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Revenue (Tables) | 9 Months Ended
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Sep. 30, 2023
Revenue from Contract with Customer [Abstract] |
Schedule of revenue disaggregated by product and services | The following table discloses revenue disaggregated by type of product and service (amounts in thousands):
| Three Months Ended |  | Nine Months Ended
| September 30, 2023 |  | September 30, 2022 |  | September 30, 2023 |  | September 30, 2022
Service revenue: |  |  |  |  |  |  |
Subscriber services |  |  |  |  |  |  |
Duplex | $ | 7,978 |  |  | $ | 9,021 |  |  | $ | 20,088 |  |  | $ | 22,103 |
SPOT | 11,350 |  |  | 11,753 |  |  | 33,703 |  |  | 34,544 |
Commercial IoT | 6,347 |  |  | 4,673 |  |  | 16,881 |  |  | 14,381 |
Wholesale capacity services | 27,517 |  |  | 6,972 |  |  | 83,406 |  |  | 22,640 |
Engineering and other services | 451 |  |  | 882 |  |  | 1,167 |  |  | 2,025 |
Total service revenue | 53,643 |  |  | 33,301 |  |  | 155,245 |  |  | 95,693 |
Subscriber equipment sales: |  |  |  |  |  |  |
SPOT | 1,746 |  |  | 1,558 |  |  | 6,185 |  |  | 4,707 |
Commercial IoT | 2,262 |  |  | 2,713 |  |  | 9,975 |  |  | 6,427 |
Other | 32 |  |  | 54 |  |  | (6) |  |  | 371 |
Total subscriber equipment sales | 4,040 |  |  | 4,325 |  |  | 16,154 |  |  | 11,505 |
Total revenue | $ | 57,683 |  |  | $ | 37,626 |  |  | $ | 171,399 |  |  | $ | 107,198 |
Schedule of accounts receivable and contract liabilities | The Company's receivable balances by type and classification are presented in the table below net of allowance for credit losses and may include amounts related to earned but unbilled receivables (amounts in thousands).
|  | As of:
|  | September 30, 2023 |  | December 31, 2022
Accounts receivable, net of allowance for credit losses |  |  |  |
Subscriber accounts receivable |  | $ | 20,203 |  |  | $ | 14,850 |
Wholesale capacity accounts receivable |  | 21,322 |  |  | 7,234 |
Agency agreement accounts receivable |  | 1,693 |  |  | 4,245 |
Total accounts receivable, net of allowance for credit losses |  | $ | 43,218 |  |  | $ | 26,329 |
Long-term wholesale capacity accounts receivable |  | — |  |  | 16,100 |
Total accounts receivable (short-term and long-term), net of allowance for credit losses |  | $ | 43,218 |  |  | $ | 42,429 |
The Company's contract liabilities by type and classification are presented in the table below (amounts in thousands).
|  | As of:
|  | September 30, 2023 |  | December 31, 2022
Short-term contract liabilities |  |  |  |
Subscriber contract liabilities |  | $ | 24,281 |  |  | $ | 21,987 |
Wholesale capacity contract liabilities |  | 33,810 |  |  | 52,652 |
Total short-term contract liabilities |  | $ | 58,091 |  |  | $ | 74,639 |
Long-term contract liabilities |  |  |  |
Subscriber contract liabilities |  | $ | 1,605 |  |  | $ | 1,704 |
Wholesale capacity contract liabilities, net of contract asset |  | 415 |  |  | 61,173 |
Total long-term contract liabilities |  | $ | 2,020 |  |  | $ | 62,877 |
Total contract liabilities |  | $ | 60,111 |  |  | $ | 137,516 |
The components of wholesale capacity contract liabilities are presented in the table below (amounts in thousands).
|  | As of:
|  | September 30, 2023 |  | December 31, 2022
Wholesale capacity contract liabilities, net: |  |  |  |
Advanced payments for services expected to be performed with the second-generation satellite constellation during Phase 1 (2) |  | $ | 6,079 |  |  | $ | 99,671 |
Additional consideration associated with the 2021 and 2023 Funding Agreements (3) |  | 13,921 |  |  | — |
Advanced payments for services expected to be performed with the ground spare satellite launched in June 2022 during Phases 1 and 2 |  | 24,113 |  |  | 25,438 |
Advanced payments contractually owed for services expected to be performed with the next-generation satellite constellation prior to the Phase 2 Service Period |  | 15,700 |  |  | 22,540 |
Advanced payments for the Phase 1 service fee and service-related operating expenses and capital expenditures |  | 20,496 |  |  | 18,872 |
Contract asset (1) |  | (46,084) |  |  | (52,696) |
Wholesale capacity contract liabilities, net |  | $ | 34,225 |  |  | $ | 113,825 |
(1)In November 2022, the Company issued warrants to Partner (the "Warrants"). The initial fair value of the Warrants at the time of issuance was $48.3 million and recorded in equity with an offset to a contract asset on the Company's consolidated balance sheets. The fair value of the Warrants is recorded as a reduction to revenue over the period in which the Company performs its performance obligations through the estimated completion of the contract term, consistent with the period in which the customer benefits from the services provided. (2)During 2021, the Company received payments from Partner totaling $94.2 million (the "2021 Funding Agreement"). In February 2023, the Service Agreements were amended. This amendment, which was effective in April 2023, changed certain terms in the 2021 Funding Agreement, resulting in $88.0 million previously recorded as deferred revenue being re-characterized as debt. See further discussion in Note 6: Long-Term Debt and Other Financing Arrangements. (3)In connection with the Company recording the fair value of its financial obligations in the amended 2021 and 2023 Funding Agreements, it recorded a debt discount of $11.6 million and $4.5 million, respectively, representing the difference between the present value of the future principal payments discounted using the prevailing market rate at the date of issuance of the debt and the effective rate. The offset was recorded to deferred revenue and is being recognized into revenue over the Phase 1 and 2 Service Periods, respectively.

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- Definition Tabular disclosure of receivable, contract asset, and contract liability from contract with customer. Includes, but is not limited to, change in contract asset and contract liability. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 10 -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-10 + Details
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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 -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 5 -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-5 + Details
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