Company: MSTR
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000950170-25-021814
Chunk: 22

Company: Strategy Inc
Filing Date: 2025-02-18
Form: 10-K
Item: Item 2
Chunk 22
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 one year in advance of services and do not record deferred revenue for amounts that have not been invoiced.  Revenue is subsequently recognized in the period(s) in which control of the software or services is transferred to the customer.

The following table summarizes deferred revenue and advance payments (in thousands), as of:

    December 31,

    2024

    2023

    Current:

    Deferred product licenses revenue
     
    $
    1,777

    $
    3,579

    Deferred subscription services revenue

    107,119

    65,512

    Deferred product support revenue

    124,684

    152,012

    Deferred other services revenue

    4,394

    7,059

    Total current deferred revenue and advance payments
     
    $
    237,974

    $
    228,162

    Non-current:

    Deferred product licenses revenue
     
    $
    174

    $
    0

    Deferred subscription services revenue

    2,263

    3,097

    Deferred product support revenue

    2,111

    4,984

    Deferred other services revenue

    422

    443

    Total non-current deferred revenue and advance payments
     
    $
    4,970

    $
    8,524

    Total current and non-current:

    Deferred product licenses revenue
     
    $
    1,951

    $
    3,579

    Deferred subscription services revenue

    109,382

    68,609

    Deferred product support revenue

    126,795

    156,996

    Deferred other services revenue

    4,816

    7,502

    Total current and non-current deferred revenue and advance payments
     
    $
    242,944

    $
    236,686

The portions of multi-year contracts that will be invoiced in the future are not presented on the balance sheet in “Accounts receivable, net” and “Deferred revenue and advance payments” and instead are included in the remaining performance obligation disclosure below.  Total deferred revenue and advance payments increased $6.3 million in 2024, as compared to the prior year, primarily due to (i) an increase in deferred revenue from subscription services contracts, partially offset by (ii) a decrease in deferred product support revenue from an increase in conversions from on-pre