4. REVENUE RECOGNITION (Tables)

6 Months Ended

Jun. 30, 2021

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue

The following table provides information about disaggregated revenue by timing of revenue recognition (in thousands):

		Three Months Ended June 30, 2021
				License and
		Product		royalty		Contract
		revenue		revenue		revenue		Total
Timing of revenue recognition:
Products transferred at a point in time	$	-	$	746	$	-	$	746
Product and services transferred over time		-		-		-		-
Total	$	-	$	746	$	-	$	746

		Six Months Ended June 30, 2021
				License and
		Product		royalty		Contract
		revenue		revenue		revenue		Total
Timing of revenue recognition:
Products transferred at a point in time	$	-	$	1,225	$	-	$	1,225
Product and services transferred over time		-		-		-		-
Total	$	-	$	1,225	$	-	$	1,225

		Three Months Ended June 30, 2020
				License and
		Product		royalty		Contract
		revenue		revenue		revenue		Total
Timing of revenue recognition:
Products transferred at a point in time	$	-	$	572	$	-	$	572
Product and services transferred over time		-		-		15		15
Total	$	-	$	572	$	15	$	587

		Six Months Ended June 30, 2020
				License and
		Product		royalty		Contract
		revenue		revenue		revenue		Total
Timing of revenue recognition:
Products transferred at a point in time	$	1,247	$	784	$	4	$	2,035
Product and services transferred over time		-		-		21		21
Total	$	1,247	$	784	$	25	$	2,056

Significant Changes in Contract Assets and Contract Liabilities

Significant changes in the contract assets and the contract liabilities balances during the period are as follows (in thousands, except percentages):

		June 30,		December 31,
		2021		2020		$ Change	% Change
Contract assets	$	-	$	-	$	-	-
Contract liabilities		(6,540)		(7,765)		1,225	(15.8)
Net contract assets (liabilities)	$	(6,540)	$	(7,765)	$	1,225	(15.8)

In April 2017, we signed a contract with Microsoft Corporation to develop an LBS display system. Under the agreement, we received an upfront payment of $10.0 million. As of December 31, 2020, we had applied $2.2 million against the contract liability. During the three and six months ended June 30, 2021, we applied $746,000 and $1.2 million, respectively, against the contract liability with this customer.

Estimated Timing of Revenue Recognition

The following table provides information about the estimated timing of revenue recognition (in thousands):

		Remainder of 2021		2022
License and royalty revenue	$	1,096	$	-