Revenue Recognition

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Revenue Recognition

The following table disaggregates revenues by type within each of our business segments:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Gaming
Gaming operations(1)	$	163	$	181	$	319	$	294
Gaming machine sales	123		100		226		155
Gaming systems	60		52		111		94
Table products	44		34		89		68
Total	$	390	$	367	$	745	$	611
SciPlay
Mobile in-app purchases	$	138	$	136	$	277	$	269
Web in-app purchases and other(2)	22		18		41		36
Total	$	160	$	154	$	318	$	305
iGaming	$	60	$	60	$	120	$	118
(1) Gaming operations revenue for the three and six months ended June 30, 2021 benefited from $38 million and $44 million U.K. FOBT VAT recovery (the “VAT recovery”) received from certain U.K. customers related to a 2020 U.K. court ruling associated with overcharging of value-added tax for gaming operators that consequently reduced our net gaming revenues related to these customers and arrangements.
(2) Other primarily represents revenue generated from providing advertising platforms with access to SciPlay’s game software platform, which facilitates the placement of advertising inventory, which was not material in the periods presented.

The amount of rental income revenue that is outside the scope of ASC 606 was $118 million and $231 million for the three and six months ended June 30, 2022, respectively, and $119 million and $182 million for the three and six months ended June 30, 2021, respectively.

Contract Liabilities and Other Disclosures

The following table summarizes the activity in our contract liabilities for the reporting period:

	Six Months Ended June 30, 2022
Contract liability balance, beginning of period(1)	$	37
Liabilities recognized during the period	6
Amounts recognized in revenue from beginning balance	(11)
Contract liability balance, end of period(1)	$	32
(1) Contract liabilities are included within Accrued liabilities and Other long-term liabilities in our consolidated balance sheets.

    The timing of revenue recognition, billings and cash collections results in billed receivables, unbilled receivables (contract assets), and customer advances and deposits (contract liabilities) on our consolidated balance sheets. Other than contracts with customers with financing arrangements exceeding 12 months, revenue recognition is generally proximal to conversion to cash. The following table summarizes our balances in these accounts for the periods indicated (other than contract liabilities disclosed above):

	Receivables		Contract Assets(1)
Beginning of period balance	$	440	$	19
End of period balance, June 30, 2022	430		26
(1) Contract assets are included primarily within Prepaid expenses, deposits and other current assets in our consolidated balance sheets.

As of June 30, 2022, we did not have material unsatisfied performance obligations for contracts expected to be long-term or contracts for which we recognize revenue at an amount other than for which we have the right to invoice for goods or services delivered or performed.