Document and Entity Information
Document and Entity Information - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2020 | Feb. 10, 2021 | Jun. 30, 2020 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2020 | ||
Document Transition Report | false | ||
Entity File Number | 001-39144 | ||
Entity Registrant Name | DISH Network Corporation | ||
Entity Tax Identification Number | 88-0336997 | ||
Entity Incorporation, State or Country Code | NV | ||
Entity Address, Address Line One | 9601 South Meridian Boulevard | ||
Entity Address, City or Town | Englewood | ||
Entity Address, State or Province | CO | ||
Entity Address, Postal Zip Code | 80112 | ||
City Area Code | 303 | ||
Local Phone Number | 723-1000 | ||
Title of 12(b) Security | Class A common stock, $0.01 par value | ||
Trading Symbol | DISH | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 8.8 | ||
Entity Central Index Key | 0001001082 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
ICFR Auditor Attestation Flag | true | ||
Class A common stock | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 287,734,942 | ||
Class B common stock | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 238,435,208 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Current Assets: | ||
Cash and cash equivalents | $ 3,370,092 | $ 2,443,643 |
Marketable investment securities | 362,953 | 416,704 |
Trade accounts receivable, net of allowance for credit losses and allowance for doubtful accounts of $72,278 and $19,280, respectively | 1,104,202 | 588,358 |
Inventory | 380,349 | 322,898 |
Other current assets | 1,804,562 | 243,497 |
Total current assets | 7,022,158 | 4,015,100 |
Noncurrent Assets: | ||
Restricted cash, cash equivalents and marketable investment securities | 108,369 | 61,067 |
Property and equipment, net | 2,182,333 | 2,706,182 |
FCC authorizations | 26,903,939 | 25,779,503 |
Other investment securities | 149,706 | 160,074 |
Operating lease assets | 104,271 | 144,330 |
Other noncurrent assets, net | 1,009,045 | 228,264 |
Intangible assets, net (Note 9) | 760,126 | 136,415 |
Total noncurrent assets | 31,217,789 | 29,215,835 |
Total assets | 38,239,947 | 33,230,935 |
Current Liabilities: | ||
Trade accounts payable | 395,397 | 280,645 |
Deferred revenue and other | 855,718 | 681,484 |
Accrued programming | 1,388,407 | 1,308,531 |
Accrued interest | 264,118 | 236,087 |
Other accrued expenses | 1,095,486 | 817,978 |
Current portion of long-term debt and finance lease obligations | 2,085,620 | 1,171,366 |
Total current liabilities | 6,084,746 | 4,496,091 |
Long-Term Obligations, Net of Current Portion: | ||
Long-term debt and finance lease obligations, net of current portion | 13,616,408 | 12,968,229 |
Deferred tax liabilities | 3,869,570 | 2,870,655 |
Operating lease liabilities | 63,526 | 84,795 |
Long-term deferred revenue and other long-term liabilities | 474,404 | 695,018 |
Total long-term obligations, net of current portion | 18,023,908 | 16,618,697 |
Total liabilities | 24,108,654 | 21,114,788 |
Commitments and Contingencies (Note 16) | ||
Redeemable noncontrolling interests (Note 2) | 350,648 | 552,075 |
Stockholders' Equity (Deficit): | ||
Additional paid-in capital | 5,400,774 | 4,947,007 |
Accumulated other comprehensive income (loss) | (855) | (18) |
Accumulated earnings (deficit) | 8,374,975 | 6,612,302 |
Total DISH Network stockholders' equity (deficit) | 13,780,155 | 11,564,521 |
Noncontrolling interests | 490 | (449) |
Total stockholders' equity (deficit) | 13,780,645 | 11,564,072 |
Total liabilities and stockholders' equity (deficit) | 38,239,947 | 33,230,935 |
Class A common stock | ||
Stockholders' Equity (Deficit): | ||
Common stock | 2,877 | 2,846 |
Class B common stock | ||
Stockholders' Equity (Deficit): | ||
Common stock | $ 2,384 | $ 2,384 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Current Assets: | ||
Allowance for doubtful accounts on trade accounts receivable | $ 72,278 | $ 19,280 |
Common stock par value (in dollars per share) | $ 86.08 | |
Class A common stock | ||
Current Assets: | ||
Common stock par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 1,600,000,000 | 1,600,000,000 |
Common stock, shares issued | 287,720,957 | 284,603,818 |
Common stock, shares outstanding | 287,720,957 | 284,603,818 |
Class B common stock | ||
Current Assets: | ||
Common stock par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 800,000,000 | 800,000,000 |
Common stock, shares issued | 238,435,208 | 238,435,208 |
Common stock, shares outstanding | 238,435,208 | 238,435,208 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue: | |||
Total revenue | $ 15,493,435 | $ 12,807,684 | $ 13,621,302 |
Costs and Expenses (exclusive of depreciation): | |||
Cost of services | 9,094,007 | 8,377,341 | 9,178,772 |
Cost of sales - equipment and other | 939,721 | 192,821 | 145,604 |
Selling, general and administrative expenses | 1,806,122 | 1,728,069 | 1,437,281 |
Impairment of long-lived assets (Note 2) | 356,418 | ||
Depreciation and amortization | 714,552 | 630,577 | 712,024 |
Total costs and expenses | 12,910,820 | 10,928,808 | 11,473,681 |
Operating income (loss) | 2,582,615 | 1,878,876 | 2,147,621 |
Other Income (Expense): | |||
Interest income | 22,734 | 77,214 | 44,759 |
Interest expense, net of amounts capitalized | (12,974) | (23,687) | (15,006) |
Other, net | (20,164) | 11,524 | 11,801 |
Total other income (expense) | (10,404) | 65,051 | 41,554 |
Income (loss) before income taxes | 2,572,211 | 1,943,927 | 2,189,175 |
Income tax (provision) benefit, net | (698,275) | (451,358) | (533,684) |
Net income (loss) | 1,873,936 | 1,492,569 | 1,655,491 |
Less: Net income (loss) attributable to noncontrolling interests, net of tax | 111,263 | 93,057 | 80,400 |
Net income (loss) attributable to DISH Network | $ 1,762,673 | $ 1,399,512 | $ 1,575,091 |
Weighted-average common shares outstanding - Class A and B common stock: | |||
Basic (in shares) | 524,761 | 479,657 | 467,350 |
Diluted (in shares) | 584,360 | 537,964 | 525,832 |
Earnings per share - Class A and B common stock: | |||
Basic net income (loss) per share attributable to DISH Network (in dollars per share) | $ 3.36 | $ 2.92 | $ 3.37 |
Diluted net income (loss) per share attributable to DISH Network (in dollars per share) | $ 3.02 | $ 2.60 | $ 3 |
Comprehensive Income (Loss): | |||
Net income (loss) | $ 1,873,936 | $ 1,492,569 | $ 1,655,491 |
Other comprehensive income (loss): | |||
Foreign currency translation adjustments | (827) | 223 | (1,343) |
Unrealized holding gains (losses) on available-for-sale debt securities | (29) | 1,127 | (529) |
Recognition of previously unrealized (gains) losses on available-for-sale securities included in net income (loss) | (62) | (299) | (8) |
Deferred income tax (expense) benefit, net | 81 | (195) | 124 |
Total other comprehensive income (loss), net of tax | (837) | 856 | (1,756) |
Comprehensive income (loss) | 1,873,099 | 1,493,425 | 1,653,735 |
Less: Comprehensive income (loss) attributable to noncontrolling interests, net of tax | 111,263 | 93,057 | 80,400 |
Comprehensive income (loss) attributable to DISH Network | 1,761,836 | 1,400,368 | 1,573,335 |
Service revenue | |||
Revenue: | |||
Total revenue | 14,846,024 | 12,616,442 | 13,456,088 |
Equipment sales and other revenue | |||
Revenue: | |||
Total revenue | $ 647,411 | $ 191,242 | $ 165,214 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT) - USD ($) $ in Thousands | Class A and B Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive Income (Loss) | Accumulated Earnings (Deficit)Cumulative Effect, Period of Adoption, Adjustment | Accumulated Earnings (Deficit) | Noncontrolling Interest | Redeemable Noncontrolling Interest | Cumulative Effect, Period of Adoption, Adjustment | Total |
Balance at Dec. 31, 2017 | $ 4,664 | $ 3,296,488 | $ 882 | $ 3,635,380 | $ 492 | $ 383,390 | $ 6,937,906 | ||
Issuance of Class A common stock: | |||||||||
Exercise of stock awards | 3 | 4,243 | 4,246 | ||||||
Employee benefits | 6 | 27,316 | 27,322 | ||||||
Employee Stock Purchase Plan | 6 | 15,729 | 15,735 | ||||||
Non-cash, stock-based compensation | 36,261 | 36,261 | |||||||
Change in unrealized holding gains (losses) on available-for-sale securities, net | (537) | (537) | |||||||
Deferred income tax (expense) benefit attributable to unrealized gains (losses) on available-for-sale securities | 124 | 124 | |||||||
Foreign currency translation | (1,343) | (1,343) | |||||||
Net income (loss) attributable to noncontrolling interests | 3,722 | 76,678 | 3,722 | ||||||
Net income (loss) attributable to DISH Network | 1,575,091 | 1,575,091 | |||||||
Other | (944) | (5,713) | (6,657) | ||||||
Balance at Dec. 31, 2018 | 4,679 | 3,379,093 | (874) | 5,212,790 | (1,499) | 460,068 | 8,594,189 | ||
Issuance of Class A common stock: | |||||||||
ASU 2014-09 cumulative catch-up adjustment | ASU 2014-09 | $ 2,319 | $ 2,319 | |||||||
Exercise of stock awards | 7 | 19,361 | 19,368 | ||||||
Employee benefits | 11 | 26,993 | 27,004 | ||||||
Employee Stock Purchase Plan | 6 | 17,061 | 17,067 | ||||||
Non-cash, stock-based compensation | 14,262 | 14,262 | |||||||
Change in unrealized holding gains (losses) on available-for-sale securities, net | 828 | 828 | |||||||
Deferred income tax (expense) benefit attributable to unrealized gains (losses) on available-for-sale securities | (195) | (195) | |||||||
Foreign currency translation | 223 | 223 | |||||||
Master Transaction Agreement, net of deferred tax of $166,161 | 229 | 496,916 | 497,145 | ||||||
Stock Rights Offering | 298 | 998,110 | 998,408 | ||||||
Net income (loss) attributable to noncontrolling interests | 1,050 | 92,007 | 1,050 | ||||||
Net income (loss) attributable to DISH Network | 1,399,512 | 1,399,512 | |||||||
Other | (4,789) | (4,789) | |||||||
Balance at Dec. 31, 2019 | 5,230 | 4,947,007 | (18) | 6,612,302 | (449) | 552,075 | 11,564,072 | ||
Issuance of Class A common stock: | |||||||||
ASU 2014-09 cumulative catch-up adjustment | 6,612,302 | ||||||||
Exercise of stock awards | 15 | 9,425 | 9,440 | ||||||
Employee benefits | 8 | 28,293 | 28,301 | ||||||
Employee Stock Purchase Plan | 8 | 17,966 | 17,974 | ||||||
Non-cash, stock-based compensation | 64,954 | 64,954 | |||||||
Change in unrealized holding gains (losses) on available-for-sale securities, net | (91) | (91) | |||||||
Deferred income tax (expense) benefit attributable to unrealized gains (losses) on available-for-sale securities | 81 | 81 | |||||||
Foreign currency translation | (827) | (827) | |||||||
Initial equity component of our 0% convertibles due 2025, net of deferred taxes of $99,823 | 329,409 | 329,409 | |||||||
Northstar Spectrum LLC Purchase Agreement | (311,735) | ||||||||
Net income (loss) attributable to noncontrolling interests | 955 | 110,308 | 955 | ||||||
Net income (loss) attributable to DISH Network | 1,762,673 | 1,762,673 | |||||||
Other | 3,720 | (16) | 3,704 | ||||||
Balance at Dec. 31, 2020 | $ 5,261 | $ 5,400,774 | $ (855) | $ 8,374,975 | $ 490 | $ 350,648 | 13,780,645 | ||
Issuance of Class A common stock: | |||||||||
ASU 2014-09 cumulative catch-up adjustment | $ 8,374,975 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Mar. 17, 2017 | |
Deferred other tax expense (benefit) | $ 166,161 | $ 166,161 | |
Interest rate (as a percent) | 7.75% | ||
2 3/8% Convertible Notes due 2024 | |||
Interest rate (as a percent) | 2.375% | 2.375% | |
0% Convertible Notes due 2025 | |||
Interest rate (as a percent) | 0.00% | ||
Deferred tax related to equity component of convertible notes | $ 99,823 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash Flows From Operating Activities: | |||
Net income (loss) | $ 1,873,936 | $ 1,492,569 | $ 1,655,491 |
Adjustments to reconcile net income (loss) to net cash flows from operating activities: | |||
Depreciation and amortization | 714,552 | 630,577 | 712,024 |
Impairment of long-lived assets (Note 2) | 356,418 | ||
Realized and unrealized losses (gains) on investments and derivatives | 21,822 | (4,121) | (11,908) |
Non-cash, stock-based compensation | 64,954 | 14,262 | 36,261 |
Deferred tax expense (benefit) | 899,173 | 228,250 | 454,699 |
Allowance for credit losses and allowance for doubtful accounts, respectively | 28,622 | 2,314 | (1,270) |
Change in long-term deferred revenue and other long-term liabilities | (244,660) | 228,557 | (3,303) |
Other, net | 4,735 | 92,471 | (70,900) |
Changes in current assets and current liabilities, net | |||
Trade accounts receivable | (25,172) | 49,183 | 14,724 |
Prepaid and accrued income taxes | (84,633) | 50,101 | 93,618 |
Inventory | 58,291 | (79,542) | 14,788 |
Other current assets | (271,227) | 67,398 | (46,772) |
Trade accounts payable | 73,268 | 46,892 | (160,952) |
Deferred revenue and other | (499) | 26,172 | (98,179) |
Accrued programming and other accrued expenses | (157,804) | (182,682) | (70,480) |
Net cash flows from operating activities | 3,311,776 | 2,662,401 | 2,517,841 |
Cash Flows From Investing Activities: | |||
Purchases of marketable investment securities | (1,902,599) | (1,029,858) | (1,403,890) |
Sales and maturities of marketable investment securities | 1,944,748 | 1,799,966 | 730,210 |
Purchases of property and equipment | (413,302) | (581,081) | (393,938) |
Capitalized interest related to FCC authorizations (Note 2) | (779,204) | (901,367) | (922,759) |
Purchases of FCC authorizations, including deposits (Note 16) | (1,047,542) | (12,155) | (2,500) |
Boost Mobile Acquisition (Note 6) | (1,312,500) | ||
Other, net | (351,173) | 6,659 | 17,604 |
Net cash flows from investing activities | (3,861,572) | (717,836) | (1,975,273) |
Cash Flows From Financing Activities: | |||
Proceeds from issuance of convertible notes | 2,000,000 | ||
Redemption and repurchases of senior notes | (1,100,000) | (1,317,372) | (1,108,489) |
Northstar Spectrum LLC Purchase Agreement | (311,735) | ||
Repayment of long-term debt and finance lease obligations | (100,536) | (41,548) | (42,767) |
Proceeds from issuance of senior notes | 1,000,000 | ||
Net proceeds from Class A common stock options exercised and stock issued under the Employee Stock Purchase Plan | 27,414 | 36,435 | 19,981 |
Stock Rights Offering | 998,408 | ||
Debt issuance costs | (15,675) | ||
Other, net | 2 | (4,092) | (3,270) |
Net cash flows from financing activities | 1,499,470 | (328,169) | (1,134,545) |
Net increase (decrease) in cash, cash equivalents, restricted cash and cash equivalents | 949,674 | 1,616,396 | (591,977) |
Cash, cash equivalents, restricted cash and cash equivalents, beginning of period (Note 7) | 2,504,320 | 887,924 | 1,479,901 |
Cash, cash equivalents, restricted cash and cash equivalents, end of period (Note 7) | $ 3,453,994 | $ 2,504,320 | $ 887,924 |
Organization and Business Activ
Organization and Business Activities | 12 Months Ended |
Dec. 31, 2020 | |
Organization and Business Activities | |
Organization and Business Activities | 1. Organization and Business Activities Principal Business DISH Network Corporation is a holding company. Its subsidiaries (which together with DISH Network Corporation are referred to as “DISH Network,” the “Company,” “we,” “us” and/or “our,” unless otherwise required by the context) operate primary business segments, Pay-TV and Wireless. Our Wireless business segment operates in Pay-TV We offer pay-TV services under the DISH® brand and the SLING® brand (collectively “Pay-TV” services). The DISH branded pay-TV service consists of, among other things, FCC licenses authorizing us to use direct broadcast satellite (“DBS”) and Fixed Satellite Service (“FSS”) spectrum, our owned and leased satellites, receiver systems, broadcast operations, customer service facilities, a leased fiber optic network, in-home service and call center operations, and certain other assets utilized in our operations (“DISH TV”). We also design, develop and distribute receiver systems and provide digital broadcast operations, including satellite uplinking/downlinking, transmission and other services to third-party pay-TV providers. The SLING branded pay-TV services consist of, among other things, multichannel, live-linear streaming over-the-top (“OTT”) Internet-based domestic, international and Latino video programming services (“SLING TV”). As of December 31, 2020, we had Wireless – Retail Wireless As a result of the Boost Mobile Acquisition and the Ting Mobile Acquisition (as defined below), we have entered the retail wireless business. See Note 6 for further information. We offer nationwide prepaid and postpaid retail wireless services to subscribers under our Boost Mobile and Ting Mobile brands, as well as a competitive portfolio of wireless devices. Prepaid wireless subscribers generally pay in advance for monthly access to wireless talk, text, and data services. wireless talk, text, and data services . We are currently operating our retail wireless business unit as a mobile virtual network operator (“MVNO”) while we build our 5G broadband network. subscribers as a result of the Ting Mobile Acquisition. Our Consolidated Statements of Operations and Comprehensive Income (Loss) includes the results of the Boost Mobile Acquisition from July 1, 2020 and Ting Mobile Acquisition from August 1, 2020. As of December 31, 2020, we had million retail wireless subscribers. Wireless – 5G Network Deployment We have directly invested over $11 billion to acquire certain wireless spectrum licenses and related assets and made over $10 billion in non-controlling investments in certain entities, for a total of over $21 billion, as described further below. The DISH Network Spectrum We have directly invested over $11 billion to acquire certain wireless spectrum licenses and related assets. These wireless spectrum licenses are subject to certain interim and final build-out requirements, as well as certain renewal requirements. We plan to commercialize our wireless spectrum licenses through the completion of the nation’s first cloud-native, Open Radio Access Network (“O-RAN”) based 5G network (our “5G Network Deployment”). To that end, we have undertaken several key steps including identifying markets to build out, making executive and management hires and entering into agreements with key vendors. For example, on November 16, 2020, we announced a long-term agreement with Crown Castle pursuant to which Crown Castle will lease us space on up to 20,000 communication towers. As part of the agreement, we will also receive certain fiber transport services and have the option to utilize Crown Castle for pre-construction services. During December 2020, we completed a successful field validation, utilizing our fully-virtualized standalone 5G core network and the industry’s first O-RAN compliant radio. We currently expect expenditures for our 5G Network Deployment to be approximately , excluding capitalized interest. Prior to starting our 5G Network Deployment, we notified the FCC in March 2017 that we planned to deploy a narrowband IoT network on certain of these wireless licenses, which we expected to complete by March 2020, with subsequent phases to be completed thereafter. In light of, among other things, certain developments related to the Sprint-T-Mobile merger, during the first quarter 2020, we determined that the revision of certain of our build-out deadlines was probable and, therefore, we no longer intended to complete our narrowband IoT deployment. The FCC issued an Order effectuating the build-out deadline changes contemplated above on September 11, 2020. During the first quarter 2020, we impaired certain assets that would not be utilized in our 5G Network Deployment, resulting in a $253 million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We will need to make significant additional investments or partner with others to, among other things, complete our 5G Network Deployment and further commercialize, build-out and integrate these licenses and related assets and any additional acquired licenses and related assets, as well as to comply with regulations applicable to such licenses. Depending on the nature and scope of such activities, any such investments or partnerships could vary significantly. In addition, we will incur significant additional expenses and will have to make significant investments related to, among other things, research and development, wireless testing and wireless network infrastructure. We may also determine that additional wireless spectrum licenses may be required to and to compete with other wireless service providers. See Note 2 and Note 16 for further information. DISH Network Non-Controlling Investments in the Northstar Entities and the SNR Entities Related to AWS-3 Wireless Spectrum Licenses During 2015, through our wholly-owned subsidiaries American AWS-3 Wireless II L.L.C. (“American II”) and American AWS-3 Wireless III L.L.C. (“American III”), we initially made over $10 billion in certain non-controlling investments in Northstar Spectrum, LLC (“Northstar Spectrum”), the parent company of Northstar Wireless, L.L.C. (“Northstar Wireless,” and collectively with Northstar Spectrum, the “Northstar Entities”), and in SNR Wireless HoldCo, LLC (“SNR HoldCo”), the parent company of SNR Wireless LicenseCo, LLC (“SNR Wireless,” and collectively with SNR HoldCo, the “SNR Entities”), respectively. On October 27, 2015, the FCC granted certain AWS-3 wireless spectrum licenses (the “AWS-3 Licenses”) to Northstar Wireless and to SNR Wireless, respectively, which are recorded in “FCC authorizations” on our Consolidated Balance Sheets. Under the applicable accounting guidance in Accounting Standards Codification 810, Consolidation (“ASC 810”), Northstar Spectrum and SNR HoldCo are considered variable interest entities and, based on the characteristics of the structure of these entities and in accordance with the applicable accounting guidance, we consolidate these entities into our financial statements. See Note 2 for further information. The AWS-3 Licenses are subject to certain interim and final build-out requirements, as well as certain renewal requirements. The Northstar Entities and/or the SNR Entities may need to raise significant additional capital in the future, which may be obtained from third party sources or from us, so that the Northstar Entities and the SNR Entities may commercialize, build-out and integrate these AWS-3 Licenses, comply with regulations applicable to such AWS-3 Licenses, and make any potential Northstar Re-Auction Payment and SNR Re-Auction Payment for the AWS-3 licenses retained by the FCC. Depending upon the nature and scope of such commercialization, build-out and integration efforts, regulatory compliance, and potential Northstar Re-Auction Payment and SNR Re-Auction Payment, any loans, equity contributions or partnerships could vary significantly. There can be no assurance that we will be able to obtain a profitable return on our non-controlling investments in the Northstar Entities and the SNR Entities. See Note 16 for further information. Recent Developments We accounted for the Boost Mobile Acquisition and Ting Mobile Acquisition as business combinations. The identifiable assets acquired and liabilities assumed were recorded at their preliminary fair values as of the acquisition date and are consolidated into our financial statements. Our Consolidated Statements of Operations and Comprehensive Income (Loss) includes the results of the Boost Mobile Acquisition from July 1, 2020 and the Ting Mobile Acquisition from August 1, 2020. See Note 6 for further information. Boost Mobile Acquisition Asset Purchase Agreement On July 26, 2019, we entered into an Asset Purchase Agreement (the “APA”) with T-Mobile and Sprint Corporation (“Sprint” and together with T-Mobile, the “Sellers” and given the consummation of the Sprint-T-Mobile merger, sometimes referred to as “NTM”) to acquire from NTM certain assets and liabilities associated with Sprint’s Boost Mobile and Sprint-branded prepaid mobile services businesses (the “Prepaid Business”) for an aggregate purchase price of $1.4 billion as adjusted for specific categories of net working capital on the closing date (the “Boost Mobile Acquisition”). Effective July 1, 2020 (the “Closing Date”), upon the terms and subject to the conditions set forth in the APA and in accordance with the Final Judgment (as defined below), we and T-Mobile completed the Boost Mobile Acquisition. In connection with the Boost Mobile Acquisition and the consummation of the Sprint-T-Mobile merger, we, T-Mobile, Sprint, Deutsche Telekom AG (“DT”) and SoftBank Group Corporation (“SoftBank”) came to an agreement with the United States Department of Justice (the “DOJ”) on key terms and approval of the Transaction Agreements (as defined below) and our wireless service business and spectrum. On July 26, 2019, we, T-Mobile, Sprint, DT and SoftBank (collectively, the “Defendants”) entered into a Stipulation and Order (the “Stipulation and Order”) with the DOJ binding the Defendants to a Proposed Final Judgment (the “Proposed Final Judgment”) which memorialized the agreement between the DOJ and the Defendants. The Stipulation and Order and the Proposed Final Judgment were filed in the United States District Court for the District of Columbia (the “District Court”) on July 26, 2019 and on April 1, 2020, the Proposed Final Judgment was entered with the District Court (the Proposed Final Judgment as so entered with the District Court, the “Final Judgment”) and the Sellers consummated the Sprint-T-Mobile merger. The term of the Final Judgment is seven years from the date of its entry with the District Court or five years if the DOJ gives notice that the divestitures, build- outs and other requirements have been completed to its satisfaction. A Monitoring Trustee has been appointed by the District Court that has the power and authority to monitor the Defendants’ compliance with the Final Judgment and settle disputes among the Defendants regarding compliance with the provisions of the Final Judgment and may recommend action to the DOJ in the event a party fails to comply with the Final Judgment. See Note 6 for further information on the Stipulation and Order and the Final Judgment, including our build-out commitments. Also in connection with the closing of the Boost Mobile Acquisition, we and T-Mobile entered into a transition services agreement under which we will receive certain transitional services (the “TSA”), a master network services agreement for the provision of network services by T-Mobile to us (the “MNSA”), an option agreement entitling us to acquire certain decommissioned cell sites and retail stores of T-Mobile (the “Option Agreement”) and an agreement under which we would purchase all of Sprint’s 800 MHz spectrum licenses, totaling approximately 13.5 MHz of nationwide wireless spectrum for an additional approximately $3.59 billion (the “Spectrum Purchase Agreement” and together with the APA, the TSA, the MNSA and the Option Agreement, the “Transaction Agreements”). See Note 6 for further information on the Transaction Agreements. Ting Mobile Acquisition On August 1, 2020, we entered into an asset purchase agreement with Tucows Inc. (“Tucows”) pursuant to which we purchased the assets of Ting Mobile, including over 200,000 Ting Mobile subscribers (the “Ting Mobile Acquisition”). In addition, we entered into a services agreement pursuant to which Tucows will act as a mobile virtual network enabler for certain of our retail wireless subscribers. The consideration for the Ting Mobile Acquisition is an earn out provision and the fair value of the earn out provision has been assigned to a customer relationship intangible that is recorded in “Intangible assets, net” with the offset recorded in “Long-term deferred revenue and other long-term liabilities” on our Consolidated Balance Sheets. See Note 6 for further information. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Principles of Consolidation and Basis of Presentation We consolidate all majority owned subsidiaries, investments in entities in which we have controlling influence and variable interest entities where we have been determined to be the primary beneficiary. Minority interests are recorded as noncontrolling interests or redeemable noncontrolling interests. See below for further information. Non-consolidated investments are accounted for using the equity method when we have the ability to significantly influence the operating decisions of the investee. When we do not have the ability to significantly influence the operating decisions of an investee, these equity securities are classified as either marketable investment securities or other investments and recorded at fair value with changes recognized in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). All significant intercompany accounts and transactions have been eliminated in consolidation. Certain prior period amounts have been reclassified to conform to the current period presentation. Specifically, as a result of our entrance into the retail wireless industry, we have reclassified certain items on our Consolidated Statements of Operations and Comprehensive Income (Loss). The reclassifications include: (a) “Subscriber-related revenue” has been retitled “Service revenue.” (b) “Subscriber-related expenses” has been retitled “Cost of services.” (c) “Satellite and transmission expenses” has been reclassified to “Cost of services.” (d) A new caption entitled “Selling, general and administrative expenses” has been created that includes historical “General and administrative expenses,” as well as “Subscriber acquisition costs.” All prior periods have been reclassified to conform to the current period presentation for these changes. Redeemable Noncontrolling Interests Northstar Wireless. Northstar Wireless is a wholly-owned subsidiary of Northstar Spectrum, which is an entity owned by Northstar Manager, LLC (“Northstar Manager”) and us. Under the applicable accounting guidance in ASC 810, Northstar Spectrum is considered a variable interest entity and, based on the characteristics of the structure of this entity and in accordance with the applicable accounting guidance, we consolidate Northstar Spectrum into our financial statements. The Northstar Operative Agreements, as amended, provide for, among other things, that Northstar Manager has the ability, but not the obligation, to require Northstar Spectrum to purchase Northstar Manager’s ownership interests in Northstar Spectrum (the “Northstar Put Right”) for a purchase price that equals its equity contribution to Northstar Spectrum plus a fixed annual rate of return. The First Northstar Put Window began in the fourth quarter 2020 and the Second Northstar Put Window will begin in the fourth quarter 2021. Northstar Purchase Agreement . On December 30, 2020, through our wholly owned subsidiary American II, we entered into a Purchase Agreement (the “Northstar Purchase Agreement”) with Northstar Manager and Northstar Spectrum, pursuant to which American II purchased In the Northstar Purchase Agreement, Northstar Manager waived its right to exercise the Northstar Put Right under the First Northstar Put Window. Northstar Manager retains its right to exercise the Northstar Put Right during the Second Northstar Put Window. In the event that the Northstar Put Right is exercised by Northstar Manager, the consummation of the sale will be subject to FCC approval. Northstar Spectrum does not have a call right with respect to Northstar Manager’s ownership interests in Northstar Spectrum. Although Northstar Manager is the sole manager of Northstar Spectrum, Northstar Manager’s ownership interest is considered temporary equity under the applicable accounting guidance and is thus recorded as part of “Redeemable noncontrolling interests” in the mezzanine section of our Consolidated Balance Sheets. Northstar Manager’s ownership interest in Northstar Spectrum was initially accounted for at fair value. Subsequently, Northstar Manager’s ownership interest in Northstar Spectrum is increased by the fixed annual rate of return through “Redeemable noncontrolling interests” on our Consolidated Balance Sheets, with the offset recorded in “Net income (loss) attributable to noncontrolling interests, net of tax” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The operating results of Northstar Spectrum attributable to Northstar Manager are recorded as “Redeemable noncontrolling interests” on our Consolidated Balance Sheets, with the offset recorded in “Net income (loss) attributable to noncontrolling interests, net of tax” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 16 for further information. SNR Wireless . SNR Wireless is a wholly-owned subsidiary of SNR HoldCo, which is an entity owned by SNR Wireless Management, LLC (“SNR Management”) and us. Under the applicable accounting guidance in ASC 810, SNR HoldCo is considered a variable interest entity and, based on the characteristics of the structure of this entity and in accordance with the applicable accounting guidance, we consolidate SNR HoldCo into our financial statements. The SNR Operative Agreements, as amended, provide for, among other things, that SNR Management has the ability, but not the obligation, to require SNR HoldCo to purchase SNR Management’s ownership interests in SNR HoldCo (the “SNR Put Right”) for a purchase price that equals its equity contribution to SNR HoldCo plus a fixed annual rate of return. The First SNR Put Window began in the fourth quarter 2020, was not exercised and expired in January 2021. The Second SNR Put Window will begin in the fourth quarter 2021. In the event that the SNR Put Right is exercised by SNR Management, the consummation of the sale will be subject to FCC approval. SNR HoldCo does not have a call right with respect to SNR Management’s ownership interests in SNR HoldCo. Although SNR Management is the sole manager of SNR HoldCo, SNR Management’s ownership interest is considered temporary equity under the applicable accounting guidance and is thus recorded as part of “Redeemable noncontrolling interests” in the mezzanine section of our Consolidated Balance Sheets. SNR Management’s ownership interest in SNR HoldCo was initially accounted for at fair value. Subsequently, SNR Management’s ownership interest in SNR HoldCo is increased by the fixed annual rate of return through “Redeemable noncontrolling interests” on our Consolidated Balance Sheets, with the offset recorded in “Net income (loss) attributable to noncontrolling interests, net of tax” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The operating results of SNR HoldCo attributable to SNR Management are recorded as “Redeemable noncontrolling interests” on our Consolidated Balance Sheets, with the offset recorded in “Net income (loss) attributable to noncontrolling interests, net of tax” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 16 for further information. As of December 31, 2020 and December 31, 2019, Northstar Manager’s ownership interest in Northstar Spectrum and SNR Management’s ownership interest in SNR HoldCo was $351 million and $552 million, respectively, recorded as “Redeemable noncontrolling interests” on our Consolidated Balance Sheets. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense for each reporting period. Estimates are used in accounting for, among other things, allowances for credit losses (including those related to our installment billing programs), self-insurance obligations, deferred taxes and related valuation allowances, uncertain tax positions, loss contingencies, fair value of financial instruments, fair value of options granted under our stock-based compensation plans, fair value of assets and liabilities acquired in business combinations, the fair value of our option to purchase T-Mobile’s 800 MHz spectrum, relative standalone selling prices of performance obligations, finance leases, asset impairments, estimates of future cash flows used to evaluate and recognize impairments, useful lives of property, equipment and intangible assets, independent third-party retailer incentives, programming expenses and subscriber lives. Economic conditions may increase the inherent uncertainty in the estimates and assumptions indicated above. Actual results may differ from previously estimated amounts, and such differences may be material to our consolidated financial statements. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected prospectively in the period they occur. Cash and Cash Equivalents We consider all liquid investments purchased with a remaining maturity of 90 days or less at the date of acquisition to be cash equivalents. Cash equivalents as of December 31, 2020 and 2019 may consist of money market funds, government bonds, corporate notes and commercial paper. The cost of these investments approximates their fair value. Marketable Investment Securities All equity securities are carried at fair value, with changes in fair value recognized in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). All debt securities are classified as available-for-sale and are recorded at fair value. Historically, we reported temporary unrealized gains and losses as a separate component of “Accumulated other comprehensive income (loss)” within “Total stockholders’ equity (deficit),” net of related deferred income tax on our Consolidated Balance Sheets. Subsequent to the adoption of ASU 2016-13 Financial Instruments – Credit Losses, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) during the first quarter of 2020, we report the temporary unrealized gains and losses related to changes in market conditions of marketable debt securities as a separate component of “Accumulated other comprehensive income (loss)” within “Total stockholders’ equity (deficit),” net of related deferred income tax on our Consolidated Balance Sheets. The changes in the fair value of marketable debt securities, which are determined to be company specific credit losses are recorded in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We evaluate our debt investment portfolio to determine whether declines in the fair value of these securities are related to credit loss. Management estimates credit losses on marketable debt securities utilizing a credit loss impairment model on a quarterly basis. We estimate the expected credit losses, measured over the contractual life of marketable debt securities considering relevant issuer specific factors, including, but not limited to, a decrease in credit ratings or an entities ability to pay. Trade Accounts Receivable General Accounts Receivable Prior to January 1, 2020, management estimated the amount of allowance for doubtful accounts for potential non-collectability of accounts receivable based upon past collection experience and consideration of other relevant factors. Subsequent to January 1, 2020 due to the adoption of ASU 2016-13, trade accounts receivable are recorded at cost less an allowance for expected credit losses that are not expected to be recovered. We maintain allowances for credit losses resulting from the expected failure or inability of our customers to make required payments. We recognize the allowance for expected credit losses at inception and reassess quarterly based on management’s expectation of the asset’s collectability. Management estimates credit losses on financial assets, including our trade accounts receivable, utilizing a current expected credit loss impairment model. We estimate the expected credit losses, measured over the contractual life of an asset considering relevant historical loss information, credit quality of the customer base, current economic conditions and forecasts of future economic conditions. In determining the allowance for credit losses, management groups similar types of financial assets with consistent risk characteristics. Pools identified by management include but are not limited to residential customers, commercial customers and advertising services. The risk characteristics of the financial asset portfolios are monitored by management and reviewed periodically. The forecasts for future economic conditions are based on several factors including, but not limited to, changes in the unemployment rate, external economic forecasts and current collection rates. Our estimates of the allowance for credit losses may not be indicative of our actual credit losses requiring additional charges to be incurred to reflect the actual amount collected. BoostUP! Receivable We offer certain long-term subscribers of Boost Mobile the option to pay for their devices under an installment plan (“BoostUP!”), which is generally over a period of 18 months . The BoostUP! receivable is presented in our Consolidated Balance Sheets at its net realizable value, which is net of an allowance for credit losses. The allowance for credit losses is estimated based on among other factors, historical loss information and current economic conditions as well as forecasts of future economic conditions. As of December 31, 2020, “Trade accounts receivable, net” on our Consolidated Balance Sheets includes $114 million of BoostUP! receivables, net of allowance for credit losses of $20 million. Subscribers that participate in the BoostUP! program typically make a down payment and satisfy their obligation by providing equal monthly payments during the duration of their financing arrangement. As Boost Mobile subscribers are on a month to month contract for service with Boost Mobile and the BoostUP! arrangement provides that upon an installment plan subscribers’s termination of the service the installment balance becomes due and payable immediately, we do not impute interest on these instruments as the financial instruments are short term in nature. Inventory Inventory is stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out method. The cost of manufactured inventory includes the cost of materials, labor, freight-in, royalties and manufacturing overhead. Net realizable value is calculated as the estimated selling price less reasonable costs necessary to complete, sell, transport and dispose of the inventory. Property and Equipment Property and equipment, including capitalized expenditures related to our wireless projects and 5G Network Deployment, are stated at cost less depreciation and impairment losses, if any. Our set-top boxes are generally capitalized when they are installed in customers’ homes. If a satellite were to fail while in-orbit, the resultant loss would be charged to expense in the period such loss was incurred. The amount of any such loss would be reduced to the extent of insurance proceeds estimated to be received, if any. Depreciation is recorded on a straight-line basis over useful lives ranging from two to 40 years . Repair and maintenance costs are charged to expense when incurred. Renewals and improvements that add value or extend the asset’s useful life are capitalized. Costs related to the procurement and development of software for internal-use are capitalized and amortized using the straight-line method over the estimated useful life of the software. Derivative Instruments We have the option to purchase certain of T-Mobile’s 800 MHz spectrum licenses from T-Mobile at a fixed price in the future as part of the Boost Mobile Acquisition. See Note 6 for further information. This instrument meets the definition of a derivative and was valued . The derivative is remeasured quarterly. All changes in the derivative’s fair value are recorded in “Other, net” in our Consolidated Statements of Operations and Comprehensive Income (Loss). Impairment of Long-Lived Assets We review our long-lived assets and identifiable finite-lived intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. For assets which are held and used in operations, the asset would be impaired if the carrying amount of the asset (or asset group) exceeded its undiscounted future net cash flows. Once an impairment is determined, the actual impairment recognized is the difference between the carrying amount and the fair value as estimated using one of the following approaches: income, cost and/or market. Assets which are to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. The carrying amount of a long-lived asset or asset group is considered impaired when the anticipated undiscounted cash flows from such asset or asset group is less than its carrying amount. In that event, a loss is recorded in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss) based on the amount by which the carrying amount exceeds the fair value of the long-lived asset or asset group. Fair value, using the income approach, is determined primarily using a discounted cash flow model that uses the estimated cash flows associated with the asset or asset group under review, discounted at a rate commensurate with the risk involved. Fair value, utilizing the cost approach, is determined based on the replacement cost of the asset reduced for, among other things, depreciation and obsolescence. Fair value, utilizing the market approach, benchmarks the fair value against the carrying amount. See Note 9 for further information. DBS Satellites . We currently evaluate our DBS satellite fleet for impairment as one asset group whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. We do not believe any triggering event has occurred which would indicate impairment as of December 31, 2020 and 2019. We will continue to monitor the DBS satellite fleet for indicators of impairment, including monitoring the impact of the COVID-19 pandemic on all aspects of our business. AWS-4 Satellites. We historically have evaluated our AWS-4 satellite fleet for impairment whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. In light of, among other things, certain developments related to the Sprint-T-Mobile merger, during the first quarter 2020, we determined that revisions to the AWS-4 build-out deadlines were probable, which we determined to be a triggering event. Accordingly, we quantitatively assessed the value of the AWS-4 satellites (T1 and D1) and wrote down the fair value of the satellites to their estimated fair value of million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We did not believe any triggering event occurred which would indicate impairment as of December 31, 2019. See Note 9 for further information. Narrowband IoT network. in March 2017 we notified the FCC that we planned to deploy a narrowband IoT network. In October 2019, we paused work on the narrowband IoT deployment. In light of, among other things, certain developments related to the Sprint-T-Mobile merger, during the first quarter 2020, we determined that the revision of certain of our build-out deadlines were probable. Based on this, we no longer intended to complete our narrowband IoT deployment, which we considered a triggering event. As such, during the first quarter 2020, we reviewed the capitalized costs of equipment, labor and other assets related to the narrowband IoT deployment, including our operating lease assets, and impaired those items that would not be utilized in our ongoing 5G Network Deployment, resulting in a million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 9 and Note 10 for further information. Impairment of long-lived assets recorded during the year ended December 31, 2020 consisted of the following: For the Year Ended (In thousands) T1 satellite $ 48,120 D1 satellite 55,000 Construction in progress related to narrowband IoT deployment 226,742 Operating lease assets related to narrowband IoT deployment 26,556 Impairment of long-lived assets $ 356,418 Boost Mobile Intangible Assets. Intangible assets include subscriber relationships, the Boost Mobile tradename and certain below market contracts. The recorded fair value of intangible assets are amortized over their respective useful lives which range from one to 10 years . Ting Mobile Intangible Assets. The preliminary fair value of the customer relationships and the trade name at the acquisition date of Ting Mobile are recorded in “Intangible assets” on our Consolidated Balance Sheets. These assets are amortized over their respective useful lives which range from two to 10 years . Indefinite-Lived Intangible Assets and Goodwill We do not amortize indefinite-lived intangible assets and goodwill but test these assets for impairment annually, during the fourth quarter or more often if indicators of impairment arise. We have the option to first perform a qualitative assessment to determine whether it is necessary to perform a quantitative impairment test. However, we may elect to bypass the qualitative assessment in any period and proceed directly to performing the quantitative impairment test. Intangible assets that have finite lives are amortized over their estimated useful lives and tested for impairment as described above for long-lived assets. Our intangible assets with indefinite lives primarily consist of FCC licenses. Generally, we have determined that our FCC licenses have indefinite useful lives due to the following: ● FCC licenses are a non-depleting asset; ● existing FCC licenses are integral to our business segments and will contribute to cash flows indefinitely; ● replacement DBS satellite applications are generally authorized by the FCC subject to certain conditions, without substantial cost under a stable regulatory, legislative and legal environment; ● maintenance expenditures to obtain future cash flows are not significant; ● FCC licenses are not technologically dependent; and ● we intend to use these assets indefinitely. DBS Licenses. We combine all of our indefinite-lived DBS licenses that we currently utilize or plan to utilize in the future into a single unit of accounting. For 2020, 2019 and 2018, management performed a qualitative assessment to determine whether it is more likely than not that the fair value of the DBS licenses exceeds its carrying amount. In our assessment, we considered several factors, including, among others, overall financial performance, industry and market considerations, and relevant company specific events. In contemplating all factors in their totality, we concluded that it is more likely than not that the fair value of the DBS licenses exceeds its carrying amount. As such, no further analysis was required. Wireless Spectrum Licenses. During 2020, we acquired the 37 GHz, 39 GHz, and 47 GHz wireless licenses and during 2019, we acquired the 24 GHz and 28 GHz wireless licenses, together (the “High-Band Licenses”). We currently combine our 600 MHz, 700 MHz, AWS-4, H Block, High-Band Licenses and the Northstar Licenses and SNR Licenses into a single unit of accounting. In 2020 and 2019 (excluding the High-Band Licenses), management performed a qualitative assessment to determine whether it is more likely than not that the fair value of these licenses exceed their carrying amount. In our assessment, we considered several factors, including, among other things, the projected financial performance of our Wireless segment, the business enterprise value of our Wireless segment, and market transactions for wireless spectrum licenses including auction results. In assessing these factors, we considered both macroeconomic conditions and industry and market conditions. In contemplating all factors in their totality, we concluded that it is more likely than not that the fair value of these licenses exceeds their carrying amount. During 2019, our 24 GHz and 28 GHz wireless spectrum licenses were assessed as a single unit of accounting. These licenses were purchased during the fourth quarter 2019 through our participation in Auction 101 and Auction 102. For 2019, management’s assessment of the fair value of these licenses was determined based on the auction results. In 2018, we assessed our 600 MHz, 700 MHz, AWS-4, H Block Licenses and the Northstar Licenses and SNR Licenses quantitatively. Our quantitative assessment consisted of both an income approach and a market approach. The income approach estimated the fair value of these licenses using the “Greenfield” approach. The Greenfield approach values the licenses by calculating the cash flow generating potential of a hypothetical start-up company that goes into business with no assets except the licenses to be valued. A discounted cash flow analysis is used to estimate what a marketplace participant would be willing to pay to purchase the aggregated wireless licenses as of the valuation date. The market approach uses prior transactions including auctions to estimate the fair value of the licenses. In conducting this quantitative assessment, we determined that the fair value of these licenses exceeded their carrying amount under both approaches. During 2020, 2019, and 2018, our multichannel video distribution and data service (“MVDDS”) wireless spectrum licenses were assessed as a single unit of accounting. For 2020 and 2019, management assessed these licenses qualitatively. Our qualitative assessment focused on recent auction results and historical market activity. We concluded that it is more likely than not that the fair value of these licenses exceeded their carrying amount. For 2018, management assessed these licenses quantitatively under a market approach. The market approach uses prior transactions including auctions to estimate the fair value of the licenses. In conducting the quantitative assessment, we determined that the fair value of these licenses exceeded their carrying amount. Changes in circumstances or market conditions could result in a write-down of any of the above wireless spectrum licenses in the future. Goodwill. Goodwill represents the excess of the consideration transferred over the estimated fair values of assets acquired and liabilities assumed as of the acquisition date. Substantially all our goodwill relates to our Wireless segment. In conducting our annual impairment test for 2020 and 2019, we performed a qualitative assessment, which considered several factors, including, among others, macroeconomic conditions, industry and market conditions, and relevant company specific events and perception of the market. In contemplating all factors in their totality, we determined that the fair value of our wireless segment, which consists of a single reporting unit, was in excess of the carrying amount. Capitalized Interest We capitalize interest associated with the acquisition or construction of certain assets, including, among other things, our wireless spectrum licenses, build-out costs associated with our 5G Network Deployment and satellites. Capitalization of interest begins when, among other things, steps are taken to prepare the asset for its intended use and ceases when the asset is ready for its intended use or when these activities are substantially suspended. We are currently preparing for the commercialization of our wireless spectrum licenses, and Northstar Wireless and SNR Wireless are also preparing for the commercialization of their AWS-3 Licenses. As a result, the interest expense related to the carrying amount of these wireless spectrum licenses is being capitalized. As the carrying amount of these wireless spectrum licenses exceeds the carrying value of our long-term debt and finance lease obligations, materially all of our interest expense is being capitalized. Business Combinations When we acquire a business, we allocate the purchase price to the various components of the acquisition based upon the fair value of each component using various valuation techniques, including the market approach, income approach and/or cost approach. The accounting standard for business combinations requires identifiable assets, liabilities, noncontrolling interests and goodwill acquired to be recorded at acquisition date fair values. Transaction costs related to the acquisition of the business are expensed as incurred. Costs associated with the issuance of debt associated with a business combination are capitalized and included as a yield adjustment to the underlying debt’s stated rate. Acquired intangible assets other than goodwill are amortized over their estimated useful lives unless the lives are determined to be indefinite. Amortization of these intangible assets in general are recognized on a straight-line basis over an average finite useful life primarily ranging from approximately one to 20 years or in relation to the estimated discounted cash flows over the life of the intangible asset. See Note 6 for further information on the Boost Mobile Acquisition and Ting Mobile Acquisition. Long-Term Deferred Revenue and Other Long-Term Liabilities Certain programmers provide us up-front payments. Such amounts are deferred and recognized as reductions to “Cost of services” on a straight-line basis over the relevant remaining contract term (generally up to ten years ). The current and long-term portions of these deferred credits are recorded on our Consolidated Balance Sheets in “Deferred revenue and other” and “Long-term deferred revenue and other long-term liabilities,” respectively. Sales Taxes We account for sales taxes imposed on our goods and services on a net basis on our Consolidated Statements of Operations and Comprehensive Income (Loss). Since we primarily act as an agent for the governmental authorities, the amount charged to the customer is collected and remitted directly to the appropriate jurisdictional entity. Income Taxes We establish a provision for income taxes currently payable or receivable and for income tax amounts deferred to future periods. Deferred tax assets and liabilities are recorded for the estimated future tax effects of differences that exist between the book and tax basis of assets and liabilities. Deferred tax assets are offset by valuation allowances when we believe it is more likely than not that such net deferred tax assets will not be realized. From time to time, we engage in transactions where the tax consequences may be subject to uncertainty. We record a liability when, in management’s judgment, a tax filing position does not meet the more likely than not threshold. For tax positions that meet the more likely than not threshold, we may record a liability depending on management’s assessment of how the tax position will ultimately be settled. We adjust our estimates periodically for ongoing examinations by and settlements with various taxing authorities, as well as changes in tax laws, regulations and precedent. We classify interest and penalties, if any, associated with our uncertain tax positions as a component of “Interest expense, net of amounts capitalized” and “Other, net,” respectively, on our Consolidated Statements of Operations and Comprehensive Income (Loss). Fair Value Measurements We determine fair value based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. Market or observable inputs are the preferred source of values, followed by unobservabl |
