MicroVision, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

4. REVENUE RECOGNITION (Tables)

4. REVENUE RECOGNITION (Tables)

9 Months Ended

Sep. 30, 2021

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue

The following table provides information about disaggregated revenue by timing of revenue recognition (in thousands):

Disaggregation of Revenue


		Three Months Ended September 30, 2021
				License and
		Product		royalty		Contract
		revenue		revenue		revenue		Total
Timing of revenue recognition:
Products transferred at a point in time	$	-	$	718	$	-	$	718
Product and services transferred over time		-		-		-		-
Total	$	-	$	718	$	-	$	718


		Nine Months ended September 30, 2021
				License and
		Product		royalty		Contract
		revenue		revenue		revenue		Total
Timing of revenue recognition:
Products transferred at a point in time	$	-	$	1,943	$	-	$	1,943
Product and services transferred over time		-		-		-		-
Total	$	-	$	1,943	$	-	$	1,943


		Three Months Ended September 30, 2020
				License and
		Product		royalty		Contract
		revenue		revenue		revenue		Total
Timing of revenue recognition:
Products transferred at a point in time	$	100	$	539	$	-	$	639
Product and services transferred over time		-		-		-		-
Total	$	100	$	539	$	-	$	639


		Nine Months ended September 30, 2020
				License and
		Product		royalty		Contract
		revenue		revenue		revenue		Total
Timing of revenue recognition:
Products transferred at a point in time	$	1,347	$	1,323	$	4	$	2,674
Product and services transferred over time		-		-		21		21
Total	$	1,347	$	1,323	$	25	$	2,695

Significant Changes in Contract Assets and Contract Liabilities

Significant changes in the contract assets and the contract liabilities balances during the period are as follows (in thousands, except percentages):

		September 30,		December 31,
		2021		2020		$ Change	% Change

Contract assets	$	-	$	-	$	-	-
Contract liabilities		(5,822)		(7,765)		1,943	(25.0)
Net contract assets (liabilities)	$	(5,822)	$	(7,765)	$	1,943	(25.0)

In April 2017, we signed a contract with Microsoft Corporation to develop an LBS display system. Under the agreement, we received an upfront payment of $10.0 million. As of December 31, 2020, we had applied $2.2 million against the contract liability. During the three and nine months ended September 30, 2021, we applied $718,000 and $1.9 million, respectively, against the contract liability with this customer.

Estimated Timing of Revenue Recognition

The following table provides information about the estimated timing of revenue recognition (in thousands):

Estimated Timing of Revenue Recognition

		Remainder of 2021		2022

License and royalty revenue	$	582	$	2,500