Other Revenue

3 Months Ended

Mar. 31, 2023

Revenue Recognition and Deferred Revenue [Abstract]

Other Revenue

Product Sales

Product sales are primarily associated with our COVID-19 vaccine supply agreements with the U.S. Government, other international governments and organizations.

Product sales by customer geographic location were as follows (in millions):

	Three Months Ended March 31,
	2023		2022
United States	$	1	$	945
Europe	576		2,076
Rest of world	1,251		2,904
Total	$	1,828	$	5,925

As of March 31, 2023, our original COVID-19 vaccine (mRNA-1273) and Omicron-targeting bivalent boosters (mRNA-1273.214 and mRNA-1273.222) were our only commercial products authorized for use.

As of March 31, 2023 and December 31, 2022, we had deferred revenue of $1.8 billion and $2.6 billion, respectively, related to customer deposits. We expect $1.2 billion of our deferred revenue related to customer deposits as of March 31, 2023 to be realized in less than one year. Timing of product delivery, manufacturing, and receipt of marketing approval for the latest variant-targeted COVID-19 vaccines will determine the period in which product sales are recognized.Other Revenue

The following table summarizes other revenue for the periods presented (in millions):

	Three Months Ended March 31,
	2023		2022
Grant revenue	$	24	$	126
Collaboration revenue	10		15
Total other revenue	$	34	$	141

Grant Revenue

In September 2020, we entered into an agreement with the Defense Advanced Research Projects Agency (DARPA) for an award of up to $56 million to fund development of a mobile manufacturing prototype leveraging our existing manufacturing technology that is capable of rapidly producing vaccines and therapeutics. As of March 31, 2023, the committed funding, net of revenue earned was $3 million. An additional $24 million of funding will be available if DARPA exercises additional contract options.

In April 2020, we entered into an agreement with the Biomedical Advanced Research and Development Authority (BARDA), a division of the Office of the Assistant Secretary for Preparedness and Response within the U.S. Department of Health and Human Services (HHS), for an award of up to $483 million to accelerate development of mRNA-1273. The agreement was amended subsequently in 2020, 2021 and 2022 to provide for additional commitments to support various late-stage clinical development efforts of mRNA-1273, including a 30,000 participant Phase 3 study, pediatric clinical trials, adolescent clinical trials and pharmacovigilance studies. The maximum award from BARDA, inclusive of the 2020, 2021 and 2022 amendments, was approximately $1.7 billion. All contract options have been exercised. As of March 31, 2023, the remaining available funding, net of revenue earned was $117 million.

In January 2016, we entered a global health project framework agreement with the Bill and Melinda Gates Foundation (Gates Foundation) to advance mRNA development projects for various infectious diseases, including human immunodeficiency virus (HIV). As of March 31, 2023, the available funding, net of revenue earned was $6 million, with up to an additional $80 million available if additional follow-on projects are approved.

The following table summarizes grant revenue for the periods presented (in millions):

	Three Months Ended March 31,
	2023		2022
BARDA	$	20	$	122
Other grant revenue	4		4
Total grant revenue	$	24	$	126

Collaboration Revenue

We have entered into collaboration agreements with strategic collaborators to accelerate the discovery and advancement of potential mRNA medicines across therapeutic areas. As of March 31, 2023 and December 31, 2022, we had collaboration agreements with Merck & Co., Inc (Merck), Vertex Pharmaceuticals Incorporated and Vertex Pharmaceuticals (Europe) Limited (together, Vertex), and others. Please refer to our 2022 Form 10-K under the heading “Third-Party Strategic Alliances” and Note 5 to our consolidated financial statements for further description of these collaboration agreements.

The following table summarizes our total collaboration revenue from our strategic collaborators for the periods presented (in millions):

	Three Months Ended March 31,
Collaboration Revenue by Strategic Collaborator:	2023		2022
Merck	$	—	$	10
Vertex	10		4
Other	—		1
Total collaboration revenue	$	10	$	15