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Revenue
 9 Months Ended
Sep. 30, 2023
Revenue from Contract with Customer [Abstract]  
Revenue
(3) Revenue

Revenue is recognized when control of the promised products or services is transferred to customers.

Performance Obligations

At September 30, 2023, we had $62,579 of outstanding performance obligations, comprised of deferred revenue, customer order backlog and customer deposits. We expect to recognize approximately 90.0% of the $39,418 of deferred revenue and customer deposits as revenue within the next twelve months, an additional 4.0% by the end of 2024 and the remaining balance thereafter.
Collaboration and Licensing Agreements

We enter into collaboration and licensing agreements with third parties. The nature of the activities to be performed and the consideration exchanged under these agreements varies on a contract-by-contract basis. We evaluate these agreements to determine whether they meet the definition of a customer relationship for which revenue should be recorded. These contracts may contain multiple performance obligations and may contain fees for licensing, research and development services, contingent milestone payments upon the achievement of contractual developmental criteria and/or royalty fees based on the licensees’ product revenue. We determine the revenue to be recognized for these agreements based on an evaluation of the distinct performance obligations, the identification and evaluation of material rights, the estimation of variable consideration and the determination of the pattern of transfer of control for each distinct performance obligation. During the three and nine-month periods ended September 30, 2023, the Company recognized $7,896 and $16,099, respectively, of revenue related to collaboration arrangements with customers. During the three and nine-month periods ended September 30, 2022, the Company recognized $3,301 and $9,075, respectively, of revenue related to collaboration arrangements with customers.

Our revenue recognized under collaboration and licensing agreements for the three and nine months ended September 30, 2023 includes the effect of the Company increasing its estimate of the variable consideration included in the transaction price related to one of its licensing agreements. The increase in estimated recognizable variable consideration was due to (1) the execution of a modification to the related customer contract and (2) the Company's determination that incremental revenue attributable to milestone payments that are contingent upon the achievement of contractual developmental criteria would be earned under the modified contract. As a result, during the quarter ended September 30, 2023, the Company recognized incremental services revenue of $4,452, which reduced our reported basic and diluted loss per share by $0.03 and $0.03, respectively, for each of the three and nine months ended September 30, 2023.

Contract Balances

During the nine months ended September 30, 2023, we recognized revenue of $23,498 related to our contract liabilities at December 31, 2022. During the nine months ended September 30, 2022, we recognized revenue of $28,850 related to our contract liabilities at December 31, 2021.

Contract assets were $7,379 and $677 as of September 30, 2023 and December 31, 2022, respectively. The increase in the contract assets balance as of September 30, 2023 primarily relates to the increase in the estimated variable consideration included in the transaction price related to one of the Company's collaboration and licensing agreements (refer to the discussion above of Collaboration and Licensing Agreements), which has resulted in the recognition of incremental revenue for which the Company did not have the right to invoice as of the balance sheet date.

Revenue Concentrations

For the three and nine months ended September 30, 2023, one customer accounted for approximately 10.7% and 14.4% of our consolidated revenue, respectively. For the three and nine months ended September 30, 2022, one customer accounted for approximately 20.8% and 24.1% of our consolidated revenue, respectively. We expect to maintain our relationship with this customer.
Revenue by geographic region for the three and nine months ended September 30, 2023 and 2022 was as follows:
Three Months Ended
(in thousands)September 30, 2023September 30, 2022
Americas$69,714 $80,455 
EMEA43,141 36,913 
APAC10,936 14,885 
Total$123,791 $132,253 
United States (included in Americas above)$68,840 $78,910 

Nine Months Ended
(in thousands)September 30, 2023September 30, 2022
Americas$214,956 $234,511 
EMEA127,150 122,788 
APAC31,115 48,000 
Total$373,221 $405,299 
United States (included in Americas above)$211,717 $231,557