Segment Information and Major Customers

9 Months Ended

Apr. 25, 2020


(a)	Revenue and Gross Margin by Segment

We conduct business globally and are primarily managed on a geographic basis consisting of three segments: the Americas, EMEA, and APJC. Our management makes financial decisions and allocates resources based on the information it receives from our internal management system. Sales are attributed to a segment based on the ordering location of the customer. We do not allocate research and development, sales and marketing, or general and administrative expenses to our segments in this internal management system because management does not include the information in our measurement of the performance of the operating segments. In addition, we do not allocate amortization and impairment of acquisition-related intangible assets, share-based compensation expense, significant litigation settlements and other contingencies, charges related to asset impairments and restructurings, and certain other charges to the gross margin for each segment because management does not include this information in our measurement of the performance of the operating segments.

Summarized financial information by segment for the third quarter and the first nine months of fiscal 2020 and 2019, based on our internal management system and as utilized by our Chief Operating Decision Maker (“CODM”), is as follows (in millions):



	Three Months Ended						Nine Months Ended
	April 25, 2020			April 27, 2019			April 25, 2020			April 27, 2019
Revenue:
Americas	$	7,116		$	7,695		$	22,106		$	22,798
EMEA	3,136			3,356			9,553			9,803
APJC	1,730			1,907			5,489			5,875
Total	$	11,983		$	12,958		$	37,147		$	38,476
Gross margin:
Americas	$	4,828		$	5,046		$	14,836		$	14,911
EMEA	2,061			2,166			6,289			6,307
APJC	1,098			1,158			3,511			3,467
Segment total	7,986			8,370			24,636			24,686
Unallocated corporate items	(215		)	(197		)	(637		)	(594		)
Total	$	7,771		$	8,173		$	23,999		$	24,092

Amounts may not sum and percentages may not recalculate due to rounding.

Revenue in the United States was $6.3 billion and $6.8 billion for the third quarter of fiscal 2020 and 2019, respectively, and $19.7 billion and $20.2 billion for the first nine months of fiscal 2020 and 2019, respectively.


(b)	Revenue for Groups of Similar Products and Services

We design, manufacture, and sell Internet Protocol (IP)-based networking and other products related to the communications and IT industry and provide services associated with these products and their use.

The following table presents revenue for groups of similar products and services (in millions):



	Three Months Ended				Nine Months Ended
	April 25, 2020		April 27, 2019		April 25, 2020		April 27, 2019
Revenue:
Infrastructure Platforms	$	6,429	$	7,523	$	20,496	$	22,247
Applications	1,363		1,431		4,211		4,315
Security	776		729		2,340		2,083
Other Products	28		39		100		239
Total Product	8,597		9,722		27,146		28,885
Services	3,386		3,236		10,001		9,591
Total⁽¹⁾	$	11,983	$	12,958	$	37,147	$	38,476

Amounts may not sum due to rounding.

⁽¹⁾ Includes SPVSS business revenue of $168 million for the first nine months of fiscal 2019.