Revenue and Contract Costs (Tables)

12 Months Ended

Dec. 31, 2022

Revenue from Contract with Customer [Abstract]

Contract with Customer, Asset and Liability

The following table presents information about receivables from contracts with customers:

	At December 31,		At December 31,		At January 1,
(dollars in millions)	2022		2021		2021
Receivables(1)	$	11,274	$	10,758	$	12,029
Device payment plan agreement receivables(2)	16,648		12,888		10,358

(1) Balances do not include receivables related to the following contracts: leasing arrangements (such as those for towers and equipment), captive reinsurance arrangements primarily related to wireless device insurance and the interest on equipment financed under a device payment plan agreement when sold to the customer by an authorized agent.

(2) Included in device payment plan agreement receivables presented in Note 8. Receivables derived from the sale of equipment on a device payment plan through an authorized agent are excluded.

The following table presents information about contract balances:

	At December 31,		At December 31,		At January 1,
(dollars in millions)	2022		2021		2021
Contract asset	$	863	$	934	$	937
Contract liability	8,234		7,229		5,598

The balance of contract assets and contract liabilities recorded in our consolidated balance sheets were as follows:

	At December 31,		At December 31,
(dollars in millions)	2022		2021
Assets
Prepaid expenses and other	$	656	$	739
Other assets	207		195
Total	$	863	$	934
Liabilities
Other current liabilities	$	6,583	$	6,053
Other liabilities	1,651		1,176
Total	$	8,234	$	7,229

Capitalized Contract Cost

The balances of deferred contract costs included in our consolidated balance sheets were as follows:

	At December 31,		At December 31,
(dollars in millions)	2022		2021
Assets
Prepaid expenses and other	$	2,629	$	2,432
Other assets	2,475		2,259
Total	$	5,104	$	4,691