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Long-term contracts - Note 3 | 12 Months Ended
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Dec. 31, 2015
Notes to Financial Statements |
Long-term contracts - Note 3 | 3. LONG-TERM CONTRACTS In March 2015, we signed a license agreement with Sony Corporation for our PicoP scanning technology. The license agreement granted Sony a non-exclusive license to our technology to incorporate into display modules it manufactures and sells for up to eight years. As part of the agreement, we received an $8.0 million upfront license fee in March 2015, and we will receive ongoing per unit royalties for each display module it sells. We expect to recognize revenue on the initial $8.0 million payment over a period of eight years, which is the expected time frame that we will provide services under the agreement. In October 2014, we entered into a $1.5 million agreement with Sony Corporation for display module support services as part of the production readiness and commercialization of display modules incorporating PicoP scanning technology. We recognized the full contract value of $1.5 million in revenue in June 2015, having completed all deliverables and obligations under the agreement. In March 2013, we entered into a $4.6 million collaborative research and development agreement with Sony Corporation to incorporate our PicoP scanning technology into a display module that would enable a variety of new products. As of September 30, 2014, we had completed all deliverables and obligations under the collaborative research and development agreement and have recognized the full contract value of $4.6 million. The following table summarizes the costs incurred on our collaborative research and development agreements and revenue contracts (in thousands):
|  |  | Year Ended December 31,
|  |  | 2015 |  |  | 2014
Costs and estimated earnings incurred on uncompleted contracts |  | $ | - |  | $ | 314
Billings on uncompleted contracts |  |  | - |  |  | (544)
|  | $ | - |  | $ | (230)
Included in consolidated balance sheets under the following captions: |  |  |  |  |  |
Billings on uncompleted contracts in excess of related costs |  |  | - |  |  | (230)
|  | $ | - |  | $ | (230)

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