the lack of pricing consistency , the introduction of new services and other factors . accordingly , we use our besp to determine the relative selling price . we determine besp by considering our overall pricing objectives and market conditions . significant pricing practices taken into consideration include our discounting practices , the size and volume of our transactions , the geographic area where services are sold , price lists , our go-to-market strategy , historical contractually stated prices and prior relationships and future subscription service sales with certain classes of customers . the determination of besp is made through consultation with and approval by our management , taking into consideration the go-to-market strategy . as our go-to-market strategies evolve , we may modify our pricing practices in the future , which could result in changes in selling prices , including both vsoe and besp . we plan to analyze the selling prices used in our allocation of arrangement consideration , at a minimum , on an annual basis . selling prices will be analyzed on a more frequent basis if a significant change in our business necessitates a more timely analysis or if we experience significant variances in our selling prices . allowance for doubtful accounts we offset gross trade accounts receivable with an allowance for doubtful accounts . the allowance for doubtful accounts is our best estimate of the amount of probable credit losses in our existing accounts receivable and is based upon historical loss patterns , the number of days that billings are past due and an evaluation of the potential risk of loss associated with specific accounts . provisions for allowances for doubtful accounts are recorded in general and administrative expense . if , upon signing a customer arrangement , the related account receivable is not considered collectable , we will defer the associated revenue until we collect the cash . to date , we have not incurred any significant write-offs of accounts receivable and 37 have not been required to revise any of our assumptions or estimates used in determining our allowance for doubtful accounts . as of december 31 , 2013 , our allowance for doubtful accounts was $ 461,000. software development costs costs incurred to develop software applications used in our on-demand application services consist of ( a ) certain external direct costs of materials and services incurred in developing or obtaining internal-use computer software and ( b ) payroll and payroll-related costs for employees who are directly associated with , and who devote time to , the project . these costs generally consist of internal labor during configuration , coding and testing activities . research and development costs incurred during the preliminary project stage or costs incurred for data conversion activities , training , maintenance and general and administrative or overhead costs are expensed as incurred . capitalization begins when the preliminary project stage is complete , management with the relevant authority authorizes and commits to the funding of the software project , it is probable the project will be completed , and the software will be used to perform the functions intended and certain functional and quality standards have been met . qualified costs incurred during the operating stage of our software applications relating to upgrades and enhancements are capitalized to the extent it is probable that they will result in added functionality , while costs that can not be separated between maintenance of , and minor upgrades and enhancements to , internal-use software are expensed as incurred . these capitalized costs are amortized on a straight line basis over the expected useful life of the software , which is three years . we capitalized $ 1.1 million in 2013 , $ 24,000 in 2012 and $ 354,000 in 2011 , respectively , of internal-use software development costs . amortization of software development costs was $ 312,000 in 2013 , $ 542,000 in 2012 and $ 886,000 in 2011 , respectively . in addition to the software development costs described above ,

liquidity and capital resources in connection with our initial public offering in february 2012 , we received aggregate proceeds of approximately $ 58.8 million , including the proceeds from the underwriters ' exercise of their overallotment option , net of underwriters ' discounts and commissions , but before deducting offering expenses of approximately $ 4.3 million . prior to our initial public offering , we funded our operations primarily through private placements of preferred and common stock , as well as through borrowings of $ 7.0 million under our bank credit facilities . in february 2012 , we repaid the $ 7.0 million balance under our bank credit facilities . all of the preferred stock was converted into shares of our common stock in connection with our initial public offering . replace_table_token_25_th cash , cash equivalents and investments . our cash , cash equivalents and investments at december 31 , 2013 were held for working capital purposes and were invested primarily in money market funds , certificates of deposit and corporate debentures . we do not enter into investments for trading or speculative purposes . at december 31 , 2013 and december 31 , 2012 , restricted cash was $ 322,000 and $ 303,000 , respectively , and was held in certificates of deposit as collateral for letters of credit related to the contractual provisions of our corporate credit cards and the contractual provisions with a customer . additionally , a portion of the restricted cash balance at december 31 , 2012 was associated with the lease agreement for our office in seattle , washington .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```liquidity and capital resources in connection with our initial public offering in february 2012 , we received aggregate proceeds of approximately $ 58.8 million , including the proceeds from the underwriters ' exercise of their overallotment option , net of underwriters ' discounts and commissions , but before deducting offering expenses of approximately $ 4.3 million . prior to our initial public offering , we funded our operations primarily through private placements of preferred and common stock , as well as through borrowings of $ 7.0 million under our bank credit facilities . in february 2012 , we repaid the $ 7.0 million balance under our bank credit facilities . all of the preferred stock was converted into shares of our common stock in connection with our initial public offering . replace_table_token_25_th cash , cash equivalents and investments . our cash , cash equivalents and investments at december 31 , 2013 were held for working capital purposes and were invested primarily in money market funds , certificates of deposit and corporate debentures . we do not enter into investments for trading or speculative purposes . at december 31 , 2013 and december 31 , 2012 , restricted cash was $ 322,000 and $ 303,000 , respectively , and was held in certificates of deposit as collateral for letters of credit related to the contractual provisions of our corporate credit cards and the contractual provisions with a customer . additionally , a portion of the restricted cash balance at december 31 , 2012 was associated with the lease agreement for our office in seattle , washington .