Basic and Diluted Net Income (L
Basic and Diluted Net Income (Loss) Per Share | 12 Months Ended |
Dec. 31, 2020 | |
Basic and Diluted Net Income (Loss) Per Share | |
Basic and Diluted Net Income (Loss) Per Share | 3. Basic and Diluted Net Income (Loss) Per Share We present both basic earnings per share (“EPS”) and diluted EPS. Basic EPS excludes potential dilution and is computed by dividing “Net income (loss) attributable to DISH Network” by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if stock awards were exercised and if our 3 3/8% Convertible Notes due 2026 issued August 8, 2016 (the “Convertible Notes due 2026”), our 2 3/8% Convertible Notes due 2024 issued March 17, 2017 (the “Convertible Notes due 2024”) and our 0% Convertible Notes due 2025 issued December 21, 2020 (the “Convertible Notes due 2025,” and collectively with the Convertible Notes due 2026 and the Convertible Notes due 2024, the “Convertible Notes”) were converted. The potential dilution from stock awards is accounted for using the treasury stock method based on the average market value of our Class A common stock. The potential dilution from conversion of the Convertible Notes is accounted for using the if-converted method, which requires that all of the shares of our Class A common stock issuable upon conversion of the Convertible Notes will be included in the calculation of diluted EPS assuming conversion of the Convertible Notes at the beginning of the reporting period (or at time of issuance, if later). The following table presents EPS amounts for all periods and the basic and diluted weighted-average shares outstanding used in the calculation. For the Years Ended December 31, 2020 2019 2018 (In thousands, except per share amounts) Net income (loss) $ 1,873,936 $ 1,492,569 $ 1,655,491 Less: Net income (loss) attributable to noncontrolling interests, net of tax 111,263 93,057 80,400 Net income (loss) attributable to DISH Network - Basic 1,762,673 1,399,512 1,575,091 Interest on dilutive Convertible Notes, net of tax (1) — — — Net income (loss) attributable to DISH Network - Diluted $ 1,762,673 $ 1,399,512 $ 1,575,091 Weighted-average common shares outstanding - Class A and B common stock: Basic (2) 524,761 479,657 467,350 Dilutive impact of Convertible Notes (3) 59,526 58,192 58,192 Dilutive impact of stock awards outstanding 73 115 290 Diluted 584,360 537,964 525,832 Earnings per share - Class A and B common stock: Basic net income (loss) per share attributable to DISH Network $ 3.36 $ 2.92 $ 3.37 Diluted net income (loss) per share attributable to DISH Network $ 3.02 $ 2.60 $ 3.00 (1) For the years ended December 31, 2020, 2019 and 2018, materially all of our interest expense was capitalized. See Note 2 for further information. (2) The 2020 increase resulted from the Master Transaction Agreement, as discussed in Note 20, and the stock rights offering as discussed in Note 13. (3) The impact of the potential dilution from conversion of our 0% Convertible Notes due 2025, as discussed above, is included assuming conversion as of the December 21, 2020 issuance date, and is convertible into approximately 48.8 million shares of our Class A common stock. Certain stock awards to acquire our Class A common stock are not included in the weighted-average common shares outstanding above, as their effect is anti-dilutive. In addition, vesting of performance based options and rights to acquire shares of our Class A common stock granted pursuant to our performance based stock incentive plans (“Restricted Performance Units”) are both contingent upon meeting certain goals, some of which are not yet probable of being achieved. Furthermore, the warrants that we issued to certain option counterparties in connection with the Convertible Notes due 2026 are only exercisable at their expiration if the market price per share of our Class A common stock is greater than the strike price of the warrants, which is approximately per share, subject to adjustments. As a consequence, the following are not included in the diluted EPS calculation. As of December 31, 2020 2019 2018 (In thousands) Anti-dilutive stock awards 9,083 5,471 4,377 Performance based options (1) 17,403 7,966 8,970 Restricted Performance Units/Awards 1,755 1,484 1,726 Common stock warrants 46,029 46,029 46,029 Total 74,270 60,950 61,102 (1) The increase primarily resulted from the grant of the Ergen 2020 Performance Award during the fourth quarter 2020. See Note 15 for further information. |
Supplemental Data - Statements
Supplemental Data - Statements of Cash Flows | 12 Months Ended |
Dec. 31, 2020 | |
Supplemental Data - Statements of Cash Flows | |
Supplemental Data - Statements of Cash Flows | 4. Supplemental Data - Statements of Cash Flows The following table presents certain supplemental cash flow and other non-cash data. See Note 10 for supplemental cash flow and non-cash data related to leases. For the Years Ended December 31, 2020 2019 2018 (In thousands) Cash paid for interest (including capitalized interest) $ 778,448 $ 900,125 $ 921,238 Cash received for interest 5,945 40,795 15,037 Cash paid for income taxes 150,885 30,552 31,308 Capitalized interest (1) 924,644 980,299 1,012,177 Initial equity component of our 0% Convertible Notes due 2025, net of deferred taxes of $99,823 329,409 — — Master Transaction Agreement, net of deferred tax of $166,161 (2) — 497,145 — Employee benefits paid in Class A common stock 28,301 27,004 27,322 Vendor financing 74,895 — — (1) See Note 2 for further information. (2) See Note 20 for further information. |
Other Comprehensive Income (Los
Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2020 | |
Other Comprehensive Income (Loss) | |
Other Comprehensive Income (Loss) | 5. Other Comprehensive Income (Loss) The following table presents the tax effect on each component of “Other comprehensive income (loss).” For the Years Ended December 31, 2020 2019 2018 Before Tax Net Before Tax Net Before Tax Net Tax (Expense) of Tax Tax (Expense) of Tax Tax (Expense) of Tax Amount Benefit Amount Amount Benefit Amount Amount Benefit Amount (In thousands) Foreign currency translation adjustments $ (827) $ 61 $ (766) $ 223 $ — $ 223 $ (1,343) $ — $ (1,343) Unrealized holding gains (losses) on available-for-sale securities (29) 7 (22) 1,127 (265) 862 (529) 122 (407) Recognition of previously unrealized (gains) losses on available-for-sale securities included in net income (loss) (62) 13 (49) (299) 70 (229) (8) 2 (6) Other comprehensive income (loss) $ (918) $ 81 $ (837) $ 1,051 $ (195) $ 856 $ (1,880) $ 124 $ (1,756) The “Accumulated other comprehensive income (loss)” is detailed in the following table, net of tax: Foreign Unrealized/ Currency Recognized Translation Gains Accumulated Other Comprehensive Income (Loss) Adjustment (Losses) Total (In thousands) Balance as of December 31, 2018 $ (316) $ (558) $ (874) Foreign currency translation adjustments 223 — 223 Other comprehensive income (loss) before reclassification — 862 862 Amounts reclassified from accumulated other comprehensive income (loss) — (229) (229) Balance as of December 31, 2019 $ (93) $ 75 $ (18) Foreign currency translation adjustments (766) — (766) Other comprehensive income (loss) before reclassification — (22) (22) Amounts reclassified from accumulated other comprehensive income (loss) — (49) (49) Balance as of December 31, 2020 $ (859) $ 4 $ (855) |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2020 | |
Acquisitions | |
Acquisitions | 6. Acquisitions When we acquire a business, we recognize the assets acquired, liabilities assumed and any noncontrolling interests at fair value. We expense all transaction costs related to the acquisition as incurred. Boost Mobile Acquisition Asset Purchase Agreement Effective on July 1, 2020, upon the terms and subject to the conditions set forth in the APA and in accordance with the Final Judgment, we completed the Boost Mobile Acquisition and DISH Network officially entered into the retail wireless market, serving more than 9 million customers under the Boost Mobile brand. Consideration Transferred The acquisition date fair value of consideration transferred in the Boost Mobile Acquisition totaled $1.346 billion, summarized in the following table: As of July 1, 2020 (In thousands) Cash consideration (1) $ 1,400,000 Net working capital (2) 33,524 Other funding (3) (87,500) Total consideration transferred $ 1,346,024 (1) Represents agreed upon purchase price pursuant to the APA paid to T-Mobile on July 1, 2020. (2) Represents estimated net working capital acquired under the APA. We have not settled the net working capital under the APA as certain amounts are currently in dispute and could ultimately change the net working capital settlement. (3) Represents receipt of payment from Softbank in connection with the Boost Mobile Acquisition on July 1, 2020. Fair Value of Assets Acquired and Liabilities Assumed We accounted for the Boost Mobile Acquisition as a business combination. The identifiable assets acquired and liabilities assumed were recorded at their preliminary fair values as of the acquisition date and are consolidated into our financial statements. The assignment of fair value requires significant judgments regarding the estimates and assumptions used to value the acquired assets and liabilities assumed. For the preliminary fair values of the assets acquired and liabilities assumed, we utilized the cost, income and market approaches from the perspective of a market participant. The following table summarizes the preliminary fair values for each major class of assets acquired and liabilities assumed at the acquisition date. We used third-party valuation professionals to aid in the determination of the acquisition date fair values of certain assets acquired. We are in the process of finalizing the purchase price allocation associated with this transaction, including income tax related amounts. In addition, we have not settled the net working capital under the APA as noted above. Any change in the preliminary net working capital presented above is expected to result in a change to the assigned value of goodwill. As such, the preliminary purchase allocation set forth below is subject to revision as additional information is obtained and the valuation process is completed. As of July 1, 2020 (In thousands) Trade accounts receivable $ 514,786 Inventory 141,718 Other current assets 3,000 Intangibles 591,000 Goodwill 91,220 Other noncurrent assets 713,000 Total assets 2,054,724 Trade accounts payable and other accrued expenses 533,967 Deferred revenue and other 174,733 Total liabilities 708,700 Total purchase price $ 1,346,024 Acquired Receivables. million. Accounts receivable is comprised of receivables due from master agents, BoostUp! receivables and other receivables. These amounts are provisional and have been updated as of December 31, 2020. See Note 2 for further discussion of BoostUP! receivables. Inventory. Intangible Assets and Goodwill. Intangible assets includes $458 million of subscriber relationships, the Boost Mobile tradename of $96 million and certain below market contracts for $37 million. The intangible assets will be amortized over their respective useful lives which range from one to ten years . Goodwill has an assigned value of $91 million, which represents the excess of the consideration transferred over the estimated fair values of assets acquired and liabilities assumed. The preliminary goodwill recognized includes, among other things, the assembled workforce of Boost Mobile and intangible assets that do not qualify for separate recognition. The goodwill resulting from the Boost Mobile Acquisition included in the wireless segment is expected to be deductible for tax purposes. All of the goodwill acquired is allocated to the Retail Wireless reporting unit. Other Noncurrent Assets. Other noncurrent assets includes our option to purchase certain T-Mobile’s 800 MHz spectrum licenses with an assigned fair value of million. This instrument meets the definition of a derivative and all subsequent changes in the derivative’s fair value are recorded in “Other, net” in our Consolidated Statements of Operations and Comprehensive Income (Loss) until the option is either exercised or expires. Liabilities. Liabilities include accounts payable, deferred revenue and accrued expenses. Indemnification Assets and Contingent Liabilities . Pursuant to the APA, T-Mobile agreed to indemnify us against certain specified matters and losses. As of the closing of the transaction and December 31, 2020, we have not recorded either an indemnification asset or liability as the potential liabilities and associated reimbursement by T-Mobile cannot be reasonably estimated. We expect that any liability incurred related to these indemnified matters would be indemnified and reimbursed by T-Mobile. See Note 16 for further information. Sales of equipment to indirect dealers often include credits subsequently paid to the dealer as a reimbursement for promotions offered to the end consumer. These credits are accounted for as variable consideration when estimating the amount of revenue to recognize from the sales of equipment to indirect dealers. At acquisition, we recorded a contingent obligation related to these credits, based upon historical experience and other factors, such as expected promotional activity. This amounts is recorded in “Other accrued expenses” on our Consolidated Balance Sheets. Transaction Costs We recognized transaction costs of $13 million for the year ended December 31, 2020. These costs are primarily related to professional service costs which are recorded in “Selling, general and administrative expenses” in our Consolidated Statements of Operations and Comprehensive Income (Loss). Ting Mobile Acquisition On August 1, 2020, we completed the Ting Mobile Acquisition. In addition, we entered into a services agreement pursuant to which Tucows will act as a mobile virtual network enabler for certain of our retail wireless subscribers. The consideration for the Ting Mobile Acquisition is an earn out provision and the fair value of the earn out provision has been assigned to a customer relationship intangible that is recorded in “Intangible assets, net” with the offset recorded in “Long-term deferred revenue and other long-term liabilities” on our Consolidated Balance Sheets. Pro Forma Information The following pro forma financial information gives effect to the Boost Mobile Acquisition and the Ting Mobile Acquisition (the “2020 Acquisitions”) as if they had been completed as of January 1, 2019. The unaudited pro forma information was based on the historical results of DISH Network and the estimated results from the 2020 Acquisitions. The results of the Boost Mobile Acquisition were adjusted to include the estimated expense associated with an MNSA arrangement and certain selling, general and administrative expenses that historically were not recorded within the Prepaid Business’ financial statements. The results of the Ting Mobile Acquisition were adjusted for the consideration given for the earn out provision. The pro forma results do not include any anticipated synergies or other expected benefits of the 2020 Acquisitions. For the Years Ended December 31, 2020 2019 (Unaudited) (In thousands) Total revenue $ 18,042 $ 17,917 Net income (loss) attributable to DISH Network $ 1,572 $ 1,116 Assumptions and nonrecurring pro forma adjustments include: ● Boost Mobile network costs were estimated based on the forecasted costs on a per subscriber basis that DISH Network expects to incur prospectively to utilize the T-Mobile network. ● Boost Mobile selling, general and administrative expenses were estimated based on the costs to be incurred by DISH Network per the TSA arrangement with T-Mobile. ● Transaction costs of $13 million for the year ended December 31, 2020 were recorded in “Selling, general and administrative expenses” in our Consolidated Statements of Operations and Comprehensive Income (Loss) and are not recurring. The selective unaudited pro forma financial information is provided for informational purposes and does not represent the actual results from operation had the 2020 Acquisitions occurred on January 1, 2019. Agreements in Connection with the APA In connection with the Boost Mobile Acquisition and the consummation of the Sprint-T-Mobile merger, we, T-Mobile, Sprint, DT and SoftBank came to an agreement with the DOJ on key terms and approval of the Transaction Agreements and our wireless service business and spectrum. On July 26, 2019, the Defendants entered into the Stipulation and Order with the DOJ binding the Defendants to the Proposed Final Judgment, which memorialized the agreement between the DOJ and the Defendants. The Stipulation and Order and the Proposed Final Judgment were filed in the District Court on July 26, 2019 and on April 1, 2020, the Final Judgment was entered with the District Court. The term of the Final Judgment is seven years from the date of its entry with the District Court or five years if the DOJ gives notice that the divestitures, build- outs and other requirements have been completed to its satisfaction. A Monitoring Trustee has been appointed by the District Court that has the power and authority to monitor the Defendants’ compliance with the Final Judgment and settle disputes among the Defendants regarding compliance with the provisions of the Final Judgment and may recommend action to the DOJ in the event a party fails to comply with the Final Judgment. Also in connection with the closing of the Boost Mobile Acquisition, we and T-Mobile entered into the TSA, the MNSA, the Option Agreement, and the Spectrum Purchase Agreement for an additional approximately $3.59 billion. Transition Services Agreement T-Mobile and DISH Network entered into the TSA upon the Closing Date of the Boost Mobile Acquisition, pursuant to which T-Mobile provides certain transition services to us for the Prepaid Business for a period of two years from July 1, 2020. Additionally, under the Final Judgment, we may apply to the DOJ for one or more extensions of the term of the TSA, which the DOJ can approve or deny in its sole discretion, and the TSA contemplates the option to renew the TSA for a third or additional years. The transition services are provided at cost, which shall not exceed a specific amount in the first year, plus certain pass-through costs and out-of-pocket expenses, during the first two years . If any transition services are renewed for a third year, the transition services will be provided at cost plus a certain mark-up, plus certain additional costs. Master Network Services Agreement T-Mobile and DISH Network entered into an MNSA upon the Closing Date of the Boost Mobile Acquisition, pursuant to which we also receive network services from T-Mobile for a period of seven years . As set forth in the MNSA, T-Mobile provides to us, among other things, (i) legacy network services for Boost Mobile and certain other prepaid end users on the Sprint network, (ii) T-Mobile network services for certain end users that have been migrated to the T-Mobile network or provisioned on the T-Mobile network by or on behalf of us and (iii) infrastructure mobile network operator services to assist in the access and integration of our network. Pursuant to the terms of the MNSA, we face certain restrictions on making offerings that may combine the access to services provided under the MNSA with access to the facilities or services provided by certain third parties, subject to certain exceptions and carve-outs. We have the right to offer differentiated pricing, products and features to our end users under our brands in conjunction with the services provided under the MNSA, subject to certain qualifications and restrictions. We have certain restrictions on our ability to wholesale, sub-distribute or resell the services provided under the MNSA to third parties. During and after the term of the MNSA, T-Mobile has agreed to certain restrictions with respect to the use of certain information in the targeting of subscribers. In the event of a “change of control” of DISH Network, the MNSA will terminate upon the earlier of two years following the consummation of the change of control or the date on which the MNSA would have otherwise terminated or expired in accordance with its terms. However, we would remain able to provision new users for six months after the change of control and also retain access to roaming services on the T-Mobile network for both new and existing users for the remainder of the original term of the MNSA. Generally, a change of control would occur in the first 36 months of the term of the MNSA if (A) certain “permitted owners” no longer own 50% or more of our voting power or a person or group of persons who are not permitted owners beneficially owns more than 50% of our aggregate economic value or (B) we sell more than 50% of our wireless communications business assets (excluding our wireless terrestrial spectrum licenses and entities that own our wireless terrestrial spectrum licenses). A permitted owner generally includes Charles W. Ergen (including his family and certain related trusts and entities) and certain financial investors. Following the first 36 months of the term of the MNSA (or earlier in certain circumstances), a change of control would generally occur if any restricted persons own (1) more than 50% of our voting power or economic value or (2) a majority of our wireless communications business assets (excluding our wireless terrestrial spectrum licenses and entities that own our wireless terrestrial spectrum licenses). A “restricted person” generally includes certain U.S. wireless providers and U.S. cable companies (with certain exceptions), as well as any other entities that do not enter into a network usage agreement with T-Mobile restricting such person from generally engaging in certain activities that are detrimental to the T-Mobile network. Spectrum Purchase Agreement Pursuant to the Spectrum Purchase Agreement that was entered into upon the Closing Date of the Boost Mobile Acquisition, we are expected to purchase all of Sprint’s 800 MHz spectrum (approximately 13.5 MHz of nationwide spectrum). The covered spectrum must be divested within the later of three years from the Closing Date and five days after receipt of FCC approval for the transfer, following an application for FCC approval to be filed three years following the closing of the Sprint-T-Mobile merger. The DOJ may in its sole discretion agree to extend the deadline for the spectrum divestiture for up to 60 days pursuant to the Final Judgment. T-Mobile may exercise an option to lease back 4 MHz (2 MHz downlink + 2 MHz uplink) of the spectrum for two years following the closing of the 800 MHz spectrum sale at the same per-Pop rate used to calculate the purchase price paid by us to T-Mobile – a rate of approximately $68 million per year. We and T-Mobile have made customary representations, warranties and covenants pursuant to the Spectrum Purchase Agreement, including representations by T-Mobile regarding the validity of the licenses for the purchased spectrum. Pursuant to the Spectrum Purchase Agreement, we and T-Mobile each indemnify the other against losses suffered as a result of breaches of the other’s representations and warranties or covenants. The indemnification provisions are subject to certain deductible and cap limitations and time limitations with respect to recovery for losses. If we breach the Spectrum Purchase Agreement prior to the closing or fail to deliver the purchase price following the satisfaction or waiver of all closing conditions, our sole liability to T-Mobile will be to pay T-Mobile a fee of approximately $72 million. If T-Mobile fails to sell the spectrum to us following the satisfaction or waiver of all closing conditions, our sole recourse will be to seek specific performance, and if (and only if) specific performance is unavailable, to seek damages of up to approximately Option Agreement The Option Agreement, which was entered into upon the Closing Date of the Boost Mobile Acquisition, provides us an exclusive option to assume certain assets and liabilities under certain circumstances for any of the cell sites and retail stores that T-Mobile decommissions during the term of the Option Agreement. T-Mobile must make a minimum of retail stores available to us pursuant to the Final Judgment. With respect to each decommissioned site, we may choose to acquire: (a) only the lease for such site, (b) the lease and a predetermined list of equipment at the site or (c) the lease and all of the equipment at the site. Under the Final Judgment, T-Mobile must provide a detailed schedule which identifies each cell site that is scheduled to be decommissioned within five years of the Closing Date. The Option Agreement will remain in place for five years following the Closing Date. Agreement with the DOJ: The Stipulation and Order and the Final Judgment Certain of the provisions of the Stipulation and Order and the Final Judgment are also reflected in the terms of the Transaction Agreements. In addition to the terms reflected in the Transaction Agreements, the Stipulation and Order and the Final Judgment provide for other rights and obligations of the Sellers and us, including the following: ● For a period of one year after the Closing Date, if we determine that certain assets not included in the divestiture were previously used by the Prepaid Business and are reasonably necessary for the continued competitiveness of the Prepaid Business, subject to certain carve-outs, we may request that such assets be transferred to us, which the DOJ can approve or deny in its sole discretion. ● Within one year of the Closing Date, we are required to offer nationwide postpaid retail mobile wireless service. ● If we elect not to purchase the 800 MHz licenses pursuant to the Spectrum Purchase Agreement, we must pay $360 million (equal to 10% of the Spectrum Purchase Agreement purchase price) to the United States. However, we will not be required to make such payment if we have deployed a core network and offered 5G service to at least 20% of the U.S. population within three years of the Closing Date. ● If we buy the 800 MHz spectrum pursuant to the Spectrum Purchase Agreement but fail to deploy all of the 800 MHz spectrum licenses for use in the provision of retail mobile wireless services by the expiration of the Final Judgment, the DOJ may require us to forfeit to the FCC any of the 800 MHz licenses for spectrum that are not being used to provide retail mobile wireless services, unless we are already providing nationwide retail wireless service. ● We and T-Mobile were required to negotiate in good faith to reach an agreement for T-Mobile to lease some or all of our 600 MHz spectrum licenses for deployment to retail consumers by T-Mobile. On September 11, 2020, we and T-Mobile entered into an agreement to lease a portion of our 600 MHz spectrum licenses for an annual lease payment of approximately $56 million. ● We and T-Mobile must agree to support eSIM technology on smartphones. ● The Sellers must introduce the suppliers and distributors of the Prepaid Business to us and the Sellers may not interfere in our negotiations with such suppliers and distributors. ● On the first day of the fiscal quarter following the entry of the Final Judgment and of each 180 -day period thereafter, we are obligated to provide the DOJ with a description of our deployment efforts over the prior quarter including: (i) the number of towers and small cells deployed, (ii) the spectrum bands on which we have deployed equipment, (iii) progress in obtaining devices that operate on our spectrum frequencies, (iv) POPs coverage of our network, (v) the number of our mobile wireless subscriptions, (vi) the amount of traffic transmitted to our subscribers using our network and using T-Mobile’s network, and (vii) whether there are or have been any efforts by T-Mobile to interfere with our efforts to deploy and operate our network. ● We cannot sell, lease or otherwise provide the right to use any of the divested assets to any national facilities-based mobile wireless provider and may not sell any of the divested assets or similar assets back to T-Mobile during the term of the Final Judgment, except that we may lease back to T-Mobile up to 4 MHz of the 800 MHz spectrum we will acquire (as discussed above). ● We must comply with the June 14, 2023 AWS-4, Lower 700 MHz E Block, AWS H Block, and nationwide 5G broadband network build- out commitments made to the FCC, subject to verification by the FCC (as described below). If we fail to comply with such build-out commitments, we may be subject to civil contempt in addition to the substantial voluntary contributions and license forfeitures described below if we fail to meet these commitments (as described below). FCC Build-Out Commitments In a letter filed with the FCC on July 26, 2019, we voluntarily committed to deploy a nationwide 5G broadband network and meet revised timelines relating to the build-out of our AWS-4, Lower 700 MHz E Block, AWS H Block and 600 MHz spectrum assets, subject to certain penalties. Pursuant to these commitments, we requested multi-year extensions to deploy our AWS-4, Lower 700 MHz E Block, and AWS H Block spectrum, and we have committed to build-out our 600 MHz licenses on an accelerated schedule to better align with our 5G deployment. We have also committed to offer 5G broadband service to certain population coverage targets, along with minimum core network, tower and spectrum use targets, and have waived our right to deploy any technology of our choice under the FCC’s “flexible use” rules with respect to these spectrum bands. Failure to meet the various commitments would require us to pay voluntary contributions totaling up to $2.2 billion to the FCC and would subject certain licenses in the AWS-4, Lower 700 MHz E Block, and AWS H Block spectrum to forfeiture. We have also agreed not to sell our AWS-4 and 600 MHz spectrum for six years without prior DOJ and FCC approval (unless such sale is part of a change of control of DISH Network). Additionally, we have agreed not to lease a certain percentage of network capacity on our AWS-4 and 600 MHz spectrum for six years to the three largest U.S. wireless carriers (i.e., AT&T, Verizon and T-Mobile), without prior FCC approval. On November 5, 2019, the FCC released an Order that, among other things, approved the Sprint-T-Mobile merger, tolled our existing March 7, 2020 build-out deadline for our AWS-4 and Lower 700 MHz E Block Licenses, and directed the FCC’s Wireless Telecommunications Bureau to adopt our commitments after a 30 day review period (the “FCC Merger Order”). On September 11, 2020, the FCC’s Wireless Telecommunications Bureau issued an Order adopting these commitments. Our 5G deployment obligations for each of the four spectrum bands are generally set forth below. ● With respect to the 600 MHz licenses, we must offer 5G broadband service to at least 70% of the U.S. population and have deployed a core network no later than June 14, 2023, and offer 5G broadband service to at least 75% of the population in each Partial Economic Area (which are service areas established by the FCC) no later than June 14, 2025. Note that these commitments are earlier than the current 600 MHz Final Build-Out Requirement date of June 2029. See Note 16 for further information. ● With respect to the AWS-4 licenses, we must offer 5G broadband service to at least 20% of the U.S. population and have deployed a core network no later than June 14, 2022, and offer 5G broadband service to at least 70% of the U.S. population no later than June 14, 2023. ● With respect to the Lower 700 MHz E Block licenses, we must offer 5G broadband service to at least 20% of the U.S. population who are covered by such licenses and have deployed a core network no later than June 14, 2022, and offer 5G broadband service to at least 70% of the U.S. population who are covered by such licenses no later than June 14, 2023. ● With respect to the AWS H Block licenses, we must offer 5G broadband service to at least 20% of the U.S. population and have deployed a core network no later than June 14, 2022, and offer 5G broadband service to at least 70% of the U.S. population no later than June 14, 2023. |
Marketable Investment Securitie
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities | 12 Months Ended |
Dec. 31, 2020 | |
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities | |
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities | 7. Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities Our marketable investment securities, restricted cash and cash equivalents, and other investment securities consisted of the following: As of December 31, 2020 2019 (In thousands) Marketable investment securities: Current marketable investment securities: Strategic - available-for-sale $ 195 $ 196 Other 362,758 416,508 Total current marketable investment securities 362,953 416,704 Restricted marketable investment securities (1) 24,467 390 Total marketable investment securities 387,420 417,094 Restricted cash and cash equivalents (1) 83,902 60,677 Other investment securities: Other investment securities 149,706 160,074 Total other investment securities 149,706 160,074 Total marketable investment securities, restricted cash and cash equivalents, and other investment securities $ 621,028 $ 637,845 (1) Restricted marketable investment securities and restricted cash and cash equivalents are included in “Restricted cash, cash equivalents and marketable investment securities” on our Consolidated Balance Sheets. Marketable Investment Securities Our marketable investment securities portfolio may consist of debt and equity instruments. All equity securities are carried at fair value, with changes in fair value recognized in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). All debt securities are classified as available-for-sale and are recorded at fair value. We report the temporary unrealized gains and losses related to changes in market conditions of marketable debt securities as a separate component of “Accumulated other comprehensive income (loss)” within “Total stockholders’ equity (deficit),” net of related deferred income tax on our Consolidated Balance Sheets. The corresponding changes in the fair value of marketable debt securities, which are determined to be company specific credit losses are recorded in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. Current Marketable Investment Securities - Strategic Our current strategic marketable investment securities portfolio includes and may include strategic and financial debt and/or equity investments in private and public companies that are highly speculative and have experienced and continue to experience volatility. As of December 31, 2020, this portfolio consisted of securities of a small number of issuers, and as a result the value of that portfolio depends, among other things, on the performance of those issuers. The fair value of certain of the debt and equity securities in this portfolio can be adversely impacted by, among other things, the issuers’ respective performance and ability to obtain any necessary additional financing on acceptable terms, or at all. Current Marketable Investment Securities - Other Our current other marketable investment securities portfolio includes investments in various debt instruments including, among others, commercial paper, corporate securities and United States treasury and/or agency securities. Commercial paper consists mainly of unsecured short-term, promissory notes issued primarily by corporations with maturities ranging up to 365 days . Corporate securities consist of debt instruments issued by corporations with various maturities normally less than 18 months . U. S. Treasury and agency securities consist of debt instruments issued by the federal government and other government agencies. Restricted Cash, Cash Equivalents and Marketable Investment Securities As of December 31, 2020 and 2019, our restricted marketable investment securities, together with our restricted cash and cash equivalents, included amounts required as collateral for our letters of credit and trusts. Other Investment Securities We have strategic investments in certain debt and/or equity securities that are included in noncurrent “Other investment securities” on our Consolidated Balance Sheets. Our debt securities are classified as available-for-sale and our equity securities are accounted for using the equity method of accounting or recorded at fair value. Certain of our equity method investments are detailed below. NagraStar L.L.C. We own a interest in NagraStar L.L.C. (“NagraStar”), a joint venture that is our primary provider of encryption and related security systems intended to assure that only authorized customers have access to our programming. Invidi Technologies Corporation . In November 2016, we, DIRECTV, LLC, a wholly-owned indirect subsidiary of AT&T Inc., and Cavendish Square Holding B.V., an affiliate of WPP plc, entered into a series of agreements to acquire Invidi Technologies Corporation (“Invidi”), an entity that provides proprietary software for the addressable advertising market. The transaction closed in January 2017. TerreStar Solutions, Inc. Our ability to realize value from our strategic investments in securities that are not publicly traded depends on the success of the issuers’ businesses and their ability to obtain sufficient capital, on acceptable terms or at all, and to execute their business plans. Because private markets are not as liquid as public markets, there is also increased risk that we will not be able to sell these investments, or that when we desire to sell them we will not be able to obtain fair value for them. Unrealized Gains (Losses) on Marketable Investment Securities As of December 31, 2020 and 2019, we had accumulated net unrealized gains, net of related tax effect, of less than $1 million and less than $1 million, respectively. All of these amounts are included in “Accumulated other comprehensive income (loss)” within “Total stockholders’ equity (deficit).” The components of our available-for-sale investments are summarized in the table below. As of December 31, 2020 2019 Marketable Marketable Investment Unrealized Investment Unrealized Securities Gains Losses Net Securities Gains Losses Net (In thousands) Debt securities (including restricted): U.S. Treasury and agency securities $ 65,992 $ 3 $ — $ 3 $ 10,016 $ 32 $ — $ 32 Commercial paper 298,435 — — — 369,397 2 — 2 Corporate securities 22,552 1 — 1 28,796 4 (1) 3 Other 441 — — — 8,885 58 — 58 Total $ 387,420 $ 4 $ — $ 4 $ 417,094 $ 96 $ (1) $ 95 As of December 31, 2020, restricted and non-restricted marketable investment securities included debt securities of $387 million with contractual maturities within one year. Actual maturities may differ from contractual maturities as a result of our ability to sell these securities prior to maturity. Fair Value Measurements Our investments measured at fair value on a recurring basis were as follows: As of December 31, 2020 2019 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 (In thousands) Cash equivalents (including restricted) $ 3,330,296 $ 363,123 $ 2,967,173 $ — $ 2,436,545 $ 246,876 $ 2,189,669 $ — Debt securities (including restricted): U.S. Treasury and agency securities $ 65,992 $ 65,992 $ — $ — $ 10,016 $ 10,016 $ — $ — Commercial paper 298,435 — 298,435 — 369,397 — 369,397 — Corporate securities 22,552 — 22,552 — 28,796 — 28,796 — Other 441 — 246 195 8,885 — 8,689 196 Total $ 387,420 $ 65,992 $ 321,233 $ 195 $ 417,094 $ 10,016 $ 406,882 $ 196 Derivative Instruments We have the option to purchase certain of T-Mobile’s 800 MHz spectrum licenses from T-Mobile at a fixed price in the future as part of the Boost Mobile Acquisition. See Note 6 for further information. This instrument meets the definition of a derivative and was valued based upon, among other things, our estimate of the underlying asset price, the expected term, volatility and the risk free rate of return at its acquisition date fair value of $713 million. The derivative is remeasured quarterly. As of December 31, 2020, the derivative’s fair value was million on our Consolidated Balance Sheets. All changes in the derivative’s fair value are recorded in “Other, net” in our Consolidated Statements of Operations and Comprehensive Income (Loss) until the option is either exercised or expires. See table below. We account for our option to purchase certain T-Mobile’s 800 MHz spectrum licenses under the Spectrum Purchase Agreement as a Level 3 derivative. Gains and Losses on Sales and Changes in Carrying Amounts of Investments “Other, net” within “Other Income (Expense)” included on our Consolidated Statements of Operations and Comprehensive Income (Loss) is as follows: For the Years Ended December 31, Other, net: 2020 2019 2018 (In thousands) Marketable investment securities - realized and unrealized gains (losses) $ 178 $ 4,604 $ 8,165 Derivative instruments - net realized and/or unrealized gains (losses) (22,000) — — Costs related to early redemption of debt — (483) (3,261) Gain (loss) on sale of subsidiary — — 7,004 Equity in earnings (losses) of affiliates 410 (3,714) (2,110) Other 1,248 11,117 2,003 Total $ (20,164) $ 11,524 $ 11,801 |
Inventory
Inventory | 12 Months Ended |
Dec. 31, 2020 | |
Inventory | |
Inventory | 8. Inventory Inventory consisted of the following: As of December 31, 2020 2019 (In thousands) Finished goods $ 337,787 $ 255,155 Work-in-process and service repairs 25,621 34,120 Raw materials 16,941 33,623 Total inventory $ 380,349 $ 322,898 |
Property and Equipment and Inta
Property and Equipment and Intangible Assets | 12 Months Ended |
Dec. 31, 2020 | |
Property and Equipment and Intangible Assets | |
Property and Equipment and Intangible Assets | 9. Property and Equipment and Intangible Assets Property and Equipment Property and equipment consisted of the following: Depreciable Life As of December 31, (In Years) 2020 2019 (In thousands) Equipment leased to customers 2 - 5 $ 1,736,660 $ 1,861,668 Satellites (1) 2 - 15 1,734,024 1,855,096 Satellites acquired under finance lease agreements 10 - 15 888,940 888,940 Furniture, fixtures, equipment and other 2 - 20 2,091,271 2,010,094 Buildings and improvements 5 - 40 370,941 349,347 Land - 17,810 17,810 Construction in progress (1) - 126,303 278,083 Total property and equipment 6,965,949 7,261,038 Accumulated depreciation (4,783,616) (4,554,856) Property and equipment, net $ 2,182,333 $ 2,706,182 (1) During the year ended December 31, 2020, we wrote down the T1 satellite net book value of $48 million (net of accumulated depreciation of $18 million) and the D1 satellite net book value of $55 million to their estimated fair value of zero . In addition, during the year ended December 31, 2020, we impaired $227 million for capitalized costs of equipment, labor and other assets related to the narrowband IoT deployment that would not be utilized in our 5G Network Deployment. As a result, we recorded a $330 million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. Construction in progress consisted of the following: As of December 31, 2020 2019 (In thousands) Software $ 43,555 $ 51,493 Wireless (1) 72,817 207,814 Other 9,931 18,776 Total construction in progress $ 126,303 $ 278,083 (1) During the year ended December 31, 2020, we impaired the capitalized costs of equipment, labor and other assets related to the narrowband IoT deployment that would not be utilized in our 5G Network Deployment, resulting in a $227 million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. Depreciation and amortization expense consisted of the following: For the Years Ended December 31, 2020 2019 2018 (In thousands) Equipment leased to customers $ 290,081 $ 371,292 $ 444,928 Satellites (1) 202,724 115,100 100,343 Buildings, furniture, fixtures, equipment and other 128,876 136,783 137,055 Intangible assets (2) 92,871 7,402 29,698 Total depreciation and amortization $ 714,552 $ 630,577 $ 712,024 (1) The increase in 2020 resulted from the Master Transaction Agreement pursuant to which, on September 10, 2019, certain satellites were transferred to us. See Note 20 for further information. (2) The increase in 2020 resulted from the completion of the Boost Mobile Acquisition and the Ting Mobile Acquisition. See Note 6 for further information. Cost of sales and operating expense categories included in our accompanying Consolidated Statements of Operations and Comprehensive Income (Loss) do not include depreciation expense related to satellites or equipment leased to customers. Satellites Pay-TV Satellites . We currently utilize of which we own and depreciate over their estimated useful life. We currently utilize certain capacity on satellite that we lease from EchoStar, which is accounted for as an operating lease. We also lease satellites from third parties: Ciel II, which is accounted for as an operating lease, and Anik F3, Nimiq 5 and QuetzSat-1, which are accounted for as financing leases, are each depreciated over their economic life. As of December 31, 2020, our pay-TV satellite fleet consisted of the following: Degree Lease Launch Orbital Termination Satellites Date Location Date Owned: EchoStar VII (1) February 2002 119 N/A EchoStar X (1) February 2006 110 N/A EchoStar XI (1) July 2008 110 N/A EchoStar XIV (1) March 2010 119 N/A EchoStar XV July 2010 61.5 N/A EchoStar XVI (1) November 2012 61.5 N/A EchoStar XVIII June 2016 61.5 N/A EchoStar XXIII (1) March 2017 67.9 N/A Leased from EchoStar (2): EchoStar IX August 2003 121 Month to month Leased from Other Third Party: Anik F3 April 2007 118.7 April 2022 Ciel II December 2008 129 January 2022 Nimiq 5 (1) September 2009 72.7 September 2024 QuetzSat-1 (1) September 2011 77 November 2021 (1) Pursuant to the Master Transaction Agreement, on September 10, 2019 these satellites and satellite service agreements were transferred to us. See Note 20 for further information. (2) See Note 20 for further information on our Related Party Transactions with EchoStar. AWS-4 Satellites. On March 2, 2012, the FCC approved the transfer of 40 MHz of wireless spectrum licenses held by DBSD North America, Inc. (“DBSD North America”) and TerreStar Networks, Inc. (“TerreStar”) to us. On March 9, 2012, we completed the acquisitions of of the equity of reorganized DBSD North America and substantially all of the assets of TerreStar, pursuant to which we acquired, among other things, certain satellite assets and 40 MHz of spectrum licenses held by DBSD North America (the “DBSD Transaction”) and TerreStar (the “TerreStar Transaction”), which licenses the FCC modified in March 2013 to add AWS-4 authority (“AWS-4”). See Note 16 for further information. As a result of the DBSD Transaction and the TerreStar Transaction, we acquired three AWS-4 satellites, including satellite under construction (T2). During the fourth quarter 2014, EchoStar purchased our rights to the T2 satellite for million. Degree Estimated Launch Orbital Useful Life Satellites Date Location (Years) Owned: T1 July 2009 111.1 14.25 D1 April 2008 92.85 N/A GAAP requires that a long-lived asset be reviewed for impairment when circumstances indicate that the carrying amount of the asset might not be recoverable. During the first quarter 2020, in light of, among other things, certain developments related to the Sprint-T-Mobile merger, we determined that revisions to the AWS-4 build-out deadlines were probable, which we determined to be a triggering event. Accordingly, we quantitatively assessed the value of the AWS-4 satellites (T1 and D1) and wrote down the fair value of the satellites to their estimated fair value of million non-cash charge recorded in “Impairment of long-lived assets” during the year ended December 31, 2020 on our Consolidated Statements of Operations and Comprehensive Income (Loss). As of December 31, 2019 and 2018, management concluded that no triggering event occurred for either year for the AWS-4 satellites. Satellite Anomalies Operation of our DISH TV services requires that we have adequate satellite transmission capacity for the programming that we offer. While we generally have had in-orbit satellite capacity sufficient to transmit our existing channels and some backup capacity to recover the transmission of certain critical programming, our backup capacity is limited. In the event of a failure or loss of any of our owned or leased satellites, we may need to acquire or lease additional satellite capacity or relocate one of our other owned or leased satellites and use it as a replacement for the failed or lost satellite. Such a failure could result in a prolonged loss of critical programming or a significant delay in our plans to expand programming as necessary to remain competitive and thus may have a material adverse effect on our business, financial condition and results of operations. In the past, certain of our owned and leased satellites have experienced anomalies, some of which have had a significant adverse impact on their remaining useful life and/or commercial operation. There can be no assurance that future anomalies will not impact the remaining useful life and/or commercial operation of any of the owned and leased satellites in our fleet. See Note 2 for further information on evaluation of impairment. There can be no assurance that we can recover critical transmission capacity in the event one or more of our owned or leased in-orbit satellites were to fail. We generally do not carry commercial launch or in-orbit insurance on any of the satellites that we own and therefore, we will bear the risk associated with any uninsured launch or in-orbit satellite failures. Intangible Assets As of December 31, 2020 and 2019, our identifiable intangibles subject to amortization consisted of the following: As of December 31, 2020 2019 Intangible Accumulated Intangible Accumulated Assets Amortization Assets Amortization (In thousands) Technology-based $ 63,078 $ (58,453) $ 63,077 $ (57,414) Trademarks (1) 133,428 (40,283) 37,010 (32,619) Contract-based (1) 41,500 (23,000) 4,500 (4,500) Customer relationships (1) 515,576 (89,301) 23,633 (23,633) Total $ 753,582 $ (211,037) $ 128,220 $ (118,166) (1) The increase in intangible assets resulted from the completion of the Boost Mobile Acquisition and the Ting Mobile Acquisition. See Note 6 for further information. These identifiable intangibles are included in “Intangible assets” on our Consolidated Balance Sheets. Amortization of these intangible assets is recorded on a straight-line basis over an average finite useful life primarily ranging from approximately one to 20 years . Amortization was $93 million, $7 million and $10 million for the years ended December 31, 2020, 2019 and 2018, respectively. The increase in amortization expense during 2020 primarily resulted from the Boost Mobile Acquisition and the Ting Mobile Acquisition. Estimated future amortization of our identifiable intangible assets as of December 31, 2020 is as follows (in thousands): For the Years Ended December 31, 2021 $ 157,105 2022 130,198 2023 127,809 2024 69,512 2025 11,676 Thereafter 46,245 Total $ 542,545 Goodwill Goodwill represents the excess of the consideration transferred over the estimated fair values of assets acquired and liabilities assumed as of the acquisition date and is not subject to amortization but is subject to impairment testing annually or whenever indicators of impairment arise. The non-recurring measurement of fair value of goodwill is classified as Level 3 in the fair value hierarchy. As of December 31, 2020 and 2019, our goodwill was million, respectively, which substantially all relates to our wireless segment. The increase in goodwill during 2020 resulted from the completion of the Boost Mobile Acquisition. See Note 6 for further information. FCC Authorizations As of December 31, 2020 and 2019, our FCC Authorizations consisted of the following: As of December 31, 2020 2019 (In thousands) Owned: DBS Licenses $ 677,409 $ 677,409 700 MHz Licenses 711,871 711,871 MVDDS Licenses 24,000 24,000 AWS-4 Licenses 1,940,000 1,940,000 H Block Licenses 1,671,506 1,671,506 600 MHz Licenses 6,211,154 6,211,154 28 GHz Licenses 2,883 2,883 24 GHz Licenses 11,772 11,772 37 GHz, 39 GHz & 47 GHz Licenses 202,533 — Subtotal 11,453,128 11,250,595 Non-controlling Investments: Northstar 5,618,930 5,618,930 SNR 4,271,459 4,271,459 Total AWS-3 Licenses 9,890,389 9,890,389 Capitalized Interest (1) 5,560,422 4,638,519 Total $ 26,903,939 $ 25,779,503 (1) See Note 2 for further information. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2020 | |
Leases | |
