Cash, Cash Equivalents and Investments (Tables)

9 Months Ended

Jul. 26, 2020

Cash and Cash Equivalents [Abstract]

Summary of cash, cash equivalents and investments

The following tables summarize Applied’s cash, cash equivalents and investments:

July 26, 2020	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
	(In millions)
Cash	$	1,010	$	—	$	—	$	1,010
Cash equivalents:
Money market funds	3,241		—		—		3,241
Municipal securities	2		—		—		2
Commercial paper, corporate bonds and medium-term notes	97		—		—		97
Total Cash equivalents	3,340		—		—		3,340
Total Cash and Cash equivalents	$	4,350	$	—	$	—	$	4,350
Short-term and long-term investments:
U.S. Treasury and agency securities	$	365	$	5	$	—	$	370
Municipal securities	373		8		—		381
Commercial paper, corporate bonds and medium-term notes	488		9		1		496
Asset-backed and mortgage-backed securities	520		10		—		530
Total fixed income securities	1,746		32		1		1,777
Publicly traded equity securities	11		36		3		44
Equity investments in privately-held companies	110		19		6		123
Total equity investments	121		55		9		167
Total short-term and long-term investments	$	1,867	$	87	$	10	$	1,944
Total Cash, Cash equivalents and Investments	$	6,217	$	87	$	10	$	6,294

October 27, 2019	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
	(In millions)
Cash	$	1,071	$	—	$	—	$	1,071
Cash equivalents:
Money market funds	1,677		—		—		1,677
U.S. Treasury and agency securities	4		—		—		4
Commercial paper, corporate bonds and medium-term notes	377		—		—		377
Total Cash equivalents	2,058		—		—		2,058
Total Cash and Cash equivalents	$	3,129	$	—	$	—	$	3,129
Short-term and long-term investments:
U.S. Treasury and agency securities	$	336	$	1	$	—	$	337
Non-U.S. government securities*	10		—		—		10
Municipal securities	402		4		—		406
Commercial paper, corporate bonds and medium-term notes	642		5		—		647
Asset-backed and mortgage-backed securities	631		4		—		635
Total fixed income securities	2,021		14		—		2,035
Publicly traded equity securities	8		40		3		45
Equity investments in privately-held companies	105		10		3		112
Total equity investments	113		50		6		157
Total short-term and long-term investments	$	2,134	$	64	$	6	$	2,192
Total Cash, Cash equivalents and Investments	$	5,263	$	64	$	6	$	5,321

 _________________________

* Includes agency debt securities guaranteed by Canada.

Contractual maturities of investments

The following table summarizes the contractual maturities of Applied’s investments as of July 26, 2020:

	Cost		Estimated Fair Value
	(In millions)
Due in one year or less	$	362	$	365
Due after one through five years	864		883
No single maturity date**	641		696
Total	$	1,867	$	1,944

 _________________________

** Securities with no single maturity date include publicly-traded and privately-held equity securities and asset-backed and mortgage-backed securities.

Equity Securities, FV-NI

The components of gain (loss) on equity investments for the three and nine months ended July 26, 2020 and July 28, 2019 were as follows:

	Three Months Ended				Nine Months Ended
	July 26, 2020		July 28, 2019		July 26, 2020		July 28, 2019
	(In millions)
Publicly traded equity securities
Unrealized gain	$	6	$	10	$	11	$	23
Unrealized loss	—		(1)		(15)		(4)
Realized gain on sales	1		—		1		2
Equity investments in privately-held companies
Unrealized gain	1		2		10		11
Unrealized loss	(2)		(2)		(5)		(5)
Realized gain on sales or other	7		—		8		5
Realized loss on sales or impairment	—		(1)		(8)		(1)
Total gain (loss) on equity investments, net	$	13	$	8	$	2	$	31