Composition of Certain Financial Statement Items (Tables)
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12 Months Ended |
Sep. 26, 2021 |
|---|
| Balance Sheet Related Disclosures [Abstract] |
|
| Accounts Receivable |
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Accounts Receivable (in millions) |
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|
|
|
September 26,
2021 |
|
September 27,
2020 |
| Trade, net of allowances for doubtful accounts |
$ |
2,214 |
|
|
$ |
2,687 |
|
|
|
|
|
| Unbilled |
1,354 |
|
|
1,305 |
|
| Other |
11 |
|
|
11 |
|
|
$ |
3,579 |
|
|
$ |
4,003 |
|
|
| Inventories |
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|
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Inventories (in millions) |
|
|
|
|
September 26,
2021 |
|
September 27,
2020 |
| Raw materials |
$ |
267 |
|
|
$ |
94 |
|
| Work-in-process |
1,475 |
|
|
1,155 |
|
| Finished goods |
1,486 |
|
|
1,349 |
|
|
$ |
3,228 |
|
|
$ |
2,598 |
|
|
| Property, Plant and Equipment |
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|
|
|
|
|
|
|
|
|
|
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| Property, Plant and Equipment (in millions) |
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|
|
|
September 26,
2021 |
|
September 27,
2020 |
| Land |
$ |
172 |
|
|
$ |
173 |
|
| Buildings and improvements |
1,642 |
|
|
1,606 |
|
| Computer equipment and software |
1,483 |
|
|
1,427 |
|
| Machinery and equipment |
6,420 |
|
|
5,095 |
|
| Furniture and office equipment |
94 |
|
|
90 |
|
| Leasehold improvements |
374 |
|
|
320 |
|
| Construction in progress |
269 |
|
|
134 |
|
|
10,454 |
|
|
8,845 |
|
| Less accumulated depreciation and amortization |
(5,895) |
|
|
(5,134) |
|
|
$ |
4,559 |
|
|
$ |
3,711 |
|
|
| Goodwill |
The following table presents the goodwill allocated to our reportable and nonreportable segments, as described in Note 8, as well as the changes in the carrying amounts of goodwill during fiscal 2021 and 2020 (in millions):
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QCT |
|
QTL |
|
Nonreportable Segments |
|
Total |
| Balance at September 29, 2019 |
|
$ |
5,565 |
|
|
$ |
717 |
|
|
$ |
— |
|
|
$ |
6,282 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Foreign currency translation adjustments |
|
40 |
|
|
1 |
|
|
— |
|
|
41 |
|
| Balance at September 27, 2020 (1) |
|
5,605 |
|
|
718 |
|
|
— |
|
|
6,323 |
|
| Acquisitions |
|
912 |
|
|
5 |
|
|
— |
|
|
917 |
|
|
|
|
|
|
|
|
|
|
| Foreign currency translation adjustments |
|
6 |
|
|
— |
|
|
— |
|
|
6 |
|
| Balance at September 26, 2021 (1) |
|
$ |
6,523 |
|
|
$ |
723 |
|
|
$ |
— |
|
|
$ |
7,246 |
|
(1) Cumulative goodwill impairments were $812 million at both September 26, 2021 and September 27, 2020.
|
| Intangible Assets |
The components of other intangible assets, net were as follows (in millions):
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September 26, 2021 |
|
September 27, 2020 |
|
Gross Carrying
Amount |
|
Accumulated
Amortization |
|
Weighted-average amortization period
(years) |
|
Gross Carrying
Amount |
|
Accumulated
Amortization |
|
Weighted-average amortization period
(years) |
| Technology-based |
$ |
5,385 |
|
|
$ |
(3,971) |
|
|
11 |
|
$ |
5,556 |
|
|
$ |
(3,958) |
|
|
11 |
| Other |
93 |
|
|
(49) |
|
|
10 |
|
105 |
|
|
(50) |
|
|
9 |
|
$ |
5,478 |
|
|
$ |
(4,020) |
|
|
11 |
|
$ |
5,661 |
|
|
$ |
(4,008) |
|
|
11 |
|
| Equity Method and Non-marketable Equity Investments |
The carrying values of our equity method and non-marketable equity investments are recorded in other assets and were as follows (in millions):
|
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|
|
|
|
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|
September 26,
2021 |
|
September 27,
2020 |
| Equity method investments |
$ |
214 |
|
|
$ |
161 |
|
| Non-marketable equity investments |
1,051 |
|
|
821 |
|
|
$ |
1,265 |
|
|
$ |
982 |
|
|
| Other Current Liabilities |
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|
|
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|
Other Current Liabilities (in millions) |
|
|
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|
September 26,
2021 |
|
September 27,
2020 |
| Customer incentives and other customer-related liabilities |
$ |
1,974 |
|
|
$ |
1,721 |
|
| Accrual for EC fines (Note 7) |
1,522 |
|
|
1,487 |
|
| Income taxes payable |
862 |
|
|
549 |
|
|
|
|
|
| Other |
656 |
|
|
546 |
|
|
$ |
5,014 |
|
|
$ |
4,303 |
|
|
| QCT Revenues Disaggregated |
QCT revenue streams were as follows (in millions):
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2021 |
|
2020 |
|
2019 |
| Handsets (1) |
|
|
|
|
|
|
|
|
$ |
16,830 |
|
|
$ |
10,461 |
|
|
$ |
9,793 |
|
| RFFE (2) |
|
|
|
|
|
|
|
|
4,158 |
|
|
2,362 |
|
|
1,478 |
|
| Automotive (3) |
|
|
|
|
|
|
|
|
975 |
|
|
644 |
|
|
640 |
|
| IoT (internet of things) (4) |
|
|
|
|
|
|
|
|
5,056 |
|
|
3,026 |
|
|
2,728 |
|
| Total QCT revenues |
|
|
|
|
|
|
|
|
$ |
27,019 |
|
|
$ |
16,493 |
|
|
$ |
14,639 |
|
(1) Includes revenues from products sold for use in mobile handsets, excluding RFFE (radio frequency front-end) components.