Leases | 10. Leases We enter into operating and finance leases for, among other things, wireless towers, satellites, office space, warehouses and distribution centers, vehicles and other equipment. Our leases have remaining lease terms from one to 16 years , some of which include renewal options , and some of which include options to terminate the leases within one year . Our Anik F3, Nimiq 5 and QuetzSat-1 satellites are accounted for as financing leases. Substantially all of our remaining leases are accounted for as operating leases. The components of lease expense were as follows: For the Years Ended December 31, 2020 2019 (In thousands) Operating lease cost (1) $ 71,863 $ 223,825 Short-term lease cost (2) 11,870 12,077 Finance lease cost: Amortization of right-of-use assets 71,318 35,004 Interest on lease liabilities 21,007 10,800 Total finance lease cost 92,325 45,804 Total lease costs $ 176,058 $ 281,706 (1) Pursuant to the Master Transaction Agreement, effective September 10, 2019, approximately $495 million of previously reported operating lease assets and the related liabilities for satellites and real estate assets were transferred to us. See Note 20 for further information. These satellite and real estate assets are no longer included in “Operating lease assets,” “Other current liabilities” and “Operating lease liabilities,” but rather in “Property and equipment, net” on our Consolidated Balance Sheets. Lease expense related to these satellites and real estate assets for the year ended December 31, 2019 were $159 million. (2) Leases that have terms of 12 months or less. Supplemental cash flow information related to leases was as follows: For the Years Ended December 31, 2020 2019 (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 72,352 $ 227,451 Operating cash flows from finance leases $ 21,007 $ 10,800 Financing cash flows from finance leases $ 65,979 $ 34,358 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 47,225 $ 118,381 Finance leases $ — $ 187,339 Right-of-use assets and liabilities recognized at January 1, 2019 upon adoption of ASC 842 $ 733,584 Supplemental balance sheet information related to leases was as follows: As of December 31, 2020 2019 (In thousands) Operating Leases: Operating lease assets (1) $ 104,271 $ 144,330 Other current liabilities $ 56,856 $ 57,910 Operating lease liabilities 63,526 84,795 Total operating lease liabilities $ 120,382 $ 142,705 Finance Leases: Property and equipment, gross $ 889,708 $ 890,598 Accumulated depreciation (754,292) (683,271) Property and equipment, net $ 135,416 $ 207,327 Other current liabilities $ 58,379 $ 61,493 Other long-term liabilities 103,795 171,706 Total finance lease liabilities $ 162,174 $ 233,199 Weighted Average Remaining Lease Term: Operating leases 2.8 years 3.1 years Finance leases 3.1 years 3.8 years Weighted Average Discount Rate: Operating leases 4.2% 5.0% Finance leases 10.4% 10.2% (1) During the year ended December 31, 2020, we impaired the operating lease assets related to the narrowband IoT deployment that would not be utilized in our 5G Network Deployment, resulting in a $27 million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. Maturities of lease liabilities as of December 31, 2020 were as follows: Maturities of Lease Liabilities Operating Finance For the Years Ending December 31, Leases Leases Total (In thousands) 2021 $ 71,614 $ 70,302 $ 141,916 2022 35,074 48,307 83,381 2023 16,908 40,942 57,850 2024 9,850 30,707 40,557 2025 3,205 — 3,205 Thereafter 1,490 — 1,490 Total lease payments 138,141 190,258 328,399 Less: Imputed interest (17,759) (28,084) (45,843) Total 120,382 162,174 282,556 Less: Current portion (56,856) (58,379) (115,235) Long-term portion of lease obligations $ 63,526 $ 103,795 $ 167,321 |
Long-Term Debt and Finance Leas
Long-Term Debt and Finance Lease Obligations | 12 Months Ended |
Dec. 31, 2020 | |
Long-Term Debt and Finance Lease Obligations | |
Long-Term Debt and Finance Lease Obligations | 11. Long-Term Debt and Finance Lease Obligations Fair Value of our Long-Term Debt The following table summarizes the carrying amount and fair value of our debt facilities as of December 31, 2020 and 2019: As of December 31, 2020 2019 Carrying Fair Value Carrying Fair Value (In thousands) 5 1/8% Senior Notes due 2020 (1) $ — $ — $ 1,100,000 $ 1,110,208 6 3/4% Senior Notes due 2021 (2) 2,000,000 2,047,260 2,000,000 2,109,420 5 7/8% Senior Notes due 2022 2,000,000 2,095,820 2,000,000 2,129,580 5% Senior Notes due 2023 1,500,000 1,566,300 1,500,000 1,543,770 5 7/8% Senior Notes due 2024 2,000,000 2,099,580 2,000,000 2,049,080 2 3/8% Convertible Notes due 2024 1,000,000 949,350 1,000,000 918,720 0% Convertible Notes due 2025 2,000,000 2,010,000 — — 7 3/4% Senior Notes due 2026 2,000,000 2,236,520 2,000,000 2,128,900 3 3/8% Convertible Notes due 2026 3,000,000 2,886,330 3,000,000 2,907,870 7 3/8% Senior Notes due 2028 1,000,000 1,070,130 — — Other notes payable 137,809 137,809 70,946 70,946 Subtotal 16,637,809 $ 17,099,099 14,670,946 $ 14,968,494 Unamortized debt discount on the Convertible Notes (1,061,203) (735,811) Unamortized deferred financing costs and other debt discounts, net (36,752) (28,739) Finance lease obligations (3) 162,174 233,199 Total long-term debt and finance lease obligations (including current portion) $ 15,702,028 $ 14,139,595 (1) On May 1, 2020, we redeemed the principal balance of our 5 1/8% Senior Notes due 2020. (2) Our 6 3/4% Senior Notes due 2021 mature on June 1, 2021 and have been reclassified to “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2020. (3) Disclosure regarding fair value of finance leases is not required. We estimated the fair value of our publicly traded long-term debt using market prices in less active markets (Level 2). Our Senior Notes are: ● general unsecured senior obligations of DISH DBS Corporation (“DISH DBS”); ● ranked equally in right of payment with all of DISH DBS’ and the guarantors’ existing and future unsecured senior debt; and ● ranked effectively junior to our and the guarantors’ current and future secured senior indebtedness up to the value of the collateral securing such indebtedness. The indentures related to our Senior Notes contain restrictive covenants that, among other things, impose limitations on the ability of DISH DBS and its restricted subsidiaries to: ● incur additional debt; ● pay dividends or make distributions on DISH DBS’ capital stock or repurchase DISH DBS’ capital stock; ● make certain investments; ● create liens or enter into sale and leaseback transactions; ● enter into transactions with affiliates; ● merge or consolidate with another company; and ● transfer or sell assets. In the event of a change of control, as defined in the related indentures, we would be required to make an offer to repurchase all or any part of a holder’s Senior Notes at a purchase price equal to 101% of the aggregate principal amount thereof, together with accrued and unpaid interest thereon, to the date of repurchase. 6 3/4% Senior Notes due 2021 On May 5, 2011, we issued $2.0 billion aggregate principal amount of our ten-year 6 3/4% Senior Notes due June 1, 2021. Interest accrues at an annual rate of 6 3/4% and is payable semi-annually in cash, in arrears on June 1 and December 1 of each year. The 6 3/4% Senior Notes are redeemable, in whole or in part, at any time at a redemption price equal to 100% of the principal amount plus a “make-whole” premium, as defined in the related indenture, together with accrued and unpaid interest. 5 7/8% Senior Notes due 2022 On May 16, 2012 and July 26, 2012, we issued $1.0 billion and $1.0 billion, respectively, aggregate principal amount of our ten-year 5 7/8% Senior Notes due July 15, 2022. Interest accrues at an annual rate of 5 7/8% and is payable semi-annually in cash, in arrears on January 15 and July 15 of each year. The 5 7/8% Senior Notes due 2022 are redeemable, in whole or in part, at any time at a redemption price equal to 100% of the principal amount plus a “make-whole” premium, as defined in the related indenture, together with accrued and unpaid interest. 5% Senior Notes due 2023 On December 27, 2012, we issued $1.5 billion aggregate principal amount of our 5% Senior Notes due March 15, 2023. Interest accrues at an annual rate of The 5% Senior Notes are redeemable, in whole or in part, at any time at a redemption price equal to 100% of the principal amount plus a “make-whole” premium, as defined in the related indenture, together with accrued and unpaid interest. 5 7/8% Senior Notes due 2024 On November 20, 2014, we issued $2.0 billion aggregate principal amount of our ten-year 5 7/8% Senior Notes due November 15, 2024. Interest accrues at an annual rate of 5 7/8% and is payable semi-annually in cash, in arrears on May 15 and November 15 of each year. The 5 7/8% Senior Notes due 2024 are redeemable, in whole or in part, at any time at a redemption price equal to 100% of the principal amount plus a “make-whole” premium, as defined in the related indenture, together with accrued and unpaid interest. 7 3/4% Senior Notes due 2026 On June 13, 2016, we issued $2.0 billion aggregate principal amount of our ten-year 7 3/4% Senior Notes due July 1, 2026. Interest accrues at an annual rate of 7 3/4% The 7 3/4% Senior Notes are redeemable, in whole or in part, at any time at a redemption price equal to 100% of the principal amount plus a “make-whole” premium, as defined in the related indenture, together with accrued and unpaid interest. 7 3/8% Senior Notes due 2028 On July 1, 2020, we issued $1.0 billion aggregate principal amount of our 7 3/8% Senior Notes due July 1, 2028. Interest accrues at an annual rate of 7 3/8% The 7 3/8% Senior Notes are redeemable, in whole or in part, at any time prior to July 1, 2023 at a redemption price equal to 100% of the principal amount plus a “make-whole” premium, as defined in the related indenture, together with accrued and unpaid interest. On or after July 1, 2023, we may redeem the Notes, in whole or in part, at any time at the redemption prices specified under the related indenture, together with accrued and unpaid interest. Prior to July 1, 2023, we may also redeem up to 35% of the 7 3/8% Senior Notes at a specified premium with the net cash proceeds from certain equity offerings or capital contributions. 2 3/8% Convertible Notes due 2024 On March 17, 2017, we issued $1.0 billion aggregate principal amount of the Convertible Notes due March 15, 2024 in a private placement. Interest accrues at an annual rate of 2 3/8% and is payable semi-annually in cash, in arrears on March 15 and September 15 of each year. The Convertible Notes due 2024 are: ● our general unsecured obligations; ● ranked senior in right of payment to any future indebtedness that is expressly subordinated in right of payment to the Convertible Notes due 2024; ● ranked equally in right of payment with all of our existing and future unsecured senior indebtedness; ● ranked effectively junior to any of our existing and future secured indebtedness to the extent of the value of the assets securing such indebtedness; ● ranked structurally junior to all indebtedness and other liabilities of our subsidiaries; and ● not guaranteed by our subsidiaries. We may not redeem the Convertible Notes due 2024 prior to the maturity date. If a “fundamental change” (as defined in the related indenture) occurs prior to the maturity date of the Convertible Notes due 2024, holders may require us to repurchase for cash all or part of their The indenture related to the Convertible Notes due 2024 does not contain any financial covenants and does not restrict us from paying dividends, issuing or repurchasing our other securities, issuing new debt (including secured debt) or repaying or repurchasing our debt. Subject to the terms of the related indenture, the Convertible Notes due 2024 may be converted at an initial conversion rate of 12.1630 shares of our Class A common stock per $1,000 principal amount of Convertible Notes due 2024 (equivalent to an initial conversion price of approximately $82.22 per share of our Class A common stock) (the “Initial Conversion Rate”), at any time on or after October 15, 2023 through the second scheduled trading day preceding the maturity date. Holders of the Convertible Notes 15, 2023, but only upon the occurrence of specified events described in the related indenture. The conversion rate is subject to anti-dilution adjustments if certain events occur. Upon any conversion, we will settle our conversion obligation in cash, shares of our Class A common stock or a combination of cash and shares of our Class A common stock, at our election. In accordance with accounting guidance on cash conversion features, we valued and allocated the residual proceeds to the conversion option associated with the Convertible Notes due 2024 (the “equity component”) from the host debt instrument. The $252 million initial value of the equity component on the Convertible Notes due 2024 was recorded in “Additional paid-in capital” within “Stockholders’ equity (deficit)” on our Consolidated Balance Sheets with the offset being recorded as the debt discount. The resulting debt discount on the Convertible Notes due 2024 is being amortized to interest expense at an effective interest rate of 7% over the seven-year term of the Convertible Notes due 2024. This interest expense was recorded in “Interest expense, net of amounts capitalized” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. 0% Convertible Notes due 2025 On December 21, 2020, we issued $2.0 billion aggregate principal amount of the Convertible Notes due December 15, 2025 in a private placement. These notes will not bear interest, and the principal amount of the Notes will not accrete. The Convertible Notes due 2025 are: ● our general unsecured obligations; ● ranked senior in right of payment to any future indebtedness that is expressly subordinated in right of payment to the Convertible Notes due 2025; ● ranked equally in right of payment with all of our existing and future unsecured senior indebtedness; ● ranked effectively junior to any of our existing and future secured indebtedness to the extent of the value of the assets securing such indebtedness; ● ranked structurally junior to all indebtedness and other liabilities of our subsidiaries; and ● not guaranteed by our subsidiaries. We may not redeem the Convertible Notes due 2025 prior to the maturity date. If a “fundamental change” (as defined in the related indenture) occurs prior to the maturity date of the Convertible Notes due 2025, holders may require us to repurchase for cash all or part of their The indenture related to the Convertible Notes due 2025 does not contain any financial covenants and does not restrict us from paying dividends, issuing or repurchasing our other securities, issuing new debt (including secured debt) or repaying or repurchasing our debt. Subject to the terms of the related indenture, the Convertible Notes due 2025 may be converted at an initial conversion rate of 24.4123 shares of our Class A common stock per $1,000 principal amount of the Convertible Notes due 2025 (equivalent to an initial conversion price of approximately $40.96 per share of our Class A common stock) (the “Initial Conversion Rate”), at any time on or after July 15, 2025 through the second scheduled trading day preceding the maturity date. Holders of the Convertible Notes 15, 2025, but only upon the occurrence of specified events described in the related indenture. The conversion rate is subject to anti-dilution adjustments if certain events occur. Upon any conversion, we will settle our conversion obligation in cash, shares of our Class A common stock or a combination of cash and shares of our Class A common stock, at our election. In accordance with accounting guidance on cash conversion features, we valued and allocated the residual proceeds to the conversion option associated with the Convertible Notes due 2025 (the “equity component”) from the host debt instrument. The $433 million initial value of the equity component on the Convertible Notes due 2025 was recorded in “Additional paid-in capital” within “Stockholders’ equity (deficit)” on our Consolidated Balance Sheets with the offset being recorded as the debt discount. The resulting debt discount on the Convertible Notes due 2025 is being amortized to interest expense at an effective interest rate of 5% over the five-year term of the Convertible Notes due 2025. This interest expense was recorded in “Interest expense, net of amounts capitalized” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. 3 3/8% Convertible Notes due 2026 On August 8, 2016, we issued $3.0 billion aggregate principal amount of the Convertible Notes due August 15, 2026 in a private unregistered offering. Interest accrues at an annual rate of 3 3/8% and is payable semi-annually in cash, in arrears on February 15 and August 15 of each year. The Convertible Notes due 2026 are: ● our general unsecured obligations; ● ranked senior in right of payment to any future indebtedness that is expressly subordinated in right of payment to the Convertible Notes due 2026; ● ranked equally in right of payment with all of our existing and future unsecured senior indebtedness; ● ranked effectively junior to any of our existing and future secured indebtedness to the extent of the value of the assets securing such indebtedness; ● ranked structurally junior to all indebtedness and other liabilities of our subsidiaries; and ● not guaranteed by our subsidiaries. We may not redeem the Convertible Notes due 2026 prior to the maturity date. If a “fundamental change” (as defined in the related indenture) occurs prior to the maturity date of the Convertible Notes due 2026, holders may require us to repurchase for cash all or part of their The indenture related to the Convertible Notes due 2026 does not contain any financial covenants and does not restrict us from paying dividends, issuing or repurchasing our other securities, issuing new debt (including secured debt) or repaying or repurchasing our debt. Subject to the terms of the related indenture, the Convertible Notes due 2026 may be converted at an initial conversion rate of 15.3429 shares of our Class A common stock per $1,000 principal amount of Convertible Notes due 2026 (equivalent to an initial conversion price of approximately $65.18 per share of our Class A common stock) (the “Initial Conversion Rate”), at any time on or after March 15, 2026 through the second scheduled trading day preceding the maturity date. Holders of the Convertible Notes 15, 2026, but only upon the occurrence of specified events described in the related indenture. The conversion rate is subject to anti-dilution adjustments if certain events occur. Upon any conversion, we will settle our conversion obligation in cash, shares of our Class A common stock or a combination of cash and shares of our Class A common stock, at our election. In accordance with accounting guidance on cash conversion features, we valued and allocated the residual proceeds to the conversion option associated with the Convertible Notes due 2026 (the “equity component”) from the host debt instrument. The $774 million initial value of the equity component on the Convertible Notes due 2026 was recorded in “Additional paid-in capital” within “Stockholders’ equity (deficit)” on our Consolidated Balance Sheets with the offset being recorded as the debt discount. The resulting debt discount on the Convertible Notes due 2026 is being amortized to interest expense at an effective interest rate of 7% over the ten-year term of the Convertible Notes due 2026. This interest expense was recorded in “Interest expense, net of amounts capitalized” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. Convertible Note Hedge and Warrant Transactions In connection with the offering of the Convertible Notes due 2026 , we entered into convertible note hedge transactions with certain option counterparties. The convertible note hedge transactions cover, subject to anti-dilution adjustments substantially similar to those applicable to the Convertible Notes per share. The total cost of the convertible note hedge transactions was million. Concurrently with entering into the convertible note hedge transactions, we also entered into warrant transactions with each option counterparty whereby we sold to such option counterparty warrants to purchase, subject to customary anti-dilution adjustments, up to the same number of shares of our Class A common stock, which initially gives the option counterparties the option to purchase approximately per share. We received million in cash proceeds from the sale of these warrants. We will not be required to make any cash payments to each option counterparty or its affiliates upon the exercise of the options that are a part of the convertible note hedge transactions, but will be entitled to receive from them a number of shares of Class A common stock, an amount of cash or a combination thereof. This consideration is generally based on the amount by which the market price per share of Class A common stock, as measured under the terms of the convertible note hedge transactions, is greater than the strike price of the convertible note hedge transactions during the relevant valuation period under the convertible note hedge transactions. Additionally, if the market price per share of Class A common stock, as measured under the terms of the warrant transactions, exceeds the strike price of the warrants during the measurement period at the maturity of the warrants, we will owe each option counterparty a number of shares of Class A common stock in an amount based on the excess of such market price per share of Class A common stock over the strike price of the warrants. However, as specified under the terms of the warrant transactions, we may elect to settle the warrants in cash. Interest on Long-Term Debt Annual Semi-Annual Debt Service Payment Dates Requirements (In thousands) 6 3/4% Senior Notes due 2021 (1) June 1 and December 1 $ 135,000 5 7/8% Senior Notes due 2022 January 15 and July 15 $ 117,500 5% Senior Notes due 2023 March 15 and September 15 $ 75,000 5 7/8 % Senior Notes due 2024 May 15 and November 15 $ 117,500 2 3/8% Convertible Notes due 2024 March 15 and September 15 $ 23,750 7 3/4 % Senior Notes due 2026 January 1 and July 1 $ 155,000 3 3/8 % Convertible Notes due 2026 February 15 and August 15 $ 101,250 7 3/8% Senior Notes due 2028 January 1 and July 1 $ 73,750 (1) Our 6 3/4% Senior Notes due 2021 mature on June 1, 2021 and have been reclassified to “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2020. M aterially all of our interest expense is being capitalized, including the interest expense associated with the amortization of the debt discounts on our Convertible Notes. See Note 2 for further information. Our ability to meet our debt service requirements will depend on, among other factors, the successful execution of our business strategy, which is subject to uncertainties and contingencies beyond our control. Other Long-Term Debt and Finance Lease Obligations Other long-term debt and finance lease obligations consisted of the following: As of December 31, 2020 2019 (In thousands) Satellites and other finance lease obligations $ 162,174 $ 233,199 Notes payable related to satellite vendor financing and other debt payable in installments through 2032 with interest rates ranging from approximately 4.0% to 8.8% 137,809 70,946 Total 299,983 304,145 Less: current portion (85,620) (71,366) Other long-term debt and finance lease obligations, net of current portion $ 214,363 $ 232,779 Finance Lease Obligations Anik F3. Anik F3, an FSS satellite, was launched and commenced commercial operation in April 2007. This satellite is accounted for as a finance lease and depreciated over the term of the satellite service agreement. We lease 100% of the Ku-band capacity on Anik F3 for a period of 15 years , which expires in April 2022. Nimiq 5 . On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, the satellite service agreement for Nimiq 5 was transferred to us. Nimiq 5 was launched in September 2009 and commenced commercial operation at the 72.7 degree west longitude orbital location during October 2009. This satellite is accounted for as a finance lease and depreciated over the term of the satellite service agreement. We lease of the capacity on Nimiq 5, and this lease expires in September 2024. See Note 20 for further information. QuetzSat-1. On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, the satellite service agreement for QuetzSat-1 was transferred to us. QuetzSat-1 was launched on September 29, 2011 and in January 2013, QuetzSat-1 was moved to the 77 degree orbital location and commenced commercial operations at that location in February 2013. This satellite is accounted for as a finance lease and depreciated over the term of the satellite service agreement. We lease of the capacity on QuetzSat-1, and this lease expires in November 2021. See Note 20 for further information. Ciel II . Ciel II, a Canadian DBS satellite, was launched in December 2008 and commenced commercial operation in February 2009. This satellite was previously accounted for as a finance lease and depreciated over the term of the satellite service agreement, however, as a result of an amendment, which was effective during the first quarter 2019, Ciel II is now accounted for as an operating lease. We lease 100% of the capacity on Ciel II. The initial 10 year term expired in January 2019 and as a result of an amendment, we renewed this lease through January 2022. The summary of future maturities of our outstanding long-term debt as of December 31, 2020 is included in the commitments table in Note 16. |
Income Taxes and Accounting for
Income Taxes and Accounting for Uncertainty in Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Taxes and Accounting for Uncertainty in Income Taxes | |
Income Taxes and Accounting for Uncertainty in Income Taxes | 12. Income Taxes and Accounting for Uncertainty in Income Taxes Income Taxes Our income tax policy is to record the estimated future tax effects of temporary differences between the tax bases of assets and liabilities and amounts reported on our Consolidated Balance Sheets, as well as probable operating loss, tax credit and other carryforwards. Deferred tax assets are offset by valuation allowances when we believe it is more likely than not that net deferred tax assets will not be realized. We periodically evaluate our need for a valuation allowance. Determining necessary valuation allowances requires us to make assessments about historical financial information as well as the timing of future events, including the probability of expected future taxable income and available tax planning opportunities. We file consolidated tax returns in the United States. The income taxes of domestic and foreign subsidiaries not included in the United States tax group are presented in our consolidated financial statements on a separate return basis for each tax paying entity. As of December 31, 2020, we had $2 million net operating loss carryforwards (“NOLs”) for federal income tax purposes and $127 million of NOL carryforwards for state income tax purposes, which are partially offset by a valuation allowance. In addition, there are million of tax benefits related to credit carryforwards which are partially offset by a valuation allowance. Portions of the state NOL and credit carryforwards expired in 2020. The components of the (benefit from) provision for income taxes were as follows: For the Years Ended December 31, 2020 2019 2018 (In thousands) Current (benefit) provision: Federal $ (230,935) $ 173,326 $ 44,451 State 22,566 43,579 29,918 Foreign 7,471 6,203 4,616 Total current (benefit) provision (200,898) 223,108 78,985 Deferred (benefit) provision: Federal 610,528 204,403 383,096 State 243,216 21,732 64,000 Increase (decrease) in valuation allowance 45,429 2,115 7,603 Total deferred (benefit) provision 899,173 228,250 454,699 Total (benefit) provision $ 698,275 $ 451,358 $ 533,684 Our $2.572 billion of “Income (loss) before income taxes” on our Consolidated Statements of Operations and Comprehensive Income (Loss) included income of $18 million related to our foreign operations. The following table shows the principal reasons for the difference between the effective income tax rate and the statutory federal tax rate: For the Years Ended December 31, 2020 2019 2018 % of pre-tax income/(loss) Statutory rate 21.0 21.0 21.0 State income taxes, net of federal benefit 4.6 3.2 4.6 State apportionment changes 5.4 — — Cares Act NOL Carryback (2.3) — — Other, net (1.6) (1.0) (1.2) Total (benefit) provision for income taxes 27.1 23.2 24.4 Deferred taxes arise because of the differences in the book and tax bases of certain assets and liabilities. Significant components of deferred tax assets and liabilities were as follows: As of December 31, 2020 2019 (In thousands) Deferred tax assets: NOL, interest, credit and other carryforwards $ 128,968 $ 368,545 Accrued and prepaid expenses — 8,488 Stock-based compensation 17,962 19,821 Unrealized (gains) losses on available for sale and other investments 9,862 4,137 Deferred revenue 26,977 17,238 Total deferred tax assets 183,769 418,229 Valuation allowance (73,788) (28,359) Deferred tax asset after valuation allowance 109,981 389,870 Deferred tax liabilities: Depreciation (467,922) (583,374) Accrued and prepaid expenses (72,314) — FCC authorizations and other intangible amortization (2,542,887) (2,040,885) Bases difference in partnerships and cost method investments (1) (744,911) (573,548) Discount on convertible notes and convertible note hedge transaction, net (151,517) (62,718) Total deferred tax liabilities (3,979,551) (3,260,525) Net deferred tax asset (liability) $ (3,869,570) $ (2,870,655) (1) Included in this line item are deferred taxes related to, among other things, our non-controlling investments in Northstar Spectrum and SNR HoldCo, including deferred taxes created by the tax amortization of the Northstar Licenses and SNR Licenses. Accounting for Uncertainty in Income Taxes In addition to filing federal income tax returns, we and one or more of our subsidiaries file income tax returns in all states that impose an income tax and a small number of foreign jurisdictions where we have immaterial operations. We are subject to United States federal, state and local income tax examinations by tax authorities for the years beginning in 2008 due to the carryover of previously incurred NOLs. We are currently under a federal income tax examination for fiscal years 2008 through 2016. A reconciliation of the beginning and ending amount of unrecognized tax benefits included in “Long-term deferred revenue and other long-term liabilities” on our Consolidated Balance Sheets was as follows: For the Years Ended December 31, Unrecognized tax benefit 2020 2019 2018 (In thousands) Balance as of beginning of period $ 674,207 $ 385,394 $ 393,916 Additions based on tax positions related to the current year 233 244,257 10,350 Additions based on tax positions related to prior years 1,999 61,909 1,670 Reductions based on tax positions related to prior years (296,265) (13,028) (6,291) Reductions based on tax positions related to settlements with taxing authorities (831) (2,362) (8,328) Reductions based on tax positions related to the lapse of the statute of limitations (876) (1,963) (5,923) Balance as of end of period $ 378,467 $ 674,207 $ 385,394 We have $351 million in unrecognized tax benefits that, if recognized, could favorably affect our effective tax rate. We do not expect any material portion of this amount to be paid or settled within the next twelve months. During the year ended December 31, 2019, we recorded million of additional uncertain tax benefits related to a tax position for certain provisions of the Tax Reform Act. As of December 31, 2020, these amounts were reversed as new Federal Tax Regulations released in 2020 resolved these uncertainties. The position relates to a timing difference and resolution with respect to the position did not impact our effective tax rate. Accrued interest and penalties on uncertain tax positions are recorded as a component of “Interest expense, net of amounts capitalized” and “Other, net,” respectively, on our Consolidated Statements of Operations and Comprehensive Income (Loss). During the years ended December 31, 2020, 2019 and 2018, we recorded million in net interest and penalty expense to earnings, respectively. Accrued interest and penalties were million at December 31, 2020 and 2019, respectively. The above table excludes these amounts . |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) | 12 Months Ended |
Dec. 31, 2020 | |
Stockholders' Equity (Deficit) | |
Stockholders' Equity (Deficit) | 13. Stockholders’ Equity (Deficit) Capital Stock and Additional Paid-In Capital Our certificate of incorporation authorizes the following capital stock: (i) 1,600,000,000 shares of Class A common stock, par value $0.01 per share; (ii) 800,000,000 shares of Class B common stock, par value $0.01 per share; (iii) 800,000,000 shares of Class C common stock, par value $0.01 per share; and (iv) 20,000,000 shares of preferred stock, par value $0.01 per share. As of December 31, 2020 and 2019, there were The Class A, Class B and Class C common stock are equivalent except for voting rights. Holders of Class A and Class C common stock are entitled to one vote per share and holders of Class B common stock are entitled to 10 votes per share. Each share of Class B and Class C common stock is convertible, at the option of the holder, into one share of Class A common stock. Our Class A common stock is publicly traded on the Nasdaq Global Select Market under the symbol “DISH.” Upon a change in control of DISH Network, each holder of outstanding shares of Class C common stock is entitled to 10 votes for each share of Class C common stock held. Our principal stockholder and certain entities established by him for the benefit of his family beneficially own all outstanding Class B common stock. Together with all other stockholders, he also owns outstanding Class A common stock. Common Stock Repurchase Program Our Board of Directors previously authorized stock repurchases of up to $1.0 billion of our outstanding Class A common stock. On October 30, 2020, our Board of Directors extended this authorization such that we are currently authorized to repurchase up to A common stock through and including December 31, 2021. As of December 31, 2020, we may repurchase up to billion under this program. During the years ended December 31, 2020, 2019 and 2018, there were Stock Rights Offering During November 2019, we launched a rights offering pursuant to which we distributed transferable subscription rights pro rata to holders of record of our Class A and B common stock, and outstanding convertible notes (based on the applicable conversion ratio for those notes as of the record date) on November 17, 2019. The subscription rights entitled the holder to acquire newly-issued shares of our Class A common stock at a subscription price of $33.52 per share. Upon completion of the rights offering on December 13, 2019, we raised approximately $1.0 billion and issued 29,834,992 shares of DISH Network’s Class A common stock. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2020 | |
Employee Benefit Plans | |
Employee Benefit Plans | 14. Employee Benefit Plans Employee Stock Purchase Plan Our employees may participate in the DISH Network employee stock purchase plan (the “ESPP”), in which we are authorized to issue up to 6.8 million shares of Class A common stock. At December 31, 2020, we had 2.4 million shares of Class A common stock which remain available for issuance under the ESPP. Substantially all full-time employees who have been employed by us for at least one calendar quarter are eligible to participate in the ESPP. Employee stock purchases are made through payroll deductions. Under the terms of the ESPP, employees may not deduct an amount which would permit such employee to purchase our capital stock under all of our stock purchase plans at a rate which would exceed $25,000 in fair value of capital stock in any one year. The purchase price of the stock is 85% of the closing price of the Class A common stock on the last business day of each calendar quarter in which such shares of Class A common stock are deemed sold to an employee under the ESPP. During the years ended December 31, 2020, 2019 and 2018, employee purchases of Class A common stock through the ESPP totaled approximately 0.8 million, 0.6 million and 0.6 million shares, respectively. 401(k) Employee Savings Plan We sponsor a 401(k) Employee Savings Plan (the “401(k) Plan”) for eligible employees. Voluntary employee contributions to the 401(k) Plan may be matched per employee. Forfeitures of unvested participant balances which are retained by the 401(k) Plan may be used to fund matching and discretionary contributions. Our Board of Directors may also authorize an annual discretionary contribution to the 401(k) plan, subject to the maximum deductible limit provided by the Internal Revenue Code of 1986, as amended. These contributions may be made in cash or in our stock. The following table summarizes the expense associated with our matching contributions and discretionary contributions: For the Years Ended December 31, Expense Recognized Related to the 401(k) Plan 2020 2019 2018 (In thousands) Matching contributions, net of forfeitures $ 11,549 $ 11,181 $ 10,300 Discretionary stock contributions, net of forfeitures $ 29,784 $ 28,774 $ 27,048 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2020 | |
Stock-Based Compensation | |
Stock-Based Compensation | 15. Stock-Based Compensation Stock Incentive Plans We maintain stock incentive plans to attract and retain officers, directors and key employees. Stock awards under these plans include both performance and non-performance based stock incentives. As of December 31, 2020, we had outstanding under these plans stock options to acquire 27.2 million shares of our Class A common stock and 1.9 million restricted stock units and awards. Stock options granted on or prior to December 31, 2020 were granted with exercise prices equal to or greater than the market value of our Class A common stock at the date of grant and with a maximum term of approximately ten years . While historically we have issued stock awards subject to vesting, typically at the rate of 20% per year, some stock awards have been granted with immediate vesting and other stock awards vest only upon the achievement of certain company-specific subscriber, operational and/or financial goals. In addition, the Ergen 2020 Performance Award is subject to the achievement of specified stock price targets. As of December 31, 2020, we had 63.6 million shares of our Class A common stock available for future grant under our stock incentive plans. Exercise prices for stock options outstanding and exercisable as of December 31, 2020 were as follows: As of December 31, 2020 Options Outstanding Options Exercisable Number Weighted- Weighted- Number Weighted- Weighted- $ 10.01 - $ 20.00 244,500 8.30 $ 18.70 8,336 7.75 $ 18.70 $ 20.01 - $ 30.00 13,563,775 9.63 $ 27.68 694,722 1.60 $ 27.17 $ 30.01 - $ 40.00 8,911,281 7.44 $ 35.49 2,930,928 7.14 $ 35.49 $ 40.01 - $ 50.00 1,436,028 6.55 $ 47.48 659,500 6.30 $ 47.30 $ 50.01 - $ 60.00 2,034,878 5.49 $ 57.53 488,752 4.73 $ 56.88 $ 60.01 - $ 70.00 1,058,200 5.41 $ 64.24 411,000 5.07 $ 65.18 $ 10.01 - $ 70.00 27,248,662 8.27 $ 34.85 5,193,238 5.90 $ 40.21 Stock Award Activity Our stock option activity was as follows: For the Years Ended December 31, 2020 2019 2018 Options Weighted- Options Weighted- Options Weighted- Total options outstanding, beginning of period 13,715,612 $ 41.71 14,202,039 $ 42.08 8,847,734 $ 43.90 Granted (1) 15,410,500 $ 28.71 1,538,250 $ 33.44 7,494,012 $ 38.41 Exercised (714,595) $ 17.44 (714,061) $ 27.46 (267,905) $ 16.43 Forfeited and cancelled (1,162,855) $ 45.17 (1,310,616) $ 43.72 (1,871,802) $ 39.67 Total options outstanding, end of period 27,248,662 $ 34.85 13,715,612 $ 41.71 14,202,039 $ 42.08 Performance/market based options outstanding, end of period (2) 17,403,339 $ 32.59 7,965,501 $ 40.10 8,969,886 $ 40.34 Exercisable at end of period 5,193,238 $ 40.21 2,507,834 $ 44.93 1,781,153 $ 41.41 (1) Includes the Ergen 2020 Performance Award of 12,500,000 options granted on November 6, 2020 . (2) These stock options are included in the caption “Total options outstanding, end of period.” See discussion of the 2013 LTIP, 2017 LTIP, 2019 LTIP, Ergen 2020 Performance Award and Other Employee Performance Awards below. We realized tax benefits from stock awards exercised as follows: For the Years Ended December 31, 2020 2019 2018 (In thousands) Tax benefit from stock awards exercised $ 7,576 $ 1,239 $ 1,664 Based on the closing market price of our Class A common stock on December 31, 2020, the aggregate intrinsic value of our stock options was as follows: As of December 31, 2020 Options Options (In thousands) Aggregate intrinsic value $ 66,497 $ 3,719 Our restricted stock unit and award activity was as follows: For the Years Ended December 31, 2020 2019 2018 Restricted Weighted- Restricted Weighted- Restricted Weighted- Total restricted stock units/awards outstanding, beginning of period 1,504,370 $ 50.81 1,760,225 $ 52.15 2,484,720 $ 51.16 Granted 1,696,000 $ 33.07 — $ — — $ — Vested (1) (916,315) $ 53.82 (11,175) $ 63.49 (11,935) $ 63.49 Forfeited and cancelled (420,945) $ 42.56 (244,680) $ 59.82 (712,560) $ 48.51 Total restricted stock units/awards outstanding, end of period 1,863,110 $ 35.04 1,504,370 $ 50.81 1,760,225 $ 52.15 Restricted Performance Units/Awards outstanding, end of period (2) 1,755,125 $ 34.89 1,483,800 $ 50.64 1,726,250 $ 51.92 (1) This change resulted from certain Other Employee Performance Awards that vested during the third quarter 2020. (2) These stock units/awards are included in the caption “Total restricted stock units/awards outstanding, end of period.” See discussion of the 2013 LTIP and Other Employee Performance Awards below. Long-Term Performance-Based Plans 2013 LTIP. During 2013, we adopted a long-term, performance-based stock incentive plan (the “2013 LTIP”). The 2013 LTIP provides stock options and restricted stock units in combination, which vest based on company-specific subscriber and financial performance conditions. Exercise of the stock awards is contingent on achieving these performance conditions by September 30, 2022. Although no awards vest until the Company attains the performance goals described above, compensation related to the 2013 LTIP will be recorded based on management’s assessment of the probability of meeting the remaining performance conditions. If the remaining performance conditions are probable of being achieved, we will begin recognizing the associated non-cash, stock-based compensation expense on our Consolidated Statements of Operations and Comprehensive Income (Loss) over the estimated period to achieve the performance condition. During the years ended December 31, 2015, 2014 and 2013, we determined that 30%, 10% and 20% , respectively, of the 2013 LTIP performance conditions were probable of achievement. During the years ended December 31, 2018, 2017 and 2016, no additional 2013 LTIP performance conditions were deemed probable of achievement. During 2018, management determined the 2013 LTIP performance conditions were neither probable nor improbable of achievement. As a result, we are no longer recording non-cash, stock-based compensation expense for the 2013 LTIP. We recorded non-cash, stock-based compensation expense for the years ended December 31, 2020, 2019 and 2018, as indicated in the table below titled “Non-Cash, Stock-Based Compensation Expense Recognized.” As of December 31, 2018, approximately of the 2013 LTIP awards had vested. 2017 LTIP. On December 2, 2016, we adopted a long-term, performance-based stock incentive plan (the “2017 LTIP”). The 2017 LTIP provided stock options, which were subject to vesting based on company-specific subscriber and financial performance conditions. Awards were initially granted under the 2017 LTIP as of January 1, 2017. Exercise of the stock awards was contingent on achieving these performance conditions by December 31, 2020, however, none of the performance conditions were achieved. During both the years ended December 31, 2018 and 2017, we determined that 75% of the 2017 LTIP performance conditions were probable of achievement. During 2019, management determined the 2017 LTIP performance conditions were not probable of achievement and as a result, we reversed million of non-cash, stock-based compensation expense. In 2020, no non-cash, stock-based compensation expense was recognized for the 2017 LTIP. We recorded non-cash, stock-based compensation expense for the years ended December 31, 2020, 2019 and 2018, as indicated in the table below titled “Non-Cash, Stock-Based Compensation Expense Recognized.” 2019 LTIP. Although no awards vest until the Company attains the performance conditions described above, compensation related to the 2019 LTIP will be recorded based on management’s assessment of the probability of meeting the performance conditions. If the performance conditions are probable of being achieved, we will begin recognizing the associated non-cash, stock-based compensation expense on our Consolidated Statements of Operations and Comprehensive Income (Loss) over the estimated period to achieve the performance condition. During the years ended December 31, 2020, 2019 and 2018, we determined that 95%, 90% and 82% , respectively, of the 2019 LTIP performance conditions were probable of achievement. As a result, non-cash, stock-based compensation expense was recorded for the years ended December 31, 2020, 2019 and 2018, as indicated in the table below titled “Non-Cash, Stock-Based Compensation Expense Recognized.” As of December 31, 2020, approximately of the 2019 LTIP awards had vested. Ergen 2020 Performance Award. On November 4, 2020, our Executive Compensation Committee of the Board of Directors approved an award to Charles W. Ergen, our Chairman, of long-term performance-based options (the “Ergen 2020 Performance Award”) to purchase up to 12,500,000 shares of DISH Network’s Class A common stock. The award is subject to the achievement of specified stock price targets during the approximate ten-year period following the date of grant. The award was granted on November 6, 2020 and will expire on February 6, 2031. Although no awards will vest until the market conditions are satisfied, as of December 31, 2020, we are recording non-cash, stock-based compensation expense for each vesting tranche based on the estimated achievement date of the specified stock price target. The valuation and probability of achievement for each tranche is determined using a Monte Carlo simulation. The same Monte Carlo simulation is used as the basis for determining the expected achievement date. As the probability of achievement is factored in as part of the Monte Carlo simulation, the expense for these tranches will be recognized concurrently over each tranche’s estimated achievement date even if some or all of the options never vest. If the related milestone for a tranche is achieved earlier than is expected, all unamortized expense for such tranche will be recognized immediately. Other Employee Performance Awards. In addition to the above long-term, performance stock incentive plans, we have other stock awards that vest based on certain other company-specific subscriber, operational and/or financial performance conditions. Exercise of these stock awards is contingent on achieving certain performance conditions. Additional compensation related to these awards will be recorded based on management’s assessment of the probability of meeting the remaining performance conditions. If the remaining performance conditions are probable of being achieved, we will begin recognizing the associated non-cash, stock-based compensation expense on our Consolidated Statements of Operations and Comprehensive Income (Loss) over the estimated period to achieve the performance condition. See the table below titled “Estimated Remaining Non-Cash, Stock-Based Compensation Expense.” Although no awards vest until the performance conditions are attained, we determined that certain performance conditions described above were probable of achievement and, as a result, recorded non-cash, stock-based compensation expense for the years ended December 31, 2020, 2019 and 2018, as indicated in the table below titled “Non-Cash, Stock-Based Compensation Expense Recognized.” The non-cash, stock-based compensation expense associated with these awards was as follows: For the Years Ended December 31, Non-Cash, Stock-Based Compensation Expense Recognized (1) 2020 2019 2018 (In thousands) 2019 LTIP $ 13,088 $ 15,300 $ 3,534 2017 LTIP - (13,974) 3,334 2013 LTIP (819) (1,313) (2,471) Ergen 2020 Performance Award 5,029 — — Other employee performance awards 29,181 (569) 17,945 Total non-cash, stock-based compensation expense recognized for performance based awards $ 46,479 $ (556) $ 22,342 (1) “Non-Cash, Stock-Based Compensation Expense Recognized” includes forfeitures. Estimated Remaining Non-Cash, Stock-Based Compensation Expense 2019 LTIP 2017 LTIP 2013 LTIP Ergen 2020 Performance Award Other (In thousands) Expense estimated to be recognized during 2021 $ 3,566 $ — $ — $ 28,113 $ 15,939 Estimated contingent expense subsequent to 2021 6,611 — 29,176 58,745 20,246 Total estimated remaining expense over the term of the plan $ 10,177 $ — $ 29,176 $ 86,858 $ 36,185 Given the competitive nature of our business, small variations in subscriber churn, gross new subscriber activation rates and certain other factors can significantly impact subscriber growth. Consequently, while it was determined that achievement of certain other company-specific subscriber, operational and/or financial performance conditions were not probable as of December 31, 2020, that assessment could change in the future. Of the 27.2 million stock options and 1.9 million restricted stock units and awards outstanding under our stock incentive plans as of December 31, 2020, the following awards were outstanding pursuant to our performance-based stock incentive plans: As of December 31, 2020 Performance Based Stock Options Number of Weighted- 2019 LTIP 1,996,268 $ 34.75 2017 LTIP 2,034,571 $ 56.89 2013 LTIP 872,500 $ 40.82 Ergen 2020 Performance Award 12,500,000 $ 27.71 Total 17,403,339 $ 32.59 Restricted Performance Units/Awards 2013 LTIP 436,250 Other employee performance awards 1,318,875 Total 1,755,125 Stock-Based Compensation Total non-cash, stock-based compensation expense for all of our employees is shown in the following table for the years ended December 31, 2020, 2019 and 2018 and was allocated to the same expense categories as the base compensation for such employees: For the Years Ended December 31, 2020 2019 2018 (In thousands) Cost of services $ 7,419 $ 883 $ 1,412 Selling, general and administrative 57,535 13,379 34,849 Total non-cash, stock-based compensation $ 64,954 $ 14,262 $ 36,261 As of December 31, 2020, our total unrecognized compensation cost related to our non-performance based unvested stock awards was $44 million and will be recognized over a weighted-average period of approximately 3.6 years. Share-based compensation expense is recognized based on stock awards ultimately expected to vest. Valuation The fair value of each stock option granted (excluding the Ergen 2020 Performance Award) for the years ended December 31, 2020, 2019 and 2018 was estimated at the date of the grant using a Black-Scholes option valuation model with the following assumptions: For the Years Ended December 31, Stock Options 2020 2019 2018 Risk-free interest rate 0.17 % - 1.72 % 1.51 % - 2.53 % 2.09 % - 2.98 % Volatility factor 28.91 % - 48.08 % 28.86 % - 32.08 % 23.33 % - 30.22 % Expected term of options in years 3.3 - 5.5 4.3 - 5.5 2.8 - 5.5 Fair value of options granted $ 5.50 - $ 12.10 $ 7.58 - $ 12.45 $ 7.10 - $ 12.53 While we currently do not intend to declare dividends on our common stock, we may elect to do so from time to time. Accordingly, the dividend yield percentage used in the Black-Scholes option valuation model was set at zero for all periods. The Black-Scholes option valuation model was developed for use in estimating the fair value of traded stock options which have no vesting restrictions and are fully transferable. Consequently, our estimate of fair value may differ from other valuation models. Further, the Black-Scholes option valuation model requires the input of highly subjective assumptions. Changes in these subjective input assumptions can materially affect the fair value estimate. We will continue to evaluate the assumptions used to derive the estimated fair value of our stock options as new events or changes in circumstances become known. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies | |
Commitments and Contingencies | 16. Commitments and Contingencies Commitments As of December 31, 2020, future maturities of our long-term debt, finance lease and contractual obligations are summarized as follows: Payments due by period Total 2021 2022 2023 2024 2025 Thereafter (In thousands) Long-term debt obligations $ 16,637,809 $ 2,027,604 $ 2,027,112 $ 1,528,030 $ 3,027,186 $ 2,007,641 $ 6,020,236 Interest expense on long-term debt 3,178,253 733,927 $ 666,192 $ 510,411 $ 460,223 $ 330,000 $ 477,500 Finance lease obligations (1) 162,174 58,379 38,993 35,478 29,324 — — Interest expense on finance lease obligations (1) 28,084 11,923 9,314 5,464 1,383 — — Other long-term obligations (2) 4,349,902 350,154 99,048 136,544 173,146 196,000 3,395,010 Operating lease obligations (1) 138,141 71,614 35,074 16,908 9,850 3,205 1,490 Purchase obligations 1,933,440 1,897,777 26,947 8,716 — — — Total $ 26,427,803 $ 5,151,378 $ 2,902,680 $ 2,241,551 $ 3,701,112 $ 2,536,846 $ 9,894,236 (1) See Note 10 for further information on leases and the adoption of ASC 842. (2) Represents minimum payments related to tower obligations, certain 5G Network Deployment commitments and satellite related and other obligations. In certain circumstances the dates on which we are obligated to make these payments could be delayed. The table above does not include $378 million of liabilities associated with unrecognized tax benefits that were accrued, as discussed in Note 12 and are included on our Consolidated Balance Sheets as of December 31, 2020. We do not expect any portion of this amount to be paid or settled within the next twelve months. The table above does not include all potential expenses we expect to incur for our 5G Network Deployment. We currently expect expenditures for our 5G Network Deployment to be approximately During the first quarter 2021, we entered into an agreement to pay approximately $50 million to acquire certain assets and liabilities that are intended to be used in our wireless business. The closing is subject to certain customary closing conditions. This amount is not included in the table above. Wireless – 5G Network Deployment We have directly invested over $11 billion to acquire certain wireless spectrum licenses and related assets and made over $10 billion in non-controlling investments in certain entities, for a total of over $21 billion. The Recent Wireless Spectrum Acquisitions 37 GHz, 39 GHz and 47 GHz million. On October 22, 2019, we paid 3550-3650 MHz. The auction for the Priority Access Licenses for the 3550-3650 MHz band (“Auction 105”) began on July 23, 2020 and ended on August 25, 2020. On September 2, 2020, the FCC announced that Wetterhorn Wireless L.L.C. (“Wetterhorn”), a wholly-owned subsidiary of DISH Network, was the winning bidder of million. During the second and third quarters 2020, we paid million, respectively, to the FCC for our winning bids. On October 1, 2020, we paid the remaining balance of our winning bids of approximately million. These amounts are included in “Other current assets” on our Consolidated Balance Sheets as of December 31, 2020. The FCC has not yet issued the licenses to Wetterhorn. Wireless Spectrum Licenses These wireless spectrum licenses are subject to certain interim and final build-out requirements, as well as certain renewal requirements that are summarized in the table below: As of December 31, 2020 Build-Out Deadlines Carrying Expiration Amount Interim Final Date (In thousands) Owned: DBS Licenses (1) $ 677,409 700 MHz Licenses 711,871 June 14, 2022 (2) June 14, 2023 (4) June 2023 AWS-4 Licenses 1,940,000 June 14, 2022 (2) June 14, 2023 (4) June 2023 H Block Licenses 1,671,506 June 14, 2022 (2) June 14, 2023 (5) June 2023 600 MHz Licenses 6,211,154 June 14, 2025 (6) June 2029 MVDDS Licenses (1) 24,000 August 2024 LMDS Licenses (1) — September 2028 28 GHz Licenses 2,883 October 2, 2029 (7) October 2029 24 GHz Licenses 11,772 December 11, 2029 (7) December 2029 37 GHz, 39 GHz and 47 GHz Licenses 202,533 June 4, 2030 (7) June 2030 Subtotal 11,453,128 Non-controlling Investments: Northstar 5,618,930 October 2021 (3) October 2027 (8) October 2027 (8) SNR 4,271,459 October 2021 (3) October 2027 (8) October 2027 (8) Total AWS-3 Licenses 9,890,389 Capitalized Interest (9) 5,560,422 Total $ 26,903,939 (1) The build-out deadlines for these licenses have been met. (2) For these licenses, we must offer 5G broadband service to at least 20% of the United States population and have developed a core network by this date. (3) For these licenses, Northstar Wireless and SNR Wireless must provide reliable signal coverage and offer service to at least 40% of the population of each license area by this date. (4) For these licenses, we must offer 5G broadband service to 70% of the United States population by this date; provided, however, if by June 14, 2023, we are offering 5G broadband service with respect to these licenses to at least 50% of the population of the United States, the final deadline shall be further extended automatically to June 14, 2025, for us to construct and offer 5G broadband service to at least 70% of the population in each Economic Area (which is a service area established by the FCC) with respect to these licenses. (5) For these licenses, we must offer 5G broadband service to at least 70% of the United States population by this date; provided, however, that if by June 14, 2023, we are offering 5G Broadband Service with respect to these licenses to at least 50% of the population of the United States, the final deadline shall be further extended automatically to June 14, 2025, for us to construct and offer 5G broadband service to at least 75% of the population in each Economic Area with respect to these licenses. (6) For these licenses, we must offer 5G broadband service to at least 75% of the population in each Partial Economic Area (which are service areas established by the FCC) by this date. (7) There are a variety of build-out options and associated build-out metrics associated with these licenses. (8) For these licenses, Northstar Wireless and SNR Wireless must provide reliable signal coverage and offer service to at least 75% of the population of each license area by this date. If the AWS-3 interim build-out requirement is not met, the AWS-3 expiration date and the AWS-3 final build-out requirement may be accelerated by two years (from October 2027 to October 2025) for each AWS-3 License area in which Northstar Wireless and SNR Wireless do not meet the requirement. (9) See Note 2 for further information. Commercialization of Our Wireless Spectrum Licenses and Related Assets. We plan to commercialize our wireless spectrum licenses through our 5G Network Deployment. To that end, we have undertaken several key steps including identifying markets to build out, making executive and management hires and entering into agreements with key vendors. For example, on November 16, 2020, we announced a long-term agreement with Crown Castle pursuant to which Crown Castle will lease us space on up to 20,000 communication towers. As part of the agreement, we will also receive certain fiber transport services and have the option to utilize Crown Castle for pre-construction services. During December 2020, we completed a successful field validation, utilizing our fully-virtualized standalone 5G core network and the industry’s first O-RAN compliant radio. We currently expect expenditures for our 5G Network Deployment to be approximately , excluding capitalized interest. Prior to starting our 5G Network Deployment, we notified the FCC in March 2017 that we planned to deploy a narrowband IoT network on certain of these wireless licenses, which we expected to complete by March 2020, with subsequent phases to be completed thereafter. In light of, among other things, certain developments related to the Sprint-T-Mobile merger, during the first quarter 2020, we determined that the revision of certain of our build-out deadlines was probable and, therefore, we no longer intended to complete our narrowband IoT deployment. The FCC issued an Order effectuating the build-out deadline changes contemplated above on September 11, 2020. During the first quarter 2020, we impaired certain assets that would not be utilized in our 5G Network Deployment, resulting in a $253 million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We will need to make significant additional investments or partner with others to, among other things, complete our 5G Network Deployment and further commercialize, build-out and integrate these licenses and related assets and any additional acquired licenses and related assets, as well as to comply with regulations applicable to such licenses. Depending on the nature and scope of such activities, any such investments or partnerships could vary significantly. In addition, we will incur significant additional expenses and will have to make significant investments related to, among other things, research and development, wireless testing and wireless network infrastructure. We may also determine that additional wireless spectrum licenses may be required to and to compete with other wireless service providers. For example, on September 22, 2020, we filed an application with the FCC to participate as a potential bidder in the wireless spectrum auction for the The auction commenced on December 8, 2020. The FCC determined that bidding in this auction will be “anonymous,” which means that prior to and during the course of the auction the FCC will not make public any information about a specific applicant’s upfront deposit or its bids. In addition, FCC rules restrict information that bidders may disclose about their participation in the auction. We may need to raise significant additional capital in the future to fund the efforts described above, which may not be available on acceptable terms or at all. There can be no assurance that we will be able to develop and implement a business model that will realize a return on these wireless spectrum licenses or that we will be able to profitably deploy the assets represented by these wireless spectrum licenses, which may affect the carrying amount of these assets and our future financial condition or results of operations. DISH Network Non-Controlling Investments in the Northstar Entities and the SNR Entities Related to AWS-3 Wireless Spectrum Licenses Non-Controlling Investments During 2015, through our wholly-owned subsidiaries American II and American III, we initially made over $10 billion in certain non-controlling investments in Northstar Spectrum, the parent company of Northstar Wireless, and in SNR HoldCo, the parent company of SNR Wireless, respectively. Under the applicable accounting guidance in ASC 810, Northstar Spectrum and SNR HoldCo are considered variable interest entities and, based on the characteristics of the structure of these entities and in accordance with the applicable accounting guidance, we consolidate these entities into our financial statements. See Note 2 for further information. Northstar Investment . As of 2015, through American II, we owned a non-controlling interest in Northstar Spectrum, which was comprised of of the Class A Preferred Interests of Northstar Spectrum. Northstar Manager is the sole manager of Northstar Spectrum and owns a controlling interest in Northstar Spectrum, which was comprised of of the Class B Common Interests of Northstar Spectrum. As of March 31, 2018, the total equity contributions from American II and Northstar Manager to Northstar Spectrum were approximately million, respectively. As of March 31, 2018, the total loans from American II to Northstar Wireless under the Northstar Credit Agreement (as defined below) for payments to the FCC related to the Northstar Licenses (as defined below) were approximately million. See below for further information. Northstar Purchase Agreement . On December 30, 2020, through our wholly-owned subsidiary American II, we entered into a Purchase Agreement (the “Northstar Purchase Agreement”) with Northstar Manager and Northstar Spectrum, pursuant to which American II purchased In the Northstar Purchase Agreement, Northstar Manager waived its right to exercise the Northstar Put Right under the First Northstar Put Window. Northstar Manager retains its right to exercise the Northstar Put Right during the Second Northstar Put Window. See below for further information. SNR Investment. As of 2015, through American III, we own a non-controlling interest in SNR HoldCo, which is comprised of of the Class A Preferred Interests of SNR HoldCo. SNR Management is the sole manager of SNR HoldCo and owns a controlling interest in SNR HoldCo, which is comprised of of the Class B Common Interests of SNR HoldCo. As of March 31, 2018, the total equity contributions from American III and SNR Management to SNR HoldCo were approximately million, respectively. As of March 31, 2018, the total loans from American III to SNR Wireless under the SNR Credit Agreement (as defined below) for payments to the FCC related to the SNR Licenses (as defined below) were approximately million. See below for further information. AWS-3 Auction Northstar Wireless and SNR Wireless each filed applications with the FCC to participate in Auction 97 (the “AWS-3 Auction”) for the purpose of acquiring certain AWS-3 Licenses. Each of Northstar Wireless and SNR Wireless applied to receive bidding credits of as designated entities under applicable FCC rules. Northstar Wireless was the winning bidder for AWS-3 Licenses with gross winning bid amounts totaling approximately billion. SNR Wireless was the winning bidder for AWS-3 Licenses with gross winning bid amounts totaling approximately billion. In addition to the net winning bids, SNR Wireless made a bid withdrawal payment of approximately FCC Order and October 2015 Arrangements. Memorandum Opinion and Order which billion for SNR Wireless). On November 23, 2020, the FCC released a Memorandum Opinion and Order on Remand, FCC 20-160, that found that Northstar Wireless and SNR Wireless are not eligible for bidding credits based on the FCC’s determination that they remain under DISH Network’s de facto Letters Exchanged between Northstar Wireless and the FCC Wireless Bureau. As outlined in letters exchanged between Northstar Wireless and the Wireless Telecommunications Bureau of the FCC (the “FCC Wireless Bureau”), Northstar Wireless paid the gross winning bid amounts for billion through the application of funds already on deposit with the FCC. Northstar Wireless also notified the FCC that it would not be paying the gross winning bid amounts for billion. As a result of the nonpayment of those gross winning bid amounts, the FCC retained those licenses and Northstar Wireless owed the FCC an additional interim payment of approximately billion. The Northstar Interim Payment was recorded as an expense during the fourth quarter 2015. Northstar Wireless immediately satisfied the Northstar Interim Payment through the application of funds already on deposit with the FCC and an additional loan from American II of approximately million. As a result, the FCC will not deem Northstar Wireless to be a “current defaulter” under applicable FCC rules. In addition, the FCC Wireless Bureau acknowledged that Northstar Wireless’ nonpayment of those gross winning bid amounts does not constitute action involving gross misconduct, misrepresentation or bad faith. Therefore, the FCC concluded that such nonpayment will not affect the eligibility of Northstar Wireless, its investors (including DISH Network) or their respective affiliates to participate in future spectrum auctions (including Auction 1000 and any re-auction of the AWS-3 licenses retained by the FCC). At this time, DISH Network (through itself, a subsidiary or another entity in which it may hold a direct or indirect interest) expects to participate in any re-auction of those AWS-3 licenses. If the winning bids from re-auction or other award of the AWS-3 licenses retained by the FCC are greater than or equal to the winning bids of Northstar Wireless, no additional amounts will be owed to the FCC. However, if those winning bids are less than the winning bids of Northstar Wireless, then Northstar Wireless will be responsible for the difference less any overpayment of the Northstar Interim Payment (which will be recalculated as of the winning bids from re-auction or other award) (the “Northstar Re-Auction Payment”). For example, if the winning bids in a re-auction are $1, the Northstar Re-Auction Payment would be approximately million overpayment of the Northstar Interim Payment. As discussed above, at this time, DISH Network (through itself, a subsidiary or another entity in which it may hold a direct or indirect interest) expects to participate in any re-auction. We cannot predict with any degree of certainty the timing or outcome of any re-auction or the amount of any Northstar Re-Auction Payment. DISH Network Guaranty in Favor of the FCC for Certain Northstar Wireless Obligations . On October 1, 2015, DISH Network entered into a guaranty in favor of the FCC (the “FCC Northstar Guaranty”) with respect to the Northstar Interim Payment (which was satisfied on October 1, 2015) and any Northstar Re-Auction Payment. The FCC Northstar Guaranty provides, among other things, that during the period between the due date for the payments guaranteed under the FCC Northstar Guaranty and the date such guaranteed payments are paid: (i) Northstar Wireless’ payment obligations to American II under the Northstar Credit Agreement will be subordinated to such guaranteed payments; and (ii) DISH Network or American II will withhold exercising certain rights as a creditor of Northstar Wireless. Letters Exchanged between SNR Wireless and the FCC Wireless Bureau. As outlined in letters exchanged between SNR Wireless and the FCC Wireless Bureau, SNR Wireless paid the gross winning bid amounts for million). SNR Wireless also notified the FCC that it would not be paying the gross winning bid amounts for As a result of the nonpayment of those gross winning bid amounts, the FCC retained those licenses and SNR Wireless owed the FCC an additional interim payment of approximately $182 million (the “SNR Interim Payment”), which is equal to 15% of $1.211 billion. The SNR Interim Payment was recorded as an expense during the fourth quarter 2015. SNR Wireless immediately satisfied the SNR Interim Payment through a portion of an additional loan from American III in an aggregate amount of approximately million. As a result, the FCC will not deem SNR Wireless to be a “current defaulter” under applicable FCC rules. In addition, the FCC Wireless Bureau acknowledged that SNR Wireless’ nonpayment of those gross winning bid amounts does not constitute action involving gross misconduct, misrepresentation or bad faith. Therefore, the FCC concluded that such nonpayment will not affect the eligibility of SNR Wireless, its investors (including DISH Network) or their respective affiliates to participate in future spectrum auctions (including Auction 1000 and any re-auction of the AWS-3 licenses retained by the FCC). At this time, DISH Network (through itself, a subsidiary or another entity in which it may hold a direct or indirect interest) expects to participate in any re-auction of those AWS-3 licenses. If the winning bids from re-auction or other award of the AWS-3 licenses retained by the FCC are greater than or equal to the winning bids of SNR Wireless, no additional amounts will be owed to the FCC. However, if those winning bids are less than the winning bids of SNR Wireless, then SNR Wireless will be responsible for the difference less any overpayment of the SNR Interim Payment (which will be recalculated as of the winning bids from re-auction or other award) (the “SNR Re-Auction Payment”). For example, if the winning bids in a re-auction are $1, the SNR Re-Auction Payment would be approximately million overpayment of the SNR Interim Payment. As discussed above, at this time, DISH Network (through itself, a subsidiary or another entity in which it may hold a direct or indirect interest) expects to participate in any re-auction. We cannot predict with any degree of certainty the timing or outcome of any re-auction or the amount of any SNR Re-Auction Payment. DISH Network Guaranty in Favor of the FCC for Certain SNR Wireless Obligations. On October 1, 2015, DISH Network entered into a guaranty in favor of the FCC (the “FCC SNR Guaranty”) with respect to the SNR Interim Payment (which was satisfied on October 1, 2015) and any SNR Re-Auction Payment. The FCC SNR Guaranty provides, among other things, that during the period between the due date for the payments guaranteed under the FCC SNR Guaranty and the date such guaranteed payments are paid: (i) SNR Wireless’ payment obligations to American III under the SNR Credit Agreement will be subordinated to such guaranteed payments; and (ii) DISH Network or American III will withhold exercising certain rights as a creditor of SNR Wireless. FCC Licenses. On October 27, 2015, the FCC granted the Northstar Licenses to Northstar Wireless and the SNR Licenses to SNR Wireless, respectively, which are recorded in “FCC authorizations” on our Consolidated Balance Sheets. The AWS-3 Licenses are subject to certain interim and final build-out requirements. By October 2021, Northstar Wireless and SNR Wireless must provide reliable signal coverage and offer service to at least 40% of the population in each area covered by an individual AWS-3 License (the “AWS-3 Interim Build-Out Requirement”). By October 2027, Northstar Wireless and SNR Wireless must provide reliable signal coverage and offer service to at least 75% of the population in each area covered by an individual AWS-3 License (the “AWS-3 Final Build-Out Requirement”). If the AWS-3 Interim Build-Out Requirement is not met, the AWS-3 License term and the AWS-3 Final Build-Out Requirement may be accelerated by two years (from October 2027 to October 2025) for each AWS-3 License area in which Northstar Wireless and SNR Wireless do not meet the requirement. If the AWS-3 Final Build-Out Requirement is not met, the authorization for each AWS-3 License area in which Northstar Wireless and SNR Wireless do not meet the requirement may terminate. These wireless spectrum licenses expire in October 2027 unless they are renewed by the FCC. There can be no assurances that the FCC will renew these wireless spectrum licenses. Qui Tam . On September 23, 2016, the United States District Court for the District of Columbia unsealed a qui tam complaint that was filed by Vermont National Telephone Company (“Vermont National”) against us; our wholly-owned subsidiaries, American AWS-3 Wireless I L.L.C., American II, American III, and DISH Wireless Holding L.L.C.; Charles W. Ergen (our Chairman) and Cantey M. Ergen (a member of our board of directors); Northstar Wireless; Northstar Spectrum; Northstar Manager; SNR Wireless; SNR HoldCo; SNR Management; and certain other parties. See “ Contingencies – Litigation – Vermont National Telephone Company” D.C. Circuit Court Opinion . On August 29, 2017, the United States Court of Appeals for the District of Columbia Circuit (the “D.C. Circuit”) in SNR Wireless LicenseCo, LLC, et al. v. Federal Communications Commission , 868 F.3d 1021 (D.C. Cir. 2017) (the “Appellate Decision”) affirmed the Order in part, and remanded the matter to the FCC to give Northstar Wireless and SNR Wireless an opportunity to seek to negotiate a cure of the issues identified by the FCC in the Order (a “Cure”). On January 26, 2018, SNR Wireless and Northstar Wireless filed a petition for a writ of certiorari, asking the United States Supreme Court to hear an appeal from the Appellate Decision, which the United States Supreme Court denied on June 25, 2018. Order on Remand. On January 24, 2018, the FCC released an Order on Remand, DA 18-70 (the “Order on Remand”) purporting to establish a procedure to afford Northstar Wireless and SNR Wireless the opportunity to implement a Cure pursuant to the Appellate Decision. The Order on Remand provided that Northstar Wireless and SNR Wireless each had until April 24, 2018 to file the necessary documentation to demonstrate that, in light of such changes, each of Northstar Wireless and SNR Wireless qualifies for the very small business bidding credit that it sought in the AWS-3 Auction. Additionally, the Order on Remand provides that if either Northstar Wireless or SNR Wireless needs additional time to negotiate new or amended agreements, it may request to extend the deadline for such negotiations for an additional 45 days (extending the deadline to June 8, 2018). On April 16, 2018, the FCC approved Northstar Wireless’ and SNR Wireless’ requests to extend the deadline for such negotiations for an additional 45 days to June 8, 2018. On June 8, 2018, Northstar Wireless and SNR Wireless each filed amended agreements to demonstrate that, in light of such changes, each of Northstar Wireless and SNR Wireless qualifies for the very small business bidding credit that it sought in the AWS-3 Auction. The Order on Remand also provided, among other things, until July 23, 2018 for certain third-parties to file comments about any changes to the agreements proposed by Northstar Wireless and SNR Wireless and several third-parties filed comments (with one opposition). On October 22, 2018, Northstar Wireless and SNR Wireless filed a response to the third-party comments. Northstar Wireless and SNR Wireless filed a Joint Application for Review of the Order on Remand requesting, among other things, an iterative negotiation process with the FCC regarding a Cure, which was denied on July 12, 2018. Northstar Operative Agreements Northstar LLC Agreement. Northstar Spectrum is governed by a limited liability company agreement by and between American II and Northstar Manager (the “Northstar Spectrum LLC Agreement”). Pursuant to the Northstar Spectrum LLC Agreement, American II and Northstar Manager made pro-rata equity contributions in Northstar Spectrum. On March 31, 2018, American II, Northstar Spectrum, and Northstar Manager amended and restated the Northstar Spectrum LLC Agreement, to, among other things: (i) exchange On June 7, 2018, American II, Northstar Spectrum, and Northstar Manager amended and restated the Second Amended and Restated Limited Liability Company Agreement, dated March 31, 2018, by and among American II, Northstar Spectrum, and Northstar Manager, to, among other things: (i) reduce the mandatory quarterly distribution for the Northstar Preferred Interests from 12 percent to eight percent from and after June 7, 2018; (ii) increase the window for Northstar Manager to “put” its interest in Northstar Spectrum to Northstar Spectrum after October 27, 2020 from 30 days to 90 days ; (iii) provide an additional 90 -day window for Northstar Manager to put its interest in Northstar Spectrum to Northstar Spectrum commencing on October 27, 2021; (iv) provide a right for Northstar Manager to require an appraisal of the fair market value of its interest in Northstar Spectrum at any time from October 27, 2022 through October 27, 2024, coupled with American II having the right to accept the offer to sell from Northstar Manager; (v) allow Northstar Manager to sell its interest in Northstar Spectrum without American II’s consent any time after October 27, 2020 (previously October 27, 2025); (vi) allow Northstar Spectrum to conduct an initial public offering without American II’s consent any time after October 27, 2022 (previously October 27, 2029); (vii) remove American II’s rights of first refusal with respect to Northstar Manager’s sale of its interest in Northstar Spectrum or Northstar Spectrum’s sale of any AWS-3 Licenses; and (viii) remove American II’s tag along rights with respect to Northstar Manager’s sale of its interest in Northstar Spectrum. Northstar Manager had the right to put its interest in Northstar Spectrum to Northstar Spectrum for a 90 -day period beginning October 27, 2020, which Northstar Manager waived in connection with the Northstar Purchase Agreement. Northstar Wireless Credit Agreement. On October 1, 2015, American II, Northstar Wireless and Northstar Spectrum amended the First Amended and Restated Credit Agreement dated October 13, 2014, by and among American II, as Lender, Northstar Wireless, as Borrower, and Northstar Spectrum, as Guarantor (as amended, the “Northstar Credit Agreement”), to provide, among other things, that: (i) the Northstar Interim Payment and any Northstar Re-Auction Payment will be made by American II directly to the FCC and will be deemed as loans under the Northstar Credit Agreement; (ii) the FCC is a third-party beneficiary with respect to American II’s obligation to pay the Northstar Interim Payment and any Northstar Re-Auction Payment; (iii) in the event that the winning bids from re-auction or other award of the AWS-3 licenses retained by the FCC are less than the winning bids of Northstar Wireless, the purchaser, assignee or transferee of any AWS-3 Licenses from Northstar Wireless is obligated to pay its pro-rata share of the difference (and Northstar Wireless remains jointly and severally liable for such pro-rata share); and (iv) during the period between the due date for the payments guaranteed under the FCC Northstar Guaranty (as discussed below) and the date such guaranteed payments are paid, Northstar Wireless’ payment obligations to American II under the Northstar Credit Agreement will be subordinated to such guaranteed payments. On March 31, 2018, American II, Northstar Wireless, and Northstar Spectrum amended and restated the Northstar Credit Agreement, to, among other things: (i) lower the interest rate on the remaining $500 million principal balance under the Northstar Credit Agreement from 12 percent per annum to six percent per annum; (ii) eliminate the higher interest rate that would apply in the case of an event of default; and (iii) modify and/or remove certain obligations of Northstar Wireless to prepay the outstanding loan amounts. On June 7, 2018, American II, Northstar Wireless, and Northstar Spectrum amended and restated the Northstar Credit Agreement to, among other things: (i) extend the maturity date on the remaining loan balance from seven years to ten years ; and (ii) remove the obligation of Northstar Wireless to obtain American II’s consent for unsecured financing and equipment financing in excess of $25 million. SNR Operative Agreements SNR LLC Agreement . SNR HoldCo is governed by a limited liability company agreement by and between American III and SNR Management (the “SNR HoldCo LLC Agreement”). Pursuant to the SNR HoldCo LLC Agreement, American III and SNR Management made pro-rata equity contributions in SNR HoldCo. On March 31, 2018, American III, SNR Holdco, SNR Wireless Management, and John Muleta amended and restated the SNR HoldCo LLC Agreement, to, among other things: (i) exchange $5.065 billion of the amounts outstanding and owed by SNR Wireless to American III pursuant to the SNR Credit Agreement (as defined below) for 5,065,415 Class A Preferred Interests in SNR Holdco (the “SNR Preferred Interests”); (ii) replace the existing investor protection provisions with the investor protections described by the FCC in Baker Creek Communications, LLC, Memorandum Opinion and Order, 13 FCC Rcd 18709, 18715 (1998); (iii) delete the obligation of SNR Management to consult with American III regarding budgets and business plans; and (iv) remove the requirement that SNR Management’s systems be interoperable with ours. The SNR Preferred Interests: (a) are non-voting; (b) have a 12 percent mandatory quarterly distribution, which can be paid in cash or add |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting | |
Segment Reporting | 17. Segment Reporting Operating segments are components of an enterprise for which separate financial information is available and regularly evaluated by the chief operating decision maker(s) of an enterprise. Operating income is the primary measure used by our chief operating decision maker to evaluate segment operating performance. We currently operate primary business segments: (1) Pay-TV; and (2) Wireless. See Note 1 for further information. All other and eliminations primarily include intersegment eliminations related to intercompany debt and the related interest income and interest expense, which are eliminated in consolidation. The total assets, revenue and operating income by segment were as follows: As of December 31, 2020 2019 (In thousands) Total assets: Pay-TV $ 36,251,281 $ 31,531,612 Wireless 29,921,237 25,686,381 Eliminations (27,932,571) (23,987,058) Total assets $ 38,239,947 $ 33,230,935 All Other & Consolidated Pay-TV Wireless Eliminations Total (In thousands) Year Ended December 31, 2020 Total revenue $ 12,897,413 $ 2,599,842 $ (3,820) $ 15,493,435 Depreciation and amortization 613,926 100,626 — 714,552 Operating income (loss) 2,903,183 (320,568) — 2,582,615 Interest income 1,676,953 4 (1,654,223) 22,734 Interest expense, net of amounts capitalized (922,876) (744,321) 1,654,223 (12,974) Other, net 2,020 (22,184) — (20,164) Income tax (provision) benefit, net (836,296) 138,021 — (698,275) Net income (loss) 2,822,984 (949,048) — 1,873,936 Year Ended December 31, 2019 Total revenue $ 12,810,248 $ 1,673 $ (4,237) $ 12,807,684 Depreciation and amortization 621,810 8,767 — 630,577 Operating income (loss) 1,961,700 (82,824) — 1,878,876 Interest income 1,588,023 — (1,510,809) 77,214 Interest expense, net of amounts capitalized (988,295) (546,201) 1,510,809 (23,687) Other, net 10,940 584 — 11,524 Income tax (provision) benefit, net (615,664) 164,306 — (451,358) Net income (loss) 1,956,705 (464,136) — 1,492,569 Year Ended December 31, 2018 Total revenue $ 13,621,198 $ 580 $ (476) $ 13,621,302 Depreciation and amortization 698,336 13,688 — 712,024 Operating income (loss) 2,187,675 (40,054) — 2,147,621 Interest income 1,495,371 — (1,450,612) 44,759 Interest expense, net of amounts capitalized (1,013,062) (452,556) 1,450,612 (15,006) Other, net 8,957 2,844 — 11,801 Income tax (provision) benefit, net (650,858) 117,174 — (533,684) Net income (loss) 2,028,083 (372,592) — 1,655,491 Geographic Information. Revenue is attributed to geographic regions based upon the location where the goods and services are provided. All service revenue was derived from the United States. Substantially all of our long-lived assets reside in the United States. The following table summarizes revenue by geographic region: For the Years Ended December 31, Revenue: 2020 2019 2018 (In thousands) United States $ 15,442,371 $ 12,759,909 $ 13,578,254 Canada and Mexico 51,064 47,775 43,048 Total revenue $ 15,493,435 $ 12,807,684 $ 13,621,302 The revenue from external customers disaggregated by major revenue source was as follows: For the Years Ended December 31, Category: 2020 2019 2018 (In thousands) Pay-TV subscriber and related revenue $ 12,702,345 $ 12,616,442 $ 13,456,088 Wireless services and related revenue 2,143,703 — — Pay-TV equipment sales and other revenue 195,068 193,806 165,110 Wireless equipment sales and other revenue 456,139 1,673 580 Eliminations (3,820) (4,237) (476) Total $ 15,493,435 $ 12,807,684 $ 13,621,302 |
Contract Balances
Contract Balances | 12 Months Ended |
Dec. 31, 2020 | |
Contract Balances | |
Contract Balances | 18. Contract Balances Our valuation and qualifying accounts as of December 31, 2020, 2019 and 2018 were as follows: Allowance for credit losses Balance at Current Period Provision for Expected Credit Losses Write-offs Charged Against Allowance Balance at (In thousands) For the years ended: December 31, 2020 $ 19,280 $ 84,697 $ (31,699) $ 72,278 December 31, 2019 $ 16,966 $ 69,866 $ (67,552) $ 19,280 December 31, 2018 $ 15,511 $ 98,575 $ (97,120) $ 16,966 Deferred revenue related to contracts with our customers is recorded in “Deferred revenue and other” and “Long-term deferred revenue and other long-term liabilities” on our Consolidated Balance Sheets. Changes in deferred revenue related to contracts with our customers were as follows: Contract Liabilities (In thousands) Balance as of December 31, 2019 $ 613,272 Recognition of unearned revenue (9,622,625) Deferral of revenue 9,788,185 Balance as of December 31, 2020 $ 778,832 We apply a practical expedient and do not disclose the value of the remaining performance obligations for contracts that are less than one year in duration, which represent a substantial majority of our revenue. As such, the amount of revenue related to unsatisfied performance obligations is not necessarily indicative of our future revenue. |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Data (Unaudited) | |
Quarterly Financial Data (Unaudited) | 19. Quarterly Financial Data (Unaudited) Our quarterly results of operations are summarized as follows: For the Three Months Ended March 31 June 30 September 30 December 31 (In thousands, except per share data) Year ended December 31, 2020: Total revenue $ 3,217,389 $ 3,187,090 $ 4,531,591 $ 4,557,365 Operating income (loss) 144,078 637,650 811,248 989,639 Net income (loss) 99,274 480,406 532,959 761,297 Net income (loss) attributable to DISH Network 73,099 452,343 504,599 732,632 Basic net income (loss) per share attributable to DISH Network $ 0.14 $ 0.86 $ 0.96 $ 1.39 Diluted net income (loss) per share attributable to DISH Network $ 0.13 $ 0.78 $ 0.86 $ 1.24 Year ended December 31, 2019: Total revenue $ 3,187,144 $ 3,211,312 $ 3,168,363 $ 3,240,865 Operating income (loss) 456,300 430,732 468,892 522,952 Net income (loss) 361,299 340,566 377,157 413,547 Net income (loss) attributable to DISH Network 339,761 317,043 353,304 389,404 Basic net income (loss) per share attributable to DISH Network $ 0.73 $ 0.68 $ 0.74 $ 0.77 Diluted net income (loss) per share attributable to DISH Network $ 0.65 $ 0.60 $ 0.66 $ 0.69 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions | |
Related Party Transactions | 20. Related Party Transactions Master Transaction Agreement On May 19, 2019, we entered into the Master Transaction Agreement with EchoStar. Pursuant to the Master Transaction Agreement, among other things: (i) EchoStar carried out an internal reorganization in which certain assets and liabilities of the EchoStar Satellite Services segment, the business segment of EchoStar that provides broadcast satellite operations and satellite services, as well as certain related licenses, real estate properties and employees (together, the “BSS Business”) were transferred to Newco (the “Pre-Closing Restructuring”); (ii) EchoStar distributed all outstanding shares of common stock, par value per share, of EchoStar; and (iii) upon the consummation of the Pre-Closing Restructuring and the Distribution, Merger Sub merged with and into Newco (the “Merger”) such that, upon consummation of the Merger, Merger Sub ceased to exist and Newco continued as our wholly-owned subsidiary. Effective September 10, 2019, pursuant to the terms and subject to the conditions set forth in the Master Transaction Agreement, in consideration for the Merger, we issued 22,937,188 shares of our Class A common stock to the holders of Newco Common Stock at a ratio of 0.23523769 of our Class A common stock for each outstanding share of Newco Common Stock. The transaction was structured as a tax-free spin-off and merger. In addition, as the result of the Merger, we, EchoStar and, as relevant, certain of our or their respective subsidiaries, entered into ancillary agreements involving tax, employment and intellectual property matters, which set forth certain rights and obligations of us and EchoStar and our and their respective subsidiaries related to the Merger with respect to, among other things: (i) the payment of tax liability refunds, and the filing of tax returns related to Newco and the BSS Business; (ii) the allocation of employment-related assets and liabilities between us and EchoStar; (iii) certain employee compensation, equity awards, benefit plans, programs and arrangements relating to employees who are expected to be transferred to us pursuant to the Merger; (iv) a cross-license between us and EchoStar for certain intellectual property either transferred to us as part of the Merger or retained by EchoStar that is also used in the BSS Business; and (v) the provision of certain telemetry, tracking and control services by us and our subsidiaries to EchoStar and its subsidiaries. The description of the Master Transaction Agreement in this section is qualified in its entirety by reference to the complete text of the Master Transaction Agreement, a copy of which is filed as Exhibit 2.1 to our Quarterly Report on Form 10-Q for the quarter ended June 30, 2019. The Merger was accounted for as an asset purchase, as substantially all of the fair value of the gross assets acquired was concentrated in a group of similar identifiable assets. As the Merger was between entities that were under common control, we recorded the assets and liabilities received under the Merger at EchoStar’s historical cost basis, with the offsetting amount recorded in “Additional paid-in capital” on our Consolidated Balance Sheets. A significant portion of the assets received under the Merger were historically leased to us by EchoStar. As these assets and the related liabilities have been transferred to us pursuant to the Master Transaction Agreement, they are no longer be included in “Operating lease assets,” “Other current liabilities” and “Operating lease liabilities,” but rather in “Property and equipment, net” on our Consolidated Balance Sheets. Spin-off from EchoStar Following the Spin-off, we and EchoStar have operated as separate publicly-traded companies and neither entity has any ownership interest in the other. However, a substantial majority of the voting power of the shares of both companies is owned beneficially by Charles W. Ergen, our Chairman, and by certain entities established by Mr. Ergen for the benefit of his family. Related Party Transactions with EchoStar In connection with and following the Spin-off, we and EchoStar have entered into certain agreements pursuant to which we obtain certain products, services and rights from EchoStar, EchoStar obtains certain products, services and rights from us, and we and EchoStar have indemnified each other against certain liabilities arising from our respective businesses. Pursuant to the Share Exchange Agreement, among other things, EchoStar transferred to us certain assets and liabilities of the EchoStar technologies and EchoStar broadcasting businesses. Pursuant to the Master Transaction Agreement, among other things, EchoStar transferred to us certain assets and liabilities of its EchoStar Satellite Services segment. In connection with the Share Exchange and the Master Transaction Agreement, we and EchoStar and certain of their subsidiaries entered into certain agreements covering, among other things, tax matters, employee matters, intellectual property matters and the provision of transitional services. In addition, certain agreements that we had with EchoStar have terminated, and we entered into certain new agreements with EchoStar. We also may enter into additional agreements with EchoStar in the future. The following is a summary of the terms of our principal agreements with EchoStar that may have an impact on our financial condition and results of operations. “Trade accounts receivable” As of December 31, 2020 and 2019, trade accounts receivable from EchoStar was $1 million and $1 million, respectively. These amounts are recorded in “Trade accounts receivable” on our Consolidated Balance Sheets. “Trade accounts payable” As of December 31, 2020 and 2019, trade accounts payable to EchoStar was $6 million and $10 million, respectively. These amounts are recorded in “Trade accounts payable” on our Consolidated Balance Sheets. “Equipment sales and other revenue” During the years ended December 31, 2020, 2019 and 2018, we received $8 million, $6 million and $8 million, respectively, for services provided to EchoStar. These amounts are recorded in “Equipment sales and other revenue” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The agreements pertaining to these revenues are discussed below. Real Estate Lease Agreements. We have entered into lease agreements pursuant to which we lease certain real estate to EchoStar. The rent on a per square foot basis for each of the leases is comparable to per square foot rental rates of similar commercial property in the same geographic areas, and EchoStar is responsible for its portion of the taxes, insurance, utilities and maintenance of the premises. The term of each lease is set forth below: ● El Paso Lease Agreement. During 2012, we began leasing certain space at 1285 Joe Battle Blvd., El Paso, Texas to EchoStar for an initial period ending on August 1, 2015, which also provides EchoStar with renewal options for four consecutive three-year terms. During the second quarter 2015, EchoStar exercised its first renewal option for a period ending on August 1, 2018 and in April 2018 EchoStar exercised its second renewal option for a period ending in August 2021. ● 90 Inverness Lease Agreement . In connection with the completion of the Share Exchange, effective March 1, 2017, EchoStar leases certain space from us at 90 Inverness Circle East, Englewood, Colorado for a period ending in February 2022. EchoStar has the option to renew this lease for four three-year periods. ● Cheyenne Lease Agreement . In connection with the completion of the Share Exchange, effective March 1, 2017, EchoStar began leasing certain space from us at 530 EchoStar Drive, Cheyenne, Wyoming for a period ending in February 2019. In August 2018, EchoStar exercised its option to renew this lease for a one-year period ending in February 2020. EchoStar has the option to renew this lease for 12 one-year periods. In connection with the Master Transaction Agreement, we and EchoStar amended this lease to provide EchoStar with certain space for a period ending in September 2021, with the option for EchoStar to renew for a one-year period upon 180 days ’ written notice prior to the end of the term. ● Gilbert Lease Agreement . In connection with the completion of the Share Exchange, effective March 1, 2017, EchoStar leased certain space from us at 801 N. DISH Dr., Gilbert, Arizona for a period ending in March 2019. EchoStar exercised its option to renew this lease for a one-year period ending in February 2020. This lease was terminated effective September 10, 2019. ● American Fork Occupancy License Agreement. In connection with the completion of the Share Exchange, effective March 1, 2017, we acquired the lease for certain space at 796 East Utah Valley Drive, American Fork, Utah, and we began subleasing certain space at this location to EchoStar for a period ending in August 2017. In June 2017, EchoStar exercised its five-year renewal option for a period ending in August 2022. This lease was terminated effective March 2019. Collocation and Antenna Space Agreements . In connection with the completion of the Share Exchange, effective March 1, 2017, we entered into certain agreements pursuant to which we provide certain collocation and antenna space to HNS through February 2022 at the following locations: Cheyenne, Wyoming; Gilbert, Arizona; New Braunfels, Texas; Monee, Illinois; Englewood, Colorado; and Spokane, Washington. During August 2017, we entered into certain other agreements pursuant to which we provide certain collocation and antenna space to HNS through August 2022 at the following locations: Monee, Illinois and Spokane, Washington. HNS has the option to renew each of these agreements for four three-year periods. HNS may terminate certain of these agreements with 180 days ’ prior written notice to us at the following locations: New Braunfels, Texas; Englewood, Colorado; and Spokane, Washington. In September 2019, in connection with the Master Transaction Agreement, we entered into an agreement pursuant to which we provide HNS with certain additional collocation space in Cheyenne, Wyoming for a period ending in September 2020, with the option for HNS to renew for a one-year period, with prior written notice no more than 120 days but no less than 90 days prior to the end of the term. In October 2019, HNS provided a termination notice for its New Braunfels, Texas agreement to be effective May 2020. The fees for the services provided under these agreements depend, among other things, on the number of racks leased and/or antennas present at the location. Also in connection with the Master Transaction Agreement, in September 2019, we entered into an agreement pursuant to which we provide HNS with antenna space and power in Cheyenne, Wyoming for a period of five years commencing no later than October 2020, with four three-year renewal terms, with prior written notice no more than 120 days but no less than 90 days prior to the end of the then-current term. TT&C Agreement – Master Transaction Agreement . In September 2019, in connection with the Master Transaction Agreement, we entered into an agreement pursuant to which we provide TT&C services to EchoStar for a period ending in September 2021, with the option for EchoStar to renew for a one-year period upon written notice at least 90 days prior to the initial expiration (the “MTA TT&C Agreement”). The fees for services provided under the MTA TT&C Agreement are calculated at either: (i) a fixed fee or (ii) cost plus a fixed margin, which will vary depending on the nature of the services provided. Either party is able to terminate the MTA TT&C Agreement for any reason upon 12 months ’ notice. “Cost of services” During the years ended December 31, 2020, 2019 and 2018, we incurred $20 million, $197 million and $357 million, respectively, of costs for services provided to us by EchoStar. EchoStar was the supplier of the vast majority of our transponder capacity. On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, certain satellites were transferred to us (see below). See above for further information on the Master Transaction Agreement. These amounts are recorded in “Cost of services” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The agreements pertaining to these expenses are discussed below. Hughes Broadband Distribution Agreement . Effective October 1, 2012, dishNET Satellite Broadband L.L.C. (“dishNET Satellite Broadband”), our indirect wholly-owned subsidiary, and HNS entered into a Distribution Agreement (the “Distribution Agreement”) pursuant to which dishNET Satellite Broadband has the right, but not the obligation, to market, sell and distribute the HNS satellite Internet service (the “Service”). dishNET Satellite Broadband pays HNS a monthly per subscriber wholesale service fee for the Service based upon the subscriber’s service level, and, beginning January 1, 2014, certain volume subscription thresholds. The Distribution Agreement also provides that dishNET Satellite Broadband has the right, but not the obligation, to purchase certain broadband equipment from HNS to support the sale of the Service. On February 20, 2014, dishNET Satellite Broadband and HNS amended the Distribution Agreement which, among other things, extended the initial term of the Distribution Agreement through March 1, 2024. Thereafter, the Distribution Agreement automatically renews for successive one year terms unless either party gives written notice of its intent not to renew to the other party at least 180 days before the expiration of the then-current term. Upon expiration or termination of the Distribution Agreement, the parties will continue to provide the Service to the then-current dishNET subscribers pursuant to the terms and conditions of the Distribution Agreement. During the first quarter 2017, we transitioned our wholesale arrangement with Hughes under the Distribution Agreement to an authorized representative arrangement and entered into the MSA with HNS. See “ Hughes Broadband Master Services Agreement” Satellite Capacity Leased from EchoStar. We have entered into certain satellite capacity agreements pursuant to which we lease certain capacity on certain satellites owned or leased by EchoStar. The fees for the services provided under these satellite capacity agreements depend, among other things, upon the orbital location of the applicable satellite, the number of transponders that are leased on the applicable satellite and the length of the lease. See “Pay-TV Satellites” in Note 9 for further information. The term of each lease is set forth below: ● EchoStar VII, X, XI and XIV. On March 1, 2014, we began leasing all available capacity from EchoStar on the EchoStar VII, X, XI and XIV satellites. The term of each satellite capacity agreement generally terminated upon the earlier of: (i) the end-of-life of the satellite; (ii) the date the satellite fails; or (iii) a certain date, which depends upon, among other things, the estimated useful life of the satellite. We generally had the option to renew each satellite capacity agreement on a year-to-year basis through the end of the respective satellite’s life. The satellite capacity agreement for EchoStar VII expired on June 30, 2018. On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, these satellites were transferred to us. See above for further information on the Master Transaction Agreement. ● EchoStar IX. We lease certain satellite capacity from EchoStar on EchoStar IX. Subject to availability, we generally have the right to continue to lease satellite capacity from EchoStar on EchoStar IX on a month-to-month basis. ● EchoStar XVI. In December 2009, we entered into a transponder service agreement with EchoStar to lease all of the capacity on EchoStar XVI, a DBS satellite, after its service commencement date. EchoStar XVI was launched in November 2012. Effective December 21, 2012, we and EchoStar amended the transponder service agreement to, among other things, change the initial term to generally expire upon the earlier of: (i) the end-of-life or replacement of the satellite; (ii) the date the satellite fails; (iii) the date the transponder(s) on which service is being provided under the agreement fails; or (iv) four years following the actual service commencement date. In July 2016, we and EchoStar amended the transponder service agreement to, among other things, extend the initial term by one additional year and to reduce the term of the first renewal option by one year . Prior to expiration of the initial term, we had the option to renew for an additional five-year period. In May 2017, we exercised our first renewal option for an additional five-year period ending in January 2023. We also had the option to renew for an additional five-year period prior to expiration of the first renewal period in January 2023. During 2018, we and EchoStar further amended the agreement to, among other things, allow us to place and use certain satellites at the 61.5 degree orbital location. On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, this satellite was transferred to us. See above for further information on the Master Transaction Agreement. Nimiq 5 Agreement . During 2009, EchoStar entered into a fifteen-year satellite service agreement with Telesat Canada (“Telesat”) to receive service on all 32 DBS transponders on the Nimiq 5 satellite at the 72.7 degree orbital location (the “Telesat Transponder Agreement”). During 2009, EchoStar also entered into a satellite service agreement (the “DISH Nimiq 5 Agreement”) with us, pursuant to which we received service from EchoStar on all 32 of the DBS transponders covered by the Telesat Transponder Agreement. Under the terms of the DISH Nimiq 5 Agreement, we made certain monthly payments to EchoStar that commenced in 2009 when the Nimiq 5 satellite was placed into service and continued through the service term, which expired ten years following the date the Nimiq 5 satellite was placed into service. Upon expiration of the initial term, we had the option to renew on a year-to-year basis through the end-of-life of the Nimiq 5 satellite. On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, the Telesat Transponder Agreement was transferred to us. In September 2019, we and EchoStar entered into an agreement whereby we compensate EchoStar for retaining certain obligations to Telesat related to our performance under the Telesat Transponder Agreement. See above for further information on the Master Transaction Agreement. QuetzSat-1 Lease Agreement. During 2008, EchoStar entered into a ten-year satellite service agreement with SES Latin America S.A. (“SES”), which provided, among other things, for the provision by SES to EchoStar of service on 32 DBS transponders on the QuetzSat-1 satellite (“SES Transponder Agreement”). During 2008, EchoStar also entered into a transponder service agreement (“QuetzSat-1 Transponder Agreement”) with us pursuant to which we received service from EchoStar on 24 DBS transponders. QuetzSat-1 was launched on September 29, 2011 and was placed into service during the fourth quarter 2011 at the 67.1 degree orbital location. In January 2013, QuetzSat-1 was moved to the 77 degree orbital location and we commenced commercial operations at that location in February 2013. During the first quarter 2013, we and EchoStar entered into an agreement pursuant to which we subleased five DBS transponders back to EchoStar. Unless earlier terminated under the terms and conditions of the SES Transponder Agreement and QuetzSat-1 Transponder Agreement, the initial service term will expire in November 2021. Upon expiration of the initial term, we have the option to renew the SES Transponder Agreement on a year-to-year basis through the end-of-life of the QuetzSat-1 satellite. There can be no assurance that any options to renew the SES Transponder Agreement will be exercised. On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, the SES Transponder Agreement was transferred to us. See above for further information on the Master Transaction Agreement. 