Leases

9 Months Ended

Sep. 30, 2020

Leases [Abstract]

Leases

LeasesWe have entered into operating and finance lease agreements primarily for data centers, land and offices throughout the world with lease periods expiring between 2020 and 2063.

Components of operating lease expense were as follows (in millions, unaudited):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2020		2019		2020
Operating lease cost	$	477	$	582	$	1,302	$	1,649
Variable lease cost	134		159		392		454
Total operating lease cost	$	611	$	741	$	1,694	$	2,103

Supplemental information related to operating leases is as follows (in millions, unaudited):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2020		2019		2020
Cash payments for operating leases	$	442	$	527	$	1,212	$	1,450
New operating lease assets obtained in exchange for operating lease liabilities	$	1,045	$	711	$	3,498	$	2,152

As of September 30, 2020, our operating leases had a weighted average remaining lease term of 9 years and a weighted average discount rate of 2.7%. Future lease payments under operating leases that have commenced as of September 30, 2020 were as follows (in millions, unaudited):

	Operating Leases
Remainder of 2020	$	446
2021	2,182
2022	2,048
2023	1,869
2024	1,616
Thereafter	6,775
Total future lease payments	14,936
Less imputed interest	(2,417)
Total lease liability balance	$	12,519

As of September 30, 2020, we have entered into leases that have not yet commenced with future lease payments of $7.5 billion, excluding purchase options, that are not yet recorded on our Consolidated Balance Sheets. These leases will commence between 2020 and 2026 with non-cancelable lease terms of 1 to 25 years.