in advance of the launch of the commercial version of geomx dsp , we have provided early access to the system 's capabilities by offering selected customers the opportunity to send biological samples to our seattle facility to be tested by us on prototype instruments . to date , we have conducted over 70 projects for approximately 50 customers pursuant to this technology access program , or tap . in addition , in the third quarter of 2018 we announced the geomx priority site , or gps , program . the gps program is designed to provide customers the opportunity to be among the first to receive a geomx dsp instrument following its commercial launch , as well as advanced service and support . inclusion in the gps program has also provided researchers the opportunity to begin generating data on samples through our tap service . as of december 31 , 2018 , we have received over 30 orders for geomx dsp pursuant to our gps program . the full commercial launch of geomx dsp instruments and consumables is expected to commence during the first half of 2019 , with installations of commercial instruments expected to commence in the second half of 2019. the second new platform , our hyb & seq molecular profiling system , is designed to use a modified version of our proprietary chemistry to determine and analyze gene sequences within a biological sample , or to potentially profile the activity of an even greater number of genes as compared to our ncounter analysis system . hyb & seq is designed to determine gene sequences using a work flow with fewer steps as compared to currently available gene sequencing technologies . hyb & seq is expected to become commercially available during 2021 . - 49 - in august 2017 , we entered into a collaboration agreement with lam research corporation , or lam , to support the development of our hyb & seq product candidate and related assays . for additional information regarding this development collaboration agreement , see the section of this report captioned “ business—collaborations—lam research corporation ” . in march 2014 , we entered into a collaboration agreement with celgene corporation , or celgene , to develop , seek regulatory approval for , and commercialize a companion diagnostic assay for use in screening patients with diffuse large b-cell lymphoma . for additional information regarding the collaboration agreement , see the section of this report captioned “ business—collaborations—celgene corporation ” . in may 2015 , we entered into a clinical research collaboration agreement with merck sharp & dohme corp. , a subsidiary of merck & co. , inc. , or merck , to develop an assay intended to optimize immune-related gene expression signatures and evaluate the potential to predict benefit from merck 's anti-pd-1 therapy , keytruda , in multiple tumor types . in october 2017 , we were notified by merck of the decision not to pursue regulatory approval of the companion diagnostic test for keytruda . as a result , in august 2018 , we and merck agreed to mutually terminate our development collaboration agreement , effective as of september 30 , 2018 , following the completion of certain close-out activities . in january 2016 , we entered into a collaboration with medivation , inc. and astellas pharma inc. to pursue the translation of a novel gene expression signature algorithm discovered by medivation into a companion diagnostic assay using the ncounter analysis system . in september 2016 , medivation was acquired by pfizer , inc. , or pfizer , and became a wholly owned subsidiary of pfizer . in may 2017 , we received notification from pfizer and astellas terminating the collaboration agreement as a result of a decision to discontinue the related clinical trial . our product and service revenue increased 16.0 % to $ 83.5 million in 2018 , compared to $ 72.0 million in 2017. the increase was driven primarily by increased revenue from consumables and prosigna , and increased revenue from service contracts associated with our growing installed base of ncounter analysis systems and for our geomx dsp technology access service . our total revenue in 2018 was $ 106.7 million compared to $ 114.9 million in 2017 and $ 86.5 million in 2016 . our total revenue has varied more significantly as compared to our product and service revenue , and may do so in future periods , as a result of the timing of revenue recognition associated with our collaboration agreements . revenue recognition relating to these agreements , which is recorded as collaboration revenue , primarily consists of recognizing deferred revenue relating to cash payments received previously from our collaborators . collaboration revenue recognized may vary significantly depending on the timing and cost of certain research and development activities relating to a collaboration , the expected time frame for completing certain collaboration activities , the outcome of research and development activities being conducted pursuant to a collaboration , the contractual terms of a particular collaboration agreement and other factors . historically , we have generated a substantial majority of our revenue from sales to customers in north america ; however , we expect sales in other regions