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Revenue Recognition (Tables)
6 Months Ended
Jun. 30, 2023
Revenue from Contract with Customer [Abstract]  
Schedule of Revenue The following tables provide total revenue by segment, sales channel and product category. They also provide the amount of revenue that is not subject to ASC 606, "Revenue from Contracts with Customers" ("ASC 606"), but is instead governed by other accounting standards. The amounts in the tables below include revenue for the Latin American and ILEC businesses prior to their sales on August 1, 2022 and October 3, 2022, respectively. See Note 2—Divestitures of the Latin American and ILEC Businesses and Planned Divestiture of the EMEA Business in our Annual Report on Form 10-K for the year ended December 31, 2022 for additional information on these divestitures.
Three Months Ended June 30, 2023Three Months Ended June 30, 2022
Total Revenue
Adjustments for Non-ASC 606 revenue (1)
Total revenue from Contracts with CustomersTotal Revenue
Adjustments for Non-ASC 606 revenue (1)
Total revenue from Contracts with Customers
(Dollars in millions)
Business Segment by Sales Channel and Product Category
Large Enterprise
Grow$558 (78)480 658 (102)556 
Nurture369 — 369 444 — 444 
Harvest197 — 197 272 — 272 
Other55 (1)54 58 (1)57 
Total Large Enterprise Revenue1,179 (79)1,100 1,432 (103)1,329 
Mid-Market Enterprise
Grow202 (8)194 188 (8)180 
Nurture202 — 202 231 — 231 
Harvest94 (1)93 135 (2)133 
Other(1)— 
Total Mid-Market Enterprise Revenue507 (10)497 562 (10)552 
Public Sector
Grow118 (19)99 116 (27)89 
Nurture93 — 93 128 — 128 
Harvest95 — 95 124 (1)123 
Other108 — 108 126 (1)125 
Total Public Sector Revenue414 (19)395 494 (29)465 
Wholesale
Grow260 (62)198 240 (68)172 
Nurture205 (8)197 258 (7)251 
Harvest331 (43)288 405 (56)349 
Other— 26 — 26 
Total Wholesale Revenue797 (113)684 929 (131)798 
Business Segment by Product Category
Grow1,138 (167)971 1,202 (205)997 
Nurture869 (8)861 1,061 (7)1,054 
Harvest717 (44)673 936 (59)877 
Other173 (2)171 218 (2)216 
Total Business Segment Revenue2,897 (221)2,676 3,417 (273)3,144 
Mass Markets Segment by Product Category
Fiber Broadband157 (4)153 151 (5)146 
Other Broadband355 (32)323 597 (55)542 
Voice and Other252 (9)243 447 (20)427 
Total Mass Markets Revenue764 (45)719 1,195 (80)1,115 
Total Revenue$3,661 (266)3,395 4,612 (353)4,259 
Six Months Ended June 30, 2023Six Months Ended June 30, 2022
Total revenue
Adjustments for non-ASC 606 revenue (1)
Total revenue from contracts with customersTotal revenue
Adjustments for non-ASC 606 revenue (1)
Total revenue from contracts with customers
(Dollars in millions)
Business Segment by Sales Channel and Product Category
Large Enterprise
Grow$1,108 (157)951 1,311 (205)1,106 
Nurture744 — 744 898 — 898 
Harvest404 — 404 548 — 548 
Other117 (2)115 117 (3)114 
Total Large Enterprise Revenue2,373 (159)2,214 2,874 (208)2,666 
Mid-Market Enterprise
Grow398 (15)383 373 (16)357 
Nurture413 — 413 472 — 472 
Harvest194 (2)192 275 (4)271 
Other17 (3)14 15 — 15 
Total Mid-Market Enterprise Revenue1,022 (20)1,002 1,135 (20)1,115 
Public Sector
Grow234 (38)196 231 (54)177 
Nurture199 — 199 259 — 259 
Harvest194 — 194 248 (2)246 
Other217 — 217 235 (1)234 
Total Public Sector Revenue844 (38)806 973 (57)916 
Wholesale
Grow526 (133)393 473 (135)338 
Nurture418 (14)404 525 (14)511 
Harvest664 (87)577 812 (114)698 
Other— 26 — 26 
Total Wholesale Revenue1,614 (234)1,380 1,836 (263)1,573 
Business Segment by Product Category
Grow2,266 (343)1,923 2,388 (410)1,978 
Nurture1,774 (14)1,760 2,154 (14)2,140 
Harvest1,456 (89)1,367 1,883 (120)1,763 
Other357 (5)352 393 (4)389 
Total Business Segment Revenue5,853 (451)5,402 6,818 (548)6,270 
Mass Markets Segment by Product Category
Fiber Broadband309 (8)301 296 (10)286 
Other Broadband724 (65)659 1,207 (111)1,096 
Voice and Other513 (18)495 967 (99)868 
Total Mass Markets Revenue1,546 (91)1,455 2,470 (220)2,250 
Total Revenue$7,399 (542)6,857 9,288 (768)8,520 
_____________________________________________________________________
(1)Includes regulatory revenue and lease revenue not within the scope of ASC 606.
Schedule of Contract with Customer, Asset and Liability
The following table provides balances of customer receivables, contract assets and contract liabilities, net of amounts classified as held for sale, as of June 30, 2023 and December 31, 2022:

