Goodwill, Purchased Technology and Other Intangible Assets (Tables)

6 Months Ended

May. 01, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and other indefinite-lived intangible assets

Details of goodwill and other indefinite-lived intangible assets as of May 1, 2016 and October 25, 2015 were as follows:

	May 1, 2016						October 25, 2015
	Goodwill		Other Intangible Assets		Total		Goodwill		Other Intangible Assets		Total
	(In millions)
Silicon Systems	$	2,151	$	—	$	2,151	$	2,151	$	—	$	2,151
Applied Global Services	1,029		5		1,034		1,027		5		1,032
Display	124		18		142		124		18		142
Energy and Environmental Solutions	—		2		2		—		2		2
Carrying amount	$	3,304	$	25	$	3,329	$	3,302	$	25	$	3,327

Summary of purchased technology and intangible assets

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

	May 1, 2016		October 25, 2015
	(In millions)
Purchased technology, net	$	491	$	575
Intangible assets - finite-lived, net	152		162
Intangible assets - indefinite-lived	25		25
Total	$	668	$	762

Finite-lived intangible assets

Details of finite-lived intangible assets were as follows:

	May 1, 2016									October 25, 2015
	Purchased Technology			Other Intangible Assets			Total			Purchased Technology			Other Intangible Assets			Total
	(In millions)
Gross carrying amount:
Silicon Systems	$	1,449		$	252		$	1,701		$	1,449		$	252		$	1,701
Applied Global Services	28			44			72			28			44			72
Display	110			33			143			110			33			143
Energy and Environmental Solutions	4			12			16			4			12			16
Corporate	1			—			1			—			—			—
Gross carrying amount	$	1,592		$	341		$	1,933		$	1,591		$	341		$	1,932
Accumulated amortization:
Silicon Systems	$	(960	)	$	(103	)	$	(1,063	)	$	(876	)	$	(95	)	$	(971	)
Applied Global Services	(27		)	(44		)	(71		)	(26		)	(44		)	(70		)
Display	(110		)	(33		)	(143		)	(110		)	(33		)	(143		)
Energy and Environmental Solutions	(4		)	(9		)	(13		)	(4		)	(7		)	(11		)
Accumulated amortization	$	(1,101	)	$	(189	)	$	(1,290	)	$	(1,016	)	$	(179	)	$	(1,195	)
Carrying amount	$	491		$	152		$	643		$	575		$	162		$	737

Summary of amortization expense

Details of amortization expense by segment were as follows:

	Three Months Ended				Six Months Ended
	May 1, 2016		April 26, 2015		May 1, 2016		April 26, 2015
	(In millions)
Silicon Systems	$	46	$	44	$	92	$	87
Applied Global Services	—		—		1		1
Display	—		1		—		2
Energy and Environmental Solutions	1		1		2		2
Total	$	47	$	46	$	95	$	92

Schedule of categories amortization expense was charged to

Amortization expense was charged to the following categories:

	Three Months Ended				Six Months Ended
	May 1, 2016		April 26, 2015		May 1, 2016		April 26, 2015
	(In millions)
Cost of products sold	$	42	$	40	$	84	$	80
Research, development and engineering	—		—		1		—
Marketing and selling	5		5		10		10
General and administrative	—		1		—		2
Total	$	47	$	46	$	95	$	92

Future estimated amortization expense

As of May 1, 2016, future estimated amortization expense is expected to be as follows:

	Amortization Expense
	(In millions)
2016 (remaining 6 months)	$	94
2017	187
2018	185
2019	44
2020	39
Thereafter	94
Total	$	643