Revenue

12 Months Ended

Dec. 31, 2019

Revenue

Revenue

16. REVENUE

On December 31, 2019, the Company had $1.6 billion of remaining performance obligations, which represents the transaction price of firm orders less inception to date revenue recognized. Remaining performance obligations generally exclude unexercised contract options and indefinite delivery/indefinite quantity contracts. The Company expects to recognize revenue relating to existing performance obligations of approximately $1.0 billion, $0.4 billion, and $0.2 billion in the fiscal years 2020, 2021 and thereafter, respectively.

Contract liabilities by segment are as follows:

As of December 31, 2019	Earth Intelligence1		Space Infrastructure		Total
Contract liabilities	$	130	$	145	$	275
As of December 31, 2018	Earth Intelligence1		Space Infrastructure		Total
Contract liabilities	$	243	$	149	$	392

¹ The contract liability balance associated with the Company’s EnhancedView Contract was $78 million and $184 million as of December 31, 2019 and 2018, respectively. During the year ended December 31, 2019, imputed interest on advanced payments increased the contract liability balance by $15 million, and $120 million in revenue was

recognized, decreasing the contract liability balance. The contract liability balance associated with the Company’s EnhancedView Contract is expected to be recognized as revenue through August 31, 2020.

The decrease in total contract liabilities was primarily due to revenue recognized.

The Company’s primary sources of revenue are as follows:

Year Ended December 31, 2019	Earth Intelligence		Space Infrastructure		Eliminations		Total
Product revenues	$	—	$	560	$	—	$	560
Service revenues		1,085		21		—		1,106
Intersegment		—		125		(125)		—
	$	1,085	$	706	$	(125)	$	1,666
Year Ended December 31, 2018	Earth Intelligence		Space Infrastructure		Eliminations		Total
Product revenues	$	—	$	697	$	—	$	697
Service revenues		1,058		49		—		1,107
Intersegment		1		77		(78)		—
	$	1,059	$	823	$	(78)	$	1,804
Year Ended December 31, 2017	Earth Intelligence		Space Infrastructure		Eliminations		Total
Product revenues	$	—	$	877	$	—	$	877
Service revenues		331		49		—		380
Intersegment		—		6		(6)		—
	$	331	$	932	$	(6)	$	1,257

Certain of the Company’s contracts with customers in the Space Infrastructure segment include a significant financing component as payments are received from the customer more than one year after delivery of the promised goods or services. The Company recognized orbital interest revenue related to these contracts of $31 million, $32 million and $35 million for the years ended December 31, 2019, 2018 and 2017, respectively, which is included in product revenues.

The approximate revenue based on geographic location of customers is as follows:

	Year Ended December 31,
		2019		2018		2017
United States	$	1,240	$	1,238	$	698
Asia		161		213		228
South America		97		133		16
Europe		69		54		127
Middle East		57		90		41
Australia		22		17		22
Canada		10		49		123
Other		10		10		2
Total revenues	$	1,666	$	1,804	$	1,257

Revenues from significant customers is as follows:

	Year Ended December 31,
	2019		2018		2017
U.S. Federal Government and agencies	$	940	$	816	$	276
Commercial and other		726		988		981

The majority of revenue from the U.S. Federal Government and agencies is derived from the Earth Intelligence segment.