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Investments (Tables)

6 Months Ended

Jul. 31, 2020

Investments, Debt and Equity Securities [Abstract]

At July 31, 2020, marketable securities consisted of the following (in millions):


Investments classified as Marketable Securities	Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value
Corporate notes and obligations	$	2,937	$	24	$	(2)	$	2,959
U.S. treasury securities	157		3		0		160
Mortgage backed obligations	313		6		0		319
Asset backed securities	1,053		9		(1)		1,061
Municipal securities	296		1		0		297
Foreign government obligations	107		0		0		107
U.S. agency obligations	17		0		0		17


Covered bonds	308		3		0		311
Total marketable securities	$	5,188	$	46	$	(3)	$	5,231

At January 31, 2020, marketable securities consisted of the following (in millions):


Investments classified as Marketable Securities	Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value
Corporate notes and obligations	$	2,199	$	9	$	(1)	$	2,207
U.S. treasury securities	182		1		0		183
Mortgage backed obligations	225		1		0		226
Asset backed securities	779		2		0		781
Municipal securities	157		1		0		158
Foreign government obligations	69		0		0		69
U.S. agency obligations	12		0		0		12
Time deposits	1		0		0		1
Covered bonds	165		0		0		165
Total marketable securities	$	3,789	$	14	$	(1)	$	3,802

Schedule of Short-Term and Long-Term Marketable Securities

The contractual maturities of the investments classified as marketable securities are as follows (in millions):


	As of
	July 31, 2020		January 31, 2020
Due within 1 year	$	1,990	$	1,332
Due in 1 year through 5 years	3,233		2,466
Due in 5 years through 10 years	8		4
	$	5,231	$	3,802

Schedule of Marketable Securities in a Unrealized Loss Position

As of July 31, 2020, the following marketable securities were in a continuous unrealized loss position (in millions):


	Less than 12 Months						12 Months or Greater						Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Corporate notes and obligations	$	737	$	(2)	$	0	$	0	$	737	$	(2)


Asset backed securities	92		(1)		0		0		92		(1)





	$	829	$	(3)	$	0	$	0	$	829	$	(3)

Schedule of Components of Investment Income

The components of investment income are presented below (in millions):


	Three Months Ended July 31,						Six Months Ended July 31,
	2020		2019		2020		2019
Interest income	$	18	$	31	$	46	$	57
Realized gains	1		1		2		1
Realized losses	0		(1)		(1)		(1)
Investment income	$	19	$	31	$	47	$	57

Schedules of Strategic Investments

Strategic investments by form and measurement category as of July 31, 2020 were as follows (in millions):


	Measurement Category
	Fair Value		Measurement Alternative		Other		Total
Equity securities	$	864	$	1,537	$	110	$	2,511
Debt securities	0		0		44		44
Total strategic investments	$	864	$	1,537	$	154	$	2,555

Strategic investments by form and measurement category as of January 31, 2020 were as follows (in millions):


	Measurement Category
	Fair Value		Measurement Alternative		Other		Total
Equity securities	$	370	$	1,502	$	40	$	1,912
Debt securities	0		0		51		51
Total strategic investments	$	370	$	1,502	$	91	$	1,963

Measurement Alternative Adjustments

The components of privately held equity securities accounted for under the measurement alternative included in the table above are presented below (in millions):


	Three Months Ended July 31,						Six Months Ended July 31,
	2020		2019		2020		2019
Carrying amount, beginning of period	$	1,731	$	927	$	1,502	$	785
Adjustments related to privately held equity securities:
Net additions (1)	(209)		(9)		56		11
Upward adjustments	25		32		55		172
Impairments and downward adjustments	(10)		(33)		(76)		(51)
Carrying amount, end of period	$	1,537	$	917	$	1,537	$	917

(1) Net additions include additions from purchases and reductions due to exits of securities and reclassifications due to changes to capital structure.

The components of gains and losses on strategic investments are presented below (in millions):


2	Three Months Ended July 31,						Six Months Ended July 31,
	2020		2019		2020		2019
Unrealized gains recognized on publicly traded equity securities, net	$	623	$	66	$	623	$	216
Unrealized gains (losses) recognized on privately held equity securities, net	14		0		(24)		122
Realized gains on sales of equity securities, net	49		43		288		62
Losses on debt securities, net	(4)		0		(13)		(10)
Gains on strategic investments, net	$	682	$	109	$	874	$	390