Revenue

6 Months Ended

Jun. 30, 2020

Revenue from Contract with Customer [Abstract]

Revenue

Revenue

Disaggregation of Revenue

The following table illustrates the sources of revenue:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2020		2019		2020		2019
Revenue from contracts with customers	$	1,114	$	1,281	$	2,188	$	2,459
Lease Revenue	46		64		95		123
Total	$	1,160	$	1,345	$	2,283	$	2,582

The following table reflects revenue from contracts with customers by application:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2020		2019		2020		2019
Water Infrastructure
Transport	$	350	$	396	$	668	$	742
Treatment	105		101		176		178
Applied Water
Building Services	187		216		374		429
Industrial Water	150		178		301		344
Measurement & Control Solutions
Water	161		195		344		394
Energy	70		85		142		158
Software as a Service	23		25		44		49
Test	68		85		139		165
Total	$	1,114	$	1,281	$	2,188	$	2,459

The following table reflects revenue from contracts with customers by geographical region:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2020		2019		2020		2019
Water Infrastructure
United States	$	144	$	160	$	265	$	293
Europe	177		179		334		339
Asia Pacific	81		94		140		168
Other	53		64		105		120
Applied Water
United States	183		212		374		413
Europe	81		92		163		186
Asia Pacific	36		41		60		80
Other	38		49		79		94
Measurement & Control Solutions
United States	212		252		433		488
Europe	58		64		132		136
Asia Pacific	25		27		47		59
Other	26		47		56		83
Total	$	1,114	$	1,281	$	2,188	$	2,459

Contract Balances

We receive payments from customers based on a billing schedule as established in our contracts. Contract assets relate to costs incurred to perform in advance of scheduled billings. Contract liabilities relate to payments received in advance of performance under the contracts. Changes in contract assets and liabilities are due to our performance under the contract.

The table below provides contract assets, contract liabilities, and significant changes in contract assets and liabilities:

(in millions)	Contract Assets (a)		Contract Liabilities
Balance at January 1, 2019	$	96	$	113
Additions, net	55		84
Revenue recognized from opening balance	—		(66)
Billings	(50)		—
Other	10		—
Balance at June 30, 2019	$	111	$	131
Balance at January 1, 2020	$	106	$	135
Additions, net	63		85
Revenue recognized from opening balance	—		(70)
Billings	(60)		—
Other	(2)		(4)
Balance at June 30, 2020	$	107	$	146

(a)Excludes receivable balances which are disclosed on the balance sheet

Performance obligationsDelivery schedules vary from customer to customer based upon their requirements. Typically, large projects require longer lead production cycles and delays can occur from time to time. As of June 30, 2020, the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied for contracts with performance obligations, amount to $467 million. We expect to recognize the majority of revenue upon the completion of satisfying these performance obligations in the following 60 months. The Company elects to apply the practical expedient to exclude from this disclosure revenue related to performance obligations that are part of a contract whose original expected duration is less than one year.