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Revenue Recognition (Tables)
9 Months Ended
Sep. 30, 2021
Revenue Recognition  
Schedule of disaggregation of revenue

    

    

 

Three Months Ended September 30, 

Nine Months Ended September 30, 

 

(Dollars in millions)

2021

2020

2021

2020

 

Cloud & Data Platforms

$

3,046

$

2,775

$

9,032

$

8,108

Cognitive Applications

1,314

1,317

3,938

3,745

Transaction Processing Platforms

 

1,332

 

1,461

 

4,257

 

4,687

Total Cloud & Cognitive Software

$

5,692

$

5,553

$

17,227

$

16,540

Consulting

 

2,292

 

1,966

 

6,717

 

5,973

Application Management

 

1,847

 

1,758

 

5,439

 

5,332

Global Process Services

 

287

 

240

 

846

 

687

Total Global Business Services

$

4,427

$

3,965

$

13,002

$

11,992

Infrastructure & Cloud Services

 

4,681

 

4,933

 

14,370

 

14,663

Technology Support Services

 

1,473

 

1,528

 

4,496

 

4,582

Total Global Technology Services

$

6,154

$

6,462

$

18,866

$

19,245

Systems Hardware

 

796

 

919

 

3,294

 

3,404

Operating Systems Software

 

312

 

338

 

957

 

1,074

Total Systems

$

1,107

$

1,257

$

4,251

$

4,477

Global Financing*

 

220

 

273

 

702

 

837

Other

 

18

 

50

 

45

 

163

Total revenue

$

17,618

$

17,560

$

54,093

$

53,253

* Contains lease and loan/working capital financing arrangements which are not subject to the guidance on revenue from contracts with customers.

Schedule of disaggregation of revenue by geography

    

Three Months Ended September 30, 

 

Nine Months Ended September 30, 

(Dollars in millions)

2021

2020

 

2021

2020

Americas

$

8,217

$

8,139

$

25,216

$

24,755

Europe/Middle East/Africa

 

5,593

 

5,564

 

17,272

 

16,775

Asia Pacific

 

3,808

 

3,857

 

11,605

 

11,723

Total

$

17,618

$

17,560

$

54,093

$

53,253

Schedule of reconciliation of contract balances

    

At September 30, 

    

At December 31, 

(Dollars in millions)

2021

2020

Notes and accounts receivable trade (net of allowances of $277 in 2021 and $351 in 2020)

$

6,609

$

7,132

Contract assets*

 

566

 

497

Deferred income (current)

 

12,264

 

12,833

Deferred income (noncurrent)

 

3,965

 

4,301

* Included within prepaid expenses and other current assets in the Consolidated Balance Sheet.

Schedule of notes and accounts receivable - trade allowance for credit losses

(Dollars in millions)

    

    

    

    

    

    

    

    

January 1, 2021

Additions / (Releases)

Write-offs 

Other*

September 30, 2021

$

351

$

(44)

$

(30)

$

0

$

277

January 1, 2020

Additions / (Releases)

Write-offs 

Other*

December 31, 2020

$

316

$

76

$

(46)

$

5

$

351

* Primarily represents translation adjustments.