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Balance Sheet Components
 12 Months Ended
Dec. 31, 2022
Balance Sheet Related Disclosures [Abstract]  
Balance Sheet Components Balance Sheet Components
Content Assets, Net
Content assets consisted of the following:
As of December 31,
20222021
(in thousands)
Licensed content, net
$12,732,549 $13,799,221 
Produced content, net
Released, less amortization
9,110,518 6,877,743 
In production
10,255,940 9,235,975 
In development and pre-production
637,706 1,006,600 
20,004,164 17,120,318 

Content assets, net$32,736,713 $30,919,539 
As of December 31, 2022, approximately $5,428 million, $2,853 million, and $1,984 million of the $12,733 million unamortized cost of the licensed content is expected to be amortized in each of the next three years. As of December 31, 2022, approximately $3,565 million, $2,310 million, and $1,601 million of the $9,111 million unamortized cost of the produced content that has been released is expected to be amortized in each of the next three years.
As of December 31, 2022, the amount of accrued participations and residuals was not material.
The following table represents the amortization of content assets:
Year ended December 31,
 202220212020
(in thousands)
Licensed content$7,681,978 $8,055,811 $7,544,631 
Produced content (1)6,344,154 4,174,556 3,262,281 
Total$14,026,132 $12,230,367 $10,806,912 
(1) Tax incentives earned on qualified production spend generally reduce the cost-basis of content assets and result in lower content amortization over the life of the title. For the year ended December 31, 2022, tax incentives resulted in lower content amortization on produced content of approximately $719 million.
Property and Equipment, Net
Property and equipment and accumulated depreciation consisted of the following:
As of December 31,Estimated Useful Lives (in Years)
20222021
(in thousands)
Land$85,005 $82,381 
Buildings52,106 48,123 30 years
Leasehold improvements1,040,570 863,342 Over life of lease
Furniture and fixtures153,682 139,809 3 years
Information technology442,681 380,452 3 years
Corporate aircraft115,578 110,978 
8-10 years
Machinery and equipment26,821 32,426 
3-5 years
Capital work-in-progress235,555 282,248 
Property and equipment, gross2,151,998 1,939,759 
Less: Accumulated depreciation(753,741)(616,306)
Property and equipment, net$1,398,257 $1,323,453 
    

Leases
The Company has entered into operating leases primarily for real estate. These leases generally have terms which range from 1 year to 15 years, and often include one or more options to renew. These renewal terms can extend the lease term from 1 year to 20 years, and are included in the lease term when it is reasonably certain that the Company will exercise the option. These operating leases are included in "Other non-current assets" on the Company's Consolidated Balance Sheets, and represent the Company’s right to use the underlying asset for the lease term. The Company’s obligations to make lease payments are included in "Accrued expenses and other liabilities" and "Other non-current liabilities" on the Company's Consolidated Balance Sheets.  Operating lease right-of-use assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. The Company has entered into various short-term operating leases with an initial term of twelve months or less. These leases are not recorded on the Company's Consolidated Balance Sheets. All operating lease expense is recognized on a straight-line basis over the lease term. Because the rate implicit in each lease is not readily determinable, the Company uses its incremental borrowing rate to determine the present value of the lease payments. The Company has certain contracts for real estate which may contain lease and non-lease components which it has elected to treat as a single lease component.
The components of lease costs for the years ended December 31, 2022, 2021 and 2020 were as follows:
Year ended December 31,
 202220212020
(in thousands)
Operating lease cost$413,664 $389,805 $323,905 
Short-term lease cost194,764 152,765 116,606 
Total lease cost$608,428 $542,570 $440,511 

Information related to the Company's operating right-of-use assets and related operating lease liabilities were as follows:
Year ended December 31,
202220212020
(in thousands)
Cash paid for operating lease liabilities$413,034 $349,586 $259,559 
Right-of-use assets obtained in exchange for new operating lease obligations252,393 764,142 729,942 
As of December 31,
20222021
(in thousands, except lease term and discount rate)
Operating lease right-of-use assets, net$2,227,122 $2,446,573 
Current operating lease liabilities$355,985 $315,189 
Non-current operating lease liabilities2,222,503 2,408,486 
Total operating lease liabilities$2,578,488 $2,723,675 
Weighted-average remaining lease term8.3 years9.2 years
Weighted-average discount rate3.2 %3.1 %


Maturities of operating lease liabilities as of December 31, 2022 were as follows (in thousands):
Due in 12 month period ended December 31,
2023$433,167 
2024406,293 
2025377,371 
2026368,496 
2027310,903 
Thereafter1,036,327 
2,932,557 
Less imputed interest(354,069)
Total operating lease liabilities2,578,488 
The Company has additional operating leases for real estate of $419 million which have not commenced as of December 31, 2022, and as such, have not been recognized on the Company's Consolidated Balance Sheets. These operating leases are expected to commence in 2023 and 2024 with lease terms between 2 and 10 years.


Other Current Assets
Other current assets consisted of the following:
As of
December 31,
2022		December 31,
2021
(in thousands)
Trade receivables
$988,898 $804,320 
Prepaid expenses
392,735 323,818 
Other (1)
1,826,388 913,883 
Total other current assets
$3,208,021 $2,042,021 
(1) $598 million of tax incentives earned on production spend is included in Other as of December 31, 2022.
The increase in Other was primarily due to a modification of a content licensing arrangement.