Industry Segment Operations (Tables)

3 Months Ended

Jan. 31, 2021

Segment Reporting [Abstract]

Net sales and operating income (loss) for each reportable segment

Net sales and operating income (loss) for each reportable segment were as follows: 

	Three Months Ended
	Net Sales		Operating Income (Loss)
	(In millions)
January 31, 2021:
Semiconductor Systems	$	3,553	$	1,261
Applied Global Services	1,155		332
Display and Adjacent Markets	411		65
Corporate and Other	43		(375)
Total	$	5,162	$	1,283
January 26, 2020:
Semiconductor Systems	$	2,814	$	915
Applied Global Services	997		278
Display and Adjacent Markets	332		38
Corporate and Other	19		(189)
Total	$	4,162	$	1,042

Revenue from external customers by geographic areas

Net sales by geographic region, determined by the location of customers’ facilities to which products were shipped to, were as follows:

	Three Months Ended
	January 31, 2021				January 26, 2020				Change
	(In millions, except percentages)
China	$	1,383	27	%	$	1,272	31	%	9	%
Korea	1,289		25	%	508		12	%	154	%
Taiwan	1,200		23	%	1,365		33	%	(12)	%
Japan	458		9	%	351		8	%	30	%
Southeast Asia	190		4	%	72		2	%	164	%
Asia Pacific	4,520		88	%	3,568		86	%	27	%
United States	343		6	%	441		10	%	(22)	%
Europe	299		6	%	153		4	%	95	%
Total	$	5,162	100	%	$	4,162	100	%	24	%

Disaggregation of Revenue

Net sales for Semiconductor Systems by end use application for the periods indicated were as follows:

	Three Months Ended
	January 31, 2021		January 26, 2020
Foundry, logic and other	58	%	68	%
Dynamic random-access memory (DRAM)	17	%	15	%
Flash memory	25	%	17	%
	100	%	100	%

Reconciliations of total segment operating income to Applied's consolidated operating income (loss)

The reconciling items included in Corporate and Other were as follows: 

	Three Months Ended
	January 31, 2021		January 26, 2020
	(In millions)
Unallocated net sales	$	43	$	19
Unallocated cost of products sold and expenses	(167)		(115)
Share-based compensation	(107)		(93)
Severance and related charges	(144)		—
Total	$	(375)	$	(189)

Companies accounted for at least 10 percent of Applied's net sales

The following customers accounted for at least 10 percent of Applied’s net sales for the three months ended January 31, 2021, and sales to these customers included products and services from multiple reportable segments.

	Percentage of Net Sales
Taiwan Semiconductor Manufacturing Company Limited	18	%
Samsung Electronics Co., Ltd.	20	%