Deferred Revenue And Remaining Performance Obligations

3 Months Ended

Apr. 03, 2020

Revenue Recognition and Deferred Revenue [Abstract]

Deferred Revenue and Performance Obligations

DEFERRED REVENUE AND REMAINING PERFORMANCE OBLIGATIONS

Deferred Revenue

Changes to our deferred revenue during the first quarter of fiscal 2020 and 2019 were as follows: 

	First Quarter of
(In millions)	2020			2019
Beginning balance of the period	$	541.9		$	387.3
Revenue recognized	(201.8		)	(138.4		)
Net deferred revenue activity	211.4			215.5
Ending balance of the period	$	551.5		$	464.4

Remaining Performance Obligations

As of the end of the first quarter of fiscal 2020, approximately $1.2 billion of revenue is expected to be recognized from remaining performance obligations for which goods or services have not been delivered, primarily subscription and software maintenance, and to a lesser extent, hardware and professional services contracts. We expect to recognize revenue of approximately 72% and 17% on these remaining performance obligations over the next 12 and 24 months, respectively, with the remainder recognized thereafter.