Cover Page
Cover Page - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 20, 2024 | Jun. 30, 2023 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 001-33807 | ||
Entity Registrant Name | EchoStar Corporation | ||
Entity Incorporation, State or Country Code | NV | ||
Entity Tax Identification Number | 26-1232727 | ||
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) 723-1000 | ||
Local Phone Number | 723-1000 | ||
Title of 12(b) Security | Class A common stock, $0.001 par value | ||
Trading Symbol | SATS | ||
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 | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 585.3 | ||
Documents Incorporated by Reference | Portions of the registrant’s definitive Proxy Statement to be filed in connection with its 2023 Annual Meeting of Shareholders are incorporated by reference in Part III. | ||
Auditor Name | KPMG LLP | ||
Auditor Firm ID | 185 | ||
Auditor Location | Denver, Colorado | ||
Entity Central Index Key | 0001415404 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Class A common stock | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 140,170,052 | ||
Class B common stock | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 131,348,468 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current Assets: | ||
Cash and cash equivalents | $ 1,821,376 | $ 2,497,536 |
Marketable investment securities | 623,044 | 1,809,898 |
Trade accounts receivable, net of allowance for credit losses of $74,390 and $59,790, respectively | 1,122,139 | 1,182,597 |
Inventory | 665,169 | 625,979 |
Prepaids and other assets | 644,005 | 617,819 |
Other current assets | 16,081 | 23,884 |
Total current assets | 4,891,814 | 6,757,713 |
Noncurrent Assets: | ||
Restricted cash, cash equivalents and marketable investment securities | 118,065 | 117,011 |
Property and equipment, net | 9,561,834 | 7,904,957 |
Regulatory authorizations, net | 38,572,980 | 37,395,604 |
Other investments, net | 314,370 | 524,905 |
Operating lease assets | 3,065,448 | 2,823,834 |
Intangible assets, net | 172,892 | 1,113,298 |
Other noncurrent assets, net | 411,491 | 2,110,959 |
Total noncurrent assets | 52,217,080 | 51,990,568 |
Total assets | 57,108,894 | 58,748,281 |
Current Liabilities: | ||
Trade accounts payable | 774,011 | 1,023,537 |
Deferred revenue and other | 754,658 | 833,213 |
Accrued programming | 1,427,762 | 1,298,777 |
Accrued interest | 297,678 | 298,043 |
Other accrued expenses and liabilities | 1,717,826 | 1,436,485 |
Current portion of long-term debt and finance lease obligations (Note 10) | 3,046,654 | 1,552,559 |
Total current liabilities | 8,018,589 | 6,442,614 |
Long-Term Obligations, Net of Current Portion: | ||
Long-term debt and finance lease obligations, net of current portion (Note 10) | 19,717,266 | 21,343,561 |
Deferred tax liabilities, net | 5,014,309 | 5,354,756 |
Operating lease liabilities | 3,121,307 | 2,808,774 |
Long-term deferred revenue and other long-term liabilities | 849,131 | 748,384 |
Total long-term obligations, net of current portion | 28,702,013 | 30,255,475 |
Total liabilities | 36,720,602 | 36,698,089 |
Commitments and Contingencies (Note 15) | ||
Redeemable noncontrolling interests (Note 2) | 438,382 | 464,359 |
Stockholders' Equity (Deficit): | ||
Additional paid-in capital | 8,301,979 | 8,222,599 |
Accumulated other comprehensive income (loss) | (160,056) | (175,267) |
Accumulated earnings (deficit) | 11,737,983 | 13,440,040 |
Total EchoStar stockholders' equity (deficit) | 19,880,177 | 21,487,641 |
Noncontrolling interests | 69,733 | 98,192 |
Total stockholders' equity (deficit) | 19,949,910 | 21,585,833 |
Total liabilities and stockholders' equity (deficit) | 57,108,894 | 58,748,281 |
Class A common stock | ||
Stockholders' Equity (Deficit): | ||
Common stock | 140 | 138 |
Class B common stock | ||
Stockholders' Equity (Deficit): | ||
Common stock | $ 131 | $ 131 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current Assets: | ||
Allowance for credit losses on trade accounts receivable | $ 74,390 | $ 59,790 |
Class A common stock | ||
Current Assets: | ||
Common stock par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 1,600,000,000 | 1,600,000,000 |
Common stock, shares issued | 140,153,020 | 138,128,368 |
Common stock, shares outstanding | 140,153,020 | 138,128,368 |
Class B common stock | ||
Current Assets: | ||
Common stock par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 800,000,000 | 800,000,000 |
Common stock, shares issued | 131,348,468 | 131,348,468 |
Common stock, shares outstanding | 131,348,468 | 131,348,468 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue: | |||
Total revenue | $ 17,015,598 | $ 18,634,246 | $ 19,818,678 |
Costs and Expenses (exclusive of depreciation and amortization): | |||
Cost of services | 9,510,427 | 10,111,341 | 10,717,333 |
Cost of sales - equipment and other | 2,434,904 | 2,099,136 | 1,778,471 |
Selling, general and administrative expenses | 2,989,154 | 3,015,325 | 2,686,279 |
Depreciation and amortization | 1,597,923 | 1,174,895 | 1,213,946 |
Impairment of long-lived assets and goodwill (Note 2) | 761,099 | 711 | 245 |
Total costs and expenses | 17,293,507 | 16,401,408 | 16,396,274 |
Operating income (loss) | (277,909) | 2,232,838 | 3,422,404 |
Other Income (Expense): | |||
Interest income, net | 207,374 | 93,240 | 33,903 |
Interest expense, net of amounts capitalized | (90,357) | (79,217) | (111,151) |
Other, net (Note 6) | (1,770,792) | 1,088,441 | 4,716 |
Total other income (expense) | (1,653,775) | 1,102,464 | (72,532) |
Income (loss) before income taxes | (1,931,684) | 3,335,302 | 3,349,872 |
Income tax (provision) benefit, net | 296,860 | (798,410) | (828,437) |
Net income (loss) | (1,634,824) | 2,536,892 | 2,521,435 |
Less: Net income (loss) attributable to noncontrolling interests, net of tax | 67,233 | 59,172 | 35,150 |
Net income (loss) attributable to EchoStar | $ (1,702,057) | $ 2,477,720 | $ 2,486,285 |
Weighted-average common shares outstanding - Class A and B common stock: | |||
Basic (in shares) | 270,842 | 270,102 | 275,117 |
Diluted (in shares) | 270,842 | 307,733 | 313,122 |
Earnings per share - Class A and B common stock: | |||
Basic net income (loss) per share attributable to EchoStar (In dollar per share) | $ (6.28) | $ 9.17 | $ 9.04 |
Diluted net income (loss) per share attributable to EchoStar (In dollar per share) | $ (6.28) | $ 8.05 | $ 7.94 |
Comprehensive Income (Loss): | |||
Net income (loss) | $ (1,634,824) | $ 2,536,892 | $ 2,521,435 |
Other comprehensive income (loss): | |||
Foreign currency translation adjustments | 19,129 | 35,449 | (22,274) |
Unrealized holding gains (losses) on available-for-sale debt securities | (306) | 536 | (694) |
Recognition of previously unrealized (gains) losses on available-for-sale securities included in net income (loss) | 550 | (25) | (25) |
Deferred income tax (expense) benefit, net | (512) | (359) | 519 |
Other | 2,660 | (5,005) | |
Total other comprehensive income (loss), net of tax | 18,861 | 38,261 | (27,479) |
Comprehensive income (loss) | (1,615,963) | 2,575,153 | 2,493,956 |
Less: Comprehensive income (loss) attributable to noncontrolling interests, net of tax | 70,883 | 60,879 | 30,761 |
Comprehensive income (loss) attributable to EchoStar | (1,686,846) | 2,514,274 | 2,463,195 |
Service and other revenue | |||
Revenue: | |||
Total revenue | 16,145,763 | 17,596,265 | 18,598,313 |
Equipment sales and other revenue | |||
Revenue: | |||
Total revenue | $ 869,835 | $ 1,037,981 | $ 1,220,365 |
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) | Treasury Shares at Cost (Note 2) | Noncontrolling Interests Hughes Systique Corporation | Noncontrolling Interests | Redeemable Noncontrolling Interests Northstar Spectrum | Redeemable Noncontrolling Interests | Hughes Systique Corporation | Total |
Balance at Dec. 31, 2020 | $ 266 | $ 8,727,300 | $ (188,731) | $ 8,826,948 | $ 65,405 | $ 350,648 | $ 17,431,188 | ||||
Issuance of Class A common stock: | |||||||||||
Exercise of stock awards | 40,971 | 40,971 | |||||||||
Employee benefits | 1 | 37,445 | 37,446 | ||||||||
Employee Stock Purchase Plan | 1 | 27,210 | 27,211 | ||||||||
Non-cash, stock-based compensation | 59,379 | 59,379 | |||||||||
Other comprehensive income (loss): | (23,090) | (4,389) | (27,479) | ||||||||
Convertible debt reclassified per ASU 2020-06, net of deferred taxes of $245,778 (Note 2) | (805,566) | (805,566) | |||||||||
Contribution by non-controlling interest holder | 9,880 | 9,880 | |||||||||
Treasury share repurchase | $ (261,609) | (261,609) | |||||||||
Other, net | (750) | (261,609) | 261,609 | (750) | |||||||
Net income (loss) attributable to noncontrolling interests | (9,424) | 44,574 | (9,424) | ||||||||
Net income (loss) attributable to EchoStar | 2,486,285 | 2,486,285 | |||||||||
Balance at Dec. 31, 2021 | 268 | 8,085,989 | (211,821) | 11,051,624 | 61,472 | 395,222 | 18,987,532 | ||||
Issuance of Class A common stock: | |||||||||||
Exercise of stock awards | 200 | 200 | |||||||||
Employee benefits | 33,389 | 33,389 | |||||||||
Employee Stock Purchase Plan | 1 | 27,238 | 27,239 | ||||||||
Non-cash, stock-based compensation | 82,994 | 82,994 | |||||||||
Other comprehensive income (loss): | 36,554 | 1,707 | 38,261 | ||||||||
Treasury share repurchase | (89,303) | (89,303) | |||||||||
Other, net | 711 | (89,304) | $ 89,303 | 438 | 1,148 | ||||||
Net income (loss) attributable to noncontrolling interests | (9,965) | 69,137 | (9,965) | ||||||||
Net income (loss) attributable to EchoStar | 2,477,720 | 2,477,720 | |||||||||
Issuance of equity and contribution of assets pursuant to the India JV formation | (14,237) | 44,540 | 30,303 | ||||||||
Consideration received from DISH Network for R&D tax credits utilized | 6,315 | 6,315 | |||||||||
Balance at Dec. 31, 2022 | 269 | 8,222,599 | (175,267) | 13,440,040 | 98,192 | 464,359 | 21,585,833 | ||||
Issuance of Class A common stock: | |||||||||||
Exercise of stock awards | (1,444) | (1,444) | |||||||||
Employee benefits | 1 | 20,100 | 20,101 | ||||||||
Employee Stock Purchase Plan | 1 | 12,041 | 12,042 | ||||||||
Non-cash, stock-based compensation | 51,514 | 51,514 | |||||||||
Other comprehensive income (loss): | 15,211 | 3,650 | 18,861 | ||||||||
Other, net | (2,831) | (439) | (3,270) | ||||||||
Purchase of Northstar Manager, LLC's ownership interest in Northstar Spectrum | $ (109,432) | ||||||||||
Net income (loss) attributable to noncontrolling interests | (16,222) | 83,455 | (16,222) | ||||||||
Net income (loss) attributable to EchoStar | (1,702,057) | (1,702,057) | |||||||||
Deconsolidation of Hughes Systique Corporation | $ (15,448) | $ (15,448) | |||||||||
Balance at Dec. 31, 2023 | $ 271 | $ 8,301,979 | $ (160,056) | $ 11,737,983 | $ 69,733 | $ 438,382 | $ 19,949,910 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT) (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred tax liabilities, net | $ 5,014,309 | $ 5,354,756 | |
ASU 2020-06 | |||
Deferred tax liabilities, net | $ 245,778 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash Flows From Operating Activities: | |||
Net income (loss) | $ (1,634,824) | $ 2,536,892 | $ 2,521,435 |
Adjustments to reconcile net income (loss) to net cash flows from operating activities: | |||
Depreciation and amortization | 1,597,923 | 1,174,895 | 1,213,946 |
Impairment of long-lived assets and goodwill | 761,099 | 711 | 245 |
Realized and unrealized losses (gains) on investments, impairments and other | (46,888) | (72,371) | (7,541) |
Realized and unrealized losses (gains) on derivatives | 1,693,387 | (1,015,387) | 13,000 |
Non-cash, stock-based compensation | 51,514 | 82,994 | 59,379 |
Deferred tax expense (benefit) | (337,222) | 729,587 | 639,708 |
Changes in allowance for credit losses | 14,600 | 6,590 | (34,635) |
Change in long-term deferred revenue and other long-term liabilities | 15,825 | 83,453 | 65,943 |
Other, net | 166,383 | 253,784 | 135,871 |
Changes in current assets and current liabilities, net | |||
Trade accounts receivable | 20,622 | (74,812) | 206,995 |
Prepaid and accrued income taxes | 15,836 | (36,115) | 81,197 |
Inventory | (37,981) | 16,200 | (175,918) |
Other current assets | (40,290) | 21,737 | (47,144) |
Trade accounts payable | 4,108 | 90,721 | 86,219 |
Deferred revenue and other | (78,555) | (71,709) | (62,034) |
Accrued programming and other accrued expenses | 267,110 | (105,980) | (41,293) |
Net cash flows from operating activities | 2,432,647 | 3,621,190 | 4,655,373 |
Cash Flows From Investing Activities: | |||
Purchases of marketable investment securities | (2,407,546) | (1,965,859) | (6,338,641) |
Sales and maturities of marketable investment securities | 3,710,544 | 4,159,830 | 4,390,903 |
Purchases of property and equipment | (3,100,921) | (3,050,472) | (1,619,312) |
Refunds and other receipts of purchases of property and equipment | 38,611 | ||
Capitalized interest related to regulatory authorizations (Note 2) | (1,162,473) | (984,309) | (777,885) |
Proceeds from other debt investments | 148,448 | ||
Refund of FCC authorization deposit | 337,490 | ||
Purchases of FCC authorizations, including deposits | (2,009) | (7,206,865) | (122,657) |
Other, net | (33,386) | (11,900) | (116,621) |
Net cash flows from investing activities | (2,808,732) | (9,059,575) | (4,246,723) |
Cash Flows From Financing Activities: | |||
Repayment of long-term debt and finance lease obligations | (121,981) | (86,229) | (89,958) |
Redemption and repurchases of senior notes | (1,460,635) | (2,056,821) | (2,901,818) |
Proceeds from issuance of senior notes | 1,500,000 | 2,000,000 | 6,750,000 |
Repurchases of convertible notes | (182,834) | ||
Early debt extinguishment gains (losses) | 73,024 | ||
Net proceeds from Class A common stock options exercised and stock issued under the Employee Stock Purchase Plan | 10,598 | 27,438 | 68,182 |
Purchase of Northstar Manager, LLC's ownership interest in Northstar Spectrum | (109,432) | ||
Treasury share repurchase | (89,303) | (261,436) | |
Debt issuance costs and debt (discount) premium | 21,635 | (51,121) | (34,459) |
Other, net | (7,496) | (18,413) | (15,507) |
Net cash flows from financing activities | (277,121) | (274,449) | 3,515,004 |
Effect of exchange rates on cash and cash equivalents | 3,004 | (2,306) | (3,749) |
Net increase (decrease) in cash, cash equivalents, restricted cash and cash equivalents | (650,202) | (5,715,140) | 3,919,905 |
Cash, cash equivalents, restricted cash and cash equivalents, beginning of period (Note 5) | 2,561,803 | 8,276,943 | 4,357,038 |
Cash, cash equivalents, restricted cash and cash equivalents, end of period (Note 5) | $ 1,911,601 | $ 2,561,803 | $ 8,276,943 |
Organization and Business Activ
Organization and Business Activities | 12 Months Ended |
Dec. 31, 2023 | |
Organization and Business Activities | |
Organization and Business Activities | 1. Principal Business EchoStar Corporation is a holding company that was organized in October 2007 as a corporation under the laws of the State of Nevada. Its subsidiaries (which together with EchoStar Corporation are referred to as “EchoStar,” the “Company,” “we,” “us” and/or “our,” unless otherwise required by the context). Recent Developments Merger with DISH Network On December 31, 2023, we completed the acquisition of DISH Network pursuant to the Amended and Restated Agreement and Plan of Merger, dated as of October 2, 2023 (the “Amended Merger Agreement”), by and among us, EAV Corp., a Nevada corporation and our wholly owned subsidiary (“Merger Sub”), and DISH Network, pursuant to which we acquired DISH Network by means of the merger of Merger Sub with and into DISH Network (the “Merger”), with DISH Network surviving the Merger as our wholly owned subsidiary. On the terms and subject to the conditions set forth in the Amended Merger Agreement, on December 31, 2023, at 11:59 p.m. ET (the “Effective Time”), each share of DISH Network Class A common stock, par value $0.01 per share (“DISH Network Class A Common Stock”) and DISH Network Class C common stock, par value $0.01 per share (“DISH Network Class C Common Stock”) outstanding immediately prior to the Effective Time, was converted into the right to receive a number of validly issued, fully paid and non-assessable shares of EchoStar Class A common stock, par value $0.001 per share (“EchoStar Class A Common Stock”) equal to 0.350877 (the “Exchange Ratio”). On the terms and subject to the conditions set forth in the Amended Merger Agreement, at the Effective Time, each share of DISH Network Class B common stock, par value $0.01 per share (“DISH Network Class B Common Stock” and, together with DISH Network Class A Common Stock and DISH Network Class C Common Stock, “DISH Network Common Stock”), outstanding immediately prior to the Effective Time was converted into the right to receive a number of validly issued, fully paid and non-assessable shares of EchoStar Class B common stock, par value $0.001 per share (the “EchoStar Class B Common Stock” and, together with the EchoStar Class A Common Stock, the “EchoStar Common Stock”), equal to the Exchange Ratio. Any shares of DISH Network Common Stock that were held in DISH Network’s treasury or held directly by us or Merger Sub immediately prior to the Effective Time were cancelled and cease to exist and no consideration was paid in respect thereof. All shares of the DISH Network Class A Common Stock were delisted from the Nasdaq Global Select Market (“NASDAQ”) and deregistered under the Securities Exchange Act of 1934, as amended. The EchoStar Common Stock issued to the Ergen DISH Stockholders (as defined in the Amended Merger Agreement) as Merger consideration was issued through a private placement exemption from registration under the Securities Act of 1933, as amended (the “Securities Act”). At the Effective Time, each share of DISH Network Class A Common Stock owned by the Ergen DISH Stockholders immediately prior to the Effective Time was converted into the right to receive a number of shares of EchoStar Class A Common Stock equal to the Exchange Ratio, and (b) each share of DISH Network Class B Common Stock owned by the Ergen DISH Stockholders immediately prior to the Effective Time was converted into the right to receive a number of shares of EchoStar Class B Common Stock equal to the Exchange Ratio. Concurrently with the entry into the Amended Merger Agreement, the Ergen EchoStar Stockholders (as defined in the Amended Merger Agreement), the Ergen DISH Stockholders (collectively, the “Ergen Stockholders”), we and DISH Network entered into an amended and restated support agreement (the “Amended Support Agreement”). In connection with the completion of the Merger, and pursuant to the Amended and Restated Support Agreement, the Ergen Stockholders, we and DISH Network, on December 31, 2023, we and the Ergen Stockholders entered into a registration rights agreement (the “Registration Rights Agreement”). The Registration Rights Agreement provides the Ergen Stockholders, and their affiliates who become parties thereto, with certain registration rights relating to the shares of EchoStar Common Stock, which they beneficially own, including (i) the right to demand shelf registration as well as registration on long and short form registration statements and (ii) “piggyback” registration rights to be included in future registered offerings by us of our equity securities, in each case, subject to certain requirements and customary conditions. The Registration Rights Agreement sets forth customary registration procedures, including an agreement by us to make appropriate officers available to participate in roadshow presentations and cooperate as reasonably requested in connection with any underwritten offerings. We also agreed to indemnify the Ergen Stockholders and their affiliates with respect to liabilities resulting from untrue statements or omissions in any registration statement used in any such registration, other than untrue statements or omissions based on or contained in information furnished to us for use in a registration statement by a participating stockholder. For more information and a copy of the Amended Merger Agreement, the Amended Support Agreement and the Registration Rights Agreement, see the Form 8-K of EchoStar Corporation filed on October 3, 2023 and the Form 8-K of EchoStar Corporation filed on January 2, 2024. With the Merger complete, we are currently focused on the process of integrating our and DISH Network’s business in a manner that facilitates synergies, cost savings, growth opportunities and achieves other anticipated benefits (the “Integration”). Future Capital Requirements The consolidated financial statements have been prepared in accordance with generally accepted accounting principles on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. Our cash and cash equivalents and marketable investment securities totaled as of December 31, 2023 (“Cash on Hand”). As reflected in the consolidated financial statements as of December 31, 2023, we have of debt maturing in March and November 2024, respectively, as well as a obligation related to the SNR put right. We satisfied the SNR obligation out of Cash on Hand on February 16, 2024, and for calendar year 2024 are forecasting negative cash flows. Because we do not currently have committed financing to fund our operations for at least twelve months from the issuance of these consolidated financial statements, substantial doubt exists about our ability to continue as a going concern. We currently intend to use Cash on Hand and cash flow from operations to pay the March 2024 debt maturity. However, we do not currently have the necessary Cash on Hand and/or projected future cash flows to fund the November 2024 debt maturity and subsequent interest on our outstanding debt. To address our capital needs, we are in active discussions with funding sources to raise additional capital and restructure our outstanding debt. We cannot provide assurances that we will be successful in obtaining such new financing and/or restructuring the existing debt obligations necessary for us to have sufficient liquidity. Further, if we are not successful in these endeavors, then capital expenditures to meet future FCC build out requirements and wireless customer growth initiatives will be adversely affected. The consolidated financial statements do not include any adjustments to the amount and classification of assets and liabilities that may be necessary should we not continue as a going concern. Segments We currently operate four primary business segments: (1) Pay-TV; (2) Retail Wireless; (3) 5G Network Deployment; and (4) Broadband and Satellite Services. 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, Federal Communications Commission (“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, 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 and on-demand streaming over-the-top (“OTT”) Internet-based domestic, international, Latino and Freestream video programming services (“SLING TV”). As of December 31, 2023, we had 8.526 million Pay-TV subscribers in the United States, including 6.471 million DISH TV subscribers and 2.055 million SLING TV subscribers. Retail Wireless We offer nationwide prepaid and postpaid retail wireless services to subscribers primarily under our Boost Mobile®, Boost postpaid and Gen Mobile® brands (“Retail Wireless” services), 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. Postpaid wireless subscribers are qualified to pay after receiving wireless talk, text, and data services, and may also qualify for financing arrangements for wireless devices. We are currently operating our Retail Wireless segment primarily as a mobile virtual network operator (“MVNO”) as we continue our 5G Network Deployment and commercialize our 5G Network, as defined below. We are transitioning our Retail Wireless segment to a mobile network operator (“MNO”) as our 5G Network becomes commercially available and we are currently activating subscribers onto our 5G Network in markets where we have reached voice over new radio (“VoNR”) Other Developments We regularly evaluate ways to enhance our business. As part of this process, we are in regular dialogue with interested parties who may assist us in accomplishing our goals, including ongoing conversations with CONX Corp. (an entity partially owned by Charles W. Ergen, our Chairman) regarding a transaction involving our Retail Wireless segment. There can be no assurance that these discussions will lead to a transaction nor as to the structure or terms of any such transaction. 5G Network Deployment We have invested a total of over $30 billion in Wireless spectrum licenses, which includes over $10 billion in initial noncontrolling investments in certain entities. The $30 billion of investments related to Wireless spectrum licenses does not include $9 billion of capitalized interest related to the carrying value of such licenses. See Note 2 and Note 15 for further information. We will need to raise additional capital in the future, which may not be available on favorable terms, to fund the efforts described below, as well as, among other things, make any potential Northstar Re-Auction Payment and SNR Re-Auction Payment for the AWS-3 licenses retained by the FCC. There can be no assurance that we will be able to profitably deploy these Wireless spectrum licenses, which may affect the carrying amount of these assets and our future financial condition or results of operations. See Note 15 for further information. DISH Network Spectrum We have invested a total of over $30 billion to acquire certain Wireless spectrum licenses. 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”). We have committed to deploy a facilities-based 5G broadband network (our “5G Network”) capable of serving increasingly larger portions of the U.S. population at different deadlines, including 20% of the U.S. population by June 2022 and 70% of the U.S. population by June 2023. If by June 2023, we are offering 5G broadband service to at least 50% of the U.S. population but less than 70% of the U.S. population, the 70% June 2023 deadline will be extended automatically to June 2025; however, as a result, we may, under certain circumstances, potentially be subject to certain penalties. On June 14, 2022, we announced we had successfully reached our 20% population coverage requirement. In addition, we announced and certified to the FCC that as of June 14, 2023, we offer 5G broadband service to over 73% of the U.S. population, or more than 246 million Americans nationwide. On September 29, 2023, the FCC confirmed we have met all of our June 14, 2023 band-specific 5G deployment commitments, and two of our three nationwide 5G commitments. The single remaining 5G commitment, that at least 70% of the U.S. population has access to average download speeds equal to 35 Mbps, will be confirmed using the drive test methodology agreed to and approved by the FCC. We have six months from September 29, 2023 to complete this drive test. We now have the largest commercial deployment of 5G VoNR in the world reaching approximately 200 million Americans and reaching approximately 250 million Americans. As a result of us providing 5G broadband service to over 50% of the U.S. population by June 14, 2023, the final build-out deadlines have been extended automatically to June 14, 2025 for us to offer 5G broadband service to at least 70% of the population in each Economic Area for the 700 MHz Licenses and AWS-4 Licenses and at least 75% of the population in each Economic Area for the H Block Licenses. We may need to make significant additional investments or partner with others to, among other things, continue 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, as we continue our 5G Network Deployment, we have and may continue to incur significant additional expenses related to, among other things, research and development, wireless testing and ongoing upgrades to the wireless network infrastructure, software and third-party integration. As a result of these investments, among other factors, we plan to raise additional capital, which may not be available on favorable terms. We may also determine that additional wireless spectrum licenses may be required for our 5G Network Deployment and to compete effectively with other wireless service providers. See Note 15 for further information. DISH Network Noncontrolling 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 noncontrolling 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 “Regulatory authorizations, net” on our Consolidated Balance Sheets. Under the applicable accounting guidance in Accounting Standards Codification 810, Consolidation Broadband and Satellite Services We offer broadband satellite technologies and broadband internet products and services to consumer customers. We provide broadband network technologies, managed services, equipment, hardware, satellite services and communications solutions to government and enterprise customers. We also design, provide and install gateway and terminal equipment to customers for other satellite systems. In addition, we design, develop, construct and provide telecommunication networks comprising satellite ground segment systems and terminals to mobile system operators and our enterprise customers. We also offer a robust suite of integrated, multi-transport solutions to enable airline and airline service providers to deliver reliable in-flight network connectivity serving both commercial and business aviation. As of December 31, 2023, we had 1.004 million Broadband subscribers. Our EchoStar XXIV satellite began service in December 2023, bringing additional broadband capacity across North and South America and is expected to be an integral part of our satellite service business. Revenue in our satellite services business depends largely on our ability to make continuous use of our available satellite capacity on behalf of existing customers and our ability to enter into commercial relationships with new customers. Other Developments Cyber-Security Incident On February 23, 2023, DISH Network experienced a network outage that affected its internal servers and IT telephony. We immediately activated our incident response and business continuity plans designed to contain, remediate and recover from the situation. We engaged the services of certain cyber-security experts and outside advisors to assist in the evaluation of the situation, and once we determined that the outage was due to a cybersecurity incident, we promptly notified appropriate law enforcement authorities. On February 28, 2023, we further disclosed that certain data had been extracted from the DISH Network IT systems. Our investigation into the extent of the incident is now completed. We determined that our customer databases were not accessed, however, we confirmed that certain employee-related records as well as a limited number of other records containing certain personal information were among the data extracted. We took steps to protect the affected records, received confirmation that the extracted data was deleted and notified individuals whose data was extracted. The DISH TV, SLING TV and Retail Wireless services, along with our wireless and data networks remained operational at all times during the incident. As of March 31, 2023, all significant systems had been restored. During the first quarter of 2023, we incurred substantially all of our cyber-security-related expenses for this matter, including, but not limited to, costs to remediate the incident and provide additional customer support. During the second, third and fourth quarters of 2023, we did not incur additional material expenses resulting from the cyber-security incident and do not expect to incur material expenses in future periods. During the year ended December 31, 2023, we incurred approximately $30 million in cyber-security-related expenses, which are recorded in “Cost of services” on our Consolidated Statements of Operations and Comprehensive Income (Loss). |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | 2. Principles of Consolidation and Basis of Presentation The accompanying consolidated financial statements include all balances and results of operations of EchoStar and our consolidated subsidiaries and are prepared in conformity with U.S. generally accepted accounting principles (“GAAP”). We consolidate all majority owned subsidiaries, investments in entities in which we have controlling influence and VIEs 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, which will be initially recorded at cost, and based on observable market prices, will be adjusted to their fair value. We record fair value adjustments 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. Merger with DISH Network. Business Combinations Related Issues Upon the completion of the Merger, the net assets of DISH Network have been combined with those of EchoStar at their historical carrying amounts and DISH Network and EchoStar are presented on a combined basis for all historical periods that the companies were under common control. Shares of EchoStar Common Stock issued to holders of DISH Network Common Stock in exchange for the outstanding shares of DISH Network Common Stock were recorded at par value and historical weighted average basic and diluted shares of DISH Network have been adjusted by the Exchange Ratio and included in the weighted average shares outstanding on our consolidated statements of operations. EchoStar reissued treasury shares as part of the EchoStar share issuance upon the completion of the Merger. The accompanying consolidated statements of cash flows for the years ended December 31, 2022 and 2021 include cash repurchases of the treasury shares that were reissued in connection with closing of the Merger. Intercompany transactions between EchoStar and DISH Network have been eliminated from all historical periods. Redeemable Noncontrolling Interests Northstar Wireless The First Northstar Put Window closed in the first quarter of 2021. On October 21, 2022, we, through our wholly-owned subsidiary American II received notice that Northstar Manager exercised the Northstar Put Right effective as of October 21, 2022. As of December 31, 2022, the aggregate value of the Northstar Put Right accrued to $96 million. On October 12, 2023, the FCC consented to the sale of Northstar Manager’s ownership interests in Northstar Spectrum, which we purchased for a total of approximately $109 million. This purchase resulted in the elimination of all of our redeemable noncontrolling interest as it related to Northstar Spectrum as of the purchase date and we continue to consolidate the Northstar Entities as wholly-owned subsidiaries. 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 was considered temporary equity under the applicable accounting guidance and was 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 was 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 were 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 15 for further information. SNR Wireless The First SNR Put Window closed in the first quarter of 2021. On November 15, 2021, we, through our wholly-owned subsidiary American III received notice that SNR Management exercised the SNR Put Right effective as of November 15, 2021. As of December 31, 2023 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 15 for further information. Use of Estimates The preparation of financial statements in conformity with GAAP requires us to make certain 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 based on historical experience, observable market inputs, and other reasonable assumptions 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, inputs used to recognize revenue over time, including the 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, incremental borrowing rate (“IBR”) on lease right of use assets, nonrefundable upfront fees, 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, 2023 and 2022 may consist of money market funds, government bonds, corporate notes and commercial paper. The amortized cost of these investments approximates their fair value. Concentration of Credit Risk Cash and cash equivalents are maintained with several financial institutions domestically and internationally. Deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with financial institutions with investment-grade credit ratings. We routinely assess the financial strength of significant customers, and this assessment, combined with the large number and geographical diversity of its customers, limits our concentration of risk with respect to receivables from contracts with customers. 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. 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 “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). Interest income from available-for-sale debt securities is reported in Interest income, net in 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 entity’s ability to pay. Receivables and Related Allowance for Credit Losses General Accounts Receivable Trade accounts receivable represent our unconditional rights to consideration arising from our performance under our customer contracts and 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, enterprise 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. Past due trade accounts receivable balances are written off against our allowance for credit losses when our internal collection efforts have been unsuccessful. Installments Receivable We offer Boost postpaid customers the option to pay for their devices and other equipment in installments, generally over a period of 36 months. Installments receivable are presented on our Consolidated Balance Sheets at their amortized cost basis (i.e., the receivables’ unpaid balance as adjusted for any written-off amounts due to impairment and unamortized discounts), net of the allowance for credit losses. At the time of an installment sale, we impute a discount for interest if the term exceeds 12 months as there is no stated rate of interest on the receivables. The receivables are recorded at their present value, which is determined by discounting expected future cash payments at the imputed interest rate. The current portion of installments receivable is included in “Trade accounts receivable, net” and the long-term portion of installments receivable is included in “Other noncurrent assets, net” on our Consolidated Balance Sheets. This adjustment results in a discount or reduction in the transaction price of the contract with a customer, which is allocated to the performance obligations of the arrangement such as Equipment and other revenues on our Consolidated Statements of Operations and Comprehensive Income (Loss). The imputed discount rate reflects a current market interest rate and is predominately comprised of the estimated credit risk underlying the installment receivable, reflecting the estimated credit worthiness of the customer. The imputed discount on receivables is amortized over the financed installment term using the effective interest method and recognized in “Equipment and other revenues” on our Consolidated Statements of Comprehensive Income. 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. We record write downs for inventory for obsolete and slow moving items based on trends and experience. We enter into arrangements with distributors where physical delivery of a product to a distributor has occurred, but we maintain control of the product until such time it is sold to an end consumer. For these arrangements, we account for the products as consigned inventory. Property and Equipment Property and equipment, including capitalized expenditures related to our wireless projects, 5G Network Deployment and satellites, are stated at cost less depreciation and impairment losses, if any. Capitalized expenditures include the cost of long-lived assets, plus the cost to construct the asset such as labor and overhead directly benefiting the asset. Interest is capitalized when pre-construction activity commences and ends once the asset is ready for its intended purpose. Our equipment leased to customers is generally capitalized when they are installed in customers’ homes. We have certain assets acquired under finance leases. The recorded costs of those assets are the present values of all lease payments. We amortize our finance lease right of use (“ROU”) assets over their respective lease terms. 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 one Internal Use Software We capitalize certain costs related to developing or acquiring internal use software. Capitalization of software costs begin once the preliminary project stage is completed and we commit to funding the software project. Capitalizing ceases when the software project is ready for its intended use. Capitalized software costs are recorded in “Property and equipment, net” on our Consolidated Balance Sheets and are amortized over the estimated useful life of the software. Asset Retirement Obligation We record an asset retirement obligation for the estimated fair value of legal obligations associated with the retirement of tangible long-lived assets and a corresponding increase in the carrying amount of the related asset in the period in which the obligation is incurred. In periods subsequent to initial measurement, we recognize changes in the liability resulting from the passage of time and revisions to either the timing or the amount of the original estimate. Over time, the liability is accreted to its present value and the capitalized cost is depreciated over the estimated useful life of the asset. Our asset retirement obligations relate primarily to certain legal obligations to remediate leased property on our communication towers and are recorded in “Property and equipment, net” with the related liability recorded in “Long-term deferred revenue and other long-term liabilities” on our Consolidated Balance Sheets. Other Investments Equity Method Investments We use the equity method to account for investments when we have the ability to exercise significant influence on the operating decisions of the affiliate. Such investments are initially recorded at cost and subsequently adjusted for our proportionate share of the net earnings or loss of the investee, which is reported in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The carrying amount of such investments includes a component of goodwill when the cost of our investment exceeds the fair value of the underlying identifiable assets and liabilities of the affiliate. Dividends received from these affiliates reduces the carrying amount of our investment. Cost Method Investments We generally measure investments in non-publicly traded equity instruments without a readily determinable fair value at cost adjusted for observable price changes in orderly transactions for the identical or similar securities of the same issuer and changes resulting from impairments, if any. Other equity instruments are measured to determine their value based on observable market information. When we adjust the carrying amount of an investment to its estimated fair value, the gain or loss is recorded in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Other Debt Investments We generally record our investments in non-publicly traded debt instruments without a readily determinable fair value at amortized cost. We recognize any discounts over the term of the loan in “Interest income, net” in the Consolidated Statements of Operations and Comprehensive Income (Loss). In addition, some of our debt instruments have interest income that is paid-in-kind, which is added to the principal balance to determine the then current interest income. When we adjust the carrying amount of an investment, the gain or loss is recorded in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Impairment Considerations We periodically evaluate all of our other investments to determine whether events or changes in circumstances have occurred that may have a significant adverse effect on the fair value of the investment. We consider information if provided to us by our investees such as current financial statements, business plans, investment documentation, capitalization tables, liquidation waterfalls, and board materials; and we may make additional inquiries of investee management. Indicators of impairment may include, but are not limited to, unprofitable operations, material loss contingencies, changes in business strategy, changes in market trends or market conditions, changes in the investees’ enterprise value and changes in the investees’ investment pricing. When we determine that one of our other investments is impaired we reduce its carrying value to its estimated fair value and recognize the impairment loss in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Derivative Instruments We may purchase and hold derivative financial instruments for, among other reasons, strategic or speculative purposes. We record all derivative financial instruments on our Consolidated Balance Sheets at fair value as either assets or liabilities. Changes in the fair values of derivative financial instruments are recognized in our results of operations and included in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We have not designated any derivative financial instrument for hedge accounting. 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. Impairment of Long-Lived Assets and Finite-Lived Intangible 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. Intangible assets that have finite lives are amortized over their estimated useful lives. 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. When 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. In the event of an impairment, 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. Assets which are to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. 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. 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, 2023 and 2022. We will continue to monitor the DBS satellite fleet for indicators of impairment. Broadband Satellites We evaluate our Broadband satellites for impairment and test for recoverability whenever events or changes in circumstances indicate that their carrying value may not be recoverable. Certain anomalies may be considered a significant adverse change in the physical condition of a particular satellite. However, based on redundancies designed within each satellite, certain of these anomalies may not be considered to be significant events requiring a test of recoverability. We do not believe any triggering event has occurred which would indicate impairment as of December 31, 2023 and 2022. We will continue to monitor the Broadband satellite fleet for indicators of impairment. Finite-Lived Regulatory Authorizations We have regulatory authorizations that are not related to the FCC and have determined that they have finite lives due to uncertainties about the ability to extend or renew their terms. Finite lived regulatory authorizations are amortized over their estimated useful lives on a straight-line basis. Renewal costs are usually capitalized when they are incurred. Finite-Lived Intangible Assets Intangible assets include customer relationships, trademarks, and certain below market contracts. These assets are amortized over their respective useful lives. We do not believe any triggering event has occurred which would indicate impairment as of December 31, 2023 and 2022. 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. Our intangible assets with indefinite lives primarily consist of FCC licenses and certain other contractual or regulatory rights to use spectrum at specified orbital locations. 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 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 2023, 2022 and 2021, management performed a qualitative assessment to determine whether it is more likely than not that the fair value of the DBS licenses exceeds the 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. Broadband Licenses Through a business acquisition in 2011, we acquired regulatory authorizations from the FCC to operate satellites using Ka-band frequencies at the 95° W.L. and 107.1° W.L. orbital locations (“Operational FCC Slot Licenses”). The regulatory rights for each orbital location are substantially equivalent. Through a business acquisition in 2019, we acquired global S-band non-geostationary satellite spectrum rights for mobile satellite services (the “Helios Spectrum”). For the year ended December 31, 2023, 2022 and 2021, management performed a qualitative assessment to determine whether it was more likely than not that the fair value of these licenses exceeds the 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 Operational FCC Slot Licenses and the Helios Spectrum exceed their carrying amounts. As such, no further analysis was required. Wireless Spectrum Licenses During 2022, we acquired the 3.45-3.55 GHz wireless licenses (the “3.45–3.55 GHz Licenses”). During 2021, we acquired the 3550-3650 MHz (CBRS) and 3.7-3.98 GHz wireless licenses, together (the “C-Band 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”). In 2023 and 2022, we combined our 600 MHz, 700 MHz, AWS-4, H Block, High-Band Licenses, C-Band Licenses, 3.45–3.55 GHz Licenses and the Northstar Licenses and SNR Licenses into a single unit of accounting. In 2021, we combined our 600 MHz, 700 MHz, AWS-4, H Block, High-Band Licenses, C-Band Licenses, 3.45–3.55 GHz Licenses and the Northstar Licenses and SNR Licenses into a single unit of accounting. In 2023, we quantitatively assessed these licenses for impairment. Our quantitative assessment consisted of a market approach performed by a third party and reviewed by management. Market Approach. Spectrum is licensed by geographic areas that can vary from the size of a county to significantly larger expanses. Licenses can cover densely populated urban areas to sparsely populated rural regions. Pricing for spectrum licenses will vary, sometimes significantly based on the frequency, population area or restrictions associated with the authorization for use obtained from the FCC. Population or “Pop” is a key input to valuing each geographic license. The amount of spectrum included in a license is measured in terms of megahertz, referred to as “MHz.” The wider the band the greater the MHz. The market approach assessed the value of our spectrum using benchmarks, based on market transactions, which may include spectrum auctions and secondary market transactions, either acquisitions of spectrum or of businesses for which spectrum values can reliably be inferred. The market approach looked at the value of each band of our spectrum by block and geographic area based on pairing the spectrum in a manner that yielded its highest and best use. Prices were then calculated on an amount per MHz-Pop basis (where the numerator is the total value of the licenses and the denominator is the product of the population and MHz) based upon the most relevant data points. Finally, a discount was applied to the analysis for lack of marketability on certain of our holdings based on sale restrictions associated with those specific bands. Our spectrum holdings include low-band, lower mid-band, upper mid-band (collectively referred to as “Low-Mid Band Licenses”) and high-band licenses. As part of our impairment assessment we performed the market approach during the fourth quarter of 2023 and concluded that the fair value of these licenses are substantially in excess of their carrying value. In 2022, management performed a quantitative assessment to determine whether the fair value of these licenses exceed the carrying amount. In our assessment, we performed the market approach and the income approach during the fourth quarter of 2022 and concluded that under both scenarios the fair value of these licenses are substantially in excess of their carrying value. In 2021, management performed a qualitative assessment to determine whether it is more likely than not that the fair value of these licenses exceed the 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 2023, 2022, and 2021, our multichannel video distribution and data service (“MVDDS”) wireless spectrum licenses were assessed as a single unit of accounting. For 2023, 2022 and 2021, 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 e |
