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Revenue from Contracts with Customers
 9 Months Ended
Oct. 01, 2022
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers Revenue from Contracts with Customers
Disaggregation of Revenue
The following table summarizes the disaggregation of the Company's revenue by segment, region, major products and services and customer type for the three and nine months ended October 1, 2022 and October 2, 2021, consistent with the information reviewed by the Company's chief operating decision maker for evaluating the financial performance of the Company's reportable segments:
Three Months Ended
October 1, 2022October 2, 2021
(In millions)Products and Systems IntegrationSoftware and ServicesTotalProducts and Systems IntegrationSoftware and ServicesTotal
Regions:
North America$1,166 $521 $1,687 $992 $457 $1,449 
International363 323 686 333 325 658 
$1,529 $844 $2,373 $1,325 $782 $2,107 
Major Products and Services:
LMR Communications$1,243 $569 $1,812 $1,111 $547 $1,658 
Video Security and Access Control286 133 419 214 102 316 
Command Center Software— 142 142 — 133 133 
$1,529 $844 $2,373 $1,325 $782 $2,107 
Customer Types:
Direct$902 $769 $1,671 $838 $703 $1,541 
Indirect627 75 702 487 79 566 
$1,529 $844 $2,373 $1,325 $782 $2,107 
Nine Months Ended
October 1, 2022October 2, 2021
(In millions)Products and Systems IntegrationSoftware and ServicesTotalProducts and Systems IntegrationSoftware and ServicesTotal
Regions:
North America$2,961 $1,514 $4,475 $2,603 $1,343 $3,946 
International957 973 1,930 935 970 1,905 
$3,918 $2,487 $6,405 $3,538 $2,313 $5,851 
Major Products and Services:
LMR Communications$3,190 $1,684 $4,874 $2,948 $1,642 $4,590 
Video Security and Access Control728 368 1,096 590 284 874 
Command Center Software— 435 435 — 387 387 
$3,918 $2,487 $6,405 $3,538 $2,313 $5,851 
Customer Types:
Direct$2,271 $2,259 $4,530 $2,148 $2,099 $4,247 
Indirect1,647 228 1,875 1,390 214 1,604 
$3,918 $2,487 $6,405 $3,538 $2,313 $5,851 
Remaining Performance Obligations
Remaining performance obligations represent the revenue that is expected to be recognized in future periods related to performance obligations that are unsatisfied, or partially unsatisfied, as of the end of a period. The transaction values associated with remaining performance obligations which were not yet satisfied as of October 1, 2022 was $9.1 billion. A total of $4.8 billion was from Products and Systems Integration performance obligations that were not yet satisfied as of October 1, 2022, of which $2.9 billion is expected to be recognized in the next twelve months. The remaining amounts will generally be satisfied over time as systems are implemented. A total of $4.3 billion was from Software and Services performance obligations that were not yet satisfied as of October 1, 2022. The determination of Software and Services performance obligations that are not satisfied takes into account a contract term that may be limited by the customer’s ability to terminate for convenience. Where termination for convenience exists in the Company's service contracts, its disclosure of the remaining performance obligations that are unsatisfied assumes the contract term is limited until renewal. The Company expects to recognize $1.4 billion from unsatisfied Software and Services performance obligations over the next twelve months, with the remaining performance obligations to be recognized over time as services are performed and software is implemented.
Contract Balances
(In millions)October 1, 2022December 31, 2021
Accounts receivable, net$1,368 $1,386 
Contract assets1,033 1,105 
Contract liabilities1,549 1,650 
Non-current contract liabilities327 306 
Revenue recognized during the three months ended October 1, 2022 which was previously included in Contract liabilities as of July 2, 2022 was $437 million, compared to $472 million of revenue recognized during the three months ended October 2, 2021 which was previously included in Contract liabilities as of July 3, 2021. Revenue recognized during the nine months ended October 1, 2022 which was previously included in Contract liabilities as of December 31, 2021 was $939 million, compared to $946 million recognized during the nine months ended October 2, 2021 which was previously included in Contract liabilities as of December 31, 2020. The Company reversed $3 million of revenue during the three months ended October 1, 2022 related to performance obligations satisfied, or partially satisfied, in previous periods, compared to $2 million of reversals for the three months ended October 2, 2021, primarily driven by changes in the estimates of progress on system contracts. Revenue of $23 million was reversed during the nine months ended October 1, 2022 related to performance obligations satisfied or partially satisfied, in previous periods, primarily driven by changes in the estimates of progress on system contracts, compared to $15 million of reversals for the nine months ended October 2, 2021.
There were no material expected credit losses recorded on contract assets during each of the three and nine months ended October 1, 2022 and October 2, 2021.
Contract Cost Balances
(In millions)October 1, 2022December 31, 2021
Current contract cost assets$52 $30 
Non-current contract cost assets120 124 
Amortization of non-current contract cost assets was $14 million and $41 million for the three and nine months ended October 1, 2022, respectively, and $12 million and $37 million for the three and nine months ended October 2, 2021, respectively