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Revenue from Contracts with Customers | 12 Months Ended
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Dec. 31, 2019
Revenue from Contract with Customer [Abstract] |
Revenue from Contracts with Customers | Revenue from Contracts with Customers Disaggregation of Revenue from Contracts with Customers The following table presents a disaggregation of revenue for the years ended December 31:
In millions | 2019 |  | 2018 |  | 2017*
Americas |  |  |  |  |
Recurring | $ | 873 |  |  | $ | 801 |  |  | $ | 739 |
Perpetual software licenses and hardware | 38 |  |  | 127 |  |  | 234 |
Consulting services | 146 |  |  | 198 |  |  | 222 |
Total Americas | 1,057 |  |  | 1,126 |  |  | 1,195 |
EMEA |  |  |  |  |
Recurring | 305 |  |  | 282 |  |  | 248 |
Perpetual software licenses and hardware | 43 |  |  | 112 |  |  | 133 |
Consulting services | 144 |  |  | 193 |  |  | 186 |
Total EMEA | 492 |  |  | 587 |  |  | 567 |
APAC |  |  |  |  |
Recurring | 185 |  |  | 171 |  |  | 158 |
Perpetual software licenses and hardware | 25 |  |  | 101 |  |  | 62 |
Consulting services | 140 |  |  | 179 |  |  | 174 |
Total APAC | 350 |  |  | 451 |  |  | 394 |
Total Revenue | $ | 1,899 |  |  | $ | 2,164 |  |  | $ | 2,156 |
*As discussed in Note 1, periods prior to 2018 have not been adjusted under the modified retrospective adoption method of Topic 606 Contract Balances The timing of revenue recognition, billings and cash collections results in billed accounts receivable, contract assets, and customer advances and deposits (deferred revenue or contract liabilities) on the consolidated balance sheet. Accounts receivable include amounts due from customers that are unconditional. Contract assets relate to the Company’s rights to consideration for goods delivered or services completed and recognized as revenue but billing and the right to receive payment is conditional upon the completion of other performance obligations. Contract assets are included in other current assets on the balance sheet and are transferred to accounts receivable when the rights become unconditional. Deferred revenue consists of advance payments and billings in excess of revenue recognized. Deferred revenue is classified as either current or noncurrent based on the timing of when the Company expects to recognize revenue. These assets and liabilities are reported on a contract-by-contract basis at the end of each reporting period. The following table provides information about receivables, contract assets and deferred revenue from contracts with customers:
In millions | December 31, 2019 |  | December 31, 2018
Accounts receivable, net | $ | 398 |  |  | $ | 588 |
Contract assets | $ | 8 |  |  | $ | 14 |
Current deferred revenue | $ | 472 |  |  | $ | 490 |
Long-term deferred revenue | $ | 61 |  |  | $ | 105 |
Revenue recognized during the year ended December 31, 2019 from amounts included in deferred revenue at the beginning of the period was approximately $470 million. Transaction Price Allocated to Unsatisfied Obligations The following table includes estimated revenue expected to be recognized in the future related to the Company's unsatisfied (or partially satisfied) obligations at December 31, 2019:
In millions |  | Total at December 31, 2019 |  | Year 1 |  | Year 2 and Thereafter
Remaining unsatisfied obligations |  | $ | 2,732 |  |  | $ | 1,377 |  |  | $ | 1,355 |
The amounts above represent the price of firm orders for which work has not been performed or goods have not been delivered and exclude unexercised contract options outside the stated contractual term that do not represent material rights to the customer. Although the Company believes that the contract value in the above table is firm, approximately $1,923 million of the amount includes customer-only general cancellation for convenience terms that the Company is contractually obligated to perform unless the customer notifies us. The Company expects to recognize revenue of approximately $312 million in the next year from contracts that are non-cancelable. Customers typically do not cancel before the end of the contractual term and historically the Company has not seen significant churn in its customer base. The Company believes the inclusion of this information is important to understanding the obligations that the Company is contractually required to perform and provides useful information regarding remaining obligations related to these executed contracts. Contract Costs The Company capitalizes sales commissions and other contract costs that are incremental direct costs of obtaining customer contracts if the expected amortization period of the asset is greater than one year. These costs are recorded in Capitalized contract costs on the Company’s balance sheet. The capitalized amounts are calculated based on the sales commissions for individual multi-term contracts. The judgments made in determining the amount of costs incurred include whether the commissions are in fact incremental and would not have occurred absent the customer contract. Costs to obtain a contract are amortized as selling, general and administrative expenses on a straight-line basis over the expected period of benefit, which is typically four years. These costs are periodically reviewed for impairment. The following table identifies the activity relating to capitalized contract costs:
In millions |  | December 31, 2018 |  | Capitalized |  | Amortization |  | December 31, 2019
Capitalized contract costs |  | $ | 54 |  |  | $ | 57 |  |  | $ | (20 | ) |  | $ | 91 |
In millions |  | January 1, 2018 |  | Capitalized |  | Amortization |  | December 31, 2018
Capitalized contract costs |  | $ | 17 |  |  | $ | 44 |  |  | $ | (7 | ) |  | $ | 54 |

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- References No definition available. + Details
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- Definition The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -URI http://asc.fasb.org/topic&trid=49130388 + Details
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