may increase over time . we have never been profitable and had net losses of $ 77.4 million , $ 43.6 million , and $ 47.1 million in 2018 , 2017 , and 2016 , respectively . as of december 31 , 2018 , our accumulated deficit was $ 391.3 million . key financial metrics we are organized as , and operate in , one reportable segment : the development , manufacture and commercialization of instruments , consumables and services for efficiently profiling the activity of hundreds of genes and proteins simultaneously from a single tissue sample . our chief operating decision maker is the chief executive officer , who manages our operations and evaluates our financial performance on a total company basis . story_separator_special_tag the following table reflects the breakdown of revenue in absolute dollars and as percentage of total revenue . replace_table_token_4_th - 54 - results of operations comparison of years ended december 31 , 2018 and 2017 revenue replace_table_token_5_th instrument revenue for the year ended december 31 , 2018 increased as compared to the prior year , due primarily to an increase in the number of instruments sold . the magnitude of the instrument revenue increase was partially offset by a shift in sales mix towards our sprint instruments , which generally have lower average selling prices than our max and flex instruments . consumables revenue increased for the year ended december 31 , 2018 , primarily as a result of our growing installed base of ncounter analysis systems , as well as growth in sales of our standardized panel consumable products . in vitro diagnostic kit revenue represents sales of prosigna assays , which increased for the year ended december 31 , 2018 as more testing providers commenced providing services and testing volumes increased , most significantly in territories outside of the united states . the increase in service revenue was primarily related to an increase in the number of installed instruments covered by service contracts , and also increases in revenue generated from technology access fees , particularly fees related to services offered pursuant to our geomx dsp technology access program . our product and service revenue may continue to increase in future periods as a result of our increased investments in sales and marketing activities , the growth in sales of our ncounter consumable products as driven by our increasing installed base of ncounter instruments , the introduction of new ncounter consumable products , the continued sale of additional ncounter instruments and the potential commercial launch of new product platforms such as our geomx dsp and hyb & seq product candidates . as an offset to our anticipated expenses relating to the development of our hyb & seq platform , lam has committed to provide up to $ 50.0 million in funding , of which $ 35.1 million has been funded as of december 31 , 2018. collaboration revenue decreased for the year ended december 31 , 2018 as compared to the prior year , due primarily to the termination of our collaboration with medivation and astellas in 2017. the termination resulted in the recognition of deferred collaboration revenue of $ 11.5 million for the year ended december 31 , 2017 , which represented all of the remaining deferred revenue relating to the terminated collaboration . in addition , the scope of our collaboration with merck changed during the fourth quarter of 2017 , resulting in a further reduction of collaboration revenue in 2018 as compared to the same period in 2017. these decreases were partially offset by collaboration revenue generated from our agreements with lam and celgene . our collaboration agreement with lam was entered into during the third quarter of 2017 and represented $ 18.6 million of collaboration revenue for the year ended december 31 , 2018 . collaboration revenue related to our agreement with lam was $ 3.7 million for the year ended december 31 , 2017. cost of product and service revenue ; gross profit ; and gross margin replace_table_token_6_th for the year ended december 31 , 2018 , cost of product and service revenue increased as compared to the same periods in 2017 , due to higher volumes of instruments and consumables sold , including our prosigna in vitro diagnostic kits , as well as increased volume of service contracts associated with our growing installed base of ncounter instruments . our gross margin on product and service revenue for the year ended december 31 , 2018 increased compared to the prior year primarily as a result of increased consumable revenue as a percentage of our overall sales mix , including sales of our prosigna in vitro diagnostic kits , - 55 - which generally have higher gross margins than our instrument placements , as well as increasing sales of our ncounter panel products as a percentage of our consumables revenue . the favorable mix shift towards consumables comprising a higher percentage of our total product and service revenues was partially offset by an increase in the number of lower margin sprint instrument sales , and modestly lower average selling prices realized across all instrument sales , as compared to the prior year . in addition , our gross margin during the year ended december 31 , 