103 Degree Orbital Location/SES-3. In May 2012, EchoStar entered into a spectrum development agreement (the “103 Spectrum Development Agreement”) with Ciel Satellite Holdings Inc. (“Ciel”) to develop certain spectrum rights at the 103 degree orbital location (the “103 Spectrum Rights”). In June 2013, we and EchoStar entered into a spectrum development agreement (the “DISH 103 Spectrum Development Agreement”) pursuant to which we may use and develop the 103 Spectrum Rights. Both the 103 Spectrum Development Agreement and were terminated on March 31, 2018. In connection with the 103 Spectrum Development Agreement, in May 2012, EchoStar also entered into a ten-year service agreement with Ciel pursuant to which EchoStar leases certain satellite capacity from Ciel on the SES-3 satellite at the 103 degree orbital location (the “103 Service Agreement”). In June 2013, we and EchoStar entered into an agreement pursuant to which we leased certain satellite capacity from EchoStar on the SES-3 satellite (the “DISH 103 Service Agreement”). Under the terms of the DISH 103 Service Agreement, we made certain monthly payments to EchoStar through the service term. Both the 103 Service Agreement and DISH 103 Service Agreement were terminated on March 31, 2018. TT&C Agreement. Effective January 1, 2012, we entered into a TT&C agreement pursuant to which we received TT&C services from EchoStar for certain satellites (the “TT&C Agreement”). In February 2018, we amended the TT&C Agreement to, among other things, extend the term for one-year with four automatic one-year renewal periods. The fees for services provided under the TT&C Agreement were calculated at either: (i) a fixed fee; or (ii) cost plus a fixed margin, which will vary depending on the nature of the services provided. We and EchoStar were able to terminate the TT&C Agreement for any reason upon 12 months’ notice. On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, the assets and employees that provide these services were transferred to us. See above for further information on the Master Transaction Agreement. “Cost of sales – equipment and other” During the year ended December 31, 2020 and 2019, we incurred $5 million and $6 million, respectively, for satellite hosting, operations and maintenance services as well as transmission of certain data. These amounts are recorded in “Cost of sales – equipment and other” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The agreements pertaining to these expenses are discussed below. DBSD North America Agreement. On March 9, 2012, we completed the DBSD Transaction. During the second quarter 2011, EchoStar acquired Hughes. Prior to our acquisition of DBSD North America and EchoStar’s acquisition of Hughes, DBSD North America and HNS entered into an agreement pursuant to which HNS provides, among other things, hosting, operations and maintenance services for DBSD North America’s satellite gateway and associated ground infrastructure. This agreement generally may be terminated by us at any time for convenience. TerreStar Agreement . On March 9, 2012, we completed the TerreStar Transaction. Prior to our acquisition of substantially all the assets of TerreStar and EchoStar’s acquisition of Hughes, TerreStar and HNS entered into various agreements pursuant to which HNS provides, among other things, hosting, operations and maintenance services for TerreStar’s satellite gateway and associated ground infrastructure. These agreements generally may be terminated by us at any time for convenience. Hughes Equipment and Services Agreement. In February 2019, we and HNS entered into an agreement pursuant to which HNS will provide us with HughesNet Service and HughesNet equipment for the transmission of certain data related to our 5G Network Deployment. This agreement has an initial term of five years with automatic renewal for successive one-year terms unless terminated by DISH Network with at least 180 days’ written notice to HNS or by HNS with at least 365 days’ written notice to DISH Network. “Selling, general and administrative expenses” During the years ended December 31, 2020, 2019 and 2018, we incurred $13 million, $20 million and $21 million, respectively, for selling, general and administrative expenses for services provided to us by EchoStar. These amounts are recorded in “Selling, general and administrative expenses” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The agreements pertaining to these expenses are discussed below. Real Estate Lease Agreements. We have entered into lease agreements pursuant to which we lease certain real estate from EchoStar. The rent on a per square foot basis for each of the leases is comparable to per square foot rental rates of similar commercial property in the same geographic area, and we are responsible for our portion of the taxes, insurance, utilities and maintenance of the premises. The term of each lease is set forth below: ● Meridian Lease Agreement. The lease for all of 9601 S. Meridian Blvd. in Englewood, Colorado was for a period ending on December 31, 2019. In December 2020, we and EchoStar amended this lease to, among other things, extend the term thereof for one additional year until December 31, 2021. ● Santa Fe Lease Agreement. The lease for all of 5701 S. Santa Fe Dr. in Littleton, Colorado was for a period ending on December 31, 2018. In December 2018, we and EchoStar amended this lease to, among other things, extend the term thereof for one additional year until December 31, 2019. On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, this real estate was transferred to us. See above for further information on the Master Transaction Agreement. ● Cheyenne Lease Agreement. The lease for certain space at 530 EchoStar Drive in Cheyenne, Wyoming is for a period ending on December 31, 2031. In connection with the completion of the Share Exchange, EchoStar transferred ownership of a portion of this property to us, and, effective March 1, 2017, we and EchoStar amended this lease agreement to (i) terminate the lease of certain space at the portion of the property that was transferred to us and (ii) provide for the continued lease to us of certain space at the portion of the property that EchoStar retained. On May 19, 2019, we entered into a Master Transaction Agreement pursuant to which, on September 10, 2019, this real estate was transferred to us. See above for further information on the Master Transaction Agreement. ● 100 Inverness Lease Agreement . In connection with the completion of the Share Exchange, effective March 1, 2017, we lease certain space from EchoStar at 100 Inverness Terrace East, Englewood, Colorado for a period ending in December 2021. This agreement may be terminated by either party upon 180 days ’ prior notice. Professional Services Agreement. Prior to 2010, in connection with the Spin-off, we entered into various agreements with EchoStar including the Transition Services Agreement, Satellite Procurement Agreement and Services Agreement, which all expired on January 1, 2010 and were replaced by a Professional Services Agreement. During 2009, we and EchoStar agreed that EchoStar shall continue to have the right, but not the obligation, to receive the following services from us, among others, certain of which were previously provided under the Transition Services Agreement: information technology, travel and event coordination, internal audit, legal, accounting and tax, benefits administration, program acquisition services and other support services. Additionally, we and EchoStar agreed that we shall continue to have the right, but not the obligation, to engage EchoStar to manage the process of procuring new satellite capacity for us (previously provided under the Satellite Procurement Agreement) and receive logistics, procurement and quality assurance services from EchoStar (previously provided under the Services Agreement) and other support services. The Professional Services Agreement renewed on January 1, 2020 for an additional one-year period until January 1, 2021 and renews automatically for successive one-year periods thereafter, unless terminated earlier by either party upon at least 60 days’ notice. However, either party may terminate the Professional Services Agreement in part with respect to any particular service it receives for any reason upon at least 30 days’ notice. In connection with the completion of the Share Exchange on February 28, 2017, DISH Network and EchoStar amended the Professional Services Agreement to, among other things, provide certain transition services to each other related to the Share Exchange Agreement. In addition, on May 19, 2019, we entered into a Master Transaction Agreement, pursuant to which, effective September 10, 2019, DISH Network and EchoStar amended the Professional Services Agreement to, among other things, provide certain transition services to each other related to the Master Transaction Agreement and to remove certain services no longer necessary as a result of the Master Transaction Agreement. See above for further information on the Master Transaction Agreement. During March 2020, we and EchoStar added a service under the Professional Services Agreement whereby we provide EchoStar with rights to use certain satellite capacity in exchange for certain credits to amounts owed by us to EchoStar under the TerreStar Agreement described above. Revenue for services provided by us to EchoStar under the Professional Services Agreement is recorded in “Equipment sales and other revenue” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Other Agreements - EchoStar Tax Sharing Agreement. In connection with the Spin-off, we entered into a tax sharing agreement (the “Tax Sharing Agreement”) with EchoStar which governs our respective rights, responsibilities and obligations after the Spin-off with respect to taxes for the periods ending on or before the Spin-off. Generally, all pre-Spin-off taxes, including any taxes that are incurred as a result of restructuring activities undertaken to implement the Spin-off, are borne by us, and we will indemnify EchoStar for such taxes. However, we are not liable for and will not indemnify EchoStar for any taxes that are incurred as a result of the Spin-off or certain related transactions failing to qualify as tax-free distributions pursuant to any provision of Section 355 or Section 361 of the Internal Revenue Code of 1986, as amended (the “Code”) because of: (i) a direct or indirect acquisition of any of EchoStar’s stock, stock options or assets; (ii) any action that EchoStar takes or fails to take; or (iii) any action that EchoStar takes that is inconsistent with the information and representations furnished to the Internal Revenue Service (“IRS”) in connection with the request for the private letter ruling, or to counsel in connection with any opinion being delivered by counsel with respect to the Spin-off or certain related transactions. In such case, EchoStar is solely liable for, and will indemnify us for, any resulting taxes, as well as any losses, claims and expenses. The Tax Sharing Agreement will only terminate after the later of the full period of all applicable statutes of limitations, including extensions, or once all rights and obligations are fully effectuated or performed. In light of the Tax Sharing Agreement, among other things, and in connection with our consolidated federal income tax returns for certain tax years prior to and for the year of the Spin-off, during the third quarter 2013, we and EchoStar agreed upon a supplemental allocation of the tax benefits arising from certain tax items resolved in the course of the IRS’ examination of these consolidated tax returns. As a result, we agreed to pay EchoStar million of the tax benefit we received or will receive. This resulted in a reduction of our recorded unrecognized tax benefits and this amount was reclassified to a long-term payable to EchoStar |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Summary of Significant Accounting Policies | |
Principles of Consolidation and Basis of Presentation | Principles of Consolidation and Basis of Presentation We consolidate all majority owned subsidiaries, investments in entities in which we have controlling influence and variable interest entities where we have been determined to be the primary beneficiary. Minority interests are recorded as noncontrolling interests or redeemable noncontrolling interests. See below for further information. Non-consolidated investments are accounted for using the equity method when we have the ability to significantly influence the operating decisions of the investee. When we do not have the ability to significantly influence the operating decisions of an investee, these equity securities are classified as either marketable investment securities or other investments and recorded at fair value with changes recognized in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). All significant intercompany accounts and transactions have been eliminated in consolidation. Certain prior period amounts have been reclassified to conform to the current period presentation. Specifically, as a result of our entrance into the retail wireless industry, we have reclassified certain items on our Consolidated Statements of Operations and Comprehensive Income (Loss). The reclassifications include: (a) “Subscriber-related revenue” has been retitled “Service revenue.” (b) “Subscriber-related expenses” has been retitled “Cost of services.” (c) “Satellite and transmission expenses” has been reclassified to “Cost of services.” (d) A new caption entitled “Selling, general and administrative expenses” has been created that includes historical “General and administrative expenses,” as well as “Subscriber acquisition costs.” All prior periods have been reclassified to conform to the current period presentation for these changes. |
Redeemable Noncontrolling Interests | Redeemable Noncontrolling Interests Northstar Wireless. Northstar Wireless is a wholly-owned subsidiary of Northstar Spectrum, which is an entity owned by Northstar Manager, LLC (“Northstar Manager”) and us. Under the applicable accounting guidance in ASC 810, Northstar Spectrum is considered a variable interest entity and, based on the characteristics of the structure of this entity and in accordance with the applicable accounting guidance, we consolidate Northstar Spectrum into our financial statements. The Northstar Operative Agreements, as amended, provide for, among other things, that Northstar Manager has the ability, but not the obligation, to require Northstar Spectrum to purchase Northstar Manager’s ownership interests in Northstar Spectrum (the “Northstar Put Right”) for a purchase price that equals its equity contribution to Northstar Spectrum plus a fixed annual rate of return. The First Northstar Put Window began in the fourth quarter 2020 and the Second Northstar Put Window will begin in the fourth quarter 2021. Northstar Purchase Agreement . On December 30, 2020, through our wholly owned subsidiary American II, we entered into a Purchase Agreement (the “Northstar Purchase Agreement”) with Northstar Manager and Northstar Spectrum, pursuant to which American II purchased In the Northstar Purchase Agreement, Northstar Manager waived its right to exercise the Northstar Put Right under the First Northstar Put Window. Northstar Manager retains its right to exercise the Northstar Put Right during the Second Northstar Put Window. In the event that the Northstar Put Right is exercised by Northstar Manager, the consummation of the sale will be subject to FCC approval. Northstar Spectrum does not have a call right with respect to Northstar Manager’s ownership interests in Northstar Spectrum. Although Northstar Manager is the sole manager of Northstar Spectrum, Northstar Manager’s ownership interest is considered temporary equity under the applicable accounting guidance and is thus recorded as part of “Redeemable noncontrolling interests” in the mezzanine section of our Consolidated Balance Sheets. Northstar Manager’s ownership interest in Northstar Spectrum was initially accounted for at fair value. Subsequently, Northstar Manager’s ownership interest in Northstar Spectrum is increased by the fixed annual rate of return through “Redeemable noncontrolling interests” on our Consolidated Balance Sheets, with the offset recorded in “Net income (loss) attributable to noncontrolling interests, net of tax” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The operating results of Northstar Spectrum attributable to Northstar Manager are recorded as “Redeemable noncontrolling interests” on our Consolidated Balance Sheets, with the offset recorded in “Net income (loss) attributable to noncontrolling interests, net of tax” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 16 for further information. SNR Wireless . SNR Wireless is a wholly-owned subsidiary of SNR HoldCo, which is an entity owned by SNR Wireless Management, LLC (“SNR Management”) and us. Under the applicable accounting guidance in ASC 810, SNR HoldCo is considered a variable interest entity and, based on the characteristics of the structure of this entity and in accordance with the applicable accounting guidance, we consolidate SNR HoldCo into our financial statements. The SNR Operative Agreements, as amended, provide for, among other things, that SNR Management has the ability, but not the obligation, to require SNR HoldCo to purchase SNR Management’s ownership interests in SNR HoldCo (the “SNR Put Right”) for a purchase price that equals its equity contribution to SNR HoldCo plus a fixed annual rate of return. The First SNR Put Window began in the fourth quarter 2020, was not exercised and expired in January 2021. The Second SNR Put Window will begin in the fourth quarter 2021. In the event that the SNR Put Right is exercised by SNR Management, the consummation of the sale will be subject to FCC approval. SNR HoldCo does not have a call right with respect to SNR Management’s ownership interests in SNR HoldCo. Although SNR Management is the sole manager of SNR HoldCo, SNR Management’s ownership interest is considered temporary equity under the applicable accounting guidance and is thus recorded as part of “Redeemable noncontrolling interests” in the mezzanine section of our Consolidated Balance Sheets. SNR Management’s ownership interest in SNR HoldCo was initially accounted for at fair value. Subsequently, SNR Management’s ownership interest in SNR HoldCo is increased by the fixed annual rate of return through “Redeemable noncontrolling interests” on our Consolidated Balance Sheets, with the offset recorded in “Net income (loss) attributable to noncontrolling interests, net of tax” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The operating results of SNR HoldCo attributable to SNR Management are recorded as “Redeemable noncontrolling interests” on our Consolidated Balance Sheets, with the offset recorded in “Net income (loss) attributable to noncontrolling interests, net of tax” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 16 for further information. As of December 31, 2020 and December 31, 2019, Northstar Manager’s ownership interest in Northstar Spectrum and SNR Management’s ownership interest in SNR HoldCo was $351 million and $552 million, respectively, recorded as “Redeemable noncontrolling interests” on our Consolidated Balance Sheets. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense for each reporting period. Estimates are used in accounting for, among other things, allowances for credit losses (including those related to our installment billing programs), self-insurance obligations, deferred taxes and related valuation allowances, uncertain tax positions, loss contingencies, fair value of financial instruments, fair value of options granted under our stock-based compensation plans, fair value of assets and liabilities acquired in business combinations, the fair value of our option to purchase T-Mobile’s 800 MHz spectrum, relative standalone selling prices of performance obligations, finance leases, asset impairments, estimates of future cash flows used to evaluate and recognize impairments, useful lives of property, equipment and intangible assets, independent third-party retailer incentives, programming expenses and subscriber lives. Economic conditions may increase the inherent uncertainty in the estimates and assumptions indicated above. Actual results may differ from previously estimated amounts, and such differences may be material to our consolidated financial statements. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected prospectively in the period they occur. |
Cash and Cash Equivalents | Cash and Cash Equivalents We consider all liquid investments purchased with a remaining maturity of 90 days or less at the date of acquisition to be cash equivalents. Cash equivalents as of December 31, 2020 and 2019 may consist of money market funds, government bonds, corporate notes and commercial paper. The cost of these investments approximates their fair value. |
Marketable Investment Securities | Marketable Investment Securities All equity securities are carried at fair value, with changes in fair value recognized in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). All debt securities are classified as available-for-sale and are recorded at fair value. Historically, we reported temporary unrealized gains and losses as a separate component of “Accumulated other comprehensive income (loss)” within “Total stockholders’ equity (deficit),” net of related deferred income tax on our Consolidated Balance Sheets. Subsequent to the adoption of ASU 2016-13 Financial Instruments – Credit Losses, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) during the first quarter of 2020, we report the temporary unrealized gains and losses related to changes in market conditions of marketable debt securities as a separate component of “Accumulated other comprehensive income (loss)” within “Total stockholders’ equity (deficit),” net of related deferred income tax on our Consolidated Balance Sheets. The changes in the fair value of marketable debt securities, which are determined to be company specific credit losses are recorded in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We evaluate our debt investment portfolio to determine whether declines in the fair value of these securities are related to credit loss. Management estimates credit losses on marketable debt securities utilizing a credit loss impairment model on a quarterly basis. We estimate the expected credit losses, measured over the contractual life of marketable debt securities considering relevant issuer specific factors, including, but not limited to, a decrease in credit ratings or an entities ability to pay. |
Trade Accounts Receivable | Trade Accounts Receivable General Accounts Receivable Prior to January 1, 2020, management estimated the amount of allowance for doubtful accounts for potential non-collectability of accounts receivable based upon past collection experience and consideration of other relevant factors. Subsequent to January 1, 2020 due to the adoption of ASU 2016-13, trade accounts receivable are recorded at cost less an allowance for expected credit losses that are not expected to be recovered. We maintain allowances for credit losses resulting from the expected failure or inability of our customers to make required payments. We recognize the allowance for expected credit losses at inception and reassess quarterly based on management’s expectation of the asset’s collectability. Management estimates credit losses on financial assets, including our trade accounts receivable, utilizing a current expected credit loss impairment model. We estimate the expected credit losses, measured over the contractual life of an asset considering relevant historical loss information, credit quality of the customer base, current economic conditions and forecasts of future economic conditions. In determining the allowance for credit losses, management groups similar types of financial assets with consistent risk characteristics. Pools identified by management include but are not limited to residential customers, commercial customers and advertising services. The risk characteristics of the financial asset portfolios are monitored by management and reviewed periodically. The forecasts for future economic conditions are based on several factors including, but not limited to, changes in the unemployment rate, external economic forecasts and current collection rates. Our estimates of the allowance for credit losses may not be indicative of our actual credit losses requiring additional charges to be incurred to reflect the actual amount collected. BoostUP! Receivable We offer certain long-term subscribers of Boost Mobile the option to pay for their devices under an installment plan (“BoostUP!”), which is generally over a period of 18 months . The BoostUP! receivable is presented in our Consolidated Balance Sheets at its net realizable value, which is net of an allowance for credit losses. The allowance for credit losses is estimated based on among other factors, historical loss information and current economic conditions as well as forecasts of future economic conditions. As of December 31, 2020, “Trade accounts receivable, net” on our Consolidated Balance Sheets includes $114 million of BoostUP! receivables, net of allowance for credit losses of $20 million. Subscribers that participate in the BoostUP! program typically make a down payment and satisfy their obligation by providing equal monthly payments during the duration of their financing arrangement. As Boost Mobile subscribers are on a month to month contract for service with Boost Mobile and the BoostUP! arrangement provides that upon an installment plan subscribers’s termination of the service the installment balance becomes due and payable immediately, we do not impute interest on these instruments as the financial instruments are short term in nature. |
Inventory | Inventory Inventory is stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out method. The cost of manufactured inventory includes the cost of materials, labor, freight-in, royalties and manufacturing overhead. Net realizable value is calculated as the estimated selling price less reasonable costs necessary to complete, sell, transport and dispose of the inventory. |
Property and Equipment | Property and Equipment Property and equipment, including capitalized expenditures related to our wireless projects and 5G Network Deployment, are stated at cost less depreciation and impairment losses, if any. Our set-top boxes are generally capitalized when they are installed in customers’ homes. If a satellite were to fail while in-orbit, the resultant loss would be charged to expense in the period such loss was incurred. The amount of any such loss would be reduced to the extent of insurance proceeds estimated to be received, if any. Depreciation is recorded on a straight-line basis over useful lives ranging from two to 40 years . Repair and maintenance costs are charged to expense when incurred. Renewals and improvements that add value or extend the asset’s useful life are capitalized. Costs related to the procurement and development of software for internal-use are capitalized and amortized using the straight-line method over the estimated useful life of the software. |
Derivative Instrument | Derivative Instruments We have the option to purchase certain of T-Mobile’s 800 MHz spectrum licenses from T-Mobile at a fixed price in the future as part of the Boost Mobile Acquisition. See Note 6 for further information. This instrument meets the definition of a derivative and was valued . The derivative is remeasured quarterly. All changes in the derivative’s fair value are recorded in “Other, net” in our Consolidated Statements of Operations and Comprehensive Income (Loss). |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets We review our long-lived assets and identifiable finite-lived intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. For assets which are held and used in operations, the asset would be impaired if the carrying amount of the asset (or asset group) exceeded its undiscounted future net cash flows. Once an impairment is determined, the actual impairment recognized is the difference between the carrying amount and the fair value as estimated using one of the following approaches: income, cost and/or market. Assets which are to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. The carrying amount of a long-lived asset or asset group is considered impaired when the anticipated undiscounted cash flows from such asset or asset group is less than its carrying amount. In that event, a loss is recorded in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss) based on the amount by which the carrying amount exceeds the fair value of the long-lived asset or asset group. Fair value, using the income approach, is determined primarily using a discounted cash flow model that uses the estimated cash flows associated with the asset or asset group under review, discounted at a rate commensurate with the risk involved. Fair value, utilizing the cost approach, is determined based on the replacement cost of the asset reduced for, among other things, depreciation and obsolescence. Fair value, utilizing the market approach, benchmarks the fair value against the carrying amount. See Note 9 for further information. DBS Satellites . We currently evaluate our DBS satellite fleet for impairment as one asset group whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. We do not believe any triggering event has occurred which would indicate impairment as of December 31, 2020 and 2019. We will continue to monitor the DBS satellite fleet for indicators of impairment, including monitoring the impact of the COVID-19 pandemic on all aspects of our business. AWS-4 Satellites. We historically have evaluated our AWS-4 satellite fleet for impairment whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. In light of, among other things, certain developments related to the Sprint-T-Mobile merger, during the first quarter 2020, we determined that revisions to the AWS-4 build-out deadlines were probable, which we determined to be a triggering event. Accordingly, we quantitatively assessed the value of the AWS-4 satellites (T1 and D1) and wrote down the fair value of the satellites to their estimated fair value of million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We did not believe any triggering event occurred which would indicate impairment as of December 31, 2019. See Note 9 for further information. Narrowband IoT network. in March 2017 we notified the FCC that we planned to deploy a narrowband IoT network. In October 2019, we paused work on the narrowband IoT deployment. In light of, among other things, certain developments related to the Sprint-T-Mobile merger, during the first quarter 2020, we determined that the revision of certain of our build-out deadlines were probable. Based on this, we no longer intended to complete our narrowband IoT deployment, which we considered a triggering event. As such, during the first quarter 2020, we reviewed the capitalized costs of equipment, labor and other assets related to the narrowband IoT deployment, including our operating lease assets, and impaired those items that would not be utilized in our ongoing 5G Network Deployment, resulting in a million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 9 and Note 10 for further information. Impairment of long-lived assets recorded during the year ended December 31, 2020 consisted of the following: For the Year Ended (In thousands) T1 satellite $ 48,120 D1 satellite 55,000 Construction in progress related to narrowband IoT deployment 226,742 Operating lease assets related to narrowband IoT deployment 26,556 Impairment of long-lived assets $ 356,418 Boost Mobile Intangible Assets. Intangible assets include subscriber relationships, the Boost Mobile tradename and certain below market contracts. The recorded fair value of intangible assets are amortized over their respective useful lives which range from one to 10 years . Ting Mobile Intangible Assets. The preliminary fair value of the customer relationships and the trade name at the acquisition date of Ting Mobile are recorded in “Intangible assets” on our Consolidated Balance Sheets. These assets are amortized over their respective useful lives which range from two to 10 years . |
Indefinite Lived Intangible Assets and Goodwill | Indefinite-Lived Intangible Assets and Goodwill We do not amortize indefinite-lived intangible assets and goodwill but test these assets for impairment annually, during the fourth quarter or more often if indicators of impairment arise. We have the option to first perform a qualitative assessment to determine whether it is necessary to perform a quantitative impairment test. However, we may elect to bypass the qualitative assessment in any period and proceed directly to performing the quantitative impairment test. Intangible assets that have finite lives are amortized over their estimated useful lives and tested for impairment as described above for long-lived assets. Our intangible assets with indefinite lives primarily consist of FCC licenses. Generally, we have determined that our FCC licenses have indefinite useful lives due to the following: ● FCC licenses are a non-depleting asset; ● existing FCC licenses are integral to our business segments and will contribute to cash flows indefinitely; ● replacement DBS satellite applications are generally authorized by the FCC subject to certain conditions, without substantial cost under a stable regulatory, legislative and legal environment; ● maintenance expenditures to obtain future cash flows are not significant; ● FCC licenses are not technologically dependent; and ● we intend to use these assets indefinitely. DBS Licenses. We combine all of our indefinite-lived DBS licenses that we currently utilize or plan to utilize in the future into a single unit of accounting. For 2020, 2019 and 2018, management performed a qualitative assessment to determine whether it is more likely than not that the fair value of the DBS licenses exceeds its carrying amount. In our assessment, we considered several factors, including, among others, overall financial performance, industry and market considerations, and relevant company specific events. In contemplating all factors in their totality, we concluded that it is more likely than not that the fair value of the DBS licenses exceeds its carrying amount. As such, no further analysis was required. Wireless Spectrum Licenses. During 2020, we acquired the 37 GHz, 39 GHz, and 47 GHz wireless licenses and during 2019, we acquired the 24 GHz and 28 GHz wireless licenses, together (the “High-Band Licenses”). We currently combine our 600 MHz, 700 MHz, AWS-4, H Block, High-Band Licenses and the Northstar Licenses and SNR Licenses into a single unit of accounting. In 2020 and 2019 (excluding the High-Band Licenses), management performed a qualitative assessment to determine whether it is more likely than not that the fair value of these licenses exceed their carrying amount. In our assessment, we considered several factors, including, among other things, the projected financial performance of our Wireless segment, the business enterprise value of our Wireless segment, and market transactions for wireless spectrum licenses including auction results. In assessing these factors, we considered both macroeconomic conditions and industry and market conditions. In contemplating all factors in their totality, we concluded that it is more likely than not that the fair value of these licenses exceeds their carrying amount. During 2019, our 24 GHz and 28 GHz wireless spectrum licenses were assessed as a single unit of accounting. These licenses were purchased during the fourth quarter 2019 through our participation in Auction 101 and Auction 102. For 2019, management’s assessment of the fair value of these licenses was determined based on the auction results. In 2018, we assessed our 600 MHz, 700 MHz, AWS-4, H Block Licenses and the Northstar Licenses and SNR Licenses quantitatively. Our quantitative assessment consisted of both an income approach and a market approach. The income approach estimated the fair value of these licenses using the “Greenfield” approach. The Greenfield approach values the licenses by calculating the cash flow generating potential of a hypothetical start-up company that goes into business with no assets except the licenses to be valued. A discounted cash flow analysis is used to estimate what a marketplace participant would be willing to pay to purchase the aggregated wireless licenses as of the valuation date. The market approach uses prior transactions including auctions to estimate the fair value of the licenses. In conducting this quantitative assessment, we determined that the fair value of these licenses exceeded their carrying amount under both approaches. During 2020, 2019, and 2018, our multichannel video distribution and data service (“MVDDS”) wireless spectrum licenses were assessed as a single unit of accounting. For 2020 and 2019, management assessed these licenses qualitatively. Our qualitative assessment focused on recent auction results and historical market activity. We concluded that it is more likely than not that the fair value of these licenses exceeded their carrying amount. For 2018, management assessed these licenses quantitatively under a market approach. The market approach uses prior transactions including auctions to estimate the fair value of the licenses. In conducting the quantitative assessment, we determined that the fair value of these licenses exceeded their carrying amount. Changes in circumstances or market conditions could result in a write-down of any of the above wireless spectrum licenses in the future. Goodwill. Goodwill represents the excess of the consideration transferred over the estimated fair values of assets acquired and liabilities assumed as of the acquisition date. Substantially all our goodwill relates to our Wireless segment. In conducting our annual impairment test for 2020 and 2019, we performed a qualitative assessment, which considered several factors, including, among others, macroeconomic conditions, industry and market conditions, and relevant company specific events and perception of the market. In contemplating all factors in their totality, we determined that the fair value of our wireless segment, which consists of a single reporting unit, was in excess of the carrying amount. |
Capitalized Interest | Capitalized Interest We capitalize interest associated with the acquisition or construction of certain assets, including, among other things, our wireless spectrum licenses, build-out costs associated with our 5G Network Deployment and satellites. Capitalization of interest begins when, among other things, steps are taken to prepare the asset for its intended use and ceases when the asset is ready for its intended use or when these activities are substantially suspended. We are currently preparing for the commercialization of our wireless spectrum licenses, and Northstar Wireless and SNR Wireless are also preparing for the commercialization of their AWS-3 Licenses. As a result, the interest expense related to the carrying amount of these wireless spectrum licenses is being capitalized. As the carrying amount of these wireless spectrum licenses exceeds the carrying value of our long-term debt and finance lease obligations, materially all of our interest expense is being capitalized. |
Business Combinations | Business Combinations When we acquire a business, we allocate the purchase price to the various components of the acquisition based upon the fair value of each component using various valuation techniques, including the market approach, income approach and/or cost approach. The accounting standard for business combinations requires identifiable assets, liabilities, noncontrolling interests and goodwill acquired to be recorded at acquisition date fair values. Transaction costs related to the acquisition of the business are expensed as incurred. Costs associated with the issuance of debt associated with a business combination are capitalized and included as a yield adjustment to the underlying debt’s stated rate. Acquired intangible assets other than goodwill are amortized over their estimated useful lives unless the lives are determined to be indefinite. Amortization of these intangible assets in general are recognized on a straight-line basis over an average finite useful life primarily ranging from approximately one to 20 years or in relation to the estimated discounted cash flows over the life of the intangible asset. See Note 6 for further information on the Boost Mobile Acquisition and Ting Mobile Acquisition. |
Long-Term Deferred Revenue and Other Long-Term Liabilities | Long-Term Deferred Revenue and Other Long-Term Liabilities Certain programmers provide us up-front payments. Such amounts are deferred and recognized as reductions to “Cost of services” on a straight-line basis over the relevant remaining contract term (generally up to ten years ). The current and long-term portions of these deferred credits are recorded on our Consolidated Balance Sheets in “Deferred revenue and other” and “Long-term deferred revenue and other long-term liabilities,” respectively. |
Sales Taxes | Sales Taxes We account for sales taxes imposed on our goods and services on a net basis on our Consolidated Statements of Operations and Comprehensive Income (Loss). Since we primarily act as an agent for the governmental authorities, the amount charged to the customer is collected and remitted directly to the appropriate jurisdictional entity. |
Income Taxes | Income Taxes We establish a provision for income taxes currently payable or receivable and for income tax amounts deferred to future periods. Deferred tax assets and liabilities are recorded for the estimated future tax effects of differences that exist between the book and tax basis of assets and liabilities. Deferred tax assets are offset by valuation allowances when we believe it is more likely than not that such net deferred tax assets will not be realized. From time to time, we engage in transactions where the tax consequences may be subject to uncertainty. We record a liability when, in management’s judgment, a tax filing position does not meet the more likely than not threshold. For tax positions that meet the more likely than not threshold, we may record a liability depending on management’s assessment of how the tax position will ultimately be settled. We adjust our estimates periodically for ongoing examinations by and settlements with various taxing authorities, as well as changes in tax laws, regulations and precedent. We classify interest and penalties, if any, associated with our uncertain tax positions as a component of “Interest expense, net of amounts capitalized” and “Other, net,” respectively, on our Consolidated Statements of Operations and Comprehensive Income (Loss). |
Fair Value Measurements | Fair Value Measurements We determine fair value based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. Market or observable inputs are the preferred source of values, followed by unobservable inputs or assumptions based on hypothetical transactions in the absence of market inputs. We apply the following hierarchy in determining fair value: ● Level 1, defined as observable inputs being quoted prices in active markets for identical assets; ● Level 2, defined as observable inputs other than quoted prices included in Level 1, including quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar instruments in markets that are not active; and derivative financial instruments indexed to marketable investment securities; and ● Level 3, defined as unobservable inputs for which little or no market data exists, consistent with reasonably available assumptions made by other participants therefore requiring assumptions based on the best information available. As of December 31, 2020 and 2019, the carrying amount for cash and cash equivalents, trade accounts receivable (net of allowance for credit losses or net of allowance for doubtful accounts) and current liabilities (excluding the “Current portion of long-term debt and finance lease obligations”) was equal to or approximated fair value due to their short-term nature or proximity to current market rates. See Note 7 for the fair value of our marketable investment securities and derivative instruments. Fair values for our publicly traded debt securities are based on quoted market prices, when available. The fair values of private debt are based on, among other things, available trade information, and/or an analysis in which we evaluate market conditions, related securities, various public and private offerings, and other publicly available information. In performing this analysis, we make various assumptions regarding, among other things, credit spreads, and the impact of these factors on the value of the debt securities. See Note 11 for the fair value of our long-term debt. |
Deferred Debt Issuance Costs And Debt Discounts | Deferred Debt Issuance Costs and Debt Discounts In accordance with accounting guidance on embedded conversion features, we value and bifurcate the conversion option associated with convertible notes from the host debt instrument. The resulting debt discount is deferred and amortized to interest expense using the effective interest rate method over the terms of the respective notes. Costs of issuing debt are generally deferred and amortized to interest expense using the effective interest rate method over the terms of the respective notes. See Note 11 for further information. |
Revenue Recognition | Revenue Recognition Pay-TV Segment Our Pay-TV segment revenue is primarily derived from Pay-TV programming services that we provide to our subscribers. We also generate revenue from equipment rental fees and other hardware related fees, including DVRs and fees from subscribers with multiple receivers; advertising services; fees earned from our in-home service operations; broadband services; warranty services; sales of digital receivers and related equipment to third-party pay-TV providers; satellite uplink and telemetry, tracking and control (“TT&C”) services; and revenue from in-home services. See Note 17 Our residential video subscribers contract for individual services or combinations of services, as discussed above, the majority of which are generally distinct and are accounted for as separate performance obligations. We consider our installations for first time DISH TV subscribers to be a service. However, since we provide a significant integration service combining the installation with programming services, we have concluded that the installation is not distinct from programming and thus the installation and programming services are accounted for as a single performance obligation. We generally satisfy these performance obligations and recognize revenue as the services are provided, for example as the programming is broadcast to subscribers, as this best represents the transfer of control of the services to the subscriber. In cases where a subscriber is charged certain nonrefundable upfront fees, those fees are generally considered to be material rights to the subscriber related to the subscriber’s option to renew without having to pay an additional fee upon renewal. These fees are deferred and recognized over the estimated period of time during which the fee remains material to the customer, which we estimate to be less than one year. Revenues arising from our in-home services that are separate from the initial installation, such as mounting a TV on a subscriber’s wall, are generally recognized when these services are performed. For our residential video subscribers, we have concluded that the contract term under Accounting Standard Codification Topic 606, Revenue from Contracts with Customers (“ASC 606”) is one month and as a result the revenue recognized for these subscribers for a given month is equal to the amount billed in that month, except for certain nonrefundable upfront fees that are accounted for as material rights, as discussed above. Revenues from our advertising services are typically recognized as the advertisements are broadcast. Sales of equipment to subscribers or other third parties are recognized when control is transferred under the contract. Revenue from our commercial video subscribers typically follows the residential model described above, with the exception that the contract term for most of our commercial subscribers exceeds one month and can be multiple years in length. However, commercial subscribers typically do not receive time-limited discounts or free service periods and accordingly, while they may have multiple performance obligations, revenue is equal to the amount billed in a given month. Wireless Segment Our Wireless segment revenue is primarily derived from providing wireless services and selling wireless devices to prepaid and postpaid subscribers. The majority of our subscribers are prepaid under the Boost Mobile brand with a smaller subset of postpaid subscribers serviced under the Ting Mobile brand. Prepaid subscribers prepay for their monthly service on a month-to-month contract. Postpaid subscribers are qualified to pay for their service after it has been provided. For both our prepaid and postpaid customers the contract term was determined to be one month. We have both an indirect sales channel, which includes third-party owned retail stores and big box stores, as well as a direct sales channel, which services customers online. Through the indirect sales channel, we utilize direct distribution partners to facilitate product delivery to the third party Boost Mobile retailers. Although our retail wireless business offers both products and services, we have determined that no bundled arrangements exist as the wireless device and service sold are sold at different times, and in the case of the indirect sales channel, have different customers. In the indirect channel, the customer for the wireless device is the direct distribution partner whereas for the service the subscriber is the end consumer. Service revenues may also include other value added services to subscribers, which may be recorded either gross or net within our Consolidated Statements of Operations and Comprehensive Income (Loss) depending on whether we are deemed to be the principal or agent in the relationship with the subscriber. Service revenues are recognized when the service has been provided and no further obligation exists. Concessions given to subscribers are recorded as a reduction to revenue. Equipment revenues are primarily related to the sale of wireless devices. Equipment revenue is recognized when control of the product is transferred to our subscriber, either the direct distribution partner for the indirect sales channel or the end user in the direct sales channel. Sales of equipment in the indirect sales channel often include credits subsequently paid to the direct distribution partner as a reimbursement for any discount promotions offered to the end consumer. These credits (payments to a customer) are accounted for as variable consideration when estimating the amount of revenue to recognize from the sales of equipment to indirect dealers and are estimated based on historical experience and other factors, such as expected promotional activity. For wireless devices sold with a right of return, we defer a portion of equipment revenue and cost of sales to reflect this variable consideration. Contract Balances The timing of revenue recognition generally differs from the timing of invoicing to customers. When revenue is recognized prior to invoicing, we record a receivable. When revenue is recognized subsequent to invoicing, we record deferred revenue. Our residential video subscribers are typically billed monthly, and the contract balances for those customers arise from the timing of the monthly billing cycle. Our current wireless subscribers, the majority of which are prepaid, generate deferred revenue. We do not adjust the amount of consideration for financing impacts as we apply a practical expedient when we anticipate that the period between transfer of goods and services and eventual payment for those goods and services will be less than one year . See Note 18 for further information, including balance and activity detail about our allowance for credit losses and deferred revenue related to contracts with subscribers. Assets Recognized Related to the Costs to Obtain a Contract with a Subscriber We recognize an asset for the incremental costs of obtaining a contract with a subscriber if we expect the benefit of those costs to be longer than one year. We have determined that certain sales incentive programs in both our Pay-TV and Wireless segments, including those with our independent third-party retailers, meet the requirements to be capitalized, and payments made under these programs are capitalized and amortized to expense over the estimated subscriber life. During the years ended December 31, 2020 and 2019, we capitalized $316 million and $207 million, respectively, under these programs. The amortization expense related to these programs was $160 million and $76 million for the years ended December 31, 2020 and 2019, respectively. As of December 31, 2020 and 2019, we had a total of $456 million and $300 million, respectively, capitalized on our Consolidated Balance Sheets. These amounts are capitalized in “Other current assets” and “Other noncurrent assets, net” on our Consolidated Balance Sheets, and then amortized in “Selling, general and administrative expenses” on our Consolidated Statements of Operations and Comprehensive Income (Loss). |
Leases | Leases We enter into operating and finance leases for, among other things, wireless towers, satellites, office space, warehouses and distribution centers, vehicles and other equipment. Our leases have remaining lease terms from one to 16 years , some of which include renewal options , and some of which include options to terminate the leases within one year . We determine if an arrangement is a lease and classify that lease as either an operating or finance lease at inception. Operating leases are included in “Operating lease assets,” “Other accrued expenses” and “Operating lease liabilities” on our Consolidated Balance Sheets. Finance leases are included in “Property and equipment, net,” “Current portion of long-term debt and finance lease obligations” and “Long-term debt and finance lease obligations, net of current portion” on our Consolidated Balance Sheets. Leases with an initial term of 12 months or less are not recorded on the balance sheet and we recognize lease expense for these leases on a straight-line basis over the lease term on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 10 for further information on our lease expenses. Right of use (“ROU”) assets represent our right to use an underlying asset for the lease term and lease liabilities represent the present value of our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. When our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The operating lease ROU asset also includes the impact of prepaid or deferred lease payments. The length of our lease term may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for operating lease payments is recognized on a straight-line basis over the lease term. We currently lease and historically have leased certain assets from EchoStar, including, among other things, satellites, office space and data centers. See Note 20 for further information on our Related Party Transactions with EchoStar. On May 19, 2019, we entered into a Master Transaction Agreement (as defined in Note 16) with EchoStar and effective September 10, 2019, certain satellites and real estate assets leased from EchoStar were transferred to us. See Note 20 for further information on the Master Transaction Agreement. We have lease agreements with lease and non-lease components, which are generally accounted for separately. Our variable lease payments are immaterial and our lease agreements do not contain any material residual value guarantees or material restrictive covenants. DISH TV subscribers have the choice of leasing or purchasing the satellite receiver and other equipment necessary to receive our DISH TV services. Most of our new DISH TV subscribers choose to lease equipment and thus we retain title to such equipment. Equipment leased to new and existing DISH TV subscribers is capitalized and depreciated over their estimated useful lives. For equipment leased to new and existing DISH TV subscribers, we made an accounting policy election to combine the equipment with our programming services as a single performance obligation in accordance with the revenue recognition guidance as the programming services are the predominant component. The revenue related to equipment leased to new and existing DISH TV subscribers would have otherwise been accounted for as an operating lease. Impact of Adoption of ASU 2016-02 In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-02 Leases (“ASU 2016-02”) and has modified the standard thereafter. We adopted ASU 2016-02, as modified, on January 1, 2019 using the modified retrospective method. Under the modified retrospective method, we applied the new guidance to all leases that commenced before and were existing as of January 1, 2019. The adoption of ASU 2016-02 had no impact on our Consolidated Statements of Operations and Comprehensive Income (Loss) and cash flows from operating, investing and financing activities on our Consolidated Statements of Cash Flows. |
Cost of Services | Cost of Services “Cost of services” on our Consolidated Statements of Operations and Comprehensive Income (Loss) principally include Pay-TV programming expenses and other operating costs related to our Pay-TV segment, costs of wireless services (including costs incurred under the MNSA), as well as costs associated with our SLING TV services. The cost of television programming distribution rights is generally incurred on a per subscriber basis and various upfront carriage payments are recognized when the related programming is distributed to subscribers. Long-term flat rate programming contracts are generally charged to expense using the straight-line method over the term of the agreement. The cost of television programming rights to distribute live sporting events for a season or tournament is charged to expense using the straight-line method over the course of the season or tournament. Costs incurred under the MNSA are recognized as the services are performed or as incurred. |
