INTANGIBLE ASSETS AND GOODWILL

9 Months Ended

Feb. 28, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

4.	INTANGIBLE ASSETS AND GOODWILL

The changes in intangible assets for fiscal 2019 and the net book value of intangible assets as of February 28, 2019 and May 31, 2018 were as follows:

	Intangible Assets, Gross							Accumulated Amortization									Intangible Assets, Net				Weighted Average Useful Life⁽²⁾
(Dollars in millions)	May 31, 2018		Additions & Adjustments, net⁽¹⁾			February 28, 2019		May 31, 2018			Expense			February 28, 2019			May 31, 2018		February 28, 2019		Weighted Average Useful Life⁽²⁾
Developed technology	$	5,309	$	271		$	5,580	$	(2,814	)	$	(640	)	$	(3,454	)	$	2,495	$	2,126		3
Cloud services and license support agreements and related relationships		5,999		(15	)		5,984		(2,285	)		(539	)		(2,824	)		3,714		3,160		4
Other		1,622		17			1,639		(1,161	)		(86	)		(1,247	)		461		392		5
Total intangible assets, net	$	12,930	$	273		$	13,203	$	(6,260	)	$	(1,265	)	$	(7,525	)	$	6,670	$	5,678		3

⁽¹⁾	Amounts also include any changes in intangible asset balances for the periods presented that resulted from foreign currency translations.

⁽²⁾	Represents weighted-average useful lives (in years) of intangible assets acquired during fiscal 2019.

Total amortization expense related to our intangible assets was $407 million and $1.3 billion for the three and nine months ended February 28, 2019, respectively, and $394 million and $1.2 billion for the three and nine months ended February 28, 2018, respectively. As of February 28, 2019, estimated future amortization expenses related to intangible assets were as follows (in millions):

Remainder of fiscal 2019	$	401
Fiscal 2020		1,492
Fiscal 2021		1,269
Fiscal 2022		1,018
Fiscal 2023		622
Fiscal 2024		391
Thereafter		485
Total intangible assets, net	$	5,678

The changes in the carrying amounts of goodwill, net, which is generally not deductible for tax purposes, for our operating segments for the nine months ended February 28, 2019 were as follows:

(in millions)	Cloud and License			Hardware		Services			Total Goodwill, net
Balances as of May 31, 2018	$	39,600		$	2,367	$	1,788		$	43,755
Goodwill from acquisitions		96			—		—			96
Goodwill adjustments, net⁽¹⁾		(65	)		—		(10	)		(75	)
Balances as of February 28, 2019	$	39,631		$	2,367	$	1,778		$	43,776

⁽¹⁾

Pursuant to our business combinations accounting policy, we recorded goodwill adjustments for the effects on goodwill of changes to net assets acquired during the period that such a change is identified, provided that any such change is within the measurement period (up to one year from the date of the acquisition). Amounts also include any changes in goodwill balances for the period presented that resulted from foreign currency translations.