INTANGIBLE ASSETS AND GOODWILL

3 Months Ended

Aug. 31, 2022

Goodwill And Intangible Assets Disclosure [Abstract]

4.	INTANGIBLE ASSETS AND GOODWILL

The changes in intangible assets for fiscal 2023 and the net book value of intangible assets as of August 31, 2022 and May 31, 2022 were as follows:

	Intangible Assets, Gross						Accumulated Amortization									Intangible Assets, Net				Weighted Average Useful Life⁽²⁾
(Dollars in millions)	May 31, 2022		Additions & Adjustments, net⁽¹⁾		August 31, 2022		May 31, 2022			Expense			August 31, 2022			May 31, 2022		August 31, 2022		Weighted Average Useful Life⁽²⁾
Developed technology	$	3,966	$	2,377	$	6,343	$	(3,660	)	$	(233	)	$	(3,893	)	$	306	$	2,450		4
Cloud services and license support agreements and related relationships		5,260		4,319		9,579		(4,194	)		(385	)		(4,579	)		1,066		5,000		7
Cloud license and on-premise license agreements and related relationships		356		2,437		2,793		(343	)		(108	)		(451	)		13		2,342		7
Other		865		2,845		3,710		(810	)		(193	)		(1,003	)		55		2,707		4
Total intangible assets, net	$	10,447	$	11,978	$	22,425	$	(9,007	)	$	(919	)	$	(9,926	)	$	1,440	$	12,499

⁽¹⁾	Amounts also included 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 2023.

As of August 31, 2022, estimated future amortization expenses related to intangible assets were as follows (in millions):

Remainder of fiscal 2023	$	2,753
Fiscal 2024		3,086
Fiscal 2025		2,105
Fiscal 2026		1,615
Fiscal 2027		664
Fiscal 2028		635
Thereafter		1,641
Total intangible assets, net	$	12,499

The changes in the carrying amounts of goodwill, net, which is generally not deductible for tax purposes, for our operating segments for the three months ended August 31, 2022 were as follows:

(in millions)	Cloud and License			Hardware		Services			Total Goodwill, net
Balances as of May 31, 2022	$	39,938		$	2,367	$	1,506		$	43,811
Goodwill from acquisitions		16,460			346		1,065			17,871
Goodwill adjustments, net⁽¹⁾		(42	)		—		(11	)		(53	)
Balances as of August 31, 2022	$	56,356		$	2,713	$	2,560		$	61,629

⁽¹⁾	Amounts include any changes in goodwill balances for the period presented that resulted from foreign currency translations.