Cost of Sales - Equipment and Other | Cost of Sales – Equipment and Other “Cost of sales – equipment and other” on our Consolidated Statements of Operations and Comprehensive Income (Loss) principally includes the cost of wireless devices and other related items as well as costs related to the non-subsidized sales of Pay-TV equipment. Costs are generally recognized as products are delivered to customers and the related revenue is recognized. |
Advertising Costs | Advertising Costs We recognize advertising expense when incurred as selling, general and administrative expense. Advertising expenses totaled |
Research and Development | Research and Development Research and development costs are expensed as incurred and included in “Selling, general and administrative expenses” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Research and development costs totaled $24 million, $21 million and $24 million for the years ended December 31, 2020, 2019 and 2018, respectively. |
New Accounting Pronouncements | New Accounting Pronouncements Debt with Conversion and Other Options and Derivatives and Hedging. Debt – Debt with Conversion and Other Options and Derivatives and Hedging – Contracts in Entity’s Own Equity |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Summary of Significant Accounting Policies | |
Impairment of long-lived assets | For the Year Ended (In thousands) T1 satellite $ 48,120 D1 satellite 55,000 Construction in progress related to narrowband IoT deployment 226,742 Operating lease assets related to narrowband IoT deployment 26,556 Impairment of long-lived assets $ 356,418 |
Basic and Diluted Net Income _2
Basic and Diluted Net Income (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Basic and Diluted Net Income (Loss) Per Share | |
Table presents EPS amounts for all periods and the basic and diluted weighted-average shares outstanding used in the calculation | For the Years Ended December 31, 2020 2019 2018 (In thousands, except per share amounts) Net income (loss) $ 1,873,936 $ 1,492,569 $ 1,655,491 Less: Net income (loss) attributable to noncontrolling interests, net of tax 111,263 93,057 80,400 Net income (loss) attributable to DISH Network - Basic 1,762,673 1,399,512 1,575,091 Interest on dilutive Convertible Notes, net of tax (1) — — — Net income (loss) attributable to DISH Network - Diluted $ 1,762,673 $ 1,399,512 $ 1,575,091 Weighted-average common shares outstanding - Class A and B common stock: Basic (2) 524,761 479,657 467,350 Dilutive impact of Convertible Notes (3) 59,526 58,192 58,192 Dilutive impact of stock awards outstanding 73 115 290 Diluted 584,360 537,964 525,832 Earnings per share - Class A and B common stock: Basic net income (loss) per share attributable to DISH Network $ 3.36 $ 2.92 $ 3.37 Diluted net income (loss) per share attributable to DISH Network $ 3.02 $ 2.60 $ 3.00 (1) For the years ended December 31, 2020, 2019 and 2018, materially all of our interest expense was capitalized. See Note 2 for further information. (2) The 2020 increase resulted from the Master Transaction Agreement, as discussed in Note 20, and the stock rights offering as discussed in Note 13. (3) The impact of the potential dilution from conversion of our 0% Convertible Notes due 2025, as discussed above, is included assuming conversion as of the December 21, 2020 issuance date, and is convertible into approximately 48.8 million shares of our Class A common stock. |
Schedule of dilutive securities not included in the diluted EPS calculation | As of December 31, 2020 2019 2018 (In thousands) Anti-dilutive stock awards 9,083 5,471 4,377 Performance based options (1) 17,403 7,966 8,970 Restricted Performance Units/Awards 1,755 1,484 1,726 Common stock warrants 46,029 46,029 46,029 Total 74,270 60,950 61,102 (1) The increase primarily resulted from the grant of the Ergen 2020 Performance Award during the fourth quarter 2020. See Note 15 for further information. |
Supplemental Data - Statement_2
Supplemental Data - Statements of Cash Flows (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Supplemental Data - Statements of Cash Flows | |
Schedule of supplemental cash flow and other non-cash data | For the Years Ended December 31, 2020 2019 2018 (In thousands) Cash paid for interest (including capitalized interest) $ 778,448 $ 900,125 $ 921,238 Cash received for interest 5,945 40,795 15,037 Cash paid for income taxes 150,885 30,552 31,308 Capitalized interest (1) 924,644 980,299 1,012,177 Initial equity component of our 0% Convertible Notes due 2025, net of deferred taxes of $99,823 329,409 — — Master Transaction Agreement, net of deferred tax of $166,161 (2) — 497,145 — Employee benefits paid in Class A common stock 28,301 27,004 27,322 Vendor financing 74,895 — — (1) See Note 2 for further information. (2) See Note 20 for further information. |
Other Comprehensive Income (L_2
Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Comprehensive Income (Loss) | |
Schedule of tax effects allocated to component of other comprehensive income (loss) | For the Years Ended December 31, 2020 2019 2018 Before Tax Net Before Tax Net Before Tax Net Tax (Expense) of Tax Tax (Expense) of Tax Tax (Expense) of Tax Amount Benefit Amount Amount Benefit Amount Amount Benefit Amount (In thousands) Foreign currency translation adjustments $ (827) $ 61 $ (766) $ 223 $ — $ 223 $ (1,343) $ — $ (1,343) Unrealized holding gains (losses) on available-for-sale securities (29) 7 (22) 1,127 (265) 862 (529) 122 (407) Recognition of previously unrealized (gains) losses on available-for-sale securities included in net income (loss) (62) 13 (49) (299) 70 (229) (8) 2 (6) Other comprehensive income (loss) $ (918) $ 81 $ (837) $ 1,051 $ (195) $ 856 $ (1,880) $ 124 $ (1,756) |
Schedule of accumulated other comprehensive income (loss) | Foreign Unrealized/ Currency Recognized Translation Gains Accumulated Other Comprehensive Income (Loss) Adjustment (Losses) Total (In thousands) Balance as of December 31, 2018 $ (316) $ (558) $ (874) Foreign currency translation adjustments 223 — 223 Other comprehensive income (loss) before reclassification — 862 862 Amounts reclassified from accumulated other comprehensive income (loss) — (229) (229) Balance as of December 31, 2019 $ (93) $ 75 $ (18) Foreign currency translation adjustments (766) — (766) Other comprehensive income (loss) before reclassification — (22) (22) Amounts reclassified from accumulated other comprehensive income (loss) — (49) (49) Balance as of December 31, 2020 $ (859) $ 4 $ (855) |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Business Acquisition [Line Items] | |
Business Acquisition, Pro Forma Information [Table Text Block] | For the Years Ended December 31, 2020 2019 (Unaudited) (In thousands) Total revenue $ 18,042 $ 17,917 Net income (loss) attributable to DISH Network $ 1,572 $ 1,116 |
Boost Mobile Aquisition [Member] | |
Business Acquisition [Line Items] | |
Schedule of consideration transferred | As of July 1, 2020 (In thousands) Cash consideration (1) $ 1,400,000 Net working capital (2) 33,524 Other funding (3) (87,500) Total consideration transferred $ 1,346,024 (1) Represents agreed upon purchase price pursuant to the APA paid to T-Mobile on July 1, 2020. (2) Represents estimated net working capital acquired under the APA. We have not settled the net working capital under the APA as certain amounts are currently in dispute and could ultimately change the net working capital settlement. (3) Represents receipt of payment from Softbank in connection with the Boost Mobile Acquisition on July 1, 2020. |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | As of July 1, 2020 (In thousands) Trade accounts receivable $ 514,786 Inventory 141,718 Other current assets 3,000 Intangibles 591,000 Goodwill 91,220 Other noncurrent assets 713,000 Total assets 2,054,724 Trade accounts payable and other accrued expenses 533,967 Deferred revenue and other 174,733 Total liabilities 708,700 Total purchase price $ 1,346,024 |
Marketable Investment Securit_2
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities | |
Schedule of marketable investment securities, restricted cash and cash equivalents, and other investment securities | As of December 31, 2020 2019 (In thousands) Marketable investment securities: Current marketable investment securities: Strategic - available-for-sale $ 195 $ 196 Other 362,758 416,508 Total current marketable investment securities 362,953 416,704 Restricted marketable investment securities (1) 24,467 390 Total marketable investment securities 387,420 417,094 Restricted cash and cash equivalents (1) 83,902 60,677 Other investment securities: Other investment securities 149,706 160,074 Total other investment securities 149,706 160,074 Total marketable investment securities, restricted cash and cash equivalents, and other investment securities $ 621,028 $ 637,845 (1) Restricted marketable investment securities and restricted cash and cash equivalents are included in “Restricted cash, cash equivalents and marketable investment securities” on our Consolidated Balance Sheets. |
Schedule of components of available-for-sale investments | As of December 31, 2020 2019 Marketable Marketable Investment Unrealized Investment Unrealized Securities Gains Losses Net Securities Gains Losses Net (In thousands) Debt securities (including restricted): U.S. Treasury and agency securities $ 65,992 $ 3 $ — $ 3 $ 10,016 $ 32 $ — $ 32 Commercial paper 298,435 — — — 369,397 2 — 2 Corporate securities 22,552 1 — 1 28,796 4 (1) 3 Other 441 — — — 8,885 58 — 58 Total $ 387,420 $ 4 $ — $ 4 $ 417,094 $ 96 $ (1) $ 95 |
Schedule of fair value measurements | As of December 31, 2020 2019 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 (In thousands) Cash equivalents (including restricted) $ 3,330,296 $ 363,123 $ 2,967,173 $ — $ 2,436,545 $ 246,876 $ 2,189,669 $ — Debt securities (including restricted): U.S. Treasury and agency securities $ 65,992 $ 65,992 $ — $ — $ 10,016 $ 10,016 $ — $ — Commercial paper 298,435 — 298,435 — 369,397 — 369,397 — Corporate securities 22,552 — 22,552 — 28,796 — 28,796 — Other 441 — 246 195 8,885 — 8,689 196 Total $ 387,420 $ 65,992 $ 321,233 $ 195 $ 417,094 $ 10,016 $ 406,882 $ 196 |
Schedule of gains and losses on sales and changes in carrying amounts of investments | For the Years Ended December 31, Other, net: 2020 2019 2018 (In thousands) Marketable investment securities - realized and unrealized gains (losses) $ 178 $ 4,604 $ 8,165 Derivative instruments - net realized and/or unrealized gains (losses) (22,000) — — Costs related to early redemption of debt — (483) (3,261) Gain (loss) on sale of subsidiary — — 7,004 Equity in earnings (losses) of affiliates 410 (3,714) (2,110) Other 1,248 11,117 2,003 Total $ (20,164) $ 11,524 $ 11,801 |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Inventory | |
Schedule of inventory | As of December 31, 2020 2019 (In thousands) Finished goods $ 337,787 $ 255,155 Work-in-process and service repairs 25,621 34,120 Raw materials 16,941 33,623 Total inventory $ 380,349 $ 322,898 |
Property and Equipment and In_2
Property and Equipment and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property and Equipment and Intangible Assets | |
Schedule of property and equipment | Depreciable Life As of December 31, (In Years) 2020 2019 (In thousands) Equipment leased to customers 2 - 5 $ 1,736,660 $ 1,861,668 Satellites (1) 2 - 15 1,734,024 1,855,096 Satellites acquired under finance lease agreements 10 - 15 888,940 888,940 Furniture, fixtures, equipment and other 2 - 20 2,091,271 2,010,094 Buildings and improvements 5 - 40 370,941 349,347 Land - 17,810 17,810 Construction in progress (1) - 126,303 278,083 Total property and equipment 6,965,949 7,261,038 Accumulated depreciation (4,783,616) (4,554,856) Property and equipment, net $ 2,182,333 $ 2,706,182 (1) During the year ended December 31, 2020, we wrote down the T1 satellite net book value of $48 million (net of accumulated depreciation of $18 million) and the D1 satellite net book value of $55 million to their estimated fair value of zero . In addition, during the year ended December 31, 2020, we impaired $227 million for capitalized costs of equipment, labor and other assets related to the narrowband IoT deployment that would not be utilized in our 5G Network Deployment. As a result, we recorded a $330 million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. |
Schedule of Construction in progress | As of December 31, 2020 2019 (In thousands) Software $ 43,555 $ 51,493 Wireless (1) 72,817 207,814 Other 9,931 18,776 Total construction in progress $ 126,303 $ 278,083 (1) During the year ended December 31, 2020, we impaired the capitalized costs of equipment, labor and other assets related to the narrowband IoT deployment that would not be utilized in our 5G Network Deployment, resulting in a $227 million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. |
Schedule of depreciation and amortization expense | Depreciation and amortization expense consisted of the following: For the Years Ended December 31, 2020 2019 2018 (In thousands) Equipment leased to customers $ 290,081 $ 371,292 $ 444,928 Satellites (1) 202,724 115,100 100,343 Buildings, furniture, fixtures, equipment and other 128,876 136,783 137,055 Intangible assets (2) 92,871 7,402 29,698 Total depreciation and amortization $ 714,552 $ 630,577 $ 712,024 (1) The increase in 2020 resulted from the Master Transaction Agreement pursuant to which, on September 10, 2019, certain satellites were transferred to us. See Note 20 for further information. (2) The increase in 2020 resulted from the completion of the Boost Mobile Acquisition and the Ting Mobile Acquisition. See Note 6 for further information. |
Schedule of pay-TV satellite fleet | Degree Lease Launch Orbital Termination Satellites Date Location Date Owned: EchoStar VII (1) February 2002 119 N/A EchoStar X (1) February 2006 110 N/A EchoStar XI (1) July 2008 110 N/A EchoStar XIV (1) March 2010 119 N/A EchoStar XV July 2010 61.5 N/A EchoStar XVI (1) November 2012 61.5 N/A EchoStar XVIII June 2016 61.5 N/A EchoStar XXIII (1) March 2017 67.9 N/A Leased from EchoStar (2): EchoStar IX August 2003 121 Month to month Leased from Other Third Party: Anik F3 April 2007 118.7 April 2022 Ciel II December 2008 129 January 2022 Nimiq 5 (1) September 2009 72.7 September 2024 QuetzSat-1 (1) September 2011 77 November 2021 (1) Pursuant to the Master Transaction Agreement, on September 10, 2019 these satellites and satellite service agreements were transferred to us. See Note 20 for further information. (2) See Note 20 for further information on our Related Party Transactions with EchoStar. |
Schedule of AWS-4 Satellites | Degree Estimated Launch Orbital Useful Life Satellites Date Location (Years) Owned: T1 July 2009 111.1 14.25 D1 April 2008 92.85 N/A |
Schedule of identifiable intangibles subject to amortization | As of December 31, 2020 2019 Intangible Accumulated Intangible Accumulated Assets Amortization Assets Amortization (In thousands) Technology-based $ 63,078 $ (58,453) $ 63,077 $ (57,414) Trademarks (1) 133,428 (40,283) 37,010 (32,619) Contract-based (1) 41,500 (23,000) 4,500 (4,500) Customer relationships (1) 515,576 (89,301) 23,633 (23,633) Total $ 753,582 $ (211,037) $ 128,220 $ (118,166) (1) The increase in intangible assets resulted from the completion of the Boost Mobile Acquisition and the Ting Mobile Acquisition. See Note 6 for further information. |
Schedule of estimated future amortization of identifiable intangible assets | Estimated future amortization of our identifiable intangible assets as of December 31, 2020 is as follows (in thousands): For the Years Ended December 31, 2021 $ 157,105 2022 130,198 2023 127,809 2024 69,512 2025 11,676 Thereafter 46,245 Total $ 542,545 |
Schedule of FCC authorizations | As of December 31, 2020 2019 (In thousands) Owned: DBS Licenses $ 677,409 $ 677,409 700 MHz Licenses 711,871 711,871 MVDDS Licenses 24,000 24,000 AWS-4 Licenses 1,940,000 1,940,000 H Block Licenses 1,671,506 1,671,506 600 MHz Licenses 6,211,154 6,211,154 28 GHz Licenses 2,883 2,883 24 GHz Licenses 11,772 11,772 37 GHz, 39 GHz & 47 GHz Licenses 202,533 — Subtotal 11,453,128 11,250,595 Non-controlling Investments: Northstar 5,618,930 5,618,930 SNR 4,271,459 4,271,459 Total AWS-3 Licenses 9,890,389 9,890,389 Capitalized Interest (1) 5,560,422 4,638,519 Total $ 26,903,939 $ 25,779,503 (1) See Note 2 for further information. |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases | |
Components of Lease Expense | For the Years Ended December 31, 2020 2019 (In thousands) Operating lease cost (1) $ 71,863 $ 223,825 Short-term lease cost (2) 11,870 12,077 Finance lease cost: Amortization of right-of-use assets 71,318 35,004 Interest on lease liabilities 21,007 10,800 Total finance lease cost 92,325 45,804 Total lease costs $ 176,058 $ 281,706 (1) Pursuant to the Master Transaction Agreement, effective September 10, 2019, approximately $495 million of previously reported operating lease assets and the related liabilities for satellites and real estate assets were transferred to us. See Note 20 for further information. These satellite and real estate assets are no longer included in “Operating lease assets,” “Other current liabilities” and “Operating lease liabilities,” but rather in “Property and equipment, net” on our Consolidated Balance Sheets. Lease expense related to these satellites and real estate assets for the year ended December 31, 2019 were $159 million. (2) Leases that have terms of 12 months or less. |
Summary of Supplemental cash flow information related to leases | For the Years Ended December 31, 2020 2019 (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 72,352 $ 227,451 Operating cash flows from finance leases $ 21,007 $ 10,800 Financing cash flows from finance leases $ 65,979 $ 34,358 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 47,225 $ 118,381 Finance leases $ — $ 187,339 Right-of-use assets and liabilities recognized at January 1, 2019 upon adoption of ASC 842 $ 733,584 |
Summary of supplemental balance sheet information related to leases | As of December 31, 2020 2019 (In thousands) Operating Leases: Operating lease assets (1) $ 104,271 $ 144,330 Other current liabilities $ 56,856 $ 57,910 Operating lease liabilities 63,526 84,795 Total operating lease liabilities $ 120,382 $ 142,705 Finance Leases: Property and equipment, gross $ 889,708 $ 890,598 Accumulated depreciation (754,292) (683,271) Property and equipment, net $ 135,416 $ 207,327 Other current liabilities $ 58,379 $ 61,493 Other long-term liabilities 103,795 171,706 Total finance lease liabilities $ 162,174 $ 233,199 Weighted Average Remaining Lease Term: Operating leases 2.8 years 3.1 years Finance leases 3.1 years 3.8 years Weighted Average Discount Rate: Operating leases 4.2% 5.0% Finance leases 10.4% 10.2% (1) During the year ended December 31, 2020, we impaired the operating lease assets related to the narrowband IoT deployment that would not be utilized in our 5G Network Deployment, resulting in a $27 million non-cash impairment charge in “Impairment of long-lived assets” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. |
Summary of maturities of operating lease liabilities | Maturities of Lease Liabilities Operating Finance For the Years Ending December 31, Leases Leases Total (In thousands) 2021 $ 71,614 $ 70,302 $ 141,916 2022 35,074 48,307 83,381 2023 16,908 40,942 57,850 2024 9,850 30,707 40,557 2025 3,205 — 3,205 Thereafter 1,490 — 1,490 Total lease payments 138,141 190,258 328,399 Less: Imputed interest (17,759) (28,084) (45,843) Total 120,382 162,174 282,556 Less: Current portion (56,856) (58,379) (115,235) Long-term portion of lease obligations $ 63,526 $ 103,795 $ 167,321 |
Summary of maturities of finance lease liabilities | Maturities of lease liabilities as of December 31, 2020 were as follows: Maturities of Lease Liabilities Operating Finance For the Years Ending December 31, Leases Leases Total (In thousands) 2021 $ 71,614 $ 70,302 $ 141,916 2022 35,074 48,307 83,381 2023 16,908 40,942 57,850 2024 9,850 30,707 40,557 2025 3,205 — 3,205 Thereafter 1,490 — 1,490 Total lease payments 138,141 190,258 328,399 Less: Imputed interest (17,759) (28,084) (45,843) Total 120,382 162,174 282,556 Less: Current portion (56,856) (58,379) (115,235) Long-term portion of lease obligations $ 63,526 $ 103,795 $ 167,321 |
Long-Term Debt and Finance Le_2
Long-Term Debt and Finance Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Long-Term Debt and Finance Lease Obligations | |
Schedule of carrying and fair values of the entity's debt facilities | As of December 31, 2020 2019 Carrying Fair Value Carrying Fair Value (In thousands) 5 1/8% Senior Notes due 2020 (1) $ — $ — $ 1,100,000 $ 1,110,208 6 3/4% Senior Notes due 2021 (2) 2,000,000 2,047,260 2,000,000 2,109,420 5 7/8% Senior Notes due 2022 2,000,000 2,095,820 2,000,000 2,129,580 5% Senior Notes due 2023 1,500,000 1,566,300 1,500,000 1,543,770 5 7/8% Senior Notes due 2024 2,000,000 2,099,580 2,000,000 2,049,080 2 3/8% Convertible Notes due 2024 1,000,000 949,350 1,000,000 918,720 0% Convertible Notes due 2025 2,000,000 2,010,000 — — 7 3/4% Senior Notes due 2026 2,000,000 2,236,520 2,000,000 2,128,900 3 3/8% Convertible Notes due 2026 3,000,000 2,886,330 3,000,000 2,907,870 7 3/8% Senior Notes due 2028 1,000,000 1,070,130 — — Other notes payable 137,809 137,809 70,946 70,946 Subtotal 16,637,809 $ 17,099,099 14,670,946 $ 14,968,494 Unamortized debt discount on the Convertible Notes (1,061,203) (735,811) Unamortized deferred financing costs and other debt discounts, net (36,752) (28,739) Finance lease obligations (3) 162,174 233,199 Total long-term debt and finance lease obligations (including current portion) $ 15,702,028 $ 14,139,595 (1) On May 1, 2020, we redeemed the principal balance of our 5 1/8% Senior Notes due 2020. (2) Our 6 3/4% Senior Notes due 2021 mature on June 1, 2021 and have been reclassified to “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2020. (3) Disclosure regarding fair value of finance leases is not required. |
Schedule of interest on long-term debt | Annual Semi-Annual Debt Service Payment Dates Requirements (In thousands) 6 3/4% Senior Notes due 2021 (1) June 1 and December 1 $ 135,000 5 7/8% Senior Notes due 2022 January 15 and July 15 $ 117,500 5% Senior Notes due 2023 March 15 and September 15 $ 75,000 5 7/8 % Senior Notes due 2024 May 15 and November 15 $ 117,500 2 3/8% Convertible Notes due 2024 March 15 and September 15 $ 23,750 7 3/4 % Senior Notes due 2026 January 1 and July 1 $ 155,000 3 3/8 % Convertible Notes due 2026 February 15 and August 15 $ 101,250 7 3/8% Senior Notes due 2028 January 1 and July 1 $ 73,750 (1) Our 6 3/4% Senior Notes due 2021 mature on June 1, 2021 and have been reclassified to “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2020. |
Schedule of other long term debt and capital lease obligations | As of December 31, 2020 2019 (In thousands) Satellites and other finance lease obligations $ 162,174 $ 233,199 Notes payable related to satellite vendor financing and other debt payable in installments through 2032 with interest rates ranging from approximately 4.0% to 8.8% 137,809 70,946 Total 299,983 304,145 Less: current portion (85,620) (71,366) Other long-term debt and finance lease obligations, net of current portion $ 214,363 $ 232,779 |
Income Taxes and Accounting f_2
Income Taxes and Accounting for Uncertainty in Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Taxes and Accounting for Uncertainty in Income Taxes | |
Schedule of components of the (provision for) benefit from income taxes | For the Years Ended December 31, 2020 2019 2018 (In thousands) Current (benefit) provision: Federal $ (230,935) $ 173,326 $ 44,451 State 22,566 43,579 29,918 Foreign 7,471 6,203 4,616 Total current (benefit) provision (200,898) 223,108 78,985 Deferred (benefit) provision: Federal 610,528 204,403 383,096 State 243,216 21,732 64,000 Increase (decrease) in valuation allowance 45,429 2,115 7,603 Total deferred (benefit) provision 899,173 228,250 454,699 Total (benefit) provision $ 698,275 $ 451,358 $ 533,684 |
Schedule of reconciliation of amounts computed by applying the statutory Federal tax rate to income before taxes | For the Years Ended December 31, 2020 2019 2018 % of pre-tax income/(loss) Statutory rate 21.0 21.0 21.0 State income taxes, net of federal benefit 4.6 3.2 4.6 State apportionment changes 5.4 — — Cares Act NOL Carryback (2.3) — — Other, net (1.6) (1.0) (1.2) Total (benefit) provision for income taxes 27.1 23.2 24.4 |
Schedule of deferred tax assets and liabilities | As of December 31, 2020 2019 (In thousands) Deferred tax assets: NOL, interest, credit and other carryforwards $ 128,968 $ 368,545 Accrued and prepaid expenses — 8,488 Stock-based compensation 17,962 19,821 Unrealized (gains) losses on available for sale and other investments 9,862 4,137 Deferred revenue 26,977 17,238 Total deferred tax assets 183,769 418,229 Valuation allowance (73,788) (28,359) Deferred tax asset after valuation allowance 109,981 389,870 Deferred tax liabilities: Depreciation (467,922) (583,374) Accrued and prepaid expenses (72,314) — FCC authorizations and other intangible amortization (2,542,887) (2,040,885) Bases difference in partnerships and cost method investments (1) (744,911) (573,548) Discount on convertible notes and convertible note hedge transaction, net (151,517) (62,718) Total deferred tax liabilities (3,979,551) (3,260,525) Net deferred tax asset (liability) $ (3,869,570) $ (2,870,655) (1) Included in this line item are deferred taxes related to, among other things, our non-controlling investments in Northstar Spectrum and SNR HoldCo, including deferred taxes created by the tax amortization of the Northstar Licenses and SNR Licenses. |
Schedule of reconciliation of the beginning and ending amount of unrecognized tax benefits | For the Years Ended December 31, Unrecognized tax benefit 2020 2019 2018 (In thousands) Balance as of beginning of period $ 674,207 $ 385,394 $ 393,916 Additions based on tax positions related to the current year 233 244,257 10,350 Additions based on tax positions related to prior years 1,999 61,909 1,670 Reductions based on tax positions related to prior years (296,265) (13,028) (6,291) Reductions based on tax positions related to settlements with taxing authorities (831) (2,362) (8,328) Reductions based on tax positions related to the lapse of the statute of limitations (876) (1,963) (5,923) Balance as of end of period $ 378,467 $ 674,207 $ 385,394 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Employee Benefit Plans | |
Schedule of expense recognized related to the 401(k) Plan | For the Years Ended December 31, Expense Recognized Related to the 401(k) Plan 2020 2019 2018 (In thousands) Matching contributions, net of forfeitures $ 11,549 $ 11,181 $ 10,300 Discretionary stock contributions, net of forfeitures $ 29,784 $ 28,774 $ 27,048 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based compensation | |
Schedule of exercise prices for stock options outstanding and exercisable | As of December 31, 2020 Options Outstanding Options Exercisable Number Weighted- Weighted- Number Weighted- Weighted- $ 10.01 - $ 20.00 244,500 8.30 $ 18.70 8,336 7.75 $ 18.70 $ 20.01 - $ 30.00 13,563,775 9.63 $ 27.68 694,722 1.60 $ 27.17 $ 30.01 - $ 40.00 8,911,281 7.44 $ 35.49 2,930,928 7.14 $ 35.49 $ 40.01 - $ 50.00 1,436,028 6.55 $ 47.48 659,500 6.30 $ 47.30 $ 50.01 - $ 60.00 2,034,878 5.49 $ 57.53 488,752 4.73 $ 56.88 $ 60.01 - $ 70.00 1,058,200 5.41 $ 64.24 411,000 5.07 $ 65.18 $ 10.01 - $ 70.00 27,248,662 8.27 $ 34.85 5,193,238 5.90 $ 40.21 |
Schedule of stock option activity | For the Years Ended December 31, 2020 2019 2018 Options Weighted- Options Weighted- Options Weighted- Total options outstanding, beginning of period 13,715,612 $ 41.71 14,202,039 $ 42.08 8,847,734 $ 43.90 Granted (1) 15,410,500 $ 28.71 1,538,250 $ 33.44 7,494,012 $ 38.41 Exercised (714,595) $ 17.44 (714,061) $ 27.46 (267,905) $ 16.43 Forfeited and cancelled (1,162,855) $ 45.17 (1,310,616) $ 43.72 (1,871,802) $ 39.67 Total options outstanding, end of period 27,248,662 $ 34.85 13,715,612 $ 41.71 14,202,039 $ 42.08 Performance/market based options outstanding, end of period (2) 17,403,339 $ 32.59 7,965,501 $ 40.10 8,969,886 $ 40.34 Exercisable at end of period 5,193,238 $ 40.21 2,507,834 $ 44.93 1,781,153 $ 41.41 (1) Includes the Ergen 2020 Performance Award of 12,500,000 options granted on November 6, 2020 . (2) These stock options are included in the caption “Total options outstanding, end of period.” See discussion of the 2013 LTIP, 2017 LTIP, 2019 LTIP, Ergen 2020 Performance Award and Other Employee Performance Awards below. |
Schedule of realized tax benefits from stock awards exercised | For the Years Ended December 31, 2020 2019 2018 (In thousands) Tax benefit from stock awards exercised $ 7,576 $ 1,239 $ 1,664 |
Schedule of aggregate intrinsic value of stock options outstanding and exercisable | As of December 31, 2020 Options Options (In thousands) Aggregate intrinsic value $ 66,497 $ 3,719 |
Schedule of restricted stock unit activity | For the Years Ended December 31, 2020 2019 2018 Restricted Weighted- Restricted Weighted- Restricted Weighted- Total restricted stock units/awards outstanding, beginning of period 1,504,370 $ 50.81 1,760,225 $ 52.15 2,484,720 $ 51.16 Granted 1,696,000 $ 33.07 — $ — — $ — Vested (1) (916,315) $ 53.82 (11,175) $ 63.49 (11,935) $ 63.49 Forfeited and cancelled (420,945) $ 42.56 (244,680) $ 59.82 (712,560) $ 48.51 Total restricted stock units/awards outstanding, end of period 1,863,110 $ 35.04 1,504,370 $ 50.81 1,760,225 $ 52.15 Restricted Performance Units/Awards outstanding, end of period (2) 1,755,125 $ 34.89 1,483,800 $ 50.64 1,726,250 $ 51.92 (1) This change resulted from certain Other Employee Performance Awards that vested during the third quarter 2020. (2) These stock units/awards are included in the caption “Total restricted stock units/awards outstanding, end of period.” See discussion of the 2013 LTIP and Other Employee Performance Awards below. |
Schedule of non-cash, stock-based compensation expense recognized | For the Years Ended December 31, Non-Cash, Stock-Based Compensation Expense Recognized (1) 2020 2019 2018 (In thousands) 2019 LTIP $ 13,088 $ 15,300 $ 3,534 2017 LTIP - (13,974) 3,334 2013 LTIP (819) (1,313) (2,471) Ergen 2020 Performance Award 5,029 — — Other employee performance awards 29,181 (569) 17,945 Total non-cash, stock-based compensation expense recognized for performance based awards $ 46,479 $ (556) $ 22,342 (1) “Non-Cash, Stock-Based Compensation Expense Recognized” includes forfeitures. |
Schedule of awards outstanding pursuant to performance-based stock incentive plans | As of December 31, 2020 Performance Based Stock Options Number of Weighted- 2019 LTIP 1,996,268 $ 34.75 2017 LTIP 2,034,571 $ 56.89 2013 LTIP 872,500 $ 40.82 Ergen 2020 Performance Award 12,500,000 $ 27.71 Total 17,403,339 $ 32.59 Restricted Performance Units/Awards 2013 LTIP 436,250 Other employee performance awards 1,318,875 Total 1,755,125 |
Schedule of allocated non-cash, stock-based compensation expense for all employees | For the Years Ended December 31, 2020 2019 2018 (In thousands) Cost of services $ 7,419 $ 883 $ 1,412 Selling, general and administrative 57,535 13,379 34,849 Total non-cash, stock-based compensation $ 64,954 $ 14,262 $ 36,261 |
Schedule of assumptions of Black-Scholes option valuation model | For the Years Ended December 31, Stock Options 2020 2019 2018 Risk-free interest rate 0.17 % - 1.72 % 1.51 % - 2.53 % 2.09 % - 2.98 % Volatility factor 28.91 % - 48.08 % 28.86 % - 32.08 % 23.33 % - 30.22 % Expected term of options in years 3.3 - 5.5 4.3 - 5.5 2.8 - 5.5 Fair value of options granted $ 5.50 - $ 12.10 $ 7.58 - $ 12.45 $ 7.10 - $ 12.53 |
LTIP 2019, LTIP 2017, LTIP 2013 and Other | |
Share-based compensation | |
Schedule of unrecognized non-cash, stock-based compensation expense | Estimated Remaining Non-Cash, Stock-Based Compensation Expense 2019 LTIP 2017 LTIP 2013 LTIP Ergen 2020 Performance Award Other (In thousands) Expense estimated to be recognized during 2021 $ 3,566 $ — $ — $ 28,113 $ 15,939 Estimated contingent expense subsequent to 2021 6,611 — 29,176 58,745 20,246 Total estimated remaining expense over the term of the plan $ 10,177 $ — $ 29,176 $ 86,858 $ 36,185 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies | |
Schedule of future maturities of long-term debt, finance lease and contractual obligations | Payments due by period Total 2021 2022 2023 2024 2025 Thereafter (In thousands) Long-term debt obligations $ 16,637,809 $ 2,027,604 $ 2,027,112 $ 1,528,030 $ 3,027,186 $ 2,007,641 $ 6,020,236 Interest expense on long-term debt 3,178,253 733,927 $ 666,192 $ 510,411 $ 460,223 $ 330,000 $ 477,500 Finance lease obligations (1) 162,174 58,379 38,993 35,478 29,324 — — Interest expense on finance lease obligations (1) 28,084 11,923 9,314 5,464 1,383 — — Other long-term obligations (2) 4,349,902 350,154 99,048 136,544 173,146 196,000 3,395,010 Operating lease obligations (1) 138,141 71,614 35,074 16,908 9,850 3,205 1,490 Purchase obligations 1,933,440 1,897,777 26,947 8,716 — — — Total $ 26,427,803 $ 5,151,378 $ 2,902,680 $ 2,241,551 $ 3,701,112 $ 2,536,846 $ 9,894,236 (1) See Note 10 for further information on leases and the adoption of ASC 842. (2) Represents minimum payments related to tower obligations, certain 5G Network Deployment commitments and satellite related and other obligations. |
Summary of Wireless Spectrum Licenses | As of December 31, 2020 Build-Out Deadlines Carrying Expiration Amount Interim Final Date (In thousands) Owned: DBS Licenses (1) $ 677,409 700 MHz Licenses 711,871 June 14, 2022 (2) June 14, 2023 (4) June 2023 AWS-4 Licenses 1,940,000 June 14, 2022 (2) June 14, 2023 (4) June 2023 H Block Licenses 1,671,506 June 14, 2022 (2) June 14, 2023 (5) June 2023 600 MHz Licenses 6,211,154 June 14, 2025 (6) June 2029 MVDDS Licenses (1) 24,000 August 2024 LMDS Licenses (1) — September 2028 28 GHz Licenses 2,883 October 2, 2029 (7) October 2029 24 GHz Licenses 11,772 December 11, 2029 (7) December 2029 37 GHz, 39 GHz and 47 GHz Licenses 202,533 June 4, 2030 (7) June 2030 Subtotal 11,453,128 Non-controlling Investments: Northstar 5,618,930 October 2021 (3) October 2027 (8) October 2027 (8) SNR 4,271,459 October 2021 (3) October 2027 (8) October 2027 (8) Total AWS-3 Licenses 9,890,389 Capitalized Interest (9) 5,560,422 Total $ 26,903,939 (1) The build-out deadlines for these licenses have been met. (2) For these licenses, we must offer 5G broadband service to at least 20% of the United States population and have developed a core network by this date. (3) For these licenses, Northstar Wireless and SNR Wireless must provide reliable signal coverage and offer service to at least 40% of the population of each license area by this date. (4) For these licenses, we must offer 5G broadband service to 70% of the United States population by this date; provided, however, if by June 14, 2023, we are offering 5G broadband service with respect to these licenses to at least 50% of the population of the United States, the final deadline shall be further extended automatically to June 14, 2025, for us to construct and offer 5G broadband service to at least 70% of the population in each Economic Area (which is a service area established by the FCC) with respect to these licenses. (5) For these licenses, we must offer 5G broadband service to at least 70% of the United States population by this date; provided, however, that if by June 14, 2023, we are offering 5G Broadband Service with respect to these licenses to at least 50% of the population of the United States, the final deadline shall be further extended automatically to June 14, 2025, for us to construct and offer 5G broadband service to at least 75% of the population in each Economic Area with respect to these licenses. (6) For these licenses, we must offer 5G broadband service to at least 75% of the population in each Partial Economic Area (which are service areas established by the FCC) by this date. (7) There are a variety of build-out options and associated build-out metrics associated with these licenses. (8) For these licenses, Northstar Wireless and SNR Wireless must provide reliable signal coverage and offer service to at least 75% of the population of each license area by this date. If the AWS-3 interim build-out requirement is not met, the AWS-3 expiration date and the AWS-3 final build-out requirement may be accelerated by two years (from October 2027 to October 2025) for each AWS-3 License area in which Northstar Wireless and SNR Wireless do not meet the requirement. (9) See Note 2 for further information. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting | |
Schedule of assets, revenue, and operating income by segment | As of December 31, 2020 2019 (In thousands) Total assets: Pay-TV $ 36,251,281 $ 31,531,612 Wireless 29,921,237 25,686,381 Eliminations (27,932,571) (23,987,058) Total assets $ 38,239,947 $ 33,230,935 All Other & Consolidated Pay-TV Wireless Eliminations Total (In thousands) Year Ended December 31, 2020 Total revenue $ 12,897,413 $ 2,599,842 $ (3,820) $ 15,493,435 Depreciation and amortization 613,926 100,626 — 714,552 Operating income (loss) 2,903,183 (320,568) — 2,582,615 Interest income 1,676,953 4 (1,654,223) 22,734 Interest expense, net of amounts capitalized (922,876) (744,321) 1,654,223 (12,974) Other, net 2,020 (22,184) — (20,164) Income tax (provision) benefit, net (836,296) 138,021 — (698,275) Net income (loss) 2,822,984 (949,048) — 1,873,936 Year Ended December 31, 2019 Total revenue $ 12,810,248 $ 1,673 $ (4,237) $ 12,807,684 Depreciation and amortization 621,810 8,767 — 630,577 Operating income (loss) 1,961,700 (82,824) — 1,878,876 Interest income 1,588,023 — (1,510,809) 77,214 Interest expense, net of amounts capitalized (988,295) (546,201) 1,510,809 (23,687) Other, net 10,940 584 — 11,524 Income tax (provision) benefit, net (615,664) 164,306 — (451,358) Net income (loss) 1,956,705 (464,136) — 1,492,569 Year Ended December 31, 2018 Total revenue $ 13,621,198 $ 580 $ (476) $ 13,621,302 Depreciation and amortization 698,336 13,688 — 712,024 Operating income (loss) 2,187,675 (40,054) — 2,147,621 Interest income 1,495,371 — (1,450,612) 44,759 Interest expense, net of amounts capitalized (1,013,062) (452,556) 1,450,612 (15,006) Other, net 8,957 2,844 — 11,801 Income tax (provision) benefit, net (650,858) 117,174 — (533,684) Net income (loss) 2,028,083 (372,592) — 1,655,491 |
Schedule of revenue by geographical region | For the Years Ended December 31, Revenue: 2020 2019 2018 (In thousands) United States $ 15,442,371 $ 12,759,909 $ 13,578,254 Canada and Mexico 51,064 47,775 43,048 Total revenue $ 15,493,435 $ 12,807,684 $ 13,621,302 |
Revenue from external customers disaggregated by major revenue source | For the Years Ended December 31, Category: 2020 2019 2018 (In thousands) Pay-TV subscriber and related revenue $ 12,702,345 $ 12,616,442 $ 13,456,088 Wireless services and related revenue 2,143,703 — — Pay-TV equipment sales and other revenue 195,068 193,806 165,110 Wireless equipment sales and other revenue 456,139 1,673 580 Eliminations (3,820) (4,237) (476) Total $ 15,493,435 $ 12,807,684 $ 13,621,302 |
Contract Balances (Tables)
Contract Balances (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Contract Balances | |
Summary of activity in the allowance for doubtful accounts | Allowance for credit losses Balance at Current Period Provision for Expected Credit Losses Write-offs Charged Against Allowance Balance at (In thousands) For the years ended: December 31, 2020 $ 19,280 $ 84,697 $ (31,699) $ 72,278 December 31, 2019 $ 16,966 $ 69,866 $ (67,552) $ 19,280 December 31, 2018 $ 15,511 $ 98,575 $ (97,120) $ 16,966 |
Schedule of changes in deferred revenue related to contracts with subscribers | Contract Liabilities (In thousands) Balance as of December 31, 2019 $ 613,272 Recognition of unearned revenue (9,622,625) Deferral of revenue 9,788,185 Balance as of December 31, 2020 $ 778,832 |
Quarterly Financial Data (Una_2
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Data (Unaudited) | |
Schedule of quarterly results of operations | For the Three Months Ended March 31 June 30 September 30 December 31 (In thousands, except per share data) Year ended December 31, 2020: Total revenue $ 3,217,389 $ 3,187,090 $ 4,531,591 $ 4,557,365 Operating income (loss) 144,078 637,650 811,248 989,639 Net income (loss) 99,274 480,406 532,959 761,297 Net income (loss) attributable to DISH Network 73,099 452,343 504,599 732,632 Basic net income (loss) per share attributable to DISH Network $ 0.14 $ 0.86 $ 0.96 $ 1.39 Diluted net income (loss) per share attributable to DISH Network $ 0.13 $ 0.78 $ 0.86 $ 1.24 Year ended December 31, 2019: Total revenue $ 3,187,144 $ 3,211,312 $ 3,168,363 $ 3,240,865 Operating income (loss) 456,300 430,732 468,892 522,952 Net income (loss) 361,299 340,566 377,157 413,547 Net income (loss) attributable to DISH Network 339,761 317,043 353,304 389,404 Basic net income (loss) per share attributable to DISH Network $ 0.73 $ 0.68 $ 0.74 $ 0.77 Diluted net income (loss) per share attributable to DISH Network $ 0.65 $ 0.60 $ 0.66 $ 0.69 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
NagraStar | |
Schedule of transactions with related party | For the Years Ended December 31, 2020 2019 2018 (In thousands) Purchases (including fees): Purchases from NagraStar $ 53,902 $ 56,284 $ 72,162 As of December 31, 2020 2019 (In thousands) Amounts Payable and Commitments: Amounts payable to NagraStar $ 9,038 $ 9,630 Commitments to NagraStar $ 3,260 $ 4,893 |
Dish Mexico | |
Schedule of transactions with related party | For the Years Ended December 31, 2020 2019 2018 (In thousands) Sales: Digital receivers and related components $ — $ — $ 1,227 Satellite capacity 21,850 6,736 — Uplink services 5,095 5,620 5,426 Total $ 26,945 $ 12,356 $ 6,653 As of December 31, 2020 2019 (In thousands) Amounts Receivable: Amounts receivable from Dish Mexico $ 17,029 $ 7,057 |
Organization and Business Act_2
Organization and Business Activities (Details) $ in Thousands | Aug. 01, 2020item | Mar. 31, 2020USD ($) | Dec. 31, 2020USD ($)itemareasegment | Dec. 31, 2020USD ($)itemarea | Dec. 31, 2019USD ($) |
Spectrum Investments | |||||
Number of primary operating business segments | segment | 2 | ||||
Number of business units | item | 2 | ||||
Number of Pay-TV subscribers | item | 11,290,000 | 11,290,000 | |||
Number Of wireless subscribers | item | 9,055,000 | 9,055,000 | |||
Payment to acquire certain wireless licenses and related assets | $ 21,000,000 | ||||
FCC authorizations | $ 26,903,939 | 26,903,939 | $ 25,779,503 | ||
Total debt and equity investments in subsidiaries | 10,000,000 | 10,000,000 | |||
Non-cash impairment charge | $ 253,000 | 227,000 | |||
Network Development Future Expenditures | 10,000,000 | ||||
Capitalized interest on FCC authorizations [Member] | |||||
Spectrum Investments | |||||
FCC authorizations | $ 5,560,422 | $ 5,560,422 | 4,638,519 | ||
Prepaid Business | |||||
Spectrum Investments | |||||
Number of retail wireless subscribers acquired | item | 9,000,000 | ||||
Sling TV Holding L.L.C. | |||||
Spectrum Investments | |||||
Number of Pay-TV subscribers | item | 2,474,000 | 2,474,000 | |||
Lease Agreement With Crown Castle | |||||
Spectrum Investments | |||||
Area of Leased Space | area | 20,000 | 20,000 | |||
Ting Mobile | |||||
Spectrum Investments | |||||
Number of retail wireless subscribers acquired | item | 200,000 | 200,000 | |||
Northstar Spectrum And SNR Holdco | |||||
Spectrum Investments | |||||
Total debt and equity investments in subsidiaries | $ 10,000,000 | $ 10,000,000 | |||
Dish TV | |||||
Spectrum Investments | |||||
Number of Pay-TV subscribers | item | 8,816,000 | 8,816,000 | |||
Wireless | |||||
Spectrum Investments | |||||
Payment to acquire certain wireless licenses and related assets | $ 11,000,000 | ||||
FCC authorizations | $ 11,453,128 | $ 11,453,128 | $ 11,250,595 |
Organization and Business Act_3
Organization and Business Activities - Asset Purchase Agreement (Details) - USD ($) $ in Millions | Apr. 01, 2020 | Jul. 26, 2019 |
Asset Purchase Agreement | ||
Asset Purchase Agreement | ||
Purchase price | $ 1,400 | |
Spectrum Purchase Agreement. | ||
Asset Purchase Agreement | ||
Purchase price | $ 3,590 | |
Option Agreement | ||
Asset Purchase Agreement | ||
Term of final judgement from the date of its entry with the District Court. | 7 years | 7 years |
Term of final judgement if DOJ gives notice | 5 years |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | Dec. 30, 2020 | Jul. 01, 2020 | Mar. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Accounting policy disclosures | ||||||
Trade accounts receivable, net | $ 1,104,202 | $ 588,358 | ||||
Allowance for credit losses | 72,278 | 19,280 | ||||
Capitalized Contract Cost | 316,000 | 207,000 | ||||
Amortization expense related to the programs | 160,000 | 76,000 | ||||
Total costs capitalized | $ 456,000 | 300,000 | ||||
Revenue, Practical Expedient, Financing Component [true false] | true | |||||
Derivative Financial Instruments | ||||||
Derivative instruments - net realized and/or unrealized gains (losses) | $ (22,000) | |||||
Impairment of Long-Lived Assets | ||||||
Impairment of long-lived assets | $ 356,418 | |||||
Long-Term Deferred Revenue, Distribution and Carriage Payments | ||||||
Deferred upfront payment, amortization period | 10 years | |||||
Variable Interest Entity | ||||||
Redeemable noncontrolling interests | $ 350,648 | 552,075 | ||||
Payment For Purchase Agreement | 311,735 | |||||
Advertising expenses | 528,000 | 520,000 | $ 426,000 | |||
Research and Development | ||||||
Research and development cost | $ 24,000 | 21,000 | $ 24,000 | |||
Leases | ||||||
Option to extend - Operating | true | |||||
Option to extend - Finance | true | |||||
Option to terminate period - Operating | 1 year | |||||
Option to terminate period - Finance | 1 year | |||||
Option to terminate - Operating | true | |||||
Option to terminate - Finance | true | |||||
Minimum | ||||||
Property and Equipment | ||||||
Estimated useful life | 2 years | |||||
Impairment of Long-Lived Assets | ||||||
Useful life | 5 years | |||||
Business Combinations | ||||||
Acquired intangible assets, average finite useful life | 5 years | |||||
Leases | ||||||
Option to extend period - Operating | 1 year | |||||
Option to extend period - Finance | 1 year | |||||
Maximum | ||||||
Property and Equipment | ||||||
Estimated useful life | 40 years | |||||
Impairment of Long-Lived Assets | ||||||
Useful life | 20 years | |||||
Business Combinations | ||||||
Acquired intangible assets, average finite useful life | 20 years | |||||
Leases | ||||||
Option to extend period - Operating | 16 years | |||||
Option to extend period - Finance | 16 years | |||||
NBIoT capitalized costs | ||||||
Impairment of Long-Lived Assets | ||||||
Impairment of long-lived assets | $ 253,000 | |||||
EchoStar | ||||||
Accounting policy disclosures | ||||||
Trade accounts receivable, net | $ 1,000 | $ 1,000 | ||||
Northstar Manager LLC | Class B common stock | ||||||
Variable Interest Entity | ||||||
Ownership percentage | 97.00% | |||||
Payment For Purchase Agreement | $ 312,000 | |||||
Equity Method Investment, Ownership Percentage | 3.00% | |||||
Northstar Manager LLC | American II | Class B common stock | ||||||
Variable Interest Entity | ||||||
Ownership percentage | 80.00% | |||||
AWS-4 Satellites | ||||||
Accounting policy disclosures | ||||||
Fair value after write down | 0 | 0 | ||||
Impairment of Long-Lived Assets | ||||||
Impairment of long-lived assets | $ 103,000 | 103,000 | ||||
Boost Mobile Aquisition [Member] | ||||||
Derivative Financial Instruments | ||||||
Spectrum purchase option fair value | $ 713,000 | $ 713,000 | ||||
Boost Mobile Aquisition [Member] | Minimum | ||||||
Impairment of Long-Lived Assets | ||||||
Useful life | 1 year | 1 year | ||||
Boost Mobile Aquisition [Member] | Maximum | ||||||
Impairment of Long-Lived Assets | ||||||
Useful life | 10 years | 10 years | ||||
Ting Mobile | Minimum | ||||||
Impairment of Long-Lived Assets | ||||||
Useful life | 2 years | |||||
Ting Mobile | Maximum | ||||||
Impairment of Long-Lived Assets | ||||||
Useful life | 10 years | |||||
BoostUP | ||||||
Accounting policy disclosures | ||||||
Trade accounts receivable, net | $ 114,000 | |||||
Allowance for credit losses | $ 20,000 | |||||
Installment plan period for long term customers | 18 months |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Impairment of Long-lived assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2020 | Dec. 31, 2020 | |
Impairment of long-lived assets | $ 356,418 | |
T1 | ||
Impairment of long-lived assets | 48,120 | |
D1 | ||
Impairment of long-lived assets | 55,000 | |
NBIoT capitalized costs | ||
Impairment of long-lived assets | $ 253,000 | |
NBIoT capitalized costs | Construction in progress | ||
Impairment of long-lived assets | 226,742 | |
NBIoT capitalized costs | Operating lease assets | ||
Impairment of long-lived assets | $ 26,556 |
Basic and Diluted Net Income _3
Basic and Diluted Net Income (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 21, 2020 | Mar. 17, 2017 | Aug. 08, 2016 | |
Net income (loss) | $ 761,297 | $ 532,959 | $ 480,406 | $ 99,274 | $ 413,547 | $ 377,157 | $ 340,566 | $ 361,299 | $ 1,873,936 | $ 1,492,569 | $ 1,655,491 | |||
Less: Net income (loss) attributable to noncontrolling interests, net of tax | 111,263 | 93,057 | 80,400 | |||||||||||
Net income (loss) attributable to DISH Network | $ 732,632 | $ 504,599 | $ 452,343 | $ 73,099 | $ 389,404 | $ 353,304 | $ 317,043 | $ 339,761 | 1,762,673 | 1,399,512 | 1,575,091 | |||
Net income (loss) attributable to DISH Network - Diluted | $ 1,762,673 | $ 1,399,512 | $ 1,575,091 | |||||||||||
Weighted-average common shares outstanding - Class A and B common stock: | ||||||||||||||
Basic (in shares) | 524,761 | 479,657 | 467,350 | |||||||||||
Dilutive impact of Convertible Notes (in shares) | 59,526 | 58,192 | 58,192 | |||||||||||
Dilutive impact of stock awards outstanding (in shares) | 73 | 115 | 290 | |||||||||||
Diluted (in shares) | 584,360 | 537,964 | 525,832 | |||||||||||
Earnings per share - Class A and B common stock: | ||||||||||||||
Basic net income (loss) per share attributable to DISH Network (in dollars per share) | $ 1.39 | $ 0.96 | $ 0.86 | $ 0.14 | $ 0.77 | $ 0.74 | $ 0.68 | $ 0.73 | $ 3.36 | $ 2.92 | $ 3.37 | |||
Diluted net income (loss) per share attributable to DISH Network (in dollars per share) | $ 1.24 | $ 0.86 | $ 0.78 | $ 0.13 | $ 0.69 | $ 0.66 | $ 0.60 | $ 0.65 | $ 3.02 | $ 2.60 | $ 3 | |||
Interest rate (as a percent) | 7.75% | 7.75% | ||||||||||||
3 3/8% Convertible Notes due 2026 | ||||||||||||||
Earnings per share - Class A and B common stock: | ||||||||||||||
Interest rate (as a percent) | 3.375% | |||||||||||||
2 3/8% Convertible Notes due 2024 | ||||||||||||||
Earnings per share - Class A and B common stock: | ||||||||||||||
Interest rate (as a percent) | 2.375% | 2.375% | 2.375% | |||||||||||
0% Convertible Notes Due 2025 | ||||||||||||||
Earnings per share - Class A and B common stock: | ||||||||||||||
Interest rate (as a percent) | 0.00% | 0.00% | 0.00% | |||||||||||
Convertible Common Stock [Member] | 0% Convertible Notes Due 2025 | ||||||||||||||
Earnings per share - Class A and B common stock: | ||||||||||||||
Common stock, shares issued | 48,800 | 48,800 |
Basic and Diluted Net Income _4
Basic and Diluted Net Income (Loss) Per Share - Performance based stock (Details) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 74,270 | 60,950 | 61,102 |
Strike price of the warrants | $ 86.08 | ||
Anti-dilutive stock awards | |||
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 9,083 | 5,471 | 4,377 |
Performance based options | |||
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 17,403 | 7,966 | 8,970 |
Restricted Performance Units/Awards | |||
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 1,755 | 1,484 | 1,726 |
Common stock warrants | |||
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 46,029 | 46,029 | 46,029 |
Supplemental Data - Statement_3
Supplemental Data - Statements of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Mar. 17, 2017 | |
Supplemental Data - Statements of Cash Flows | ||||
Cash paid for interest (including capitalized interest) | $ 778,448 | $ 900,125 | $ 921,238 | |
Cash received for interest | 5,945 | 40,795 | 15,037 | |
Cash paid for income taxes | 150,885 | 30,552 | 31,308 | |
Capitalized interest (1) | 924,644 | 980,299 | 1,012,177 | |
Master Transaction Agreement, net of deferred tax of $166,161 | 497,145 | |||
Initial equity component of our 0% convertibles due 2025, net of deferred taxes of $99,823 | $ 329,409 | |||
Interest rate (as a percent) | 7.75% | |||
Employee benefits paid in Class A common stock | $ 28,301 | 27,004 | $ 27,322 | |
Deferred other tax expense (benefit) | 166,161 | $ 166,161 | ||
Vendor financing | $ 74,895 | |||
2 3/8% Convertible Notes due 2024 | ||||
Supplemental Data - Statements of Cash Flows | ||||
Interest rate (as a percent) | 2.375% | 2.375% | ||
0% Convertible Notes due 2025 | ||||
Supplemental Data - Statements of Cash Flows | ||||
Interest rate (as a percent) | 0.00% | |||
Deferred tax related to equity component of convertible notes | $ 99,823 |
Other Comprehensive Income (L_3
Other Comprehensive Income (Loss) - Other comprehensive income (loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other comprehensive income (loss), before tax amount | |||
Other comprehensive income (loss), before tax amount | $ (918) | $ 1,051 | $ (1,880) |
Other comprehensive income (loss), tax (expense) benefit | |||
Other comprehensive income (loss), tax (expense) benefit | 81 | (195) | 124 |
Other comprehensive income (loss): | |||
Total other comprehensive income (loss), net of tax | (837) | 856 | (1,756) |
Foreign Currency Translation Adjustment | |||
Other comprehensive income (loss), before tax amount | |||
Other comprehensive income (loss), before reclassifications, before tax | (827) | 223 | (1,343) |
Other comprehensive income (loss), tax (expense) benefit | |||
Other comprehensive income (loss), before reclassifications, tax (expense) benefit | 61 | ||
Other comprehensive income (loss): | |||
Other comprehensive income (loss), before reclassifications, net of tax | (766) | 223 | (1,343) |
Unrealized/Recognized Gains (Losses) | |||
Other comprehensive income (loss), before tax amount | |||
Other comprehensive income (loss), before reclassifications, before tax | (29) | 1,127 | (529) |
Amounts reclassified from accumulated other comprehensive income (loss), before tax | (62) | (299) | (8) |
Other comprehensive income (loss), tax (expense) benefit | |||
Other comprehensive income (loss), before reclassifications, tax (expense) benefit | 7 | (265) | 122 |
Amounts reclassified from accumulated other comprehensive income (loss), tax (expense) benefit | 13 | 70 | 2 |
Other comprehensive income (loss): | |||
Other comprehensive income (loss), before reclassifications, net of tax | (22) | 862 | (407) |
Amounts reclassified from accumulated other comprehensive income (loss), net of tax | $ (49) | $ (229) | $ (6) |
Other Comprehensive Income (L_4
Other Comprehensive Income (Loss) - Accumulated other comprehensive income (loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Accumulated Other Comprehensive Income (Loss) | |||
Accumulated other comprehensive income (loss), balance at beginning of period, net | $ (18) | $ (874) | |
Foreign currency translation adjustments | (827) | 223 | $ (1,343) |
Foreign currency translation adjustments, net of tax | (766) | ||
Other comprehensive income (loss) before reclassification | (22) | 862 | |
Amounts reclassified from accumulated other comprehensive income (loss) | (49) | (229) | |
Accumulated other comprehensive income (loss), balance at end of period, net | (855) | (18) | (874) |
Foreign Currency Translation Adjustment | |||
Accumulated Other Comprehensive Income (Loss) | |||
