Quarterly report pursuant to Section 13 or 15(d)

Revenue from Contracts with Customers

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Revenue from Contracts with Customers
 3 Months Ended
Mar. 31, 2023
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers Revenue from Contracts with Customers
Revenue by Market
The table below presents disaggregated net revenues by market (in thousands):
Three Months Ended March 31,
2023 2022
Broadband $ 81,681  $ 134,556 
% of net revenue 33  % 51  %
Connectivity 66,268  60,179 
% of net revenue 27  % 23  %
Infrastructure 46,302  33,181 
% of net revenue 18  % 12  %
Industrial and multi-market 54,191  36,011 
% of net revenue 22  % 14  %
Total net revenue $ 248,442  $ 263,927 
Revenues from sales through the Company’s distributors accounted for 43% and 47% of net revenue for the three months ended March 31, 2023 and 2022, respectively.
Contract Liabilities
As of March 31, 2023 and December 31, 2022, customer contract liabilities were approximately $1.1 million and $1.1 million, respectively, and consisted primarily of advanced payments received for which performance obligations have not been completed. Revenue recognized in each of the three months ended March 31, 2023 and 2022 that was included in the contract liability balance as of the beginning of each of those respective periods was immaterial.
There were no material changes in the contract liabilities balance during the three months ended March 31, 2023 and 2022.
Obligations to Customers for Price Adjustments and Returns and Assets for Right-of-Returns
As of March 31, 2023 and December 31, 2022, obligations to customers consisting of estimates of price protection rights offered to the Company’s end customers totaled $103.8 million and $113.3 million, respectively, and are included in accrued price protection liability in the consolidated balance sheets. For activity in this account, including amounts included in net revenue, refer to Note 7. Other obligations to customers representing estimates of price adjustments to be claimed by distributors upon sell-through of their inventory to their end customer and estimates of stock rotation returns to be claimed by distributors on products sold as of March 31, 2023 were $62.3 million and $0.7 million, respectively, and as of December 31, 2022 were $52.4 million and $0.6 million, respectively, and are included in accrued expenses and other current liabilities in the consolidated balance sheets (Note 7). The increase in revenue in each of the three months ended March 31, 2023 and 2022 from net changes in transaction prices for amounts included in obligations to customers for price adjustments as of the beginning of those respective periods was not material.
As of March 31, 2023 and December 31, 2022, right of return assets under customer contracts representing the estimates of product inventory the Company expects to receive from customers in stock rotation returns were approximately $0.3 million and $0.2 million, respectively. Right of return assets are included in inventory in the consolidated balance sheets.
As of March 31, 2023 and December 31, 2022, there were no impairment losses recorded on customer accounts receivable.