Leases (Tables)

12 Months Ended

Dec. 31, 2023

Leases

Components of Lease Expense

	For the Years Ended December 31,
	2023		2022		2021
	(In thousands)
Operating lease cost (1)	$	538,805	$	355,871	$	111,336
Short-term lease cost (2)		4,765		4,914		4,800
Finance lease cost (3):
Amortization of right-of-use assets		102,724		57,942		95,237
Interest on lease liabilities		14,090		12,151		14,741
Total finance lease cost		116,814		70,093		109,978
Total lease costs	$	660,384	$	430,878	$	226,114

(1) The increase in operating lease cost is primarily related to communication tower leases.

(2) Leases that have terms of 12 months or less.

(3) The decrease in finance lease cost for the year ended December 31, 2022 is primarily related to the QuetzSat-1 finance lease, which expired in November 2021, as well as the Anik F3 finance lease that was extended in April 2022 and as a result is currently accounted for as an operating lease. The increase in finance lease cost for the year ended December 31, 2023 is primarily related to equipment for our 5G Network Deployment.

Summary of Supplemental cash flow information related to leases

	For the Years Ended December 31,
	2023		2022		2021
	(In thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	367,438	$	186,372	$	93,227
Operating cash flows from finance leases	$	13,400	$	11,060	$	12,917
Financing cash flows from finance leases	$	53,467	$	42,740	$	63,109
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$	753,935	$	1,402,357	$	1,489,637
Finance leases	$	53,771	$	66,312	$	—

Summary of supplemental balance sheet information related to leases

	As of
	December 31,		December 31,
	2023		2022
	(In thousands)
Operating Leases:
Operating lease assets (1)	$	3,065,448	$	2,823,834
Other current liabilities (1)	$	317,395	$	210,855
Operating lease liabilities (1)		3,121,307		2,808,774
Total operating lease liabilities (1)	$	3,438,702	$	3,019,629
Finance Leases:
Property and equipment, gross	$	833,933	$	772,420
Accumulated depreciation		(520,344)		(425,696)
Property and equipment, net	$	313,589	$	346,724
Other current liabilities	$	56,459	$	48,066
Other long-term liabilities		67,199		75,287
Total finance lease liabilities	$	123,658	$	123,353
Weighted Average Remaining Lease Term:
Operating leases		10.6 years		11.8 years
Finance leases		2.2 years		2.7 years
Weighted Average Discount Rate:
Operating leases		9.5%		7.2%
Finance leases		9.7%		9.8%

(1) In the fourth quarter of 2023, we revised certain terms with a vendor supplying communication towers. The revision in terms resulted in a lease modification, which was not accounted for as a separate contract. On the measurement date, we reassessed the terms of the original agreement, including but not limited to the timing of future cash flows, the remaining economic life of the underlying asset, the discount rate and the lease classification. This resulted in a reduction to both the operating lease asset and operating lease liability by approximately $227 million, which is included in “Operating lease assets,” and “Operating lease liabilities” on our Consolidated Balance Sheets.

Summary of maturities of operating lease liabilities

	Maturities of Lease Liabilities
	Operating		Finance
For the Years Ending December 31,	Leases		Leases		Total
	(In thousands)
2024	$	448,503	$	66,073	$	514,576
2025		485,783		35,392		521,175
2026		516,143		36,588		552,731
2027		515,022		2,574		517,596
2028		471,980		—		471,980
Thereafter		3,170,778		—		3,170,778
Total lease payments		5,608,209		140,627		5,748,836
Less: Imputed interest		(2,169,507)		(16,969)		(2,186,476)
Total		3,438,702		123,658		3,562,360
Less: Current portion		(317,395)		(56,459)		(373,854)
Long-term portion of lease obligations	$	3,121,307	$	67,199	$	3,188,506

Schedule of Lease Revenue

	For the Years Ended December 31,
	2023		2022		2021
	(In thousands)
Lease revenue:
Sales-type lease revenue	$	13,431	$	8,777	$	8,726
Operating lease revenue		42,565		44,350		41,955
Total lease revenue	$	55,996	$	53,127	$	50,681

Schedule of Operating Lease Payments to be Received

The following table presents future operating lease payments to be received as of December 31, 2023:

For the Years Ending December 31,	Total
	(In thousands)
2024	$	36,008
2025		31,803
2026		30,579
2027		25,752
2028		11,687
Thereafter		34,588
Total lease payments to be received	$	170,417