2018 was also impacted by increases in outside consulting and other costs relating to quality assurance and system requirements for diagnostic products related manufacturing . we expect our cost of product and service revenue to increase in future periods , primarily due to our expected growth in product and service revenue . we expect our gross margin on product and service revenue may fluctuate in future periods , depending upon our mix of instrument sales , from which we typically record lower gross margins , as compared to our sales of consumable products or services , the impact of the launch , and any sales achieved , of our new product platforms such as our geomx or hyb & seq product platforms , which during any initial launch may impact our mix of instruments sold as compared to consumables , and potential expenses we may incur for regulatory compliance , quality assurance or related to the expansion of our manufacturing capacity . any costs related to collaboration revenue are included in research and development expense . research and development expense year ended december 31 , change 2018 2017 dollars percentage ( dollars in thousands ) research and development expense $ 61,599 $ 46,888 $ 14,711 31 % the increase in research and development expense for the year ended december 31 , 2018 was primarily attributable to an increase in staffing and personnel-related costs of $ 6.2 million , as well as increased supply costs of $ 4.1 million

debt instruments term loan agreements in april 2014 , we entered into a term loan agreement , or the 2014 term loan , under which we could borrow up to $ 45.0 million . in october 2015 , we amended the 2014 term loan primarily to increase the maximum borrowing capacity to $ 60.0 million , excluding deferred interest , reduce the applicable interest rate from 12.5 % to 12.0 % , extend the interest-only period through march 2021 , and extend the final maturity to march 2022. under the 2014 term loan , borrowings accrued interest at 12.0 % annually , payable quarterly , of which 3.0 % could be deferred during the first six years of the amended term at our option and paid together with the principal at maturity . we borrowed a total of $ 45.0 million under the 2014 term loan through june 2016 , excluding deferred interest . on december 31 , 2016 , our option to borrow the remaining $ 15.0 million under the 2014 term loan expired . total borrowings and deferred interest under the 2014 term loan were $ 49.3 million as of december 31 , 2017 . in october 2018 , we entered into an amended and restated term loan agreement , or the 2018 term loan , under which we may borrow up to $ 100.0 million , which is due and payable in september 2024. at closing , we received net proceeds of approximately $ 7.8 million , pursuant to borrowings of $ 60.0 million under the new facility , net of repayment of our 2014 term loan of $ 50.4 million , including deferred interest and transaction-related fees and expenses . of the $ 40.0 million in additional borrowing capacity under the 2018 term loan , we have the option to borrow up to $ 20.0 million until june 2019 subject to no further terms and conditions , and up to an additional $ 20.0 million until march 2020 , subject to the achievement of annual revenue thresholds as at or prior to december 31 , 2019.


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```debt instruments term loan agreements in april 2014 , we entered into a term loan agreement , or the 2014 term loan , under which we could borrow up to $ 45.0 million . in october 2015 , we amended the 2014 term loan primarily to increase the maximum borrowing capacity to $ 60.0 million , excluding deferred interest , reduce the applicable interest rate from 12.5 % to 12.0 % , extend the interest-only period through march 2021 , and extend the final maturity to march 2022. under the 2014 term loan , borrowings accrued interest at 12.0 % annually , payable quarterly , of which 3.0 % could be deferred during the first six years of the amended term at our option and paid together with the principal at maturity . we borrowed a total of $ 45.0 million under the 2014 term loan through june 2016 , excluding deferred interest . on december 31 , 2016 , our option to borrow the remaining $ 15.0 million under the 2014 term loan expired . total borrowings and deferred interest under the 2014 term loan were $ 49.3 million as of december 31 , 2017 . in october 2018 , we entered into an amended and restated term loan agreement , or the 2018 term loan , under which we may borrow up to $ 100.0 million , which is due and payable in september 2024. at closing , we received net proceeds of approximately $ 7.8 million , pursuant to borrowings of $ 60.0 million under the new facility , net of repayment of our 2014 term loan of $ 50.4 million , including deferred interest and transaction-related fees and expenses . of the $ 40.0 million in additional borrowing capacity under the 2018 term loan , we have the option to borrow up to $ 20.0 million until june 2019 subject to no further terms and conditions , and up to an additional $ 20.0 million until march 2020 , subject to the achievement of annual revenue thresholds as at or prior to december 31 , 2019.
