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Segment Information (Tables)
12 Months Ended
Dec. 31, 2019
Segment Reporting [Abstract]  
Information on Reportable Segments and Reconciliation to Consolidated Net Income (Loss)
Information on reportable segments and reconciliation to consolidated net income (loss) is as follows (in millions):
  
Year Ended December 31,
 
2017
 
2018
 
2019
North America
 
 
 
 
 
Net sales
$
106,110

 
$
141,366

 
$
170,773

Operating expenses
103,273

 
134,099

 
163,740

Operating income
$
2,837

 
$
7,267

 
$
7,033

International
 
 
 
 
 
Net sales
$
54,297

 
$
65,866

 
$
74,723

Operating expenses
57,359

 
68,008

 
76,416

Operating income (loss)
$
(3,062
)
 
$
(2,142
)
 
$
(1,693
)
AWS
 
 
 
 
 
Net sales
$
17,459

 
$
25,655

 
$
35,026

Operating expenses
13,128

 
18,359

 
25,825

Operating income
$
4,331

 
$
7,296

 
$
9,201

Consolidated
 
 
 
 
 
Net sales
$
177,866

 
$
232,887

 
$
280,522

Operating expenses
173,760

 
220,466

 
265,981

Operating income
4,106

 
12,421

 
14,541

Total non-operating income (expense)
(300
)
 
(1,160
)
 
(565
)
Provision for income taxes
(769
)
 
(1,197
)
 
(2,374
)
Equity-method investment activity, net of tax
(4
)
 
9

 
(14
)
Net income
$
3,033

 
$
10,073

 
$
11,588


Disaggregation of Revenue
Net sales by groups of similar products and services, which also have similar economic characteristics, is as follows (in millions):
  
Year Ended December 31,
 
2017
 
2018
 
2019
Net Sales:
 
 
 
 
 
Online stores (1)
$
108,354

 
$
122,987

 
$
141,247

Physical stores (2)
5,798

 
17,224

 
17,192

Third-party seller services (3)
31,881

 
42,745

 
53,762

Subscription services (4)
9,721

 
14,168

 
19,210

AWS
17,459

 
25,655

 
35,026

Other (5)
4,653

 
10,108

 
14,085

Consolidated
$
177,866

 
$
232,887

 
$
280,522

___________________
(1)
Includes product sales and digital media content where we record revenue gross. We leverage our retail infrastructure to offer a wide selection of consumable and durable goods that includes media products available in both a physical and digital format, such as books, music, videos, games, and software. These product sales include digital products sold on a transactional basis. Digital product subscriptions that provide unlimited viewing or usage rights are included in “Subscription services.”
(2)
Includes product sales where our customers physically select items in a store. Sales from customers who order goods online for delivery or pickup at our physical stores are included in “Online stores.”
(3)
Includes commissions and any related fulfillment and shipping fees, and other third-party seller services.
(4)
Includes annual and monthly fees associated with Amazon Prime memberships, as well as audiobook, digital video, digital music, e-book, and other non-AWS subscription services.
(5)
Primarily includes sales of advertising services, as well as sales related to our other service offerings.
Net Sales Attributed to Countries that Represent a Significant Portion of Consolidated Net Sales Net sales attributed to countries that represent a significant portion of consolidated net sales are as follows (in millions):
 
Year Ended December 31,
 
2017
 
2018
 
2019
United States
$
120,486

 
$
160,146

 
$
193,636

Germany
16,951

 
19,881

 
22,232

United Kingdom
11,372

 
14,524

 
17,527

Japan
11,907

 
13,829

 
16,002

Rest of world
17,150

 
24,507

 
31,125

Consolidated
$
177,866

 
$
232,887

 
$
280,522


Reconciliation of Assets from Segment to Consolidated Total segment assets reconciled to consolidated amounts are as follows (in millions):
 
December 31,
 
2017
 
2018
 
2019
North America (1)
$
35,844

 
$
47,251

 
$
72,277

International (1)
18,014

 
19,923

 
30,709

AWS (2)
18,660

 
26,340

 
36,500

Corporate
58,792

 
69,134

 
85,762

Consolidated
$
131,310

 
$
162,648

 
$
225,248

___________________
(1)
North America and International segment assets primarily consist of property and equipment, inventory, and accounts receivable.
(2)
AWS segment assets primarily consist of property and equipment and accounts receivable.
Reconciliation of Property and Equipment from Segments to Consolidated
Property and equipment, net by segment is as follows (in millions):
 
December 31,
 
2017
 
2018
 
2019
North America
$
20,401

 
$
27,052

 
$
31,719

International
7,425

 
8,552

 
9,566

AWS
14,885

 
18,851

 
23,481

Corporate
6,155

 
7,342

 
7,939

Consolidated
$
48,866

 
$
61,797

 
$
72,705


Reconciliation of Property and Equipment Additions and Depreciation from Segments to Consolidated Total depreciation and amortization expense, by segment, is as follows (in millions):
 
Year Ended December 31,
 
2017
 
2018
 
2019
North America
$
3,029

 
$
4,415

 
$
5,106

International
1,278

 
1,628

 
1,886

AWS
4,524

 
6,095

 
8,158

Consolidated
$
8,831

 
$
12,138

 
$
15,150


Total net additions to property and equipment by segment are as follows (in millions):
 
Year Ended December 31,
 
2017
 
2018
 
2019
North America (1)
$
13,200

 
$
10,749

 
$
11,752

International (1)
5,196

 
2,476

 
3,298

AWS (2)
9,190

 
9,783

 
13,058

Corporate
2,197

 
2,060

 
1,910

Consolidated
$
29,783

 
$
25,068

 
$
30,018

___________________
(1)
Includes property and equipment added under finance leases of $2.9 billion, $2.0 billion, and $3.8 billion in 2017, 2018, and 2019, and under financing obligations of $2.9 billion, $3.0 billion, and $1.3 billion in 2017, 2018, and 2019.
(2)
Includes property and equipment added under finance leases of $7.3 billion, $8.4 billion, and $10.6 billion in 2017, 2018, and 2019, and under financing obligations of $134 million, $245 million, and $0 million in 2017, 2018, and 2019.