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Property and Equipment | 6 Months Ended
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Jun. 30, 2022
Property, Plant and Equipment [Abstract] |
Property and Equipment | Property and Equipment Property and equipment, net, consists of the following:
| June 30, 2022 |  | December 31, 2021
Satellite system | $ | 1,841 |  |  | $ | 1,841 |
Terrestrial repeater network | 116 |  |  | 116 |
Leasehold improvements | 109 |  |  | 109 |
Broadcast studio equipment | 123 |  |  | 119 |
Capitalized software and hardware | 1,599 |  |  | 1,591 |
Satellite telemetry, tracking and control facilities | 68 |  |  | 67 |
Furniture, fixtures, equipment and other | 90 |  |  | 92 |
Land | 38 |  |  | 38 |
Building | 82 |  |  | 81 |
Construction in progress | 332 |  |  | 156 |
Total property and equipment | 4,398 |  |  | 4,210 |
Accumulated depreciation | (2,931) |  |  | (2,760) |
Property and equipment, net | $ | 1,467 |  |  | $ | 1,450 |
Construction in progress consists of the following:
| June 30, 2022 |  | December 31, 2021
Satellite system | $ | 116 |  |  | $ | 64 |
Terrestrial repeater network | 3 |  |  | 1 |
Capitalized software and hardware | 191 |  |  | 78 |
Other | 22 |  |  | 13 |
Construction in progress | $ | 332 |  |  | $ | 156 |
Depreciation expense on property and equipment was $96 and $93 for the three months ended June 30, 2022 and 2021, respectively, and $192 and $186 for the six months ended June 30, 2022 and 2021, respectively. There were no retirements of property and equipment during the three months ended June 30, 2022. We retired property and equipment of $3 during the three months ended June 30, 2021 and $22 and $8 during the six months ended June 30, 2022 and 2021, respectively. We capitalize a portion of the interest on funds borrowed to finance the construction and launch of our satellites. Capitalized interest is recorded as part of the asset’s cost and depreciated over the satellite’s useful life. Capitalized interest costs were $1 and $2 for the three months ended June 30, 2022 and 2021, respectively, and $2 and $5 for the six months ended June 30, 2022 and 2021, respectively, which related to the construction of our satellites. We also capitalize a portion of share-based compensation related to employee time for capitalized software projects. Capitalized share-based compensation costs were $4 and $3 for the three months ended June 30, 2022 and 2021, respectively, and $9 and $6 for the six months ended June 30, 2022 and 2021, respectively. Satellites As of June 30, 2022, we operated a fleet of six satellites. Each satellite requires an FCC license, and prior to the expiration of each license, we are required to apply for a renewal of the FCC satellite license. The renewal and extension of our licenses is reasonably certain at minimal cost, which is expensed as incurred. The chart below provides certain information on our satellites as of June 30, 2022:
Satellite Description |  | Year Delivered |  | Estimated End of Depreciable Life |  | FCC License Expiration Year
SIRIUS FM-5 |  | 2009 |  | 2024 |  | 2025
SIRIUS FM-6 |  | 2013 |  | 2028 |  | 2022 (a)
XM-3 |  | 2005 |  | 2020 |  | 2026
XM-4 |  | 2006 |  | 2021 |  | 2022 (a)
XM-5 |  | 2010 |  | 2025 |  | 2026
SXM-8 |  | 2021 |  | 2036 |  | 2029
(a)We expect to file an application with the FCC to extend the licenses for our SIRIUS FM-6 and XM-4 satellites during the quarter ended September 30, 2022 and expect it to be granted routinely. During the three months ended March 31, 2021, we recorded an impairment charge of $220 to Impairment, restructuring and acquisition costs in our unaudited consolidated statements of comprehensive income related to the total loss of the SXM-7 satellite. We procured insurance for SXM-7 to cover the risks associated with the satellite's launch and first year of in-orbit operation. During the three and six months ended June 30, 2021, we recorded insurance recoveries of $140 which have been recorded as a reduction to Impairment, restructuring and acquisition costs in our unaudited consolidated statements of comprehensive income. The aggregate coverage under the insurance policies with respect to SXM-7 was $225, all of which was collected during the year ended December 31, 2021. Our SXM-8 satellite was successfully launched into a geostationary orbit on June 6, 2021 and was placed into service on September 8, 2021 following the completion of in-orbit testing. Our SXM-8 satellite replaced our XM-3 satellite. During the six months ended June 30, 2022, we replaced our XM-4 satellite with our XM-5 satellite. Our XM-3 and our XM-4 satellites remain available as in-orbit spares.

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- Definition The entire disclosure for long-lived, physical asset used in normal conduct of business and not intended for resale. Includes, but is not limited to, work of art, historical treasure, and similar asset classified as collections. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 958 -SubTopic 360 -Section 50 -Paragraph 6 -URI https://asc.fasb.org/extlink&oid=126982197&loc=d3e99893-112916 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -URI https://asc.fasb.org/topic&trid=2155823 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 958 -SubTopic 360 -Section 50 -Paragraph 7 -URI https://asc.fasb.org/extlink&oid=126982197&loc=SL120174063-112916 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 958 -SubTopic 360 -Section 50 -Paragraph 1 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=126982197&loc=d3e99779-112916 + Details
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