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 Suspicious Activity Report : in advance of the launch of the commercial version of geomx dsp , we have provided early access to the system 's capabilities by offering selected customers the opportunity to send biological samples to our seattle facility to be tested by us on prototype instruments . to date , we have conducted over 70 projects for approximately 50 customers pursuant to this technology access program , or tap . in addition , in the third quarter of 2018 we announced the geomx priority site , or gps , program . the gps program is designed to provide customers the opportunity to be among the first to receive a geomx dsp instrument following its commercial launch , as well as advanced service and support . inclusion in the gps program has also provided researchers the opportunity to begin generating data on samples through our tap service . as of december 31 , 2018 , we have received over 30 orders for geomx dsp pursuant to our gps program . the full commercial launch of geomx dsp instruments and consumables is expected to commence during the first half of 2019 , with installations of commercial instruments expected to commence in the second half of 2019. the second new platform , our hyb & seq molecular profiling system , is designed to use a modified version of our proprietary chemistry to determine and analyze gene sequences within a biological sample , or to potentially profile the activity of an even greater number of genes as compared to our ncounter analysis system . hyb & seq is designed to determine gene sequences using a work flow with fewer steps as compared to currently available gene sequencing technologies . hyb & seq is expected to become commercially available during 2021 . - 49 - in august 2017 , we entered into a collaboration agreement with lam research corporation , or lam , to support the development of our hyb & seq product candidate and related assays . for additional information regarding this development collaboration agreement , see the section of this report captioned “ business—collaborations—lam research corporation ” . in march 2014 , we entered into a collaboration agreement with celgene corporation , or celgene , to develop , seek regulatory approval for , and commercialize a companion diagnostic assay for use in screening patients with diffuse large b-cell lymphoma . for additional information regarding the collaboration agreement , see the section of this report captioned “ business—collaborations—celgene corporation ” . in may 2015 , we entered into a clinical research collaboration agreement with merck sharp & dohme corp. , a subsidiary of merck & co. , inc. , or merck , to develop an assay intended to optimize immune-related gene expression signatures and evaluate the potential to predict benefit from merck 's anti-pd-1 therapy , keytruda , in multiple tumor types . in october 2017 , we were notified by merck of the decision not to pursue regulatory approval of the companion diagnostic test for keytruda . as a result , in august 2018 , we and merck agreed to mutually terminate our development collaboration agreement , effective as of september 30 , 2018 , following the completion of certain close-out activities . in january 2016 , we entered into a collaboration with medivation , inc. and astellas pharma inc. to pursue the translation of a novel gene expression signature algorithm discovered by medivation into a companion diagnostic assay using the ncounter analysis system . in september 2016 , medivation was acquired by pfizer , inc. , or pfizer , and became a wholly owned subsidiary of pfizer . in may 2017 , we received notification from pfizer and astellas terminating the collaboration agreement as a result of a decision to discontinue the related clinical trial . our product and service revenue increased 16.0 % to $ 83.5 million in 2018 , compared to $ 72.0 million in 2017. the increase was driven primarily by increased revenue from consumables and prosigna , and increased revenue from service contracts associated with our growing installed base of ncounter analysis systems and for our geomx dsp technology access service . our total revenue in 2018 was $ 106.7 million compared to $ 114.9 million in 2017 and $ 86.5 million in 2016 . our total revenue has varied more significantly as compared to our product and service revenue , and may do so in future periods , as a result of the timing of revenue recognition associated with our collaboration agreements . revenue recognition relating to these agreements , which is recorded as collaboration revenue , primarily consists of recognizing deferred revenue relating to cash payments received previously from our collaborators . collaboration revenue recognized may vary significantly depending on the timing and cost of certain research and development activities relating to a collaboration , the expected time frame for completing certain collaboration activities , the outcome of research and development activities being conducted pursuant to a collaboration , the contractual terms of a particular collaboration agreement and other factors . historically , we have generated a substantial majority of our revenue from sales to customers in north america ; however , we expect sales in other regions may increase over time . we have never been profitable and had net losses of $ 77.4 million , $ 43.6 million , and $ 47.1 million in 2018 , 2017 , and 2016 , respectively . as of december 31 , 2018 , our accumulated deficit was $ 391.3 million . key financial metrics we are organized as , and operate in , one reportable segment : the development , manufacture and commercialization of instruments , consumables and services for efficiently profiling the activity of hundreds of genes and proteins simultaneously from a single tissue sample . our chief operating decision maker is the chief executive officer , who manages our operations and evaluates our financial performance on a total company