(2) Includes all revenues from sales of 4G, 5G sub-6 and 5G millimeter wave RFFE products (a substantial portion of which are sold for use in mobile handsets) and excludes radio frequency transceiver components.
(3) Includes revenues from products sold for use in automobiles, including telematics, connectivity and digital cockpit.
(4) Primarily includes products sold for use in the following industries and applications: consumer (including computing, voice and music and XR), industrial (including handhelds, retail, transportation and logistics and utilities) and edge networking (including mobile broadband and wireless access points).
|
| Revenue recognized from performance obligations satisfied in previous periods |
Revenue recognized from performance obligations satisfied (or partially satisfied) in previous periods were as follows (in millions):
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|
2021 (1) |
|
2020 (2) |
|
2019 (3) |
Revenues recognized from previously satisfied performance obligations |
$ |
283 |
|
|
$ |
1,480 |
|
|
$ |
4,080 |
|
(1) Primarily related to certain QCT customer incentives, QTL revenues recognized related to devices sold in prior periods (including adjustments to prior period royalty estimates, which includes the impact of the reporting by our licensees of actual royalty due) and the release of a variable constraint against revenues not previously allocated to our segment results (Note 8).
(2) Primarily related to licensing revenues recognized in the fourth quarter of fiscal 2020 (a portion of which was attributable to fiscal 2020) resulting from the settlement with Huawei and, to a lesser extent, QTL royalties recognized related to devices sold in prior periods (including adjustments to prior period royalty estimates, which includes the impact of the reporting by our licensees of actual royalties due) and certain QCT customer incentives. (3) Primarily related to licensing revenues recognized in the third quarter of fiscal 2019 (a portion of which was attributable to fiscal 2019) resulting from the settlement with Apple and its contract manufacturers in April 2019.
|
| Share-based Compensation Expense |
Total share-based compensation expense, related to all of our share-based awards, was comprised as follows (in millions):
|
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2021 |
|
2020 |
|
2019 |
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| Cost of revenues |
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$ |
47 |
|
|
$ |
34 |
|
|
$ |
35 |
|
| Research and development |
|
|
|
|
|
|
|
|
1,234 |
|
|
872 |
|
|
725 |
|
| Selling, general and administrative |
|
|
|
|
|
|
|
|
389 |
|
|
306 |
|
|
277 |
|
| Share-based compensation expense before income taxes |
|
|
|
|
|
|
|
|
1,670 |
|
|
1,212 |
|
|
1,037 |
|
| Related income tax benefit |
|
|
|
|
|
|
|
|
(435) |
|
|
(238) |
|
|
(184) |
|
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|
|
|
|
|
|
|
|
$ |
1,235 |
|
|
$ |
974 |
|
|
$ |
853 |
|
|
| Investment and Other Income, net |
|
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Investment and Other Income, Net (in millions) |
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2021 |
|
2020 |
|
2019 |
| Interest and dividend income |
|
|
|
|
|
|
|
$ |
83 |
|
|
$ |
156 |
|
|
$ |
300 |
|
|
|
|
|
|
|
|
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|
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| Net gains on marketable securities |
|
|
|
|
|
|
|
427 |
|
|
198 |
|
|
295 |
|
| Net gains on other investments |
|
|
|
|
|
|
|
470 |
|
|
108 |
|
|
68 |
|
| Net gains on deferred compensation plan assets |
|
|
|
|
|
|
|
130 |
|
|
47 |
|
|
9 |
|
| Impairment losses on other investments |
|
|
|
|
|
|
|
(33) |
|
|
(405) |
|
|
(135) |
|
|
|
|
|
|
|
|
|
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| Net (losses) gains on derivative instruments |
|
|
|
|
|
|
|
(14) |
|
|
8 |
|
|
(14) |
|
| Equity in net earnings (losses) of investees |
|
|
|
|
|
|
|
13 |
|
|
(21) |
|
|
(93) |
|
| Net (losses) gains on foreign currency transactions |
|
|
|
|
|
|
|
(32) |
|
|
(25) |
|
|
11 |
|
|
|
|
|
|
|
|
|
$ |
1,044 |
|
|
$ |
66 |
|
|
$ |
441 |
|
|