Basic and Diluted Net Income (L
Basic and Diluted Net Income (Loss) Per Share | 12 Months Ended |
Dec. 31, 2023 | |
Basic and Diluted Net Income (Loss) Per Share | |
Basic and Diluted Net Income (Loss) Per Share | 3. 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 EchoStar” 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 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 for the reporting period. 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). Merger with DISH Network On the terms and subject to the conditions set forth in the Amended Merger Agreement, at the Effective Time, each share of DISH Network Class A Common Stock outstanding immediately prior to the Effective Time was converted into EchoStar Class A Common Stock equal to the Exchange Ratio 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, 2023 2022 2021 (In thousands, except per share amounts) Net income (loss) $ (1,634,824) $ 2,536,892 $ 2,521,435 Less: Net income (loss) attributable to noncontrolling interests, net of tax 67,233 59,172 35,150 Net income (loss) attributable to EchoStar - Basic (1,702,057) 2,477,720 2,486,285 Interest on dilutive Convertible Notes, net of tax (1) — — — Net income (loss) attributable to EchoStar - Diluted $ (1,702,057) $ 2,477,720 $ 2,486,285 Weighted-average common shares outstanding - Class A and B common stock: Basic 270,842 270,102 275,117 Dilutive impact of Convertible Notes (2) — 37,550 37,550 Dilutive impact of stock awards outstanding (2) — 81 455 Diluted 270,842 307,733 313,122 Earnings per share - Class A and B common stock: Basic net income (loss) per share attributable to EchoStar $ (6.28) $ 9.17 $ 9.04 Diluted net income (loss) per share attributable to EchoStar $ (6.28) $ 8.05 $ 7.94 (1) For the years ended December 31, 2023, 2022 and 2021, substantially all of our interest expense was capitalized. See Note 2 for further information. (2) For the year ended December 31, 2023, the dilutive impact of 38 million weighted-average shares of Class A common stock were excluded from the computation of “Diluted net income (loss) per share attributable to EchoStar” because the effect would have been anti-dilutive as a result of the net loss attributable to EchoStar in the period. 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/market 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 at price ranges of approximately $185.75 to $245.33 per share (adjusted per share price pursuant to the Amended Merger Agreement), subject to certain adjustments. As a consequence, the following are not included in the diluted EPS calculation. As of December 31, 2023 2022 2021 (In thousands) Anti-dilutive stock awards 10,906 9,680 7,426 Performance/market based options 4,631 5,285 4,896 Restricted Performance Units/Awards - 388 467 Common stock warrants 16,151 16,151 16,151 Total 31,688 31,504 28,940 |
Supplemental Data - Statements
Supplemental Data - Statements of Cash Flows | 12 Months Ended |
Dec. 31, 2023 | |
Supplemental Data - Statements of Cash Flows | |
Supplemental Data - Statements of Cash Flows | 4. The following table presents certain supplemental cash flow and other non-cash data. See Note 9 for supplemental cash flow and non-cash data related to leases. For the Years Ended December 31, 2023 2022 2021 (In thousands) Cash paid for interest (including capitalized interest) $ 1,400,524 $ 1,144,915 $ 906,925 Cash received for interest 163,729 30,264 11,888 Cash paid for income taxes, net of refunds 15,634 98,930 98,456 Capitalized interest (1) 1,335,129 1,084,880 858,605 Employee benefits paid in Class A common stock 20,101 33,389 37,446 Convertible debt reclassified per ASU 2020-06 — — 1,051,344 Deferred taxes reclassified per ASU 2020-06 — — 245,778 Vendor financing 87,343 108,048 26,627 FCC licenses reclassification — 122,657 915,449 Accrued capital expenditures 238,231 403,134 463,092 Asset retirement obligation 74,189 122,390 50,765 Revaluation of contingent liabilities — 47,916 — Non-cash net assets received as part of the India JV formation — 36,701 — (1) See Note 2 for further information. |
Other Comprehensive Income (Los
Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2023 | |
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)” and excludes noncontrolling interest: For the Years Ended December 31, 2023 2022 2021 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 $ 15,479 $ (503) $ 14,976 $ 33,742 $ 710 $ 34,452 $ (17,885) $ (482) $ (18,367) Unrealized holding gains (losses) on available-for-sale securities (306) 65 (241) 536 (1,071) (535) (694) 998 304 Recognition of previously unrealized (gains) losses on available-for-sale securities included in net income (loss) 550 (74) 476 (25) 2 (23) (25) 3 (22) Other — — — 2,660 — 2,660 (5,005) — (5,005) Other comprehensive income (loss) $ 15,723 $ (512) $ 15,211 $ 36,913 $ (359) $ 36,554 $ (23,609) $ 519 $ (23,090) The “Accumulated other comprehensive income (loss)” is detailed in the following table, net of tax and excludes noncontrolling interest: Foreign Unrealized/ Currency Recognized Translation Gains Accumulated Other Comprehensive Income (Loss) Adjustment (Losses) Other Total (In thousands) Balance as of December 31, 2021 $ (209,499) $ 436 $ (2,758) $ (211,821) Foreign currency translation adjustments 34,452 — — 34,452 Other comprehensive income (loss) before reclassification — (535) 2,660 2,125 Amounts reclassified from accumulated other comprehensive income (loss) — (23) — (23) Balance as of December 31, 2022 $ (175,047) $ (122) $ (98) $ (175,267) Foreign currency translation adjustments 14,878 — 98 14,976 Other comprehensive income (loss) before reclassification — (241) — (241) Amounts reclassified from accumulated other comprehensive income (loss) — 476 — 476 Balance as of December 31, 2023 $ (160,169) $ 113 $ — $ (160,056) |
Marketable Investment Securitie
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities | 12 Months Ended |
Dec. 31, 2023 | |
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities | |
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities | 6. Our marketable investment securities, restricted cash and cash equivalents, and other investment securities consisted of the following: As of December 31, December 31, 2023 2022 (In thousands) Marketable investment securities: Current marketable investment securities: Strategic - available-for-sale $ 144 $ 144 Strategic - trading/equity 176,205 119,445 Other 446,695 1,690,309 Total current marketable investment securities 623,044 1,809,898 Restricted marketable investment securities (1) 27,840 52,744 Total marketable investment securities 650,884 1,862,642 Restricted cash and cash equivalents (1) 90,225 64,267 Other investment securities, net: Equity method investments 169,038 213,178 Cost method investments 106,134 142,057 Fair value method and other debt investments 39,198 169,670 Total other investment securities, net 314,370 524,905 Total marketable investment securities, restricted cash and cash equivalents, and other investment securities, net $ 1,055,479 $ 2,451,814 (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 “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, 2023, 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, 2023 and 2022, 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, net We have strategic investments in certain debt and/or equity securities that are included in noncurrent “Other investment securities, net” on our Consolidated Balance Sheets. Our debt securities are classified as available-for-sale and are recorded at fair value. Generally, our debt investments in non-publicly traded debt instruments without a readily determinable fair value are recorded at amortized cost. Our equity investments where we have the ability to exercise significant influence over the investee are accounted for using the equity method of accounting. Certain of our equity method investments are detailed below. NagraStar L.L.C. Invidi Technologies Corporation TerreStar Solutions, Inc. Deluxe/EchoStar LLC. We own 50% of Deluxe/EchoStar LLC (“Deluxe”), a joint venture that we entered into in 2010 to build an advanced digital cinema satellite distribution network targeting delivery to digitally equipped theaters in the U.S. and Canada. Broadband Connectivity Solutions (Restricted) Limited. We own 20% of Broadband Connectivity Solutions (Restricted) Limited (together with its subsidiaries, “BCS”), a joint venture that we entered into in 2018 to provide commercial Ka-band satellite broadband services across Africa, the Middle East and southwest Asia operating over Yahsat’s Al Yah 2 and Al Yah 3 Ka-band satellites. We also hold investments that are not accounted for using the equity method of accounting, which are measured at fair value. Investments in equity securities without readily determinable fair values are accounted for at cost, less impairment, and adjusted for observable price changes for identical or similar investments of the same issuer. Our ability to realize value from our strategic investments in securities that are not publicly traded depends on, among other things, 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. Fair Value Measurements Our investments measured at fair value on a recurring basis were as follows: As of December 31, 2023 December 31, 2022 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 (In thousands) Cash equivalents (including restricted) $ 1,692,849 $ 573,504 $ 1,119,345 $ — $ 2,216,929 $ 174,707 $ 2,042,222 $ — Debt securities (including restricted): U.S. Treasury and agency securities $ 65,172 $ 65,172 $ — $ — $ 33,807 $ 33,807 $ — $ — Commercial paper 290,398 — 290,398 — 1,384,251 — 1,384,251 — Corporate securities 114,265 — 114,265 — 316,939 — 316,939 — Other 4,844 — 4,700 144 8,200 4,985 3,071 144 Equity securities 176,205 166,481 9,724 — 119,445 109,657 9,788 — Total $ 650,884 $ 231,653 $ 419,087 $ 144 $ 1,862,642 $ 148,449 $ 1,714,049 $ 144 As of December 31, 2023, restricted and non-restricted marketable investment securities included debt securities of $475 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. Derivative Instruments We have the option to purchase certain of T-Mobile’s 800 MHz spectrum licenses from T-Mobile at a fixed price. This instrument meets the definition of a derivative and is valued based upon, among other things, our estimate of the underlying asset price, the expected term, volatility, the risk free rate of return and the probability of us exercising the option. The instrument acquisition date fair value was $713 million. The derivative is remeasured quarterly. As of December 31, 2023 and December 31, 2022, the derivative’s fair value was zero and $1.693 billion, respectively, and is included in “Other noncurrent assets, net ” on our Consolidated Balance Sheets. The change in the derivative’s carrying value was primarily driven by a decrease in our estimated probability of exercising the option to zero. All changes in the derivative’s fair value are recorded in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See the table below. On June 30, 2023, the United States Department of Justice, Antitrust Division (the “DOJ”) provided notice to the United States District Court for the District of Columbia (the “District Court”) that, pursuant to its discretion under the Final Judgment, it granted a 60-day extension of the deadline for T-Mobile to divest the 800 MHz spectrum licenses, which expired on August 30, 2023. On August 17, 2023, we filed a petition with the District Court seeking an extension of the deadline for T-Mobile to divest the 800 MHz spectrum licenses. On October 15, 2023, we and T-Mobile entered into an amendment to the License Purchase Agreement (the “Amendment”) that, among other things, extends the date by which we may purchase the 800 MHz spectrum licenses to April 1, 2024 (the “Extension”). In connection with the Extension, we agreed to make an upfront payment of $100 million (the “Upfront Payment”) to T-Mobile. The Amendment also resolves all outstanding disputes between the parties with respect to the License Purchase Agreement. On October 25, 2023, we paid the $100 million Upfront Payment to T-Mobile. The Amendment has been approved by the DOJ in accordance with the Stipulation and Order filed in the District Court on July 26, 2019 and the Final Judgment entered by the District Court on April 1, 2020. The Amendment became effective upon the District Court entering the Amended Final Judgment on October 23, 2023. The Upfront Payment is fully creditable against the purchase price in the event we exercise our option to purchase the 800 MHz spectrum licenses from T-Mobile. T-Mobile has the right (but not the obligation) to pursue an alternative offer between now and April 1, 2024 provided that we retain the first right to purchase the spectrum before April 1, 2024. 800 MHz spectrum licenses License Purchase Agreement Amendment. Throughout 2023, we were actively involved in negotiations with counterparties to obtain the financing necessary to exercise the 800 MHz purchase option. However, we have been unsuccessful in our attempts to reach terms for a definitive financing agreement. Due to the relatively short time remaining before the 800 MHz purchase option’s expiration on April 1, 2024, we no longer believe it is probable that we will exercise the option. Therefore, we reduced the probability weighted value of the spectrum option to zero. As a result of the probability weighted derivative’s fair value being zero, during the fourth quarter and the year ended December 31, 2023 , a loss of $1.601 billion and $1.793 billion, respectively, (both including the $100 million prepayment previously made to T-Mobile) was recorded in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We still maintain the right to exercise the purchase option until it expires on April 1, 2024. If we elect to exercise the option and purchase these licenses, we will record the licenses at fair value at that date in “ ” on our Consolidated Balance Sheets and record a corresponding gain, net of our exercise price, on our Consolidated Statements of Operations and Comprehensive Income (Loss). We account for our option to purchase certain T-Mobile’s 800 MHz spectrum licenses under the License Purchase Agreement as a Level 3 instrument within the fair value hierarchy. Gains and Losses on Sales and Changes in Carrying Amounts of Investments and Other “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: 2023 2022 2021 (In thousands) Marketable and non-marketable investment securities - realized and unrealized gains (losses) (1) $ 13,664 $ 73,293 $ 66,394 Derivative instruments - net realized and/or unrealized gains (losses) (2) (1,793,387) 1,015,387 (13,000) Other investment securities - other-than-temporary impairments (3) (39,800) — (55,266) Gains (losses) related to early redemption of debt (4) 73,024 (922) (3,587) Foreign currency transaction gains (losses) 5,677 5,235 (12,612) Equity in earnings (losses) of affiliates (8,098) (3,087) (6,221) Other (21,872) (1,465) 29,008 Total $ (1,770,792) $ 1,088,441 $ 4,716 (1) During the year ended December 31, 2023, we recorded a loss of $24 million related to a decline in value of an investment previously held on a cost-basis method, due to fair value becoming determinable as a result of a merger between that entity and a publicly traded entity. Starting September 30, 2023, and for all subsequent periods, the investment is classified as marketable investment securities. (2) The change in the derivative’s carrying value for the year ended December 31, 2023 was primarily driven by a decrease in our estimated probability of exercising the option. This amount includes the $100 million prepayment previously made to T-Mobile. (3) During the year ended December 31, 2023, we recorded a $33 million impairment for BCS as a result of increased competition and the economic environment for this business. We estimated the fair value of our investment by using the combination of the discounted cash flow model and market value approach. (4) This change primarily resulted from repurchases of our Convertible Notes and 5 7/8% Senior Notes due 2024 during the year ended December 31, 2023. See Note 10 for further information. |
Inventory
Inventory | 12 Months Ended |
Dec. 31, 2023 | |
Inventory | |
Inventory | 7. Inventory Inventory consisted of the following: As of December 31, 2023 2022 (In thousands) Finished goods $ 512,894 $ 521,600 Work-in-process and service repairs 68,463 35,759 Consignment (1) 56,360 14,792 Raw materials 27,452 53,828 Total inventory $ 665,169 $ 625,979 (1) This change primarily resulted from a distribution agreement related to certain Boost postpaid wireless devices. |
Property and Equipment and Inta
Property and Equipment and Intangible Assets | 12 Months Ended |
Dec. 31, 2023 | |
Property and Equipment and Intangible Assets | |
Property and Equipment and Intangible Assets | 8. Property and Equipment and Intangible Assets Property and Equipment Property and equipment consisted of the following: Depreciable As of Life December 31, December 31, (In Years) 2023 2022 (In thousands) Equipment leased to customers 2 - 5 $ 1,977,450 $ 2,161,173 Satellites 5 - 15 4,168,766 3,527,788 Satellites acquired under finance lease agreements 15 712,832 705,090 Furniture, fixtures, equipment and other 1 - 20 1,691,389 1,479,063 5G Network Deployment equipment (1) 3 - 15 4,263,327 770,153 Software and computer equipment 2 - 6 2,503,597 2,026,648 Buildings and improvements 1 - 40 538,815 497,386 Land - 46,675 46,638 Construction in progress - 1,844,338 3,979,145 Total property and equipment 17,747,189 15,193,084 Accumulated depreciation (8,185,355) (7,288,127) Property and equipment, net $ 9,561,834 $ 7,904,957 (1) Includes 5G Network Deployment assets acquired under finance lease agreements. Construction in progress consisted of the following: As of December 31, December 31, 2023 2022 (In thousands) Pay-TV $ 162,055 $ 36,936 Retail Wireless — — 5G Network Deployment 1,639,945 3,133,687 Broadband and Satellite Services (1) 42,338 808,522 Total construction in progress $ 1,844,338 $ 3,979,145 (1) In August 2017, we entered into a contract for the design and construction of the EchoStar XXIV satellite, a next-generation, high throughput geostationary satellite. The satellite began service in December 2023 and is expected to bring further consumer broadband capacity across North and South America and generate additional sales in other markets, including in-flight Wi-Fi, enterprise networking and cellular backhaul for mobile network operators across the two continents. The satellite was placed into service in the fourth quarter of 2023. Depreciation and amortization expense consisted of the following: For the Years Ended December 31, 2023 2022 2021 (In thousands) Equipment leased to customers $ 329,449 $ 400,651 $ 473,130 Satellites 264,433 268,994 318,685 Buildings, furniture, fixtures, equipment and other 144,722 98,762 96,658 5G Network Deployment equipment 371,640 29,992 8,263 Software and computer equipment 270,200 185,538 118,671 Intangible assets and other amortization expense 217,479 190,958 198,539 Total depreciation and amortization $ 1,597,923 $ 1,174,895 $ 1,213,946 Cost of sales and operating expense categories included in our accompanying Consolidated Statements of Operations and Comprehensive Income (Loss) do not include depreciation and amortization expense related to satellites, equipment leased to customers, or our 5G Network Deployment equipment and software, and amortization of development costs of externally marketed software. Activity relating to our asset retirement obligations was as follows: As of December 31, December 31, 2023 2022 (In thousands) Balance at beginning of period $ 183,135 $ 51,551 Liabilities incurred 74,189 124,822 Accretion expense 20,963 6,762 Revision to estimated cash flows — — Balance at end of period $ 278,287 $ 183,135 Total included in Other long-term liabilities $ 278,287 $ 183,135 The corresponding assets, net of accumulated depreciation, related to asset retirement obligations were $217 million and $162 million as of December 31, 2023 and 2022, respectively. Satellites Pay-TV Segment Our Pay-TV segment currently utilizes nine satellites in geostationary orbit approximately 22,300 miles above the equator, seven of which we own and depreciate over their estimated useful life. We also lease two satellites from third parties: Anik F3, which is accounted for as an operating lease, and Nimiq 5, which is accounted for as a finance lease and is depreciated over its economic life. As of July 2023, we no longer lease the Ciel II satellite. As of December 31, 2023, our Pay-TV segment satellite fleet consisted of the following: Degree Lease Launch Orbital Termination Satellites Date Location Date Owned: EchoStar X February 2006 110 N/A EchoStar XI July 2008 110 N/A EchoStar XIV March 2010 119 N/A EchoStar XV July 2010 61.5 N/A EchoStar XVI November 2012 61.5 N/A EchoStar XVIII June 2016 61.5 N/A EchoStar XXIII March 2017 110 N/A Under Construction: EchoStar XXV 2026 110 N/A Leased from Other Third-Party: Anik F3 April 2007 118.7 April 2025 Nimiq 5 September 2009 72.7 September 2024 Satellite Under Construction EchoStar XXV 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. Satellites - Broadband and Satellite Services Segment Our Broadband and Satellite Services segment currently utilizes nine satellites in geostationary orbit approximately 22,300 miles above the equator, six of which we own and depreciate over their estimated useful life. We also lease three satellites from third parties, which are accounted for as finance leases and are depreciated over their economic life. As of December 31, 2023, our Broadband and Satellite Services segment satellite fleet consisted of the following: Degree Lease Launch Orbital Termination Satellites Date Location Date Owned: EchoStar IX August 2003 121 N/A EchoStar XVII July 2012 107 N/A EchoStar XIX December 2016 97.1 N/A EchoStar XXI June 2017 10.25 N/A Al Yah 3 January 2018 20 N/A EchoStar XXIV July 2023 95.2 N/A Leased from Other Third-Party: Eutelsat 65 West A March 2016 65 July 2031 Telesat T19V July 2018 63 August 2033 EchoStar 105/SES-11 October 2017 105 November 2028 Eutelsat 10A satellite was deorbited in the fourth quarter of 2023. The Spaceway 3 satellite was deorbited in January 2024 and is excluded from the table above. Satellite Anomalies and Impairments Our satellites may experience anomalies from time to time, some of which may have a significant adverse effect on their remaining useful lives, the commercial operation of the satellites or our operating results or financial position. We are not aware of any anomalies with respect to our owned or leased satellites that have had any such significant adverse effect during the year ended December 31, 2023. 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 in-orbit insurance on our satellites or payloads because we have assessed that the cost of insurance is not economical relative to the risk of failures. Therefore, we generally bear the risk of any in-orbit failures. Pursuant to the terms of our joint venture agreement with Al Yah Satellite Communications Company PrJSC (“Yahsat”) in Brazil in 2019, we are required to maintain insurance for the Al Yah 3 Brazilian payload during the commercial in-orbit service of such payload, subject to certain limitations on coverage. The insurance policies were procured by Yahsat, under which we and Yahsat are the beneficiaries of any claims in proportion to their shareholdings. An insurance claim was submitted in the second quarter of 2023 for compensation with respect to the reduction in estimated useful life of the Al Yah 3 satellite. We have obtained certain insurance for our EchoStar XXIV satellite covering launch plus the first year of operations. We will continue to assess circumstances going forward and make insurance-related decisions on a case-by-case basis. Intangible Assets As of December 31, 2023 and 2022, our identifiable intangibles subject to amortization consisted of the following: As of December 31, 2023 December 31, 2022 Intangible Accumulated Intangible Accumulated Assets Amortization Assets Amortization (In thousands) Technology-based $ 115,166 $ (111,989) $ 114,945 $ (111,422) Trademarks 164,834 (90,326) 164,834 (78,209) Contract-based 41,500 (41,500) 41,500 (41,500) Customer relationships 902,858 (807,651) 903,083 (637,442) Total $ 1,224,358 $ (1,051,466) $ 1,224,362 $ (868,573) These identifiable intangibles are included in “Intangible assets, net” 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 two Estimated future amortization of our identifiable intangible assets as of December 31, 2023 is as follows (in thousands): For the Years Ended December 31, (In thousands) 2024 $ 97,918 2025 15,812 2026 14,115 2027 12,851 2028 12,357 Thereafter 19,617 Total $ 172,670 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. During the year ended December 31, 2023 we recorded a noncash impairment charge for goodwill of $758 million in “Impairment of long-lived assets and goodwill” on our Consolidated Statements of Operations and Comprehensive Income (Loss). See Note 2 for further information. The non-recurring measurement of fair value of goodwill is classified as Level 3 in the fair value hierarchy. As of December 31, 2023 and 2022, our Goodwill consisted of the following: As of December 31, December 31, 2023 2022 (In thousands) Pay-TV $ — $ 6,457 Retail Wireless — 98,657 5G Network Deployment — 119,903 Broadband and Satellite Services — 532,491 Total goodwill $ — $ 757,508 Regulatory Authorizations – Pay-TV and 5G Network Deployment Segments As of December 31, 2023 and 2022, our Regulatory Authorizations with indefinite lives consisted of the following: As of December 31, 2023 2022 (In thousands) Owned: DBS Licenses $ 677,409 $ 677,409 700 MHz Licenses 711,871 711,871 AWS-4 Licenses 1,940,000 1,940,000 H Block Licenses 1,671,506 1,671,506 600 MHz Licenses 6,213,335 6,212,579 MVDDS Licenses 24,000 24,000 28 GHz Licenses 2,883 2,883 24 GHz Licenses 11,772 11,772 37 GHz, 39 GHz & 47 GHz Licenses 202,533 202,533 3550-3650 MHz Licenses 912,939 912,939 3.7-3.98 GHz Licenses 2,969 2,688 3.45-3.55 GHz Licenses 7,327,989 7,327,989 1695-1710 MHz, 1755-1780 MHz, and 2155-2180 MHz 972 — AWS-3 5,618,930 5,618,930 Subtotal 25,319,108 25,317,099 Noncontrolling Investments: SNR 4,271,459 4,271,459 Capitalized Interest (1) 8,523,682 7,344,515 Total $ 38,114,249 $ 36,933,073 (1) See Note 2 for further information. Regulatory Authorizations – Broadband and Satellite Services Segment As of December 31, 2023 and 2022, our Regulatory Authorizations for our Broadband and Satellite Services segment with indefinite lives consisted of the following: As of December 31, 2023 2022 (In thousands) 95 W $ 200,000 $ 200,000 107 W 200,000 200,000 Sirion-1 Filing 39,160 39,160 Total $ 439,160 $ 439,160 As of December 31, 2023 and 2022, our Regulatory Authorizations with finite lives consisted of the following: As of December 31, 2023 December 31, 2022 Finite Lived Accumulated Finite Lived Accumulated Assets Amortization Assets Amortization (In thousands) Total $ 58,061 $ (38,490) $ 55,317 $ (31,946) These identifiable intangibles are included in “Regulatory Authorizations, net” on our Consolidated Balance Sheets. Amortization of these intangible assets is recorded on a straight-line basis over an average finite useful life of thirteen years. Amortization was $5 million for the year ended December 31, 2023 and $4 million and $4 million for the years ended December 31, 2022 and 2021, respectively. Foreign currency translation adjustments were gains of $1 million, losses of $2 million and gains of $1 million for the years ended December 31, 2023, 2022 and 2021, respectively. Estimated future amortization of our identifiable intangible assets as of December 31, 2023 is as follows (in thousands): For the Years Ended December 31, (In thousands) 2024 $ 5,607 2025 4,055 2026 4,055 2027 1,880 2028 589 Thereafter 3,385 Total $ 19,571 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases | |
Leases | 9. Lessee Accounting We enter into non-cancelable operating and finance leases for, among other things, communication towers, satellites, satellite-related ground infrastructure, data centers, office space, dark fiber and transport equipment, warehouses and distribution centers, vehicles and other equipment. Substantially all of our leases have remaining lease terms from one one year Our Eutelsat 65 West A, Telesat T19V and EchoStar 105/SES-11 satellites are accounted for as finance leases within our Broadband and Satellite Services segment. Through the first quarter of 2022, our Anik F3 and Nimiq 5 satellites were accounted for as finance leases within our Pay-TV segment. However, during April 2022, we extended the Anik F3 lease and as a result it is currently accounted for as an operating lease. 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, 2023 2022 2021 (In thousands) Operating lease cost (1) $ 538,805 $ 355,871 $ 111,336 Short-term lease cost (2) 4,765 4,914 4,800 Finance lease cost (3): Amortization of right-of-use assets 102,724 57,942 95,237 Interest on lease liabilities 14,090 12,151 14,741 Total finance lease cost 116,814 70,093 109,978 Total lease costs $ 660,384 $ 430,878 $ 226,114 (1) The increase in operating lease cost is primarily related to communication tower leases. (2) Leases that have terms of 12 months or less. (3) The decrease in finance lease cost for the year ended December 31, 2022 is primarily related to the QuetzSat-1 finance lease, which expired in November 2021, as well as the Anik F3 finance lease that was extended in April 2022 and as a result is currently accounted for as an operating lease. The increase in finance lease cost for the year ended December 31, 2023 is primarily related to equipment for our 5G Network Deployment. Supplemental cash flow information related to leases was as follows: For the Years Ended December 31, 2023 2022 2021 (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 367,438 $ 186,372 $ 93,227 Operating cash flows from finance leases $ 13,400 $ 11,060 $ 12,917 Financing cash flows from finance leases $ 53,467 $ 42,740 $ 63,109 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 753,935 $ 1,402,357 $ 1,489,637 Finance leases $ 53,771 $ 66,312 $ — Supplemental balance sheet information related to leases was as follows: As of December 31, December 31, 2023 2022 (In thousands) Operating Leases: Operating lease assets (1) $ 3,065,448 $ 2,823,834 Other current liabilities (1) $ 317,395 $ 210,855 Operating lease liabilities (1) 3,121,307 2,808,774 Total operating lease liabilities (1) $ 3,438,702 $ 3,019,629 Finance Leases: Property and equipment, gross $ 833,933 $ 772,420 Accumulated depreciation (520,344) (425,696) Property and equipment, net $ 313,589 $ 346,724 Other current liabilities $ 56,459 $ 48,066 Other long-term liabilities 67,199 75,287 Total finance lease liabilities $ 123,658 $ 123,353 Weighted Average Remaining Lease Term: Operating leases 10.6 years 11.8 years Finance leases 2.2 years 2.7 years Weighted Average Discount Rate: Operating leases 9.5% 7.2% Finance leases 9.7% 9.8% (1) In the fourth quarter of 2023, we revised certain terms with a vendor supplying communication towers. The revision in terms resulted in a lease modification, which was not accounted for as a separate contract. On the measurement date, we reassessed the terms of the original agreement, including but not limited to the timing of future cash flows, the remaining economic life of the underlying asset, the discount rate and the lease classification. This resulted in a reduction to both the operating lease asset and operating lease liability by approximately $227 million, which is included in “Operating lease assets,” and “Operating lease liabilities” on our Consolidated Balance Sheets. Maturities of lease liabilities as of December 31, 2023 were as follows: Maturities of Lease Liabilities Operating Finance For the Years Ending December 31, Leases Leases Total (In thousands) 2024 $ 448,503 $ 66,073 $ 514,576 2025 485,783 35,392 521,175 2026 516,143 36,588 552,731 2027 515,022 2,574 517,596 2028 471,980 — 471,980 Thereafter 3,170,778 — 3,170,778 Total lease payments 5,608,209 140,627 5,748,836 Less: Imputed interest (2,169,507) (16,969) (2,186,476) Total 3,438,702 123,658 3,562,360 Less: Current portion (317,395) (56,459) (373,854) Long-term portion of lease obligations $ 3,121,307 $ 67,199 $ 3,188,506 Lessor Accounting The following table presents our lease revenue by type of lease: For the Years Ended December 31, 2023 2022 2021 (In thousands) Lease revenue: Sales-type lease revenue $ 13,431 $ 8,777 $ 8,726 Operating lease revenue 42,565 44,350 41,955 Total lease revenue $ 55,996 $ 53,127 $ 50,681 Substantially all of our net investment in sales-type leases consisted of lease receivables totaling $30 million and $22 million as of December 31, 2023 and 2022, respectively. The following table presents future operating lease payments to be received as of December 31, 2023: For the Years Ending December 31, Total (In thousands) 2024 $ 36,008 2025 31,803 2026 30,579 2027 25,752 2028 11,687 Thereafter 34,588 Total lease payments to be received $ 170,417 |
Long-Term Debt and Finance Leas
Long-Term Debt and Finance Lease Obligations | 12 Months Ended |
Dec. 31, 2023 | |
Long-Term Debt and Finance Lease Obligations | |
Long-Term Debt and Finance Lease Obligations | 10. 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, 2023 and 2022: As of December 31, 2023 December 31, 2022 Issuer Carrying Amount Fair Value Carrying Amount Fair Value (In thousands) 5% Senior Notes due 2023 (1) DDBS $ — $ — $ 1,443,179 $ 1,441,635 2 3/8% Convertible Notes due 2024 (2) DISH 951,168 944,034 1,000,000 906,970 5 7/8% Senior Notes due 2024 (3) DDBS 1,982,544 1,872,275 2,000,000 1,870,940 0% Convertible Notes due 2025 (4) DISH 1,957,197 1,228,141 2,000,000 1,287,540 7 3/4% Senior Notes due 2026 DDBS 2,000,000 1,388,060 2,000,000 1,620,280 5 1/4% Senior Secured Notes due 2026 HSSC 750,000 665,678 750,000 727,763 6 5/8% Senior Notes due 2026 HSSC 750,000 591,525 750,000 707,490 3 3/8% Convertible Notes due 2026 (5) DISH 2,908,801 1,570,753 3,000,000 1,894,230 5 1/4% Senior Secured Notes due 2026 DDBS 2,750,000 2,366,073 2,750,000 2,336,813 11 3/4% Senior Secured Notes due 2027 (6) DISH 3,500,000 3,668,980 2,000,000 2,071,240 7 3/8% Senior Notes due 2028 DDBS 1,000,000 600,160 1,000,000 708,320 5 3/4% Senior Secured Notes due 2028 DDBS 2,500,000 2,013,125 2,500,000 2,013,675 5 1/8% Senior Notes due 2029 DDBS 1,500,000 774,600 1,500,000 976,755 Other notes payable 160,158 160,158 188,509 188,509 Subtotal 22,709,868 $ 17,843,562 22,881,688 $ 18,752,159 Unamortized deferred financing costs and other debt discounts, net (69,606) (108,921) Finance lease obligations (7) 123,658 123,353 Total long-term debt and finance lease obligations (including current portion) $ 22,763,920 $ 22,896,120 (1) We had repurchased or redeemed the principal balance of our 5% Senior Notes due 2023 as of March 15, 2023, the instrument’s maturity date . (2) During the year ended December 31, 2023, we repurchased approximately $49 million of our 2 3/8% Convertible Notes due 2024 in open market trades. The remaining balance of approximately $951 million matures on March 15, 2024 and is included in “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2023. (3) During the year ended December 31, 2023, we repurchased approximately $17 million of our 5 7/8% Senior Notes due 2024 in open market trades. The remaining balance of approximately $1.983 billion matures on November 15, 2024 and is included in “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2023. (4) During the year ended December 31, 2023, we repurchased approximately $43 million of our 0% Convertible Notes due 2025 in open market trades. The remaining balance of approximately $1.957 billion matures on December 15, 2025 . (5) During the year ended December 31, 2023, we repurchased approximately $91 million of our 3 3/8% Convertible Notes due 2026 in open market trades. The remaining balance of approximately $2.909 billion matures on August 15, 2026 . (6) On January 26, 2023, we issued an additional $1.5 billion aggregate principal amount of our 11 3/4% Senior Secured Notes due 2027. (7) 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). DISH DBS Unsecured Senior Notes 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. 5 7/8% On November 20, 2014, we issued $2.0 billion aggregate principal amount of our ten-year 5 7/8% 5 7/8% The 5 7/8% 7 3/4% On June 13, 2016, we issued $2.0 billion aggregate principal amount of our ten-year 7 3/4% 7 3/4% The 7 3/4% 7 3/8% On July 1, 2020, we issued $1.0 billion aggregate principal amount of our 7 3/8% 7 3/8% The 7 3/8% Prior to July 1, 2023, we may also redeem up to 35% of the 7 3/8% 5 1/8% On May 24, 2021, we issued $1.5 billion aggregate principal amount of our 5 1/8% 5 1/8% The 5 1/8% 5 1/8% HSSC Unsecured Senior Notes 6 5/8% On July 27, 2016, our subsidiary Hughes Satellite Systems Corporation (“HSSC”) issued $750 million aggregate principal amount of 6 5/8% 6 5/8% Our Senior Notes due 2026 are: ● unsecured senior obligations of HSSC; ● ranked equally with all existing and future unsubordinated indebtedness and effectively junior to any secured indebtedness up to the value of the assets securing such indebtedness; ● effectively junior to HSSC’s obligations that are secured to the extent of the value of the collateral securing such obligations; ● senior in right of payment to all existing and future obligations of HSSC that are expressly subordinated to the 2026 Senior Unsecured Notes; ● structurally junior to any existing and future obligations of any of HSSC’s subsidiaries that do not guarantee the 2026 Senior Unsecured Notes; and ● unconditionally guaranteed, jointly and severally, on a general senior secured basis by certain of HSSC’s subsidiaries, which guarantees rank equally with all of the guarantors’ existing and future unsubordinated indebtedness, and effectively junior to any secured indebtedness of the guarantors up to the value of the assets securing such indebtedness. Subject to certain exceptions, the Indentures contain restrictive covenants that, among other things, impose limitations on HSSC’s ability and, in certain instances, the ability of certain of HSSC’s subsidiaries to: ● incur additional debt; ● pay dividends or make distributions on HSSC’s or their capital stock or repurchase HSSC’s or their 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; ● transfer and sell assets; and ● allow to exist certain restrictions on its or their ability to pay dividends, make distributions, make other payments, or transfer assets. In the event of a Change of Control, as defined in the respective Indentures, HSSC would be required to make an offer to repurchase all or any part of a holder’s 2026 Senior Unsecured Notes at a purchase price equal to 101.0% of the aggregate principal amount thereof, together with accrued and unpaid interest to the date of repurchase. The Indentures provide for customary events of default for each series of the 2026 Senior Unsecured Notes, including, among other things, non-payment, breach of the covenants in the applicable Indentures, payment defaults or acceleration of other indebtedness, a failure to pay certain judgments and certain events of bankruptcy, insolvency and reorganization. If any event of default occurs and is continuing with respect to any series of the 2026 Senior Unsecured Notes, the trustee or the holders of at least 25.0% in principal amount of the then outstanding 2026 Senior Unsecured Notes of such series may declare all the 2026 Senior Unsecured Notes of such series to be due and payable immediately, together with any accrued and unpaid interest. Convertible Notes Merger with DISH Network In connection with the completion of the Merger, on December 31, 2023, at the Effective Time, the right of the holders of the Convertible Notes that were outstanding as of the completion of the Merger to convert each $1,000 principal amount of such Convertible Notes into shares of DISH Class A Common Stock was changed into a right to convert such principal amount of Convertible Notes into the number of shares of EchoStar Class A Common Stock that a holder of a number of shares of DISH Class A Common Stock equal to the applicable initial conversion rate (as defined in the applicable Indenture) would have been entitled to receive upon the completion of the Merger. Upon the completion of the Merger, each then-outstanding share of DISH Class A Common Stock was converted into the right to receive 0.350877 shares of EchoStar Common Stock, resulting in an adjusted initial conversion rate of 4.2677 for the 2 3/8% Convertible Notes due 2024, 8.5657 for the 0% Convertible Notes due 2025 and 5.3835 for the 3 3/8% Convertible Notes due 2026 for each $1,000 principal amount . All amounts below represent the adjusted conversion rate. 2 3/8% 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% 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 Convertible Notes due 2024 at a repurchase price equal to 100% of the principal amount of such Convertible Notes due 2024, plus accrued and unpaid interest to, but not including, the fundamental change repurchase date. 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 4.268 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 $234.33 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 due 2024 will also have the right to convert the Convertible Notes due 2024 at the Initial Conversion Rate prior to October 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. 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 Convertible Notes due 2025 at a repurchase price equal to 100% of the principal amount of such Convertible Notes due 2025, plus accrued and unpaid interest to, but not including, the fundamental change repurchase date. 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 8.566 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 $116.74 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 due 2025 will also have the right to convert the Convertible Notes due 2025 at the Initial Conversion Rate prior to July 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. 3 3/8% On August 8, 2016, we issued $3.0 billion aggregate principal amount of the Convertible Notes due August 15, 2026 in a private offering. Interest accrues at an annual rate of 3 3/8% 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 Convertible Notes due 2026 at a specified make-whole price equal to 100% of the principal amount of such Convertible Notes due 2026, plus accrued and unpaid interest to, but not including, the fundamental change repurchase date. 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 5.383 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 $185.76 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 due 2026 will also have the right to convert the Convertible Notes due 2026 at the Initial Conversion Rate prior to March 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. Convertible Note Hedge and Warrant Transactions Merger with DISH Network In addition, in connection with the completion of the Merger, on December 31, 2023, we and DISH Network entered into a warrant amendment letter agreement and warrant guarantee with each option counterparty, pursuant to which, at the Effective Time, each counterparty’s right to purchase shares of DISH Network Class A Common Stock pursuant to the applicable warrant transactions was changed into a right to purchase shares of EchoStar Class A Common Stock, and we guaranteed all of DISH Network’s obligations under the applicable 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 due 2026, the number of shares of DISH Network Class A Common Stock underlying the Convertible Notes due 2026, which initially gives us the option to purchase approximately 46 million shares of DISH Network Class A Common Stock at a price of approximately $65.18 per share, which in connection with the completion of the Merger converted into approximately 16 million shares of EchoStar Class A Common Stock at a price of approximately $185.76 per share. The total cost of the original convertible note hedge transactions was $635 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 DISH Network Class A common stock, which initially gives the option counterparties the option to purchase approximately 46 million shares of DISH Network Class A common stock at a price of approximately $86.08 per share, which in connection with the completion of the Merger converted into approximately 16 million shares of EchoStar Class A Common Stock at price ranges of approximately $185.75 to $245.33 per share. We received $376 million in cash proceeds from the original sale of these warrants. In accordance with accounting guidance on hedge and warrant transactions, the net cost incurred in connection with the convertible note hedge and warrant transactions are recorded as a reduction in “Additional paid-in capital” within “Stockholders’ Equity (Deficit)” on our Consolidated Balance Sheets as of December 31, 2016. 