Accumulated other comprehensive income (loss), balance at beginning of period, net | (93) | (316) | |
Foreign currency translation adjustments | 223 | ||
Foreign currency translation adjustments, net of tax | (766) | ||
Accumulated other comprehensive income (loss), balance at end of period, net | (859) | (93) | (316) |
Unrealized/Recognized Gains (Losses) | |||
Accumulated Other Comprehensive Income (Loss) | |||
Accumulated other comprehensive income (loss), balance at beginning of period, net | 75 | (558) | |
Other comprehensive income (loss) before reclassification | (22) | 862 | |
Amounts reclassified from accumulated other comprehensive income (loss) | (49) | (229) | |
Accumulated other comprehensive income (loss), balance at end of period, net | $ 4 | $ 75 | $ (558) |
Acquisitions (Details)
Acquisitions (Details) $ in Thousands, customer in Millions | Jul. 01, 2020USD ($)customer | Jul. 26, 2019USD ($) | Dec. 31, 2020USD ($)item | Sep. 11, 2020USD ($) | Dec. 31, 2019USD ($) |
Business Acquisition [Line Items] | |||||
Goodwill | $ 126,000 | ||||
Annual Lease payment | $ 56,000 | ||||
Master Network Service Agreement | |||||
Business Acquisition [Line Items] | |||||
Maximum permitted ownership percent | 50.00% | ||||
Master Network Service Agreement Period | 7 years | ||||
Service Receipt Period | 2 years | ||||
Service receipt period | 2 years | ||||
Provision For New User After Change Of Control | 6 months | ||||
Threshold Ownership Percentage Of Not Permitted Owners | 50.00% | ||||
service pass through costs and out of pocket expenses charging period | 36 months | ||||
Percentage Of Wireless Communication Business Assets Are Sold | 50.00% | ||||
Percentage Of Voting Power Or Economic Value Held By Restricted Persons | 50.00% | ||||
Option Agreement | |||||
Business Acquisition [Line Items] | |||||
Spectrum Lease Period | 6 years | ||||
Number of cell sites | item | 20,000 | ||||
Number of retail stores | item | 400 | ||||
Period in which cell sites are scheduled to be decommissioned | 5 years | ||||
Option agreement term | 5 years | ||||
Period after closing of prepaid business sale, transfer asset request is admissible | 1 year | ||||
Period within closing of prepaid business sale, required to offer nationwide postpaid retail mobile wireless service | 1 year | ||||
Percentage of purchase price | 10.00% | ||||
Percentage of population served | 20.00% | ||||
Period in which at least 20% of population served to avoid payment of damages | 3 years | ||||
Period obliged to provide DOJ with description of deployment efforts | 180 days | ||||
Damages To Be Paid In Case Of Breach Of Agreement | $ 360,000 | ||||
Transition Services Agreement | |||||
Business Acquisition [Line Items] | |||||
Transaction Agreements Period After Provision New Or Existing Customers Of Prepaid Business | 2 years | ||||
Transition Services Agreement Provided At Cost Period | 2 years | ||||
Spectrum Purchase Agreement. | |||||
Business Acquisition [Line Items] | |||||
Period of spectrum divestiture extend | 60 days | ||||
Period within which divesture to be completed after receipt of FCC approval | 3 years | ||||
Threshold divesture deadline extension period | 5 days | ||||
Spectrum lease back period | 2 years | ||||
per-Pop rate | $ 68,000 | ||||
Decrease in purchase price due to failure to complete rebanding activities | 72,000 | ||||
Damages sought value in case of breach of agreement | $ 72,000 | ||||
Minimum | |||||
Business Acquisition [Line Items] | |||||
Useful life | 5 years | ||||
Maximum | |||||
Business Acquisition [Line Items] | |||||
Useful life | 20 years | ||||
600 MHz Licenses | Minimum | |||||
Business Acquisition [Line Items] | |||||
Percent Of Coverage On Available Licensed Geographic Areas | 70.00% | ||||
600 MHz Licenses | Maximum | |||||
Business Acquisition [Line Items] | |||||
Percent Of Coverage On Available Licensed Geographic Areas | 75.00% | ||||
AWS-4 Satellites | Option Agreement | |||||
Business Acquisition [Line Items] | |||||
Damages To Be Paid In Case Of Breach Of Agreement | $ 2,200,000 | ||||
AWS-4 Satellites | Minimum | |||||
Business Acquisition [Line Items] | |||||
Percent Of Coverage On Available Licensed Geographic Areas | 20.00% | ||||
AWS-4 Satellites | Maximum | |||||
Business Acquisition [Line Items] | |||||
Percent Of Coverage On Available Licensed Geographic Areas | 70.00% | ||||
700 MHz Licenses | Minimum | |||||
Business Acquisition [Line Items] | |||||
Percent Of Coverage On Available Licensed Geographic Areas | 20.00% | ||||
700 MHz Licenses | Maximum | |||||
Business Acquisition [Line Items] | |||||
Percent Of Coverage On Available Licensed Geographic Areas | 70.00% | ||||
AWS H Block licenses | Minimum | |||||
Business Acquisition [Line Items] | |||||
Percent Of Coverage On Available Licensed Geographic Areas | 20.00% | ||||
AWS H Block licenses | Maximum | |||||
Business Acquisition [Line Items] | |||||
Percent Of Coverage On Available Licensed Geographic Areas | 70.00% | ||||
Aws4 And 600 Mhz | |||||
Business Acquisition [Line Items] | |||||
No sale agreement period | 6 years | ||||
Boost Mobile Aquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Total consideration | $ 1,346,024 | ||||
Trade accounts receivable and allowance for credit losses | 539,000 | ||||
Allowance for credit losses | 24,000 | ||||
Inventory | 141,718 | ||||
Amount of below market contracts acquired as intangible assets | 37,000 | ||||
Spectrum purchase option fair value | 713,000 | $ 713,000 | |||
Intangibles | 591,000 | ||||
Goodwill | $ 91,220 | ||||
Boost Mobile Aquisition [Member] | Selling, General and Administrative Expenses [Member] | |||||
Business Acquisition [Line Items] | |||||
Acquisition related transaction costs | $ 13,000 | ||||
Boost Mobile Aquisition [Member] | Minimum | |||||
Business Acquisition [Line Items] | |||||
Number Of Retail Wireless Subscribers Acquired | customer | 9 | ||||
Useful life | 1 year | 1 year | |||
Boost Mobile Aquisition [Member] | Maximum | |||||
Business Acquisition [Line Items] | |||||
Useful life | 10 years | 10 years | |||
Boost Mobile Aquisition [Member] | Customer relationships | |||||
Business Acquisition [Line Items] | |||||
Intangibles | $ 458,000 | ||||
Boost Mobile Aquisition [Member] | Trade Names [Member] | |||||
Business Acquisition [Line Items] | |||||
Intangibles | $ 96,000 | ||||
2020 Acquisition | Selling, General and Administrative Expenses [Member] | |||||
Business Acquisition [Line Items] | |||||
Acquisition related transaction costs | $ 13,000 |
Acquisitions - Fair Value of Co
Acquisitions - Fair Value of Consideration (Details) - Boost Mobile Aquisition [Member] $ in Thousands | Jul. 01, 2020USD ($) |
Business Acquisition [Line Items] | |
Cash consideration | $ 1,400,000 |
Net working capital | 33,524 |
Softbank funding | (87,500) |
Total consideration transferred | $ 1,346,024 |
Acquisitions - Purchase Price A
Acquisitions - Purchase Price Allocation (Details) - USD ($) $ in Thousands | Jul. 01, 2020 | Dec. 31, 2019 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net [Abstract] | ||
Goodwill | $ 126,000 | |
Boost Mobile Aquisition [Member] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net [Abstract] | ||
Trade accounts receivable | $ 514,786 | |
Allowance for credit losses | 24,000 | |
Inventory | 141,718 | |
Other current assets | 3,000 | |
Intangibles | 591,000 | |
Goodwill | 91,220 | |
Other noncurrent assets | 713,000 | |
Total assets | 2,054,724 | |
Trade accounts payable | 533,967 | |
Deferred revenue and other | 174,733 | |
Total liabilities | 708,700 | |
Total purchase price | $ 1,346,024 |
Acquisitions - Pro Forma Result
Acquisitions - Pro Forma Results (Details) - 2020 Acquisition - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Business Acquisition, Pro Forma Information [Abstract] | ||
Total revenue | $ 18,042 | $ 17,917 |
Net income (loss) attributable to DISH Network | $ 1,572 | $ 1,116 |
Marketable Investment Securit_3
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Marketable investment securities, restricted cash and other investment securities | ||
Strategic - available-for-sale | $ 387,000 | |
Total current marketable investment securities | 362,953 | $ 416,704 |
Total marketable investment securities | 387,420 | 417,094 |
Restricted cash and cash equivalents | 83,902 | 60,677 |
Total other investment securities | 149,706 | 160,074 |
Total marketable investment securities, restricted cash and cash equivalents, and other investment securities | 621,028 | 637,845 |
Current marketable investment securities - strategic - available-for-sale | ||
Marketable investment securities, restricted cash and other investment securities | ||
Total current marketable investment securities | 195 | 196 |
Other investment securities | ||
Marketable investment securities, restricted cash and other investment securities | ||
Total current marketable investment securities | 362,758 | 416,508 |
Other investment securities | 149,706 | 160,074 |
Restricted Marketable Investment Securities [Member] | ||
Marketable investment securities, restricted cash and other investment securities | ||
Total marketable investment securities | $ 24,467 | $ 390 |
Marketable Investment Securit_4
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities - Narrative (Details) | 12 Months Ended | |
Dec. 31, 2020 | Feb. 28, 2017 | |
Commercial paper | Maximum | ||
Other investment securities: | ||
Debt term of Maturity | 365 days | |
Corporate securities | Maximum | ||
Other investment securities: | ||
Debt term of Maturity | 18 months | |
NagraStar | ||
Other investment securities: | ||
Ownership interest (as a percent) | 50.00% |
Marketable Investment Securit_5
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities - Unrealized Gain (Losses) On Marketable Investment Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Components of our available-for-sale investments | ||
Marketable Investment Securities | $ 387,420 | $ 417,094 |
Unrealized Gains (Losses) on Marketable Investment Securities | ||
Unrealized Gains | 4 | 96 |
Unrealized Losses | (1) | |
Unrealized Gains Losses, Net | 4 | 95 |
Accumulated net unrealized losses | ||
Accumulated net unrealized gain (loss), before tax, in accumulated other comprehensive income (loss) | 1,000 | 1,000 |
Contractual maturities of restricted and non-restricted marketable investment securities | ||
Debt securities with contractual maturities within one year | 387,000 | |
US Treasury and agency securities | ||
Components of our available-for-sale investments | ||
Marketable Investment Securities | 65,992 | 10,016 |
Unrealized Gains (Losses) on Marketable Investment Securities | ||
Unrealized Gains | 3 | 32 |
Unrealized Gains Losses, Net | 3 | 32 |
Commercial paper | ||
Components of our available-for-sale investments | ||
Marketable Investment Securities | 298,435 | 369,397 |
Unrealized Gains (Losses) on Marketable Investment Securities | ||
Unrealized Gains | 2 | |
Unrealized Gains Losses, Net | 2 | |
Corporate securities | ||
Components of our available-for-sale investments | ||
Marketable Investment Securities | 22,552 | 28,796 |
Unrealized Gains (Losses) on Marketable Investment Securities | ||
Unrealized Gains | 1 | 4 |
Unrealized Losses | (1) | |
Unrealized Gains Losses, Net | 1 | 3 |
Other | ||
Components of our available-for-sale investments | ||
Marketable Investment Securities | $ 441 | 8,885 |
Unrealized Gains (Losses) on Marketable Investment Securities | ||
Unrealized Gains | 58 | |
Unrealized Gains Losses, Net | $ 58 |
Marketable Investment Securit_6
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities - Investments Measured at Fair Value On A Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Jul. 01, 2020 | Dec. 31, 2019 |
Fair value of marketable securities | |||
Marketable Investment Securities | $ 387,420 | $ 417,094 | |
Fair value of derivative | 691,000 | ||
US Treasury and agency securities | |||
Fair value of marketable securities | |||
Marketable Investment Securities | 65,992 | 10,016 | |
Commercial paper | |||
Fair value of marketable securities | |||
Marketable Investment Securities | 298,435 | 369,397 | |
Corporate securities | |||
Fair value of marketable securities | |||
Marketable Investment Securities | 22,552 | 28,796 | |
Other | |||
Fair value of marketable securities | |||
Marketable Investment Securities | 441 | 8,885 | |
Fair value measurements on recurring basis | |||
Fair value of marketable securities | |||
Cash Equivalents (including restricted) | 3,330,296 | 2,436,545 | |
Total | 387,420 | 417,094 | |
Fair value measurements on recurring basis | US Treasury and agency securities | |||
Fair value of marketable securities | |||
Total | 65,992 | 10,016 | |
Fair value measurements on recurring basis | Commercial paper | |||
Fair value of marketable securities | |||
Total | 298,435 | 369,397 | |
Fair value measurements on recurring basis | Corporate securities | |||
Fair value of marketable securities | |||
Total | 22,552 | 28,796 | |
Fair value measurements on recurring basis | Other | |||
Fair value of marketable securities | |||
Total | 441 | 8,885 | |
Fair value measurements on recurring basis | Level 1 | |||
Fair value of marketable securities | |||
Cash Equivalents (including restricted) | 363,123 | 246,876 | |
Total | 65,992 | 10,016 | |
Fair value measurements on recurring basis | Level 1 | US Treasury and agency securities | |||
Fair value of marketable securities | |||
Total | 65,992 | 10,016 | |
Fair value measurements on recurring basis | Level 2 | |||
Fair value of marketable securities | |||
Cash Equivalents (including restricted) | 2,967,173 | 2,189,669 | |
Total | 321,233 | 406,882 | |
Fair value measurements on recurring basis | Level 2 | Commercial paper | |||
Fair value of marketable securities | |||
Total | 298,435 | 369,397 | |
Fair value measurements on recurring basis | Level 2 | Corporate securities | |||
Fair value of marketable securities | |||
Total | 22,552 | 28,796 | |
Fair value measurements on recurring basis | Level 2 | Other | |||
Fair value of marketable securities | |||
Total | 246 | 8,689 | |
Fair value measurements on recurring basis | Level 3 | |||
Fair value of marketable securities | |||
Total | 195 | 196 | |
Fair value measurements on recurring basis | Level 3 | Other | |||
Fair value of marketable securities | |||
Total | 195 | $ 196 | |
Boost Mobile Aquisition [Member] | |||
Fair value of marketable securities | |||
Spectrum purchase option fair value | $ 713,000 | $ 713,000 |
Marketable Investment Securit_7
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities - Other Income Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other Income (Expense) | |||
Marketable investment securities - realized and unrealized gains (losses) | $ 178 | $ 4,604 | $ 8,165 |
Derivative instruments - net realized and/or unrealized gains (losses) | (22,000) | ||
Costs related to early redemption of debt | (483) | (3,261) | |
Gain (loss) on sale of subsidiary | 7,004 | ||
Equity in earnings (losses) of affiliates | 410 | (3,714) | (2,110) |
Other | 1,248 | 11,117 | 2,003 |
Total | $ (20,164) | $ 11,524 | $ 11,801 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Inventory | ||
Finished goods | $ 337,787 | $ 255,155 |
Work-in-process and service repairs | 25,621 | 34,120 |
Raw materials | 16,941 | 33,623 |
Total inventory | $ 380,349 | $ 322,898 |
Property and Equipment and In_3
Property and Equipment and Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Property and equipment | |||
Total property and equipment | $ 6,965,949 | $ 7,261,038 | |
Accumulated depreciation | (4,783,616) | (4,554,856) | |
Property and equipment, net | 2,182,333 | 2,706,182 | |
Impairment of long-lived assets | 356,418 | ||
Non-cash impairment charge | $ 253,000 | $ 227,000 | |
Minimum | |||
Property and equipment | |||
Depreciable Life | 2 years | ||
Maximum | |||
Property and equipment | |||
Depreciable Life | 40 years | ||
Wireless | |||
Property and equipment | |||
Impairment of long-lived assets | $ 227,000 | ||
Equipment leased to customers | |||
Property and equipment | |||
Total property and equipment | $ 1,736,660 | 1,861,668 | |
Equipment leased to customers | Minimum | |||
Property and equipment | |||
Depreciable Life | 2 years | ||
Equipment leased to customers | Maximum | |||
Property and equipment | |||
Depreciable Life | 5 years | ||
D1 | |||
Property and equipment | |||
Property and equipment, net | $ 55,000 | ||
Impairment of long-lived assets | 55,000 | ||
T1 | |||
Property and equipment | |||
Accumulated depreciation | (18,000) | ||
Property and equipment, net | $ 48,000 | ||
Depreciable Life | 14 years 3 months | ||
Impairment of long-lived assets | $ 48,120 | ||
D1 and T1 | |||
Property and equipment | |||
Estimated fair value | 0 | ||
Satellites | |||
Property and equipment | |||
Total property and equipment | $ 1,734,024 | 1,855,096 | |
Satellites | Minimum | |||
Property and equipment | |||
Depreciable Life | 2 years | ||
Satellites | Maximum | |||
Property and equipment | |||
Depreciable Life | 15 years | ||
Satellites acquired under finance lease agreements | |||
Property and equipment | |||
Total property and equipment | $ 888,940 | 888,940 | |
Satellites acquired under finance lease agreements | Minimum | |||
Property and equipment | |||
Depreciable Life | 10 years | ||
Satellites acquired under finance lease agreements | Maximum | |||
Property and equipment | |||
Depreciable Life | 15 years | ||
Furniture, fixtures, equipment and other | |||
Property and equipment | |||
Total property and equipment | $ 2,091,271 | 2,010,094 | |
Furniture, fixtures, equipment and other | Minimum | |||
Property and equipment | |||
Depreciable Life | 2 years | ||
Furniture, fixtures, equipment and other | Maximum | |||
Property and equipment | |||
Depreciable Life | 20 years | ||
Buildings and improvements | |||
Property and equipment | |||
Total property and equipment | $ 370,941 | 349,347 | |
Buildings and improvements | Minimum | |||
Property and equipment | |||
Depreciable Life | 5 years | ||
Buildings and improvements | Maximum | |||
Property and equipment | |||
Depreciable Life | 40 years | ||
Land | |||
Property and equipment | |||
Total property and equipment | $ 17,810 | 17,810 | |
Construction in progress | |||
Property and equipment | |||
Total property and equipment | 126,303 | 278,083 | |
Construction in progress | Software | |||
Property and equipment | |||
Total property and equipment | 43,555 | 51,493 | |
Construction in progress | Wireless | |||
Property and equipment | |||
Total property and equipment | 72,817 | 207,814 | |
Construction in progress | Other | |||
Property and equipment | |||
Total property and equipment | 9,931 | $ 18,776 | |
Property Plant And Equipment Net | |||
Property and equipment | |||
Impairment of long-lived assets | $ 330,000 |
Property and Equipment and In_4
Property and Equipment and Intangible Assets - Depreciation and Amortization (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Depreciation and amortization expense | |||
Depreciation and amortization expense | $ 714,552 | $ 630,577 | $ 712,024 |
Equipment leased to customers | |||
Depreciation and amortization expense | |||
Depreciation and amortization expense | 290,081 | 371,292 | 444,928 |
Satellites | |||
Depreciation and amortization expense | |||
Depreciation and amortization expense | 202,724 | 115,100 | 100,343 |
Buildings, furniture, fixtures, equipment and other | |||
Depreciation and amortization expense | |||
Depreciation and amortization expense | 128,876 | 136,783 | 137,055 |
Intangible assets | |||
Depreciation and amortization expense | |||
Depreciation and amortization expense | $ 92,871 | $ 7,402 | $ 29,698 |
Property and Equipment and In_5
Property and Equipment and Intangible Assets - Additional Information (Details) $ in Thousands | Mar. 09, 2012 | Mar. 31, 2020USD ($) | Dec. 31, 2020USD ($)item |
Property and equipment | |||
Impairment of long-lived assets | $ | $ 356,418 | ||
Number of other satellites to be relocated in the event of failure or loss of any satellite | item | 1 | ||
Wireless | |||
Property and equipment | |||
Impairment of long-lived assets | $ | $ 227,000 | ||
AWS-4 Satellites | |||
Property and equipment | |||
Ownership percentage | 100.00% | ||
AWS-4 Satellites | |||
Property and equipment | |||
Number of satellites in-orbit | item | 2 | ||
Number of satellites under construction | item | 1 | ||
Fair value after write down | $ | $ 0 | $ 0 | |
Impairment of long-lived assets | $ | $ 103,000 | 103,000 | |
T1 | |||
Property and equipment | |||
Impairment of long-lived assets | $ | 48,120 | ||
D1 | |||
Property and equipment | |||
Impairment of long-lived assets | $ | 55,000 | ||
Property Plant And Equipment Net | |||
Property and equipment | |||
Impairment of long-lived assets | $ | $ 330,000 | ||
EchoStar XVIII, including capitalized interest | |||
Property and equipment | |||
Number of satellites utilized in geostationary orbit approximately 22,300 miles above the equator | item | 13 | ||
Owned Satellites | item | 8 | ||
Number of satellites utilized under operating lease | item | 1 | ||
Number of satellites utilized under capital lease | item | 4 |
Property and Equipment and In_6
Property and Equipment and Intangible Assets - Estimated Future Amortization (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Intangible Assets | |||
Intangible Assets | $ 753,582 | $ 128,220 | |
Accumulated Amortization | (211,037) | (118,166) | |
Amortization expense | 93,000 | 7,000 | $ 10,000 |
Goodwill | 126,000 | ||
Estimated future amortization of identifiable intangible assets | |||
2021 | 157,105 | ||
2022 | 130,198 | ||
2023 | 127,809 | ||
2024 | 69,512 | ||
2025 | 11,676 | ||
Thereafter | 46,245 | ||
Total | 542,545 | ||
Wireless | |||
Intangible Assets | |||
Goodwill | $ 218,000 | ||
Minimum | |||
Intangible Assets | |||
Useful life | 5 years | ||
Maximum | |||
Intangible Assets | |||
Useful life | 20 years | ||
Technology-based | |||
Intangible Assets | |||
Intangible Assets | $ 63,078 | 63,077 | |
Accumulated Amortization | (58,453) | (57,414) | |
Trademarks | |||
Intangible Assets | |||
Intangible Assets | 133,428 | 37,010 | |
Accumulated Amortization | (40,283) | (32,619) | |
Contract-based | |||
Intangible Assets | |||
Intangible Assets | 41,500 | 4,500 | |
Accumulated Amortization | (23,000) | (4,500) | |
Customer relationships | |||
Intangible Assets | |||
Intangible Assets | 515,576 | 23,633 | |
Accumulated Amortization | $ (89,301) | $ (23,633) |
Property and Equipment and In_7
Property and Equipment and Intangible Assets - FCC Authorizations (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Indefinite-lived intangible assets | ||
FCC authorizations | $ 26,903,939 | $ 25,779,503 |
Wireless | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 11,453,128 | 11,250,595 |
DBS Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 677,409 | 677,409 |
700 MHz Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 711,871 | 711,871 |
MVDDS Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 24,000 | 24,000 |
AWS-4 Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 1,940,000 | 1,940,000 |
H Block Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 1,671,506 | 1,671,506 |
600 MHz Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 6,211,154 | 6,211,154 |
28 GHz Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 2,883 | 2,883 |
24 GHz Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 11,772 | 11,772 |
37 Ghz, 39 Ghz and 47 Ghz Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 202,533 | |
AWS-3 Licenses | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 9,890,389 | 9,890,389 |
AWS-3 Licenses | Northstar Manager And Northstar Spectrum | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 5,618,930 | 5,618,930 |
AWS-3 Licenses | SNR Wireless or SNR Wireless Holdco | ||
Indefinite-lived intangible assets | ||
FCC authorizations | 4,271,459 | 4,271,459 |
Capitalized interest on FCC authorizations [Member] | ||
Indefinite-lived intangible assets | ||
FCC authorizations | $ 5,560,422 | $ 4,638,519 |
Leases (Details)
Leases (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Sep. 11, 2020 | |
Option to extend - Operating | true | |
Option to extend - Finance | true | |
Option to terminate period - Operating | 1 year | |
Option to terminate period - Finance | 1 year | |
Option to terminate - Operating | true | |
Option to terminate - Finance | true | |
Annual Lease payment | $ 56 | |
Minimum | ||
Option to extend period - Operating | 1 year | |
Option to extend period - Finance | 1 year | |
Maximum | ||
Option to extend period - Operating | 16 years | |
Option to extend period - Finance | 16 years |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Sep. 10, 2019 | |
Leases | |||
Operating lease cost (1) | $ 71,863 | $ 223,825 | |
Short-term lease cost (2) | 11,870 | 12,077 | |
Amortization of right-of-use assets | 71,318 | 35,004 | |
Interest on lease liabilities | 21,007 | 10,800 | |
Total finance lease cost | 92,325 | 45,804 | |
Total lease costs | 176,058 | 281,706 | |
Operating lease assets | 104,271 | $ 144,330 | $ 495,000 |
Lease expense | $ 159,000 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Leases | ||
Operating cash flows from operating leases | $ 72,352 | $ 227,451 |
Operating cash flows from finance leases | 21,007 | 10,800 |
Financing cash flows from finance leases | 65,979 | 34,358 |
Operating leases | $ 47,225 | 118,381 |
Finance leases | 187,339 | |
Right-of-use assets and liabilities recognized upon adoption of ASC 842 | $ 733,584 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Sep. 10, 2019 | |
Lessee, Lease, Description [Line Items] | ||||
Operating lease right-of-use assets | $ 104,271 | $ 144,330 | $ 495,000 | |
Other current liabilities | $ 56,856 | $ 57,910 | ||
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Deferred Long-term Liability Charges | Deferred Long-term Liability Charges | ||
Operating lease liabilities | $ 63,526 | $ 84,795 | ||
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Operating lease liabilities | Operating lease liabilities | ||
Total | $ 120,382 | $ 142,705 | ||
Operating Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseLiabilityNoncurrent us-gaap:AccountsPayableCurrent | us-gaap:OperatingLeaseLiabilityNoncurrent us-gaap:AccountsPayableCurrent | ||
Property and equipment, gross | $ 6,965,949 | $ 7,261,038 | ||
Accumulated depreciation | (4,783,616) | (4,554,856) | ||
Property and equipment, net | 2,182,333 | 2,706,182 | ||
Other current liabilities | 58,379 | 61,493 | ||
Other long-term liabilities | 103,795 | 171,706 | ||
Total | $ 162,174 | $ 233,199 | ||
Operating Lease, Weighted Average Remaining Lease Term | 2 years 9 months 18 days | 3 years 1 month 6 days | ||
Finance Lease, Weighted Average Remaining Lease Term | 3 years 1 month 6 days | 3 years 9 months 18 days | ||
Operating Lease, Weighted Average Discount Rate, Percent | 4.20% | 5.00% | ||
Finance Lease, Weighted Average Discount Rate, Percent | 10.40% | 10.20% | ||
Asset Impairment Charges | $ 356,418 | |||
Property and equipment [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
Property and equipment, gross | 889,708 | $ 890,598 | ||
Accumulated depreciation | (754,292) | (683,271) | ||
Property and equipment, net | 135,416 | $ 207,327 | ||
NBIoT capitalized costs | ||||
Lessee, Lease, Description [Line Items] | ||||
Asset Impairment Charges | $ 253,000 | |||
NBIoT capitalized costs | Operating lease assets | ||||
Lessee, Lease, Description [Line Items] | ||||
Asset Impairment Charges | $ 26,556 |
Leases - Maturities of Lease Li
Leases - Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Maturities of lease liabilities: Operating lease | ||
2021 | $ 71,614 | |
2022 | 35,074 | |
2023 | 16,908 | |
2024 | 9,850 | |
2025 | 3,205 | |
Thereafter | 1,490 | |
Total lease payments | 138,141 | |
Less: Imputed interest | (17,759) | |
Total | 120,382 | $ 142,705 |
Less: Current portion | (56,856) | (57,910) |
Long-term portion of lease obligations | 63,526 | 84,795 |
Maturities of lease liabilities: Finance lease | ||
2021 | 70,302 | |
2022 | 48,307 | |
2023 | 40,942 | |
2024 | 30,707 | |
Total lease payments | 190,258 | |
Less: Imputed interest | (28,084) | |
Total | 162,174 | 233,199 |
Less: Current portion | (58,379) | (61,493) |
Long-term portion of lease obligations | 103,795 | $ 171,706 |
Future minimum payments for total lease liabilities | ||
2021 | 141,916 | |
2022 | 83,381 | |
2023 | 57,850 | |
2024 | 40,557 | |
2025 | 3,205 | |
Thereafter | 1,490 | |
Total lease payments | 328,399 | |
Less: Imputed interest | (45,843) | |
Total | 282,556 | |
Less: Current portion | (115,235) | |
Long-term portion of lease obligations | $ 167,321 |
Long-Term Debt and Finance Le_3
Long-Term Debt and Finance Lease Obligations - Fair Value of Long-Term Debt (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Jul. 01, 2020 | Dec. 31, 2019 | Mar. 17, 2017 | Dec. 27, 2012 |
Debt Instrument | |||||
Carrying Value | $ 16,637,809 | $ 14,670,946 | |||
Fair Value | 17,099,099 | 14,968,494 | |||
Unamortized debt discount on the Convertible Notes | (1,061,203) | (735,811) | |||
Unamortized deferred financing costs and other debt discounts, net | (36,752) | (28,739) | |||
Finance lease obligations | 162,174 | 233,199 | |||
Total long-term debt and finance lease obligations (including current portion) | $ 15,702,028 | $ 14,139,595 | |||
Interest rate (as a percent) | 7.75% | ||||
2 3/8% Convertible Notes due 2024 | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 2.375% | 2.375% | |||
7 3/8% Senior Notes due 2028 | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 7.375% | 7.375% | |||
DISH DBS Corporation ("DDBS") | 5 1/8% Senior Notes due 2020 | |||||
Debt Instrument | |||||
Carrying Value | $ 1,100,000 | ||||
Fair Value | $ 1,110,208 | ||||
Interest rate (as a percent) | 5.125% | 5.125% | |||
DISH DBS Corporation ("DDBS") | 6 3/4% Senior Notes due 2021 | |||||
Debt Instrument | |||||
Carrying Value | $ 2,000,000 | $ 2,000,000 | |||
Fair Value | $ 2,047,260 | $ 2,109,420 | |||
Interest rate (as a percent) | 6.75% | 6.75% | |||
DISH DBS Corporation ("DDBS") | 5 7/8% Senior Notes due 2022 | |||||
Debt Instrument | |||||
Carrying Value | $ 2,000,000 | $ 2,000,000 | |||
Fair Value | $ 2,095,820 | 2,129,580 | |||
Interest rate (as a percent) | 5.875% | ||||
DISH DBS Corporation ("DDBS") | 5% Senior Notes due 2023 | |||||
Debt Instrument | |||||
Carrying Value | $ 1,500,000 | 1,500,000 | |||
Fair Value | $ 1,566,300 | $ 1,543,770 | |||
Interest rate (as a percent) | 5.00% | 5.00% | 5.00% | ||
DISH DBS Corporation ("DDBS") | 5 7/8% Senior Notes due 2024 | |||||
Debt Instrument | |||||
Carrying Value | $ 2,000,000 | $ 2,000,000 | |||
Fair Value | $ 2,099,580 | $ 2,049,080 | |||
Interest rate (as a percent) | 5.875% | 5.875% | |||
DISH DBS Corporation ("DDBS") | 2 3/8% Convertible Notes due 2024 | |||||
Debt Instrument | |||||
Carrying Value | $ 1,000,000 | $ 1,000,000 | |||
Fair Value | $ 949,350 | $ 918,720 | |||
Interest rate (as a percent) | 2.375% | 2.375% | |||
DISH DBS Corporation ("DDBS") | 0% Convertible Notes due 2025 | |||||
Debt Instrument | |||||
Carrying Value | $ 2,000,000 | ||||
Fair Value | $ 2,010,000 | ||||
Interest rate (as a percent) | 0.00% | 0.00% | |||
DISH DBS Corporation ("DDBS") | 7 3/4% Senior Notes due 2026 | |||||
Debt Instrument | |||||
Carrying Value | $ 2,000,000 | $ 2,000,000 | |||
Fair Value | $ 2,236,520 | $ 2,128,900 | |||
Interest rate (as a percent) | 7.75% | 7.75% | |||
DISH DBS Corporation ("DDBS") | 3 3/8% Convertible Notes due 2026 | |||||
Debt Instrument | |||||
Carrying Value | $ 3,000,000 | $ 3,000,000 | |||
Fair Value | $ 2,886,330 | $ 2,907,870 | |||
Interest rate (as a percent) | 3.375% | 3.375% | |||
DISH DBS Corporation ("DDBS") | 7 3/8% Senior Notes due 2028 | |||||
Debt Instrument | |||||
Carrying Value | $ 1,000,000 | ||||
Fair Value | $ 1,070,130 | ||||
Interest rate (as a percent) | 7.375% | 7.375% | |||
DISH DBS Corporation ("DDBS") | Other notes payable | |||||
Debt Instrument | |||||
Carrying Value | $ 137,809 | $ 70,946 | |||
Fair Value | $ 137,809 | $ 70,946 |
Long-Term Debt and Finance Le_4
Long-Term Debt and Finance Lease Obligations - Narratives (Details) - USD ($) | Jul. 01, 2020 | Jul. 13, 2016 | Nov. 20, 2014 | Jul. 26, 2012 | May 16, 2012 | May 05, 2011 | Dec. 31, 2020 | Dec. 21, 2020 | Dec. 31, 2019 | Mar. 17, 2017 | Aug. 08, 2016 | Jun. 13, 2016 | Dec. 27, 2012 |
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 7.75% | ||||||||||||
Common stock par value (in dollars per share) | $ 86.08 | ||||||||||||
Class A common stock | |||||||||||||
Debt Instrument | |||||||||||||
Common stock par value (in dollars per share) | $ 0.01 | $ 0.01 | |||||||||||
DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Percentage of principal amount at which notes may be required to be repurchased in event of change of control | 101.00% | ||||||||||||
5 1/8% Senior Notes due 2020 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 5.125% | 5.125% | |||||||||||
6 3/4% Senior Notes due 2021 | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 2,000,000,000 | ||||||||||||
Loan balance maturity period | 10 years | ||||||||||||
6 3/4% Senior Notes due 2021 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 6.75% | 6.75% | |||||||||||
Redemption price as a percentage of principal amount | 100.00% | ||||||||||||
5 7/8% Senior Notes due 2022 | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 1,000,000,000 | $ 1,000,000,000 | |||||||||||
Loan balance maturity period | 10 years | 10 years | |||||||||||
5 7/8% Senior Notes due 2022 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 5.875% | ||||||||||||
Redemption price as a percentage of principal amount | 100.00% | ||||||||||||
5% Senior Notes due 2023 | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 1,500,000,000 | ||||||||||||
5% Senior Notes due 2023 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 5.00% | 5.00% | 5.00% | ||||||||||
Redemption price as a percentage of principal amount | 100.00% | ||||||||||||
2 3/8% Convertible Notes due 2024 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 2.375% | 2.375% | |||||||||||
Aggregate principal amount | $ 1,000,000,000 | ||||||||||||
Loan balance maturity period | 7 years | ||||||||||||
Redemption price as a percentage of principal amount | 100.00% | ||||||||||||
Effective Interest rate (as a percent) | 7.00% | ||||||||||||
Convertible, Carrying Amount of Equity Component | $ 252,000,000 | ||||||||||||
2 3/8% Convertible Notes due 2024 | Class A common stock | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 1,000 | ||||||||||||
Convertible notes converted rate, shares | 12.1630 | ||||||||||||
Common stock par value (in dollars per share) | $ 82.22 | ||||||||||||
2 3/8% Convertible Notes due 2024 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 2.375% | 2.375% | |||||||||||
0% Convertible Notes due 2025 | |||||||||||||
Debt Instrument | |||||||||||||
Loan balance maturity period | 5 years | ||||||||||||
Effective Interest rate (as a percent) | 5.00% | ||||||||||||
Convertible, Carrying Amount of Equity Component | $ 433,000,000 | ||||||||||||
0% Convertible Notes due 2025 | Class A common stock | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 1,000 | ||||||||||||
Convertible notes converted rate, shares | 24.4123 | ||||||||||||
Common stock par value (in dollars per share) | $ 40.96 | ||||||||||||
0% Convertible Notes due 2025 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 0.00% | 0.00% | |||||||||||
Aggregate principal amount | $ 2,000,000,000 | ||||||||||||
Redemption price as a percentage of principal amount | 100.00% | ||||||||||||
5 7/8% Senior Notes due 2024 | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 2,000,000,000 | ||||||||||||
Loan balance maturity period | 10 years | ||||||||||||
5 7/8% Senior Notes due 2024 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 5.875% | 5.875% | |||||||||||
Redemption price as a percentage of principal amount | 100.00% | ||||||||||||
7 3/4% Senior Notes due 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 2,000,000,000 | ||||||||||||
Loan balance maturity period | 10 years | ||||||||||||
Redemption price as a percentage of principal amount | 100.00% | ||||||||||||
7 3/4% Senior Notes due 2026 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 7.75% | 7.75% | |||||||||||
3 3/8% Convertible Notes due 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 3,000,000,000 | ||||||||||||
Loan balance maturity period | 10 years | ||||||||||||
Redemption price as a percentage of principal amount | 100.00% | ||||||||||||
Effective Interest rate (as a percent) | 7.00% | ||||||||||||
3 3/8% Convertible Notes due 2026 | Class A common stock | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 1,000 | ||||||||||||
Convertible notes converted rate, shares | 15.3429 | ||||||||||||
Common stock par value (in dollars per share) | $ 65.18 | ||||||||||||
3 3/8% Convertible Notes due 2026 | Class A common stock | Convertible note hedges | |||||||||||||
Debt Instrument | |||||||||||||
Common stock par value (in dollars per share) | $ 65.18 | ||||||||||||
Convertible notes converted into shares | 46,000,000 | ||||||||||||
Total cost of convertible notes | $ 635,000,000 | ||||||||||||
3 3/8% Convertible Notes due 2026 | Class A common stock | Common stock warrants | |||||||||||||
Debt Instrument | |||||||||||||
Common stock par value (in dollars per share) | $ 86.08 | ||||||||||||
Convertible notes converted into warrants | 46,000,000 | ||||||||||||
Cash proceeds from the sale of warrants | $ 376,000,000 | ||||||||||||
3 3/8% Convertible Notes due 2026 | Class A common stock | Common stock warrants | Minimum | |||||||||||||
Debt Instrument | |||||||||||||
Common stock par value (in dollars per share) | $ 65.18 | ||||||||||||
Convertible notes converted rate | 32.50% | ||||||||||||
3 3/8% Convertible Notes due 2026 | Class A common stock | Common stock warrants | Maximum | |||||||||||||
Debt Instrument | |||||||||||||
Common stock par value (in dollars per share) | $ 86.08 | ||||||||||||
Convertible notes converted rate | 75.00% | ||||||||||||
3 3/8% Convertible Notes due 2026 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 3.375% | 3.375% | |||||||||||
7 3/8% Senior Notes due 2028 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 7.375% | 7.375% | |||||||||||
7 3/8% Senior Notes due 2028 | DISH DBS Corporation ("DDBS") | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 7.375% | 7.375% | |||||||||||
Aggregate principal amount | $ 1,000,000,000 | ||||||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 35.00% | ||||||||||||
Redemption price as a percentage of principal amount | 100.00% | ||||||||||||
Additional Paid-In Capital | 3 3/8% Convertible Notes due 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Convertible, Carrying Amount of Equity Component | $ 774,000,000 |
Long-Term Debt and Finance Le_5
Long-Term Debt and Finance Lease Obligations - Interest on Long-Term Debt (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2020 | Jul. 01, 2020 | Dec. 31, 2019 | Mar. 17, 2017 | Dec. 27, 2012 | |
Debt Instrument | |||||
Interest rate (as a percent) | 7.75% | ||||
5 1/8% Senior Notes due 2020 | DISH DBS Corporation ("DDBS") | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 5.125% | 5.125% | |||
6 3/4% Senior Notes due 2021 | DISH DBS Corporation ("DDBS") | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 6.75% | 6.75% | |||
Annual Debt Service Requirements | $ 135,000 | ||||
5 7/8% Senior Notes due 2022 | DISH DBS Corporation ("DDBS") | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 5.875% | ||||
Annual Debt Service Requirements | $ 117,500 | ||||
5% Senior Notes due 2023 | DISH DBS Corporation ("DDBS") | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 5.00% | 5.00% | 5.00% | ||
Annual Debt Service Requirements | $ 75,000 | ||||
5 7/8% Senior Notes due 2024 | DISH DBS Corporation ("DDBS") | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 5.875% | 5.875% | |||
Annual Debt Service Requirements | $ 117,500 | ||||
2 3/8% Convertible Notes due 2024 | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 2.375% | 2.375% | |||
2 3/8% Convertible Notes due 2024 | DISH DBS Corporation ("DDBS") | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 2.375% | 2.375% | |||
Annual Debt Service Requirements | $ 23,750 | ||||
7 3/4% Senior Notes due 2026 | DISH DBS Corporation ("DDBS") | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 7.75% | 7.75% | |||
Annual Debt Service Requirements | $ 155,000 | ||||
3 3/8% Convertible Notes due 2026 | DISH DBS Corporation ("DDBS") | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 3.375% | 3.375% | |||
Annual Debt Service Requirements | $ 101,250 | ||||
7 3/8% Senior Notes due 2028 | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 7.375% | 7.375% | |||
7 3/8% Senior Notes due 2028 | DISH DBS Corporation ("DDBS") | |||||
Debt Instrument | |||||
Interest rate (as a percent) | 7.375% | 7.375% | |||
Annual Debt Service Requirements | $ 73,750 |
Long-Term Debt and Finance Le_6
Long-Term Debt and Finance Lease Obligations - Other Long-Term Debt and Finance Lease Obligations (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other long-term debt and capital lease obligations | ||
Total | $ 299,983 | $ 304,145 |
Less current portion | (85,620) | (71,366) |
Other long-term debt and capital lease obligations, net of current portion | $ 214,363 | 232,779 |
Interest rate (as a percent) | 7.75% | |
Satellites and other finance lease obligations | ||
Other long-term debt and capital lease obligations | ||
Total | $ 162,174 | 233,199 |
Notes payable related to satellite vendor financing and other debt payable in installments through 2032 with interest rates ranging from approximately 4.0% to 8.8% | ||
Other long-term debt and capital lease obligations | ||
Total | $ 137,809 | $ 70,946 |
Notes payable related to satellite vendor financing and other debt payable in installments through 2032 with interest rates ranging from approximately 4.0% to 8.8% | Minimum | ||
Other long-term debt and capital lease obligations | ||
Interest rate (as a percent) | 4.00% | |
Notes payable related to satellite vendor financing and other debt payable in installments through 2032 with interest rates ranging from approximately 4.0% to 8.8% | Maximum | ||
Other long-term debt and capital lease obligations | ||
Interest rate (as a percent) | 8.80% |
Long-Term Debt and Finance Le_7
Long-Term Debt and Finance Lease Obligations - Finance Lease Obligations (Details) | 12 Months Ended |
Dec. 31, 2020 | |
FSS Satellite Anik F3 | |
Capital leased assets disclosures | |
Ku-band capacity leased (as a percent) | 100.00% |
Term of capital lease | 15 years |
Canadian DBS Satellite Ciel II | |
Capital leased assets disclosures | |
Satellite capacity leased (as a percent) | 100.00% |
Initial Term of capital lease | 10 years |
Nimiq 5 | |
Capital leased assets disclosures | |
Nimiq capacity leased (as a percent) | 100.00% |
QuetzSat 1 | |
Capital leased assets disclosures | |
Satellite capacity leased (as a percent) | 100.00% |
Income Taxes and Accounting f_3
Income Taxes and Accounting for Uncertainty in Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Taxes and Accounting for Uncertainty in Income Taxes | |||
NOL for federal income tax purposes | $ 2,000 | ||
NOL benefit for state income tax purposes | 127,000 | ||
Tax benefit related to credit carryforwards | 71,000 | ||
Current (benefit) provision: | |||
Federal | (230,935) | $ 173,326 | $ 44,451 |
State | 22,566 | 43,579 | 29,918 |
Foreign | 7,471 | 6,203 | 4,616 |
Total current (benefit) provision | (200,898) | 223,108 | 78,985 |
Deferred (benefit) provision: | |||
Federal | 610,528 | 204,403 | 383,096 |
State | 243,216 | 21,732 | 64,000 |
Increase (decrease) in valuation allowance | 45,429 | 2,115 | 7,603 |
Total deferred (benefit) provision | 899,173 | 228,250 | 454,699 |
Total (benefit) provision | 698,275 | 451,358 | 533,684 |
Income (loss) before income taxes | 2,572,211 | $ 1,943,927 | $ 2,189,175 |
Portion of Income (loss) before income taxes related to foreign operations | $ 18,000 | ||
Reconciliation of amounts computed by applying the statutory Federal tax rate to income before taxes | |||
Statutory rate (as a percent) | 21.00% | 21.00% | 21.00% |
State income taxes, net of Federal benefits (as a percent) | 4.60% | 3.20% | 4.60% |
State apportionment changes (as a percent) | 5.40% | ||
Cares Act NOL Carryback (as a percent) | (2.30%) | ||
Other, net (as a percent) | (1.60%) | (1.00%) | (1.20%) |
Total (benefit) provision for income taxes (as a percent) | 27.10% | 23.20% | 24.40% |
Deferred tax assets: | |||
NOL, credit and other carryforwards | $ 128,968 | $ 368,545 | |
Accrued expenses | 8,488 | ||
Stock-based compensation | 17,962 | 19,821 | |
Unrealized (gains) losses on available for sale and other investments | 9,862 | 4,137 | |
Deferred revenue | 26,977 | 17,238 | |
Total deferred tax assets | 183,769 | 418,229 | |
Valuation allowance | (73,788) | (28,359) | |
Deferred tax asset after valuation allowance | 109,981 | 389,870 | |
Deferred tax liabilities: | |||
Depreciation | (467,922) | (583,374) | |
Accrued and prepaid expenses | (72,314) | ||
FCC authorizations and other intangible amortization | (2,542,887) | (2,040,885) | |
Bases difference in partnerships and cost method investments (1) | (744,911) | (573,548) | |
Discount on convertible notes and convertible note hedge transaction, net | (151,517) | (62,718) | |
Total deferred tax liabilities | (3,979,551) | (3,260,525) | |
Net deferred tax asset (liability) | (3,869,570) | (2,870,655) | |
Reconciliation of the beginning and ending amount of unrecognized tax benefits | |||
Balance as of beginning of period | 674,207 | 385,394 | $ 393,916 |
Additions based on tax positions related to the current year | 233 | 244,257 | 10,350 |
Additions based on tax positions related to prior years | 1,999 | 61,909 | 1,670 |
Reductions based on tax positions related to prior years | (296,265) | (13,028) | (6,291) |
Reductions based on tax positions related to settlements with taxing authorities | (831) | (2,362) | (8,328) |
Reductions based on tax positions related to the lapse of the statute of limitations | (876) | (1,963) | (5,923) |
Balance as of end of period | $ 378,467 | 674,207 | $ 385,394 |
Additional uncertain tax benefits | $ 274,000 |
Income Taxes and Accounting f_4
Income Taxes and Accounting for Uncertainty in Income Taxes - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Taxes and Accounting for Uncertainty in Income Taxes | |||
Unrecognized tax benefits if recognized, could favorably affect our effective tax rate | $ 351 | ||
Interest | 13 | $ 22 | $ 13 |
Accrued interest and penalties | $ 88 | $ 75 |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) (Details) | 12 Months Ended | |
Dec. 31, 2020item$ / sharesshares | Dec. 31, 2019$ / sharesshares | |
Stockholders' Equity (Deficit) | ||
Common stock par value (in dollars per share) | $ / shares | $ 86.08 | |
Preferred Stock, shares authorized | 20,000,000 | |
Preferred Stock, par value (in dollars per share) | $ / shares | $ 0.01 | |
Class A common stock | ||
Stockholders' Equity (Deficit) | ||
Common stock, shares authorized | 1,600,000,000 | 1,600,000,000 |
Common stock par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 |
Common stock, shares outstanding | 287,720,957 | 284,603,818 |
Votes per share | 1 | |
Class B common stock | ||
Stockholders' Equity (Deficit) | ||
Common stock, shares authorized | 800,000,000 | 800,000,000 |
Common stock par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 |
Common stock, shares outstanding | 238,435,208 | 238,435,208 |
Votes per share | 10 | |
Number of shares of Class A common stock into which each share of common stock is convertible | 1 | |
Class C common stock | ||
Stockholders' Equity (Deficit) | ||
Common stock, shares authorized | 800,000,000 | |
Common stock par value (in dollars per share) | $ / shares | $ 0.01 | |
Common stock, shares outstanding | 0 | 0 |
Preferred Stock, shares outstanding | 0 | 0 |
Votes per share | 1 | |
Number of shares of Class A common stock into which each share of common stock is convertible | 1 | |
Votes per share in the event of change of control | item | 10 |
Stockholders' Equity (Deficit_2
Stockholders' Equity (Deficit) - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | Dec. 13, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Oct. 30, 2020 | Nov. 30, 2019 |
Stockholders' Equity (Deficit) | ||||||
Proceeds from Issuance of Common Stock | $ 998,408 | |||||
Class A common stock | ||||||
Stockholders' Equity (Deficit) | ||||||
Maximum amount authorized for common stock repurchase under common stock repurchase program | $ 1,000,000 | |||||
Amount authorized for common stock repurchase under common stock repurchase program | $ 1,000,000 | |||||
Shares Issued, Price Per Share | $ 33.52 | |||||
Proceeds from Issuance of Common Stock | $ 1,000,000 | |||||
Shares, Issued | 29,834,992 | |||||
Information regarding repurchase of Class A common stock | ||||||
Dollar value of shares repurchased | $ 1,000,000 | |||||
Total number of shares repurchased | 0 | 0 | 0 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) shares in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Employee Stock Purchase Plan | |||
Employer matching contribution as a percentage of voluntary employee contributions under 401(k) plan | 50.00% | ||
Employer maximum annual contribution per employee under 401(k) plan | $ 2,500 | ||
Expense recognized related to 401(k) plan | |||
Matching contributions, net of forfeitures | 11,549,000 | $ 11,181,000 | $ 10,300,000 |
Discretionary stock contributions, net of forfeitures | $ 29,784,000 | $ 28,774,000 | $ 27,048,000 |
Employee Stock Purchase Plan | |||
Employee Stock Purchase Plan | |||
Minimum number of calendar quarters to be employed for full-time employees to be eligible to participate in the ESPP | 3 months | ||
Maximum fair value of capital stock permitted to be purchased by employees in any one year under ESPP | $ 25,000 | ||
Employee Stock Purchase Plan | Class A common stock | |||
Employee Stock Purchase Plan | |||
Number of shares authorized to be issued under Employee Stock Purchase Plan (ESPP) | 6.8 | ||
Purchase price as percentage of closing market price on the last business day of each calendar quarter under ESPP | 85.00% | ||
Number of shares of common stock purchased under ESPP | 0.8 | 0.6 | 0.6 |
Employee Stock Purchase Plan | Class A common stock | Maximum | |||
Employee Stock Purchase Plan | |||
Shares of common stock available for future grant under stock incentive plans | 2.4 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - shares | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based compensation | ||||
Stock Awards Outstanding (in shares) | 17,403,339 | |||
Percentage of stock awards vesting per year | 20.00% | |||
Class A common stock | ||||
Share-based compensation | ||||
Stock Awards Outstanding (in shares) | 27,200,000 | |||
Class A common stock | Stock Incentive Plan [Member] | ||||
Share-based compensation | ||||
Shares of common stock available for future grant under stock incentive plans | 63,600,000 | |||
Stock options | ||||
Share-based compensation | ||||
Stock Awards Outstanding (in shares) | 27,248,662 | 13,715,612 | 14,202,039 | 8,847,734 |
Maximum Expiration term | 10 years |
Stock-Based Compensation - Exer
Stock-Based Compensation - Exercise Price for Stock Options Outstanding and Exercisable (Details) - $ / shares | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Exercise prices for stock options outstanding and exercisable | ||||
Number of stock options outstanding (in shares) | 17,403,339 | |||
Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 32.59 | |||
Stock options | ||||
Exercise prices for stock options outstanding and exercisable | ||||
Exercise prices, outstanding stock option awards, low end of range (in dollars per share) | 10.01 | |||
Exercise prices, outstanding stock option awards, high end of range (in dollars per share) | $ 70 | |||
Number of stock options outstanding (in shares) | 27,248,662 | 13,715,612 | 14,202,039 | 8,847,734 |
Options Outstanding, Weighted-Average Remaining Contractual Life | 8 years 3 months 7 days | |||
Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 34.85 | $ 41.71 | $ 42.08 | $ 43.90 |
Number of stock options exercisable | 5,193,238 | 2,507,834 | 1,781,153 | |
Options Exercisable, Weighted-Average Remaining Contractual Life | 5 years 10 months 24 days | |||
Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 40.21 | $ 44.93 | $ 41.41 | |
Stock options | Range Of Exercise Prices $10.01 - $20.00 | ||||
Exercise prices for stock options outstanding and exercisable | ||||
Exercise prices, outstanding stock option awards, low end of range (in dollars per share) | 10.01 | |||
Exercise prices, outstanding stock option awards, high end of range (in dollars per share) | $ 20 | |||
Number of stock options outstanding (in shares) | 244,500 | |||
Options Outstanding, Weighted-Average Remaining Contractual Life | 8 years 3 months 18 days | |||
Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 18.70 | |||
Number of stock options exercisable | 8,336 | |||
Options Exercisable, Weighted-Average Remaining Contractual Life | 7 years 9 months | |||
Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 18.70 | |||
Stock options | Range of Exercise Prices $20.01 - $30.00 | ||||
Exercise prices for stock options outstanding and exercisable | ||||
Exercise prices, outstanding stock option awards, low end of range (in dollars per share) | 20.01 | |||
Exercise prices, outstanding stock option awards, high end of range (in dollars per share) | $ 30 | |||
Number of stock options outstanding (in shares) | 13,563,775 | |||
Options Outstanding, Weighted-Average Remaining Contractual Life | 9 years 7 months 17 days | |||
Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 27.68 | |||
Number of stock options exercisable | 694,722 | |||
Options Exercisable, Weighted-Average Remaining Contractual Life | 1 year 7 months 6 days | |||
Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 27.17 | |||
Stock options | Range of Exercise Prices $30.01 - $40.00 | ||||
Exercise prices for stock options outstanding and exercisable | ||||
Exercise prices, outstanding stock option awards, low end of range (in dollars per share) | 30.01 | |||
Exercise prices, outstanding stock option awards, high end of range (in dollars per share) | $ 40 | |||
Number of stock options outstanding (in shares) | 8,911,281 | |||
Options Outstanding, Weighted-Average Remaining Contractual Life | 7 years 5 months 8 days | |||
Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 35.49 | |||
Number of stock options exercisable | 2,930,928 | |||
Options Exercisable, Weighted-Average Remaining Contractual Life | 7 years 1 month 20 days | |||
Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 35.49 | |||
Stock options | Range of Exercise Prices $40.01 - $50.00 | ||||
Exercise prices for stock options outstanding and exercisable | ||||
Exercise prices, outstanding stock option awards, low end of range (in dollars per share) | 40.01 | |||
Exercise prices, outstanding stock option awards, high end of range (in dollars per share) | $ 50 | |||
Number of stock options outstanding (in shares) | 1,436,028 | |||
Options Outstanding, Weighted-Average Remaining Contractual Life | 6 years 6 months 18 days | |||
Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 47.48 | |||
Number of stock options exercisable | 659,500 | |||
Options Exercisable, Weighted-Average Remaining Contractual Life | 6 years 3 months 18 days | |||
Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 47.30 | |||
Stock options | Range of Exercise Prices $50.01 - $60.00 | ||||
Exercise prices for stock options outstanding and exercisable | ||||
Exercise prices, outstanding stock option awards, low end of range (in dollars per share) | 50.01 | |||
Exercise prices, outstanding stock option awards, high end of range (in dollars per share) | $ 60 | |||
Number of stock options outstanding (in shares) | 2,034,878 | |||
Options Outstanding, Weighted-Average Remaining Contractual Life | 5 years 5 months 26 days | |||
Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 57.53 | |||
