Goodwill, Customer Relationships and Other Intangible Assets (Tables)

3 Months Ended

Mar. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Intangible Assets and Goodwill

Goodwill, customer relationships and other intangible assets consisted of the following:

	March 31, 2022		December 31, 2021
	(Dollars in millions)
Goodwill	$	15,976	15,986
Indefinite-lived intangible assets	$	9	9
Other intangible assets subject to amortization:
Customer relationships, less accumulated amortization of $3,268 and $11,740(1)	5,180		5,365
Capitalized software, less accumulated amortization of $3,656 and $3,624	1,469		1,459
Trade names, patents and other, less accumulated amortization of $162 and $160	127		137
Total other intangible assets, net	$	6,785	6,970

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(1)    Certain customer relationships with a gross carrying value of $8.7 billion became fully amortized during 2021 and were retired during the first quarter of 2022.

Schedule of Goodwill

The following table shows the rollforward of goodwill assigned to our reportable segments from December 31, 2021 through March 31, 2022:

	Business		Mass Markets	Total
	(Dollars in millions)
As of December 31, 2021(1)(2)	$	11,235	4,751	15,986
Effect of foreign currency exchange rate change and other	(10)		—	(10)
As of March 31, 2022(1)(2)	$	11,225	4,751	15,976

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(1)Goodwill at March 31, 2022 and December 31, 2021 is net of accumulated impairment losses of $7.7 billion.

(2)As of March 31, 2022 and December 31, 2021, these amounts exclude goodwill classified as held for sale of $2.9 billion. See Note 2—Planned Divestiture of the Latin American and ILEC Businesses.

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense

We estimate that total amortization expense for finite-lived intangible assets for the years ending December 31, 2022 through 2026 will be as provided in the table below. As a result of reclassifying our Latin American and ILEC businesses as being held for sale on our March 31, 2022 consolidated balance sheet, the amounts presented below do not include future amortization expense for intangible assets of the businesses to be divested. See Note 2—Planned Divestiture of the Latin American and ILEC Businesses for more information.

	(Dollars in millions)
2022 (remaining nine months)	$	770
2023	948
2024	878
2025	811
2026	735