Employee Benefit Plans (Tables)

9 Months Ended

Apr. 27, 2019

Summary of Share-Based Compensation Expense

The following table summarizes share-based compensation expense (in millions):



	Three Months Ended				Nine Months Ended
	April 27, 2019		April 28, 2018		April 27, 2019		April 28, 2018
Cost of sales—product	$	22	$	24	$	67	$	70
Cost of sales—service	32		33		96		98
Share-based compensation expense in cost of sales	54		57		163		168
Research and development	135		139		398		409
Sales and marketing	124		142		386		412
General and administrative	63		61		190		189
Restructuring and other charges	3		6		45		24
Share-based compensation expense in operating expenses	325		348		1,019		1,034
Total share-based compensation expense	$	379	$	405	$	1,182	$	1,202
Income tax benefit for share-based compensation	$	98	$	140	$	389	$	411

Summary of Share-Based Awards Available for Grant

A summary of share-based awards available for grant is as follows (in millions):



	Share-Based Awards Available for Grant
BALANCE AT JULY 29, 2017	272
Restricted stock, stock units, and other share-based awards granted	(70	)
Share-based awards canceled/forfeited/expired	18
Shares withheld for taxes and not issued	25
BALANCE AT JULY 28, 2018	245
Restricted stock, stock units, and other share-based awards granted	(41	)
Share-based awards canceled/forfeited/expired	16
Shares withheld for taxes and not issued	17
Other	1
BALANCE AT APRIL 27, 2019	238

Summary of Restricted Stock and Stock Unit Activity

A summary of the restricted stock and stock unit activity, which includes time-based and performance-based or market-based RSUs, is as follows (in millions, except per-share amounts):



	Restricted Stock/ Stock Units		Weighted-Average Grant Date Fair Value per Share		Aggregate Fair Value
UNVESTED BALANCE AT JULY 29, 2017	141		$	26.94
Granted	46		35.62
Assumed from acquisitions	1		28.26
Vested	(53	)	26.02		$	1,909
Canceled/forfeited/other	(16	)	28.37
UNVESTED BALANCE AT JULY 28, 2018	119		30.56
Granted	27		45.01
Vested	(36	)	28.30		$	1,698
Canceled/forfeited/other	(12	)	31.39
UNVESTED BALANCE AT APRIL 27, 2019	98		$	35.30

Summary of Stock Option Activity

A summary of the stock option activity is as follows (in millions, except per-share amounts):



	STOCK OPTIONS OUTSTANDING
	Number Outstanding		Weighted-Average Exercise Price per Share
BALANCE AT JULY 29, 2017	12		$	6.15
Assumed from acquisitions	3		8.20
Exercised	(8	)	5.77
Canceled/forfeited/expired	(1	)	8.75
BALANCE AT JULY 28, 2018	6		7.18
Exercised	(3	)	6.88
BALANCE AT APRIL 27, 2019	3		$	7.35

Summary of Significant Ranges of Outstanding and Exercisable Stock Options

The following table summarizes significant ranges of outstanding and exercisable stock options as of April 27, 2019 (in millions, except years and share prices):



	STOCK OPTIONS OUTSTANDING						STOCK OPTIONS EXERCISABLE
Range of Exercise Prices	Number Outstanding	Weighted- Average Remaining Contractual Life (in Years)	Weighted- Average Exercise Price per Share		Aggregate Intrinsic Value		Number Exercisable	Weighted- Average Exercise Price per Share		Aggregate Intrinsic Value
$ 0.01 – 35.00	3	5.3	$	7.35	$	141	2	$	7.22	$	117

Schedule of Assumptions Used

The assumptions for the valuation of time-based RSUs and PRSUs are summarized as follows:



	RESTRICTED STOCK UNITS						PERFORMANCE BASED RESTRICTED STOCK UNITS
Three Months Ended	April 27, 2019			April 28, 2018			April 27, 2019	April 28, 2018
Number of shares granted (in millions)	2			2			—	—
Grant date fair value per share	$	48.17		$	39.31		N/A	$	43.44
Weighted-average assumptions/inputs:
Expected dividend yield	2.7		%	2.9		%	N/A	3.0		%
Range of risk-free interest rates	2.2% – 2.6%			0.0% – 2.6%			N/A	1.5%-2.5%
Range of expected volatilities for index	N/A			N/A			N/A	12.5%-82.8%



	RESTRICTED STOCK UNITS						PERFORMANCE BASED RESTRICTED STOCK UNITS
Nine Months Ended	April 27, 2019			April 28, 2018			April 27, 2019			April 28, 2018
Number of shares granted (in millions)	25			30			2			3
Grant date fair value per share	$	44.84		$	33.97		$	47.00		$	31.96
Weighted-average assumptions/inputs:
Expected dividend yield	2.8		%	3.2		%	2.8		%	3.5		%
Range of risk-free interest rates	0.0% – 2.9%			0.0% – 2.6%			2.1% – 3.0%			1.0%-2.5%
Range of expected volatilities for index	N/A			N/A			13.0% – 65.2%			12.5%-82.8%