```    
 Suspicious Activity Report : on january 8 , 2013 , we acquired the remaining 37 % interest of our majority-owned subsidiary , brightcove kabushiki kaisha , or brightcove kk , a japanese joint venture which was formed on july 18 , 2008. the purchase price of the remaining equity interest was approximately $ 1.1 million and was funded by cash on hand . given that we now own 100 % of brightcove kk , we will continue to consolidate brightcove kk for financial reporting purposes , however , commencing on january 8 , 2013 , we no longer record a non-controlling interest in the consolidated statements of operations . on january 31 , 2014 , we acquired substantially all of the assets of unicorn media , inc. and certain of its subsidiaries , or unicorn , a provider of cloud video ad insertion technology , for total consideration of approximately $ 40.1 million , which was funded by cash on hand of $ 9.5 million and 2,850,547 shares of our common stock . the results of operations of unicorn will be consolidated with our results of operations beginning on january 31 , 2014 , the closing date of the transaction . 31 key metrics we regularly review a number of metrics , including the following key metrics , to evaluate our business , measure our performance , identify trends affecting our business , formulate financial projections and make strategic decisions . number of customers . we define our number of customers at the end of a particular quarter as the number of customers generating subscription revenue at the end of the quarter . we believe the number of customers is a key indicator of our market penetration , the productivity of our sales organization and the value that our products bring to both large and small organizations . we classify our customers by including them in either premium or volume offerings . our premium offerings include our premium video cloud customers ( enterprise and pro editions ) and our zencoder customers who are on annual contracts . our volume offerings include our video cloud express customers and our zencoder customers on month-to-month and pay-as-you-go contracts . during 2013 , the number of customers remained relatively consistent , and during 2012 , the number of customers increased 64 % . as of december 31 , 2013 , we had 6,318 customers , of which 4,556 used our volume offerings and 1,762 used our premium offerings . as of december 31 , 2012 , we had 6,367 customers , of which 4,742 used our volume offerings and 1,625 used our premium offerings . volume customers decreased during 2013 primarily due to our discontinuation of the promotional video cloud express offering . as a result , we experienced attrition of this base level offering without a corresponding addition of customers . we expect customers using our volume offerings to continue to decrease in 2014 as we discontinue additional video cloud express price levels . average monthly streams . we define average monthly streams as the year-to-date average number of monthly stream starts on video cloud . we believe the average number of monthly streams is a key indicator of both the adoption of video cloud as an online video platform and the growth of video content across the internet . during the year ended december 31 , 2013 , the average number of monthly streams was approximately 963 million , an increase of 38 % from approximately 699 million during the year ended december 31 , 2012. recurring dollar retention rate . we assess our ability to retain customers using a metric we refer to as our recurring dollar retention rate . we calculate the recurring dollar retention rate by dividing the retained recurring value of subscription revenue for a period by the previous recurring value of subscription revenue for the same period . we define retained recurring value of subscription revenue as the committed subscription fees for all contracts that renew in a given period . we define previous recurring value of subscription revenue as the recurring value from committed subscription fees for all contracts that expire in that same period . we typically calculate our recurring dollar retention rate on a monthly basis . recurring dollar retention rate provides visibility into our ongoing revenue . during both the years ended december 31 , 2013 and 2012 , the recurring dollar retention rate was 94 % . the following table includes our key metrics for the periods presented : replace_table_token_6_th 32 components of consolidated statements of operations revenue subscription and support revenue  we generate subscription and support revenue from the sale of video cloud and the zencoder service . video cloud is offered in two product lines . the first product line is comprised of our premium product editions , enterprise and pro . the enterprise edition provides additional features and functionality such as a multi-account environment with consolidated billing , ip address filtering , the ability to produce live events with dvr functionality and advanced upload acceleration of content . customer arrangements are typically one year contracts , which include a subscription to our platform , basic support and a pre-determined amount of video streams , bandwidth , and managed content . we also offer gold support to our premium customers for an additional fee , which includes extended phone support . the pricing for our premium editions is based on the number of users , accounts and usage , which is comprised of video streams , bandwidth and managed content . should a customer 's usage of this service exceed the contractual entitlements , the contract will provide the rate at which the customer must pay for actual usage above the contractual entitlements . the second product line is comprised of our volume product edition , which we refer to as our express edition . our express edition targets small and medium-sized businesses , or smbs . story_separator_special_tag 2009-13 , revenue recognition ( topic 605 ) , multiple-deliverable revenue arrangements  a consensus of the fasb emerging issues task force . arrangement consideration is allocated to deliverables based on their relative selling price . in order to treat deliverables in a multiple-element arrangement as separate units of accounting , the deliverables must have stand-alone value upon delivery . if the deliverables have stand-alone value upon delivery , we account for each deliverable separately . subscription services have stand-alone value as such services are often sold separately . in determining whether professional services have stand-alone value , we consider the following factors for each professional services agreement : availability of the services from other vendors , the nature of the professional services , the timing of when the professional services contract was signed in comparison to the subscription service start date , and the contractual dependence of the subscription service on the customer 's satisfaction with the professional services work . to date , we have concluded that all of the professional services included in multiple-element arrangements executed have stand-alone value , with the exception of initiation and activation fees . when multiple deliverables included in an arrangement are separated into different units of accounting , the arrangement consideration is allocated to the identified separate units based on a relative selling price hierarchy . we determine the relative selling price for a deliverable based on its vendor-specific objective evidence of fair value ( vsoe ) , if available , or its best estimate of selling price ( besp ) , if vsoe is not available . we have determined that third-party evidence of selling price is not a practical alternative due to differences in our service offerings compared to other parties and the availability of relevant third party pricing information . the amount of revenue allocated to delivered items is limited by contingent revenue , if any . we have not established vsoe for our offerings due to the lack of pricing consistency , the introduction of new services and other factors . accordingly , we use our besp to determine the relative selling price . we determine besp by considering our overall pricing objectives and market conditions . significant pricing practices taken into consideration include our discounting practices , the size and volume of our transactions , the geographic area where services are sold , price lists , our go-to-market strategy , historical contractually stated prices and prior relationships and future subscription service sales with certain classes of customers . the determination of besp is made through consultation with and approval by our management , taking into consideration the go-to-market strategy . as our go-to-market strategies evolve , we may modify our pricing practices in the future , which could result in changes in selling prices , including both vsoe and besp . we plan to analyze the selling prices used in our allocation of arrangement consideration , at a minimum , on an annual basis . selling prices will be analyzed on a more frequent basis if a significant change in our business necessitates a more timely analysis or if we experience significant variances in our selling prices . allowance for doubtful accounts we offset gross trade accounts receivable with an allowance for doubtful accounts . the allowance for doubtful accounts is our best estimate of the amount of probable credit losses in our existing accounts receivable and is based upon historical loss patterns , the number of days that billings are past due and an evaluation of the potential risk of loss associated with specific accounts . provisions for allowances for doubtful accounts are recorded in general and administrative expense . if , upon signing a customer arrangement , the related account receivable is not considered collectable , we will defer the associated revenue until we collect the cash . to date , we have not incurred any significant write-offs of accounts receivable and 37 have not been required to revise any of our assumptions or estimates used in determining our allowance for doubtful accounts . as of december 31 , 2013 , our allowance for doubtful accounts was $ 461,000. software development costs costs incurred to develop software applications used in our on-demand application services consist of ( a ) certain external direct costs of materials and services incurred in developing or obtaining internal-use computer software and ( b ) payroll and payroll-related costs for employees who are directly associated with , and who devote time to , the project . these costs generally consist of internal labor during configuration , coding and testing activities . research and development costs incurred during the preliminary project stage or costs incurred for data conversion activities , training , maintenance and general and administrative or overhead costs are expensed as incurred . capitalization begins when the preliminary project stage is complete , management with the relevant authority authorizes and commits to the funding of the software project , it is probable the project will be completed , and the software will be used to perform the functions intended and certain functional and quality standards have been met . qualified costs incurred during the operating stage of our software applications relating to upgrades and enhancements are capitalized to the extent it is probable that they will result in added functionality , while costs that can not be separated between maintenance of , and minor upgrades and enhancements to , internal-use software are expensed as incurred . these capitalized costs are amortized on a straight line basis over the expected useful life of the software , which is three years . we capitalized $ 1.1 million in 2013 , $ 24,000 in 2012 and $ 354,000 in 2011 , respectively , of internal-use software development costs . amortization of software development costs was $ 312,000 in 2013 , $ 542,000 in 2012 and $ 886,000 in 2011 , respectively . in addition to the software development costs described above ,