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. DISH DBS Senior Secured Notes Our DISH DBS Senior Secured Notes are: ● general senior secured obligations of DISH DBS Corporation (“DISH DBS”); ● secured by security interests in substantially all existing and future tangible and intangible assets of DISH DBS and its principal operating subsidiaries on a first priority basis, subject to certain exceptions; ● ranked equally in right of payment with all of DISH DBS’ and the guarantors’ existing and future senior debt; ● ranked senior in right of payment and effectively senior to any of DISH DBS’ and the guarantors’ junior lien or unsecured debt to the extent of the value of the pledged collateral that secures the Senior Secured Notes; and ● ranked effectively junior to DISH DBS’ and the guarantors’ obligations that are secured by assets that are not part of the pledged collateral that secures the Senior Secured Notes, to the extent of the value of such assets. The indenture related to our DISH DBS Senior Secured 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 indenture, we would be required to make an offer to repurchase all or any part of a holder’s Senior Secured 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. 5 1/4% Senior Secured Notes due 2026 On November 26, 2021, we issued $2.750 billion aggregate principal amount of our 5 1/4% Senior Secured Notes due December 1, 2026. Interest accrues at an annual rate of 5 1/4% and is payable semi-annually in cash, in arrears on June 1 and December 1 of each year, commencing on June 1, 2022. The 5 1/4% Senior Secured Notes due 2026 are redeemable, in whole or in part, at any time prior to June 1, 2026 (the “2026 Par Call Date”) 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. At any time on or after the 2026 Par Call Date, we may redeem the 5 1/4% Senior Secured Notes due 2026, in whole at any time or in part from time to time, at a price equal to 100% of the principal amount thereof, plus accrued and unpaid interest, if any, to the redemption date. Prior to December 1, 2024, we may also redeem up to 35% of the 5 1/4% Senior Secured Notes due 2026 at a specified premium with the net cash proceeds from certain equity offerings or capital contributions. At any time and from time to time during the 36-month period following the issue date of the 5 1/4% Senior Secured Notes due 2026, we may redeem up to 10% of the aggregate principal amount during each twelve-month period commencing with the issue date at a redemption price of 103% of the aggregate principal amount thereof plus accrued and unpaid interest, if any, to, but excluding, the redemption date. 5 3/4% Senior Secured Notes due 2028 On November 26, 2021, we issued $2.5 billion aggregate principal amount of our 5 3/4% Senior Secured Notes due December 1, 2028. Interest accrues at an annual rate of 5 3/4% and is payable semi-annually in cash, in arrears on June 1 and December 1 of each year, commencing on June 1, 2022. The 5 3/4% Senior Secured Notes due 2028 are redeemable, in whole or in part, at any time prior to December 1, 2027 (the “2028 Par Call Date”) 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. At any time on or after the 2028 Par Call Date, we may redeem the 5 3/4% Senior Secured Notes due 2028, in whole at any time or in part from time to time, at a price equal to 100% of the principal amount thereof, plus accrued and unpaid interest, if any, to the redemption date. Prior to December 1, 2024, we may also redeem up to 35% of the 5 3/4% Senior Secured Notes due 2028 at a specified premium with the net cash proceeds from certain equity offerings or capital contributions. At any time and from time to time during the 36-month period following the issue date of the 5 3/4% Senior Secured Notes due 2028, we may redeem up to 10% of the aggregate principal amount during each twelve-month period commencing with the issue date at a redemption price of 103% of the aggregate principal amount thereof plus accrued and unpaid interest, if any, to, but excluding, the redemption date. Intercompany Loan The net proceeds from the offering of our 5 1/4% Senior Secured Notes due 2026 and our 5 3/4% Senior Secured Notes due 2028 (the “Senior Notes”) issued on November 26, 2021 were used by DISH DBS to make an intercompany loan to DISH Network pursuant to a Loan and Security Agreement dated November 26, 2021 (together with potential future advances to DISH Network, the “Intercompany Loan”) between DISH DBS and DISH Network in order to finance the purchase of wireless spectrum licenses and for general corporate purposes, including our 5G Network Deployment. The Intercompany Loan will mature in two tranches, with the first tranche maturing on December 1, 2026 (the “2026 Tranche”) and the second tranche maturing on December 1, 2028 (the “2028 Tranche”). DISH DBS may make additional advances to DISH Network under the Intercompany Loan, and on February 11, 2022, DISH DBS advanced an additional $1.5 billion to DISH Network under the Intercompany Loan 2026 Tranche. Interest accrues and is payable semiannually, and interest payments with respect to the Intercompany Loan are, at our option, payable in kind for the first two years. In the third year, a minimum of 50% of each interest payment due with respect to each tranche of the Intercompany Loan must be paid in cash. Thereafter, interest payments must be paid in cash. Interest will accrue: (a) when paid in cash, at a fixed rate of 0.25% per annum in excess of the interest rate applicable to, in the case of the 2026 Tranche, the 5 1/4% Senior Secured Notes due 2026, and in the case of the 2028 Tranche, the 5 3/4% Senior Secured Notes due 2028 (each, the “Cash Accrual Rate” with respect to the applicable tranche); and (b) when paid in kind, at a rate of 0.75% per annum in excess of the Cash Accrual Rate for the applicable tranche. As of December 31, 2023, the total Intercompany Loan amount outstanding plus interest paid in kind was $7.496 billion. As of December 31, 2023, interest payments for the Intercompany Loan paid in cash totaled $105 million. In January 2024, the 2026 Tranche was assigned to , our direct wholly-owned subsidiary, such that amounts owed in respect of the will now be paid by DISH Network to The cash proceeds of the Intercompany Loan of $6.750 billion were paid to the FCC in connection with Weminuche’s winning bids in Auction 110. As a result, the Intercompany Loan is secured by Weminuche’s interest in the wireless spectrum licenses acquired in Auction 110 with such cash proceeds up to the total loan amount outstanding including interest paid in kind. The remaining balance of our winning bids of approximately $455 million was paid from cash and marketable investment securities balances at that time, for a total of approximately $7.205 billion. Under certain circumstances, DISH Network wireless spectrum licenses (valued based upon a third-party valuation) may be substituted for the collateral. The Intercompany Loan is not included as collateral for the Senior Secured Notes, and the Senior Secured Notes are subordinated to DISH DBS’s existing and certain future unsecured notes with respect to certain realizations under the Intercompany Loan and any collateral pledged as security for the Intercompany Loan. DISH Network Senior Secured Notes Our DISH Network Senior Secured Notes are: ● senior unsecured obligations and guaranteed by certain restricted subsidiaries on a senior secured basis and certain other material subsidiaries; ● secured on a first priority basis by security interests, in favor of the secured parties, in the collateral, which consists primarily of interests in wireless spectrum licenses within the 600 MHz band (“the Spectrum Collateral”) owned by one of the secured guarantors and any additional subsidiaries of ours that may be added as guarantors from time to time and equity interests in the Spectrum Collateral guarantor(s) and DISH DBS; ● ranked equally in right of payment with all of our and the guarantor’s existing and future senior indebtedness; ● ranked senior in right of payment to any of our and the guarantors’ subordinated indebtedness and effectively senior to any of the Secured Guarantors unsecured indebtedness and indebtedness secured by junior liens on the collateral to the extent of the value of the collateral and effectively junior to all the existing and future obligations of any of our subsidiaries that are not Guarantors. ● ranked effectively junior to our obligations and the obligations of the guarantors that are secured by assets that do not constitute collateral to the extent of the value of such assets; The indenture related to our DISH Network Senior Secured Notes contain restrictive covenants that, among other things, impose limitations on our ability and certain of our subsidiaries to: ● incur additional debt; ● pay dividends or make distributions on our capital stock or repurchase our capital stock; ● make certain investments of Spectrum Collateral; ● 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 indenture, we would be required to make an offer to repurchase all or any part of a holder’s DISH Senior Secured 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. 11 3/4% Senior Secured Notes due 2027 On November 15, 2022 and January 26, 2023, we issued $2.0 billion and $1.5 billion, respectively, aggregate principal amount of our 11 3/4% Senior Secured Notes due November 15, 2027. Interest accrues at an annual rate of 11 3/4% and is payable semi-annually in cash, in arrears on May 15 and November 15 of each year, commencing on May 15, 2023. The 11 3/4% Senior Secured Notes due 2027 are redeemable, in whole or in part, at any time prior to May 15, 2025 at a redemption price equal to 100% of their principal amount plus a “make-whole” premium, as defined in the related indenture, together with accrued and unpaid interest. At any time on or after May 15, 2025, we may redeem the 11 3/4% Senior Secured Notes due 2027, in whole at any time or in part from time to time, at the redemption prices specified in the related indenture, together with accrued and unpaid interest, if any, to the redemption date. Prior to May 15, 2025, we may also redeem up to 40% of the 11 3/4% |
Income Taxes and Accounting for
Income Taxes and Accounting for Uncertainty in Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes and Accounting for Uncertainty in Income Taxes | |
Income Taxes and Accounting for Uncertainty in Income Taxes | 11. Income Taxes and Accounting for Uncertainty in Income Tax es 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, 2023, we had $267 million net operating loss carryforwards (“NOLs”) for federal income tax purposes, $292 million of NOL carryforwards for state income tax purposes and $219 million of foreign NOL carryfowards which are partially offset by a valuation allowance. In addition, there are $287 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 2023. The components of the (benefit from) provision for income taxes were as follows: For the Years Ended December 31, 2023 2022 2021 (In thousands) Current (benefit) provision: Federal $ (7,484) $ (1,283) $ 135,759 State 39,441 70,707 47,115 Foreign 8,405 (601) 5,855 Total current (benefit) provision 40,362 68,823 188,729 Deferred (benefit) provision: Federal (308,917) 638,077 538,979 State (150,108) 93,755 87,319 Foreign (45,006) (20,965) (34,809) Increase (decrease) in valuation allowance 166,809 18,720 48,219 Total deferred (benefit) provision (337,222) 729,587 639,708 Total (benefit) provision $ (296,860) $ 798,410 $ 828,437 Our $1.932 billion loss of “Income (loss) before income taxes” on our Consolidated Statements of Operations and Comprehensive Income (Loss) included a loss of $172 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, 2023 2022 2021 % of pre-tax income/(loss) Statutory rate (21.0) 21.0 21.0 State income taxes, net of federal benefit (3.6) 3.3 3.2 Rates different than statutory (1.1) (0.5) (0.5) Increase (decrease) in valuation allowance 8.6 0.6 1.4 Tax credits (3.8) (0.8) (0.5) Impairments 6.0 — — Other, net (0.5) 0.3 0.1 Total (benefit) provision for income taxes (15.4) 23.9 24.7 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, 2023 2022 (In thousands) Deferred tax assets: NOL, interest, credit and other carryforwards $ 1,322,706 $ 666,789 Accrued and prepaid expenses 966,445 759,981 Stock-based compensation 29,387 29,383 Unrealized (gains) losses on available for sale and other investments (1) 222,769 — Discount on convertible notes and convertible note hedge transaction, net 46,636 64,644 Deferred revenue 10,748 5,681 Other 10,096 11,050 Total deferred tax assets 2,608,787 1,537,528 Valuation allowance (492,340) (306,703) Deferred tax asset after valuation allowance 2,116,447 1,230,825 Deferred tax liabilities: Depreciation (1,961,227) (1,784,018) Unrealized (gains) losses on available for sale and other investments (1) — (241,297) Regulatory authorizations and other intangible amortization (3,960,608) (3,491,625) Bases differences in partnerships and cost method investments (2) (1,179,418) (1,041,790) Other liabilities (21,227) (18,840) Total deferred tax liabilities (7,122,480) (6,577,570) Net deferred tax asset (liability) (3) $ (5,006,033) $ (5,346,745) (1) Included in this line item are deferred taxes related to, among other things, changes in the probability weighted fair value of our option to purchase certain of T-Mobile’s 800 MHz spectrum licenses. See Note 6 for further information. (2) Included in this line item are deferred taxes related to, among other things, our noncontrolling investments in Northstar Spectrum and SNR HoldCo, including deferred taxes created by the tax amortization of the Northstar Licenses and SNR Licenses. See Note 2 for further information. (3) The presentation of net deferred tax liability includes both deferred tax liabilities and deferred tax assets. Certain foreign deferred tax assets are presented as part of “Other noncurrent assets, net” on our Consolidated Balance Sheets and our deferred tax liabilities related to all other jurisdictions are reported separately as “Deferred tax liabilities, net” on our Consolidated Balance Sheets. As of December 31, 2023, we had undistributed earnings attributable to foreign subsidiaries for which no provision for U.S. income taxes or foreign withholding taxes has been made because it is expected that such earnings will be reinvested outside the U.S. indefinitely. It is not practicable to determine the amount of the unrecognized deferred tax liability at this time. 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. We are subject to United States federal, state and local income tax examinations by tax authorities for the years as early as tax year 2008. We are currently under a federal income tax examination for years 2008 through 2011, 2013 through 2016, and 2018 through 2019. We also file income tax returns in the United Kingdom, Germany, Brazil, India and a number of other foreign jurisdictions. We generally are open to income tax examination in these foreign jurisdictions for taxable years beginning in 2004. 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 2023 2022 2021 (In thousands) Balance as of beginning of period $ 569,601 $ 539,113 $ 528,527 Additions based on tax positions related to the current year 9,210 36,587 496 Additions based on tax positions related to prior years 41,522 16,369 12,200 Reductions based on tax positions related to prior years (7,219) (21,541) (1,482) Reductions based on tax positions related to settlements with taxing authorities (3,219) — — Reductions based on tax positions related to the lapse of the statute of limitations (352) (927) (628) Balance as of end of period $ 609,543 $ 569,601 $ 539,113 We have $539 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 12 months. 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, 2023, 2022 and 2021, we recorded $39 million, $22 million and $16 million in net interest and penalty expense to earnings, respectively. Accrued interest and penalties were $165 million and $126 million at December 31, 2023 and 2022, respectively. The above table excludes these amounts. |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) | 12 Months Ended |
Dec. 31, 2023 | |
Stockholders' Equity (Deficit) | |
Stockholders' Equity (Deficit) | 12. Capital Stock Merger with DISH Network At the Effective Time of the Merger, (1) each share of DISH Network Class A Common Stock issued and outstanding immediately prior to the Effective Time, other than shares held directly by DISH Network as treasury shares or held by EchoStar or Merger Sub, was converted automatically into 0.350877 shares of EchoStar Class A Common Stock, and (2) each share of DISH Network Class B Common Stock issued and outstanding immediately prior to the Effective Time, other than shares held directly by DISH Network as treasury shares or held by EchoStar or Merger Sub, was converted automatically into 0.350877 shares of EchoStar Class B Common Stock, resulting in the issuance of 104 million shares of EchoStar Class A Common Stock, which includes 23 million shares of treasury stock that were reissued, and 84 million shares of EchoStar Class B Common Stock. At the Effective Time, each share of EchoStar Class A Common Stock outstanding and each share of EchoStar Class B Common Stock issued and outstanding immediately prior to the Effective Time, remained an outstanding share of EchoStar Class A Common Stock and an issued and outstanding share of EchoStar Class B Common Stock, respectively, and was not affected by the Merger. At the Effective Time, each share of EchoStar Class A Common Stock held directly by EchoStar as treasury shares immediately prior to the Effective Time, were reissued as part of the Merger. Our certificate of incorporation authorizes the following capital stock: (i) 1,600,000,000 shares of Class A common stock, par value $0.001 per share; (ii) 800,000,000 shares of Class B common stock, par value $0.001 per share; (iii) 800,000,000 shares of Class C common stock, par value $0.001 per share; (iv) 800,000,000 shares of Class D common stock, par value $0.001 per share; and (v) 20,000,000 shares of preferred stock, par value $0.001 per share. As of December 31, 2023 and 2022, there were no outstanding shares of Class C common stock, Class D common stock or preferred stock. Our Board of Directors is authorized to issue preferred stock and may divide such preferred stock into series and, with respect to each series, to determine the preferences and rights and the qualifications, limitations or restrictions of the series, including, but not limited to, the dividend rights, conversion rights, voting rights, redemption rights and terms, liquidation preferences, sinking fund provisions, the number of shares constituting the series and the designation of such series. Our Board of Directors may, without stockholder approval, issue additional preferred stock of existing or new series with voting and other rights that could adversely affect the voting power of the holders of common stock and could have certain anti-takeover effects. Our Class A, Class B, and Class C common stock are equivalent except for voting rights. Holders of Class A one Class C Any holder of Class D common stock is not entitled to a vote on any matter or to convert the shares of Class D common stock into any other class of common stock. Each share of common stock is entitled to receive its pro rata share, based upon the number of shares of common stock held, of dividends and distributions upon liquidation. Common Stock Repurchase Program Our Board of Directors previously authorized stock repurchases of up to $500 million of our outstanding Class A common stock. On October 20, 2022, our Board of Directors extended this authorization to repurchase up to $500 million of our outstanding Class A common stock through and including December 31, 2023. This program expired December 31, 2023. During the year ended December 31, 2023 there were no repurchases of our Class A common stock. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2023 | |
Employee Benefit Plans | |
Employee Benefit Plans | 13. Employee Stock Purchase Plan Our employees may participate in the EchoStar employee stock purchase plan (the “ESPP”), in which we are authorized to issue up to 5.0 million shares of Class A common stock. At December 31, 2023, we had 0.5 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 401(k) Employee Savings Plans We sponsor the DISH Network 401(k) Employee Savings Plan (the “DISH Network 401(k) Plan”) and the EchoStar 401(k) Employee Savings Plan (the “EchoStar 401(k) Plan”) (collectively referred to as the “401(k) Plans”) for eligible employees. Voluntary employee contributions to the 401(k) Plans may be matched 50% by us and under the EchoStar 401(k) Plan, subject to a maximum annual contribution of $7,500 per employee participating in the EchoStar 401(k) Plan and $2,500 per employee participating in the DISH Network 401(k) Plan. Forfeitures of unvested participant balances which are retained by the 401(k) Plans may be used to fund matching and discretionary contributions. Our Board of Directors may also authorize an annual discretionary contribution to the 401(k) plans, 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 2023 2022 2021 (In thousands) Matching contributions, net of forfeitures $ 20,379 $ 18,275 $ 14,346 Discretionary stock contributions, net of forfeitures $ 5,491 $ 21,606 $ 33,507 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Stock-Based Compensation | |
Stock-Based Compensation | 14. Merger with DISH Network Upon the completion of the Merger with DISH Network, we adopted all of DISH Network’s stock compensation plans. At the Effective Time, each DISH Network stock option outstanding immediately prior to the Effective Time was converted automatically into an EchoStar stock option on substantially the same terms and conditions (including, if applicable, with respect to any performance-based vesting, subject to certain adjustments that may be made pursuant to the terms of the Amended Merger Agreement and to the extent necessary to reflect the consummation of the Merger and the other transactions contemplated by the Amended Merger Agreement), with respect to a number of shares of EchoStar Class A Common Stock equal to (i) the number of shares of DISH Network Common Stock subject to the corresponding DISH Network stock option immediately prior to the Effective Time, multiplied by (ii) the Exchange Ratio (with the resulting number rounded down to the nearest whole share), at an exercise price (rounded up to the nearest whole cent) equal to the exercise price of the corresponding DISH Network stock option immediately prior to the Effective Time divided by the Exchange Ratio. At the Effective Time, each DISH Network restricted stock unit award outstanding immediately prior to the Effective Time was converted automatically into an EchoStar restricted stock unit award on substantially the same terms and conditions, with respect to a number of shares of EchoStar Class A Common Stock equal to (i) the number of shares of DISH Network Common Stock subject to the corresponding DISH Network restricted stock unit award immediately prior to the Effective Time, multiplied by (ii) the Exchange Ratio (with the resulting number rounded to the nearest whole share). Stock Incentive Plans All information below includes the Merger conversion discussed above. We maintain stock incentive plans to attract and retain officers, directors and key employees. Stock awards under these plans include both performance/market and non-performance based stock incentives. As of December 31, 2023, we had outstanding under these plans stock options to acquire 16.1 million shares of our Class A common stock and 49 thousand restricted stock units and awards. Stock options granted on or prior to December 31, 2023 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 Exchange offer . On June 24, 2022, we commenced a tender offer to eligible employees (which excludes our co-founders and the independent members of our Board of Directors) to exchange eligible stock options (which excludes the Ergen 2020 Performance Award) for new options “Exchange Offer”), to, among other things, further align employee incentives with the current market. The Exchange Offer expired on July 22, 2022. As a result of the Exchange Offer, the exercise price of approximately Stock Award Activity Our stock option activity was as follows: For the Year Ended December 31, 2023 Options Weighted- Average Exercise Price Aggregate intrinsic value (in thousands) Weighted- Average Remaining Contractual Life Total options outstanding, beginning of period 16,887,454 $ 59.28 Granted 1,653,280 $ 22.28 Exercised — $ — Forfeited and cancelled (1) (2,453,588) $ 59.25 Total options outstanding, end of period 16,087,146 $ 55.48 $ 1 6.76 Performance/market based options outstanding, end of period (2) 4,631,083 $ 84.20 Exercisable at end of period 6,332,074 $ 50.88 $ — 5.35 (1) Includes the cancellation of the 2013 LTIP. See discussion below. (2) These stock options are included in the caption “Total options outstanding, end of period.” See discussion of the 2017 LTIP, 2019 LTIP, 2022 Incentive Plan, 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, 2023 2022 2021 (In thousands) Tax benefit from stock awards exercised $ 1,384 573 4,457 Our restricted stock unit and award activity was as follows: For the Year Ended December 31, 2023 Restricted Stock Units/Awards Weighted- Average Grant Date Fair Value Total restricted stock units/awards outstanding, beginning of period 802,804 $ 72.70 Granted 5,776 $ 17.50 Vested (525,100) $ 60.89 Forfeited and cancelled (234,835) $ 92.34 Total restricted stock units/awards outstanding, end of period 48,645 $ 98.78 The following table summarizes additional information about our stock options and restricted stock units and awards: For the Years Ended December 31, 2023 2022 2021 (In thousands, except per share amounts) Stock options: Weighted-average grant date fair value of options granted $ 22.28 $ 53.20 $ 84.84 Intrinsic value of options exercised (1) $ — $ 98 $ 16,029 Restricted stock units and awards: Weighted-average grant date fair value of units and awards granted $ 17.50 $ 40.06 $ 120.86 Fair value of units and rewards vested (1) $ 9,926 $ 2,212 $ 1,218 (1) Intrinsic value and fair value is based on the closing market price of our Class A common stock on December 31, 2023. Long-Term Performance-Based Plans 2013 LTIP. 2017 LTIP. 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, 2023, 2022 and 2021, we determined that 85%, 89% and 90%, 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, 2023, 2022 and 2021, as indicated in the table below titled “Non-Cash, Stock-Based Compensation Expense Recognized.” As of December 31, 2023, 2022 and 2021, approximately 78%, 75% and 69%, respectively, of the 2019 LTIP awards had vested. No additional awards will vest in future periods for the 2019 LTIP. 2022 Incentive Plan. Although no awards vest until the Company attains the performance conditions described above, compensation related to the 2022 Incentive Plan 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 year ended December 31, 2023, we determined that 100% of the 2022 Incentive Plan performance conditions were probable of achievement. As a result, non-cash, stock-based compensation expense was recorded for the years ended December 31, 2023 as indicated in the table below titled “Non-Cash, Stock-Based Compensation Expense Recognized.” As of December 31, 2023 and 2022, approximately 17% and 33%, respectively, of the 2022 Incentive Plan awards had vested. Ergen 2020 Performance Award. ten-year Although no awards will vest until the market conditions are satisfied, as of December 31, 2020, we began 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. Non-cash, stock-based compensation expense was recorded for the years ended December 31, 2023, 2022 and 2021, as indicated in the table below titled “Non-Cash, Stock-Based Compensation Expense Recognized.” As of December 31, 2023, 2022 and 2021, approximately 20% of the Ergen 2020 Performance Award awards had vested. Other Employee Performance Awards. 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, 2023, 2022 and 2021, 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) 2023 2022 2021 (In thousands) 2022 Incentive Plan $ 7,346 $ 19,088 $ — 2019 LTIP (1,903) (97) 489 2013 LTIP — — (13,610) Ergen 2020 Performance Award 12,308 12,308 34,513 Other employee performance awards 462 4,502 9,033 Total non-cash, stock-based compensation expense recognized for performance based awards $ 18,213 $ 35,801 $ 30,425 (1) “Non-Cash, Stock-Based Compensation Expense Recognized” includes actual forfeitures. Estimated Remaining Non-Cash, Stock-Based Compensation Expense 2022 Incentive Plan 2019 LTIP Ergen 2020 Performance Award Other Employee Performance Awards (In thousands) Expense estimated to be recognized during 2024 $ 2,119 $ — $ 10,816 $ — Estimated contingent expense subsequent to 2024 1,114 — 16,913 — Total estimated remaining expense over the term of the plan $ 3,233 $ — $ 27,729 $ — 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, 2023, that assessment could change in the future. Of the 16.1 million stock options and 49 thousand restricted stock units and awards outstanding under our stock incentive plans as of December 31, 2023, the following awards were outstanding pursuant to our performance-based stock incentive plans: As of December 31, 2023 Performance Based Stock Options Number of Awards Weighted- Average Grant Price 2022 Incentive Plan 401,828 $ 50.78 2019 LTIP 248,758 $ 60.04 2017 LTIP 471,727 $ 164.20 Ergen 2020 Performance Award 3,508,770 $ 78.98 Total 4,631,083 $ 84.20 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, 2023, 2022 and 2021 and was allocated to the same expense categories as the base compensation for such employees: For the Years Ended December 31, 2023 2022 2021 (In thousands) Cost of services $ 2,610 $ 6,511 $ 4,365 Selling, general and administrative 48,904 76,483 55,014 Total non-cash, stock-based compensation $ 51,514 $ 82,994 $ 59,379 As of December 31, 2023, our total unrecognized compensation cost related to our non-performance based unvested stock awards was $66 million and will be recognized over a weighted-average period of approximately 8.6 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, 2023, 2022 and 2021 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 2023 2022 2021 Risk-free interest rate 3.58 % - 4.61 % 1.35 % - 4.02 % 0.48 % - 1.11 % Volatility factor 34.30 % - 41.25 % 32.67 % - 34.84 % 29.91 % - 34.51 % Expected term of options in years 4.1 - 6.6 4.1 - 6.0 4.0 - 5.9 Fair value of options granted $ 7.40 - $ 7.77 $ 5.97 - $ 9.27 $ 6.20 - $ 8.32 While we currently do not intend to declare dividends on our Class A 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, 2023 | |
Commitments and Contingencies | |
Commitments and Contingencies | 15. Commitments As of December 31, 2023, future maturities of our long-term debt, finance lease and contractual obligations are summarized as follows: Payments due by period Total 2024 2025 2026 2027 2028 Thereafter (In thousands) Long-term debt obligations $ 22,709,868 $ 2,990,195 $ 1,993,990 $ 9,177,173 $ 3,520,219 $ 3,505,748 $ 1,522,543 Interest expense on long-term debt 4,772,180 1,329,564 1,200,118 1,196,621 708,677 295,967 41,233 Finance lease obligations (1) 123,658 56,459 30,381 34,290 2,528 — — Interest expense on finance lease obligations (1) 16,969 9,614 5,011 2,298 46 — — Other long-term obligations (2) 13,602,205 2,908,585 2,218,024 1,934,515 1,178,310 1,037,835 4,324,936 Operating lease obligations (1) 5,608,209 448,503 485,783 516,143 515,022 471,980 3,170,778 Purchase obligations 2,052,715 2,022,015 26,036 4,664 — — — Total $ 48,885,804 $ 9,764,935 $ 5,959,343 $ 12,865,704 $ 5,924,802 $ 5,311,530 $ 9,059,490 (1) See Note 9 for further information on leases. (2) Represents minimum contractual commitments related to communication tower obligations, certain 5G Network Deployment commitments, obligations under the NSA with AT&T and the MNSA with T-Mobile, certain wireless device purchases and marketing obligations, radios, software and integration services 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 $610 million of liabilities associated with unrecognized tax benefits that were accrued, as discussed in Note 11 and are included on our Consolidated Balance Sheets as of December 31, 2023. We do not expect any portion of this amount to be paid or settled within the next 12 months. The table above does not include all potential expenses we expect to incur for our 5G Network Deployment. We currently expect capital expenditures, excluding capitalized interest, for our 5G Network Deployment to be approximately $10 billion, including amounts incurred in 2021, 2022 and 2023, of which approximately $1.557 billion is included in the table above in “Other long-term obligations.” Agreements in Connection with the Asset Purchase Agreement On July 1, 2020, we completed the Boost Mobile Acquisition. In connection with the closing of the Boost Mobile Acquisition, we and T-Mobile entered into, among other things, a spectrum purchase agreement for the option to purchase all of Sprint’s 800 MHz spectrum licenses for approximately $3.59 billion (“License Purchase Agreement”). The $3.59 billion is not included in “Other long-term obligations” above. On June 30, 2023, the DOJ provided notice to the District Court that, pursuant to its discretion under the Final Judgment, it granted a 60-day extension of the deadline for T-Mobile to divest the 800 MHz spectrum licenses, which expired on August 30, 2023. On August 17, 2023, we filed a petition with the District Court seeking an extension of the deadline for T-Mobile to divest the 800 MHz spectrum licenses. On October 15, 2023, we and T-Mobile entered into the Amendment that, among other things, provides the Extension. In connection with the Extension, we agreed to make an Upfront Payment of $100 million to T-Mobile. The Amendment also resolves all outstanding disputes between the parties with respect to the License Purchase Agreement. On October 25, 2023, we paid the $100 million Upfront Payment to T-Mobile. The Amendment has been approved by the DOJ in accordance with the Stipulation and Order filed in the District Court on July 26, 2019 and the Final Judgment entered by the District Court on April 1, 2020. The Amendment became effective upon the District Court entering the Amended Final Judgment on October 23, 2023. The Upfront Payment is fully creditable against the purchase price in the event we exercise our option to purchase the 800 MHz spectrum licenses from T-Mobile. T-Mobile has the right (but not the obligation) to pursue an alternative offer between now and April 1, 2024 provided that we retain the first right to purchase the spectrum before April 1, 2024. If we elect to not exercise the option to purchase the 800 MHz spectrum licenses pursuant to the License Purchase Agreement or it expires, T-Mobile will retain the $100 million Upfront Payment per the Amendment. Wireless – 5G Network Deployment We have invested a total of over $30 billion in Wireless spectrum licenses, which includes over $10 billion in initial noncontrolling investments in certain entities. The $30 billion of investments related to Wireless spectrum licenses does not include $9 billion of capitalized interest related to the carrying value of such licenses. See Note 2 for further information on capitalized interest. We will need to raise additional capital in the future, which may not be available on favorable terms, to fund the efforts described below, as well as, among other things, make any potential Northstar Re-Auction Payment and SNR Re-Auction Payment for the AWS-3 licenses retained by the FCC. There can be no assurance that we will be able to profitably deploy these Wireless spectrum licenses, which may affect the carrying amount of these assets and our future financial condition or results of operations. Wireless Spectrum Licenses These Wireless spectrum licenses are subject to certain build-out requirements, as well as certain renewal requirements that are summarized in the table below: Carrying Build-Out Deadlines Expiration Amount Interim Final Date (In thousands) Owned: DBS Licenses (1) $ 677,409 700 MHz Licenses (2) 711,871 June 14, 2025 (3) June 2033 AWS-4 Licenses (2) 1,940,000 June 14, 2025 (3) June 2033 H Block Licenses (2) 1,671,506 June 14, 2025 (4) June 2033 600 MHz Licenses 6,213,335 June 14, 2025 (5) June 2029 MVDDS Licenses (1) 24,000 July 2024 LMDS Licenses (1) — September 2028 28 GHz Licenses 2,883 October 2, 2029 (6) October 2029 24 GHz Licenses 11,772 December 11, 2029 (6) December 2029 37 GHz, 39 GHz and 47 GHz Licenses 202,533 June 4, 2030 (6) June 2030 3550-3650 MHz Licenses 912,939 March 12, 2031 (6) March 2031 3.7-3.98 GHz Licenses 2,969 July 23, 2029 (6) July 23, 2033 (6) July 2036 3.45–3.55 GHz Licenses 7,327,989 May 4, 2026 (6) May 4, 2030 (6) May 2037 1695-1710 MHz, 1755-1780 MHz, and 2155-2180 MHz (2) 972 March 2026 AWS-3 (8) 5,618,930 October 2025 (7) October 2025 (7) Subtotal 25,319,108 Noncontrolling Investments: SNR (9) 4,271,459 October 2025 (7) October 2025 (7) Capitalized Interest (10) 8,523,682 Total as of December 31, 2023 $ 38,114,249 (1) The build-out deadlines for these licenses have been met. (2) The interim build-out deadlines for these licenses are in the past. (3) In a July 14, 2023 filing to the FCC, we certified that we were offering 5G broadband service to at least 70% of the United States population as of June 14, 2023, and certified to meeting other FCC related commitments. As a result of us providing 5G broadband service to over 50% of the U.S. population by June 14, 2023, the final build-out deadlines have been extended automatically to June 14, 2025. For these licenses, we must offer 5G broadband service to at least 70% of the population in each Economic Area (which is a service area established by the FCC). On September 29, 2023, the FCC confirmed we have met all of our June 14, 2023 band-specific 5G deployment commitments, and two of our three nationwide 5G commitments. The single remaining 5G commitment, that at least 70% of the U.S. population has access to average download speeds equal to 35 Mbps, will be confirmed using the drive test methodology agreed to and approved by the FCC. We have six months from September 29, 2023 to complete this drive test. (4) In a July 14, 2023 filing to the FCC, we certified that we were offering 5G broadband service to at least 70% of the United States population as of June 14, 2023, and certified to meeting other FCC related commitments. As a result of us providing 5G broadband service to over 50% of the U.S. population by June 14, 2023, the final build-out deadlines have been extended automatically to June 14, 2025. For these licenses, we must offer 5G broadband service to at least 75% of the population in each Economic Area (which is a service area established by the FCC). On September 29, 2023, the FCC confirmed we have met all of our June 14, 2023 band-specific 5G deployment commitments, and two of our three nationwide 5G commitments. The single remaining 5G commitment, that at least 70% of the U.S. population has access to average download speeds equal to 35 Mbps, will be confirmed using the drive test methodology agreed to and approved by the FCC. We have six months from September 29, 2023 to complete this drive test. (5) For these licenses, we must offer 5G broadband service to at least 75% of the population in each Partial Economic Area (which is a service area established by the FCC) by this date. We have also acquired certain additional 600 MHz licenses through private transactions. These licenses are currently subject to their original FCC buildout deadlines. (6) There are a variety of build-out options and associated build-out metrics associated with these licenses. (7) For these licenses, we must provide reliable signal coverage and offer service to at least 75% of the population of each license area by this date. The AWS-3 interim build-out requirement was not met and as a result, the AWS-3 expiration date and the AWS-3 final build-out requirement have been accelerated by two years (from October 2027 to October 2025) for each AWS-3 License area for which we did not meet the requirement. (8) On October 12, 2023 , the FCC consented to the sale of Northstar Manager’s ownership interests in Northstar Spectrum, which we purchased for a total of approximately $109 million. This purchase resulted in the elimination of all of our noncontrolling investment as it related to Northstar Spectrum as of the purchase date and we continue to consolidate the Northstar Entities as wholly-owned subsidiaries . (9) Subsequent to December 31, 2023, the FCC consented to the sale of SNR Wireless Management’s ownership interests in SNR HoldCo, which was purchased by our direct wholly-owned subsidiary EchoStar SNR HoldCo LLC for a total of approximately $442 million on February 16, 2024. This purchase resulted in the elimination of all of our redeemable noncontrolling interest as it related to SNR HoldCo as of the purchase date and we continue to consolidate the SNR Entities as wholly-owned subsidiaries. (10) See Note 2 for further information. Commercialization of Our Wireless Spectrum Licenses and Related Assets. We now have the largest commercial deployment of 5G VoNR in the world reaching approximately 200 million Americans and reaching approximately 250 million Americans. As a result of us providing 5G broadband service to over 50% of the U.S. population by June 14, 2023, the final build-out deadlines have been extended automatically to June 14, 2025 for us to offer 5G broadband service to at least 70% of the population in each Economic Area for the 700 MHz Licenses and AWS-4 Licenses and at least 75% of the population in each Economic Area for the H Block Licenses. We may need to make significant additional investments or partner with others to, among other things, continue 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, as we continue our 5G Network Deployment, we have and may continue to incur significant additional expenses related to, among other things, research and development, wireless testing and ongoing upgrades to the wireless network infrastructure, software and third-party integration. As a result of these investments, among other factors, we plan to raise additional capital, which may not be available on favorable terms. We may also determine that additional wireless spectrum licenses may be required for our 5G Network Deployment and to compete effectively with other wireless service providers. DISH Network Noncontrolling Investments in the Northstar Entities and the SNR Entities Related to AWS-3 Wireless Spectrum Licenses Noncontrolling Investments Recent Developments. During 2015, through our wholly-owned subsidiaries American II and American III, we initially made over $10 billion in certain noncontrolling 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 VIEs 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 Northstar Purchase Agreement SNR Investment. 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 25% as designated entities under applicable FCC rules. Northstar Wireless was the winning bidder for AWS-3 Licenses with gross winning bid amounts totaling approximately $7.845 billion, which after taking into account a 25% bidding credit, was approximately $5.884 billion. SNR Wireless was the winning bidder for AWS-3 Licenses with gross winning bid amounts totaling approximately $5.482 billion, which after taking into account a 25% bidding credit, was approximately $4.112 billion. In addition to the net winning bids, SNR Wireless made a bid withdrawal payment of approximately $8 million. FCC Order and October 2015 Arrangements. Memorandum Opinion and Order de facto On June 21, 2022, the United States Court of Appeals for the District of Columbia issued an Opinion rejecting this challenge. On January 17, 2023, Northstar Wireless filed a petition for a writ of certiorari asking the United States Supreme Court to hear a further appeal, but that petition was denied on June 30, 2023. Letters Exchanged between Northstar Wireless and the FCC Wireless Bureau. 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 15% 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 $1.892 billion, which is calculated as the difference between $2.226 billion (the Northstar winning bid amounts) and $1 (the winning bids from re-auction) less the resulting $334 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 Letters Exchanged between SNR Wireless and the FCC Wireless Bureau. 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 of 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 $344 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 15% 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 $1.029 billion, which is calculated as the difference between $1.211 billion (the SNR winning bid amounts) and $1 (the winning bids from re-auction) less the resulting $182 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. FCC Licenses. 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 assurance that the FCC will renew these wireless spectrum licenses. Qui Tam Contingencies – Litigation – Vermont National Telephone Company” D.C. Circuit Court Opinion SNR Wireless LicenseCo, LLC, et al. v. Federal Communications Commission Order on Remand. Northstar Operative Agreements Northstar LLC Agreement. 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 $6.870 billion of the amounts outstanding and owed by Northstar Wireless to American II pursuant to the Northstar Credit Agreement (as defined below) for 6,870,493 Class A Preferred Interests in Northstar Spectrum (the “Northstar 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 Northstar Manager to consult with American II regarding budgets and business plans; and (iv) remove the requirement that Northstar Spectrum’s systems be interoperable with ours. The Northstar Preferred Interests: (a) are non-voting; (b) have a 12 percent mandatory quarterly distribution, which can be paid in cash or additional face amount of Northstar Preferred Interests at the sole discretion of Northstar Manager; and (c) have a liquidation preference equal to the then-current face amount of the Northstar Preferred Interests plus accrued and unpaid mandatory quarterly distributions in the event of certain liquidation events or deemed liquidation events (e.g., a merger or dissolution of Northstar Spectrum, or a sale of substantially all of Northstar Spectrum’s assets). As a result of the exchange noted in (i) above, a principal amount of $500 million of debt remains under the Northstar Credit Agreement, as described below. 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. On January 24, 2022, American II, Northstar Spectrum, and Northstar Manager amended and restated the Third Amended and Restated Limited Liability Company Agreement, dated June 7, 2018, by and among American II, Northstar Spectrum, and Northstar Manager, to, among other things: (i) increase the second window for Northstar Manager to “put” its interest in Northstar Spectrum to Northstar Spectrum after October 27, 2021 from 90 days to 270 days. On July 22, 2022, American II, Northstar Spectrum, and Northstar Manager amended and restated the Third Amended and Restated Limited Liability Company Agreement, dated June 7, 2018, by and among American II, Northstar Spectrum, and Northstar Manager, to, among other things, increase the second window for Northstar Manager to “put” its interest in Northstar Spectrum to Northstar Spectrum after July 24, 2022 from 270 days to 360 days. On October 21, 2022, we, through our wholly-owned subsidiary American II received notice that Northstar Manager exercised the Northstar Put Right effective as of October 21, 2022. On October 12, 2023, the FCC consented to the sale of Northstar Manager’s ownership interests in Northstar Spectrum, which we purchased for a total of approximately $109 million. This purchase resulted in the elimination of all of our redeemable noncontrolling interest as it related to Northstar Spectrum as of the purchase date and we continue to consolidate the Northstar Entities as wholly-owned subsidiaries. Northstar Wireless Credit Agreement. 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 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 additional face amount of SNR Preferred Interests at the sole discretion of SNR Management; and (c) have a liquidation preference equal to the then-current face amount of the SNR Preferred Interests plus accrued and unpaid mandatory quarterly distributions in the event of certain liquidation events or deemed liquidation events (e.g., a merger or dissolution of SNR Holdco, or a sale of substantially all of SNR Holdco’s assets). As a result of the exchange noted in (i) above, a principal amount of $500 million of debt remains under the SNR Credit Agreement, as described below. On June 7, 2018, American III, SNR Holdco, SNR Management, and John Muleta amended and restated the Second Amended and Restated Limited Liability Company Agreement, dated March 31, 2018, by and among American III, SNR Holdco, SNR Management and John Muleta, to, among other things: (i) reduce the mandatory quarterly distribution for the SNR Preferred Interests from 12 percent to eight percent from and after June 7, 2018; (ii) increase the window for SNR Management to “put” its interest in SNR Holdco to SNR Holdco after October 27, 2020 from 30 days to 90 days; (iii) provide an additional 90-day window for SNR Management to put its interest in SNR Holdco to SNR Holdco commencing on October 27, 2021; (iv) provide a right for SNR Management to require an appraisal of the fair market value of its interest in SNR Holdco at any time from October 27, 2022 through October 27, 2024, coupled with American III having the right to accept the offer to sell from SNR Management; (v) allow SNR Management to sell its interest in SNR Holdco without American III’s consent any time after October 27, 2020 (previously October 27, 2025); (vi) allow SNR Holdco to conduct an initial public offering without American III’s consent any time after October 27, 2022 (previously October 27, 2029); (vii) remove American III’s rights of first refusal with respect to SNR Management’s sale of its interest in SNR Holdco or SNR Holdco’s sale of any AWS-3 Licenses; and (viii) remove American III’s tag along rights with respect to SNR Management’s sale of its interest in SNR Holdco. SNR Management had the right to put its interest in SNR Holdco to SNR Holdco for a 90-day period from October 27, 2020. The First SNR Put Window closed in the first quarter of 2021, was not exercised and expired in January 2021. On November 15, 2021, we, through our wholly-owned subsidiary American III received notice that SNR Management exercised the SNR Put Right effective as of November 15, 2021. Subsequent to December 31, 2023, the FCC consented to the sale of SNR Management’s ownership interests in SNR HoldCo, which was purchased by our direct wholly-owned subsidiary EchoStar SNR HoldCo LLC for a total of approximately $442 million on February 16, 2024. This purchase resulted in the elimination of all of our redeemable noncontrolling interest as it related to SNR HoldCo as of the purchase date and we continue to consolidate the SNR Entities as wholly-owned subsidiaries. SNR Credit Agreement On March 31, 2018, American III, SNR Wireless, and SNR Holdco amended and restated the SNR Credit Agreement, to, among other things: (i) lower the interest rate on the remaining $500 million principal balance under the SNR 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 SNR Wireless to prepay the outstanding loan amounts. On June 7, 2018, American III, SNR Wireless, and SNR Holdco amended and restated the SNR 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 SNR Wireless to obtain American III’s consent for unsecured financing and equipment financing in excess of $25 million. Satellite Insurance We generally do not carry commercial launch or in-orbit insurance on any of the satellites we own. We generally do not use commercial insurance to mitigate the potential financial impact of launch or in-orbit failures because we believe that the cost of insurance premiums is uneconomical relative to the risk of such failures. 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. Purchase Obligations Our 2023 purchase obligations primarily consist of binding purchase orders for certain fixed contractual commitments to purchase programming content, receiver systems and related equipment, broadband equipment, digital broadcast operations, transmission costs, streaming delivery technology and infrastructure, engineering services, and other products and services. In addition, our 2023 purchase obligations also include wireless devices related to our Retail Wireless business. Our purc |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting | |
Segment Reporting | 16. 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 four primary business segments: (1) Pay-TV; (2) Retail Wireless; (3) 5G Network Deployment; and (4) Broadband and Satellite Services. 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, and purchases of property and equipment, net of refunds, (including capitalized interest related to Regulatory authorizations) by segment were as follows: As of December 31, 2023 2022 (In thousands) Total assets: Pay-TV $ 49,437,958 $ 46,295,495 Retail Wireless 777,957 2,798,561 5G Network Deployment (1) 46,793,378 43,462,442 Broadband and Satellite Services 5,811,553 6,254,050 Eliminations (1) (45,711,952) (40,062,267) Total assets $ 57,108,894 $ 58,748,281 (1) The increase primarily resulted from intercompany advances for capital expenditures related to our 5G Network Deployment. 5G Network Broadband and All Other & Consolidated Pay-TV Retail Wireless Deployment Satellite Services Eliminations Total (In thousands) Year Ended December 31, 2023 Total revenue $ 11,571,159 3,692,372 $ 91,928 $ 1,755,559 $ (95,420) $ 17,015,598 Depreciation and amortization 381,292 221,968 620,685 419,262 (45,284) 1,597,923 Operating income (loss) 2,699,810 (643,184) (1,881,369) (458,609) 5,443 (277,909) Interest income 2,604,599 27 3,041 105,730 (2,506,023) 207,374 Interest expense, net of amounts capitalized (1,290,099) (64,565) (1,186,468) (55,670) 2,506,445 (90,357) Other, net 74,114 (1,793,387) (22,603) (29,287) 371 (1,770,792) Income tax (provision) benefit, net (578,739) 201,091 749,311 (74,803) — 296,860 Net income (loss) 3,509,685 (2,300,018) (2,338,088) (512,639) 6,236 (1,634,824) Year Ended December 31, 2022 Total revenue $ 12,505,392 $ 4,135,129 $ 65,768 $ 1,998,093 $ (70,136) $ 18,634,246 Depreciation and amortization 428,471 177,914 131,566 462,748 (25,804) 1,174,895 Operating income (loss) 2,933,898 (77,264) (810,968) 181,615 5,557 2,232,838 Interest income 1,872,645 5 — 50,900 (1,830,310) 93,240 Interest expense, net of amounts capitalized (1,036,829) (49,123) (766,703) (57,169) 1,830,607 (79,217) Other, net 1,264 1,012,147 25,571 49,846 (387) 1,088,441 Income tax (provision) benefit, net (911,955) (219,720) 399,939 (66,674) — (798,410) Net income (loss) 2,859,023 666,045 (1,152,161) 158,518 5,467 2,536,892 Year Ended December 31, 2021 Total revenue $ 12,928,707 $ 4,897,205 $ 73,889 $ 1,985,720 $ (66,843) $ 19,818,678 Depreciation and amortization 538,836 176,833 23,005 496,361 (21,089) 1,213,946 Operating income (loss) 3,075,579 343,785 (216,330) 209,042 10,328 3,422,404 Interest income 1,346,502 6 — 22,801 (1,335,406) 33,903 Interest expense, net of amounts capitalized (819,510) (1,309) (530,525) (95,512) 1,335,705 (111,151) Other, net (2,917) 26,695 (3,221) (15,951) 110 4,716 Income tax (provision) benefit, net (853,363) (95,982) 186,534 (65,626) — (828,437) Net income (loss) 2,746,291 273,195 (563,542) 54,754 10,737 2,521,435 Broadband 5G Network and Satellite Pay-TV Retail Wireless Deployment Services Eliminations Total (In thousands) Year Ended December 31, 2023 Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) $ 242,736 $ — $ 3,748,624 $ 233,423 $ — $ 4,224,783 Year Ended December 31, 2022 Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) $ 131,093 $ — $ 3,580,518 $ 325,891 $ (2,721) $ 4,034,781 Year Ended December 31, 2021 Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) $ 173,485 $ — $ 1,790,042 $ 438,430 $ (4,760) $ 2,397,197 Geographic Information. The following table summarizes revenue by geographic region: For the Years Ended December 31, Revenue: 2023 2022 2021 (In thousands) North America $ 16,670,377 $ 18,244,417 $ 19,479,649 Foreign 345,221 389,829 339,029 Total revenue $ 17,015,598 $ 18,634,246 $ 19,818,678 The following table summarizes long-lived assets by geographic region: As of December 31, Long-lived assets: 2023 2022 (In thousands) North America $ 50,965,318 $ 47,829,433 Foreign 234,944 294,962 Total long-lived assets $ 51,200,262 $ 48,124,395 The revenue from external customers disaggregated by major revenue source was as follows: For the Years Ended December 31, Category: 2023 2022 2021 (In thousands) Pay-TV subscriber and related revenue $ 11,385,961 $ 12,360,601 $ 12,787,485 Retail wireless services and related revenue 3,337,240 3,653,909 4,142,883 Broadband and satellite services and other revenue 1,443,616 1,611,069 1,702,288 Pay-TV equipment sales and other revenue 185,198 144,791 141,222 Retail wireless equipment sales and other revenue 355,132 481,220 754,322 5G network deployment equipment sales and other revenue 91,928 65,768 73,889 Broadband equipment and other revenue 311,943 387,024 283,432 Eliminations (95,420) (70,136) (66,843) Total $ 17,015,598 $ 18,634,246 $ 19,818,678 |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2023 | |
Revenue Recognition | |
Revenue Recognition | 17. Contract Balances Our valuation and qualifying accounts as of December 31, 2023, 2022 and 2021 were as follows: For the Years Ended December 31, 2023 2022 2021 (In thousands) Balance at beginning of period $ 59,790 $ 53,122 $ 87,665 Current period provision for expected credit losses 101,387 112,575 76,674 Write-offs charged against allowance (87,113) (109,856) (111,463) Acquisitions — 78 92 Foreign currency translation 326 3,871 154 Balance at end of period $ 74,390 $ 59,790 $ 53,122 Contract assets arise when we recognize revenue for providing a service in advance of billing our customers. Our contract assets typically relate to our long-term contracts where we recognize revenue using the cost-based input method and the revenue recognized exceeds the amount billed to the customer. Our contract assets also include receivables related to sales-type leases recognized over the lease term as the customer is billed. Contract assets are amortized as the customer is billed for services. Contract assets are recorded in “Trade accounts receivable, net” on our Consolidated Balance Sheets. The following table summarizes our contract asset balances: As of December 31, December 31, 2023 2022 (In thousands) Contract assets $ 66,103 $ 73,435 Contract liabilities arise when we bill our customers and receive consideration in advance of providing the service. Contract liabilities are recognized as revenue when the service has been provided to the customer. Contract liabilities are recorded in “Deferred revenue and other” and “Long-term deferred revenue and other long-term liabilities” on our Consolidated Balance Sheets. The following table summarizes our contract liability balances: As of December 31, December 31, 2023 2022 (In thousands) Contract liabilities $ 710,456 $ 802,823 Our beginning of period contract liability recorded as customer contract revenue during 2023 was $730 million. Performance Obligations Pay-TV and Retail Wireless Segments 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. Broadband and Satellite Services Segment As of December 31, 2023, the remaining performance obligations for our customer contracts was approximately $1.740 billion. Performance obligations expected to be satisfied within one year and greater than one year are 27% and 73%, respectively. This amount and percentages exclude agreements with consumer customers. Contract Acquisition Costs The following table presents the activity in our contract acquisition costs, net: For the Years Ended December 31, 2023 2022 2021 (In thousands) Balance at beginning of period $ 460,876 $ 555,614 $ 567,789 Additions 321,470 400,124 460,573 Amortization expense (431,181) (495,456) (471,571) Foreign currency translation 949 594 (1,177) Balance at end of period $ 352,114 $ 460,876 $ 555,614 |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2023 | |
Quarterly Financial Data (Unaudited) | |
Quarterly Financial Data (Unaudited) | 18. 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, 2023: Total revenue $ 4,387,666 $ 4,356,462 $ 4,108,874 $ 4,162,596 Operating income (loss) 353,338 252,228 (31,349) (852,126) Net income (loss) 272,845 232,692 (118,737) (2,021,624) Net income (loss) attributable to EchoStar 253,534 212,662 (138,371) (2,029,882) Basic net income (loss) per share attributable to EchoStar $ 0.94 0.79 (0.51) (7.48) Diluted net income (loss) per share attributable to EchoStar $ 0.82 0.69 (0.51) (7.48) Year ended December 31, 2022: Total revenue $ 4,820,832 $ 4,698,483 $ 4,581,914 $ 4,533,017 Operating income (loss) 594,440 738,535 472,349 427,514 Net income (loss) 537,242 550,094 448,110 1,001,446 Net income (loss) attributable to EchoStar 523,534 536,314 433,608 984,264 Basic net income (loss) per share attributable to EchoStar $ 1.93 $ 1.98 $ 1.61 $ 3.65 Diluted net income (loss) per share attributable to EchoStar $ 1.69 $ 1.74 $ 1.41 $ 3.21 |
Acquisitions and Deconsolidatio
Acquisitions and Deconsolidations | 12 Months Ended |
Dec. 31, 2023 | |
Acquisitions and Deconsolidations | |
Acquisitions and Deconsolidations | 19. Acquisitions and Deconsolidations India Joint Venture In May 2019, we entered into an agreement with Bharti Airtel Limited (“BAL”) and its subsidiary, Bharti Airtel Services Limited (together with BAL, “Bharti”), pursuant to which Bharti agreed to contribute its very small aperture terminal (“VSAT”) telecommunications services and hardware business in India to Hughes Communications India Private Limited (“HCIPL”) and its subsidiaries, our less than wholly owned Indian subsidiaries, that conduct our VSAT services and hardware business in India. On January 4, 2022, this joint venture was formed (the “India JV”) and subsequent to the formation of the India JV, we hold a 67% ownership interest and Bharti holds a 33% ownership interest in HCIPL. The results of operations related to the India JV have been included in these Consolidated Financial Statements from the date of formation. The costs associated with the closing of the India JV were not material and were expensed as incurred. The fair value of the consideration has been assigned to customer relationship intangibles and goodwill that are recorded in “Intangible assets, net” on our Consolidated Balance Sheets. Hughes Systique Corporation We contract with Hughes Systique Corporation (“Hughes Systique”) for software development services. In addition to our approximately 42% ownership in Hughes Systique, Mr. Pradman Kaul, the former President of our subsidiary Hughes Communications and former Vice-Chair of our Board of Directors (effective January 1, 2023), and his brother, who is the Chief Executive Officer and President of Hughes Systique, own in the aggregate approximately 25%, on an undiluted basis, of Hughes Systique’s outstanding shares as of December 31, 2023. Furthermore, Mr. Pradman Kaul serves on the board of directors of Hughes Systique. Historically, Hughes Systique was considered a variable interest entity and we were considered the primary beneficiary of Hughes Systique due to, among other factors, our ability to direct the activities that most significantly impact the economic performance of Hughes Systique. As a result, we consolidated Hughes Systique’s financial statements in these Consolidated Financial Statements. Upon the consummation of the Merger, Mr. Pradman Kaul will no longer remain on our Board of Directors which was a reconsideration event. Based on the entity’s ability to now fund itself, among other things, we determined that Hughes Systique is no longer a variable interest entity. As a result, we have deconsolidated the Hughes Systique results from our Consolidated Financial Statements as of December 31, 2023 and recorded the investment as a cost method investment in “Other investments, net” on our Consolidated Balance Sheets. No gain or loss was recognized upon deconsolidation as the fair value of our investment in Hughes Systique approximated its carrying value. We determined the fair value of our investment in Hughes Systique based on the market approach using the guideline public company method. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions | |
Related Party Transactions | 20. TerreStar Solutions We own 40% of TSI. In May 2018, we and TSI entered into an equipment and services agreement pursuant to which we design, manufacture and install upgraded ground communications network equipment for TSI’s network and provide, among other things, warranty and support services. The table below summarizes our transactions with TSI: For the Years Ended December 31, 2023 2022 2021 (In thousands) Revenue from TSI $ 1,930 $ 1,951 $ 1,924 As of December 31, 2023 2022 (In thousands) Amounts receivable from TSI $ — $ 485 Deluxe/EchoStar LLC We own 50% of Deluxe, a joint venture that we entered into in 2010 to build an advanced digital cinema satellite distribution network targeting delivery to digitally equipped theaters in the U.S. and Canada. The table below summarizes our transactions with Deluxe: For the Years Ended December 31, 2023 2022 2021 (In thousands) Revenue from Deluxe $ 5,794 $ 5,334 $ 5,480 As of December 31, 2023 2022 (In thousands) Amounts receivable from Deluxe $ 1,247 $ 3,026 Broadband Connectivity Solutions (Restricted) Limited We own 20% of BCS, a joint venture that we entered into in 2018 to provide commercial Ka-band satellite broadband services across Africa, the Middle East and southwest Asia operating over Yahsat’s Al Yah 2 and Al Yah 3 Ka-band satellites. The table below summarizes our transactions with BCS: For the Years Ended December 31, 2023 2022 2021 Revenue from BCS $ 3,426 $ 7,933 $ 8,278 As of December 31, 2023 2022 (In thousands) Amounts receivable from BCS $ 3,333 $ 5,062 Hughes Systique We own 42% of Hughes Systique and contract with Hughes Systique for software development services. Prior to December 31, 2023, we consolidated Hughes Systique’s financial statements into our Consolidated Financial Statements, see Note 19 for further information. As of December 31, 2023, we have deconsolidated the Hughes Systique results from our Consolidated Financial Statements and recorded the investment as a cost method investment in “Other investments, net” on our Consolidated Balance Sheets. The table below summarizes our transactions with Hughes Systique: For the Year Ended December 31, 2023 (In thousands) Purchases: Purchases from Hughes Systique $ 19,597 As of December 31, 2023 (In thousands) Amounts Payable: Amounts payable to Hughes Systique $ 1,704 NagraStar L.L.C. We own a 50% interest in 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. Certain payments related to NagraStar are recorded in “Cost of services” on our Consolidated Statements of Operations and Comprehensive Income (Loss). In addition, certain other payments are initially included in “Inventory” and are subsequently capitalized as “Property and equipment, net” on our Consolidated Balance Sheets or expensed as “Selling, general and administrative expenses” or “Cost of services” on our Consolidated Statements of Operations and Comprehensive Income (Loss) when the equipment is deployed. We record all payables in “Trade accounts payable” or “Other accrued expenses” on our Consolidated Balance Sheets. Our investment in NagraStar is accounted for using the equity method. The table below summarizes our transactions with NagraStar: For the Years Ended December 31, 2023 2022 2021 (In thousands) Purchases (including fees): Purchases from NagraStar $ 37,068 $ 43,416 $ 45,944 As of December 31, 2023 2022 (In thousands) Amounts Payable and Commitments: Amounts payable to NagraStar $ 9,821 $ 7,422 Commitments to NagraStar $ 1,727 $ 3,272 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2023 | |
Subsequent Events | |
Subsequent Events | 21. Asset Transfers On January 10, 2024, DISH Network transferred certain of its wireless spectrum licenses, including AWS-4, H-Block, CBRS, C-Band - , 12GHz, LMDS, 24 GHz, 28 GHz, 37GHz, 39GHz and 47GHz to , our direct wholly-owned subsidiary (the “Spectrum Transfer”). DISH Network retained ownership of certain other wireless spectrum licenses, including 600 MHz, 700 MHz, 3.45 GHz and AWS-3, of which 700 MHz and AWS-3 remain unencumbered, and BS. Prior to the Spectrum Transfer, DISH DBS designated a newly formed subsidiary of (the "DBS Subscriber Subsidiary") as an unrestricted subsidiary. DBS Subscriber Subsidiary holds approximately 3.0 million DISH TV subscribers immediately following the unrestricting of the entity. In addition, DISH DBS, in its capacity as "Lender" under the terms of the Loan and Security Agreement related to the Intercompany Loan between DISH Network and DISH DBS, has consummated the assignment pursuant to such terms, without any modification or amendment thereto, of its receivable in respect to the to DBS Intercompany Receivable L.L.C. has subsequently assigned its rights as lender thereunder to , our direct wholly-owned subsidiary, such that amounts owed in respect of the will now be paid by DISH Network to DISH Network Exchange Offers On January 12, 2023, we commenced offers (“the DISH Network Exchange Offers”) to exchange the 0% Convertible Notes due 2025 and the 3 3/ 8% Convertible Notes due 2026 issued by our subsidiary DISH Network, each for 10.00 % Senior Secured Notes due 2030 to be issued by in each case, pursuant to the terms described in a preliminary prospectus and consent solicitation statement, dated announced the expiration and termination of the DISH Exchange Offers. DISH DBS Exchange Offers On January 16, 2024, we announced our wholly-owned subsidiary DISH DBS Issuer LLC (“DBS Issuer”) commenced offers (“the DISH DBS Exchange Offers”) to eligible holders to exchange the 5 7/ 8% Senior Notes due 2024 (the "DBS 2024 Notes"), the 7 3/ 4% Senior Notes due 2026, the 7 3/ 8% Senior Notes due 2028 (the "DBS 2028 Notes") and the 5 1/ 8% Senior Notes due 2029 (the "DBS 2029 Notes," and together with the DBS 2024 Notes, the DBS 2026 Notes and the DBS 2028 Notes, the " DISH DBS Unsecured Senior Notes " issued by DISH DBS), in the amounts and subject to the terms, in each case, described in the exchange offer memorandum and consent solicitation statement, dated January 16, 2024 (the "Exchange Offer Memorandum"). On January 29, 2024, we announced our wholly-owned subsidiary DISH DBS Issuer elected in its sole discretion to terminate the DBS Exchange Offers. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies | |
Principles of Consolidation and Basis of Presentation | Principles of Consolidation and Basis of Presentation The accompanying consolidated financial statements include all balances and results of operations of EchoStar and our consolidated subsidiaries and are prepared in conformity with U.S. generally accepted accounting principles (“GAAP”). We consolidate all majority owned subsidiaries, investments in entities in which we have controlling influence and VIEs 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, which will be initially recorded at cost, and based on observable market prices, will be adjusted to their fair value. We record fair value adjustments 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. Merger with DISH Network. Business Combinations Related Issues Upon the completion of the Merger, the net assets of DISH Network have been combined with those of EchoStar at their historical carrying amounts and DISH Network and EchoStar are presented on a combined basis for all historical periods that the companies were under common control. Shares of EchoStar Common Stock issued to holders of DISH Network Common Stock in exchange for the outstanding shares of DISH Network Common Stock were recorded at par value and historical weighted average basic and diluted shares of DISH Network have been adjusted by the Exchange Ratio and included in the weighted average shares outstanding on our consolidated statements of operations. EchoStar reissued treasury shares as part of the EchoStar share issuance upon the completion of the Merger. The accompanying consolidated statements of cash flows for the years ended December 31, 2022 and 2021 include cash repurchases of the treasury shares that were reissued in connection with closing of the Merger. Intercompany transactions between EchoStar and DISH Network have been eliminated from all historical periods. |
Redeemable Noncontrolling Interests | Redeemable Noncontrolling Interests Northstar Wireless The First Northstar Put Window closed in the first quarter of 2021. On October 21, 2022, we, through our wholly-owned subsidiary American II received notice that Northstar Manager exercised the Northstar Put Right effective as of October 21, 2022. As of December 31, 2022, the aggregate value of the Northstar Put Right accrued to $96 million. On October 12, 2023, the FCC consented to the sale of Northstar Manager’s ownership interests in Northstar Spectrum, which we purchased for a total of approximately $109 million. This purchase resulted in the elimination of all of our redeemable noncontrolling interest as it related to Northstar Spectrum as of the purchase date and we continue to consolidate the Northstar Entities as wholly-owned subsidiaries. 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 was considered temporary equity under the applicable accounting guidance and was 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 was 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 were 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 15 for further information. SNR Wireless The First SNR Put Window closed in the first quarter of 2021. On November 15, 2021, we, through our wholly-owned subsidiary American III received notice that SNR Management exercised the SNR Put Right effective as of November 15, 2021. As of December 31, 2023 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 15 for further information. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires us to make certain 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 based on historical experience, observable market inputs, and other reasonable assumptions 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, inputs used to recognize revenue over time, including the 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, incremental borrowing rate (“IBR”) on lease right of use assets, nonrefundable upfront fees, 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, 2023 and 2022 may consist of money market funds, government bonds, corporate notes and commercial paper. The amortized cost of these investments approximates their fair value. |
Concentration of Credit Risk | Concentration of Credit Risk Cash and cash equivalents are maintained with several financial institutions domestically and internationally. Deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with financial institutions with investment-grade credit ratings. We routinely assess the financial strength of significant customers, and this assessment, combined with the large number and geographical diversity of its customers, limits our concentration of risk with respect to receivables from contracts with customers. |
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. 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 “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). Interest income from available-for-sale debt securities is reported in Interest income, net in 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 entity’s ability to pay. |
Receivables and Related Allowance for Credit Losses | Receivables and Related Allowance for Credit Losses General Accounts Receivable Trade accounts receivable represent our unconditional rights to consideration arising from our performance under our customer contracts and 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, enterprise 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. Past due trade accounts receivable balances are written off against our allowance for credit losses when our internal collection efforts have been unsuccessful. Installments Receivable We offer Boost postpaid customers the option to pay for their devices and other equipment in installments, generally over a period of 36 months. Installments receivable are presented on our Consolidated Balance Sheets at their amortized cost basis (i.e., the receivables’ unpaid balance as adjusted for any written-off amounts due to impairment and unamortized discounts), net of the allowance for credit losses. At the time of an installment sale, we impute a discount for interest if the term exceeds 12 months as there is no stated rate of interest on the receivables. The receivables are recorded at their present value, which is determined by discounting expected future cash payments at the imputed interest rate. The current portion of installments receivable is included in “Trade accounts receivable, net” and the long-term portion of installments receivable is included in “Other noncurrent assets, net” on our Consolidated Balance Sheets. This adjustment results in a discount or reduction in the transaction price of the contract with a customer, which is allocated to the performance obligations of the arrangement such as Equipment and other revenues on our Consolidated Statements of Operations and Comprehensive Income (Loss). The imputed discount rate reflects a current market interest rate and is predominately comprised of the estimated credit risk underlying the installment receivable, reflecting the estimated credit worthiness of the customer. The imputed discount on receivables is amortized over the financed installment term using the effective interest method and recognized in “Equipment and other revenues” on our Consolidated Statements of Comprehensive Income. |
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. We record write downs for inventory for obsolete and slow moving items based on trends and experience. We enter into arrangements with distributors where physical delivery of a product to a distributor has occurred, but we maintain control of the product until such time it is sold to an end consumer. For these arrangements, we account for the products as consigned inventory. |
Property and Equipment | Property and Equipment Property and equipment, including capitalized expenditures related to our wireless projects, 5G Network Deployment and satellites, are stated at cost less depreciation and impairment losses, if any. Capitalized expenditures include the cost of long-lived assets, plus the cost to construct the asset such as labor and overhead directly benefiting the asset. Interest is capitalized when pre-construction activity commences and ends once the asset is ready for its intended purpose. Our equipment leased to customers is generally capitalized when they are installed in customers’ homes. We have certain assets acquired under finance leases. The recorded costs of those assets are the present values of all lease payments. We amortize our finance lease right of use (“ROU”) assets over their respective lease terms. 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 one Internal Use Software We capitalize certain costs related to developing or acquiring internal use software. Capitalization of software costs begin once the preliminary project stage is completed and we commit to funding the software project. Capitalizing ceases when the software project is ready for its intended use. Capitalized software costs are recorded in “Property and equipment, net” on our Consolidated Balance Sheets and are amortized over the estimated useful life of the software. Asset Retirement Obligation We record an asset retirement obligation for the estimated fair value of legal obligations associated with the retirement of tangible long-lived assets and a corresponding increase in the carrying amount of the related asset in the period in which the obligation is incurred. In periods subsequent to initial measurement, we recognize changes in the liability resulting from the passage of time and revisions to either the timing or the amount of the original estimate. Over time, the liability is accreted to its present value and the capitalized cost is depreciated over the estimated useful life of the asset. Our asset retirement obligations relate primarily to certain legal obligations to remediate leased property on our communication towers and are recorded in “Property and equipment, net” with the related liability recorded in “Long-term deferred revenue and other long-term liabilities” on our Consolidated Balance Sheets. |
Other Investments | Other Investments Equity Method Investments We use the equity method to account for investments when we have the ability to exercise significant influence on the operating decisions of the affiliate. Such investments are initially recorded at cost and subsequently adjusted for our proportionate share of the net earnings or loss of the investee, which is reported in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). The carrying amount of such investments includes a component of goodwill when the cost of our investment exceeds the fair value of the underlying identifiable assets and liabilities of the affiliate. Dividends received from these affiliates reduces the carrying amount of our investment. Cost Method Investments We generally measure investments in non-publicly traded equity instruments without a readily determinable fair value at cost adjusted for observable price changes in orderly transactions for the identical or similar securities of the same issuer and changes resulting from impairments, if any. Other equity instruments are measured to determine their value based on observable market information. When we adjust the carrying amount of an investment to its estimated fair value, the gain or loss is recorded in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Other Debt Investments We generally record our investments in non-publicly traded debt instruments without a readily determinable fair value at amortized cost. We recognize any discounts over the term of the loan in “Interest income, net” in the Consolidated Statements of Operations and Comprehensive Income (Loss). In addition, some of our debt instruments have interest income that is paid-in-kind, which is added to the principal balance to determine the then current interest income. When we adjust the carrying amount of an investment, the gain or loss is recorded in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Impairment Considerations We periodically evaluate all of our other investments to determine whether events or changes in circumstances have occurred that may have a significant adverse effect on the fair value of the investment. We consider information if provided to us by our investees such as current financial statements, business plans, investment documentation, capitalization tables, liquidation waterfalls, and board materials; and we may make additional inquiries of investee management. Indicators of impairment may include, but are not limited to, unprofitable operations, material loss contingencies, changes in business strategy, changes in market trends or market conditions, changes in the investees’ enterprise value and changes in the investees’ investment pricing. When we determine that one of our other investments is impaired we reduce its carrying value to its estimated fair value and recognize the impairment loss in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). |
Derivative Instruments | Derivative Instruments We may purchase and hold derivative financial instruments for, among other reasons, strategic or speculative purposes. We record all derivative financial instruments on our Consolidated Balance Sheets at fair value as either assets or liabilities. Changes in the fair values of derivative financial instruments are recognized in our results of operations and included in “Other, net” within “Other Income (Expense)” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We have not designated any derivative financial instrument for hedge accounting. 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. |
Impairment of Long-Lived Assets and Finite-Lived Intangible Assets | Impairment of Long-Lived Assets and Finite-Lived Intangible 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. Intangible assets that have finite lives are amortized over their estimated useful lives. 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. When 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. In the event of an impairment, 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. Assets which are to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. 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. 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, 2023 and 2022. We will continue to monitor the DBS satellite fleet for indicators of impairment. Broadband Satellites We evaluate our Broadband satellites for impairment and test for recoverability whenever events or changes in circumstances indicate that their carrying value may not be recoverable. Certain anomalies may be considered a significant adverse change in the physical condition of a particular satellite. However, based on redundancies designed within each satellite, certain of these anomalies may not be considered to be significant events requiring a test of recoverability. We do not believe any triggering event has occurred which would indicate impairment as of December 31, 2023 and 2022. We will continue to monitor the Broadband satellite fleet for indicators of impairment. Finite-Lived Regulatory Authorizations We have regulatory authorizations that are not related to the FCC and have determined that they have finite lives due to uncertainties about the ability to extend or renew their terms. Finite lived regulatory authorizations are amortized over their estimated useful lives on a straight-line basis. Renewal costs are usually capitalized when they are incurred. Finite-Lived Intangible Assets Intangible assets include customer relationships, trademarks, and certain below market contracts. These assets are amortized over their respective useful lives. We do not believe any triggering event has occurred which would indicate impairment as of December 31, 2023 and 2022. |
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. Our intangible assets with indefinite lives primarily consist of FCC licenses and certain other contractual or regulatory rights to use spectrum at specified orbital locations. 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 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 2023, 2022 and 2021, management performed a qualitative assessment to determine whether it is more likely than not that the fair value of the DBS licenses exceeds the 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. Broadband Licenses Through a business acquisition in 2011, we acquired regulatory authorizations from the FCC to operate satellites using Ka-band frequencies at the 95° W.L. and 107.1° W.L. orbital locations (“Operational FCC Slot Licenses”). The regulatory rights for each orbital location are substantially equivalent. Through a business acquisition in 2019, we acquired global S-band non-geostationary satellite spectrum rights for mobile satellite services (the “Helios Spectrum”). For the year ended December 31, 2023, 2022 and 2021, management performed a qualitative assessment to determine whether it was more likely than not that the fair value of these licenses exceeds the 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 Operational FCC Slot Licenses and the Helios Spectrum exceed their carrying amounts. As such, no further analysis was required. Wireless Spectrum Licenses During 2022, we acquired the 3.45-3.55 GHz wireless licenses (the “3.45–3.55 GHz Licenses”). During 2021, we acquired the 3550-3650 MHz (CBRS) and 3.7-3.98 GHz wireless licenses, together (the “C-Band 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”). In 2023 and 2022, we combined our 600 MHz, 700 MHz, AWS-4, H Block, High-Band Licenses, C-Band Licenses, 3.45–3.55 GHz Licenses and the Northstar Licenses and SNR Licenses into a single unit of accounting. In 2021, we combined our 600 MHz, 700 MHz, AWS-4, H Block, High-Band Licenses, C-Band Licenses, 3.45–3.55 GHz Licenses and the Northstar Licenses and SNR Licenses into a single unit of accounting. In 2023, we quantitatively assessed these licenses for impairment. Our quantitative assessment consisted of a market approach performed by a third party and reviewed by management. Market Approach. Spectrum is licensed by geographic areas that can vary from the size of a county to significantly larger expanses. Licenses can cover densely populated urban areas to sparsely populated rural regions. Pricing for spectrum licenses will vary, sometimes significantly based on the frequency, population area or restrictions associated with the authorization for use obtained from the FCC. Population or “Pop” is a key input to valuing each geographic license. The amount of spectrum included in a license is measured in terms of megahertz, referred to as “MHz.” The wider the band the greater the MHz. The market approach assessed the value of our spectrum using benchmarks, based on market transactions, which may include spectrum auctions and secondary market transactions, either acquisitions of spectrum or of businesses for which spectrum values can reliably be inferred. The market approach looked at the value of each band of our spectrum by block and geographic area based on pairing the spectrum in a manner that yielded its highest and best use. Prices were then calculated on an amount per MHz-Pop basis (where the numerator is the total value of the licenses and the denominator is the product of the population and MHz) based upon the most relevant data points. Finally, a discount was applied to the analysis for lack of marketability on certain of our holdings based on sale restrictions associated with those specific bands. Our spectrum holdings include low-band, lower mid-band, upper mid-band (collectively referred to as “Low-Mid Band Licenses”) and high-band licenses. As part of our impairment assessment we performed the market approach during the fourth quarter of 2023 and concluded that the fair value of these licenses are substantially in excess of their carrying value. In 2022, management performed a quantitative assessment to determine whether the fair value of these licenses exceed the carrying amount. In our assessment, we performed the market approach and the income approach during the fourth quarter of 2022 and concluded that under both scenarios the fair value of these licenses are substantially in excess of their carrying value. In 2021, management performed a qualitative assessment to determine whether it is more likely than not that the fair value of these licenses exceed the 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 2023, 2022, and 2021, our multichannel video distribution and data service (“MVDDS”) wireless spectrum licenses were assessed as a single unit of accounting. For 2023, 2022 and 2021, 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. 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. We test goodwill for impairment at the reporting unit level, which includes, among others, the SLING TV, DISH TV, Retail Wireless, 5G Network Deployment and Hughes reporting units. Historically the majority of our goodwill relates to the Hughes reporting unit within our Broadband and Satellite Services segment and the Retail Wireless and 5G Network Deployment segments. We perform our annual impairment assessment for goodwill and other indefinite-lived intangible assets each year during the fourth quarter or more frequently if events or changes in circumstances indicate an impairment may be possible. We previously performed our annual impairment assessment for goodwill during the second quarter and changed the testing date due to the Merger in order to align the testing date between all reporting units. The change in testing date does not result in a material change in the method of our goodwill impairment assessment. We may consider qualitative factors to assess if it is more likely than not that the fair value for goodwill is below the carrying amount. If we determine in the qualitative assessment that it is more likely than not that the fair value is less than its carrying value, then we perform a quantitative assessment to determine the estimated fair value of the reporting unit. We may also elect to bypass the qualitative assessment and perform a quantitative assessment. Our assessment process included, among other things, discounted cash flow analyses, consideration of fair values of tangible and indefinite-lived intangible assets held by the reporting units and our recent market capitalization. Our assessment indicated the goodwill attributed to certain acquisitions was no longer supported based on the sustained decrease in our market capitalization. As such, we No impairments were indicated for any reporting unit for the years ended December 31, 2022 and 2021. The following table presents the changes in the carrying amounts of goodwill by operating segment: Goodwill Pay-TV Retail Wireless 5G Network Deployment Broadband and Satellite Services Total (In thousands) Balance as of December 31, 2021, net of accumulated impairment losses $ 6,457 $ 98,657 $ 119,903 $ 511,086 $ 736,103 Goodwill from India JV formation, net of foreign currency translation — — — 21,405 21,405 Balance as of December 31, 2022, net of accumulated impairment losses $ 6,457 $ 98,657 $ 119,903 $ 532,491 $ 757,508 Impairment of goodwill (6,457) (98,657) (119,903) (532,491) (757,508) Balance as of December 31, 2023, net of accumulated impairment losses $ — $ — $ — $ — $ — Accumulated impairment losses as of December 31, 2023 $ (6,457) $ (98,657) $ (119,903) $ (532,491) $ (757,508) |
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 commercializing our 5G Network Deployment. As a result, the interest expense related to the carrying amount of the 5G Network Deployment qualifying assets is being capitalized. Historically, the qualifying assets exceeded the carrying value of our long-term debt and finance lease obligations, therefore substantially all of our interest expense was being capitalized. However, as the qualifying assets, including certain bands of wireless spectrum licenses, are placed into service, we will no longer capitalize interest on those assets and we will begin to expense interest on our Consolidated Statements of Operations and Comprehensive Income (Loss). |
