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Other Financial Statement Information | 6 Months Ended
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Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Other Financial Statement Information | Other Financial Statement Information Inventory Inventory was comprised of the following as of the dates indicated (in thousands):
| June 30, 2020 |  | December 31, 2019
Purchased materials | $ | 8,175 |  |  | $ | 6,436 |
Work in progress | 6,403 |  |  | 3,996 |
Finished goods | 7,180 |  |  | 4,838 |
Inventory | $ | 21,758 |  |  | $ | 15,270 |
Intangible Assets, Net Intangible assets, net, which are recorded within other assets in the condensed consolidated balance sheets, consisted of the following (in thousands):
| June 30, 2020 |  |  |  |  |  |  |  | December 31, 2019 |  |  |  |  |  |
| Remaining Useful Life in Years |  | Gross Carrying Amount |  | Accumulated Amortization |  | Intangibles, Net |  | Remaining Useful Life in Years |  | Gross Carrying Amount |  | Accumulated Amortization |  | Intangibles, Net
Technology licenses | 14.2 |  | $ | 22,504 |  |  | $ | (1,207) |  |  | $ | 21,297 |  |  | 14.7 |  | $ | 22,504 |  |  | $ | (440) |  |  | $ | 22,064 |
Customer relationships | 5.4 |  | 204 |  |  | (46) |  |  | 158 |  |  | 5.9 |  | 204 |  |  | (32) |  |  | 172 |
Trademarks | 1.4 |  | 204 |  |  | (108) |  |  | 96 |  |  | 1.9 |  | 204 |  |  | (74) |  |  | 130 |
Total intangible assets, net |  |  | $ | 22,912 |  |  | $ | (1,361) |  |  | $ | 21,551 |  |  |  |  | $ | 22,912 |  |  | $ | (546) |  |  | $ | 22,366 |
The estimated annual amortization of intangible assets for the next five years is shown below (in thousands):
| Estimated Annual Amortization
2020 (excluding the six months ended June 30, 2020) | $ | 815 |
2021 | 1,625 |
2022 | 1,562 |
2023 | 1,533 |
2024 | 1,503 |
Thereafter | 14,513 |
Total | $ | 21,551 |
Actual amortization expense to be reported in future periods could differ from these estimates as a result of acquisitions, divestitures and asset impairments, among other factors. Accrued Compensation and Related Benefits Accrued compensation and related benefits were comprised of the following as of the dates indicated (in thousands):
| June 30, 2020 |  | December 31, 2019
Accrued payroll and related costs | $ | 2,405 |  |  | $ | 470 |
Employee stock purchase program liability | 1,114 |  |  | 1,862 |
Accrued bonus | 2,828 |  |  | 6,154 |
Accrued commissions | 1,845 |  |  | 2,473 |
Other | 2,084 |  |  | 1,435 |
Accrued compensation and related benefits | $ | 10,276 |  |  | $ | 12,394 |
Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities were comprised of the following as of the dates indicated (in thousands):
| June 30, 2020 |  | December 31, 2019
Accrued legal expenses | $ | 2,894 |  |  | $ | 4,375 |
Accrued license fee | 5,575 |  |  | 6,183 |
Accrued royalties for licensed technologies | 980 |  |  | 2,025 |
Accrued property and equipment | 2,149 |  |  | 3,885 |
Accrued consulting | 2,137 |  |  | 1,173 |
Product warranties | 345 |  |  | 467 |
Customer deposits | 925 |  |  | 1,304 |
Taxes payable | 954 |  |  | 1,087 |
Other | 3,483 |  |  | 3,949 |
Accrued expenses and other current liabilities | $ | 19,442 |  |  | $ | 24,448 |
Product Warranties Changes in the reserve for product warranties were as follows for the periods indicated (in thousands):
| June 30, 2020 |  | December 31, 2019
Beginning of period | $ | 467 |  |  | $ | 804 |
Additions charged to cost of revenue | 197 |  |  | 741 |
Repairs and replacements | (319) |  |  | (1,078) |
End of period | $ | 345 |  |  | $ | 467 |
Revenue and Deferred Revenue As of June 30, 2020, the aggregate amount of remaining performance obligations related to separately sold extended warranty service agreements, or allocated amounts for extended warranty service agreements bundled with sales of Chromium instruments, was $4.6 million, of which approximately 74% is expected to be recognized to revenue in the next 12 months, with the remainder thereafter. The contract liabilities of $4.6 million and $4.1 million as of June 30, 2020 and December 31, 2019, respectively, consisted of deferred revenue related to extended warranty service agreements, and as of June 30, 2020, the short-term portion was $3.4 million. Revenue recorded during the three and six months ended June 30, 2020 included $1.1 million and $2.1 million, respectively, of previously deferred revenue that was included in contract liabilities as of December 31, 2019. Contract assets as of June 30, 2020 and December 31, 2019 were not material. The following table represents revenue by source for the periods indicated (in thousands):
| Three Months Ended June 30, |  |  |  | Six Months Ended June 30, |  |
| 2020 |  | 2019 |  | 2020 |  | 2019
Instruments | $ | 7,291 |  |  | $ | 8,302 |  |  | $ | 16,432 |  |  | $ | 15,150 |
Consumables | 34,164 |  |  | 46,538 |  |  | 95,592 |  |  | 92,389 |
Services | 1,450 |  |  | 979 |  |  | 2,786 |  |  | 1,858 |
Total revenue | $ | 42,905 |  |  | $ | 55,819 |  |  | $ | 114,810 |  |  | $ | 109,397 |
The following table presents revenue by geography based on the location of the customer for the periods indicated (in thousands):
| Three Months Ended June 30, |  |  |  | Six Months Ended June 30, |  |
| 2020 |  | 2019 |  | 2020 |  | 2019
North America | $ | 20,261 |  |  | $ | 32,946 |  |  | $ | 59,993 |  |  | $ | 61,455 |
Europe, Middle East and Africa | 11,715 |  |  | 12,243 |  |  | 24,873 |  |  | 24,498 |
China | 7,628 |  |  | 7,293 |  |  | 18,625 |  |  | 15,407 |
Asia-Pacific1 | 3,301 |  |  | 3,337 |  |  | 11,319 |  |  | 8,037 |
Total revenue | $ | 42,905 |  |  | $ | 55,819 |  |  | $ | 114,810 |  |  | $ | 109,397 |
1 Asia-Pacific excludes China which is disclosed separately. Revenue for the United States, which is included in North America in the table above, was 45% and 53% of consolidated revenue for the three months ended June 30, 2020 and 2019, respectively, and 50% and 57% of consolidated revenue for the six months ended June 30, 2020 and 2019, respectively.

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