Segment Information

3 Months Ended

May 02, 2021

Segment Reporting [Abstract]

Segment Information

Segment Information

Our Chief Executive Officer, who is considered to be our chief operating decision maker, or CODM, reviews financial information presented on an operating segment basis for purposes of making decisions and assessing financial performance. Our two operating segments are "Graphics" and "Compute & Networking." Our operating segments are equivalent to our reportable segments.

Our Graphics segment includes GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise design; GRID software for cloud-based visual and virtual computing; and automotive platforms for infotainment systems.

Our Compute & Networking segment includes Data Center platforms and systems for artificial intelligence, or AI, high performance computing, or HPC, and accelerated computing; Mellanox networking and interconnect solutions; automotive AI Cockpit, autonomous driving development agreements, and autonomous vehicle solutions; cryptocurrency mining processors, or CMP; and Jetson for robotics and other embedded platforms.

Operating results by segment include costs or expenses that are directly attributable to each segment, and costs or expenses that are leveraged across our unified architecture and therefore allocated between our two segments.

The “All Other” category includes the expenses that our CODM does not assign to either Graphics or Compute & Networking for purposes of making operating decisions or assessing financial performance. The expenses include stock-based compensation expense, corporate infrastructure and support costs, acquisition-related costs, IP-related costs, and other non-recurring charges and benefits that our CODM deems to be enterprise in nature.

Our CODM does not review any information regarding total assets on a reportable segment basis. Depreciation and amortization expense directly attributable to each reportable segment is included in operating results for each segment. However, the CODM does not evaluate depreciation and amortization expense by operating segment and, therefore, it is not separately presented. There is no intersegment revenue. The accounting policies for segment reporting are the same as for our consolidated financial statements. The table below presents details of our reportable segments and the “All Other” category.

	Graphics		Compute & Networking		All Other		Consolidated
	(In millions)
Three Months Ended May 2, 2021
Revenue	$	3,451	$	2,210	$	—	$	5,661
Operating income (loss)	$	1,786	$	861	$	(691)	$	1,956
Three Months Ended April 26, 2020
Revenue	$	1,906	$	1,174	$	—	$	3,080
Operating income (loss)	$	836	$	451	$	(311)	$	976

	Three Months Ended
	May 2, 2021		April 26, 2020
	(In millions)
Reconciling items included in "All Other" category:
Stock-based compensation expense	$	(429)	$	(224)
Acquisition-related and other costs	(167)		(5)
Unallocated cost of revenue and operating expenses	(90)		(82)
IP-related costs	(5)		—
Total	$	(691)	$	(311)

Revenue by geographic region is allocated to individual countries based on the location to which the products are initially billed even if our customers’ revenue is attributable to end customers that are located in a different location. The following table summarizes information pertaining to our revenue from customers based on the invoicing address by geographic regions:

	Three Months Ended
	May 2,		April 26,
	2021		2020
	(In millions)
Revenue:
Taiwan	$	1,784	$	813
China (including Hong Kong)	1,391		758
Other Asia Pacific	1,001		607
United States	768		497
Europe	381		254
Other countries	336		151
Total revenue	$	5,661	$	3,080

The following table summarizes information pertaining to our revenue by each of the specialized markets we serve:

	Three Months Ended
	May 2,		April 26,
	2021		2020
	(In millions)
Revenue:
Gaming	$	2,760	$	1,339
Data Center	2,048		1,141
Professional Visualization	372		307
Automotive	154		155
OEM and Other	327		138
Total revenue	$	5,661	$	3,080

No customer represented 10% or more of total revenue for the first quarter of fiscal years 2022 or 2021.

One customer represented 13% and 16% of our accounts receivable balance as of May 2, 2021 and January 31, 2021, respectively.