Revenue (Notes)

9 Months Ended

Jul. 03, 2020

Revenue from Contract with Customer [Text Block]

. REVENUE

Disaggregation of Revenue

We disaggregate revenue from contracts with customers by markets and geography, as we believe it best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors.

The following tables present our revenue disaggregated by markets and geography (in thousands):


	Three Months Ended						Nine Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
Revenue by Market:
Telecommunications	$	56,800	$	43,883	$	154,049	$	141,379
Industrial & Defense	48,035		46,809		146,586		154,563
Data Center	32,432		17,614		82,153		91,518
Total	$	137,267	$	108,306	$	382,788	$	387,460


	Three Months Ended						Nine Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
Revenue by Geographic Region:
United States	$	53,633	$	52,340	$	163,964	$	185,172
China	55,886		27,451		133,659		104,491
Asia Pacific, excluding China ⁽¹⁾	19,688		16,371		58,552		60,384
Other Countries ⁽²⁾	8,060		12,144		26,613		37,413
Total	$	137,267	$	108,306	$	382,788	$	387,460

(1)Asia Pacific represents Taiwan, Japan, Singapore, India, Thailand, South Korea, Australia, Malaysia, New Zealand and the Philippines.

(2)No country or region represented greater than 10% of our total revenue as of the dates presented, other than the United States, China and Asia Pacific region as presented above.

Contract Balances

We record contract assets or contract liabilities depending on the timing of revenue recognition, billings and cash collections on a contract-by-contract basis. Our contract liabilities primarily relate to deferred revenue, including advanced consideration received from customers for contracts prior to the transfer of control to the customer, and therefore revenue is subsequently recognized upon delivery of products and services.

The following table presents the changes in contract liabilities during the nine months ended July 3, 2020 (in thousands, except percentage):


	July 3, 2020		September 27, 2019		$ Change		% Change
Contract liabilities	$	11,003	$	10,653	$	350	3	%

As of July 3, 2020 and September 27, 2019, approximately $3.5 million and $8.5 million of our contract liabilities, respectively, were recorded as other long-term liabilities on our balance sheet with the remainder recorded as deferred revenue. The increase in contract liabilities during the nine months ended July 3, 2020, as shown in the table above, was primarily from the deferral of revenue for funds received prior to when certain of our customers obtained control of the product or services.

During the three and nine months ended July 3, 2020, we recognized net sales of $0.2 million and $0.4 million, respectively, that were included in the contract liabilities balance at the beginning of the period.