Number of stock options exercisable | 488,752 | |||
Options Exercisable, Weighted-Average Remaining Contractual Life | 4 years 8 months 23 days | |||
Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 56.88 | |||
Stock options | Range of Exercise Prices $60.01 - $70.00 | ||||
Exercise prices for stock options outstanding and exercisable | ||||
Exercise prices, outstanding stock option awards, low end of range (in dollars per share) | 60.01 | |||
Exercise prices, outstanding stock option awards, high end of range (in dollars per share) | $ 70 | |||
Number of stock options outstanding (in shares) | 1,058,200 | |||
Options Outstanding, Weighted-Average Remaining Contractual Life | 5 years 4 months 28 days | |||
Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 64.24 | |||
Number of stock options exercisable | 411,000 | |||
Options Exercisable, Weighted-Average Remaining Contractual Life | 5 years 25 days | |||
Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 65.18 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Award Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | Nov. 04, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Stock option activity | ||||
Total options outstanding, end of period (in shares) | 17,403,339 | |||
Weighted-Average Exercise Price | ||||
Total options outstanding at the end of the period (in dollars per share) | $ 32.59 | |||
Ergen 2020 Performance Award | ||||
Stock option activity | ||||
Granted (in shares) | 12,500,000 | |||
Additional disclosures | ||||
Granted (in shares) | 12,500,000 | |||
2019 LTIP | ||||
Stock option activity | ||||
Total options outstanding, end of period (in shares) | 1,996,268 | |||
Weighted-Average Exercise Price | ||||
Total options outstanding at the end of the period (in dollars per share) | $ 34.75 | |||
Stock options | ||||
Stock option activity | ||||
Total options outstanding, beginning of period (in shares) | 13,715,612 | 14,202,039 | 8,847,734 | |
Granted (in shares) | 15,410,500 | 1,538,250 | 7,494,012 | |
Exercised (in shares) | (714,595) | (714,061) | (267,905) | |
Forfeited and cancelled (in shares) | (1,162,855) | (1,310,616) | (1,871,802) | |
Total options outstanding, end of period (in shares) | 27,248,662 | 13,715,612 | 14,202,039 | |
Exercisable at the end of the period (in shares) | 5,193,238 | 2,507,834 | 1,781,153 | |
Weighted-Average Exercise Price | ||||
Total options outstanding, beginning of the period (in dollars per share) | $ 41.71 | $ 42.08 | $ 43.90 | |
Granted (in dollars per share) | 28.71 | 33.44 | 38.41 | |
Exercised (in dollars per share) | 17.44 | 27.46 | 16.43 | |
Forfeited and cancelled (in dollars per share) | 45.17 | 43.72 | 39.67 | |
Total options outstanding at the end of the period (in dollars per share) | 34.85 | 41.71 | 42.08 | |
Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 40.21 | $ 44.93 | $ 41.41 | |
Share-based compensation additional disclosures | ||||
Tax benefit from stock awards exercised | $ 7,576 | $ 1,239 | $ 1,664 | |
Additional disclosures | ||||
Granted (in shares) | 15,410,500 | 1,538,250 | 7,494,012 | |
Aggregate intrinsic value of stock options outstanding | $ 66,497 | |||
Aggregate intrinsic value of stock options exercisable | $ 3,719 | |||
Stock options | 2019 LTIP | ||||
Stock option activity | ||||
Total options outstanding, beginning of period (in shares) | 7,965,501 | 8,969,886 | ||
Total options outstanding, end of period (in shares) | 17,403,339 | 7,965,501 | 8,969,886 | |
Weighted-Average Exercise Price | ||||
Total options outstanding, beginning of the period (in dollars per share) | $ 40.10 | $ 40.34 | ||
Total options outstanding at the end of the period (in dollars per share) | $ 32.59 | $ 40.10 | $ 40.34 |
Stock-Based Compensation - Long
Stock-Based Compensation - Long-Term Performance-Based Plans (Details) - USD ($) $ in Millions | Nov. 04, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Share-based compensation additional disclosures | ||||||||
Vested (in shares) | (916,315) | (11,175) | (11,935) | |||||
Other Employee Performance Awards | ||||||||
Share-based compensation additional disclosures | ||||||||
Vested (in shares) | 0 | |||||||
2019 LTIP | ||||||||
Share-based compensation additional disclosures | ||||||||
Percentage of performance goals probable of achievement | 95.00% | 90.00% | 82.00% | |||||
Percentage of award vested | 58.00% | |||||||
Vested (in shares) | 0 | |||||||
LTIP 2013 | ||||||||
Share-based compensation additional disclosures | ||||||||
Portion meeting vesting condition (as a percent) | 20.00% | |||||||
Percentage of performance goals probable of achievement | 30.00% | 10.00% | 20.00% | |||||
Vested (in shares) | 0 | |||||||
LTIP 2017 | ||||||||
Share-based compensation additional disclosures | ||||||||
Percentage of performance goals probable of achievement | 75.00% | 75.00% | ||||||
Reversed of non-cash, stock-based compensation expense | $ 13 | |||||||
Ergen 2020 Performance Award | ||||||||
2005 LTIP Terms | ||||||||
Awards vesting period | 10 years | |||||||
Share-based compensation additional disclosures | ||||||||
Awards vesting period | 10 years | |||||||
Class A common stock | Ergen 2020 Performance Award | ||||||||
Share-based compensation additional disclosures | ||||||||
Granted | 12,500,000 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock Activity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Restricted stock unit activity | |||
Total restricted stock units outstanding, beginning of period (in shares) | 1,504,370 | 1,760,225 | 2,484,720 |
Granted (in shares) | 1,696,000 | ||
Vested (in shares) | (916,315) | (11,175) | (11,935) |
Forfeited and cancelled (in shares) | (420,945) | (244,680) | (712,560) |
Total restricted stock units outstanding, end of period (in shares) | 1,863,110 | 1,504,370 | 1,760,225 |
Weighted - Average Grant Date Fair Value | |||
Total restricted stock units outstanding, beginning of period (in dollars per share) | $ 50.81 | $ 52.15 | $ 51.16 |
Granted (in dollars per share) | 33.07 | ||
Vested (in dollars per share) | 53.82 | 63.49 | 63.49 |
Forfeited and cancelled (in dollars per share) | 42.56 | 59.82 | 48.51 |
Total restricted stock units outstanding, end of period (in dollars per share) | $ 35.04 | $ 50.81 | $ 52.15 |
2019 LTIP | |||
Restricted stock unit activity | |||
Vested (in shares) | 0 | ||
Restricted Performance Units/Awards | |||
Restricted stock unit activity | |||
Total restricted stock units outstanding, beginning of period (in shares) | 1,483,800 | 1,726,250 | |
Total restricted stock units outstanding, end of period (in shares) | 1,755,125 | 1,483,800 | 1,726,250 |
Weighted - Average Grant Date Fair Value | |||
Total restricted stock units outstanding, beginning of period (in dollars per share) | $ 50.64 | $ 51.92 | |
Total restricted stock units outstanding, end of period (in dollars per share) | $ 34.89 | $ 50.64 | $ 51.92 |
Stock-Based Compensation - Lo_2
Stock-Based Compensation - Long-Term Performance-Based Plans - Additional (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Recognized non-cash stock-based compensation expense | ||||
Non-cash stock-based compensation expense recognized | $ 64,954 | $ 14,262 | $ 36,261 | |
Share-based compensation additional disclosures | ||||
Performance Based Stock Options (in shares) | 17,403,339 | |||
Weighted-Average Exercise Price (in dollars per share) | $ 32.59 | |||
Restricted Performance Units (in shares) | 1,863,110 | 1,504,370 | 1,760,225 | 2,484,720 |
2019 LTIP | ||||
Recognized non-cash stock-based compensation expense | ||||
Non-cash stock-based compensation expense recognized | $ 13,088 | $ 15,300 | $ 3,534 | |
Estimated Remaining Non-Cash, Stock-Based Compensation Expense | ||||
Expense estimated to be recognized during 2021 | 3,566 | |||
Estimated contingent expense subsequent to 2021 | 6,611 | |||
Total estimated remaining expense over the term of plan | $ 10,177 | |||
Share-based compensation additional disclosures | ||||
Performance Based Stock Options (in shares) | 1,996,268 | |||
Weighted-Average Exercise Price (in dollars per share) | $ 34.75 | |||
LTIP 2013 | ||||
Recognized non-cash stock-based compensation expense | ||||
Non-cash stock-based compensation expense recognized | $ (819) | (1,313) | (2,471) | |
Estimated Remaining Non-Cash, Stock-Based Compensation Expense | ||||
Estimated contingent expense subsequent to 2021 | 29,176 | |||
Total estimated remaining expense over the term of plan | $ 29,176 | |||
Share-based compensation additional disclosures | ||||
Performance Based Stock Options (in shares) | 872,500 | |||
Weighted-Average Exercise Price (in dollars per share) | $ 40.82 | |||
LTIP 2017 | ||||
Recognized non-cash stock-based compensation expense | ||||
Non-cash stock-based compensation expense recognized | (13,974) | 3,334 | ||
Share-based compensation additional disclosures | ||||
Performance Based Stock Options (in shares) | 2,034,571 | |||
Weighted-Average Exercise Price (in dollars per share) | $ 56.89 | |||
Ergen 2020 | ||||
Recognized non-cash stock-based compensation expense | ||||
Non-cash stock-based compensation expense recognized | $ 5,029 | |||
Estimated Remaining Non-Cash, Stock-Based Compensation Expense | ||||
Expense estimated to be recognized during 2021 | 28,113 | |||
Estimated contingent expense subsequent to 2021 | 58,745 | |||
Total estimated remaining expense over the term of plan | $ 86,858 | |||
Class A common stock | ||||
Share-based compensation additional disclosures | ||||
Performance Based Stock Options (in shares) | 27,200,000 | |||
Other Employee Performance Awards | ||||
Recognized non-cash stock-based compensation expense | ||||
Non-cash stock-based compensation expense recognized | $ 29,181 | (569) | 17,945 | |
Estimated Remaining Non-Cash, Stock-Based Compensation Expense | ||||
Expense estimated to be recognized during 2021 | 15,939 | |||
Estimated contingent expense subsequent to 2021 | 20,246 | |||
Total estimated remaining expense over the term of plan | $ 36,185 | |||
Share-based compensation additional disclosures | ||||
Performance Based Stock Options (in shares) | 12,500,000 | |||
Weighted-Average Exercise Price (in dollars per share) | $ 27.71 | |||
Restricted Performance Units (in shares) | 1,318,875 | |||
Other Employee Performance Awards | Continuing operations [Member] | ||||
Recognized non-cash stock-based compensation expense | ||||
Non-cash stock-based compensation expense recognized | $ 46,479 | $ (556) | $ 22,342 | |
Restricted Performance Units/Awards | ||||
Share-based compensation additional disclosures | ||||
Performance Based Stock Options (in shares) | 1,900,000 | |||
Restricted Performance Units (in shares) | 1,755,125 | 1,483,800 | 1,726,250 | |
Restricted Performance Units/Awards | LTIP 2013 | ||||
Share-based compensation additional disclosures | ||||
Restricted Performance Units (in shares) | 436,250 | |||
Restricted Performance Units/Awards | Class A common stock | ||||
Share-based compensation additional disclosures | ||||
Performance Based Stock Options (in shares) | 1,900,000 |
Stock-Based Compensation - Comp
Stock-Based Compensation - Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Stock-Based Compensation | |||
Non-cash, stock-based compensation | $ 64,954 | $ 14,262 | $ 36,261 |
Subscriber-related | |||
Stock-Based Compensation | |||
Non-cash, stock-based compensation | 7,419 | 883 | 1,412 |
General and administrative | |||
Stock-Based Compensation | |||
Non-cash, stock-based compensation | 57,535 | $ 13,379 | $ 34,849 |
Non-Performance Based Stock Awards | |||
Share-based expenses | |||
Unrecognized compensation expense | $ 44,000 | ||
Share-based compensation additional disclosures | |||
Weighted average period for recognition of compensation cost | 3 years 7 months 6 days |
Stock-Based Compensation - Valu
Stock-Based Compensation - Valuation (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Stock-Based Compensation | |||
Non-cash stock-based compensation expense recognized | $ 64,954 | $ 14,262 | $ 36,261 |
Black-Scholes option valuation model, assumptions | |||
Dividend yield (as a percent) | 0.00% | ||
Stock options | Minimum | |||
Black-Scholes option valuation model, assumptions | |||
Risk free interest rate (as a percent) | 0.17% | 1.51% | 2.09% |
Volatility factor (as a percent) | 28.91% | 28.86% | 23.33% |
Expected term of options | 3 years 3 months 18 days | 4 years 3 months 18 days | 2 years 9 months 18 days |
Fair value of options granted (in dollars per share) | $ 5.50 | $ 7.58 | $ 7.10 |
Stock options | Maximum | |||
Black-Scholes option valuation model, assumptions | |||
Risk free interest rate (as a percent) | 1.72% | 2.53% | 2.98% |
Volatility factor (as a percent) | 48.08% | 32.08% | 30.22% |
Expected term of options | 5 years 6 months | 5 years 6 months | 5 years 6 months |
Fair value of options granted (in dollars per share) | $ 12.10 | $ 12.45 | $ 12.53 |
Commitments and Contingencies_2
Commitments and Contingencies (Details) | Dec. 30, 2020USD ($) | Nov. 06, 2020item | Oct. 01, 2020USD ($) | Sep. 02, 2020USD ($)item | Apr. 09, 2020USD ($) | Mar. 12, 2020USD ($)item | Oct. 22, 2019USD ($) | Jun. 07, 2018USD ($) | Jun. 06, 2018 | Mar. 31, 2018USD ($) | Aug. 18, 2015USD ($) | Dec. 31, 2027 | Sep. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Mar. 31, 2019USD ($) | Mar. 31, 2018USD ($)item | Dec. 31, 2020USD ($)itemarea | Dec. 31, 2020USD ($)itemarea | Jun. 14, 2025 | Jun. 14, 2023 | Jun. 14, 2022 | Oct. 31, 2021 | Mar. 31, 2021USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | $ 26,427,803,000 | $ 26,427,803,000 | |||||||||||||||||||||||||
2021 | 5,151,378,000 | 5,151,378,000 | |||||||||||||||||||||||||
2022 | 2,902,680,000 | 2,902,680,000 | |||||||||||||||||||||||||
2023 | 2,241,551,000 | 2,241,551,000 | |||||||||||||||||||||||||
2024 | 3,701,112,000 | 3,701,112,000 | |||||||||||||||||||||||||
2025 | 2,536,846,000 | 2,536,846,000 | |||||||||||||||||||||||||
Thereafter | 9,894,236,000 | 9,894,236,000 | |||||||||||||||||||||||||
Unrecognized tax benefits | 378,467,000 | 378,467,000 | $ 674,207,000 | $ 385,394,000 | $ 393,916,000 | ||||||||||||||||||||||
Payment to acquire certain wireless licenses and related assets | 21,000,000,000 | ||||||||||||||||||||||||||
Carrying amount | 542,545,000 | 542,545,000 | |||||||||||||||||||||||||
Contractual Obligation | $ 26,427,803,000 | $ 26,427,803,000 | |||||||||||||||||||||||||
Percentage of Population 5G Services offered | 70.00% | 70.00% | 75.00% | 50.00% | 20.00% | 40.00% | |||||||||||||||||||||
Percentage of Population Northstar Wireless and SNR Wireless offered | 75.00% | ||||||||||||||||||||||||||
FCC authorizations | $ 26,903,939,000 | $ 26,903,939,000 | 25,779,503,000 | ||||||||||||||||||||||||
Payment For Purchase Agreement | 311,735,000 | ||||||||||||||||||||||||||
Impairment of long-lived assets | $ 356,418,000 | ||||||||||||||||||||||||||
Interest rate (as a percent) | 7.75% | 7.75% | |||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Noncontrolling Interest in Variable Interest Entity | $ 10,000,000,000 | $ 10,000,000,000 | |||||||||||||||||||||||||
Capitalized interest on FCC authorizations [Member] | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Percentage of Population 5G Services offered | 70.00% | ||||||||||||||||||||||||||
FCC authorizations | $ 5,560,422,000 | 5,560,422,000 | 4,638,519,000 | ||||||||||||||||||||||||
Maximum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Programming Contracts term | 10 years | ||||||||||||||||||||||||||
Minimum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Programming Contracts term | 1 year | ||||||||||||||||||||||||||
Northstar Manager LLC | Class B common stock | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Ownership percentage | 97.00% | ||||||||||||||||||||||||||
Payment For Purchase Agreement | $ 312,000,000 | ||||||||||||||||||||||||||
Equity Method Investment, Ownership Percentage | 3.00% | ||||||||||||||||||||||||||
Wireless | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Payment to acquire certain wireless licenses and related assets | 11,000,000,000 | ||||||||||||||||||||||||||
FCC authorizations | $ 11,453,128,000 | 11,453,128,000 | 11,250,595,000 | ||||||||||||||||||||||||
H Block Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 1,671,506,000 | 1,671,506,000 | |||||||||||||||||||||||||
DBS Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 677,409,000 | 677,409,000 | |||||||||||||||||||||||||
700 MHz Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 711,871,000 | 711,871,000 | |||||||||||||||||||||||||
600 MHz Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 6,211,154,000 | 6,211,154,000 | |||||||||||||||||||||||||
MVDDS Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 24,000,000 | 24,000,000 | |||||||||||||||||||||||||
28 GHz Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 2,883,000 | 2,883,000 | |||||||||||||||||||||||||
24 GHz Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 11,772,000 | 11,772,000 | |||||||||||||||||||||||||
37 Ghz, 39 Ghz and 47 Ghz Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Payment to acquire certain wireless licenses and related assets | $ 135,000,000 | $ 203,000,000 | |||||||||||||||||||||||||
FCC authorizations | $ 202,533,000 | 202,533,000 | |||||||||||||||||||||||||
Number of wireless spectrum licenses | item | 2,651 | ||||||||||||||||||||||||||
37 Ghz And 39 Ghz Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Number Of spectrum licenses | item | 50 | ||||||||||||||||||||||||||
47 Ghz Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Number Of spectrum licenses | item | 2,601 | ||||||||||||||||||||||||||
Licenses 3550-3650 MHz [Member] | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Payment to acquire certain wireless licenses and related assets | $ 730,000,000 | $ 913,000,000 | $ 100,000,000 | $ 83,000,000 | |||||||||||||||||||||||
Number of priority access licenses | item | 5,492 | ||||||||||||||||||||||||||
AWS 3 Auction | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Accelerated build out period | 2 years | ||||||||||||||||||||||||||
FCC authorizations | $ 9,890,389,000 | 9,890,389,000 | |||||||||||||||||||||||||
Northstar Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 5,618,930,000 | 5,618,930,000 | |||||||||||||||||||||||||
AWS-4 Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 1,940,000,000 | 1,940,000,000 | |||||||||||||||||||||||||
SNR Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 4,271,459,000 | 4,271,459,000 | |||||||||||||||||||||||||
Capitalized Interest | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
FCC authorizations | 5,560,422,000 | 5,560,422,000 | |||||||||||||||||||||||||
Northstar Spectrum And SNR Holdco | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Ownership interest | 351,000,000 | 351,000,000 | $ 552,000,000 | ||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Noncontrolling Interest in Variable Interest Entity | $ 10,000,000,000 | $ 10,000,000,000 | |||||||||||||||||||||||||
Northstar Spectrum And SNR Holdco | AWS 3 Auction | |||||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Percentage of bidding credit | 25.00% | ||||||||||||||||||||||||||
Northstar Spectrum And SNR Holdco | AWS-3 Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Interim Build-out Requirement (as a percent) | 40.00% | ||||||||||||||||||||||||||
Final Build-out Requirement (as a percent) | 75.00% | ||||||||||||||||||||||||||
Accelerated period to meet Final Build-Out Requirement on failure to meet Interim Build-Out Requirement | 2 years | ||||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Interim payment percentage | 15.00% | ||||||||||||||||||||||||||
Re-Auction payment | $ 1,892,000,000 | ||||||||||||||||||||||||||
Overpayment of interim payment | $ 334,000,000 | ||||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | Preferred Class A | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Ownership percentage | 100.00% | ||||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | Northstar Manager LLC | |||||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Controlling interest owned by other companies | 15.00% | ||||||||||||||||||||||||||
Equity contribution | $ 133,000,000 | $ 133,000,000 | |||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | American II | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Ownership percentage | 85.00% | ||||||||||||||||||||||||||
Loan made | $ 69,000,000 | ||||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Equity contribution | 7,621,000,000 | 7,621,000,000 | |||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | AWS 3 Auction | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Interim Payment | $ 334,000,000 | ||||||||||||||||||||||||||
Interim payment percentage | 15.00% | ||||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | Northstar Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Number of wireless spectrum licenses | item | 261 | 261 | |||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Gross winning bids | $ 5,619,000,000 | ||||||||||||||||||||||||||
Bidding credit value | $ 1,961,000,000 | ||||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | AWS-3 Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Non-payment gross winning bids | 2,226,000,000 | $ 2,226,000,000 | |||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Gross winning bids | $ 7,845,000,000 | ||||||||||||||||||||||||||
Percentage of bidding credit | 25.00% | ||||||||||||||||||||||||||
Net winning bid | $ 5,884,000,000 | ||||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | SNR Licenses | |||||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Percentage of bidding credit | 25.00% | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Non-payment gross winning bids | $ 1,211,000,000 | $ 1,211,000,000 | |||||||||||||||||||||||||
Interim payment percentage | 15.00% | ||||||||||||||||||||||||||
Re-Auction payment | $ 1,029,000,000 | ||||||||||||||||||||||||||
Overpayment of interim payment | $ 182,000,000 | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | Maximum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Preferred stock quarterly distribution (as a percent) | 12.00% | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | Minimum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Preferred stock quarterly distribution (as a percent) | 8.00% | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | SNR Wireless Management LLC | |||||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Controlling interest owned by other companies | 15.00% | ||||||||||||||||||||||||||
Equity contribution | 93,000,000 | 93,000,000 | |||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | American II | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Window of days for management to put its interest | 90 days | 30 days | |||||||||||||||||||||||||
Additional days allowed for management to put its interest | 90 days | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | American II | Maximum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Preferred stock quarterly distribution (as a percent) | 12.00% | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | American II | Minimum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Preferred stock quarterly distribution (as a percent) | 8.00% | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | American III | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Number of wireless spectrum licenses | item | 244 | 244 | |||||||||||||||||||||||||
Loan made | $ 344,000,000 | ||||||||||||||||||||||||||
Debt outstanding amount | 5,065,000,000 | 5,065,000,000 | |||||||||||||||||||||||||
Principal amount of debt | 500,000,000 | 500,000,000 | |||||||||||||||||||||||||
Window of days for management to put its interest | 90 days | 30 days | |||||||||||||||||||||||||
Additional days allowed for management to put its interest | 90 days | ||||||||||||||||||||||||||
Additional loan to pay gross winning bids | 344,000,000 | ||||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Equity contribution | $ 5,590,000,000 | $ 5,590,000,000 | |||||||||||||||||||||||||
Gross winning bids | 4,271,000,000 | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | American III | Preferred Class A | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Number shares issued in conversion | item | 5,065,415 | ||||||||||||||||||||||||||
Preferred stock quarterly distribution (as a percent) | 12.00% | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | American III | Maximum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Interest rate (as a percent) | 12.00% | 12.00% | |||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | American III | Minimum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Interest rate (as a percent) | 6.00% | 6.00% | |||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | AWS-3 Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Non-payment gross winning bids | 1,211,000,000 | $ 1,211,000,000 | |||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco | SNR Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Interim Payment | 182,000,000 | ||||||||||||||||||||||||||
Non-payment gross winning bids | $ 1,211,000,000 | 1,211,000,000 | |||||||||||||||||||||||||
Interim payment percentage | 15.00% | ||||||||||||||||||||||||||
Additional Bid Withdrawal Payment | $ 3,000,000 | ||||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Gross winning bids | $ 5,482,000,000 | ||||||||||||||||||||||||||
Percentage of bidding credit | 25.00% | ||||||||||||||||||||||||||
Net winning bid | $ 4,112,000,000 | ||||||||||||||||||||||||||
Bid withdrawal payment | $ 8,000,000 | ||||||||||||||||||||||||||
Bidding credit value | $ 1,370,000,000 | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco Class B Interests [Member] | American III | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Ownership percentage | 85.00% | ||||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco Class A Interests [Member] | American III | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Ownership percentage | 100.00% | ||||||||||||||||||||||||||
American II | Northstar Manager LLC | Class B common stock | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Ownership percentage | 80.00% | ||||||||||||||||||||||||||
Prior Arrangement | Northstar Licenses | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Non-payment gross winning bids | $ 2,226,000,000 | $ 2,226,000,000 | |||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Number of licenses returned | item | 84 | ||||||||||||||||||||||||||
Prior Arrangement | SNR Wireless or SNR Wireless Holdco | SNR Licenses | |||||||||||||||||||||||||||
Commitments relating to AWS-3 Auction | |||||||||||||||||||||||||||
Number of licenses returned | item | 113 | ||||||||||||||||||||||||||
Northstar Operative Agreement | Northstar Spectrum And SNR Holdco | American II | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Debt outstanding amount | $ 6,870,000,000 | ||||||||||||||||||||||||||
Northstar Operative Agreement | Northstar Wireless or Northstar Spectrum | American II | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Principal amount of debt | $ 500,000,000 | $ 500,000,000 | |||||||||||||||||||||||||
Loan balance maturity period | 10 years | 7 years | |||||||||||||||||||||||||
Removal of consent for unsecured financing and equipment financing | $ 25,000,000 | ||||||||||||||||||||||||||
Northstar Operative Agreement | Northstar Wireless or Northstar Spectrum | American II | Preferred Class A | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Number shares issued in conversion | 6,870,493 | ||||||||||||||||||||||||||
Preferred stock quarterly distribution (as a percent) | 12.00% | ||||||||||||||||||||||||||
Northstar Operative Agreement | Northstar Wireless or Northstar Spectrum | American II | Maximum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Interest rate (as a percent) | 12.00% | 12.00% | |||||||||||||||||||||||||
Northstar Operative Agreement | Northstar Wireless or Northstar Spectrum | American II | Minimum | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Interest rate (as a percent) | 6.00% | 6.00% | |||||||||||||||||||||||||
SNR Operative Agreement | SNR Wireless or SNR Wireless Holdco | American III | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Loan balance maturity period | 10 years | 7 years | |||||||||||||||||||||||||
Removal of consent for unsecured financing and equipment financing | $ 25,000,000 | ||||||||||||||||||||||||||
Lease Agreement With Crown Castle | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Area of Leased Space | area | 20,000 | 20,000 | |||||||||||||||||||||||||
Number Of Communication Towers | item | 20,000 | ||||||||||||||||||||||||||
Master Network Service Agreement | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Master networ service agreement period | 7 years | ||||||||||||||||||||||||||
FCC Wireless Bureau | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Payment to acquire certain wireless licenses and related assets | $ 68,000,000 | ||||||||||||||||||||||||||
NBIoT capitalized costs | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Impairment of long-lived assets | $ 253,000,000 | ||||||||||||||||||||||||||
Long-term debt obligations | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | $ 16,637,809,000 | $ 16,637,809,000 | |||||||||||||||||||||||||
2021 | 2,027,604,000 | 2,027,604,000 | |||||||||||||||||||||||||
2022 | 2,027,112,000 | 2,027,112,000 | |||||||||||||||||||||||||
2023 | 1,528,030,000 | 1,528,030,000 | |||||||||||||||||||||||||
2024 | 3,027,186,000 | 3,027,186,000 | |||||||||||||||||||||||||
2025 | 2,007,641,000 | 2,007,641,000 | |||||||||||||||||||||||||
Thereafter | 6,020,236,000 | 6,020,236,000 | |||||||||||||||||||||||||
Contractual Obligation | 16,637,809,000 | 16,637,809,000 | |||||||||||||||||||||||||
Interest expense on long-term debt | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | 3,178,253,000 | 3,178,253,000 | |||||||||||||||||||||||||
2021 | 733,927,000 | 733,927,000 | |||||||||||||||||||||||||
2022 | 666,192,000 | 666,192,000 | |||||||||||||||||||||||||
2023 | 510,411,000 | 510,411,000 | |||||||||||||||||||||||||
2024 | 460,223,000 | 460,223,000 | |||||||||||||||||||||||||
2025 | 330,000,000 | 330,000,000 | |||||||||||||||||||||||||
Thereafter | 477,500,000 | 477,500,000 | |||||||||||||||||||||||||
Contractual Obligation | 3,178,253,000 | 3,178,253,000 | |||||||||||||||||||||||||
5G network deployment obligations | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | 340,000,000 | 340,000,000 | |||||||||||||||||||||||||
Contractual Obligation | 340,000,000 | 340,000,000 | |||||||||||||||||||||||||
Finance lease obligations | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | 162,174,000 | 162,174,000 | |||||||||||||||||||||||||
2021 | 58,379,000 | 58,379,000 | |||||||||||||||||||||||||
2022 | 38,993,000 | 38,993,000 | |||||||||||||||||||||||||
2023 | 35,478,000 | 35,478,000 | |||||||||||||||||||||||||
2024 | 29,324,000 | 29,324,000 | |||||||||||||||||||||||||
Contractual Obligation | 162,174,000 | 162,174,000 | |||||||||||||||||||||||||
Interest expense on finance lease obligations | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | 28,084,000 | 28,084,000 | |||||||||||||||||||||||||
2021 | 11,923,000 | 11,923,000 | |||||||||||||||||||||||||
2022 | 9,314,000 | 9,314,000 | |||||||||||||||||||||||||
2023 | 5,464,000 | 5,464,000 | |||||||||||||||||||||||||
2024 | 1,383,000 | 1,383,000 | |||||||||||||||||||||||||
Contractual Obligation | 28,084,000 | 28,084,000 | |||||||||||||||||||||||||
Satellite-related and other obligations | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | 4,349,902,000 | 4,349,902,000 | |||||||||||||||||||||||||
2021 | 350,154,000 | 350,154,000 | |||||||||||||||||||||||||
2022 | 99,048,000 | 99,048,000 | |||||||||||||||||||||||||
2023 | 136,544,000 | 136,544,000 | |||||||||||||||||||||||||
2024 | 173,146,000 | 173,146,000 | |||||||||||||||||||||||||
2025 | 196,000,000 | 196,000,000 | |||||||||||||||||||||||||
Thereafter | 3,395,010,000 | 3,395,010,000 | |||||||||||||||||||||||||
Contractual Obligation | 4,349,902,000 | 4,349,902,000 | |||||||||||||||||||||||||
Operating lease obligations | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | 138,141,000 | 138,141,000 | |||||||||||||||||||||||||
2021 | 71,614,000 | 71,614,000 | |||||||||||||||||||||||||
2022 | 35,074,000 | 35,074,000 | |||||||||||||||||||||||||
2023 | 16,908,000 | 16,908,000 | |||||||||||||||||||||||||
2024 | 9,850,000 | 9,850,000 | |||||||||||||||||||||||||
2025 | 3,205,000 | 3,205,000 | |||||||||||||||||||||||||
Thereafter | 1,490,000 | 1,490,000 | |||||||||||||||||||||||||
Contractual Obligation | 138,141,000 | 138,141,000 | |||||||||||||||||||||||||
Purchase obligations | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | 1,933,440,000 | 1,933,440,000 | |||||||||||||||||||||||||
2021 | 1,897,777,000 | 1,897,777,000 | |||||||||||||||||||||||||
2022 | 26,947,000 | 26,947,000 | |||||||||||||||||||||||||
2023 | 8,716,000 | 8,716,000 | |||||||||||||||||||||||||
Contractual Obligation | $ 1,933,440,000 | $ 1,933,440,000 | |||||||||||||||||||||||||
SNR Credit Agreement | SNR Wireless or SNR Wireless Holdco | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Loan made | $ 500,000,000 | ||||||||||||||||||||||||||
SNR Credit Agreement | SNR Wireless or SNR Wireless Holdco | American III | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Loan made | $ 500,000,000 | ||||||||||||||||||||||||||
Northstar Credit Agreement | Northstar Wireless or Northstar Spectrum | American II | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Loan made | $ 500,000,000 | ||||||||||||||||||||||||||
Subsequent event | |||||||||||||||||||||||||||
Commitment and Contingencies | |||||||||||||||||||||||||||
Total | $ 50,000,000 | ||||||||||||||||||||||||||
Contractual Obligation | $ 50,000,000 |
Commitments and Contingencies -
Commitments and Contingencies - Part 2 (Details) | Dec. 04, 2020USD ($) | Jun. 29, 2020USD ($) | Oct. 01, 2018USD ($) | Apr. 05, 2018USD ($) | May 22, 2017USD ($) | Sep. 23, 2016USD ($) | Aug. 18, 2015USD ($) | Mar. 13, 2014USD ($) | Dec. 23, 2013USD ($) | Dec. 31, 2020USD ($)item | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Feb. 12, 2020USD ($) | Sep. 27, 2019USD ($) | Aug. 12, 2019patent | Jun. 05, 2017USD ($) | Feb. 10, 2016patent |
Loss contingencies | |||||||||||||||||
Total rent expense for operating leases | $ 99,000,000 | $ 273,000,000 | $ 383,000,000 | ||||||||||||||
Impairment of long-lived assets | 356,418,000 | ||||||||||||||||
Network development future expenditures | $ 10,000,000,000 | ||||||||||||||||
Loss contingency terms | |||||||||||||||||
Number Of Patents | patent | 2 | 4 | |||||||||||||||
Turner Network Sales, Inc. | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Remaining claims, incremental exposure | $ 206,000,000 | ||||||||||||||||
Northstar Spectrum And SNR Holdco | AWS-3 Licenses | |||||||||||||||||
Loss contingencies | |||||||||||||||||
Interim Build-out Requirement (as a percent) | 40.00% | ||||||||||||||||
Final Build-out Requirement (as a percent) | 75.00% | ||||||||||||||||
Accelerated period to meet Final Build-Out Requirement on failure to meet Interim Build-Out Requirement | 2 years | ||||||||||||||||
Northstar Wireless or Northstar Spectrum | AWS-3 Licenses | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Percentage Of Bidding Credit | 25.00% | ||||||||||||||||
Northstar Wireless or Northstar Spectrum | AWS-3 Licenses | Vermont National Telephone Company | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Percentage Of Bidding Credit | 25.00% | ||||||||||||||||
Recovery amount | $ 10,000,000,000 | ||||||||||||||||
Bidding Credit | 3,300,000,000 | ||||||||||||||||
Northstar Wireless or Northstar Spectrum | AWS-3 Licenses | Minimum | Vermont National Telephone Company | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Claim amount | 5,500 | ||||||||||||||||
Northstar Wireless or Northstar Spectrum | AWS-3 Licenses | Maximum | Vermont National Telephone Company | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Claim amount | $ 11,000 | ||||||||||||||||
Northstar Wireless or Northstar Spectrum | SNR Licenses | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Percentage Of Bidding Credit | 25.00% | ||||||||||||||||
Northstar Wireless or Northstar Spectrum | Northstar Licenses | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Bidding Credit | $ 1,961,000,000 | ||||||||||||||||
SNR Wireless or SNR Wireless Holdco | SNR Licenses | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Percentage Of Bidding Credit | 25.00% | ||||||||||||||||
Bidding Credit | $ 1,370,000,000 | ||||||||||||||||
DISH Network L.L.C. | |||||||||||||||||
Loss contingencies | |||||||||||||||||
Litigation Settlement, Amount Awarded to Other Party | $ 210,000,000 | ||||||||||||||||
Settlement amount awarded to other party | $ 210,000,000 | ||||||||||||||||
Telemarketing Litigation | |||||||||||||||||
Loss contingencies | |||||||||||||||||
Period of injunctive relief sought from placing any outbound telemarketing calls to market or promote its goods or services | 5 years | 5 years | |||||||||||||||
Period barred from making outbound telemarketing calls | 2 years | ||||||||||||||||
Telemarketing Litigation | DISH Network L.L.C. | |||||||||||||||||
Loss contingencies | |||||||||||||||||
Damages awarded to state and federal plaintiff | $ 280,000,000 | ||||||||||||||||
Telemarketing Litigation | DISH Network L.L.C. | Selling, General and Administrative Expenses [Member] | |||||||||||||||||
Loss contingencies | |||||||||||||||||
Reduction of litigation expenses | 70,000,000 | 70,000,000 | |||||||||||||||
Telemarketing Litigation | DISH Network L.L.C. | Other Accrued Expense | |||||||||||||||||
Loss contingencies | |||||||||||||||||
Litigation accrual | 280,000,000 | 280,000,000 | |||||||||||||||
Loss Contingency Accrual, Payments | $ 210,000,000 | $ 210,000,000 | |||||||||||||||
Do Not Call Litigation | |||||||||||||||||
Loss contingencies | |||||||||||||||||
Number of telemarketing calls | item | 51,119 | ||||||||||||||||
Litigation per call damages | $ 400 | ||||||||||||||||
Do Not Call Litigation | DISH Network L.L.C. | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Claim amount | $ 270,000,000 | ||||||||||||||||
Krakauer Action | |||||||||||||||||
Loss contingencies | |||||||||||||||||
Litigation Settlement, Amount Awarded to Other Party | $ 61,000,000 | ||||||||||||||||
Third party number of call made in case trebled damages per call | $ 1,200 | ||||||||||||||||
Settlement amount awarded to other party | $ 61,000,000 | ||||||||||||||||
Judicial Ruling | Krakauer Action | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Claim amount | $ 10,760,000 | ||||||||||||||||
Clear Play Inc [Member] | Pending Litigation [Member] | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Claim amount | $ 543,000,000 | ||||||||||||||||
Litigation With Turner Network Sales Inc | |||||||||||||||||
Loss contingency terms | |||||||||||||||||
Claim amount | $ 159,000,000 | ||||||||||||||||
Claimed interest | $ 24,000,000 | ||||||||||||||||
License fee payment | $ 20,000,000 |
Segment Reporting (Details)
Segment Reporting (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2020USD ($)segment | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Segment information | |||||||||||
Number of primary operating business segments | segment | 2 | ||||||||||
Total assets | $ 38,239,947 | $ 33,230,935 | $ 38,239,947 | $ 33,230,935 | |||||||
Revenues | 4,557,365 | $ 4,531,591 | $ 3,187,090 | $ 3,217,389 | 3,240,865 | $ 3,168,363 | $ 3,211,312 | $ 3,187,144 | 15,493,435 | 12,807,684 | $ 13,621,302 |
Depreciation and amortization | 714,552 | 630,577 | 712,024 | ||||||||
Operating income (loss) | 989,639 | 811,248 | 637,650 | 144,078 | 522,952 | 468,892 | 430,732 | 456,300 | 2,582,615 | 1,878,876 | 2,147,621 |
Interest income | 22,734 | 77,214 | 44,759 | ||||||||
Interest expense, net of amounts capitalized | (12,974) | (23,687) | (15,006) | ||||||||
Other, net | (20,164) | 11,524 | 11,801 | ||||||||
Income tax (provision) benefit, net | (698,275) | (451,358) | (533,684) | ||||||||
Net income (loss) | 761,297 | $ 532,959 | $ 480,406 | $ 99,274 | 413,547 | $ 377,157 | $ 340,566 | $ 361,299 | 1,873,936 | 1,492,569 | 1,655,491 |
Asset Impairment Charges | 356,418 | ||||||||||
United States | |||||||||||
Segment information | |||||||||||
Revenues | 15,442,371 | 12,759,909 | 13,578,254 | ||||||||
Canada And Mexico | |||||||||||
Segment information | |||||||||||
Revenues | 51,064 | 47,775 | 43,048 | ||||||||
Pay-TV | |||||||||||
Segment information | |||||||||||
Revenues | 12,897,413 | 12,810,248 | 13,621,198 | ||||||||
Depreciation and amortization | 613,926 | 621,810 | 698,336 | ||||||||
Operating income (loss) | 2,903,183 | 1,961,700 | 2,187,675 | ||||||||
Interest income | 1,676,953 | 1,588,023 | 1,495,371 | ||||||||
Interest expense, net of amounts capitalized | (922,876) | (988,295) | (1,013,062) | ||||||||
Other, net | 2,020 | 10,940 | 8,957 | ||||||||
Income tax (provision) benefit, net | (836,296) | (615,664) | (650,858) | ||||||||
Net income (loss) | 2,822,984 | 1,956,705 | 2,028,083 | ||||||||
Pay-TV | Operating segment | |||||||||||
Segment information | |||||||||||
Total assets | 36,251,281 | 31,531,612 | 36,251,281 | 31,531,612 | |||||||
Wireless | |||||||||||
Segment information | |||||||||||
Revenues | 2,599,842 | 1,673 | 580 | ||||||||
Depreciation and amortization | 100,626 | 8,767 | 13,688 | ||||||||
Operating income (loss) | (320,568) | (82,824) | (40,054) | ||||||||
Interest income | 4 | ||||||||||
Interest expense, net of amounts capitalized | (744,321) | (546,201) | (452,556) | ||||||||
Other, net | (22,184) | 584 | 2,844 | ||||||||
Income tax (provision) benefit, net | 138,021 | 164,306 | 117,174 | ||||||||
Net income (loss) | (949,048) | (464,136) | (372,592) | ||||||||
Wireless | Operating segment | |||||||||||
Segment information | |||||||||||
Total assets | 29,921,237 | 25,686,381 | 29,921,237 | 25,686,381 | |||||||
All Other and Eliminations | |||||||||||
Segment information | |||||||||||
Revenues | (3,820) | (4,237) | (476) | ||||||||
Interest income | (1,654,223) | (1,510,809) | (1,450,612) | ||||||||
Interest expense, net of amounts capitalized | 1,654,223 | 1,510,809 | 1,450,612 | ||||||||
All Other and Eliminations | Other and Eliminations | |||||||||||
Segment information | |||||||||||
Total assets | $ (27,932,571) | $ (23,987,058) | (27,932,571) | (23,987,058) | |||||||
Pay-TV subscriber and related revenue | |||||||||||
Segment information | |||||||||||
Revenues | 12,702,345 | 12,616,442 | 13,456,088 | ||||||||
Wireless services and related revenue | |||||||||||
Segment information | |||||||||||
Revenues | 2,143,703 | ||||||||||
Equipment sales and other revenue | Pay-TV | |||||||||||
Segment information | |||||||||||
Revenues | 195,068 | 193,806 | 165,110 | ||||||||
Equipment sales and other revenue | Wireless | |||||||||||
Segment information | |||||||||||
Revenues | 456,139 | 1,673 | 580 | ||||||||
Equipment sales and other revenue | All Other and Eliminations | |||||||||||
Segment information | |||||||||||
Revenues | $ (3,820) | $ (4,237) | $ (476) |
Contract Balances - Valuation A
Contract Balances - Valuation And Qualifying Accounts Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Contract Balances | |||
Allowance for Doubtful Accounts Receivable, Beginning Balance | $ 19,280 | $ 16,966 | $ 15,511 |
Current Period Provision for Expected Credit Losses | 84,697 | 69,866 | 98,575 |
Write-offs Charged Against Allowance | (31,699) | (67,552) | (97,120) |
Allowance for Doubtful Accounts Receivable, Ending Balance | $ 72,278 | $ 19,280 | $ 16,966 |
Contract Balances - Deferred Re
Contract Balances - Deferred Revenues (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Contract Balances | |
Balance at Beginning of Period | $ 613,272 |
Recognition of unearned revenue | (9,622,625) |
Deferral of revenue | 9,788,185 |
Balance at End of Period | $ 778,832 |
Quarterly Financial Data (Una_3
Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Quarterly Financial Data (Unaudited) | |||||||||||
Revenues | $ 4,557,365 | $ 4,531,591 | $ 3,187,090 | $ 3,217,389 | $ 3,240,865 | $ 3,168,363 | $ 3,211,312 | $ 3,187,144 | $ 15,493,435 | $ 12,807,684 | $ 13,621,302 |
Operating income (loss) | 989,639 | 811,248 | 637,650 | 144,078 | 522,952 | 468,892 | 430,732 | 456,300 | 2,582,615 | 1,878,876 | 2,147,621 |
Net income (loss) | 761,297 | 532,959 | 480,406 | 99,274 | 413,547 | 377,157 | 340,566 | 361,299 | 1,873,936 | 1,492,569 | 1,655,491 |
Net income (loss) attributable to DISH Network | $ 732,632 | $ 504,599 | $ 452,343 | $ 73,099 | $ 389,404 | $ 353,304 | $ 317,043 | $ 339,761 | $ 1,762,673 | $ 1,399,512 | $ 1,575,091 |
Basic net income (loss) per share attributable to DISH Network (in dollars per share) | $ 1.39 | $ 0.96 | $ 0.86 | $ 0.14 | $ 0.77 | $ 0.74 | $ 0.68 | $ 0.73 | $ 3.36 | $ 2.92 | $ 3.37 |
Diluted net income (loss) per share attributable to DISH Network (in dollars per share) | $ 1.24 | $ 0.86 | $ 0.78 | $ 0.13 | $ 0.69 | $ 0.66 | $ 0.60 | $ 0.65 | $ 3.02 | $ 2.60 | $ 3 |
Related Party Transactions (Det
Related Party Transactions (Details) $ / shares in Units, $ in Thousands | Sep. 10, 2019shares | Aug. 19, 2016 | Jul. 31, 2016 | Dec. 21, 2012 | Oct. 02, 2012 | Feb. 28, 2019 | Mar. 31, 2017 | Jul. 31, 2016 | May 31, 2012 | Jan. 31, 2012item | Dec. 31, 2014USD ($) | Mar. 31, 2013item | Dec. 31, 2020USD ($)item$ / shares | Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2018USD ($) | Dec. 31, 2011USD ($) | Dec. 31, 2009item | Dec. 31, 2008item | May 19, 2019$ / shares |
Related Party Transactions | |||||||||||||||||||
Common Stock at a ratio | 0.23523769 | ||||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 86.08 | ||||||||||||||||||
Trade accounts receivable, net | $ 1,104,202 | $ 588,358 | |||||||||||||||||
Trade accounts payable | 395,397 | 280,645 | |||||||||||||||||
Cost of sales - equipment and other | $ 939,721 | $ 192,821 | $ 145,604 | ||||||||||||||||
Class A common stock | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | |||||||||||||||||
Number of additional shares | shares | 22,937,188 | ||||||||||||||||||
Class B common stock | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | |||||||||||||||||
American Fork Occupancy License Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Term of renewal option | 5 years | ||||||||||||||||||
EchoStar XVI | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Term of renewal option | 1 year | ||||||||||||||||||
Professional Services Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Automatic Renewal Period | 1 year | ||||||||||||||||||
Hughes Broadband Distribution Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Term of renewal option | 1 year | ||||||||||||||||||
Hughes Broadband Distribution Agreement | Minimum | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Notice period for termination of agreement | 180 days | ||||||||||||||||||
Hughes Broadband Master Services Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Payments to third party by related party under extension option | $ 16,000 | $ 20,000 | 34,000 | ||||||||||||||||
EchoStar | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Trade accounts receivable, net | 1,000 | 1,000 | |||||||||||||||||
Trade accounts payable | 6,000 | 10,000 | |||||||||||||||||
Equipment sales and other revenue | 8,000 | 6,000 | 8,000 | ||||||||||||||||
Subscriber-related expenses | 20,000 | 197,000 | 357,000 | ||||||||||||||||
General and administrative expenses - EchoStar | $ 13,000 | $ 20,000 | 21,000 | ||||||||||||||||
EchoStar | El Paso Lease Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Number of consecutive three year renewal options | item | 4 | ||||||||||||||||||
Term of renewal option | 3 years | ||||||||||||||||||
EchoStar | 90 Inverness Lease Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Number of renewal options | item | 4 | ||||||||||||||||||
Term of renewal option | 3 years | ||||||||||||||||||
EchoStar | Cheyenne Lease Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Number of renewal options | item | 12 | ||||||||||||||||||
Term of renewal option | 1 year | ||||||||||||||||||
Renewal notice period | 180 days | ||||||||||||||||||
EchoStar | Gilbert Lease Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Term of renewal option | 1 year | ||||||||||||||||||
EchoStar | Collocation And Antenna Space Agreements | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Number of renewal options | item | 4 | ||||||||||||||||||
Term of renewal option | 3 years | ||||||||||||||||||
Notice period for termination of agreement | 180 days | ||||||||||||||||||
EchoStar | EchoStar XVI | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Term of renewal option | 5 years | ||||||||||||||||||
Agreement term | 4 years | ||||||||||||||||||
Extension of initial term | 1 year | ||||||||||||||||||
Additional term of renewal option | 5 years | ||||||||||||||||||
EchoStar | Nimiq 5 Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Agreement term | 15 years | ||||||||||||||||||
Number of DBS transponders available to receive services | item | 32 | ||||||||||||||||||
EchoStar | DISH Nimiq 5 Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Agreement term | 10 years | ||||||||||||||||||
Number of DBS transponders currently used | item | 32 | ||||||||||||||||||
EchoStar | QuetzSat-1 Lease Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Agreement term | 10 years | ||||||||||||||||||
Number of DBS transponders available to receive services | item | 32 | ||||||||||||||||||
EchoStar | QuetzSat-1 Transponder Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Number of DBS transponders currently used | item | 24 | ||||||||||||||||||
Number of transponders subleased | item | 5 | ||||||||||||||||||
EchoStar | 103 degree orbital location member | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Agreement term | 10 years | ||||||||||||||||||
EchoStar | 2012 TT&C Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Number of one year renewal options | item | 4 | ||||||||||||||||||
Extension of initial term | 1 year | ||||||||||||||||||
Minimum required notice period for termination by the reporting entity | 12 months | ||||||||||||||||||
EchoStar | Meridian Lease Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Additional term of renewal option | 1 year | ||||||||||||||||||
EchoStar | Santa Fe Lease Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Additional term of renewal option | 1 year | ||||||||||||||||||
EchoStar | 100 Inverness Lease Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Notice period for termination of agreement | 180 days | ||||||||||||||||||
EchoStar | Professional Services Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Automatic renewal period | 1 year | ||||||||||||||||||
Notice period for termination of agreement | 60 days | ||||||||||||||||||
Minimum notice period for termination of a specific service | 30 days | ||||||||||||||||||
EchoStar | Patent Cross-License Agreements | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Payments to third party | $ 10,000 | ||||||||||||||||||
Payments to third party by related party under extension option | $ 3,000 | ||||||||||||||||||
EchoStar | Rovi License Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Agreement term | 10 years | ||||||||||||||||||
Amount paid to related party | $ 0 | ||||||||||||||||||
EchoStar | Tax Sharing Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Net amount of the allocated tax attributes payable | $ 80,000 | ||||||||||||||||||
EchoStar | T2 Development Agreement | T2 satellite | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Selling rights to use equipments to related party | $ 55,000 | ||||||||||||||||||
EchoStar | Prior TT&C Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Term of renewal option | 1 year | ||||||||||||||||||
HNS | Collocation And Antenna Space Agreements | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Number of renewal options | item | 4 | ||||||||||||||||||
Term of renewal option | 3 years | ||||||||||||||||||
Notice period for termination of agreement | 90 days | ||||||||||||||||||
Agreement term from commencement of service date | 5 years | ||||||||||||||||||
HNS | Collocation And Antenna Space Agreements | Maximum | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Notice period for termination of agreement | 120 days | ||||||||||||||||||
HNS | Hughes Broadband Sales Agency Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Automatic renewal period | 1 year | ||||||||||||||||||
Notice period for termination of agreement | 90 days | ||||||||||||||||||
Agreement term | 5 years | ||||||||||||||||||
HNS | Hughes Broadband Master Services Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Broadband equipment purchased from related parties | $ 13,000 | $ 14,000 | $ 21,000 | ||||||||||||||||
HNS | Hughes Equipment and Services Agreement | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Term of renewal option | 1 year | ||||||||||||||||||
Minimum required notice period for termination of agreement by related party | 180 days | ||||||||||||||||||
Agreement term | 5 years | ||||||||||||||||||
Minimum required notice period for termination by the reporting entity | 365 days | ||||||||||||||||||
NBIoT capitalized costs | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Cost of sales - equipment and other | $ 5,000 | $ 6,000 | |||||||||||||||||
Master Transaction Agreement | Newco | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.001 | ||||||||||||||||||
Master Transaction Agreement | EchoStar | Class A common stock | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | 0.001 | ||||||||||||||||||
Master Transaction Agreement | EchoStar | Class B common stock | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.001 | ||||||||||||||||||
Master Transaction Agreement | EchoStar | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Notice period for termination of agreement | 12 months | ||||||||||||||||||
Master Transaction Agreement | EchoStar | Minimum | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Notice period for termination of agreement | 90 days | ||||||||||||||||||
Master Transaction Agreement | HNS | Collocation And Antenna Space Agreements | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Term of renewal option | 1 year | ||||||||||||||||||
Master Transaction Agreement | HNS | Collocation And Antenna Space Agreements | Maximum | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Notice period for termination of agreement | 120 days | ||||||||||||||||||
Master Transaction Agreement | HNS | Collocation And Antenna Space Agreements | Minimum | |||||||||||||||||||
Related Party Transactions | |||||||||||||||||||
Notice period for termination of agreement | 90 days |
Related Party Transactions - Pa
Related Party Transactions - Part 2 (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Feb. 28, 2017 | |
Related Party Transactions | ||||
Revenue from related party | $ 26,945 | $ 12,356 | $ 6,653 | |
NagraStar | ||||
Related Party Transactions | ||||
Ownership interest (as a percent) | 50.00% | |||
Purchases from related party | 53,902 | 56,284 | 72,162 | |
Amounts payable to related party | 9,038 | 9,630 | ||
Commitments to related party | $ 3,260 | 4,893 | ||
Dish Mexico | ||||
Related Party Transactions | ||||
Ownership interest (as a percent) | 49.00% | |||
Amounts receivable from related party | $ 17,029 | 7,057 | ||
Dish Mexico | Digital receivers and related components | ||||
Related Party Transactions | ||||
Revenue from related party | 1,227 | |||
Dish Mexico | Satellite Capacity | ||||
Related Party Transactions | ||||
Revenue from related party | 21,850 | 6,736 | ||
Dish Mexico | Uplink Services | ||||
Related Party Transactions | ||||
Revenue from related party | $ 5,095 | $ 5,620 | $ 5,426 |
Uncategorized Items - dish-2020
Label | Element | Value |
Spectrum Purchase Agreement [Member] | Spectrum Purchase Agreement [Member] | ||
Spectrum Purchase Application Deadline | dish_SpectrumPurchaseApplicationDeadline | 3 years |
Option Agreement [Member] | ||
Period Within Entry Of Final Judgment | dish_PeriodWithinEntryOfFinalJudgment | 5 years |