Supplemental Balance Sheet Information

9 Months Ended

Sep. 25, 2021

Balance Sheet Related Disclosures [Abstract]

Supplemental Balance Sheet Information

Supplemental Financial Statement Information

Short-term Investments

	September 25, 2021		December 26, 2020
	(In millions)
Commercial paper	$	974	$	295
Time deposits	194		400
Total short-term investments	$	1,168	$	695

Accounts Receivable, net

As of September 25, 2021 and December 26, 2020, Accounts receivable, net included unbilled accounts receivable of $226 million and $123 million, respectively. Unbilled accounts receivables primarily represent work completed on development services and on custom products for which revenue has been recognized but not yet invoiced. All unbilled accounts receivable are expected to be billed and collected within 12 months.

Inventories

	September 25, 2021		December 26, 2020
	(In millions)
Raw materials	$	85	$	93
Work in process	1,738		1,139
Finished goods	79		167
Total inventories	$	1,902	$	1,399

Property and Equipment, net

	September 25, 2021		December 26, 2020
	(In millions)
Leasehold improvements	$	187	$	208
Equipment	1,410		1,209
Construction in progress	172		136
Property and equipment, gross	1,769		1,553
Accumulated depreciation	(1,052)		(912)
Total property and equipment, net	$	717	$	641

Other Non-Current Assets

	September 25, 2021		December 26, 2020
	(In millions)
Software technology and licenses, net	$	203	$	229
Prepaid long-term supply agreements	355		—
Other	212		144
Total other non-current assets	$	770	$	373

Prepaid long-term supply agreements relate to payments made to vendors to secure long-term supply capacity.

Accrued Liabilities

	September 25, 2021		December 26, 2020
	(In millions)
Accrued marketing programs and advertising expenses	$	907	$	839
Accrued compensation and benefits	567		513
Other accrued and current liabilities	574		444
Total accrued liabilities	$	2,048	$	1,796

Revenue

Revenue allocated to remaining performance obligations that were unsatisfied (or partially unsatisfied) as of September 25, 2021 was $241 million, which may include amounts received from customers but not yet earned and amounts that will be invoiced and recognized as revenue in future periods associated with any combination of development services, intellectual property (“IP”) licensing and product revenue. The Company expects to recognize $151 million of revenue allocated to remaining performance obligations in the next 12 months. The revenue allocated to remaining performance obligations does not include amounts which have an original expected duration of one year or less.

Revenue recognized over time associated with custom products and development services accounted for approximately 22% of the Company’s revenue for both the three and nine months ended September 25, 2021 and 25% and 15% for the three and nine months ended September 26, 2020, respectively.