Goodwill and Other Intangibles

9 Months Ended

Sep. 01, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill as of September 1, 2023 and December 2, 2022 was $12.80 billion and $12.79 billion, respectively. During the second quarter of fiscal 2023, we completed our annual goodwill impairment test associated with our reporting units and determined there was no impairment of goodwill.

Other intangible assets subject to amortization as of September 1, 2023 and December 2, 2022 were as follows:


(in millions)	2023						2022
	Gross Carrying Amount		Accumulated Amortization		Net		Gross Carrying Amount		Accumulated Amortization		Net
Customer contracts and relationships	$	1,204	$	(588)	$	616	$	1,204	$	(495)	$	709
Purchased technology	973		(598)		375		1,060		(530)		530
Trademarks	376		(205)		171		375		(172)		203


Other	20		(15)		5		61		(54)		7
Other intangibles, net	$	2,573	$	(1,406)	$	1,167	$	2,700	$	(1,251)	$	1,449

Amortization expense related to other intangibles was $92 million and $284 million for the three and nine months ended September 1, 2023, respectively. Comparatively, amortization expense related to other intangibles was $101 million and $303 million for the three and nine months ended September 2, 2022, respectively. Of these amounts, $50 million and $158 million were included in cost of revenue for the three and nine months ended September 1, 2023, respectively, and $58 million and $176 million were included in cost of revenue for the three and nine months ended September 2, 2022, respectively.

As of September 1, 2023, the estimated aggregate amortization expense in future periods was as follows:


(in millions)
Fiscal Year	Other Intangibles (1)
Remainder of 2023	$	93
2024	331
2025	295
2026	142
2027	104
Thereafter	182
Total expected amortization expense	$	1,147

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(1)Excludes capitalized in-process research and development which is considered indefinite lived until the completion or abandonment of the associated research and development efforts.