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Deferred Revenue
6 Months Ended
Jun. 30, 2019
Revenue From Contract With Customer [Abstract]  
Deferred Revenue

7.

Deferred Revenue

Deferred revenue by revenue classification was as follows (in thousands):

 

 

 

June 30,

2019

 

 

December 31,

2018

 

 

 

(unaudited)

 

 

 

 

 

Current deferred revenue

 

 

 

 

 

 

 

 

Sequencing

 

$

14,616

 

 

$

11,238

 

Development

 

 

46,578

 

 

 

1,457

 

Total current deferred revenue

 

 

61,194

 

 

 

12,695

 

Non-current deferred revenue

 

 

 

 

 

 

 

 

Sequencing

 

 

493

 

 

 

516

 

Development

 

 

240,426

 

 

 

188

 

Total non-current deferred revenue

 

 

240,919

 

 

 

704

 

Total current and non-current deferred revenue

 

$

302,113

 

 

$

13,399

 

 

Genentech deferred revenue represents $45.0 million and $240.2 million of the current and non-current development deferred revenue balances, respectively, at June 30, 2019. In general, the current amounts will be recognized as revenue within 12 months and the long-term amounts will be recognized as revenue over a period of approximately seven to eight years. This period of time represents an estimate of the research and development period to develop cellular therapies in oncology, which may be reduced or increased based on the various development activities.

Changes in deferred revenue during the six months ended June 30, 2019 were as follows (in thousands):

 

Deferred revenue balance at December 31, 2018

 

$

13,399

 

Additions to deferred revenue during the period (unaudited)

 

 

308,055

 

Revenue recognized during the period (unaudited)

 

 

(19,341

)

Deferred revenue balance at June 30, 2019 (unaudited)

 

$

302,113

 

 

As of June 30, 2019, $4.4 million was recognized that was included in the deferred revenue balance at December 31, 2018. As a result of cancelled customer sequencing contracts, we recognized $0.8 million of sequencing revenue during the six months ended June 30, 2019.