Business Combinations | Business Combinations When we acquire a business that is not subject to rules pertaining to common control, 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 20 years |
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 |
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; and quoted prices for identical or similar instruments in markets that are not active and model-derived valuations in which significant inputs and significant value drivers are observable in active markets; 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, 2023 and 2022, the carrying amount for cash and cash equivalents, trade accounts receivable (net of allowance for credit losses) 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. Fair values of our marketable investment securities are measured on a recurring basis based on a variety of observable market inputs. For our investments in publicly traded equity securities and U.S. government securities, fair value ordinarily is determined based on Level 1 measurements that reflect quoted prices for identical securities in active markets. Fair values of our investments in other marketable debt securities are generally based on Level 2 measurements as the markets for such debt securities are less active. We consider trades of identical debt securities on or near the measurement date as a strong indication of fair value and matrix pricing techniques that consider par value, coupon rate, credit quality, maturity and other relevant features may also be used to determine fair value of our investments in marketable debt securities. Additionally, we use fair value measurements from time to time in connection with other investments, asset impairment testing and the assignment of purchase consideration to assets and liabilities of acquired companies. Those fair value measurements typically include significant unobservable inputs and are categorized within Level 3 of the fair value hierarchy. Transfers between levels in the fair value hierarchy are considered to occur at the beginning of the quarterly accounting period. There were no transfers between levels during the years ended December 31, 2023 and 2022. See Note 6 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 10 for the fair value of our long-term debt. |
Convertible Long-Term Debt | Convertible Long-Term Debt Historically, for embedded conversion features, we valued and bifurcated the conversion option associated with convertible notes (the “equity component”) from the host debt instrument. The initial value of the equity component on the convertible notes was recorded in “Additional paid-in capital” within “Stockholders’ Equity (Deficit)” on our Consolidated Balance Sheets with the offset recorded as the debt discount. In accordance with ASU 2020-06 Debt – Debt with Conversion and Other Options and Derivatives and Hedging – Contracts in Entity’s Own Equity |
Deferred Debt Issuance Costs and Debt Discounts | Deferred Debt Issuance Costs and Debt Discounts Costs of issuing debt, including premiums and discounts relative to par value, are generally deferred and amortized to “Interest expense, net of amounts capitalized” on our Consolidated Statements of Operations and Comprehensive Income (Loss) using the effective interest rate method over the terms of the respective notes. We report unamortized debt issuance costs as a reduction of the related long-term debt on our Consolidated Balance Sheets. See Note 10 for further information. |
Revenue Recognition | Revenue Recognition Pay-TV Segment Our Pay-TV segment revenue is primarily derived from Pay-TV subscriber revenue. 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 16 for further information, including revenue disaggregated by major source. 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 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. Retail Wireless Segment Our Retail Wireless segment revenue is primarily derived from Wireless subscriber revenue and selling wireless devices to prepaid and postpaid subscribers. The majority of our subscribers are prepaid under the Boost Mobile and Gen Mobile brands with a smaller subset of postpaid subscribers serviced under Boost postpaid brand. Prepaid subscribers prepay for their monthly service on a month-to-month contract. Our contracts with prepaid customers are determined to be one month. Postpaid subscribers are qualified to pay for their service after it has been provided and pay for their monthly service on a month-to-month contract. Our contracts with postpaid customers typically have an enforceable duration of one month. However, promotional bill credits offered to a customer on an equipment sale that are paid over time and are contingent on the customer maintaining a service contract may result in an extended service contract based on whether a substantive penalty is deemed to exist. We have both an indirect sales channel, which includes third-party owned retail stores and big box stores, as well as online through Amazon, and a direct sales channel, which services customers online through each respective brand’s website. To deliver products to third-party retail stores through the indirect sales channel, we use direct distribution partners to facilitate product delivery. Our contracts with customers may involve more than one performance obligation, which include wireless services, wireless devices or a combination thereof, and we allocate the transaction price between each performance obligation based on its relative standalone selling price. Although our Retail Wireless segment offers both products and services, we have determined that not all contracts with customers are bundled arrangements as the wireless device and service are sometimes sold at different times, and in the case of certain sales arrangements through the indirect sales channel, have different customers. When control of the product is transferred to an intermediary other than the end customer in the indirect channel, the customer for the wireless device is the intermediary, such as the direct distribution partner, whereas for the service the subscriber is the end consumer. When control of the product is not transferred to the intermediary, in the indirect channel the product is accounted for as consigned inventory and the customer for both the wireless device and service is the end customer. 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 customer, either the direct distribution partner or the end customer, as described above. We offer postpaid customers the option to pay for devices in installments, generally over 36 months. We recognize the effects of a financing component as a reduction of the transaction price in contracts where customers purchase their devices with an installment term of more than one year, including those financing components that are not considered to be significant to the contract. We have elected the practical expedient of not recognizing the effects of a significant financing component for contracts where we expect, at contract inception, that the period between the transfer of a performance obligation to a customer and the customer’s payment for that performance obligation will be one year or less. We may offer certain promotions that provide our customers on device installment plans with the right to upgrade to a new device after paying a specified portion of their device payment plan agreement amount and trading in their device in good working order. We account for this trade-in right as a guarantee obligation. The full amount of the trade-in right’s fair value is recognized as a guarantee liability and results in a reduction to the revenue recognized upon the sale of the device. The total transaction price is reduced by the guarantee, which is accounted for outside the scope of Topic 606, and the remaining transaction price is allocated between the performance obligations within the contract. 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. Broadband and Satellite Services Segment Our broadband service contracts typically obligate us to provide substantially the same services on a recurring basis in exchange for fixed recurring fees over the term of the contract. We satisfy such performance obligations over time and recognize revenue ratably as services are rendered over the service period. Certain of our contracts with service obligations provide for fees based on usage, capacity or volume. We satisfy these performance obligations and recognize the related revenue at the point in time, or over the period, when the services are rendered. Our Broadband and Satellite Services segment also sells and leases communications equipment to its customers. Revenue from equipment sales generally is recognized based upon shipment terms. Our equipment sales contracts typically include standard product warranties, but generally do not provide for returns or refunds. Revenue for extended warranties is recognized ratably over the extended warranty period. For contracts with multiple performance obligations, we typically allocate the contract’s transaction price to each performance obligation based on their relative standalone selling prices. When the standalone selling price is not observable, our primary method used to estimate standalone selling price is the expected cost plus a margin. Our contracts generally require customer payments to be made at or shortly after the time we transfer control of goods or perform the services. In addition to equipment and service offerings, our Broadband and Satellite Services segment also enters into long-term contracts to design, develop, construct and install complex telecommunication networks for mobile system operators and enterprise customers. Revenue from such contracts is generally recognized over time as a measure of progress that depicts the transfer of control of the goods or services to the customer. Depending on the nature of the arrangement, we measure progress toward contract completion using an appropriate input method or output method. Under the input method, we recognize the transaction price as revenue based on the ratio of costs incurred to estimated total costs at completion. Under the output method, revenue and cost of sales are recognized as products are delivered based on the expected profit for the entire agreement. Profit margins on long-term contracts generally are based on estimates of revenue and costs at completion. We review and revise our estimates periodically and recognize related adjustments in the period in which the revisions are made. Estimated losses on contracts are recorded in the period in which they are identified. We generally receive interim payments as work progresses, although for some contracts, we may be entitled to receive an advance payment. We derive a portion of our revenues from contracts with customers for connectivity services. These contracts typically require advance or recurring monthly payments by the customer. Our obligation to provide connectivity services is satisfied over time as the customer simultaneously receives and consumes the benefits provided. The measure of progress over time is generally based upon usage. Generally, our satellite service contracts with customers contain a single performance obligation and, therefore, there is no need to allocate the transaction price. We transfer control and recognize revenue for satellite services at the point in time or over the period when the services are rendered. Governmental Funding We participate in various United States federal and state programs, including the Affordable Connectivity Program (“ACP”) under which eligible low-income households may receive a discount off the cost of broadband service and certain connected devices, and participating providers can receive a reimbursement for such discounts. This revenue is included in “Service and other revenue” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Corresponding receivables are recorded when services have been provided to the customers and costs incurred, but cash has not been received. These amounts are included in “Trade accounts receivable, net” on our Consolidated Balance Sheets. Contract Balances The timing of revenue recognition generally differs from the timing of invoicing to customers. A contract asset is recorded when revenue is recognized in advance of our right to receive consideration (i.e., we must perform additional services in order to receive consideration). Amounts are recorded as trade accounts receivable when our right to consideration is unconditional. When consideration is received, or we have an unconditional right to consideration in advance of delivery of goods or services, a contract liability is recorded. The transaction price can include nonrefundable upfront fees, which are allocated to the identifiable performance obligations. 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 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. Contract assets are included in “Trade accounts receivable, net” and contract liabilities are included in “Deferred revenue and other” and “Long-term deferred revenue and other long-term liabilities” on our Consolidated Balance Sheets. Contract balances are amortized over the contract term. See Note 17 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 Customer We recognize an asset for the incremental costs of obtaining a contract with a customer if we expect the benefit of those costs to be longer than one year. We have determined that certain sales incentive programs in our Pay-TV, Broadband and Satellite Services, and Retail 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 customer life or the contract term. 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 Lessee Accounting We enter into non-cancelable operating and finance leases for, among other things, communication towers, satellites, satellite-related ground infrastructure, data centers, office space, dark fiber and transport equipment, warehouses and distribution centers, vehicles and other equipment. Substantially all of our leases have remaining lease terms from one 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 9 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. The operating lease ROU asset also includes the impact of prepaid or deferred lease payments. When our leases do not provide an implicit rate, we use our IBR based on the information available at commencement date in determining the present value of lease payments. Our IBR is based on an estimated secured rate for the same term as the underlying lease plus a credit spread as secured by our assets. For leases denominated in a currency different than U.S. dollar, IBR is estimated using the collateralized borrowing rate in the foreign currency using the U.S. dollar and foreign currency swap spread, when available. 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 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. Lessor Accounting 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 non-lease service revenue related to equipment leased to new and existing DISH TV subscribers would have otherwise been accounted for as an operating lease. We lease satellite capacity, communications equipment and real estate to certain of our customers. We identify and determine the classification of such leases as operating leases or sales-type leases. A lease is classified as a sales-type lease if it meets the criteria for a finance lease; otherwise it is classified as an operating lease. Some of our leases are embedded in contracts with customers that include non-lease performance obligations. For such contracts, except where we have elected otherwise, we allocate consideration in the contract between lease and non-lease components based on their relative standalone selling prices. We elected an accounting policy to not separate the lease of equipment from related services in our HughesNet satellite internet service (the “HughesNet service”) contracts with customers and account for all revenue from such contracts as non-lease service revenue. Assets subject to operating leases remain in “Property and equipment, net” and continue to be depreciated. Assets subject to sales-type leases are derecognized from “Property and equipment, net” at lease commencement and a net investment in the lease asset is recognized in “Trade accounts receivable, net” and “Other noncurrent assets, net” on our Consolidated Balance Sheets. Operating lease revenue is generally recognized on a straight-line basis over the lease term. Sales-type lease revenue and a corresponding receivable generally are recognized at lease commencement based on the present value of the future lease payments and related interest income on the receivable is recognized over the lease term. Payments under sales-type leases are discounted using the interest rate implicit in the lease or our incremental borrowing rate if the interest rate implicit in the lease cannot be reasonably determined. We report revenue and periodic interest income from sales-type leases at the commencement date in “Equipment sales and other revenue” on our Consolidated Statements of Operations and Comprehensive Income (Loss). We report operating lease revenue in “Service and other revenue” on our Consolidated Statements of Operations and Comprehensive Income (Loss). |
Cost of Services | Cost of Services Pay-TV Segment “Cost of services” on our Consolidated Statements of Operations and Comprehensive Income (Loss) principally includes programming expenses and other operating costs related to our Pay-TV segment. 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. Broadband and Satellite Services Segment “Cost of services” on our Consolidated Statements of Operations and Comprehensive Income (Loss) principally consists of costs of satellite capacity and services, hub infrastructure, customer care, wireline and wireless capacity and direct labor costs associated with the services provided and is generally charged to expense as incurred. Retail Wireless Segment “Cost of services” on our Consolidated Statements of Operations and Comprehensive Income (Loss) principally includes and costs incurred under the MNSA and NSA. Costs incurred under the MNSA and NSA are recognized as the services are performed or as incurred. |
Cost of Sales - Equipment and Other | Cost of Sales – Equipment and Other Pay-TV Segment “Cost of sales – equipment and other” on our Consolidated Statements of Operations and Comprehensive Income (Loss) principally includes 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. Broadband and Satellite Services Segment “Cost of sales – equipment and other” on our Consolidated Statements of Operations and Comprehensive Income (Loss) principally consists of inventory costs, including freight and royalties, and is generally recognized at the point in time control of the equipment is passed to the customer and related revenue is recognized. Retail Wireless Segment “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, certain direct costs of wireless mobile network operations to deliver wireless voice and data services. Costs are generally recognized as products are delivered to customers and the related revenue is recognized. 5G Network Deployment Segment “Cost of sales – equipment and other” on our Consolidated Statements of Operations and Comprehensive Income (Loss) principally includes the lease expense on communication towers and transport as well as cloud services. Lease costs are generally recognized on a straight-line basis over the lease term. Costs related to cloud services are either recognized ratably over the contract term or based on usage. |
Advertising Costs | Advertising Costs We recognize advertising expense when incurred as a component of “Selling, general and administrative expenses” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Advertising expenses totaled $868 million, $816 million and $725 million for the years ended December 31, 2023, 2022 and 2021, respectively. |
Research and Development | Research and Development Research and development costs, not incurred in connection with customer requirements, are expensed as incurred and are included as a component of “Selling, general and administrative expenses” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Additionally, customer-related research and development costs are incurred in connection with the specific requirements of a customer’s order; in such instances, the amounts for these customer funded development efforts are also included in “Cost of sales – equipment and other” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Research and development costs totaled $110 million, $110 million and $91 million for the years ended December 31, 2023, 2022 and 2021, respectively. |
Foreign Currency | Foreign Currency The functional currency for certain of our foreign operations is determined to be the local currency. Accordingly, we translate assets and liabilities of these foreign entities from their local currencies to U.S. dollars using period-end exchange rates and translate income and expense accounts at monthly average rates. The resulting translation adjustments are reported in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). Except in certain uncommon circumstances, we have not recorded deferred income taxes related to our foreign currency translation adjustments. Gains and losses resulting from the re-measurement of transactions denominated in foreign currencies are recognized in “Other, net” on our Consolidated Statements of Operations and Comprehensive Income (Loss). |
New Accounting Pronouncements | New Accounting Pronouncements Joint Ventures. Business Combinations — Joint Venture Formations (Subtopic 805-60) Segment Reporting. Segment Reporting (Topic 280): Improvements to Reporting Segment Disclosures Income Taxes Income Taxes (Topic 740) Improvements to Income Tax Disclosures (“ASU 2023-09”), which will enhance income tax disclosures. ASU 2023-09 requires among other items disaggregated information in a reporting entity’s rate reconciliation table, clarification on uncertain tax positions and the related financial statement impact as well as information on income taxes paid on a disaggregated basis. This standard will be effective for fiscal years beginning after December 15, 2024. Early adoption is permitted. We are evaluating the impact the adoption of ASU 2023-09 will have on our Consolidated Financial Statements and related disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies | |
Schedule of changes in the carrying amounts of goodwill | Goodwill Pay-TV Retail Wireless 5G Network Deployment Broadband and Satellite Services Total (In thousands) Balance as of December 31, 2021, net of accumulated impairment losses $ 6,457 $ 98,657 $ 119,903 $ 511,086 $ 736,103 Goodwill from India JV formation, net of foreign currency translation — — — 21,405 21,405 Balance as of December 31, 2022, net of accumulated impairment losses $ 6,457 $ 98,657 $ 119,903 $ 532,491 $ 757,508 Impairment of goodwill (6,457) (98,657) (119,903) (532,491) (757,508) Balance as of December 31, 2023, net of accumulated impairment losses $ — $ — $ — $ — $ — Accumulated impairment losses as of December 31, 2023 $ (6,457) $ (98,657) $ (119,903) $ (532,491) $ (757,508) |
Basic and Diluted Net Income _2
Basic and Diluted Net Income (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Basic and Diluted Net Income (Loss) Per Share | |
Schedule of EPS amounts for all periods and the basic and diluted weighted-average shares outstanding used in the calculation | For the Years Ended December 31, 2023 2022 2021 (In thousands, except per share amounts) Net income (loss) $ (1,634,824) $ 2,536,892 $ 2,521,435 Less: Net income (loss) attributable to noncontrolling interests, net of tax 67,233 59,172 35,150 Net income (loss) attributable to EchoStar - Basic (1,702,057) 2,477,720 2,486,285 Interest on dilutive Convertible Notes, net of tax (1) — — — Net income (loss) attributable to EchoStar - Diluted $ (1,702,057) $ 2,477,720 $ 2,486,285 Weighted-average common shares outstanding - Class A and B common stock: Basic 270,842 270,102 275,117 Dilutive impact of Convertible Notes (2) — 37,550 37,550 Dilutive impact of stock awards outstanding (2) — 81 455 Diluted 270,842 307,733 313,122 Earnings per share - Class A and B common stock: Basic net income (loss) per share attributable to EchoStar $ (6.28) $ 9.17 $ 9.04 Diluted net income (loss) per share attributable to EchoStar $ (6.28) $ 8.05 $ 7.94 (1) For the years ended December 31, 2023, 2022 and 2021, substantially all of our interest expense was capitalized. See Note 2 for further information. (2) For the year ended December 31, 2023, the dilutive impact of 38 million weighted-average shares of Class A common stock were excluded from the computation of “Diluted net income (loss) per share attributable to EchoStar” because the effect would have been anti-dilutive as a result of the net loss attributable to EchoStar in the period. |
Schedule of anti-dilutive securities not included in the diluted EPS calculation | As of December 31, 2023 2022 2021 (In thousands) Anti-dilutive stock awards 10,906 9,680 7,426 Performance/market based options 4,631 5,285 4,896 Restricted Performance Units/Awards - 388 467 Common stock warrants 16,151 16,151 16,151 Total 31,688 31,504 28,940 |
Supplemental Data - Statement_2
Supplemental Data - Statements of Cash Flows (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Supplemental Data - Statements of Cash Flows | |
Schedule of supplemental cash flow and other non-cash data | For the Years Ended December 31, 2023 2022 2021 (In thousands) Cash paid for interest (including capitalized interest) $ 1,400,524 $ 1,144,915 $ 906,925 Cash received for interest 163,729 30,264 11,888 Cash paid for income taxes, net of refunds 15,634 98,930 98,456 Capitalized interest (1) 1,335,129 1,084,880 858,605 Employee benefits paid in Class A common stock 20,101 33,389 37,446 Convertible debt reclassified per ASU 2020-06 — — 1,051,344 Deferred taxes reclassified per ASU 2020-06 — — 245,778 Vendor financing 87,343 108,048 26,627 FCC licenses reclassification — 122,657 915,449 Accrued capital expenditures 238,231 403,134 463,092 Asset retirement obligation 74,189 122,390 50,765 Revaluation of contingent liabilities — 47,916 — Non-cash net assets received as part of the India JV formation — 36,701 — (1) See Note 2 for further information. |
Other Comprehensive Income (L_2
Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Other Comprehensive Income (Loss) | |
Schedule of tax effect on each component of other comprehensive income (loss) | For the Years Ended December 31, 2023 2022 2021 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 $ 15,479 $ (503) $ 14,976 $ 33,742 $ 710 $ 34,452 $ (17,885) $ (482) $ (18,367) Unrealized holding gains (losses) on available-for-sale securities (306) 65 (241) 536 (1,071) (535) (694) 998 304 Recognition of previously unrealized (gains) losses on available-for-sale securities included in net income (loss) 550 (74) 476 (25) 2 (23) (25) 3 (22) Other — — — 2,660 — 2,660 (5,005) — (5,005) Other comprehensive income (loss) $ 15,723 $ (512) $ 15,211 $ 36,913 $ (359) $ 36,554 $ (23,609) $ 519 $ (23,090) |
Schedule of accumulated other comprehensive income (loss) | Foreign Unrealized/ Currency Recognized Translation Gains Accumulated Other Comprehensive Income (Loss) Adjustment (Losses) Other Total (In thousands) Balance as of December 31, 2021 $ (209,499) $ 436 $ (2,758) $ (211,821) Foreign currency translation adjustments 34,452 — — 34,452 Other comprehensive income (loss) before reclassification — (535) 2,660 2,125 Amounts reclassified from accumulated other comprehensive income (loss) — (23) — (23) Balance as of December 31, 2022 $ (175,047) $ (122) $ (98) $ (175,267) Foreign currency translation adjustments 14,878 — 98 14,976 Other comprehensive income (loss) before reclassification — (241) — (241) Amounts reclassified from accumulated other comprehensive income (loss) — 476 — 476 Balance as of December 31, 2023 $ (160,169) $ 113 $ — $ (160,056) |
Marketable Investment Securit_2
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
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, December 31, 2023 2022 (In thousands) Marketable investment securities: Current marketable investment securities: Strategic - available-for-sale $ 144 $ 144 Strategic - trading/equity 176,205 119,445 Other 446,695 1,690,309 Total current marketable investment securities 623,044 1,809,898 Restricted marketable investment securities (1) 27,840 52,744 Total marketable investment securities 650,884 1,862,642 Restricted cash and cash equivalents (1) 90,225 64,267 Other investment securities, net: Equity method investments 169,038 213,178 Cost method investments 106,134 142,057 Fair value method and other debt investments 39,198 169,670 Total other investment securities, net 314,370 524,905 Total marketable investment securities, restricted cash and cash equivalents, and other investment securities, net $ 1,055,479 $ 2,451,814 (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 fair value measurements | As of December 31, 2023 December 31, 2022 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 (In thousands) Cash equivalents (including restricted) $ 1,692,849 $ 573,504 $ 1,119,345 $ — $ 2,216,929 $ 174,707 $ 2,042,222 $ — Debt securities (including restricted): U.S. Treasury and agency securities $ 65,172 $ 65,172 $ — $ — $ 33,807 $ 33,807 $ — $ — Commercial paper 290,398 — 290,398 — 1,384,251 — 1,384,251 — Corporate securities 114,265 — 114,265 — 316,939 — 316,939 — Other 4,844 — 4,700 144 8,200 4,985 3,071 144 Equity securities 176,205 166,481 9,724 — 119,445 109,657 9,788 — Total $ 650,884 $ 231,653 $ 419,087 $ 144 $ 1,862,642 $ 148,449 $ 1,714,049 $ 144 |
Schedule of gains and losses on sales and changes in carrying amounts of investments and other | For the Years Ended December 31, Other, net: 2023 2022 2021 (In thousands) Marketable and non-marketable investment securities - realized and unrealized gains (losses) (1) $ 13,664 $ 73,293 $ 66,394 Derivative instruments - net realized and/or unrealized gains (losses) (2) (1,793,387) 1,015,387 (13,000) Other investment securities - other-than-temporary impairments (3) (39,800) — (55,266) Gains (losses) related to early redemption of debt (4) 73,024 (922) (3,587) Foreign currency transaction gains (losses) 5,677 5,235 (12,612) Equity in earnings (losses) of affiliates (8,098) (3,087) (6,221) Other (21,872) (1,465) 29,008 Total $ (1,770,792) $ 1,088,441 $ 4,716 (1) During the year ended December 31, 2023, we recorded a loss of $24 million related to a decline in value of an investment previously held on a cost-basis method, due to fair value becoming determinable as a result of a merger between that entity and a publicly traded entity. Starting September 30, 2023, and for all subsequent periods, the investment is classified as marketable investment securities. (2) The change in the derivative’s carrying value for the year ended December 31, 2023 was primarily driven by a decrease in our estimated probability of exercising the option. This amount includes the $100 million prepayment previously made to T-Mobile. (3) During the year ended December 31, 2023, we recorded a $33 million impairment for BCS as a result of increased competition and the economic environment for this business. We estimated the fair value of our investment by using the combination of the discounted cash flow model and market value approach. (4) This change primarily resulted from repurchases of our Convertible Notes and 5 7/8% Senior Notes due 2024 during the year ended December 31, 2023. See Note 10 for further information. |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventory | |
Schedule of inventory | As of December 31, 2023 2022 (In thousands) Finished goods $ 512,894 $ 521,600 Work-in-process and service repairs 68,463 35,759 Consignment (1) 56,360 14,792 Raw materials 27,452 53,828 Total inventory $ 665,169 $ 625,979 (1) This change primarily resulted from a distribution agreement related to certain Boost postpaid wireless devices. |
Property and Equipment and In_2
Property and Equipment and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Schedule of property and equipment | Depreciable As of Life December 31, December 31, (In Years) 2023 2022 (In thousands) Equipment leased to customers 2 - 5 $ 1,977,450 $ 2,161,173 Satellites 5 - 15 4,168,766 3,527,788 Satellites acquired under finance lease agreements 15 712,832 705,090 Furniture, fixtures, equipment and other 1 - 20 1,691,389 1,479,063 5G Network Deployment equipment (1) 3 - 15 4,263,327 770,153 Software and computer equipment 2 - 6 2,503,597 2,026,648 Buildings and improvements 1 - 40 538,815 497,386 Land - 46,675 46,638 Construction in progress - 1,844,338 3,979,145 Total property and equipment 17,747,189 15,193,084 Accumulated depreciation (8,185,355) (7,288,127) Property and equipment, net $ 9,561,834 $ 7,904,957 (1) Includes 5G Network Deployment assets acquired under finance lease agreements. |
Schedule of construction in progress | As of December 31, December 31, 2023 2022 (In thousands) Pay-TV $ 162,055 $ 36,936 Retail Wireless — — 5G Network Deployment 1,639,945 3,133,687 Broadband and Satellite Services (1) 42,338 808,522 Total construction in progress $ 1,844,338 $ 3,979,145 (1) In August 2017, we entered into a contract for the design and construction of the EchoStar XXIV satellite, a next-generation, high throughput geostationary satellite. The satellite began service in December 2023 and is expected to bring further consumer broadband capacity across North and South America and generate additional sales in other markets, including in-flight Wi-Fi, enterprise networking and cellular backhaul for mobile network operators across the two continents. The satellite was placed into service in the fourth quarter of 2023. |
Schedule of depreciation and amortization expense | For the Years Ended December 31, 2023 2022 2021 (In thousands) Equipment leased to customers $ 329,449 $ 400,651 $ 473,130 Satellites 264,433 268,994 318,685 Buildings, furniture, fixtures, equipment and other 144,722 98,762 96,658 5G Network Deployment equipment 371,640 29,992 8,263 Software and computer equipment 270,200 185,538 118,671 Intangible assets and other amortization expense 217,479 190,958 198,539 Total depreciation and amortization $ 1,597,923 $ 1,174,895 $ 1,213,946 |
Schedule of asset retirement obligations | As of December 31, December 31, 2023 2022 (In thousands) Balance at beginning of period $ 183,135 $ 51,551 Liabilities incurred 74,189 124,822 Accretion expense 20,963 6,762 Revision to estimated cash flows — — Balance at end of period $ 278,287 $ 183,135 Total included in Other long-term liabilities $ 278,287 $ 183,135 |
Schedule of goodwill | As of December 31, December 31, 2023 2022 (In thousands) Pay-TV $ — $ 6,457 Retail Wireless — 98,657 5G Network Deployment — 119,903 Broadband and Satellite Services — 532,491 Total goodwill $ — $ 757,508 |
Schedule of identifiable intangibles subject to amortization | As of December 31, 2023 December 31, 2022 Intangible Accumulated Intangible Accumulated Assets Amortization Assets Amortization (In thousands) Technology-based $ 115,166 $ (111,989) $ 114,945 $ (111,422) Trademarks 164,834 (90,326) 164,834 (78,209) Contract-based 41,500 (41,500) 41,500 (41,500) Customer relationships 902,858 (807,651) 903,083 (637,442) Total $ 1,224,358 $ (1,051,466) $ 1,224,362 $ (868,573) |
Schedule of estimated future amortization of identifiable intangible assets | Estimated future amortization of our identifiable intangible assets as of December 31, 2023 is as follows (in thousands): For the Years Ended December 31, (In thousands) 2024 $ 97,918 2025 15,812 2026 14,115 2027 12,851 2028 12,357 Thereafter 19,617 Total $ 172,670 |
Schedule of Regulatory Authorizations | As of December 31, 2023 and 2022, our Regulatory Authorizations with indefinite lives consisted of the following: As of December 31, 2023 2022 (In thousands) Owned: DBS Licenses $ 677,409 $ 677,409 700 MHz Licenses 711,871 711,871 AWS-4 Licenses 1,940,000 1,940,000 H Block Licenses 1,671,506 1,671,506 600 MHz Licenses 6,213,335 6,212,579 MVDDS Licenses 24,000 24,000 28 GHz Licenses 2,883 2,883 24 GHz Licenses 11,772 11,772 37 GHz, 39 GHz & 47 GHz Licenses 202,533 202,533 3550-3650 MHz Licenses 912,939 912,939 3.7-3.98 GHz Licenses 2,969 2,688 3.45-3.55 GHz Licenses 7,327,989 7,327,989 1695-1710 MHz, 1755-1780 MHz, and 2155-2180 MHz 972 — AWS-3 5,618,930 5,618,930 Subtotal 25,319,108 25,317,099 Noncontrolling Investments: SNR 4,271,459 4,271,459 Capitalized Interest (1) 8,523,682 7,344,515 Total $ 38,114,249 $ 36,933,073 (1) See Note 2 for further information. Regulatory Authorizations – Broadband and Satellite Services Segment As of December 31, 2023 and 2022, our Regulatory Authorizations for our Broadband and Satellite Services segment with indefinite lives consisted of the following: As of December 31, 2023 2022 (In thousands) 95 W $ 200,000 $ 200,000 107 W 200,000 200,000 Sirion-1 Filing 39,160 39,160 Total $ 439,160 $ 439,160 |
Schedule of finite lived intangible assets with regulatory authorizations | As of December 31, 2023 December 31, 2022 Finite Lived Accumulated Finite Lived Accumulated Assets Amortization Assets Amortization (In thousands) Total $ 58,061 $ (38,490) $ 55,317 $ (31,946) |
Schedule of finite lived intangible assets with regulatory authorizations future amortization expense | For the Years Ended December 31, (In thousands) 2024 $ 5,607 2025 4,055 2026 4,055 2027 1,880 2028 589 Thereafter 3,385 Total $ 19,571 |
Pay-TV | |
Schedule Of satellites | Degree Lease Launch Orbital Termination Satellites Date Location Date Owned: EchoStar X February 2006 110 N/A EchoStar XI July 2008 110 N/A EchoStar XIV March 2010 119 N/A EchoStar XV July 2010 61.5 N/A EchoStar XVI November 2012 61.5 N/A EchoStar XVIII June 2016 61.5 N/A EchoStar XXIII March 2017 110 N/A Under Construction: EchoStar XXV 2026 110 N/A Leased from Other Third-Party: Anik F3 April 2007 118.7 April 2025 Nimiq 5 September 2009 72.7 September 2024 |
Broadband and Satellite Services | |
Schedule Of satellites | Degree Lease Launch Orbital Termination Satellites Date Location Date Owned: EchoStar IX August 2003 121 N/A EchoStar XVII July 2012 107 N/A EchoStar XIX December 2016 97.1 N/A EchoStar XXI June 2017 10.25 N/A Al Yah 3 January 2018 20 N/A EchoStar XXIV July 2023 95.2 N/A Leased from Other Third-Party: Eutelsat 65 West A March 2016 65 July 2031 Telesat T19V July 2018 63 August 2033 EchoStar 105/SES-11 October 2017 105 November 2028 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases | |
Components of Lease Expense | For the Years Ended December 31, 2023 2022 2021 (In thousands) Operating lease cost (1) $ 538,805 $ 355,871 $ 111,336 Short-term lease cost (2) 4,765 4,914 4,800 Finance lease cost (3): Amortization of right-of-use assets 102,724 57,942 95,237 Interest on lease liabilities 14,090 12,151 14,741 Total finance lease cost 116,814 70,093 109,978 Total lease costs $ 660,384 $ 430,878 $ 226,114 (1) The increase in operating lease cost is primarily related to communication tower leases. (2) Leases that have terms of 12 months or less. (3) The decrease in finance lease cost for the year ended December 31, 2022 is primarily related to the QuetzSat-1 finance lease, which expired in November 2021, as well as the Anik F3 finance lease that was extended in April 2022 and as a result is currently accounted for as an operating lease. The increase in finance lease cost for the year ended December 31, 2023 is primarily related to equipment for our 5G Network Deployment. |
Summary of Supplemental cash flow information related to leases | For the Years Ended December 31, 2023 2022 2021 (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 367,438 $ 186,372 $ 93,227 Operating cash flows from finance leases $ 13,400 $ 11,060 $ 12,917 Financing cash flows from finance leases $ 53,467 $ 42,740 $ 63,109 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 753,935 $ 1,402,357 $ 1,489,637 Finance leases $ 53,771 $ 66,312 $ — |
Summary of supplemental balance sheet information related to leases | As of December 31, December 31, 2023 2022 (In thousands) Operating Leases: Operating lease assets (1) $ 3,065,448 $ 2,823,834 Other current liabilities (1) $ 317,395 $ 210,855 Operating lease liabilities (1) 3,121,307 2,808,774 Total operating lease liabilities (1) $ 3,438,702 $ 3,019,629 Finance Leases: Property and equipment, gross $ 833,933 $ 772,420 Accumulated depreciation (520,344) (425,696) Property and equipment, net $ 313,589 $ 346,724 Other current liabilities $ 56,459 $ 48,066 Other long-term liabilities 67,199 75,287 Total finance lease liabilities $ 123,658 $ 123,353 Weighted Average Remaining Lease Term: Operating leases 10.6 years 11.8 years Finance leases 2.2 years 2.7 years Weighted Average Discount Rate: Operating leases 9.5% 7.2% Finance leases 9.7% 9.8% (1) In the fourth quarter of 2023, we revised certain terms with a vendor supplying communication towers. The revision in terms resulted in a lease modification, which was not accounted for as a separate contract. On the measurement date, we reassessed the terms of the original agreement, including but not limited to the timing of future cash flows, the remaining economic life of the underlying asset, the discount rate and the lease classification. This resulted in a reduction to both the operating lease asset and operating lease liability by approximately $227 million, which is included in “Operating lease assets,” and “Operating lease liabilities” on our Consolidated Balance Sheets. |
Summary of maturities of operating lease liabilities | Maturities of Lease Liabilities Operating Finance For the Years Ending December 31, Leases Leases Total (In thousands) 2024 $ 448,503 $ 66,073 $ 514,576 2025 485,783 35,392 521,175 2026 516,143 36,588 552,731 2027 515,022 2,574 517,596 2028 471,980 — 471,980 Thereafter 3,170,778 — 3,170,778 Total lease payments 5,608,209 140,627 5,748,836 Less: Imputed interest (2,169,507) (16,969) (2,186,476) Total 3,438,702 123,658 3,562,360 Less: Current portion (317,395) (56,459) (373,854) Long-term portion of lease obligations $ 3,121,307 $ 67,199 $ 3,188,506 |
Schedule of Lease Revenue | For the Years Ended December 31, 2023 2022 2021 (In thousands) Lease revenue: Sales-type lease revenue $ 13,431 $ 8,777 $ 8,726 Operating lease revenue 42,565 44,350 41,955 Total lease revenue $ 55,996 $ 53,127 $ 50,681 |
Schedule of Operating Lease Payments to be Received | The following table presents future operating lease payments to be received as of December 31, 2023: For the Years Ending December 31, Total (In thousands) 2024 $ 36,008 2025 31,803 2026 30,579 2027 25,752 2028 11,687 Thereafter 34,588 Total lease payments to be received $ 170,417 |
Long-Term Debt and Finance Le_2
Long-Term Debt and Finance Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Long-Term Debt and Finance Lease Obligations | |
Schedule of carrying amount and fair value of our debt facilities | As of December 31, 2023 December 31, 2022 Issuer Carrying Amount Fair Value Carrying Amount Fair Value (In thousands) 5% Senior Notes due 2023 (1) DDBS $ — $ — $ 1,443,179 $ 1,441,635 2 3/8% Convertible Notes due 2024 (2) DISH 951,168 944,034 1,000,000 906,970 5 7/8% Senior Notes due 2024 (3) DDBS 1,982,544 1,872,275 2,000,000 1,870,940 0% Convertible Notes due 2025 (4) DISH 1,957,197 1,228,141 2,000,000 1,287,540 7 3/4% Senior Notes due 2026 DDBS 2,000,000 1,388,060 2,000,000 1,620,280 5 1/4% Senior Secured Notes due 2026 HSSC 750,000 665,678 750,000 727,763 6 5/8% Senior Notes due 2026 HSSC 750,000 591,525 750,000 707,490 3 3/8% Convertible Notes due 2026 (5) DISH 2,908,801 1,570,753 3,000,000 1,894,230 5 1/4% Senior Secured Notes due 2026 DDBS 2,750,000 2,366,073 2,750,000 2,336,813 11 3/4% Senior Secured Notes due 2027 (6) DISH 3,500,000 3,668,980 2,000,000 2,071,240 7 3/8% Senior Notes due 2028 DDBS 1,000,000 600,160 1,000,000 708,320 5 3/4% Senior Secured Notes due 2028 DDBS 2,500,000 2,013,125 2,500,000 2,013,675 5 1/8% Senior Notes due 2029 DDBS 1,500,000 774,600 1,500,000 976,755 Other notes payable 160,158 160,158 188,509 188,509 Subtotal 22,709,868 $ 17,843,562 22,881,688 $ 18,752,159 Unamortized deferred financing costs and other debt discounts, net (69,606) (108,921) Finance lease obligations (7) 123,658 123,353 Total long-term debt and finance lease obligations (including current portion) $ 22,763,920 $ 22,896,120 (1) We had repurchased or redeemed the principal balance of our 5% Senior Notes due 2023 as of March 15, 2023, the instrument’s maturity date . (2) During the year ended December 31, 2023, we repurchased approximately $49 million of our 2 3/8% Convertible Notes due 2024 in open market trades. The remaining balance of approximately $951 million matures on March 15, 2024 and is included in “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2023. (3) During the year ended December 31, 2023, we repurchased approximately $17 million of our 5 7/8% Senior Notes due 2024 in open market trades. The remaining balance of approximately $1.983 billion matures on November 15, 2024 and is included in “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2023. (4) During the year ended December 31, 2023, we repurchased approximately $43 million of our 0% Convertible Notes due 2025 in open market trades. The remaining balance of approximately $1.957 billion matures on December 15, 2025 . (5) During the year ended December 31, 2023, we repurchased approximately $91 million of our 3 3/8% Convertible Notes due 2026 in open market trades. The remaining balance of approximately $2.909 billion matures on August 15, 2026 . (6) On January 26, 2023, we issued an additional $1.5 billion aggregate principal amount of our 11 3/4% Senior Secured Notes due 2027. (7) Disclosure regarding fair value of finance leases is not required. |
Schedule of interest on long-term debt | Annual Semi-Annual Debt Service Issuer Payment Dates Requirements (In thousands) 2 3/8% Convertible Notes due 2024 (1) DISH March 15 and September 15 $ 23,750 5 7/8% Senior Notes due 2024 (2) DDBS May 15 and November 15 $ 117,500 7 3/4% Senior Notes due 2026 DDBS January 1 and July 1 $ 155,000 5 1/4% Senior Secured Notes due 2026 HSSC February 1 and August 1 $ 39,375 6 5/8% Senior Notes due 2026 HSSC February 1 and August 1 $ 49,688 3 3/8% Convertible Notes due 2026 DISH February 15 and August 15 $ 101,250 5 1/4% Senior Secured Notes due 2026 DDBS June 1 and December 1 $ 144,375 11 3/4% Senior Secured Notes due 2027 DISH May 15 and November 15 $ 411,250 7 3/8% Senior Notes due 2028 DDBS January 1 and July 1 $ 73,750 5 3/4% Senior Secured Notes due 2028 DDBS June 1 and December 1 $ 143,750 5 1/8% Senior Notes due 2029 DDBS June 1 and December 1 $ 76,875 (1) Our 2 3/8% Convertible Notes due 2024 mature on March 15, 2024 and have been reclassified to “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2023. As of the year ended December 31, 2023, there is only one remaining interest payment due on March 15, 2024. (2) Our 5 7/8% Senior Notes due 2024 mature on November 15, 2024 and have been reclassified to “Current portion of long-term debt and finance lease obligations” on our Consolidated Balance Sheets as of December 31, 2023. |
Schedule of other long term debt and capital lease obligations | As of December 31, 2023 2022 (In thousands) Satellites and other finance lease obligations $ 123,658 $ 123,353 Notes payable related to satellite vendor financing and other debt payable in installments through 2032 with interest rates ranging from approximately 0% to 11.4% 160,158 188,509 Total 283,816 311,862 Less: current portion (112,942) (109,380) Other long-term debt and finance lease obligations, net of current portion $ 170,874 $ 202,482 |
Income Taxes and Accounting f_2
Income Taxes and Accounting for Uncertainty in Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes and Accounting for Uncertainty in Income Taxes | |
