Table:
|  | July 31, 2019 | July 31, 2018 |
| --- | --- | --- |
| Computer hardware | $17,799 | $20,614 |
| Software | 6,741 | 4,664 |
| Capitalized software development costs | 7,374 | 3,978 |
| Equipment and machinery | 10,455 | 4,265 |
| Furniture and fixtures | 8,137 | 4,217 |
| Leasehold improvements | 48,191 | 10,751 |
| Total property and equipment | 98,697 | 48,489 |
| Less accumulated depreciation | (32,888) | (29,894) |
| Property and equipment, net | $65,809 | $18,595 |
Paragraphs:
Property and Equipment, net
Property and equipment consist of the following (in thousands):
As of July 31, 2019 and 2018, no property and equipment was pledged as collateral. Depreciation expense, excluding the amortization of software development costs, was $9.7 million, $7.7 million, and $6.6 million for the fiscal years ended July 31, 2019, 2018, and 2017, respectively.
The Company capitalizes software development costs for technology applications that the Company will offer solely as cloud-based subscriptions, which is primarily comprised of compensation for employees who are directly associated with the software development projects. The Company begins amortizing the capitalized software development costs once the technology applications are available for general release over the estimated lives of the applications, ranging from three to five years.
The Company recognized approximately $1.0 million and $0.4 million in amortization expense in cost of revenue - license and subscription on the accompanying consolidated statements of operations during the fiscal years ended July 31, 2019 and 2018, respectively. There was no such amortization during the fiscal year ended July 31, 2017.
Question:
What was the average Software value for 2018 and 2019?
Answer: (6741 + 4664) / 2 = 5702.5