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Revenue (Tables) | 3 Months Ended
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Apr. 02, 2022
Revenue from Contract with Customer [Abstract] |
Disaggregation of revenue | The following table shows the percentage of revenue contributed by each of Cadence’s five product categories for the three months ended April 2, 2022 and April 3, 2021:
|  |  | Three Months Ended
|  |  |  |  | April 2, 2022 |  | April 3, 2021
Custom Integrated Circuit (“IC”) Design and Simulation |  |  |  |  | 22 | % |  | 23 | %
Digital IC Design and Signoff |  |  |  |  | 27 | % |  | 27 | %
Functional Verification, including Emulation and Prototyping Hardware* |  |  |  |  | 28 | % |  | 26 | %
Intellectual Property (“IP”) |  |  |  |  | 13 | % |  | 14 | %
System Design and Analysis |  |  |  |  | 10 | % |  | 10 | %
Total |  |  |  |  | 100 | % |  | 100 | %
_____________ * Includes immaterial amount of revenue accounted for under leasing arrangements. The following table shows the percentage of Cadence’s revenue that is classified as recurring or up-front for the three months ended April 2, 2022 and April 3, 2021:
|  |  | Three Months Ended
|  |  |  |  | April 2, 2022 |  | April 3, 2021
Revenue recognized over time |  |  |  |  | 81 | % |  | 82 | %
Revenue from arrangements with non-cancelable commitments |  |  |  |  | 2 | % |  | 4 | %
Recurring revenue |  |  |  |  | 83 | % |  | 86 | %
Up-front revenue |  |  |  |  | 17 | % |  | 14 | %
Total |  |  |  |  | 100 | % |  | 100 | %
Contract balances | Cadence’s contract balances as of April 2, 2022 and January 1, 2022 were as follows:
| As of
| April 2, 2022 |  | January 1, 2022
| (In thousands)
Contract assets | $ | 19,066 |  |  | $ | 6,811 |
Deferred revenue | 707,117 |  |  | 655,090 |

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- Definition Tabular disclosure of disaggregation of revenue into categories depicting how nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factor. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130545-203045 + Details
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