Schedule of components of the (benefit from) provision for income taxes | For the Years Ended December 31, 2023 2022 2021 (In thousands) Current (benefit) provision: Federal $ (7,484) $ (1,283) $ 135,759 State 39,441 70,707 47,115 Foreign 8,405 (601) 5,855 Total current (benefit) provision 40,362 68,823 188,729 Deferred (benefit) provision: Federal (308,917) 638,077 538,979 State (150,108) 93,755 87,319 Foreign (45,006) (20,965) (34,809) Increase (decrease) in valuation allowance 166,809 18,720 48,219 Total deferred (benefit) provision (337,222) 729,587 639,708 Total (benefit) provision $ (296,860) $ 798,410 $ 828,437 |
Schedule of principal reasons for the difference between the effective income tax rate and the statutory federal tax rate | For the Years Ended December 31, 2023 2022 2021 % of pre-tax income/(loss) Statutory rate (21.0) 21.0 21.0 State income taxes, net of federal benefit (3.6) 3.3 3.2 Rates different than statutory (1.1) (0.5) (0.5) Increase (decrease) in valuation allowance 8.6 0.6 1.4 Tax credits (3.8) (0.8) (0.5) Impairments 6.0 — — Other, net (0.5) 0.3 0.1 Total (benefit) provision for income taxes (15.4) 23.9 24.7 |
Schedule of deferred tax assets and liabilities | As of December 31, 2023 2022 (In thousands) Deferred tax assets: NOL, interest, credit and other carryforwards $ 1,322,706 $ 666,789 Accrued and prepaid expenses 966,445 759,981 Stock-based compensation 29,387 29,383 Unrealized (gains) losses on available for sale and other investments (1) 222,769 — Discount on convertible notes and convertible note hedge transaction, net 46,636 64,644 Deferred revenue 10,748 5,681 Other 10,096 11,050 Total deferred tax assets 2,608,787 1,537,528 Valuation allowance (492,340) (306,703) Deferred tax asset after valuation allowance 2,116,447 1,230,825 Deferred tax liabilities: Depreciation (1,961,227) (1,784,018) Unrealized (gains) losses on available for sale and other investments (1) — (241,297) Regulatory authorizations and other intangible amortization (3,960,608) (3,491,625) Bases differences in partnerships and cost method investments (2) (1,179,418) (1,041,790) Other liabilities (21,227) (18,840) Total deferred tax liabilities (7,122,480) (6,577,570) Net deferred tax asset (liability) (3) $ (5,006,033) $ (5,346,745) (1) Included in this line item are deferred taxes related to, among other things, changes in the probability weighted fair value of our option to purchase certain of T-Mobile’s 800 MHz spectrum licenses. See Note 6 for further information. (2) Included in this line item are deferred taxes related to, among other things, our noncontrolling investments in Northstar Spectrum and SNR HoldCo, including deferred taxes created by the tax amortization of the Northstar Licenses and SNR Licenses. See Note 2 for further information. |
Schedule of reconciliation of the beginning and ending amount of unrecognized tax benefits | For the Years Ended December 31, Unrecognized tax benefit 2023 2022 2021 (In thousands) Balance as of beginning of period $ 569,601 $ 539,113 $ 528,527 Additions based on tax positions related to the current year 9,210 36,587 496 Additions based on tax positions related to prior years 41,522 16,369 12,200 Reductions based on tax positions related to prior years (7,219) (21,541) (1,482) Reductions based on tax positions related to settlements with taxing authorities (3,219) — — Reductions based on tax positions related to the lapse of the statute of limitations (352) (927) (628) Balance as of end of period $ 609,543 $ 569,601 $ 539,113 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
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 2023 2022 2021 (In thousands) Matching contributions, net of forfeitures $ 20,379 $ 18,275 $ 14,346 Discretionary stock contributions, net of forfeitures $ 5,491 $ 21,606 $ 33,507 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-based compensation | |
Schedule of stock option activity | For the Year Ended December 31, 2023 Options Weighted- Average Exercise Price Aggregate intrinsic value (in thousands) Weighted- Average Remaining Contractual Life Total options outstanding, beginning of period 16,887,454 $ 59.28 Granted 1,653,280 $ 22.28 Exercised — $ — Forfeited and cancelled (1) (2,453,588) $ 59.25 Total options outstanding, end of period 16,087,146 $ 55.48 $ 1 6.76 Performance/market based options outstanding, end of period (2) 4,631,083 $ 84.20 Exercisable at end of period 6,332,074 $ 50.88 $ — 5.35 (1) Includes the cancellation of the 2013 LTIP. See discussion below. (2) These stock options are included in the caption “Total options outstanding, end of period.” See discussion of the 2017 LTIP, 2019 LTIP, 2022 Incentive Plan, 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, 2023 2022 2021 (In thousands) Tax benefit from stock awards exercised $ 1,384 573 4,457 |
Schedule of restricted stock unit activity | For the Year Ended December 31, 2023 Restricted Stock Units/Awards Weighted- Average Grant Date Fair Value Total restricted stock units/awards outstanding, beginning of period 802,804 $ 72.70 Granted 5,776 $ 17.50 Vested (525,100) $ 60.89 Forfeited and cancelled (234,835) $ 92.34 Total restricted stock units/awards outstanding, end of period 48,645 $ 98.78 |
Schedule of stock options and restricted stock units and awards | For the Years Ended December 31, 2023 2022 2021 (In thousands, except per share amounts) Stock options: Weighted-average grant date fair value of options granted $ 22.28 $ 53.20 $ 84.84 Intrinsic value of options exercised (1) $ — $ 98 $ 16,029 Restricted stock units and awards: Weighted-average grant date fair value of units and awards granted $ 17.50 $ 40.06 $ 120.86 Fair value of units and rewards vested (1) $ 9,926 $ 2,212 $ 1,218 (1) Intrinsic value and fair value is based on the closing market price of our Class A common stock on December 31, 2023. |
Schedule of non-cash, stock-based compensation expense recognized | For the Years Ended December 31, Non-Cash, Stock-Based Compensation Expense Recognized (1) 2023 2022 2021 (In thousands) 2022 Incentive Plan $ 7,346 $ 19,088 $ — 2019 LTIP (1,903) (97) 489 2013 LTIP — — (13,610) Ergen 2020 Performance Award 12,308 12,308 34,513 Other employee performance awards 462 4,502 9,033 Total non-cash, stock-based compensation expense recognized for performance based awards $ 18,213 $ 35,801 $ 30,425 (1) “Non-Cash, Stock-Based Compensation Expense Recognized” includes actual forfeitures. |
Schedule of awards outstanding pursuant to performance-based stock incentive plans | As of December 31, 2023 Performance Based Stock Options Number of Awards Weighted- Average Grant Price 2022 Incentive Plan 401,828 $ 50.78 2019 LTIP 248,758 $ 60.04 2017 LTIP 471,727 $ 164.20 Ergen 2020 Performance Award 3,508,770 $ 78.98 Total 4,631,083 $ 84.20 |
Schedule of allocated non-cash, stock-based compensation expense for all employees | For the Years Ended December 31, 2023 2022 2021 (In thousands) Cost of services $ 2,610 $ 6,511 $ 4,365 Selling, general and administrative 48,904 76,483 55,014 Total non-cash, stock-based compensation $ 51,514 $ 82,994 $ 59,379 |
Schedule of assumptions of Black-Scholes option valuation model | For the Years Ended December 31, Stock Options 2023 2022 2021 Risk-free interest rate 3.58 % - 4.61 % 1.35 % - 4.02 % 0.48 % - 1.11 % Volatility factor 34.30 % - 41.25 % 32.67 % - 34.84 % 29.91 % - 34.51 % Expected term of options in years 4.1 - 6.6 4.1 - 6.0 4.0 - 5.9 Fair value of options granted $ 7.40 - $ 7.77 $ 5.97 - $ 9.27 $ 6.20 - $ 8.32 |
2022 Incentive Plan, 2019 LTIP, 2013 LTIP and Other | |
Share-based compensation | |
Schedule of unrecognized non-cash, stock-based compensation expense | Estimated Remaining Non-Cash, Stock-Based Compensation Expense 2022 Incentive Plan 2019 LTIP Ergen 2020 Performance Award Other Employee Performance Awards (In thousands) Expense estimated to be recognized during 2024 $ 2,119 $ — $ 10,816 $ — Estimated contingent expense subsequent to 2024 1,114 — 16,913 — Total estimated remaining expense over the term of the plan $ 3,233 $ — $ 27,729 $ — |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies | |
Schedule of future maturities of long-term debt, finance lease and contractual obligations | As of December 31, 2023, future maturities of our long-term debt, finance lease and contractual obligations are summarized as follows: Payments due by period Total 2024 2025 2026 2027 2028 Thereafter (In thousands) Long-term debt obligations $ 22,709,868 $ 2,990,195 $ 1,993,990 $ 9,177,173 $ 3,520,219 $ 3,505,748 $ 1,522,543 Interest expense on long-term debt 4,772,180 1,329,564 1,200,118 1,196,621 708,677 295,967 41,233 Finance lease obligations (1) 123,658 56,459 30,381 34,290 2,528 — — Interest expense on finance lease obligations (1) 16,969 9,614 5,011 2,298 46 — — Other long-term obligations (2) 13,602,205 2,908,585 2,218,024 1,934,515 1,178,310 1,037,835 4,324,936 Operating lease obligations (1) 5,608,209 448,503 485,783 516,143 515,022 471,980 3,170,778 Purchase obligations 2,052,715 2,022,015 26,036 4,664 — — — Total $ 48,885,804 $ 9,764,935 $ 5,959,343 $ 12,865,704 $ 5,924,802 $ 5,311,530 $ 9,059,490 (1) See Note 9 for further information on leases. (2) Represents minimum contractual commitments related to communication tower obligations, certain 5G Network Deployment commitments, obligations under the NSA with AT&T and the MNSA with T-Mobile, certain wireless device purchases and marketing obligations, radios, software and integration services and satellite related and other obligations. |
Summary of Wireless Spectrum Licenses | Carrying Build-Out Deadlines Expiration Amount Interim Final Date (In thousands) Owned: DBS Licenses (1) $ 677,409 700 MHz Licenses (2) 711,871 June 14, 2025 (3) June 2033 AWS-4 Licenses (2) 1,940,000 June 14, 2025 (3) June 2033 H Block Licenses (2) 1,671,506 June 14, 2025 (4) June 2033 600 MHz Licenses 6,213,335 June 14, 2025 (5) June 2029 MVDDS Licenses (1) 24,000 July 2024 LMDS Licenses (1) — September 2028 28 GHz Licenses 2,883 October 2, 2029 (6) October 2029 24 GHz Licenses 11,772 December 11, 2029 (6) December 2029 37 GHz, 39 GHz and 47 GHz Licenses 202,533 June 4, 2030 (6) June 2030 3550-3650 MHz Licenses 912,939 March 12, 2031 (6) March 2031 3.7-3.98 GHz Licenses 2,969 July 23, 2029 (6) July 23, 2033 (6) July 2036 3.45–3.55 GHz Licenses 7,327,989 May 4, 2026 (6) May 4, 2030 (6) May 2037 1695-1710 MHz, 1755-1780 MHz, and 2155-2180 MHz (2) 972 March 2026 AWS-3 (8) 5,618,930 October 2025 (7) October 2025 (7) Subtotal 25,319,108 Noncontrolling Investments: SNR (9) 4,271,459 October 2025 (7) October 2025 (7) Capitalized Interest (10) 8,523,682 Total as of December 31, 2023 $ 38,114,249 (1) The build-out deadlines for these licenses have been met. (2) The interim build-out deadlines for these licenses are in the past. (3) In a July 14, 2023 filing to the FCC, we certified that we were offering 5G broadband service to at least 70% of the United States population as of June 14, 2023, and certified to meeting other FCC related commitments. As a result of us providing 5G broadband service to over 50% of the U.S. population by June 14, 2023, the final build-out deadlines have been extended automatically to June 14, 2025. For these licenses, we must offer 5G broadband service to at least 70% of the population in each Economic Area (which is a service area established by the FCC). On September 29, 2023, the FCC confirmed we have met all of our June 14, 2023 band-specific 5G deployment commitments, and two of our three nationwide 5G commitments. The single remaining 5G commitment, that at least 70% of the U.S. population has access to average download speeds equal to 35 Mbps, will be confirmed using the drive test methodology agreed to and approved by the FCC. We have six months from September 29, 2023 to complete this drive test. (4) In a July 14, 2023 filing to the FCC, we certified that we were offering 5G broadband service to at least 70% of the United States population as of June 14, 2023, and certified to meeting other FCC related commitments. As a result of us providing 5G broadband service to over 50% of the U.S. population by June 14, 2023, the final build-out deadlines have been extended automatically to June 14, 2025. For these licenses, we must offer 5G broadband service to at least 75% of the population in each Economic Area (which is a service area established by the FCC). On September 29, 2023, the FCC confirmed we have met all of our June 14, 2023 band-specific 5G deployment commitments, and two of our three nationwide 5G commitments. The single remaining 5G commitment, that at least 70% of the U.S. population has access to average download speeds equal to 35 Mbps, will be confirmed using the drive test methodology agreed to and approved by the FCC. We have six months from September 29, 2023 to complete this drive test. (5) For these licenses, we must offer 5G broadband service to at least 75% of the population in each Partial Economic Area (which is a service area established by the FCC) by this date. We have also acquired certain additional 600 MHz licenses through private transactions. These licenses are currently subject to their original FCC buildout deadlines. (6) There are a variety of build-out options and associated build-out metrics associated with these licenses. (7) For these licenses, we must provide reliable signal coverage and offer service to at least 75% of the population of each license area by this date. The AWS-3 interim build-out requirement was not met and as a result, the AWS-3 expiration date and the AWS-3 final build-out requirement have been accelerated by two years (from October 2027 to October 2025) for each AWS-3 License area for which we did not meet the requirement. (8) On October 12, 2023 , the FCC consented to the sale of Northstar Manager’s ownership interests in Northstar Spectrum, which we purchased for a total of approximately $109 million. This purchase resulted in the elimination of all of our noncontrolling investment as it related to Northstar Spectrum as of the purchase date and we continue to consolidate the Northstar Entities as wholly-owned subsidiaries . (9) Subsequent to December 31, 2023, the FCC consented to the sale of SNR Wireless Management’s ownership interests in SNR HoldCo, which was purchased by our direct wholly-owned subsidiary EchoStar SNR HoldCo LLC for a total of approximately $442 million on February 16, 2024. This purchase resulted in the elimination of all of our redeemable noncontrolling interest as it related to SNR HoldCo as of the purchase date and we continue to consolidate the SNR Entities as wholly-owned subsidiaries. (10) See Note 2 for further information. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting | |
Schedule of total assets, revenue and operating income, and purchases of property and equipment, net of refunds by segment | As of December 31, 2023 2022 (In thousands) Total assets: Pay-TV $ 49,437,958 $ 46,295,495 Retail Wireless 777,957 2,798,561 5G Network Deployment (1) 46,793,378 43,462,442 Broadband and Satellite Services 5,811,553 6,254,050 Eliminations (1) (45,711,952) (40,062,267) Total assets $ 57,108,894 $ 58,748,281 (1) The increase primarily resulted from intercompany advances for capital expenditures related to our 5G Network Deployment. 5G Network Broadband and All Other & Consolidated Pay-TV Retail Wireless Deployment Satellite Services Eliminations Total (In thousands) Year Ended December 31, 2023 Total revenue $ 11,571,159 3,692,372 $ 91,928 $ 1,755,559 $ (95,420) $ 17,015,598 Depreciation and amortization 381,292 221,968 620,685 419,262 (45,284) 1,597,923 Operating income (loss) 2,699,810 (643,184) (1,881,369) (458,609) 5,443 (277,909) Interest income 2,604,599 27 3,041 105,730 (2,506,023) 207,374 Interest expense, net of amounts capitalized (1,290,099) (64,565) (1,186,468) (55,670) 2,506,445 (90,357) Other, net 74,114 (1,793,387) (22,603) (29,287) 371 (1,770,792) Income tax (provision) benefit, net (578,739) 201,091 749,311 (74,803) — 296,860 Net income (loss) 3,509,685 (2,300,018) (2,338,088) (512,639) 6,236 (1,634,824) Year Ended December 31, 2022 Total revenue $ 12,505,392 $ 4,135,129 $ 65,768 $ 1,998,093 $ (70,136) $ 18,634,246 Depreciation and amortization 428,471 177,914 131,566 462,748 (25,804) 1,174,895 Operating income (loss) 2,933,898 (77,264) (810,968) 181,615 5,557 2,232,838 Interest income 1,872,645 5 — 50,900 (1,830,310) 93,240 Interest expense, net of amounts capitalized (1,036,829) (49,123) (766,703) (57,169) 1,830,607 (79,217) Other, net 1,264 1,012,147 25,571 49,846 (387) 1,088,441 Income tax (provision) benefit, net (911,955) (219,720) 399,939 (66,674) — (798,410) Net income (loss) 2,859,023 666,045 (1,152,161) 158,518 5,467 2,536,892 Year Ended December 31, 2021 Total revenue $ 12,928,707 $ 4,897,205 $ 73,889 $ 1,985,720 $ (66,843) $ 19,818,678 Depreciation and amortization 538,836 176,833 23,005 496,361 (21,089) 1,213,946 Operating income (loss) 3,075,579 343,785 (216,330) 209,042 10,328 3,422,404 Interest income 1,346,502 6 — 22,801 (1,335,406) 33,903 Interest expense, net of amounts capitalized (819,510) (1,309) (530,525) (95,512) 1,335,705 (111,151) Other, net (2,917) 26,695 (3,221) (15,951) 110 4,716 Income tax (provision) benefit, net (853,363) (95,982) 186,534 (65,626) — (828,437) Net income (loss) 2,746,291 273,195 (563,542) 54,754 10,737 2,521,435 Broadband 5G Network and Satellite Pay-TV Retail Wireless Deployment Services Eliminations Total (In thousands) Year Ended December 31, 2023 Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) $ 242,736 $ — $ 3,748,624 $ 233,423 $ — $ 4,224,783 Year Ended December 31, 2022 Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) $ 131,093 $ — $ 3,580,518 $ 325,891 $ (2,721) $ 4,034,781 Year Ended December 31, 2021 Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) $ 173,485 $ — $ 1,790,042 $ 438,430 $ (4,760) $ 2,397,197 |
Schedule of revenue by geographical region | For the Years Ended December 31, Revenue: 2023 2022 2021 (In thousands) North America $ 16,670,377 $ 18,244,417 $ 19,479,649 Foreign 345,221 389,829 339,029 Total revenue $ 17,015,598 $ 18,634,246 $ 19,818,678 |
Schedule of long-lived assets by geographic region and revenue from external customers disaggregated by major revenue source | As of December 31, Long-lived assets: 2023 2022 (In thousands) North America $ 50,965,318 $ 47,829,433 Foreign 234,944 294,962 Total long-lived assets $ 51,200,262 $ 48,124,395 For the Years Ended December 31, Category: 2023 2022 2021 (In thousands) Pay-TV subscriber and related revenue $ 11,385,961 $ 12,360,601 $ 12,787,485 Retail wireless services and related revenue 3,337,240 3,653,909 4,142,883 Broadband and satellite services and other revenue 1,443,616 1,611,069 1,702,288 Pay-TV equipment sales and other revenue 185,198 144,791 141,222 Retail wireless equipment sales and other revenue 355,132 481,220 754,322 5G network deployment equipment sales and other revenue 91,928 65,768 73,889 Broadband equipment and other revenue 311,943 387,024 283,432 Eliminations (95,420) (70,136) (66,843) Total $ 17,015,598 $ 18,634,246 $ 19,818,678 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Revenue Recognition | |
Summary of valuation and qualifying accounts | For the Years Ended December 31, 2023 2022 2021 (In thousands) Balance at beginning of period $ 59,790 $ 53,122 $ 87,665 Current period provision for expected credit losses 101,387 112,575 76,674 Write-offs charged against allowance (87,113) (109,856) (111,463) Acquisitions — 78 92 Foreign currency translation 326 3,871 154 Balance at end of period $ 74,390 $ 59,790 $ 53,122 |
Summary of contract asset and contract liability balances | As of December 31, December 31, 2023 2022 (In thousands) Contract assets $ 66,103 $ 73,435 As of December 31, December 31, 2023 2022 (In thousands) Contract liabilities $ 710,456 $ 802,823 |
Summary of activity in contract acquisition costs, net | For the Years Ended December 31, 2023 2022 2021 (In thousands) Balance at beginning of period $ 460,876 $ 555,614 $ 567,789 Additions 321,470 400,124 460,573 Amortization expense (431,181) (495,456) (471,571) Foreign currency translation 949 594 (1,177) Balance at end of period $ 352,114 $ 460,876 $ 555,614 |
Quarterly Financial Data (Una_2
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
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, 2023: Total revenue $ 4,387,666 $ 4,356,462 $ 4,108,874 $ 4,162,596 Operating income (loss) 353,338 252,228 (31,349) (852,126) Net income (loss) 272,845 232,692 (118,737) (2,021,624) Net income (loss) attributable to EchoStar 253,534 212,662 (138,371) (2,029,882) Basic net income (loss) per share attributable to EchoStar $ 0.94 0.79 (0.51) (7.48) Diluted net income (loss) per share attributable to EchoStar $ 0.82 0.69 (0.51) (7.48) Year ended December 31, 2022: Total revenue $ 4,820,832 $ 4,698,483 $ 4,581,914 $ 4,533,017 Operating income (loss) 594,440 738,535 472,349 427,514 Net income (loss) 537,242 550,094 448,110 1,001,446 Net income (loss) attributable to EchoStar 523,534 536,314 433,608 984,264 Basic net income (loss) per share attributable to EchoStar $ 1.93 $ 1.98 $ 1.61 $ 3.65 Diluted net income (loss) per share attributable to EchoStar $ 1.69 $ 1.74 $ 1.41 $ 3.21 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
TerreStar Solutions, Inc | |
Schedule of transactions with related party | For the Years Ended December 31, 2023 2022 2021 (In thousands) Revenue from TSI $ 1,930 $ 1,951 $ 1,924 As of December 31, 2023 2022 (In thousands) Amounts receivable from TSI $ — $ 485 |
Deluxe/EchoStar LLC | |
Schedule of transactions with related party | For the Years Ended December 31, 2023 2022 2021 (In thousands) Revenue from Deluxe $ 5,794 $ 5,334 $ 5,480 As of December 31, 2023 2022 (In thousands) Amounts receivable from Deluxe $ 1,247 $ 3,026 |
Broadband Connectivity Solutions (Restricted) Limited | |
Schedule of transactions with related party | For the Years Ended December 31, 2023 2022 2021 Revenue from BCS $ 3,426 $ 7,933 $ 8,278 As of December 31, 2023 2022 (In thousands) Amounts receivable from BCS $ 3,333 $ 5,062 |
Hughes Systique | |
Schedule of transactions with related party | For the Year Ended December 31, 2023 (In thousands) Purchases: Purchases from Hughes Systique $ 19,597 As of December 31, 2023 (In thousands) Amounts Payable: Amounts payable to Hughes Systique $ 1,704 |
NagraStar L.L.C. | |
Schedule of transactions with related party | For the Years Ended December 31, 2023 2022 2021 (In thousands) Purchases (including fees): Purchases from NagraStar $ 37,068 $ 43,416 $ 45,944 As of December 31, 2023 2022 (In thousands) Amounts Payable and Commitments: Amounts payable to NagraStar $ 9,821 $ 7,422 Commitments to NagraStar $ 1,727 $ 3,272 |
Organization and Business Act_2
Organization and Business Activities (Details) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | 192 Months Ended | |||||||||||||
Feb. 16, 2024 USD ($) | Oct. 12, 2023 USD ($) | Sep. 29, 2023 item | Sep. 29, 2023 item | Sep. 29, 2023 item | Sep. 29, 2023 item person | Jun. 14, 2023 person | Jun. 14, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2023 USD ($) item segment $ / shares | Dec. 31, 2022 USD ($) $ / shares | Dec. 31, 2021 USD ($) | Dec. 31, 2023 USD ($) item $ / shares | Nov. 30, 2024 USD ($) | Mar. 31, 2024 USD ($) | |
Spectrum Investments | ||||||||||||||||
Number of primary operating business segments | segment | 4 | |||||||||||||||
Number of Pay-TV subscribers | item | 8,526,000 | 8,526,000 | ||||||||||||||
Agreement Term | 6 months | |||||||||||||||
Number Of wireless subscribers | item | 7,378,000 | 7,378,000 | ||||||||||||||
Payment to customer | $ 30,000,000 | |||||||||||||||
Regulatory Authorizations | $ 38,114,249 | 38,114,249 | ||||||||||||||
Total debt and equity investments in subsidiaries | $ 10,000,000 | $ 10,000,000 | ||||||||||||||
Number of subscribers for broadband services | item | 1,004,000 | 1,004,000 | ||||||||||||||
Non-cash impairment charge | $ 761,099 | $ 711 | $ 245 | |||||||||||||
Number of nationwide 5G commitments that are met | item | 2 | 2 | 2 | 2 | ||||||||||||
Number of nationwide 5G commitments | item | 3 | 3 | 3 | 3 | ||||||||||||
Percentage of population for deploy 5G services | 73% | |||||||||||||||
Percentage of Population to Whom Five G Broadband Service is Provided | 50% | |||||||||||||||
Number of Americans nationwide for deployment of 5G services | 200,000,000 | 200 | 246,000,000 | |||||||||||||
cash and cash equivalents and marketable investment securities | 2,400,000 | $ 2,400,000 | ||||||||||||||
Outstanding debt | $ 1,980,000 | $ 951,000 | ||||||||||||||
Aggregate value | $ 438,000 | |||||||||||||||
Cost of services | 9,510,427 | $ 10,111,341 | $ 10,717,333 | |||||||||||||
Cyber Security | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Cost of services | 30,000 | |||||||||||||||
MHz 700 Licenses and AWS-4 Licenses | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Percentage of population for deploy 5G services in each Economic Area | 70% | |||||||||||||||
Percentage of Population to Whom Five G Broadband Service is Provided | 50% | |||||||||||||||
H Block Licenses | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Percentage of population for deploy 5G services | 70% | |||||||||||||||
Percentage of population for deploy 5G services in each Economic Area | 75% | |||||||||||||||
Percentage of Population to Whom Five G Broadband Service is Provided | 50% | |||||||||||||||
Capitalized interest on FCC authorizations | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Regulatory Authorizations | $ 9,000,000 | $ 9,000,000 | ||||||||||||||
Class A common stock | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | $ 0.001 | |||||||||||||
Class B common stock | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | 0.001 | $ 0.001 | 0.001 | |||||||||||||
Class C common stock | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | ||||||||||||||
Minimum | MHz 700 Licenses and AWS-4 Licenses | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Minimum percentage of population having access to average download speed | 70% | 70% | 70% | |||||||||||||
Sling TV Holding L.L.C. | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Number of Pay-TV subscribers | item | 2,055,000 | 2,055,000 | ||||||||||||||
EchoStar | Class A common stock | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | ||||||||||||||
Common Stock at a ratio | 0.350877 | |||||||||||||||
EchoStar | Class B common stock | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | ||||||||||||||
Northstar Spectrum | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Purchase of ownership interests | $ 109,000 | |||||||||||||||
Northstar Spectrum And SNR Holdco | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Total debt and equity investments in subsidiaries | $ 10,000,000 | $ 10,000,000 | ||||||||||||||
Purchase of ownership interests | 109,000 | |||||||||||||||
Northstar Spectrum And SNR Holdco | Subsequent event | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Purchase of ownership interests | $ 442,000 | |||||||||||||||
Northstar Spectrum And SNR Holdco | Northstar Spectrum | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Purchase of ownership interests | $ 109,000 | |||||||||||||||
DISH Network L.L.C. | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Number of Americans nationwide for deployment of 5G services | person | 250 | |||||||||||||||
DISH Network L.L.C. | Class A common stock | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||||||||||||||
DISH Network L.L.C. | Class B common stock | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | 0.01 | 0.01 | ||||||||||||||
DISH Network L.L.C. | Class C common stock | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Common stock par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||||||||||||||
Dish TV | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Number of Pay-TV subscribers | item | 6,471,000 | 6,471,000 | ||||||||||||||
Retail Wireless | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Payment to customer | $ 30,000,000 | |||||||||||||||
Regulatory Authorizations | $ 25,319,108 | $ 25,317,099 | $ 25,319,108 | |||||||||||||
Percentage of population for deploy 5G services | 20% | 70% | 20% | |||||||||||||
Retail Wireless | At least 50% by June 2023 | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Percentage of population for deploy 5G services | 50% | |||||||||||||||
Retail Wireless | Upto 70% by June 2023 | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Percentage of population for deploy 5G services | 70% | |||||||||||||||
Retail Wireless | Maximum | ||||||||||||||||
Spectrum Investments | ||||||||||||||||
Percentage of population for deploy 5G services | 70% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||
Oct. 12, 2023 | Dec. 30, 2020 | Mar. 31, 2021 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 16, 2024 | Dec. 31, 2020 | |
Accounting policy disclosures | ||||||||
Redeemable noncontrolling interests | $ 438,382 | $ 464,359 | ||||||
Aggregate value | $ 438,000 | |||||||
Amortization expense related to the programs | 431,181 | 495,456 | $ 471,571 | |||||
Total costs capitalized | $ 352,114 | 460,876 | 555,614 | $ 567,789 | ||||
Revenue, Practical Expedient, Financing Component [true false] | true | |||||||
Option to extend - Operating | true | |||||||
Option to terminate - Operating | true | |||||||
Derivative Financial Instruments | ||||||||
Total noncash impairment charge | $ 758,000 | |||||||
Impairment, Intangible Asset, Finite-Lived, Statement of Income or Comprehensive Income [Extensible Enumeration] | Impairment of Long-Lived Assets Held-for-use | |||||||
Impairments charges | 0 | 0 | ||||||
Impairment of Long-Lived Assets | ||||||||
Impairment of long-lived assets | $ 761,099 | 711 | 245 | |||||
Long-Term Deferred Revenue, Distribution and Carriage Payments | ||||||||
Deferred upfront payment, amortization period | 10 years | |||||||
Convertible debt reclassified per ASU 2020-06 | 1,051,344 | |||||||
Deferred taxes | $ 5,014,309 | 5,354,756 | ||||||
Advertising expenses | 868,000 | 816,000 | 725,000 | |||||
Research and Development | ||||||||
Research and development cost | $ 110,000 | 110,000 | 91,000 | |||||
ASU 2020-06 | ||||||||
Long-Term Deferred Revenue, Distribution and Carriage Payments | ||||||||
Convertible debt reclassified per ASU 2020-06 | $ 1,051,000 | |||||||
Adjustments to Additional Paid in Capital, Equity Component of Convertible Debt | 246,000 | |||||||
Deferred taxes | $ 245,778 | |||||||
Accounting Standards Update and Change in Accounting Principle [Abstract] | ||||||||
Adjustments to Additional Paid in Capital, Equity Component of Convertible Debt | $ 246,000 | |||||||
Class B common stock | Northstar Manager LLC | ||||||||
Variable Interest Entity | ||||||||
Equity Method Investment, Ownership Percentage | 3% | |||||||
Minimum | ||||||||
Accounting policy disclosures | ||||||||
Depreciable Life | 1 year | |||||||
Useful life | 2 years | |||||||
Impairment of Long-Lived Assets | ||||||||
Useful life | 2 years | |||||||
Business Combinations | ||||||||
Acquired intangible assets, average finite useful life | 1 year | |||||||
Variable Interest Entity | ||||||||
Option to extend period - Operating | 1 year | |||||||
Maximum | ||||||||
Accounting policy disclosures | ||||||||
Depreciable Life | 40 years | |||||||
Option to terminate period - Operating | 1 year | |||||||
Useful life | 20 years | |||||||
Impairment of Long-Lived Assets | ||||||||
Useful life | 20 years | |||||||
Business Combinations | ||||||||
Acquired intangible assets, average finite useful life | 20 years | |||||||
Variable Interest Entity | ||||||||
Option to extend period - Operating | 13 years | |||||||
Northstar | ||||||||
Accounting policy disclosures | ||||||||
Aggregate value | 96,000 | |||||||
SNR HoldCo | ||||||||
Accounting policy disclosures | ||||||||
Purchase of ownership interests | $ 442,000 | |||||||
Aggregate value | 438,000 | $ 368,000 | ||||||
Northstar Manager LLC | Class B common stock | ||||||||
Variable Interest Entity | ||||||||
Ownership percentage | 97% | |||||||
Payment For Purchase Agreement | $ 312,000 | |||||||
Northstar | ||||||||
Accounting policy disclosures | ||||||||
Purchase of ownership interests | $ 109,000 | |||||||
Boost Mobile Acquisition | ||||||||
Accounting policy disclosures | ||||||||
Spectrum purchase option fair value | $ 713,000 | |||||||
Boost infinite | ||||||||
Accounting policy disclosures | ||||||||
Devices and other equipment made under an installment plan | 36 months |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Goodwill [Line Items] | ||
Goodwill, Beginning Balance | $ 757,508 | $ 736,103 |
Goodwill from India JV formation, net of foreign currency translation | 21,405 | |
Impairment of goodwill | (757,508) | |
Goodwill, Ending Balance | 757,508 | |
Pay-TV | ||
Goodwill [Line Items] | ||
Goodwill, Beginning Balance | 6,457 | 6,457 |
Impairment of goodwill | (6,457) | |
Goodwill, Ending Balance | 6,457 | |
Retail Wireless | ||
Goodwill [Line Items] | ||
Goodwill, Beginning Balance | 98,657 | 98,657 |
Impairment of goodwill | (98,657) | |
Goodwill, Ending Balance | 98,657 | |
5G Network Deployment | ||
Goodwill [Line Items] | ||
Goodwill, Beginning Balance | 119,903 | 119,903 |
Impairment of goodwill | (119,903) | |
Goodwill, Ending Balance | 119,903 | |
Broadband and satellite services | ||
Goodwill [Line Items] | ||
Goodwill, Beginning Balance | 532,491 | 511,086 |
Goodwill from India JV formation, net of foreign currency translation | 21,405 | |
Impairment of goodwill | $ (532,491) | |
Goodwill, Ending Balance | $ 532,491 |
Basic and Diluted Net Income _3
Basic and Diluted Net Income (Loss) Per Share (EPS Amounts for Basic and Diluted Weighted-Average Shares Outstanding) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Basic and Diluted Net Income (Loss) Per Share | |||||||||||
Net income (loss) | $ (2,021,624) | $ (118,737) | $ 232,692 | $ 272,845 | $ 1,001,446 | $ 448,110 | $ 550,094 | $ 537,242 | $ (1,634,824) | $ 2,536,892 | $ 2,521,435 |
Less: Net income (loss) attributable to noncontrolling interests, net of tax | 67,233 | 59,172 | 35,150 | ||||||||
Net income (loss) attributable to EchoStar | $ (2,029,882) | $ (138,371) | $ 212,662 | $ 253,534 | $ 984,264 | $ 433,608 | $ 536,314 | $ 523,534 | (1,702,057) | 2,477,720 | 2,486,285 |
Net income (loss) attributable to EchoStar - Diluted | $ (1,702,057) | $ 2,477,720 | $ 2,486,285 | ||||||||
Weighted-average common shares outstanding - Class A and B common stock: | |||||||||||
Basic (in shares) | 270,842 | 270,102 | 275,117 | ||||||||
Dilutive impact of Convertible Notes (2) (in shares) | 37,550 | 37,550 | |||||||||
Dilutive impact of stock awards outstanding (2) (in shares) | 81 | 455 | |||||||||
Diluted (in shares) | 270,842 | 307,733 | 313,122 | ||||||||
Earnings per share - Class A and B common stock: | |||||||||||
Basic net income (loss) per share attributable to EchoStar (In dollar per share) | $ (7.48) | $ (0.51) | $ 0.79 | $ 0.94 | $ 3.65 | $ 1.61 | $ 1.98 | $ 1.93 | $ (6.28) | $ 9.17 | $ 9.04 |
Diluted net income (loss) per share attributable to DISH Network (in dollars per share) | $ (7.48) | $ (0.51) | $ 0.69 | $ 0.82 | $ 3.21 | $ 1.41 | $ 1.74 | $ 1.69 | $ (6.28) | $ 8.05 | $ 7.94 |
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, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 31,688 | 31,504 | 28,940 |
Class A common stock | |||
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 38,000 | ||
Minimum | Class A common stock | |||
Antidilutive securities excluded from computation of earnings per share | |||
Exercise price of warrants | $ 185.75 | ||
Maximum | Class A common stock | |||
Antidilutive securities excluded from computation of earnings per share | |||
Exercise price of warrants | $ 245.33 | ||
Anti-dilutive stock awards | |||
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 10,906 | 9,680 | 7,426 |
Performance/market based options | |||
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 4,631 | 5,285 | 4,896 |
Restricted Performance Units/Awards | |||
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 388 | 467 | |
Common stock warrants | |||
Antidilutive securities excluded from computation of earnings per share | |||
Anti-dilutive securities excluded from computation of earnings per share | 16,151 | 16,151 | 16,151 |
Supplemental Data - Statement_3
Supplemental Data - Statements of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Supplemental Data - Statements of Cash Flows | |||
Cash paid for interest (including capitalized interest) | $ 1,400,524 | $ 1,144,915 | $ 906,925 |
Cash received for interest | 163,729 | 30,264 | 11,888 |
Cash paid for income taxes, net of refunds | 15,634 | 98,930 | 98,456 |
Capitalized interest | 1,335,129 | 1,084,880 | 858,605 |
Employee benefits paid in Class A common stock | 20,101 | 33,389 | 37,446 |
Convertible debt reclassified per ASU 2020-06 | 1,051,344 | ||
Deferred taxes reclassified per ASU 2020-06 | 245,778 | ||
Vendor financing | 87,343 | 108,048 | 26,627 |
FCC licenses reclassification | 122,657 | 915,449 | |
Accrued capital expenditures | 238,231 | 403,134 | 463,092 |
Asset retirement obligation | $ 74,189 | 122,390 | $ 50,765 |
Revaluation of contingent liabilities | 47,916 | ||
Non-cash net assets received as part of the India JV formation | $ 36,701 |
Other Comprehensive Income (L_3
Other Comprehensive Income (Loss) - Other comprehensive income (loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other comprehensive income (loss), before tax amount | |||
Other comprehensive income (loss), before tax amount | $ 15,723 | $ 36,913 | $ (23,609) |
Other comprehensive income (loss), tax (expense) benefit | |||
Other comprehensive income (loss), tax (expense) benefit | (512) | (359) | 519 |
Other comprehensive income (loss): | |||
Total other comprehensive income (loss), net of tax | 15,211 | 36,554 | (23,090) |
Foreign Currency Translation Adjustment | |||
Other comprehensive income (loss), before tax amount | |||
Other comprehensive income (loss), before reclassifications, before tax | 15,479 | 33,742 | (17,885) |
Other comprehensive income (loss), tax (expense) benefit | |||
Other comprehensive income (loss), before reclassifications, tax (expense) benefit | (503) | 710 | (482) |
Other comprehensive income (loss): | |||
Other comprehensive income (loss), before reclassifications, net of tax | 14,976 | 34,452 | (18,367) |
Unrealized/Recognized Gains (Losses) | |||
Other comprehensive income (loss), before tax amount | |||
Other comprehensive income (loss), before reclassifications, before tax | (306) | 536 | (694) |
Amounts reclassified from accumulated other comprehensive income (loss), before tax | 550 | (25) | (25) |
Other comprehensive income (loss), tax (expense) benefit | |||
Other comprehensive income (loss), before reclassifications, tax (expense) benefit | 65 | (1,071) | 998 |
Amounts reclassified from accumulated other comprehensive income (loss), tax (expense) benefit | (74) | 2 | 3 |
Other comprehensive income (loss): | |||
Other comprehensive income (loss), before reclassifications, net of tax | (241) | (535) | 304 |
Amounts reclassified from accumulated other comprehensive income (loss), net of tax | $ 476 | (23) | (22) |
Other | |||
Other comprehensive income (loss), before tax amount | |||
Other comprehensive income (loss), before reclassifications, before tax | 2,660 | (5,005) | |
Other comprehensive income (loss): | |||
Other comprehensive income (loss), before reclassifications, net of tax | $ 2,660 | $ (5,005) |
Other Comprehensive Income (L_4
Other Comprehensive Income (Loss) - Accumulated other comprehensive income (loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Accumulated Other Comprehensive Income (Loss) | ||
Accumulated other comprehensive income (loss), balance at beginning of period | $ (175,267) | $ (211,821) |
Foreign currency translation adjustments | 14,976 | 34,452 |
Other comprehensive income (loss) before reclassification | (241) | 2,125 |
Amounts reclassified from accumulated other comprehensive income (loss) | 476 | (23) |
Accumulated other comprehensive income (loss), balance at end of period | (160,056) | (175,267) |
Foreign Currency Translation Adjustment | ||
Accumulated Other Comprehensive Income (Loss) | ||
Accumulated other comprehensive income (loss), balance at beginning of period | (175,047) | (209,499) |
Foreign currency translation adjustments | 14,878 | 34,452 |
Accumulated other comprehensive income (loss), balance at end of period | (160,169) | (175,047) |
Unrealized/Recognized Gains (Losses) | ||
Accumulated Other Comprehensive Income (Loss) | ||
Accumulated other comprehensive income (loss), balance at beginning of period | (122) | 436 |
Other comprehensive income (loss) before reclassification | (241) | (535) |
Amounts reclassified from accumulated other comprehensive income (loss) | 476 | (23) |
Accumulated other comprehensive income (loss), balance at end of period | 113 | (122) |
Other | ||
Accumulated Other Comprehensive Income (Loss) | ||
Accumulated other comprehensive income (loss), balance at beginning of period | (98) | (2,758) |
Foreign currency translation adjustments | $ 98 | |
Other comprehensive income (loss) before reclassification | 2,660 | |
Accumulated other comprehensive income (loss), balance at end of period | $ (98) |
Marketable Investment Securit_3
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Marketable investment securities, restricted cash and other investment securities | ||
Total current marketable investment securities | $ 623,044 | $ 1,809,898 |
Total marketable investment securities | 650,884 | 1,862,642 |
Restricted cash and cash equivalents | 90,225 | 64,267 |
Equity method investments | 169,038 | 213,178 |
Cost method investments | 106,134 | 142,057 |
Fair value method and other debt investments | 39,198 | 169,670 |
Total other investment securities | 314,370 | 524,905 |
Total marketable investment securities, restricted cash and cash equivalents, and other investment securities | 1,055,479 | 2,451,814 |
Current marketable investment securities - strategic - available-for-sale | ||
Marketable investment securities, restricted cash and other investment securities | ||
Total current marketable investment securities | 144 | 144 |
Current marketable investment securities - strategic - trading/equity | ||
Marketable investment securities, restricted cash and other investment securities | ||
Total current marketable investment securities | 176,205 | 119,445 |
Other investment securities | ||
Marketable investment securities, restricted cash and other investment securities | ||
Total current marketable investment securities | 446,695 | 1,690,309 |
Restricted marketable investment securities | ||
Marketable investment securities, restricted cash and other investment securities | ||
Total marketable investment securities | $ 27,840 | $ 52,744 |
Marketable Investment Securit_4
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended |
Dec. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | |
Other investment securities, net: | ||
Loss on Derivative | $ 1,601 | $ 1,793 |
Derivative, Loss, Statement of Income or Comprehensive Income [Extensible Enumeration] | Other Nonoperating Income (Expense) | |
Prepayment Fees | $ 100 | $ 100 |
NagraStar | ||
Other investment securities, net: | ||
Ownership interest (as a percent) | 50% | 50% |
Invidi Technologies Corporation [Member] | ||
Other investment securities, net: | ||
Ownership interest (as a percent) | 35% | 35% |
TerreStar Solutions, Inc. [Member] | ||
Other investment securities, net: | ||
Ownership interest (as a percent) | 40% | 40% |
Deluxe/EchoStar LLC | ||
Other investment securities, net: | ||
Ownership interest (as a percent) | 50% | 50% |
Broadband connectivity solutions | ||
Other investment securities, net: | ||
Ownership interest (as a percent) | 20% | 20% |
Commercial paper | Maximum | ||
Other investment securities, net: | ||
Debt term of Maturity | 365 days | |
Corporate securities | Maximum | ||
Other investment securities, net: | ||
Debt term of Maturity | 18 months |
Marketable Investment Securit_5
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 | Jun. 30, 2023 | Dec. 31, 2023 | Oct. 25, 2023 | Oct. 15, 2023 | Dec. 31, 2022 |
Fair value of marketable securities | |||||
Debt securities | $ 475,000 | ||||
Derivative's fair value | $ 0 | $ 1,693,000 | |||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets, Noncurrent | Other Assets, Noncurrent | |||
The Amendment | |||||
Fair value of marketable securities | |||||
Upfront payment | $ 100,000 | $ 100,000 | |||
Fair value measurements on recurring basis | |||||
Fair value of marketable securities | |||||
Cash Equivalents (including restricted) | $ 1,692,849 | $ 2,216,929 | |||
Total | 650,884 | 1,862,642 | |||
Fair value measurements on recurring basis | U.S. Treasury and agency securities | |||||
Fair value of marketable securities | |||||
Total | 65,172 | 33,807 | |||
Fair value measurements on recurring basis | Commercial paper | |||||
Fair value of marketable securities | |||||
Total | 290,398 | 1,384,251 | |||
Fair value measurements on recurring basis | Corporate securities | |||||
Fair value of marketable securities | |||||
Total | 114,265 | 316,939 | |||
Fair value measurements on recurring basis | Other (including restricted) | |||||
Fair value of marketable securities | |||||
Total | 4,844 | 8,200 | |||
Fair value measurements on recurring basis | Equity securities | |||||
Fair value of marketable securities | |||||
Equity securities | 176,205 | 119,445 | |||
Fair value measurements on recurring basis | Level 1 | |||||
Fair value of marketable securities | |||||
Cash Equivalents (including restricted) | 573,504 | 174,707 | |||
Total | 231,653 | 148,449 | |||
Fair value measurements on recurring basis | Level 1 | U.S. Treasury and agency securities | |||||
Fair value of marketable securities | |||||
Total | 65,172 | 33,807 | |||
Fair value measurements on recurring basis | Level 1 | Other (including restricted) | |||||
Fair value of marketable securities | |||||
Total | 4,985 | ||||
Fair value measurements on recurring basis | Level 1 | Equity securities | |||||
Fair value of marketable securities | |||||
Equity securities | 166,481 | 109,657 | |||
Fair value measurements on recurring basis | Level 2 | |||||
Fair value of marketable securities | |||||
Cash Equivalents (including restricted) | 1,119,345 | 2,042,222 | |||
Total | 419,087 | 1,714,049 | |||
Fair value measurements on recurring basis | Level 2 | Commercial paper | |||||
Fair value of marketable securities | |||||
Total | 290,398 | 1,384,251 | |||
Fair value measurements on recurring basis | Level 2 | Corporate securities | |||||
Fair value of marketable securities | |||||
Total | 114,265 | 316,939 | |||
Fair value measurements on recurring basis | Level 2 | Other (including restricted) | |||||
Fair value of marketable securities | |||||
Total | 4,700 | 3,071 | |||
Fair value measurements on recurring basis | Level 2 | Equity securities | |||||
Fair value of marketable securities | |||||
Equity securities | 9,724 | 9,788 | |||
Fair value measurements on recurring basis | Level 3 | |||||
Fair value of marketable securities | |||||
Total | 144 | 144 | |||
Fair value measurements on recurring basis | Level 3 | Other (including restricted) | |||||
Fair value of marketable securities | |||||
Total | 144 | $ 144 | |||
Boost Mobile Acquisition | |||||
Fair value of marketable securities | |||||
Spectrum purchase option fair value | $ 713,000 | ||||
Spectrum Purchase Agreement | |||||
Fair value of marketable securities | |||||
Asset Purchase Agreement, Deadline to Divest Licenses, Extension Period | 60 days |
Marketable Investment Securit_6
Marketable Investment Securities, Restricted Cash and Cash Equivalents, and Other Investment Securities - Other Income Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Income (Expense) | |||
Marketable and non-marketable investment securities - realized and unrealized gains (losses) | $ 13,664 | $ 73,293 | $ 66,394 |
Derivative instruments - net realized and/or unrealized gains (losses) | (1,793,387) | 1,015,387 | (13,000) |
Other investment securities - other-than-temporary impairments | (39,800) | (55,266) | |
Gains (losses) related to early redemption of debt | 73,024 | (922) | (3,587) |
Foreign currency transaction gains (losses) | 5,677 | 5,235 | (12,612) |
