Goodwill, Purchased Technology and Other Intangible Assets (Tables)

6 Months Ended

Apr. 27, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Indefinite-lived intangible assets

Details of goodwill and other indefinite-lived intangible assets as of April 27, 2014 and October 27, 2013 were as follows :

	April 27, 2014						October 27, 2013
	Goodwill		Other Intangible Assets		Total		Goodwill		Other Intangible Assets		Total
	(In millions)
Silicon Systems Group	$	2,151	$	142	$	2,293	$	2,151	$	142	$	2,293
Applied Global Services	1,027		6		1,033		1,027		—		1,027
Display	116		—		116		116		—		116
Carrying amount	$	3,294	$	148	$	3,442	$	3,294	$	142	$	3,436

Summary of purchased technology and intangible assets

A summary of Applied's purchased technology and intangible assets is set forth below:

	April 27, 2014		October 27, 2013
	(In millions)
Purchased technology, net	$	671	$	748
Intangible assets - finite-lived, net	199		213
Intangible assets - indefinite-lived	148		142
Total	$	1,018	$	1,103

Finite-lived intangible assets

Details of finite-lived intangible assets were as follows as of April 27, 2014 and October 27, 2013:

	April 27, 2014									October 27, 2013
	Purchased Technology			Other Intangible Assets			Total			Purchased Technology			Other Intangible Assets			Total
	(In millions)
Gross carrying amount:
Silicon Systems Group	$	1,301		$	252		$	1,553		$	1,301		$	252		$	1,553
Applied Global Services	28			44			72			28			44			72
Display	110			33			143			110			33			143
Energy and Environmental Solutions	5			15			20			5			15			20
Gross carrying amount	$	1,444		$	344		$	1,788		$	1,444		$	344		$	1,788
Accumulated amortization:
Silicon Systems Group	$	(637	)	$	(67	)	$	(704	)	$	(562	)	$	(58	)	$	(620	)
Applied Global Services	(24		)	(44		)	(68		)	(23		)	(42		)	(65		)
Display	(110		)	(30		)	(140		)	(110		)	(29		)	(139		)
Energy and Environmental Solutions	(2		)	(4		)	(6		)	(1		)	(2		)	(3		)
Accumulated amortization	$	(773	)	$	(145	)	$	(918	)	$	(696	)	$	(131	)	$	(827	)
Carrying amount	$	671		$	199		$	870		$	748		$	213		$	961

Summary of amortization expense

Details of amortization expense by segment for the three and six months ended April 27, 2014 and April 28, 2013 were as follows:

	Three Months Ended				Six Months Ended
	April 27, 2014		April 28, 2013		April 27, 2014		April 28, 2013
	(In millions)
Silicon Systems Group	$	42	$	44	$	84	$	88
Applied Global Services	2		1		3		2
Display	—		2		1		4
Energy and Environmental Solutions	1		7		3		13
Total	$	45	$	54	$	91	$	107

Schedule of categories amortization expense was charged to

For the three and six months ended April 27, 2014 and April 28, 2013, amortization expense was charged to the following categories:

	Three Months Ended				Six Months Ended
	April 27, 2014		April 28, 2013		April 27, 2014		April 28, 2013
	(In millions)
Cost of products sold	$	39	$	43	$	79	$	86
Research, development and engineering	—		1		—		1
Marketing and selling	6		8		11		5
General and administrative	—		2		1		15
Total	$	45	$	54	$	91	$	107

Future estimated amortization expense

As of April 27, 2014, future estimated amortization expense is expected to be as follows:

	Amortization Expense
	(In millions)
2014	89
2015	175
2016	169
2017	165
2018	163
Thereafter	109
Total	$	870