June 30, 2023December 31, 2022
 (Dollars in millions)
Customer receivables(1)
$1,425 1,424 
Contract assets(2)
27 34 
Contract liabilities(3)
710 656 
______________________________________________________________________
(1)Reflects gross customer receivables of $1.5 billion at both June 30, 2023 and December 31, 2022, net of allowance for credit losses of $67 million and $73 million, at June 30, 2023 and December 31, 2022, respectively. These amounts exclude customer receivables, net, classified as held for sale of $77 million at June 30, 2023 and $76 million at December 31, 2022 related to the EMEA business.
(2)These amounts exclude contract assets classified as held for sale of $12 million at June 30, 2023 and $16 million at December 31, 2022 related to the EMEA business.
(3)These amounts exclude contract liabilities classified as held for sale of $62 million at June 30, 2023 and $59 million at December 31, 2022 related to the EMEA business.
Schedule of Capitalized Contract Cost
The following tables provide changes in our contract acquisition costs and fulfillment costs:

Three Months Ended June 30, 2023Three Months Ended June 30, 2022
Acquisition CostsFulfillment CostsAcquisition CostsFulfillment Costs
(Dollars in millions)(Dollars in millions)
Beginning of period balance(1)(2)
$192 182 215 187 
Costs incurred29 39 41 41 
Amortization(39)(36)(49)(39)
Change in contract costs held for sale(1)
End of period balance(5)(6)
$183 186 208 188 

Six Months Ended June 30, 2023Six Months Ended June 30, 2022
Acquisition CostsFulfillment CostsAcquisition CostsFulfillment Costs
(Dollars in millions)(Dollars in millions)
Beginning of period balance(3)(4)
$202 192 222 186 
Costs incurred65 79 84 81 
Amortization(80)(71)(101)(78)
Change in contract costs held for sale(4)(14)(1)
End of period balance(5)(6)
$183 186 208 188 
______________________________________________________________________
(1)Beginning of period balance for the three months ended June 30, 2023 excludes $11 million of acquisition costs and $15 million of fulfillment costs classified as held for sale related to the EMEA business.
(2)Beginning of period balance for the three months ended June 30, 2022 excludes $32 million of both acquisition costs and fulfillment costs classified as held for sale (related to both the Latin American business and the ILEC business, sold in the third and fourth quarters of 2022, respectively).
(3)Beginning of period balance for the six months ended June 30, 2023 excludes $6 million of acquisition costs and no fulfillment costs classified as held for sale related to the EMEA business.
(4)Beginning of period balance for the six months ended June 30, 2022 excludes acquisition costs and fulfillment costs classified as held for sale of $34 million and $32 million, respectively (related to both the Latin American business and the ILEC business, sold in the third and fourth quarters of 2022, respectively).
(5)End of period balance for the three and six months ended June 30, 2023 excludes $10 million of acquisition costs and $14 million of fulfillment costs classified as held for sale related to the EMEA business.
(6)End of period balance for the three and six months ended June 30, 2022 excludes acquisition costs and fulfillment costs classified as held for sale of $31 million and $33 million, respectively (related to both the Latin American business and the ILEC business, sold in the third and fourth quarters of 2022, respectively).