Equity in earnings (losses) of affiliates | (8,098) | (3,087) | (6,221) |
Other | (21,872) | (1,465) | 29,008 |
Total | (1,770,792) | $ 1,088,441 | $ 4,716 |
Loss on investment | $ 24,000 | ||
5 7/8% Senior Notes due 2024 | |||
Other Income (Expense) | |||
Interest rate (as a percent) | 5.875% | ||
Broadband connectivity solutions | |||
Other Income (Expense) | |||
Impairment | $ 33,000 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Inventory | ||
Finished goods | $ 512,894 | $ 521,600 |
Work-in-process and service repairs | 68,463 | 35,759 |
Consignment | 56,360 | 14,792 |
Raw materials | 27,452 | 53,828 |
Total inventory | $ 665,169 | $ 625,979 |
Property and Equipment and In_3
Property and Equipment and Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property and equipment | |||
Total property and equipment | $ 17,747,189 | $ 15,193,084 | |
Accumulated depreciation | (8,185,355) | (7,288,127) | |
Property and equipment, net | 9,561,834 | 7,904,957 | |
Non-cash impairment charge | $ 761,099 | 711 | $ 245 |
Minimum | |||
Property and equipment | |||
Depreciable Life | 1 year | ||
Maximum | |||
Property and equipment | |||
Depreciable Life | 40 years | ||
Equipment leased to customers | |||
Property and equipment | |||
Total property and equipment | $ 1,977,450 | 2,161,173 | |
Equipment leased to customers | Minimum | |||
Property and equipment | |||
Depreciable Life | 2 years | ||
Equipment leased to customers | Maximum | |||
Property and equipment | |||
Depreciable Life | 5 years | ||
Satellites | |||
Property and equipment | |||
Total property and equipment | $ 4,168,766 | 3,527,788 | |
Satellites | Minimum | |||
Property and equipment | |||
Depreciable Life | 5 years | ||
Satellites | Maximum | |||
Property and equipment | |||
Depreciable Life | 15 years | ||
Satellites acquired under finance lease agreements | |||
Property and equipment | |||
Total property and equipment | $ 712,832 | 705,090 | |
Depreciable Life | 15 years | ||
Furniture, fixtures, equipment and other | |||
Property and equipment | |||
Total property and equipment | $ 1,691,389 | 1,479,063 | |
Furniture, fixtures, equipment and other | Minimum | |||
Property and equipment | |||
Depreciable Life | 1 year | ||
Furniture, fixtures, equipment and other | Maximum | |||
Property and equipment | |||
Depreciable Life | 20 years | ||
5G Network Deployment | |||
Property and equipment | |||
Total property and equipment | $ 4,263,327 | 770,153 | |
5G Network Deployment | Minimum | |||
Property and equipment | |||
Depreciable Life | 3 years | ||
5G Network Deployment | Maximum | |||
Property and equipment | |||
Depreciable Life | 15 years | ||
Software and computer equipment | |||
Property and equipment | |||
Total property and equipment | $ 2,503,597 | 2,026,648 | |
Software and computer equipment | Minimum | |||
Property and equipment | |||
Depreciable Life | 2 years | ||
Software and computer equipment | Maximum | |||
Property and equipment | |||
Depreciable Life | 6 years | ||
Buildings and improvements | |||
Property and equipment | |||
Total property and equipment | $ 538,815 | 497,386 | |
Buildings and improvements | Minimum | |||
Property and equipment | |||
Depreciable Life | 1 year | ||
Buildings and improvements | Maximum | |||
Property and equipment | |||
Depreciable Life | 40 years | ||
Land | |||
Property and equipment | |||
Total property and equipment | $ 46,675 | 46,638 | |
Construction in progress | |||
Property and equipment | |||
Total property and equipment | 1,844,338 | 3,979,145 | |
Construction in progress | Pay-TV | |||
Property and equipment | |||
Total property and equipment | 162,055 | 36,936 | |
Construction in progress | 5G Network Deployment | |||
Property and equipment | |||
Total property and equipment | 1,639,945 | 3,133,687 | |
Construction in progress | Broadband and Satellite Services | |||
Property and equipment | |||
Total property and equipment | $ 42,338 | $ 808,522 |
Property and Equipment and In_4
Property and Equipment and Intangible Assets - Depreciation and Amortization (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Depreciation and amortization expense | |||
Depreciation and amortization | $ 1,597,923 | $ 1,174,895 | $ 1,213,946 |
Equipment leased to customers | |||
Depreciation and amortization expense | |||
Depreciation and amortization | 329,449 | 400,651 | 473,130 |
Satellites | |||
Depreciation and amortization expense | |||
Depreciation and amortization | 264,433 | 268,994 | 318,685 |
Buildings, furniture, fixtures, equipment and other | |||
Depreciation and amortization expense | |||
Depreciation and amortization | 144,722 | 98,762 | 96,658 |
5G Network Deployment equipment | |||
Depreciation and amortization expense | |||
Depreciation and amortization | 371,640 | 29,992 | 8,263 |
Software and computer equipment | |||
Depreciation and amortization expense | |||
Depreciation and amortization | 270,200 | 185,538 | 118,671 |
Intangible assets and other amortization expense | |||
Depreciation and amortization expense | |||
Depreciation and amortization | $ 217,479 | $ 190,958 | $ 198,539 |
Property and Equipment and In_5
Property and Equipment and Intangible Assets - Asset retirement obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Activity relating to our asset retirement obligations | ||
Balance at beginning of period | $ 183,135 | $ 51,551 |
Liabilities incurred | 74,189 | 124,822 |
Accretion expense | 20,963 | 6,762 |
Balance at end of period | 278,287 | 183,135 |
Total | 278,287 | 183,135 |
Corresponding assets, net of accumulated depreciation, related to asset retirement obligations | 217,000 | 162,000 |
Other long-term liabilities | ||
Activity relating to our asset retirement obligations | ||
Balance at beginning of period | 183,135 | |
Balance at end of period | 278,287 | 183,135 |
Total | $ 278,287 | $ 183,135 |
Property and Equipment and In_6
Property and Equipment and Intangible Assets - Additional Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 USD ($) item | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Property and equipment | |||
Impairment of long-lived assets | $ | $ 761,099 | $ 711 | $ 245 |
Number of other satellites to be relocated in the event of failure or loss of any satellite | 1 | ||
Pay-TV Satellites | |||
Property and equipment | |||
Number of satellites utilized in geostationary orbit approximately 22,300 miles above the equator | 9 | ||
Owned satellites | 7 | ||
Number of satellites leased | 2 | ||
Broadband and Satellite Services | |||
Property and equipment | |||
Number of satellites utilized in geostationary orbit approximately 22,300 miles above the equator | 9 | ||
Owned satellites | 6 | ||
Number of satellites leased | 3 |
Property and Equipment and In_7
Property and Equipment and Intangible Assets - Estimated Future Amortization (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Intangible Assets | |||
Intangible Assets | $ 1,224,358 | $ 1,224,362 | |
Accumulated Amortization | (1,051,466) | (868,573) | |
Amortization expense | 183,000 | 156,000 | $ 169,000 |
Impairment of goodwill | 757,508 | ||
Estimated future amortization of identifiable intangible assets | |||
2024 | 97,918 | ||
2025 | 15,812 | ||
2026 | 14,115 | ||
2027 | 12,851 | ||
2028 | 12,357 | ||
Thereafter | 19,617 | ||
Total | $ 172,670 | ||
Minimum | |||
Intangible Assets | |||
Useful life | 2 years | ||
Maximum | |||
Intangible Assets | |||
Useful life | 20 years | ||
Technology-based | |||
Intangible Assets | |||
Intangible Assets | $ 115,166 | 114,945 | |
Accumulated Amortization | (111,989) | (111,422) | |
Trademarks | |||
Intangible Assets | |||
Intangible Assets | 164,834 | 164,834 | |
Accumulated Amortization | (90,326) | (78,209) | |
Contract-based | |||
Intangible Assets | |||
Intangible Assets | 41,500 | 41,500 | |
Accumulated Amortization | (41,500) | (41,500) | |
Customer relationships | |||
Intangible Assets | |||
Intangible Assets | 902,858 | 903,083 | |
Accumulated Amortization | $ (807,651) | $ (637,442) |
Property and Equipment and In_8
Property and Equipment and Intangible Assets - Goodwill (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Goodwill | ||
Goodwill | $ 757,508 | $ 736,103 |
Pay-TV | ||
Goodwill | ||
Goodwill | 6,457 | 6,457 |
Retail Wireless | ||
Goodwill | ||
Goodwill | 98,657 | |
5G Network Deployment equipment | ||
Goodwill | ||
Goodwill | 119,903 | |
Broadband and Satellite Services | ||
Goodwill | ||
Goodwill | $ 532,491 | $ 511,086 |
Property and Equipment and In_9
Property and Equipment and Intangible Assets - Regulatory Authorizations (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Indefinite-lived intangible assets | ||
Regulatory Authorizations | $ 38,114,249 | |
Wireless | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 25,319,108 | $ 25,317,099 |
Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 38,114,249 | 36,933,073 |
DBS Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 677,409 | |
DBS Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 677,409 | 677,409 |
700 MHz Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 711,871 | |
700 MHz Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 711,871 | 711,871 |
MVDDS | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 24,000 | |
AWS-4 Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 1,940,000 | |
AWS-4 Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 1,940,000 | 1,940,000 |
H Block Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 1,671,506 | |
H Block Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 1,671,506 | 1,671,506 |
600 MHz Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 6,213,335 | |
600 MHz Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 6,213,335 | 6,212,579 |
MVDDS Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 24,000 | 24,000 |
28 GHz Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 2,883 | |
28 GHz Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 2,883 | 2,883 |
24 GHz Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 11,772 | |
24 GHz Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 11,772 | 11,772 |
37 Ghz, 39 Ghz and 47 Ghz Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 202,533 | |
37 Ghz, 39 Ghz and 47 Ghz Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 202,533 | 202,533 |
3550-3650 MHz Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 912,939 | |
3550-3650 MHz Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 912,939 | 912,939 |
3.7-3.98 GHz Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 2,969 | |
3.7-3.98 GHz Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 2,969 | 2,688 |
3.45-3.55 GHz Licenses | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 7,327,989 | |
3.45-3.55 GHz Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 7,327,989 | 7,327,989 |
1695-1710 MHz, 1755-1780 MHz, and 2155-2180 MHz | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 972 | |
1695-1710 MHz, 1755-1780 MHz, and 2155-2180 MHz | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 972 | |
AWS-3 Licenses | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 5,618,930 | 5,618,930 |
AWS-3 Licenses | Pay-TV and 5G Network Deployment Segments | SNR | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 4,271,459 | 4,271,459 |
Capitalized Interest | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | 9,000,000 | |
Capitalized Interest | Pay-TV and 5G Network Deployment Segments | ||
Indefinite-lived intangible assets | ||
Regulatory Authorizations | $ 8,523,682 | $ 7,344,515 |
Property and Equipment and I_10
Property and Equipment and Intangible Assets - Regulatory Authorizations (Broadband and Satellite Services Segment) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Indefinite-lived intangible assets | ||
Indefinite-Lived License Agreements | $ 38,114,249 | |
Broadband and Satellite Services [Member] | ||
Indefinite-lived intangible assets | ||
Indefinite-Lived License Agreements | 439,160 | $ 439,160 |
Broadband and Satellite Services [Member] | 95 W (EchoStar XXIV) | ||
Indefinite-lived intangible assets | ||
Indefinite-Lived License Agreements | 200,000 | 200,000 |
Broadband and Satellite Services [Member] | (EchoStar XVII) | ||
Indefinite-lived intangible assets | ||
Indefinite-Lived License Agreements | 200,000 | 200,000 |
Broadband and Satellite Services [Member] | Sirion-1 Filing | ||
Indefinite-lived intangible assets | ||
Indefinite-Lived License Agreements | $ 39,160 | $ 39,160 |
Property and Equipment and I_11
Property and Equipment and Intangible Assets - Regulatory authorizations with finite lives (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Indefinite-lived intangible assets | |||
Finite Lived Assets | $ 1,224,358 | $ 1,224,362 | |
Accumulated Amortization | (1,051,466) | (868,573) | |
Amortization expense | 183,000 | 156,000 | $ 169,000 |
Intangible Assets With Regulatory Authorizations | |||
Indefinite-lived intangible assets | |||
Finite Lived Assets | 58,061 | 55,317 | |
Accumulated Amortization | $ (38,490) | (31,946) | |
Useful life | 13 years | ||
Amortization expense | $ 5,000 | 4,000 | 4,000 |
Foreign currency translation adjustment | $ 1,000 | $ 2,000 | $ 1,000 |
Property and Equipment and I_12
Property and Equipment and Intangible Assets - Estimated future amortization of our identifiable intangible assets (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Indefinite-lived Intangible Assets [Line Items] | |
2024 | $ 97,918 |
2025 | 15,812 |
2026 | 14,115 |
2027 | 12,851 |
2028 | 12,357 |
Thereafter | 19,617 |
Total | 172,670 |
Intangible Assets With Regulatory Authorizations | |
Indefinite-lived Intangible Assets [Line Items] | |
2024 | 5,607 |
2025 | 4,055 |
2026 | 4,055 |
2027 | 1,880 |
2028 | 589 |
Thereafter | 3,385 |
Total | $ 19,571 |
Leases (Details)
Leases (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Option to extend - Operating | true |
Option to extend - Finance | true |
Option to terminate - Operating | true |
Option to terminate - Finance | true |
Annual Lease payment | $ 170,417 |
Minimum | |
Option to extend period - Operating | 1 year |
Maximum | |
Option to extend period - Operating | 13 years |
Option to extend period - Finance | 13 years |
Option to terminate period - Operating | 1 year |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases | |||
Operating lease cost | $ 538,805 | $ 355,871 | $ 111,336 |
Short-term lease cost | 4,765 | 4,914 | 4,800 |
Finance lease cost: Amortization of right-of-use assets | 102,724 | 57,942 | 95,237 |
Finance lease cost: Interest on lease liabilities | 14,090 | 12,151 | 14,741 |
Total finance lease cost | 116,814 | 70,093 | 109,978 |
Total lease costs | $ 660,384 | $ 430,878 | $ 226,114 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases | |||
Operating cash flows from operating leases | $ 367,438 | $ 186,372 | $ 93,227 |
Operating cash flows from finance leases | 13,400 | 11,060 | 12,917 |
Financing cash flows from finance leases | 53,467 | 42,740 | 63,109 |
Right-of-use assets obtained in exchange for lease obligations: Operating leases | 753,935 | 1,402,357 | $ 1,489,637 |
Right-of-use assets obtained in exchange for lease obligations: Finance leases | $ 53,771 | $ 66,312 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Leases | ||
Operating lease assets | $ 3,065,448 | $ 2,823,834 |
Other current liabilities | $ 317,395 | $ 210,855 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Other Accrued Liabilities, Current | Other Accrued Liabilities, Current |
Operating lease liabilities | $ 3,121,307 | $ 2,808,774 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Operating lease liabilities | Operating lease liabilities |
Total | $ 3,438,702 | $ 3,019,629 |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | Accounts Payable, Current, Operating lease liabilities | Accounts Payable, Current, Operating lease liabilities |
Property and equipment, gross | $ 17,747,189 | $ 15,193,084 |
Accumulated depreciation | (8,185,355) | (7,288,127) |
Property and equipment, net | 9,561,834 | 7,904,957 |
Other current liabilities | $ 56,459 | $ 48,066 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Long-term Debt and Capital Lease Obligations, Current | Long-term Debt and Capital Lease Obligations, Current |
Other long-term liabilities | $ 67,199 | $ 75,287 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Long Term Debt And Finance Lease Obligations Net Of Current Portion | Long Term Debt And Finance Lease Obligations Net Of Current Portion |
Total | $ 123,658 | $ 123,353 |
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration] | Long-term Debt and Capital Lease Obligations, Current, Long Term Debt And Finance Lease Obligations Net Of Current Portion | Long-term Debt and Capital Lease Obligations, Current, Long Term Debt And Finance Lease Obligations Net Of Current Portion |
Operating Lease, Weighted Average Remaining Lease Term | 10 years 7 months 6 days | 11 years 9 months 18 days |
Finance Lease, Weighted Average Remaining Lease Term | 2 years 2 months 12 days | 2 years 8 months 12 days |
Operating Lease, Weighted Average Discount Rate, Percent | 9.50% | 7.20% |
Finance Lease, Weighted Average Discount Rate, Percent | 9.70% | 9.80% |
Reduction in operating lease asset | $ 227,000 | |
Reduction in operating lease liability | 227,000 | |
Property and equipment | ||
Leases | ||
Property and equipment, gross | 833,933 | $ 772,420 |
Accumulated depreciation | (520,344) | (425,696) |
Property and equipment, net | $ 313,589 | $ 346,724 |
Leases - Maturities of Lease Li
Leases - Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Maturities of lease liabilities: Operating lease | ||
2024 | $ 448,503 | |
2025 | 485,783 | |
2026 | 516,143 | |
2027 | 515,022 | |
2028 | 471,980 | |
Thereafter | 3,170,778 | |
Total lease payments | 5,608,209 | |
Less: Imputed interest | (2,169,507) | |
Total | 3,438,702 | $ 3,019,629 |
Less: Current portion | (317,395) | (210,855) |
Long-term portion of lease obligations | 3,121,307 | 2,808,774 |
Maturities of lease liabilities: Finance lease | ||
2024 | 66,073 | |
2025 | 35,392 | |
2026 | 36,588 | |
2027 | 2,574 | |
Total lease payments | 140,627 | |
Less: Imputed interest | (16,969) | |
Total | 123,658 | 123,353 |
Less: Current portion | (56,459) | (48,066) |
Long-term portion of lease obligations | 67,199 | $ 75,287 |
Future minimum payments for total lease liabilities | ||
2024 | 514,576 | |
2025 | 521,175 | |
2026 | 552,731 | |
2027 | 517,596 | |
2028 | 471,980 | |
Thereafter | 3,170,778 | |
Total lease payments | 5,748,836 | |
Less: Imputed interest | (2,186,476) | |
Total | 3,562,360 | |
Less: Current portion | (373,854) | |
Long-term portion of lease obligations | $ 3,188,506 |
Leases - Lease Income By Lease
Leases - Lease Income By Lease Type (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Sales-type lease revenue | $ 13,431 | $ 8,777 | $ 8,726 |
Operating lease revenue | 42,565 | 44,350 | 41,955 |
Total lease revenue | 55,996 | 53,127 | $ 50,681 |
Sales-type lease receivable | $ 30,000 | $ 22,000 | |
Service and other revenue | |||
Operating Lease, Lease Income, Statement of Income or Comprehensive Income [Extensible Enumeration] | Revenue from Contract with Customer, Excluding Assessed Tax | Revenue from Contract with Customer, Excluding Assessed Tax | Revenue from Contract with Customer, Excluding Assessed Tax |
Equipment sales and other revenue | |||
Sales-Type Lease, Lease Income, Statement of Income or Comprehensive Income [Extensible Enumeration] | Revenue from Contract with Customer, Excluding Assessed Tax | Revenue from Contract with Customer, Excluding Assessed Tax | Revenue from Contract with Customer, Excluding Assessed Tax |
Leases - Lease Income Maturity
Leases - Lease Income Maturity (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Amounts | |
2024 | $ 36,008 |
2025 | 31,803 |
2026 | 30,579 |
2027 | 25,752 |
2028 | 11,687 |
Thereafter | 34,588 |
Total lease payments to be received | $ 170,417 |
Long-Term Debt and Finance Le_3
Long-Term Debt and Finance Lease Obligations - Fair Value of Long-Term Debt (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||||||||||||
Dec. 31, 2023 | Nov. 30, 2024 | Mar. 31, 2024 | Jan. 26, 2023 | Dec. 31, 2022 | Nov. 15, 2022 | Nov. 26, 2021 | May 24, 2021 | Dec. 21, 2020 | Jul. 01, 2020 | Mar. 17, 2017 | Aug. 08, 2016 | Jul. 27, 2016 | Jun. 13, 2016 | Nov. 20, 2014 | |
Debt Instrument | |||||||||||||||
Carrying Value | $ 22,709,868 | $ 22,881,688 | |||||||||||||
Fair Value | 17,843,562 | 18,752,159 | |||||||||||||
Unamortized deferred financing costs and other debt discounts, net | (69,606) | (108,921) | |||||||||||||
Finance lease obligations (7) | 123,658 | 123,353 | |||||||||||||
Total long-term debt and finance lease obligations (including current portion) | $ 22,763,920 | 22,896,120 | |||||||||||||
Interest rate (as a percent) | 0.25% | ||||||||||||||
Outstanding debt | $ 1,980,000 | $ 951,000 | |||||||||||||
5% Senior Notes due 2023 | DDBS | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | 1,443,179 | ||||||||||||||
Fair Value | 1,441,635 | ||||||||||||||
Interest rate (as a percent) | 5% | ||||||||||||||
2 3/8% Convertible Notes due 2024 | DISH Network L.L.C. | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | $ 951,168 | 1,000,000 | |||||||||||||
Fair Value | $ 944,034 | $ 906,970 | |||||||||||||
Interest rate (as a percent) | 2.375% | 2.375% | |||||||||||||
Aggregate principal amount | $ 1,000,000 | ||||||||||||||
Debt instrument for repurchased amount | $ 49,000 | ||||||||||||||
Outstanding debt | 951,000 | ||||||||||||||
5 7/8% Senior Notes due 2024 | DDBS | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | 1,982,544 | $ 2,000,000 | |||||||||||||
Fair Value | $ 1,872,275 | $ 1,870,940 | |||||||||||||
Interest rate (as a percent) | 5.875% | 5.875% | |||||||||||||
Aggregate principal amount | $ 2,000,000 | ||||||||||||||
Debt instrument for repurchased amount | $ 17,000 | ||||||||||||||
Outstanding debt | 1,983,000 | ||||||||||||||
0% Convertible Notes due 2025 | DISH Network L.L.C. | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | 1,957,197 | $ 2,000,000 | |||||||||||||
Fair Value | $ 1,228,141 | 1,287,540 | |||||||||||||
Interest rate (as a percent) | 0% | ||||||||||||||
Aggregate principal amount | $ 2,000,000 | ||||||||||||||
Debt instrument for repurchased amount | $ 43,000 | ||||||||||||||
Outstanding debt | 1,957,000 | ||||||||||||||
7 3/4% Senior Notes due 2026 | DDBS | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | 2,000,000 | 2,000,000 | |||||||||||||
Fair Value | $ 1,388,060 | $ 1,620,280 | |||||||||||||
Interest rate (as a percent) | 7.75% | 7.75% | |||||||||||||
Aggregate principal amount | $ 2,000,000 | ||||||||||||||
5 1/4% Senior Secured Notes due 2026 | |||||||||||||||
Debt Instrument | |||||||||||||||
Aggregate principal amount | $ 2,750,000 | ||||||||||||||
5 1/4% Senior Secured Notes due 2026 | DDBS | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | $ 2,750,000 | $ 2,750,000 | |||||||||||||
Fair Value | $ 2,366,073 | $ 2,336,813 | |||||||||||||
Interest rate (as a percent) | 5.25% | 5.25% | |||||||||||||
5 1/4% Senior Secured Notes due 2026 | HSSC | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | $ 750,000 | $ 750,000 | |||||||||||||
Fair Value | $ 665,678 | $ 727,763 | |||||||||||||
Interest rate (as a percent) | 5.25% | 5.25% | |||||||||||||
Aggregate principal amount | $ 750,000 | ||||||||||||||
6 5/8% Senior Notes due 2026 | HSSC | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | $ 750,000 | $ 750,000 | |||||||||||||
Fair Value | $ 591,525 | $ 707,490 | |||||||||||||
Interest rate (as a percent) | 6.625% | 6.625% | |||||||||||||
Aggregate principal amount | $ 750,000 | ||||||||||||||
3 3/8% Convertible Notes due 2026 | DISH Network L.L.C. | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | $ 2,908,801 | $ 3,000,000 | |||||||||||||
Fair Value | $ 1,570,753 | $ 1,894,230 | |||||||||||||
Interest rate (as a percent) | 3.375% | 3.375% | |||||||||||||
Aggregate principal amount | $ 3,000,000 | ||||||||||||||
Debt instrument for repurchased amount | $ 91,000 | ||||||||||||||
Outstanding debt | 2,909,000 | ||||||||||||||
11 3/4% Senior Secured Notes due 2027 | |||||||||||||||
Debt Instrument | |||||||||||||||
Aggregate principal amount | $ 1,500,000 | $ 2,000,000 | |||||||||||||
11 3/4% Senior Secured Notes due 2027 | DISH Network L.L.C. | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | 3,500,000 | $ 2,000,000 | |||||||||||||
Fair Value | $ 3,668,980 | $ 2,071,240 | |||||||||||||
Interest rate (as a percent) | 11.75% | 11.75% | |||||||||||||
Aggregate principal amount | $ 1,500,000 | ||||||||||||||
7 3/8% Senior Notes due 2028 | DDBS | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | 1,000,000 | $ 1,000,000 | |||||||||||||
Fair Value | $ 600,160 | $ 708,320 | |||||||||||||
Interest rate (as a percent) | 7.375% | 7.375% | |||||||||||||
Aggregate principal amount | $ 1,000,000 | ||||||||||||||
5 3/4% Senior Secured Notes due 2028 | |||||||||||||||
Debt Instrument | |||||||||||||||
Aggregate principal amount | $ 2,500,000 | ||||||||||||||
5 3/4% Senior Secured Notes due 2028 | DDBS | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | $ 2,500,000 | $ 2,500,000 | |||||||||||||
Fair Value | $ 2,013,125 | $ 2,013,675 | |||||||||||||
Interest rate (as a percent) | 5.75% | 5.75% | |||||||||||||
5 1/8 % Senior Notes due 2029 | DDBS | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | $ 1,500,000 | $ 1,500,000 | |||||||||||||
Fair Value | $ 774,600 | $ 976,755 | |||||||||||||
Interest rate (as a percent) | 5.125% | 5.125% | |||||||||||||
Aggregate principal amount | $ 1,500,000 | ||||||||||||||
Other notes payable | |||||||||||||||
Debt Instrument | |||||||||||||||
Carrying Value | $ 160,158 | $ 188,509 | |||||||||||||
Fair Value | $ 160,158 | $ 188,509 |
Long-Term Debt and Finance Le_4
Long-Term Debt and Finance Lease Obligations - Narratives (Details) - USD ($) | 12 Months Ended | ||||||||||||
May 24, 2021 | Jul. 01, 2020 | Jun. 13, 2016 | Nov. 20, 2014 | Dec. 31, 2023 | Jan. 26, 2023 | Dec. 31, 2022 | Nov. 15, 2022 | Nov. 26, 2021 | Dec. 21, 2020 | Mar. 17, 2017 | Aug. 08, 2016 | Jul. 27, 2016 | |
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 0.25% | ||||||||||||
Class A common stock | |||||||||||||
Debt Instrument | |||||||||||||
Common stock par value (in dollars per share) | $ 0.001 | $ 0.001 | |||||||||||
2 3/8% Convertible Notes due 2024 | Class A common stock | |||||||||||||
Debt Instrument | |||||||||||||
Convertible notes converted rate, shares | 4.268 | ||||||||||||
Aggregate principal amount | $ 1,000 | ||||||||||||
Common stock par value (in dollars per share) | $ 234.33 | ||||||||||||
0% Convertible Notes due 2025 | Class A common stock | |||||||||||||
Debt Instrument | |||||||||||||
Convertible notes converted rate, shares | 8.566 | ||||||||||||
Aggregate principal amount | $ 1,000 | ||||||||||||
Common stock par value (in dollars per share) | $ 116.74 | ||||||||||||
3 3/8% Convertible Notes due 2026 | Class A common stock | |||||||||||||
Debt Instrument | |||||||||||||
Convertible notes converted rate, shares | 5.383 | ||||||||||||
Aggregate principal amount | $ 1,000 | ||||||||||||
Common stock par value (in dollars per share) | $ 185.76 | ||||||||||||
3 3/8% Convertible Notes due 2026 | Class A common stock | Convertible note hedges | |||||||||||||
Debt Instrument | |||||||||||||
Convertible notes converted into shares | 46,000,000 | ||||||||||||
Common stock par value (in dollars per share) | $ 65.18 | ||||||||||||
Total cost of convertible notes | $ 635,000,000 | ||||||||||||
Conversion of shares | 16,000,000 | ||||||||||||
3 3/8% Convertible Notes due 2026 | Class A common stock | Convertible note hedges | DISH Network | |||||||||||||
Debt Instrument | |||||||||||||
Share price (in dollars per share) | $ 185.76 | ||||||||||||
3 3/8% Convertible Notes due 2026 | Class A common stock | Common stock warrants | |||||||||||||
Debt Instrument | |||||||||||||
Convertible notes converted into warrants | 46,000,000 | ||||||||||||
Common stock par value (in dollars per share) | $ 86.08 | ||||||||||||
Cash proceeds from the sale of warrants | $ 376,000,000 | ||||||||||||
5 1/4% Senior Secured Notes due 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 2,750,000,000 | ||||||||||||
5 1/4% Senior Secured Notes due 2026 | Prior to June 1, 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
5 1/4% Senior Secured Notes due 2026 | Prior to December 1, 2024 | |||||||||||||
Debt Instrument | |||||||||||||
Term of loan | 36 months | ||||||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 35% | ||||||||||||
Percentage of redemption price for each twelve-month period | 10% | ||||||||||||
Redemption price as a percentage of principal amount | 103% | ||||||||||||
5 1/4% Senior Secured Notes due 2026 | Prior to December 1, 2027 | |||||||||||||
Debt Instrument | |||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
5 3/4% Senior Secured Notes due 2028 | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 2,500,000,000 | ||||||||||||
5 3/4% Senior Secured Notes due 2028 | Prior to December 1, 2024 | |||||||||||||
Debt Instrument | |||||||||||||
Redemption price as a percentage of principal amount | 103% | ||||||||||||
5 3/4% Senior Secured Notes due 2028 | Prior to December 1, 2027 | |||||||||||||
Debt Instrument | |||||||||||||
Term of loan | 36 months | ||||||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 35% | ||||||||||||
Percentage of redemption price for each twelve-month period | 10% | ||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
11 3/4% Senior Secured Notes due 2027 | |||||||||||||
Debt Instrument | |||||||||||||
Aggregate principal amount | $ 1,500,000,000 | $ 2,000,000,000 | |||||||||||
Threshold loan to value ratio | 0.35 | ||||||||||||
Period to obtain Initial appraisal of collateral | 120 days | ||||||||||||
Period to obtain second appraisal of collateral | 120 days | ||||||||||||
Fair value of collateral | $ 10,040,000,000 | ||||||||||||
Period to add additional collateral after initial appraisal | 60 days | ||||||||||||
Period to add additional collateral after second appraisal | 90 days | ||||||||||||
11 3/4% Senior Secured Notes due 2027 | Failure to Deliver Appraisal Within Specified Days [Member] | |||||||||||||
Debt Instrument | |||||||||||||
Redemption price as a percentage of principal amount | 102% | ||||||||||||
11 3/4% Senior Secured Notes due 2027 | Prior to December 1, 2027 | |||||||||||||
Debt Instrument | |||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
11 3/4% Senior Secured Notes due 2027 | Prior to May 15, 2025 | |||||||||||||
Debt Instrument | |||||||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 40% | ||||||||||||
Early redemption percent of principal amount | 111.75% | ||||||||||||
DDBS | |||||||||||||
Debt Instrument | |||||||||||||
Percentage of principal amount at which notes may be required to be repurchased in event of change of control | 101% | ||||||||||||
DDBS | 7 3/4% Senior Notes due 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 7.75% | 7.75% | |||||||||||
Aggregate principal amount | $ 2,000,000,000 | ||||||||||||
Term of loan | 10 years | ||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
DDBS | 7 3/8% Senior Notes due 2028 | |||||||||||||
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% | ||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
DDBS | 5 1/8 % Senior Notes due 2029 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 5.125% | 5.125% | |||||||||||
Percentage of principal amount at which notes may be required to be repurchased in event of change of control | 101% | ||||||||||||
Aggregate principal amount | $ 1,500,000,000 | ||||||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 35% | ||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
DDBS | 5 1/4% Senior Secured Notes due 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 5.25% | 5.25% | |||||||||||
Percent of debt holders required to call debt | 25% | ||||||||||||
DDBS | 5 3/4% Senior Secured Notes due 2028 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 5.75% | 5.75% | |||||||||||
DDBS | 5 7/8% Senior Notes due 2024 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 5.875% | 5.875% | |||||||||||
Aggregate principal amount | $ 2,000,000,000 | ||||||||||||
Term of loan | 10 years | ||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
HSSC | 6 5/8% Unsecured Senior Notes due 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 6.625% | 6.625% | |||||||||||
Issue price as percent of principal | 100% | ||||||||||||
Percentage of principal amount at which notes may be required to be repurchased in event of change of control | 101% | ||||||||||||
Percent of debt holders required to call debt | 25% | ||||||||||||
Aggregate principal amount | $ 750,000,000 | ||||||||||||
HSSC | 5 1/4% Senior Secured Notes due 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 5.25% | 5.25% | |||||||||||
Issue price as percent of principal | 100% | ||||||||||||
Aggregate principal amount | $ 750,000,000 | ||||||||||||
DISH Network | |||||||||||||
Debt Instrument | |||||||||||||
Principal amount of convertible notes into shares | $ 1,000,000 | ||||||||||||
Conversion price per share | $ 0.350877 | ||||||||||||
DISH Network | 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 | ||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
Conversion price per share | $ 4.2677 | ||||||||||||
DISH Network | 0% Convertible Notes due 2025 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 0% | ||||||||||||
Aggregate principal amount | $ 2,000,000,000 | ||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
Conversion price per share | $ 8.5657 | ||||||||||||
DISH Network | 3 3/8% Convertible Notes due 2026 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 3.375% | 3.375% | |||||||||||
Aggregate principal amount | $ 3,000,000,000 | ||||||||||||
Redemption price as a percentage of principal amount | 100% | ||||||||||||
Principal amount of convertible notes into shares | $ 1,000,000 | ||||||||||||
Conversion price per share | $ 5.3835 | ||||||||||||
DISH Network | 11 3/4% Senior Secured Notes due 2027 | |||||||||||||
Debt Instrument | |||||||||||||
Interest rate (as a percent) | 11.75% | 11.75% | |||||||||||
Aggregate principal amount | $ 1,500,000,000 | ||||||||||||
EchoStar | Class A common stock | |||||||||||||
Debt Instrument | |||||||||||||
Common stock par value (in dollars per share) | $ 0.001 | ||||||||||||
EchoStar | 3 3/8% Convertible Notes due 2026 | Class A common stock | Common stock warrants | |||||||||||||
Debt Instrument | |||||||||||||
Conversion of convertible securities | 16,000,000 | ||||||||||||
EchoStar | 3 3/8% Convertible Notes due 2026 | Class A common stock | Common stock warrants | Maximum | DISH Network | |||||||||||||
Debt Instrument | |||||||||||||
Share price (in dollars per share) | $ 245.33 | ||||||||||||
EchoStar | 3 3/8% Convertible Notes due 2026 | Class A common stock | Common stock warrants | Minimum | DISH Network | |||||||||||||
Debt Instrument | |||||||||||||
Share price (in dollars per share) | $ 185.75 |
Long-Term Debt and Finance Le_5
Long-Term Debt and Finance Lease Obligations - Intercompany Loan (Details) $ in Millions | 12 Months Ended | 192 Months Ended |
Dec. 31, 2023 USD ($) tranche | Dec. 31, 2023 USD ($) | |
Debt Instrument | ||
Interest rate (as a percent) | 0.25% | 0.25% |
Payment to customer | $ 30,000 | |
DISH DBS Corporation ("DBS") | ||
Debt Instrument | ||
Minimum interest payment due (in percent) | 50% | |
Interest payment in kind (in percent) | 0.75% | |
Intercompany Loan | DISH DBS Corporation ("DBS") | ||
Debt Instrument | ||
Additional debt | $ 1,500 | |
Outstanding amount | $ 7,496 | $ 7,496 |
Number of tranche | tranche | 2 | |
Loan paid | $ 105 | |
Intercompany Loan | DISH DBS Corporation ("DBS") | Ghz 3.45 to 3.55 | ||
Debt Instrument | ||
Cash proceeds | 6,750 | |
Cash and marketable investment securities paid | 455 | |
Payment to customer | $ 7,205 |
Long-Term Debt and Finance Le_6
Long-Term Debt and Finance Lease Obligations - Interest on Long-Term Debt (Details) $ in Thousands | 12 Months Ended | |||||||||||
Dec. 31, 2023 USD ($) item | Jan. 26, 2023 USD ($) | Dec. 31, 2022 | Nov. 15, 2022 USD ($) | Nov. 26, 2021 USD ($) | May 24, 2021 USD ($) | Jul. 01, 2020 USD ($) | Mar. 17, 2017 USD ($) | Aug. 08, 2016 USD ($) | Jul. 27, 2016 USD ($) | Jun. 13, 2016 USD ($) | Nov. 20, 2014 USD ($) | |
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 0.25% | |||||||||||
2 3/8% Convertible Notes due 2024 | DISH Network L.L.C. | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 2.375% | 2.375% | ||||||||||
Number of remaining interest payment due | item | 1 | |||||||||||
Aggregate principal amount | $ 1,000,000 | |||||||||||
Annual Debt Service Requirements | $ 23,750 | |||||||||||
5 7/8% Senior Notes due 2024 | DISH DBS Corporation ("DBS") | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 5.875% | 5.875% | ||||||||||
Aggregate principal amount | $ 2,000,000 | |||||||||||
Annual Debt Service Requirements | $ 117,500 | |||||||||||
7 3/4% Senior Notes due 2026 | DISH DBS Corporation ("DBS") | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 7.75% | 7.75% | ||||||||||
Aggregate principal amount | $ 2,000,000 | |||||||||||
Annual Debt Service Requirements | $ 155,000 | |||||||||||
3 3/8% Convertible Notes due 2026 | DISH Network L.L.C. | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 3.375% | 3.375% | ||||||||||
Aggregate principal amount | $ 3,000,000 | |||||||||||
Annual Debt Service Requirements | $ 101,250 | |||||||||||
5 1/4% Senior Secured Notes due 2026 | ||||||||||||
Debt Instrument | ||||||||||||
Aggregate principal amount | $ 2,750,000 | |||||||||||
5 1/4% Senior Secured Notes due 2026 | DISH DBS Corporation ("DBS") | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 5.25% | 5.25% | ||||||||||
Annual Debt Service Requirements | $ 144,375 | |||||||||||
5 1/4% Senior Secured Notes due 2026 | HSSC | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 5.25% | 5.25% | ||||||||||
Aggregate principal amount | $ 750,000 | |||||||||||
Annual Debt Service Requirements | $ 39,375 | |||||||||||
11 3/4% Senior Secured Notes due 2027 | ||||||||||||
Debt Instrument | ||||||||||||
Aggregate principal amount | $ 1,500,000 | $ 2,000,000 | ||||||||||
11 3/4% Senior Secured Notes due 2027 | DISH Network L.L.C. | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 11.75% | 11.75% | ||||||||||
Aggregate principal amount | $ 1,500,000 | |||||||||||
Annual Debt Service Requirements | $ 411,250 | |||||||||||
7 3/8% Senior Notes due 2028 | DISH DBS Corporation ("DBS") | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 7.375% | 7.375% | ||||||||||
Aggregate principal amount | $ 1,000,000 | |||||||||||
Annual Debt Service Requirements | $ 73,750 | |||||||||||
5 1/8 % Senior Notes due 2029 | DISH DBS Corporation ("DBS") | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 5.125% | 5.125% | ||||||||||
Aggregate principal amount | $ 1,500,000 | |||||||||||
Annual Debt Service Requirements | $ 76,875 | |||||||||||
6 5/8% Senior Notes due 2026 | HSSC | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 6.625% | 6.625% | ||||||||||
Aggregate principal amount | $ 750,000 | |||||||||||
Annual Debt Service Requirements | $ 49,688 | |||||||||||
5 3/4% Senior Secured Notes due 2028 | ||||||||||||
Debt Instrument | ||||||||||||
Aggregate principal amount | $ 2,500,000 | |||||||||||
5 3/4% Senior Secured Notes due 2028 | DISH DBS Corporation ("DBS") | ||||||||||||
Debt Instrument | ||||||||||||
Interest rate (as a percent) | 5.75% | 5.75% | ||||||||||
Annual Debt Service Requirements | $ 143,750 |
Long-Term Debt and Finance Le_7
Long-Term Debt and Finance Lease Obligations - Other Long-Term Debt and Finance Lease Obligations (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Other long-term debt and capital lease obligations | ||
Total | $ 283,816 | $ 311,862 |
Less current portion | (112,942) | (109,380) |
Other long-term debt and capital lease obligations, net of current portion | $ 170,874 | 202,482 |
Interest rate (as a percent) | 0.25% | |
Finance lease obligations | ||
Other long-term debt and capital lease obligations | ||
Total | $ 123,658 | 123,353 |
Notes payable related to satellite vendor financing and other debt payable in installments through 2025 with interest rates ranging from approximately 6% to 13% | ||
Other long-term debt and capital lease obligations | ||
Total | $ 160,158 | $ 188,509 |
Notes payable related to satellite vendor financing and other debt payable in installments through 2025 with interest rates ranging from approximately 6% to 13% | Minimum | ||
Other long-term debt and capital lease obligations | ||
Interest rate (as a percent) | 0% | |
Notes payable related to satellite vendor financing and other debt payable in installments through 2025 with interest rates ranging from approximately 6% to 13% | Maximum | ||
Other long-term debt and capital lease obligations | ||
Interest rate (as a percent) | 11.40% |
Long-Term Debt and Finance Le_8
Long-Term Debt and Finance Lease Obligations - Finance Lease Obligations (Details) | 12 Months Ended |
Dec. 31, 2023 | |
FSS Satellite Anik F3 | |
Lessee, Lease, Description [Line Items] | |
Ku-band capacity leased (as a percent) | 100% |
Term of capital lease | 15 years |
Canadian DBS Satellite Ciel II | |
Lessee, Lease, Description [Line Items] | |
Term of capital lease | 10 years |
Satellite capacity leased (as a percent) | 100% |
Nimiq 5 | |
Lessee, Lease, Description [Line Items] | |
Nimiq capacity leased (as a percent) | 100% |
Income Taxes and Accounting f_3
Income Taxes and Accounting for Uncertainty in Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Taxes and Accounting for Uncertainty in Income Taxes | |||
NOL for federal income tax purposes | $ 267,000 | ||
NOL benefit for state income tax purposes | 292,000 | ||
Foreign NOL carryfowards | 219,000 | ||
Tax benefit related to credit carryforwards | 287,000 | ||
Current (benefit) provision: | |||
Federal | (7,484) | $ (1,283) | $ 135,759 |
State | 39,441 | 70,707 | 47,115 |
Foreign | 8,405 | (601) | 5,855 |
Total current (benefit) provision | 40,362 | 68,823 | 188,729 |
Deferred (benefit) provision: | |||
Federal | (308,917) | 638,077 | 538,979 |
State | (150,108) | 93,755 | 87,319 |
Foreign | (45,006) | (20,965) | (34,809) |
Increase (decrease) in valuation allowance | 166,809 | 18,720 | 48,219 |
Total deferred (benefit) provision | (337,222) | 729,587 | 639,708 |
Total (benefit) provision | (296,860) | 798,410 | 828,437 |
Income (loss) before income taxes | (1,931,684) | $ 3,335,302 | $ 3,349,872 |
Portion of Income (loss) before income taxes related to foreign operations | $ 172,000 | ||
Reconciliation of amounts computed by applying the statutory Federal tax rate to income before taxes | |||
Statutory rate (as a percent) | 21% | 21% | 21% |
State income taxes, net of federal benefit (as a percent) | (3.60%) | 3.30% | 3.20% |
Increase (decrease) in valuation allowance | 8.60% | 0.60% | 1.40% |
Rates different than statutory | (1.10%) | (0.50%) | (0.50%) |
Tax credit | (3.80%) | (0.80%) | (0.50%) |
Impairments | 6% | ||
Other, net | (0.50%) | 0.30% | 0.10% |
Total (benefit) provision for income taxes | (15.40%) | 23.90% | 24.70% |
Deferred tax assets: | |||
NOL, interest, credit and other carryforwards | $ 1,322,706 | $ 666,789 | |
Accrued and prepaid expenses | 966,445 | 759,981 | |
Stock-based compensation | 29,387 | 29,383 | |
Unrealized (gains) losses on available for sale and other investments | 222,769 | ||
Discount on convertible notes and convertible note hedge transaction, net | 46,636 | 64,644 | |
Deferred revenue | 10,748 | 5,681 | |
Other | 10,096 | 11,050 | |
Total deferred tax assets | 2,608,787 | 1,537,528 | |
Valuation allowance | (492,340) | (306,703) | |
Deferred tax asset after valuation allowance | 2,116,447 | 1,230,825 | |
Deferred tax liabilities: | |||
Depreciation | (1,961,227) | (1,784,018) | |
Unrealized (gains) losses on available for sale and other investments | (241,297) | ||
Regulatory authorizations and other intangible amortization | (3,960,608) | (3,491,625) | |
Bases differences in partnerships and cost method investments | (1,179,418) | (1,041,790) | |
Other liabilities | (21,227) | (18,840) | |
Total deferred tax liabilities | (7,122,480) | (6,577,570) | |
Net deferred tax asset (liability) | (5,006,033) | (5,346,745) | |
Reconciliation of the beginning and ending amount of unrecognized tax benefits | |||
Balance as of beginning of period | 569,601 | 539,113 | $ 528,527 |
Additions based on tax positions related to the current year | 9,210 | 36,587 | 496 |
Additions based on tax positions related to prior years | 41,522 | 16,369 | 12,200 |
Reductions based on tax positions related to prior years | (7,219) | (21,541) | (1,482) |
Reductions based on tax positions related to settlements with taxing authorities | (3,219) | ||
Reductions based on tax positions related to the lapse of the statute of limitations | (352) | (927) | (628) |
Balance as of end of period | $ 609,543 | $ 569,601 | $ 539,113 |
Income Taxes and Accounting f_4
Income Taxes and Accounting for Uncertainty in Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Taxes and Accounting for Uncertainty in Income Taxes | |||
Provision for U.S. income taxes or foreign withholding taxes | $ 0 | ||
Unrecognized tax benefits if recognized, could favorably affect our effective tax rate | 539,000 | ||
Interest and penalty (credit) expense | 39,000 | $ 22,000 | $ 16,000 |
Accrued interest and penalties | $ 165,000 | $ 126,000 |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) (Details) | 12 Months Ended | |
Dec. 31, 2023 Vote $ / shares shares | Dec. 31, 2022 $ / shares shares | |
Stockholders' Equity (Deficit) | ||
Stock Issued During Period, Shares, Treasury Stock Reissued | 23,000,000 | |
Preferred Stock, shares authorized | 20,000,000 | |
Preferred Stock, par value (in dollars per share) | $ / shares | $ 0.001 | |
Preferred Stock, shares outstanding | 0 | 0 |
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 | $ 0.001 | $ 0.001 |
Common stock, shares outstanding | 140,153,020 | 138,128,368 |
Votes per share | 1 | |
Number of shares of Class A common stock into which each share of common stock is convertible | 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 | $ 0.001 | $ 0.001 |
Common stock, shares outstanding | 131,348,468 | 131,348,468 |
Votes per share | 10 | |
Class C common stock | ||
Stockholders' Equity (Deficit) | ||
Common stock, shares authorized | 800,000,000 | |
Common stock par value (in dollars per share) | $ / shares | $ 0.001 | |
Common 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 | Vote | 10 | |
Class D common stock | ||
Stockholders' Equity (Deficit) | ||
Common stock, shares authorized | 800,000,000 | |
Common stock par value (in dollars per share) | $ / shares | $ 0.001 | |
Common stock, shares outstanding | 0 | 0 |
Stockholders' Equity (Deficit_2
Stockholders' Equity (Deficit) - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Oct. 20, 2023 | |
Class A common stock | ||
Stockholders' Equity (Deficit) | ||
Maximum amount authorized for common stock repurchase under common stock repurchase program | $ 500 | |
Amount authorized for common stock repurchase under common stock repurchase program | $ 500 | |
Shares Issued, Price Per Share | $ 0.350877 | |
Proceeds from Issuance of Common Stock | $ 104 | |
Information regarding repurchase of Class A common stock | ||
Total number of shares repurchased | 0 | |
Class B common stock | ||
Stockholders' Equity (Deficit) | ||
Shares Issued, Price Per Share | $ 0.350877 | |
Proceeds from Issuance of Common Stock | $ 84 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) shares in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Employee Benefit Plans | |||
Employer matching contribution as a percentage of voluntary employee contributions under 401(k) plan | 50% | ||
Employer maximum annual contribution per employee under 401(k) plan | $ 2,500 | ||
Expense recognized related to 401(k) plan | |||
Matching contributions, net of forfeitures | 20,379,000 | $ 18,275,000 | $ 14,346,000 |
Discretionary stock contributions, net of forfeitures | 5,491,000 | $ 21,606,000 | $ 33,507,000 |
Defined Contribution Plan Echo Star401 K Plan | |||
Employee Benefit Plans | |||
Employer maximum annual contribution per employee under 401(k) plan | $ 7,500 | ||
