Wireless Licenses, Goodwill and Other Intangible Assets

6 Months Ended

Jun. 30, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Wireless Licenses, Goodwill, and Other Intangible Assets

Note 4. Wireless Licenses, Goodwill, and Other Intangible Assets

Wireless Licenses

The carrying amounts of our Wireless licenses are as follows:

	At June 30,		At December 31,
(dollars in millions)	2023		2022
Wireless licenses	$	151,337	$	149,796

At June 30, 2023 and 2022, approximately $38.4 billion and $49.1 billion, respectively, of wireless licenses were under development for commercial service for which we were capitalizing interest costs. We recorded approximately $905 million and $880 million of capitalized interest on wireless licenses for the six months ended June 30, 2023 and 2022, respectively.

During the six months ended June 30, 2023, we renewed various wireless licenses in accordance with FCC regulations. The average renewal period for these licenses was 11 years.

Goodwill

Changes in the carrying amount of Goodwill are as follows:

(dollars in millions)	Consumer		Business		Other		Total
Balance at January 1, 2023	$	21,142	$	7,502	$	27	$	28,671
Reclassifications, adjustments and other (1)	—		3		(27)		(24)
Balance at June 30, 2023	$	21,142	$	7,505	$	—	$	28,647

(1) Includes goodwill impairment charges of $27 million, related to non-strategic businesses presented within Other, recorded in Selling, general and administrative expense in our condensed consolidated statements of income for the three and six months ended June 30, 2023.

Other Intangible Assets

The following table displays the composition of Other intangible assets, net as well as the respective amortization periods:

	At June 30, 2023						At December 31, 2022
(dollars in millions)	Gross Amount		Accumulated Amortization		Net Amount		Gross Amount		Accumulated Amortization		Net Amount
Customer lists (5 to 13 years)	$	4,335	$	(1,907)	$	2,428	$	4,335	$	(1,646)	$	2,689
Non-network internal-use software (7 years)	24,247		(17,210)		7,037		23,421		(16,397)		7,024
Other (4 to 25 years)	2,839		(1,207)		1,632		2,806		(1,058)		1,748
Total	$	31,421	$	(20,324)	$	11,097	$	30,562	$	(19,101)	$	11,461

The amortization expense for Other intangible assets was as follows: 

	Three Months Ended		Six Months Ended
(dollars in millions)	June 30,		June 30,
2023	$	653	$	1,300
2022	651		1,286

The estimated future amortization expense for Other intangible assets for the remainder of the current year and next 5 years is as follows:

Years	(dollars in millions)
Remainder of 2023	$	1,299
2024	2,398
2025	2,198
2026	1,951
2027	1,392
2028	979