Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule of domestic and foreign income (loss) and income tax expense (benefit)

Domestic and foreign income (loss) before income taxes and details of the income tax expense (benefit) are as follows (amounts in millions):

	For the Years Ended December 31,
	2022		2021		2020
Income before income tax expense:
Domestic	$	490	$	1,451	$	1,160
Foreign	1,254		1,713		1,456
	$	1,744	$	3,164	$	2,616
Income tax expense (benefit):
Current:
Federal	$	269	$	189	$	206
State	28		35		92
Foreign	102		229		218
Total current	399		453		516
Deferred:
Federal	(324)		73		(84)
State	(28)		12		(10)
Foreign	184		(73)		(3)
Total deferred	(168)		12		(97)
Income tax expense	$	231	$	465	$	419

Reconciliation of income taxes at the U.S. federal statutory rate to income tax expense (benefit)

The items accounting for the difference between income taxes computed at the U.S. federal statutory income tax rate and the income tax expense (benefit) at the effective tax rate for each of the years are as follows (amounts in millions):

	For the Years Ended December 31,
	2022				2021				2020
Federal income tax provision at statutory rate	$	367	21	%	$	664	21	%	$	549	21	%
State taxes, net of federal benefit	20		1		67		2		43		2
Research and development credits	(65)		(4)		(81)		(2)		(70)		(3)
Foreign earnings taxed at different rates	(72)		(4)		(120)		(4)		(93)		(4)
Foreign-derived intangible income	(46)		(3)		(50)		(1)		(40)		(2)
Change in tax reserves	9		1		43		1		60		2
Change in tax legislation	—		—		(53)		(2)		(23)		(1)
Change in valuation allowance	11		1		11		—		35		2
Intra-entity IP transfer	—		—		—		—		(31)		(1)
Other	7		—		(16)		—		(11)		—
Income tax expense	$	231	13	%	$	465	15	%	$	419	16	%

Schedule of the components of the net deferred tax assets (liabilities)

The components of the net deferred tax assets (liabilities) are as follows (amounts in millions):

	As of December 31,
	2022		2021
Deferred tax assets:
Deferred revenue	$	324	$	210
Tax attributes carryforwards	191		143
Share-based compensation	47		46
Intangibles	1,333		1,458
Capitalized software development expenses	52		—
Other	136		141
Deferred tax assets	2,083		1,998
Valuation allowance	(305)		(278)
Deferred tax assets, net of valuation allowance	1,778		1,720
Deferred tax liabilities:
Intangibles	(171)		(158)
Capitalized software development expenses	—		(10)
U.S. deferred taxes on foreign earnings	(491)		(603)
Other	(72)		(78)
Deferred tax liabilities	(734)		(849)
Net deferred tax assets	$	1,044	$	871

Reconciliation of unrecognized tax benefits for the period

	For the Years Ended December 31,
	2022		2021		2020
Unrecognized tax benefits balance at January 1	$	1,289	$	1,166	$	1,037
Gross increase for tax positions taken during a prior year	7		98		97
Gross decrease for tax positions taken during a prior year	(52)		(18)		(1)
Gross increase for tax positions taken during the current year	22		52		38
Settlement with taxing authorities	(5)		(6)		(3)
Lapse of statute of limitations	(38)		(3)		(2)
Unrecognized tax benefits balance at December 31	$	1,223	$	1,289	$	1,166