The following table details the company's intangible asset balances by major asset class.

* Other intangibles are primarily acquired proprietary and non-proprietary business processes, methodologies and systems.


	At December 31, 2018
(Dollars in millions)	Gross Carrying		Accumulated		Net Carrying
Intangible asset class	Amount		Amortization		Amount
Capitalized software	$	1,568	$	(629)	$	939
Client relationships		2,068		(1,123)		945
Completed technology		2,156		(1,296)		860
Patents/trademarks		641		(330)		311
Other*		56		(23)		32
Total	$	6,489	$	(3,402)	$	3,087

* Other intangibles are primarily acquired proprietary and non-proprietary business processes, methodologies and systems.

The net carrying amount of intangible assets increased $12,526 million during the first nine months of 2019, primarily due to the acquisition of Red Hat, partially offset by intangible asset amortization. Intangible assets of $13,472 million generated from the acquisition of Red Hat have been assigned to the segments as follows: Cloud & Cognitive Software $10,729 million, Global Technology Services $1,819 million, Global Business Services $617 million and Systems $306 million. For additional information on the acquisition of Red Hat, see note 11, “Acquisitions/Divestitures.”

The aggregate intangible amortization expense was $614 million and $1,224 million for the third quarter and first nine months of 2019, respectively, versus $348 million and $1,031 million for the third quarter and first nine months of 2018, respectively. In the first nine months of 2019, the company retired $543 million of fully amortized intangible assets, impacting both the gross carrying amount and accumulated amortization by this amount. In addition, in the first nine months of 2019, the company divested select intangible assets with a gross carrying amount of $317 million and $253 million of accumulated amortization.

The amortization expense for each of the five succeeding years relating to intangible assets currently recorded in the Consolidated Statement of Financial Position is estimated to be the following at September 30, 2019:


	Capitalized		Acquired
(Dollars in millions)	Software		Intangibles		Total
2019 (for Q4)	$	149	$	473	$	623
2020		471		1,850		2,321
2021		296		1,745		2,041
2022		66		1,681		1,748
2023		1		1,367		1,368

Goodwill

The change in the goodwill balances by segment, for the nine months ended September 30, 2019 and for the year ended December 31, 2018 are as follows:


									Foreign
									Currency
					Purchase				Translation
(Dollars in millions)	Balance		Goodwill		Price				And Other		Balance
Segment	1/1/2019		Additions		Adjustments		Divestitures		Adjustments*		9/30/2019
Cloud & Cognitive Software	$	24,594	$	18,399	$	0	$	—	$	(174)	$	42,819
Global Business Services		4,711		1,059		1		(1)		(76)		5,694
Global Technology Services		3,988		3,119		—		—		(41)		7,066
Systems		1,847		525		—		—		(1)		2,372
Other — divested businesses		1,126		—		—		(1,126)		—		—
Total	$	36,265	$	23,102	$	1	$	(1,126)	$	(291)	$	57,951

* Primarily driven by foreign currency translation.


									Foreign
									Currency
					Purchase				Translation
(Dollars in millions)	Balance		Goodwill		Price				And Other		Balance
Segment	1/1/2018		Additions		Adjustments		Divestitures		Adjustments**		12/31/2018
Cloud & Cognitive Software*	$	24,973	$	9	$	0	$	(1)	$	(388)	$	24,594
Global Business Services*		4,782		24		(3)		—		(92)		4,711
Global Technology Services*		4,044		—		0		—		(56)		3,988
Systems		1,862		—		0		—		(15)		1,847
Other — divested businesses*		1,127		1		0		0		(2)		1,126
Total	$	36,788	$	34	$	(3)	$	(1)	$	(553)	$	36,265

* Recast to conform to 2019 presentation.

** Primarily driven by foreign currency translation.

Goodwill additions recorded in the first nine months of 2019 are related to the acquisition of Red Hat during the third quarter of 2019. For additional information on this transaction, see note 11, “Acquisitions/Divestitures.”

There were no goodwill impairment losses recorded during the first nine months of 2019 or full year 2018 and the company has no accumulated impairment losses.

Purchase price adjustments recorded in the first nine months of 2019 and full year 2018 were related to acquisitions that were still subject to the measurement period that ends at the earlier of 12 months from the acquisition date or when

information becomes available. Net purchase price adjustments recorded during the first nine months of 2019 and full year 2018 were not material.