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REVENUE
12 Months Ended
Dec. 31, 2022
Revenue from Contract with Customer [Abstract]  
REVENUE REVENUE
Disaggregation of Revenue

The following tables disaggregate our revenue recognized by primary geographical market by our reportable business segments and by industry for SCS. Refer to Note 3, “Segment Reporting”, for the disaggregation of our revenue by major product/service lines.

Primary Geographical Markets
Year ended December 31, 2022
(In millions)FMSSCSDTSEliminationsTotal
United States$5,858 $4,209 $1,786 $(780)$11,073 
Canada319 251  (42)528 
Europe (1)
150    150 
Mexico 260   260 
Total revenue$6,327 $4,720 $1,786 $(822)$12,011 
 ————————————
(1)Refer to Note 21, "Other Items Impacting Comparability", for further information on the exit of the FMS U.K. business.

Year ended December 31, 2021
(In millions)FMSSCSDTSEliminationsTotal
United States$5,116 $2,706 $1,457 $(600)$8,679 
Canada302 230 — (29)503 
Europe262 — — — 262 
Mexico— 219 — — 219 
Total revenue$5,680 $3,155 $1,457 $(629)$9,663 

Year ended December 31, 2020
(In millions)FMSSCSDTSEliminationsTotal
United States$4,647 $2,147 $1,229 $(507)$7,516 
Canada269 208 — (17)460 
Europe255 — — — 255 
Mexico— 189 — — 189 
Total revenue$5,171 $2,544 $1,229 $(524)$8,420 

Industry

We have a diversified portfolio of customers across a full array of transportation and logistics solutions and across many industries. We believe this will help to mitigate the impact of adverse downturns in specific sectors of the economy. Our portfolio of ChoiceLease and commercial rental customers, as well as our DTS business, is not concentrated in any one particular industry or geographic region.

Our SCS business segment includes revenue from the following industries:
Years ended December 31,
(In millions)202220212020
Consumer packaged goods and retail$2,217 $1,221 $993 
Automotive1,523 1,185 940 
Technology and healthcare517 428 387 
Industrial and other463 321 224 
Total revenue$4,720 $3,155 $2,544 
Lease & Related Maintenance and Rental Revenues

The non-lease revenue from maintenance services related to our ChoiceLease product is recognized in "Lease & related maintenance and rental revenues" in the Consolidated Statements of Earnings. In 2022, 2021 and 2020, we recognized $1.0 billion, $1.0 billion and $965 million, respectively.

Deferred Revenue

The following table includes the changes in deferred revenue due to the collection and deferral of cash or the satisfaction of our performance obligation under the contract:
Years ended December 31,
(In millions)202220212020
Balance as of beginning of period$594 $630 $604 
Recognized as revenue during period from beginning balance(181)(183)(180)
Consideration deferred during period, net140 145 203 
Foreign currency translation adjustment and other(9)
Balance as of end of period$544 $594 $630 

Contracted Not Recognized Revenue

Revenue allocated to remaining performance obligations represents contracted revenue that has not yet been recognized (contracted not recognized revenue). Contracted not recognized revenue was $2.3 billion as of December 31, 2022, and primarily includes deferred revenue and amounts for full service ChoiceLease maintenance revenue that will be recognized as revenue in future periods as we provide maintenance services to our customers. Contracted not recognized revenue excludes (1) variable consideration as it is not included in the transaction price consideration allocated at contract inception, (2) revenues from the lease component of our ChoiceLease product and all the revenue from the commercial rental product, (3) revenues from contracts with an original duration of one year or less, including SelectCare contracts, and (4) revenue from SCS, DTS and other contracts where there are remaining performance obligations when we have the right to invoice but the revenue to be recognized in the future corresponds directly with the value delivered to the customer.

Sales Commissions and Setup Costs

We capitalize incremental sales commissions paid as a result of obtaining ChoiceLease, SCS and DTS contracts as contract costs. Capitalized sales commissions, including initial direct costs of our leases, was $126 million and $106 million as of December 31, 2022 and 2021, respectively. Sales commission expense in 2022, 2021 and 2020 was $44 million for all years. We also capitalize setup costs as a result of obtaining SCS and DTS contracts as contract costs. Capitalized setup costs were $73 million and $54 million as of December 31, 2022 and 2021, respectively. Setup contract amortization expense in 2022, 2021 and 2020 was $28 million, $23 million and $11 million, respectively.