Segment Information and Major Customers

9 Months Ended

Apr. 27, 2024

Segment Reporting [Abstract]

Segment Information and Major Customers

Segment Information and Major Customers

(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 first nine months of fiscal 2024 and 2023, 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 27, 2024		April 29, 2023		April 27, 2024		April 29, 2023
Revenue:
Americas	$	7,372	$	8,634	$	23,904	$	24,372
EMEA	3,458		3,806		10,606		11,209
APJC	1,873		2,131		5,652		6,214
Total	$	12,702	$	14,571	$	40,161	$	41,795
Gross margin:
Americas	$	5,006	$	5,545	$	15,906	$	15,449
EMEA	2,406		2,536		7,324		7,330
APJC	1,262		1,415		3,816		3,986
Segment total	8,673		9,495		27,046		26,764
Unallocated corporate items	(400)		(263)		(999)		(759)
Total	$	8,273	$	9,232	$	26,047	$	26,005

Amounts may not sum due to rounding.

Revenue in the United States was $6.6 billion and $7.7 billion for the third quarter of fiscal 2024 and 2023, respectively and $21.4 billion and $21.7 billion for the first nine months of fiscal 2024 and 2023, respectively.

(b)Revenue for Groups of Similar Products and Services

We design 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. Effective in the first quarter of fiscal 2024, we began reporting our product and service revenue in the following categories: Networking, Security, Collaboration, Observability, and Services and conformed our product revenue for prior periods to the current period presentation.

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

	Three Months Ended				Nine Months Ended
	April 27, 2024		April 29, 2023		April 27, 2024		April 29, 2023
Revenue:
Networking	$	6,522	$	8,982	$	22,425	$	25,105
Security	1,304		958		3,288		2,872
Collaboration	987		985		3,093		3,029
Observability	211		167		589		486
Total Product	9,024		11,092		29,395		31,492
Services	3,678		3,479		10,766		10,303
Total	$	12,702	$	14,571	$	40,161	$	41,795

Amounts may not sum due to rounding.