basis . story_separator_special_tag the following table reflects the breakdown of revenue in absolute dollars and as percentage of total revenue . replace_table_token_4_th - 54 - results of operations comparison of years ended december 31 , 2018 and 2017 revenue replace_table_token_5_th instrument revenue for the year ended december 31 , 2018 increased as compared to the prior year , due primarily to an increase in the number of instruments sold . the magnitude of the instrument revenue increase was partially offset by a shift in sales mix towards our sprint instruments , which generally have lower average selling prices than our max and flex instruments . consumables revenue increased for the year ended december 31 , 2018 , primarily as a result of our growing installed base of ncounter analysis systems , as well as growth in sales of our standardized panel consumable products . in vitro diagnostic kit revenue represents sales of prosigna assays , which increased for the year ended december 31 , 2018 as more testing providers commenced providing services and testing volumes increased , most significantly in territories outside of the united states . the increase in service revenue was primarily related to an increase in the number of installed instruments covered by service contracts , and also increases in revenue generated from technology access fees , particularly fees related to services offered pursuant to our geomx dsp technology access program . our product and service revenue may continue to increase in future periods as a result of our increased investments in sales and marketing activities , the growth in sales of our ncounter consumable products as driven by our increasing installed base of ncounter instruments , the introduction of new ncounter consumable products , the continued sale of additional ncounter instruments and the potential commercial launch of new product platforms such as our geomx dsp and hyb & seq product candidates . as an offset to our anticipated expenses relating to the development of our hyb & seq platform , lam has committed to provide up to $ 50.0 million in funding , of which $ 35.1 million has been funded as of december 31 , 2018. collaboration revenue decreased for the year ended december 31 , 2018 as compared to the prior year , due primarily to the termination of our collaboration with medivation and astellas in 2017. the termination resulted in the recognition of deferred collaboration revenue of $ 11.5 million for the year ended december 31 , 2017 , which represented all of the remaining deferred revenue relating to the terminated collaboration . in addition , the scope of our collaboration with merck changed during the fourth quarter of 2017 , resulting in a further reduction of collaboration revenue in 2018 as compared to the same period in 2017. these decreases were partially offset by collaboration revenue generated from our agreements with lam and celgene . our collaboration agreement with lam was entered into during the third quarter of 2017 and represented $ 18.6 million of collaboration revenue for the year ended december 31 , 2018 . collaboration revenue related to our agreement with lam was $ 3.7 million for the year ended december 31 , 2017. cost of product and service revenue ; gross profit ; and gross margin replace_table_token_6_th for the year ended december 31 , 2018 , cost of product and service revenue increased as compared to the same periods in 2017 , due to higher volumes of instruments and consumables sold , including our prosigna in vitro diagnostic kits , as well as increased volume of service contracts associated with our growing installed base of ncounter instruments . our gross margin on product and service revenue for the year ended december 31 , 2018 increased compared to the prior year primarily as a result of increased consumable revenue as a percentage of our overall sales mix , including sales of our prosigna in vitro diagnostic kits , - 55 - which generally have higher gross margins than our instrument placements , as well as increasing sales of our ncounter panel products as a percentage of our consumables revenue . the favorable mix shift towards consumables comprising a higher percentage of our total product and service revenues was partially offset by an increase in the number of lower margin sprint instrument sales , and modestly lower average selling prices realized across all instrument sales , as compared to the prior year . in addition , our gross margin during the year ended december 31 , 2018 was also impacted by increases in outside consulting and other costs relating to quality assurance and system requirements for diagnostic products related manufacturing . we expect our cost of product and service revenue to increase in future periods , primarily due to our expected growth in product and service revenue . we expect our gross margin on product and service revenue may fluctuate in future periods , depending upon our mix of instrument sales , from which we typically record lower gross margins , as compared to our sales of consumable products or services , the impact of the launch , and any sales achieved , of our new product platforms such as our geomx or hyb & seq product platforms , which during any initial launch may impact our mix of instruments sold as compared to consumables , and potential expenses we may incur for regulatory compliance , quality assurance or related to the expansion of our manufacturing capacity . any costs related to collaboration revenue are included in research and development expense . research and development expense year ended december 31 , change 2018 2017 dollars percentage ( dollars in thousands ) research and development expense $ 61,599 $ 46,888 $ 14,711 31 % the increase in research and development expense for the year ended december 31 , 2018 was primarily attributable to an increase in staffing and personnel-related costs of $ 6.2 million , as well as increased supply costs of $ 4.1 million