Employee Stock Purchase Plan | |||
Employee Benefit Plans | |||
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 Benefit Plans | |||
Shares of common stock available for future grant under stock incentive plans | 0.5 | ||
Purchase price as percentage of closing market price on the last business day of each calendar quarter under ESPP | 85% | ||
Employee Stock Purchase Plan | Class A common stock | Maximum | |||
Employee Benefit Plans | |||
Number of shares authorized to be issued under Employee Stock Purchase Plan (ESPP) | 5 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2022 | Jun. 24, 2022 | |
Share-based compensation | |||||
Number of stock options outstanding (in shares) | 4,631,083 | ||||
Percentage of stock awards vesting per year | 20% | ||||
Exercise price | 13,000,000 | ||||
Share-based payment arrangement | $ 20 | ||||
Non-cash, stock-based compensation | $ 51,514 | $ 82,994 | $ 59,379 | ||
Class A common stock | |||||
Share-based compensation | |||||
Number of stock options outstanding (in shares) | 16,100,000 | ||||
Class A common stock | Stock Incentive Plan | |||||
Share-based compensation | |||||
Shares of common stock available for future grant under stock incentive plans | 3,400,000 | ||||
DISH | Class A common stock | Stock Incentive Plan | |||||
Share-based compensation | |||||
Shares of common stock available for future grant under stock incentive plans | 17,200,000 | ||||
Employee Stock Option [Member] | |||||
Share-based compensation | |||||
Number of stock options outstanding (in shares) | 16,087,146 | 16,887,454 | |||
Maximum Expiration term | 10 years | ||||
Restricted stock units | |||||
Share-based compensation | |||||
Number of stock options outstanding (in shares) | 49,000 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Award Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Stock option activity | |||
Total options outstanding, end of period (in shares) | 4,631,083 | ||
Weighted-Average Exercise Price | |||
Total options outstanding at the end of the period (in dollars per share) | $ 84.20 | ||
Employee Stock Option [Member] | |||
Stock option activity | |||
Total options outstanding, beginning of period (in shares) | 16,887,454 | ||
Granted (in shares) | 1,653,280 | ||
Forfeited and cancelled (in shares) | (2,453,588) | ||
Total options outstanding, end of period (in shares) | 16,087,146 | 16,887,454 | |
Exercisable at the end of the period (in shares) | 6,332,074 | ||
Weighted-Average Exercise Price | |||
Total options outstanding, beginning of the period (in dollars per share) | $ 59.28 | ||
Granted (in dollars per share) | 22.28 | ||
Forfeited and cancelled (in dollars per share) | 59.25 | ||
Total options outstanding at the end of the period (in dollars per share) | 55.48 | $ 59.28 | |
Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 50.88 | ||
Share-based compensation additional disclosures | |||
Tax benefit from stock awards exercised | $ 1,384 | $ 573 | $ 4,457 |
Additional disclosures | |||
Aggregate intrinsic value of stock options outstanding | $ 1 | ||
Options Outstanding, Weighted-Average Remaining Contractual Life | 6 years 9 months 3 days | ||
Options Exercisable, Weighted-Average Remaining Contractual Life | 5 years 4 months 6 days | ||
Employee Stock Option [Member] | Long-Term Performance Based Plans | |||
Stock option activity | |||
Total options outstanding, end of period (in shares) | 4,631,083 | ||
Weighted-Average Exercise Price | |||
Total options outstanding at the end of the period (in dollars per share) | $ 84.20 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock Activity (Details) - Restricted stock units - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restricted stock unit activity | |||
Total restricted stock units outstanding, beginning of period (in shares) | 802,804 | ||
Granted (in shares) | 5,776 | ||
Vested (in shares) | (525,100) | ||
Forfeited and cancelled (in shares) | (234,835) | ||
Total restricted stock units outstanding, end of period (in shares) | 48,645 | 802,804 | |
Weighted - Average Grant Date Fair Value | |||
Total restricted stock units outstanding, beginning of period (in dollars per share) | $ 72.70 | ||
Granted (in dollars per share) | 17.50 | $ 40.06 | $ 120.86 |
Vested (in dollars per share) | 60.89 | ||
Forfeited and cancelled (in dollars per share) | 92.34 | ||
Total restricted stock units outstanding, end of period (in dollars per share) | $ 98.78 | $ 72.70 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information of Stock Options and Restricted Stock Units (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Employee Stock Option | |||
Share-based compensation | |||
Weighted-average grant date fair value of options granted | $ 22.28 | $ 53.20 | $ 84.84 |
Intrinsic value of options exercised | $ 98 | $ 16,029 | |
Restricted stock units | |||
Share-based compensation | |||
Weighted-average grant date fair value of units and awards granted | $ 17.50 | $ 40.06 | $ 120.86 |
Fair value of units and rewards vested | $ 9,926 | $ 2,212 | $ 1,218 |
Stock-Based Compensation - Long
Stock-Based Compensation - Long-Term Performance-Based Plans (Details) - shares | 12 Months Ended | ||||
Nov. 04, 2020 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Employee Performance Awards | |||||
Share-based compensation additional disclosures | |||||
Vested (in shares) | 0 | ||||
Restricted stock units | |||||
Share-based compensation additional disclosures | |||||
Vested (in shares) | (525,100) | ||||
Award other than options cancelled | 234,835 | ||||
LTIP 2013 | Employee Stock Option [Member] | |||||
Share-based compensation additional disclosures | |||||
Shares cancelled | 276,147 | ||||
LTIP 2013 | Restricted stock units | |||||
Share-based compensation additional disclosures | |||||
Award other than options cancelled | 137,449 | ||||
LTIP 2017 | Employee Stock Option [Member] | |||||
Share-based compensation additional disclosures | |||||
Shares cancelled | 471,727 | ||||
LTIP 2019 | |||||
Share-based compensation additional disclosures | |||||
Percentage of performance goals probable of achievement | 85% | 89% | 90% | ||
Percentage of award vested | 78% | 75% | 69% | ||
Vested (in shares) | 0 | ||||
Share based compensation | 0 | ||||
Ergen 2020 Performance Award | |||||
Share-based compensation additional disclosures | |||||
Percentage of award vested | 20% | 20% | 20% | ||
Vested (in shares) | 0 | ||||
Awards vesting period | 10 years | ||||
2022 Incentive Plan | |||||
Share-based compensation additional disclosures | |||||
Percentage of award vested | 17% | 33% | |||
Vested (in shares) | 0 | ||||
Percentage of probability of achievement of performance conditions | 100% | ||||
Class A common stock | Ergen 2020 Performance Award | |||||
Share-based compensation additional disclosures | |||||
Granted | 4,385,962 |
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, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Recognized non-cash stock-based compensation expense | |||
Non-cash stock-based compensation expense recognized | $ 51,514 | $ 82,994 | $ 59,379 |
Share-based compensation additional disclosures | |||
Performance Based Stock Options (in shares) | 4,631,083 | ||
Weighted-Average Exercise Price (in dollars per share) | $ 84.20 | ||
Continuing operations | |||
Recognized non-cash stock-based compensation expense | |||
Non-cash stock-based compensation expense recognized | $ 18,213 | 35,801 | 30,425 |
LTIP 2013 | |||
Recognized non-cash stock-based compensation expense | |||
Non-cash stock-based compensation expense recognized | (13,610) | ||
LTIP 2017 | |||
Share-based compensation additional disclosures | |||
Performance Based Stock Options (in shares) | 471,727 | ||
Weighted-Average Exercise Price (in dollars per share) | $ 164.20 | ||
LTIP 2019 | |||
Recognized non-cash stock-based compensation expense | |||
Non-cash stock-based compensation expense recognized | $ (1,903) | (97) | 489 |
Share-based compensation additional disclosures | |||
Performance Based Stock Options (in shares) | 248,758 | ||
Weighted-Average Exercise Price (in dollars per share) | $ 60.04 | ||
Ergen 2020 Performance Award. | |||
Recognized non-cash stock-based compensation expense | |||
Non-cash stock-based compensation expense recognized | $ 12,308 | 12,308 | 34,513 |
Estimated Remaining Non-Cash, Stock-Based Compensation Expense | |||
Expense estimated to be recognized during 2024 | 10,816 | ||
Estimated contingent expense subsequent to 2024 | 16,913 | ||
Total estimated remaining expense over the term of plan | $ 27,729 | ||
Share-based compensation additional disclosures | |||
Performance Based Stock Options (in shares) | 3,508,770 | ||
Weighted-Average Exercise Price (in dollars per share) | $ 78.98 | ||
2022 Incentive Plan | |||
Recognized non-cash stock-based compensation expense | |||
Non-cash stock-based compensation expense recognized | $ 7,346 | 19,088 | |
Estimated Remaining Non-Cash, Stock-Based Compensation Expense | |||
Expense estimated to be recognized during 2024 | 2,119 | ||
Estimated contingent expense subsequent to 2024 | 1,114 | ||
Total estimated remaining expense over the term of plan | $ 3,233 | ||
Share-based compensation additional disclosures | |||
Performance Based Stock Options (in shares) | 401,828 | ||
Weighted-Average Exercise Price (in dollars per share) | $ 50.78 | ||
Class A common stock | |||
Share-based compensation additional disclosures | |||
Performance Based Stock Options (in shares) | 16,100,000 | ||
Other Employee Performance Awards | |||
Recognized non-cash stock-based compensation expense | |||
Non-cash stock-based compensation expense recognized | $ 462 | $ 4,502 | $ 9,033 |
Restricted stock units | |||
Share-based compensation additional disclosures | |||
Performance Based Stock Options (in shares) | 49,000 | ||
Restricted Performance Units (in shares) | 48,645 | 802,804 |
Stock-Based Compensation - Comp
Stock-Based Compensation - Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Stock-Based Compensation | |||
Non-cash, stock-based compensation | $ 51,514 | $ 82,994 | $ 59,379 |
Cost of services | |||
Stock-Based Compensation | |||
Non-cash, stock-based compensation | 2,610 | 6,511 | 4,365 |
Selling, general and administrative expenses | |||
Stock-Based Compensation | |||
Non-cash, stock-based compensation | 48,904 | $ 76,483 | $ 55,014 |
Non-Performance Based Stock Awards | |||
Share-based expenses | |||
Unrecognized compensation expense | $ 66,000 | ||
Share-based compensation additional disclosures | |||
Weighted average period for recognition of compensation cost | 8 years 7 months 6 days |
Stock-Based Compensation - Valu
Stock-Based Compensation - Valuation (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Black-Scholes option valuation model, assumptions | |||
Dividend yield (as a percent) | 0% | ||
Employee Stock Option [Member] | |||
Black-Scholes option valuation model, assumptions | |||
Risk free interest rate, low end of range (as a percent) | 3.58% | 1.35% | 0.48% |
Risk free interest rate, high end of range (as a percent) | 4.61% | 4.02% | 1.11% |
Volatility factor, low end of range (as a percent) | 34.30% | 32.67% | 29.91% |
Volatility factor, high end of range (as a percent) | 41.25% | 34.84% | 34.51% |
Fair value of options granted (in dollars per share) | $ 22.28 | $ 53.20 | $ 84.84 |
Employee Stock Option [Member] | Minimum | |||
Black-Scholes option valuation model, assumptions | |||
Expected term of options | 4 years 1 month 6 days | 4 years 1 month 6 days | 4 years |
Fair value of options granted (in dollars per share) | $ 7.40 | $ 5.97 | $ 6.20 |
Employee Stock Option [Member] | Maximum | |||
Black-Scholes option valuation model, assumptions | |||
Expected term of options | 6 years 7 months 6 days | 6 years | 5 years 10 months 24 days |
Fair value of options granted (in dollars per share) | $ 7.77 | $ 9.27 | $ 8.32 |
Commitments and Contingencies_2
Commitments and Contingencies (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||||||||||||||||||||||
Feb. 16, 2024 USD ($) | Oct. 12, 2023 USD ($) | Sep. 29, 2023 | Jun. 30, 2023 | Jun. 14, 2023 | Jun. 14, 2022 | Jan. 24, 2022 | Dec. 30, 2020 USD ($) | Jul. 26, 2019 USD ($) | Jun. 07, 2018 USD ($) | Jun. 06, 2018 | Mar. 31, 2018 USD ($) item | Dec. 31, 2027 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2023 USD ($) item | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Jun. 14, 2025 | Oct. 25, 2023 USD ($) | Oct. 15, 2023 USD ($) | Jul. 14, 2023 | Sep. 20, 2022 USD ($) | Dec. 31, 2020 USD ($) | Jul. 31, 2020 USD ($) | Mar. 30, 2018 | |
Commitment and Contingencies | ||||||||||||||||||||||||||
2024 | $ 9,764,935 | |||||||||||||||||||||||||
2025 | 5,959,343 | |||||||||||||||||||||||||
2026 | 12,865,704 | |||||||||||||||||||||||||
2027 | 5,924,802 | |||||||||||||||||||||||||
2028 | 5,311,530 | |||||||||||||||||||||||||
Thereafter | 9,059,490 | |||||||||||||||||||||||||
Total | 48,885,804 | |||||||||||||||||||||||||
Network Development Future Expenditures | 10,000,000 | $ 10,000,000 | $ 10,000,000 | |||||||||||||||||||||||
Unrecognized tax benefits | 609,543 | 569,601 | 539,113 | $ 528,527 | ||||||||||||||||||||||
Litigation accrual | $ 3,900 | |||||||||||||||||||||||||
Redeemable noncontrolling interests | 438,382 | 464,359 | ||||||||||||||||||||||||
Percentage of population for deploy 5G services | 73% | |||||||||||||||||||||||||
Agreement Term | 6 months | |||||||||||||||||||||||||
Proceeds from Refund of Deposits on Auction | 337,490 | |||||||||||||||||||||||||
Carrying amount | 172,670 | |||||||||||||||||||||||||
Contractual Obligation | 48,885,804 | |||||||||||||||||||||||||
Percentage of Population Five G Services Offered | 70% | 75% | 75% | |||||||||||||||||||||||
Percentage of Population to Whom 5G Broadband Service is Provided | 50% | |||||||||||||||||||||||||
Percentage of Population Northstar Wireless and SNR Wireless offered | 75% | |||||||||||||||||||||||||
Regulatory Authorizations | 38,114,249 | |||||||||||||||||||||||||
Impairment of long-lived assets | $ 761,099 | 711 | 245 | |||||||||||||||||||||||
Interest rate (as a percent) | 0.25% | |||||||||||||||||||||||||
MHz 700 Licenses and AWS-4 Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Percentage of Population to Whom 5G Broadband Service is Provided | 50% | |||||||||||||||||||||||||
Percentage of population for deploy 5G services in each Economic Area | 70% | |||||||||||||||||||||||||
H Block Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Percentage of population for deploy 5G services | 70% | |||||||||||||||||||||||||
Percentage of Population to Whom 5G Broadband Service is Provided | 50% | |||||||||||||||||||||||||
Percentage of population for deploy 5G services in each Economic Area | 75% | |||||||||||||||||||||||||
Wireless | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Network development current and future expenditures | $ 10,000,000 | |||||||||||||||||||||||||
Percentage of population for deploy 5G services | 20% | 70% | 20% | |||||||||||||||||||||||
Regulatory Authorizations | 25,319,108 | |||||||||||||||||||||||||
Capitalized Interest | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Regulatory Authorizations | $ 9,000,000 | |||||||||||||||||||||||||
Spectrum Purchase Agreement | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Purchase price | $ 3,590,000 | |||||||||||||||||||||||||
Asset Purchase Agreement, Termination Fee Payable | $ 72,000 | |||||||||||||||||||||||||
Asset Purchase Agreement, Deadline to Divest Licenses, Extension Period | 60 days | |||||||||||||||||||||||||
Maximum | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Programming Contracts term | 10 years | |||||||||||||||||||||||||
Maximum | Wireless | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Percentage of population for deploy 5G services | 70% | |||||||||||||||||||||||||
Minimum | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Programming Contracts term | 1 year | |||||||||||||||||||||||||
Minimum | MHz 700 Licenses and AWS-4 Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Minimum percentage of population having access to average download speed | 70% | 70% | 70% | |||||||||||||||||||||||
Northstar Manager LLC | Class B common stock | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Ownership percentage | 97% | |||||||||||||||||||||||||
Payment For Purchase Agreement | $ 312,000 | |||||||||||||||||||||||||
At least 50% by June 2023 | Wireless | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Percentage of population for deploy 5G services | 50% | |||||||||||||||||||||||||
Wireless | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Percentage of population for deploy 5G services | 20% | 70% | 20% | |||||||||||||||||||||||
Regulatory Authorizations | $ 25,319,108 | 25,317,099 | ||||||||||||||||||||||||
Wireless | Maximum | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Percentage of population for deploy 5G services | 70% | |||||||||||||||||||||||||
Wireless | At least 50% by June 2023 | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Percentage of population for deploy 5G services | 50% | |||||||||||||||||||||||||
AWS-3 Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Accelerated build out period | 2 years | |||||||||||||||||||||||||
Capitalized Interest. | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Regulatory Authorizations | $ 8,523,682 | |||||||||||||||||||||||||
Northstar | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Purchase of ownership interests | $ 109,000 | |||||||||||||||||||||||||
Northstar Spectrum And SNR Holdco | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Purchase of ownership interests | 109,000 | |||||||||||||||||||||||||
Northstar Spectrum And SNR Holdco | AWS-3 Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Interim Build-out Requirement (as a percent) | 40% | |||||||||||||||||||||||||
Final Build-out Requirement (as a percent) | 75% | |||||||||||||||||||||||||
Accelerated period to meet Final Build-Out Requirement on failure to meet Interim Build-Out Requirement | 2 years | |||||||||||||||||||||||||
Northstar Spectrum And SNR Holdco | Northstar | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Purchase of ownership interests | 109,000 | |||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Interim payment percentage | 15% | |||||||||||||||||||||||||
Re-Auction payment | $ 1,892,000 | |||||||||||||||||||||||||
Overpayment of interim payment | 334,000 | |||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | American II. | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Loan made | $ 69,000 | |||||||||||||||||||||||||
Additional days allowed for management to put its interest | 90 days | |||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | American II. | Preferred Class A | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Ownership percentage | 100% | |||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | American II. | Class B common stock | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Ownership percentage | 85% | |||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | Northstar Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Regulatory Authorizations | $ 5,618,930 | |||||||||||||||||||||||||
Number of wireless spectrum licenses | item | 261 | |||||||||||||||||||||||||
Northstar Wireless or Northstar Spectrum | AWS-3 Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Interim Payment | $ 334,000 | |||||||||||||||||||||||||
Non-payment gross winning bids | $ 2,226,000 | |||||||||||||||||||||||||
Interim payment percentage | 15% | |||||||||||||||||||||||||
SNR | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Non-payment gross winning bids | $ 1,211,000 | |||||||||||||||||||||||||
Interim payment percentage | 15% | |||||||||||||||||||||||||
Re-Auction payment | $ 1,029,000 | |||||||||||||||||||||||||
Overpayment of interim payment | $ 182,000 | |||||||||||||||||||||||||
SNR | Maximum | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Preferred stock quarterly distribution (as a percent) | 8% | |||||||||||||||||||||||||
SNR | Minimum | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Preferred stock quarterly distribution (as a percent) | 12% | |||||||||||||||||||||||||
SNR | American III | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Number of wireless spectrum licenses | item | 244 | |||||||||||||||||||||||||
Loan made | $ 344,000 | |||||||||||||||||||||||||
Debt outstanding amount | $ 5,065,000 | |||||||||||||||||||||||||
Principal amount of debt | $ 500,000 | |||||||||||||||||||||||||
Interest rate (as a percent) | 12% | 6% | ||||||||||||||||||||||||
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 | 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% | |||||||||||||||||||||||||
SNR | AWS-3 Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Non-payment gross winning bids | $ 1,211,000 | |||||||||||||||||||||||||
SNR | SNR Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Regulatory Authorizations | 4,271,459 | |||||||||||||||||||||||||
Interim Payment | 182,000 | |||||||||||||||||||||||||
Non-payment gross winning bids | $ 1,211,000 | |||||||||||||||||||||||||
Interim payment percentage | 15% | |||||||||||||||||||||||||
Additional Bid Withdrawal Payment | $ 3,000 | |||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco Class B Common Interests | American III | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Ownership percentage | 85% | |||||||||||||||||||||||||
SNR Wireless or SNR Wireless Holdco Class A Common Interests | American III | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Ownership percentage | 100% | |||||||||||||||||||||||||
SNR | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Purchase of ownership interests | $ 442,000 | |||||||||||||||||||||||||
American II. | Northstar Manager LLC | Class B common stock | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Ownership percentage | 80% | |||||||||||||||||||||||||
Prior Arrangement | Northstar Licenses | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Non-payment gross winning bids | $ 2,226,000 | |||||||||||||||||||||||||
Prior Arrangement | Northstar Wireless or Northstar Spectrum | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Non-payment gross winning bids | 2,226,000 | |||||||||||||||||||||||||
Northstar Operative Agreement | Northstar Wireless or Northstar Spectrum | American II. | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Loan made | $ 500,000 | |||||||||||||||||||||||||
Debt outstanding amount | 6,870,000 | |||||||||||||||||||||||||
Principal amount of debt | $ 500,000 | |||||||||||||||||||||||||
Interest rate (as a percent) | 6% | 12% | ||||||||||||||||||||||||
Loan balance maturity period | 10 years | 7 years | ||||||||||||||||||||||||
Removal of consent for unsecured financing and equipment financing | $ 25,000 | |||||||||||||||||||||||||
Window of days for management to put its interest | 270 days | 90 days | 30 days | |||||||||||||||||||||||
Northstar Operative Agreement | Northstar Wireless or Northstar Spectrum | American II. | Preferred Class A | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Number shares issued in conversion | item | 6,870,493 | |||||||||||||||||||||||||
Preferred stock quarterly distribution (as a percent) | 8% | 12% | ||||||||||||||||||||||||
SNR Operative Agreement | SNR | American III | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Loan balance maturity period | 10 years | 7 years | ||||||||||||||||||||||||
Removal of consent for unsecured financing and equipment financing | $ 25,000 | |||||||||||||||||||||||||
The Amendment | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Upfront payment | $ 100,000 | $ 100,000 | ||||||||||||||||||||||||
Long-term debt obligations | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
2024 | 2,990,195 | |||||||||||||||||||||||||
2025 | 1,993,990 | |||||||||||||||||||||||||
2026 | 9,177,173 | |||||||||||||||||||||||||
2027 | 3,520,219 | |||||||||||||||||||||||||
2028 | 3,505,748 | |||||||||||||||||||||||||
Thereafter | 1,522,543 | |||||||||||||||||||||||||
Total | 22,709,868 | |||||||||||||||||||||||||
Contractual Obligation | 22,709,868 | |||||||||||||||||||||||||
Interest expense on long-term debt and capital lease obligations | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
2024 | 1,329,564 | |||||||||||||||||||||||||
2025 | 1,200,118 | |||||||||||||||||||||||||
2026 | 1,196,621 | |||||||||||||||||||||||||
2027 | 708,677 | |||||||||||||||||||||||||
2028 | 295,967 | |||||||||||||||||||||||||
Thereafter | 41,233 | |||||||||||||||||||||||||
Total | 4,772,180 | |||||||||||||||||||||||||
Contractual Obligation | 4,772,180 | |||||||||||||||||||||||||
Finance lease obligations | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
2024 | 56,459 | |||||||||||||||||||||||||
2025 | 30,381 | |||||||||||||||||||||||||
2026 | 34,290 | |||||||||||||||||||||||||
2027 | 2,528 | |||||||||||||||||||||||||
Total | 123,658 | |||||||||||||||||||||||||
Contractual Obligation | 123,658 | |||||||||||||||||||||||||
5G network deployment obligations | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Total | 1,557,000 | 1,557,000 | 1,557,000 | |||||||||||||||||||||||
Contractual Obligation | 1,557,000 | $ 1,557,000 | $ 1,557,000 | |||||||||||||||||||||||
Interest expense on finance lease obligations | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
2024 | 9,614 | |||||||||||||||||||||||||
2025 | 5,011 | |||||||||||||||||||||||||
2026 | 2,298 | |||||||||||||||||||||||||
2027 | 46 | |||||||||||||||||||||||||
Total | 16,969 | |||||||||||||||||||||||||
Contractual Obligation | 16,969 | |||||||||||||||||||||||||
Satellite-related obligations | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
2024 | 2,908,585 | |||||||||||||||||||||||||
2025 | 2,218,024 | |||||||||||||||||||||||||
2026 | 1,934,515 | |||||||||||||||||||||||||
2027 | 1,178,310 | |||||||||||||||||||||||||
2028 | 1,037,835 | |||||||||||||||||||||||||
Thereafter | 4,324,936 | |||||||||||||||||||||||||
Total | 13,602,205 | |||||||||||||||||||||||||
Contractual Obligation | 13,602,205 | |||||||||||||||||||||||||
Operating lease obligations | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
2024 | 448,503 | |||||||||||||||||||||||||
2025 | 485,783 | |||||||||||||||||||||||||
2026 | 516,143 | |||||||||||||||||||||||||
2027 | 515,022 | |||||||||||||||||||||||||
2028 | 471,980 | |||||||||||||||||||||||||
Thereafter | 3,170,778 | |||||||||||||||||||||||||
Total | 5,608,209 | |||||||||||||||||||||||||
Contractual Obligation | 5,608,209 | |||||||||||||||||||||||||
Purchase obligations | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
2024 | 2,022,015 | |||||||||||||||||||||||||
2025 | 26,036 | |||||||||||||||||||||||||
2026 | 4,664 | |||||||||||||||||||||||||
Total | 2,052,715 | |||||||||||||||||||||||||
Contractual Obligation | $ 2,052,715 | |||||||||||||||||||||||||
SNR Credit Agreement | SNR | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Loan made | $ 500,000 | |||||||||||||||||||||||||
SNR Credit Agreement | SNR | American III | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Loan made | $ 500,000 | |||||||||||||||||||||||||
Subsequent event | Northstar Spectrum And SNR Holdco | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Purchase of ownership interests | $ 442,000 | |||||||||||||||||||||||||
Subsequent event | SNR | ||||||||||||||||||||||||||
Commitment and Contingencies | ||||||||||||||||||||||||||
Equity method investment, | $ 442,000 |
Commitments and Contingencies -
Commitments and Contingencies - Part 2 (Details) $ in Millions | 12 Months Ended | 72 Months Ended | 192 Months Ended | ||
Aug. 18, 2015 USD ($) | Dec. 31, 2023 USD ($) item | Dec. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | Mar. 31, 2018 USD ($) | |
Spectrum Investments | |||||
Payment to customer | $ 30,000 | ||||
Commitments relating to AWS-3 Auction | |||||
Noncontrolling Interest in Variable Interest Entity | $ 10,000 | $ 10,000 | 10,000 | ||
5G Network Development | |||||
Spectrum Investments | |||||
Payment to customer | 30,000 | ||||
Commitments relating to AWS-3 Auction | |||||
Noncontrolling Interest in Variable Interest Entity | 10,000 | 10,000 | 10,000 | ||
Wireless | |||||
Spectrum Investments | |||||
Payment to customer | 30,000 | ||||
Northstar Spectrum And SNR Holdco | |||||
Commitments relating to AWS-3 Auction | |||||
Noncontrolling Interest in Variable Interest Entity | $ 10,000 | $ 10,000 | $ 10,000 | ||
Northstar Spectrum And SNR Holdco | AWS-3 Licenses | |||||
Commitments relating to AWS-3 Auction | |||||
Percentage of bidding credit | 25% | ||||
Northstar Wireless or Northstar Spectrum | Northstar Manager LLC | |||||
Commitments relating to AWS-3 Auction | |||||
Controlling interest owned by other companies | 15% | ||||
Equity contribution | $ 133 | ||||
Northstar Wireless or Northstar Spectrum | American II. | |||||
Commitments relating to AWS-3 Auction | |||||
Equity contribution | 7,621 | ||||
Northstar Wireless or Northstar Spectrum | Northstar Licenses | |||||
Commitments relating to AWS-3 Auction | |||||
Gross winning bids | $ 5,619 | ||||
Northstar Wireless or Northstar Spectrum | AWS-3 Licenses | |||||
Commitments relating to AWS-3 Auction | |||||
Gross winning bids | $ 7,845 | ||||
Percentage of bidding credit | 25% | ||||
Net winning bid | $ 5,884 | ||||
Northstar Wireless or Northstar Spectrum | SNR Licenses | |||||
Commitments relating to AWS-3 Auction | |||||
Percentage of bidding credit | 25% | ||||
Bidding credit value | $ 1,961 | ||||
SNR | SNR Wireless Management LLC | |||||
Commitments relating to AWS-3 Auction | |||||
Controlling interest owned by other companies | 15% | ||||
Equity contribution | 93 | ||||
SNR | American III | |||||
Commitments relating to AWS-3 Auction | |||||
Equity contribution | $ 5,590 | ||||
Gross winning bids | $ 4,271 | ||||
SNR | AWS-3 Licenses | |||||
Commitments relating to AWS-3 Auction | |||||
Gross winning bids | $ 5,482 | ||||
SNR | SNR Licenses | |||||
Commitments relating to AWS-3 Auction | |||||
Percentage of bidding credit | 25% | ||||
Net winning bid | $ 4,112 | ||||
Bid withdrawal payment | $ 8 | ||||
Bidding credit value | $ 1,370 | ||||
Prior Arrangement | Northstar Wireless or Northstar Spectrum | |||||
Commitments relating to AWS-3 Auction | |||||
Number of licenses returned | item | 84 | ||||
Prior Arrangement | SNR | SNR Licenses | |||||
Commitments relating to AWS-3 Auction | |||||
Number of licenses returned | item | 113 |
Commitments and Contingencies_3
Commitments and Contingencies - Part 3 (Details) | 12 Months Ended | ||||||||||
Sep. 29, 2023 person | Sep. 29, 2023 item | Jun. 14, 2023 person | Sep. 01, 2020 | Sep. 23, 2016 USD ($) | Aug. 18, 2015 USD ($) | Jul. 17, 2015 USD ($) | Mar. 14, 2014 USD ($) | Dec. 31, 2023 USD ($) item | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Loss contingencies | |||||||||||
Number of Americans Nationwide For Deploy FiveG Services | 200 | 200,000,000 | 246,000,000 | ||||||||
Impairment of long-lived assets | $ 761,099,000 | $ 711,000 | $ 245,000 | ||||||||
Loss contingency terms | |||||||||||
Loss Contingency, Damages Awarded, Value | $ 90,000,000 | ||||||||||
Loss Contingency, Damages Paid, Value | $ 62,000,000 | ||||||||||
Northstar Spectrum And SNR Holdco | AWS-3 Licenses | |||||||||||
Loss contingencies | |||||||||||
Interim Build-out Requirement (as a percent) | 40% | ||||||||||
Final Build-out Requirement (as a percent) | 75% | ||||||||||
Accelerated period to meet Final Build-Out Requirement on failure to meet Interim Build-Out Requirement | 2 years | ||||||||||
Loss contingency terms | |||||||||||
Percentage of bidding credit | 25% | ||||||||||
Northstar Wireless or Northstar Spectrum | AWS-3 Licenses | |||||||||||
Loss contingency terms | |||||||||||
Percentage of bidding credit | 25% | ||||||||||
Northstar Wireless or Northstar Spectrum | AWS-3 Licenses | Vermont National Telephone Company | |||||||||||
Loss contingency terms | |||||||||||
Percentage of bidding credit | 25% | ||||||||||
Recovery amount | $ 10,000,000,000 | ||||||||||
Bidding credit value | 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% | ||||||||||
Bidding credit value | $ 1,961,000,000 | ||||||||||
SNR | SNR Licenses | |||||||||||
Loss contingency terms | |||||||||||
Percentage of bidding credit | 25% | ||||||||||
Bidding credit value | $ 1,370,000,000 | ||||||||||
Pending Litigation | ClearPlay | |||||||||||
Loss contingency terms | |||||||||||
Claim amount | $ 469,000,000 | ||||||||||
Pending Litigation | TQ Delta | |||||||||||
Loss contingency terms | |||||||||||
Claim amount | $ 251,000,000 | ||||||||||
Cyber-Security Class Actions | |||||||||||
Loss contingency terms | |||||||||||
Ten additional putative class action complaints | item | 10 | ||||||||||
License Fee Dispute | |||||||||||
Loss contingencies | |||||||||||
Payment schedule term (in years) | 10 years |
Commitments and Contingencies_4
Commitments and Contingencies - Accrual For License Fee Dispute (Details) | Sep. 01, 2020 |
License Fee Dispute | |
Loss Contingencies [Line Items] | |
Payment schedule term (in years) | 10 years |
Segment Reporting (Details)
Segment Reporting (Details) | 12 Months Ended |
Dec. 31, 2023 segment | |
Segment Reporting | |
Number of primary operating business segments | 4 |
Segment Reporting - Total Asset
Segment Reporting - Total Assets by Segment (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Segment Reporting | ||
Total assets | $ 57,108,894 | $ 58,748,281 |
Operating segment | Pay-TV | ||
Segment Reporting | ||
Total assets | 49,437,958 | 46,295,495 |
Operating segment | Retail Wireless | ||
Segment Reporting | ||
Total assets | 777,957 | 2,798,561 |
Operating segment | 5G Network Deployment | ||
Segment Reporting | ||
Total assets | 46,793,378 | 43,462,442 |
Operating segment | Broadband and Satellite Services | ||
Segment Reporting | ||
Total assets | 5,811,553 | 6,254,050 |
Eliminations | Eliminations | ||
Segment Reporting | ||
Total assets | $ (45,711,952) | $ (40,062,267) |
Segment Reporting - Revenue and
Segment Reporting - Revenue and Operating Income by Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting | |||||||||||
Total revenue | $ 4,162,596 | $ 4,108,874 | $ 4,356,462 | $ 4,387,666 | $ 4,533,017 | $ 4,581,914 | $ 4,698,483 | $ 4,820,832 | $ 17,015,598 | $ 18,634,246 | $ 19,818,678 |
Depreciation and amortization | 1,597,923 | 1,174,895 | 1,213,946 | ||||||||
Operating income (loss) | (852,126) | (31,349) | 252,228 | 353,338 | 427,514 | 472,349 | 738,535 | 594,440 | (277,909) | 2,232,838 | 3,422,404 |
Interest income | 207,374 | 93,240 | 33,903 | ||||||||
Interest expense, net of amounts capitalized | (90,357) | (79,217) | (111,151) | ||||||||
Other, net (Note 6) | (1,770,792) | 1,088,441 | 4,716 | ||||||||
Income tax (provision) benefit, net | 296,860 | (798,410) | (828,437) | ||||||||
Net income (loss) | $ (2,021,624) | $ (118,737) | $ 232,692 | $ 272,845 | $ 1,001,446 | $ 448,110 | $ 550,094 | $ 537,242 | (1,634,824) | 2,536,892 | 2,521,435 |
Pay-TV | |||||||||||
Segment Reporting | |||||||||||
Total revenue | 11,571,159 | 12,505,392 | 12,928,707 | ||||||||
Depreciation and amortization | 381,292 | 428,471 | 538,836 | ||||||||
Operating income (loss) | 2,699,810 | 2,933,898 | 3,075,579 | ||||||||
Interest income | 2,604,599 | 1,872,645 | 1,346,502 | ||||||||
Interest expense, net of amounts capitalized | (1,290,099) | (1,036,829) | (819,510) | ||||||||
Other, net (Note 6) | 74,114 | 1,264 | (2,917) | ||||||||
Income tax (provision) benefit, net | (578,739) | (911,955) | (853,363) | ||||||||
Net income (loss) | 3,509,685 | 2,859,023 | 2,746,291 | ||||||||
Retail Wireless | |||||||||||
Segment Reporting | |||||||||||
Total revenue | 3,692,372 | 4,135,129 | 4,897,205 | ||||||||
Depreciation and amortization | 221,968 | 177,914 | 176,833 | ||||||||
Operating income (loss) | (643,184) | (77,264) | 343,785 | ||||||||
Interest income | 27 | 5 | 6 | ||||||||
Interest expense, net of amounts capitalized | (64,565) | (49,123) | (1,309) | ||||||||
Other, net (Note 6) | (1,793,387) | 1,012,147 | 26,695 | ||||||||
Income tax (provision) benefit, net | 201,091 | (219,720) | (95,982) | ||||||||
Net income (loss) | (2,300,018) | 666,045 | 273,195 | ||||||||
5G Network Deployment | |||||||||||
Segment Reporting | |||||||||||
Total revenue | 91,928 | 65,768 | 73,889 | ||||||||
Depreciation and amortization | 620,685 | 131,566 | 23,005 | ||||||||
Operating income (loss) | (1,881,369) | (810,968) | (216,330) | ||||||||
Interest income | 3,041 | ||||||||||
Interest expense, net of amounts capitalized | (1,186,468) | (766,703) | (530,525) | ||||||||
Other, net (Note 6) | (22,603) | 25,571 | (3,221) | ||||||||
Income tax (provision) benefit, net | 749,311 | 399,939 | 186,534 | ||||||||
Net income (loss) | (2,338,088) | (1,152,161) | (563,542) | ||||||||
Broadband and Satellite Services | |||||||||||
Segment Reporting | |||||||||||
Total revenue | 1,755,559 | 1,998,093 | 1,985,720 | ||||||||
Depreciation and amortization | 419,262 | 462,748 | 496,361 | ||||||||
Operating income (loss) | (458,609) | 181,615 | 209,042 | ||||||||
Interest income | 105,730 | 50,900 | 22,801 | ||||||||
Interest expense, net of amounts capitalized | (55,670) | (57,169) | (95,512) | ||||||||
Other, net (Note 6) | (29,287) | 49,846 | (15,951) | ||||||||
Income tax (provision) benefit, net | (74,803) | (66,674) | (65,626) | ||||||||
Net income (loss) | (512,639) | 158,518 | 54,754 | ||||||||
All Other & Eliminations | |||||||||||
Segment Reporting | |||||||||||
Total revenue | (95,420) | (70,136) | (66,843) | ||||||||
Depreciation and amortization | (45,284) | (25,804) | (21,089) | ||||||||
Operating income (loss) | 5,443 | 5,557 | 10,328 | ||||||||
Interest income | (2,506,023) | (1,830,310) | (1,335,406) | ||||||||
Interest expense, net of amounts capitalized | 2,506,445 | 1,830,607 | 1,335,705 | ||||||||
Other, net (Note 6) | 371 | (387) | 110 | ||||||||
Net income (loss) | $ 6,236 | $ 5,467 | $ 10,737 |
Segment Reporting - Purchases o
Segment Reporting - Purchases of Property and Equipment by Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting | |||
Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) | $ 4,224,783 | $ 4,034,781 | $ 2,397,197 |
Pay-TV | |||
Segment Reporting | |||
Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) | 242,736 | 131,093 | 173,485 |
5G Network Deployment | |||
Segment Reporting | |||
Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) | 3,748,624 | 3,580,518 | 1,790,042 |
Broadband and Satellite Services | |||
Segment Reporting | |||
Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) | $ 233,423 | 325,891 | 438,430 |
Eliminations | |||
Segment Reporting | |||
Purchases of property and equipment, net of refunds, (including capitalized interest related to regulatory authorizations) | $ (2,721) | $ (4,760) |
Segment Reporting - Revenue by
Segment Reporting - Revenue by Geographic Region (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting | |||||||||||
Total revenue | $ 4,162,596 | $ 4,108,874 | $ 4,356,462 | $ 4,387,666 | $ 4,533,017 | $ 4,581,914 | $ 4,698,483 | $ 4,820,832 | $ 17,015,598 | $ 18,634,246 | $ 19,818,678 |
North America | |||||||||||
Segment Reporting | |||||||||||
Total revenue | 16,670,377 | 18,244,417 | 19,479,649 | ||||||||
Foreign | |||||||||||
Segment Reporting | |||||||||||
Total revenue | $ 345,221 | $ 389,829 | $ 339,029 |
Segment Reporting - Long-Lived
Segment Reporting - Long-Lived Assets by Geographic Region (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Segment Reporting | ||
Total long-lived assets | $ 51,200,262 | $ 48,124,395 |
North America | ||
Segment Reporting | ||
Total long-lived assets | 50,965,318 | 47,829,433 |
Foreign | ||
Segment Reporting | ||
Total long-lived assets | $ 234,944 | $ 294,962 |
Segment Reporting - Revenue fro
Segment Reporting - Revenue from External Customers (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting | |||||||||||
Revenues | $ 4,162,596 | $ 4,108,874 | $ 4,356,462 | $ 4,387,666 | $ 4,533,017 | $ 4,581,914 | $ 4,698,483 | $ 4,820,832 | $ 17,015,598 | $ 18,634,246 | $ 19,818,678 |
Pay-TV | Pay-TV subscriber and related revenue | |||||||||||
Segment Reporting | |||||||||||
Revenues | 11,385,961 | 12,360,601 | 12,787,485 | ||||||||
Pay-TV | Equipment sales and other revenue | |||||||||||
Segment Reporting | |||||||||||
Revenues | 185,198 | 144,791 | 141,222 | ||||||||
Retail Wireless | |||||||||||
Segment Reporting | |||||||||||
Revenues | 3,692,372 | 4,135,129 | 4,897,205 | ||||||||
Retail Wireless | Wireless services and related revenue | |||||||||||
Segment Reporting | |||||||||||
Revenues | 3,337,240 | 3,653,909 | 4,142,883 | ||||||||
Retail Wireless | Equipment sales and other revenue | |||||||||||
Segment Reporting | |||||||||||
Revenues | 355,132 | 481,220 | 754,322 | ||||||||
5G Network Deployment | |||||||||||
Segment Reporting | |||||||||||
Revenues | 91,928 | 65,768 | 73,889 | ||||||||
5G Network Deployment | Equipment sales and other revenue | |||||||||||
Segment Reporting | |||||||||||
Revenues | 91,928 | 65,768 | 73,889 | ||||||||
Broadband and satellite services | |||||||||||
Segment Reporting | |||||||||||
Revenues | 1,755,559 | 1,998,093 | 1,985,720 | ||||||||
Broadband and satellite services | Broadband and satellite services and other revenue | |||||||||||
Segment Reporting | |||||||||||
Revenues | 1,443,616 | 1,611,069 | 1,702,288 | ||||||||
Broadband and satellite services | Equipment sales and other revenue | |||||||||||
Segment Reporting | |||||||||||
Revenues | 311,943 | 387,024 | 283,432 | ||||||||
Eliminations | |||||||||||
Segment Reporting | |||||||||||
Revenues | (95,420) | (70,136) | (66,843) | ||||||||
Eliminations | Eliminations services and related revenue | |||||||||||
Segment Reporting | |||||||||||
Eliminations | $ (95,420) | $ (70,136) | $ (66,843) |
Revenue Recognition - Valuation
Revenue Recognition - Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue Recognition | |||
Balance at beginning of period | $ 59,790 | $ 53,122 | $ 87,665 |
Current period provision for expected credit losses | 101,387 | 112,575 | 76,674 |
Write-offs charged against allowance | (87,113) | (109,856) | (111,463) |
Acquisitions | 78 | 92 | |
Foreign currency translation | 326 | 3,871 | 154 |
Balance at end of period | $ 74,390 | $ 59,790 | $ 53,122 |
Revenue Recognition - Contract
Revenue Recognition - Contract Asset and Contract Liability Balances (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Contract Asset and Contract Liability Balances | ||
Contract assets | $ 66,103 | $ 73,435 |
Contract liabilities | 710,456 | $ 802,823 |
Customer Contract | ||
Contract Asset and Contract Liability Balances | ||
Contract liabilities | $ 730,000 |
Revenue Recognition - Activity
Revenue Recognition - Activity in Contract Acquisition Costs, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue Recognition | |||
Balance at beginning of period | $ 460,876 | $ 555,614 | $ 567,789 |
Additions | 321,470 | 400,124 | 460,573 |
Amortization expense | (431,181) | (495,456) | (471,571) |
Foreign currency translation | 949 | 594 | (1,177) |
Balance at end of period | $ 352,114 | $ 460,876 | $ 555,614 |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Revenue Recognition | |
Remaining performance obligation | $ 1,740 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | |
Revenue Recognition | |
Remaining performance obligation period | 1 year |
Remaining performance obligation, percentage | 27% |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |
Revenue Recognition | |
Remaining performance obligation period | 1 year |
Remaining performance obligation, percentage | 73% |
Quarterly Financial Data (Una_3
Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Quarterly Financial Data (Unaudited) | |||||||||||
Total revenue | $ 4,162,596 | $ 4,108,874 | $ 4,356,462 | $ 4,387,666 | $ 4,533,017 | $ 4,581,914 | $ 4,698,483 | $ 4,820,832 | $ 17,015,598 | $ 18,634,246 | $ 19,818,678 |
Operating income (loss) | (852,126) | (31,349) | 252,228 | 353,338 | 427,514 | 472,349 | 738,535 | 594,440 | (277,909) | 2,232,838 | 3,422,404 |
Net income (loss) | (2,021,624) | (118,737) | 232,692 | 272,845 | 1,001,446 | 448,110 | 550,094 | 537,242 | (1,634,824) | 2,536,892 | 2,521,435 |
Net income (loss) attributable to EchoStar | $ (2,029,882) | $ (138,371) | $ 212,662 | $ 253,534 | $ 984,264 | $ 433,608 | $ 536,314 | $ 523,534 | $ (1,702,057) | $ 2,477,720 | $ 2,486,285 |
Basic net income (loss) per share attributable to EchoStar (In dollar per share) | $ (7.48) | $ (0.51) | $ 0.79 | $ 0.94 | $ 3.65 | $ 1.61 | $ 1.98 | $ 1.93 | $ (6.28) | $ 9.17 | $ 9.04 |
Diluted net income (loss) per share attributable to EchoStar (In dollar per share) | $ (7.48) | $ (0.51) | $ 0.69 | $ 0.82 | $ 3.21 | $ 1.41 | $ 1.74 | $ 1.69 | $ (6.28) | $ 8.05 | $ 7.94 |
Acquisitions and Deconsolidat_2
Acquisitions and Deconsolidations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Jan. 04, 2022 | |
Bharti | India JV | ||
Business Acquisition [Line Items] | ||
Ownership percentage owned by noncontrolling owners | 33% | |
Hughes Systique Corporation | ||
Business Acquisition [Line Items] | ||
Ownership percentage | 42% | |
Ownership interest percentage by related party | 25% | |
Deconsolidation amount | $ 0 | |
India JV | ||
Business Acquisition [Line Items] | ||
Ownership interest | 67% |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Related Party Transactions | |||
Amounts receivable related party | $ 1,122,139 | $ 1,182,597 | |
Amounts payable to related party | $ 774,011 | 1,023,537 | |
TerreStar Solutions, Inc | |||
Related Party Transactions | |||
Ownership interest (as a percent) | 40% | ||
Deluxe/EchoStar LLC | |||
Related Party Transactions | |||
Ownership interest (as a percent) | 50% | ||
Broadband Connectivity Solutions (Restricted) Limited | |||
Related Party Transactions | |||
Ownership interest (as a percent) | 20% | ||
Hughes Systique | |||
Related Party Transactions | |||
Ownership interest (as a percent) | 42% | ||
NagraStar L.L.C. | |||
Related Party Transactions | |||
Ownership interest (as a percent) | 50% | ||
TerreStar Solutions, Inc | |||
Related Party Transactions | |||
Revenue from related party | $ 1,930 | 1,951 | $ 1,924 |
Amounts receivable related party | 485 | ||
Deluxe/EchoStar LLC | |||
Related Party Transactions | |||
Revenue from related party | 5,794 | 5,334 | 5,480 |
Amounts receivable related party | 1,247 | 3,026 | |
Broadband Connectivity Solutions (Restricted) Limited | |||
Related Party Transactions | |||
Revenue from related party | 3,426 | 7,933 | 8,278 |
Amounts receivable related party | 3,333 | 5,062 | |
Hughes Systique | |||
Related Party Transactions | |||
Purchases from related party | 19,597 | ||
Amounts payable to related party | 1,704 | ||
NagraStar L.L.C. | |||
Related Party Transactions | |||
Purchases from related party | 37,068 | 43,416 | $ 45,944 |
Amounts payable to related party | 9,821 | 7,422 | |
Commitments to related party | $ 1,727 | $ 3,272 |
Subsequent Events (Details)
Subsequent Events (Details) - item | Jan. 10, 2024 | Jan. 16, 2024 | Jan. 12, 2024 | Dec. 31, 2023 |
Subsequent Event [Line Items] | ||||
Interest rate (as a percent) | 0.25% | |||
Subsequent event | ||||
Subsequent Event [Line Items] | ||||
Number of dish TV holds by DBS subscriber | 3,000,000 | |||
Subsequent event | Convertible notes due 2025 | ||||
Subsequent Event [Line Items] | ||||
Interest rate (as a percent) | 0% | |||
Subsequent event | Convertible notes due 2026 | ||||
Subsequent Event [Line Items] | ||||
Interest rate (as a percent) | 8% | |||
Subsequent event | Convertible notes due 2030 | ||||
Subsequent Event [Line Items] | ||||
Interest rate (as a percent) | 10% | |||
Subsequent event | Senior notes due 2024 | ||||
Subsequent Event [Line Items] | ||||
Interest rate (as a percent) | 8% | |||
Subsequent event | Senior notes due 2026 | ||||
Subsequent Event [Line Items] | ||||
Interest rate (as a percent) | 4% | |||
Subsequent event | Senior notes due 2028 | ||||
Subsequent Event [Line Items] | ||||
Interest rate (as a percent) | 8% | |||
Subsequent event | Senior notes due 2029 | ||||
Subsequent Event [Line Items] | ||||
Interest rate (as a percent) | 8% |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Non-Rule10b5-1 Arrangement Modified | false |
Rule10b5-1 Arrangement Modified | false |