Table:
|  | September 30, 2019 | October 1, 2018 |
| --- | --- | --- |
| Contract assets, current | $2,350 | $169 |
| Contract assets, non-current | 581 | 507 |
| Contract liabilities, current | 5,612 | 4,281 |
| Contract liabilities, non-current | 736 | 485 |
Paragraphs:
Contract Balances
The following table provides information about contract assets and contract liabilities from contracts with customers (amounts in thousands):
Contract assets, reported within current assets and other long-term assets in the consolidated balance sheets, primarily result from revenue being recognized when a license is delivered and payments are made over time. Contract liabilities primarily relate to advance consideration received from customers, deferred revenue, for which transfer of control occurs, and therefore revenue is recognized, as services are provided. Contract balances are reported in a net contract asset or liability position on a contract-by-contract basis at the end of each reporting period. The Company recognized $4.4 million of revenue during the year ended September 30, 2019 that was included in the contract liability balance at the beginning of the period.
Question:
What do contract liabilities primarily relate to?
Answer: advance consideration received from customers, deferred revenue, for which transfer of control occurs, and therefore revenue is recognized, as services are provided