Segment Information (Tables)

12 Months Ended

Dec. 31, 2018

Segment Reporting [Abstract]

Summary of Operating Financial Information for Reportable Segments

The following table provides operating financial information for our two reportable segments:

	(dollars in millions)
2018	Consumer		Business		Total  Reportable Segments
External Operating Revenues
Service	$	64,207	$	—	$	64,207
Wireless equipment	18,874		—		18,874
Other	6,447		—		6,447
Global Enterprise	—		11,197		11,197
Small and Medium Business	—		10,732		10,732
Public Sector and Other	—		5,830		5,830
Wholesale	—		3,713		3,713
Intersegment revenues	234		62		296
Total Operating Revenues(1)	89,762		31,534		121,296
Cost of services	15,335		10,859		26,194
Cost of wireless equipment	18,763		4,560		23,323
Selling, general and administrative expense	15,701		7,689		23,390
Depreciation and amortization expense	11,952		4,258		16,210
Total Operating Expenses	61,751		27,366		89,117
Operating Income	$	28,011	$	4,168	$	32,179

⁽¹⁾ Service and other revenues and Wireless equipment revenues included in our Business segment amounted to approximately $28.1 billion and $3.4 billion, respectively, for the year ended December 31, 2018.

	(dollars in millions)
2017	Consumer		Business		Total  Reportable Segments
External Operating Revenues
Service	$	63,769	$	—	$	63,769
Wireless equipment	17,292		—		17,292
Other	5,735		—		5,735
Global Enterprise	—		11,444		11,444
Small and Medium Business	—		9,793		9,793
Public Sector and Other	—		5,652		5,652
Wholesale	—		3,978		3,978
Intersegment revenues	258		46		304
Total Operating Revenues(1)	87,054		30,913		117,967
Cost of services	14,981		11,094		26,075
Cost of wireless equipment	17,713		4,434		22,147
Selling, general and administrative expense	17,292		7,448		24,740
Depreciation and amortization expense	11,308		4,483		15,791
Total Operating Expenses	61,294		27,459		88,753
Operating Income	$	25,760	$	3,454	$	29,214

⁽¹⁾ Service and other revenues and Wireless equipment revenues included in our Business segment amounted to approximately $29.3 billion and $1.6 billion, respectively, for the year ended December 31, 2017.

	(dollars in millions)
2016	Consumer		Business		Total  Reportable Segments
External Operating Revenues
Service	$	67,407	$	—	$	67,407
Wireless equipment	16,372		—		16,372
Other	5,505		—		5,505
Global Enterprise	—		11,359		11,359
Small and Medium Business	—		9,016		9,016
Public Sector and Other	—		5,115		5,115
Wholesale	—		4,001		4,001
Intersegment revenues	217		46		263
Total Operating Revenues(1)	89,501		29,537		119,038
Cost of services	15,101		11,436		26,537
Cost of wireless equipment	18,247		3,991		22,238
Selling, general and administrative expense	18,832		6,827		25,659
Depreciation and amortization expense	10,792		4,472		15,264
Total Operating Expenses	62,972		26,726		89,698
Operating Income	$	26,529	$	2,811	$	29,340

⁽¹⁾ Service and other revenues and Wireless equipment revenues included in our Business segment amounted to approximately $28.4 billion and $1.1 billion, respectively, for the year ended December 31, 2016.

The following table provides Fios revenues for our two reportable segments:

	(dollars in millions)
Years Ended December 31,	2018		2017		2016
Consumer	$	11,056	$	10,903	$	10,503
Business	883		788		733
Total Fios revenue	$	11,939	$	11,691	$	11,236

The following table provides Wireless service revenue under our current reportable structure and includes intersegment activity:

	(dollars in millions)
Years Ended December 31,	2018		2017		2016
Consumer	$	52,458	$	51,954	$	55,649
Business	10,484		11,094		10,807
Total Wireless service revenue	$	62,942	$	63,048	$	66,456

Summary of Reconciliation of Segment Operating Revenues

A reconciliation of the reportable segment operating revenues to consolidated operating revenues is as follows:

	(dollars in millions)
Years Ended December 31,	2018			2017			2016
Operating Revenues
Total reportable segments	$	121,296		$	117,967		$	119,038
Corporate and other	9,936			8,098			5,172
Reconciling items:
Operating results from divested businesses (Note 3)	—			368			2,115
Eliminations	(369		)	(399		)	(345		)
Consolidated Operating Revenues	$	130,863		$	126,034		$	125,980

Summary of Reconciliation of Segment Operating Income

A reconciliation of the total of the reportable segments’ operating income to consolidated income before provision for income taxes is as follows:

	(dollars in millions)
Years Ended December 31,	2018			2017			2016
Operating Income
Total reportable segments	$	32,179		$	29,214		$	29,340
Corporate and other	(1,326		)	(1,119		)	(1,236		)
Reconciling items:
Severance charges (Note 11)	(2,157		)	(497		)	(421		)
Other components of net periodic pension and benefit (charges) credits (Note 11)	(823		)	(800		)	(578		)
Net gain on sale of divested businesses (Note 3)	—			1,774			1,007
Acquisition and integration related charges (Note 3)	(553		)	(884		)	—
Gain on spectrum license transaction (Note 3)	—			270			142
Operating results from divested businesses	—			149			995
Oath goodwill impairment	(4,591		)	—			—
Product realignment charges	(451		)	(682		)	—
Consolidated operating income	22,278			27,425			29,249
Equity in losses of unconsolidated businesses	(186		)	(77		)	(98		)
Other income (expense), net	2,364			(2,021		)	(3,789		)
Interest expense	(4,833		)	(4,733		)	(4,376		)
Income Before (Provision) Benefit For Income Taxes	$	19,623		$	20,594		$	20,986