Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Schedule of income before income tax

The components of pretax income for the years ended December 31, 2013, 2012 and 2011 are as follows:

	Year Ended December 31,
	2013		2012		2011
	(In millions)
United States	$	594	$	605	$	1,746
International	2,872		2,479		2,164
	$	3,466	$	3,084	$	3,910

Schedule of components of income tax expense (benefit)

The provision for income taxes is comprised of the following:

	Year Ended December 31,
	2013			2012			2011
	(In millions)
Current:
Federal	$	455		$	327		$	518
State and local	(4		)	63			24
Foreign	190			120			122
	$	641		$	510		$	664
Deferred:
Federal	$	18		$	34		$	64
State and local	(22		)	(24		)	(3		)
Foreign	(27		)	(45		)	(44		)
	(31		)	(35		)	17
	$	610		$	475		$	681

Schedule of effective income tax rate reconciliation

The following is a reconciliation of the difference between the actual provision for income taxes and the provision computed by applying the federal statutory rate of 35% for 2013, 2012 and 2011 to income before income taxes:

	Year Ended December 31,
	2013			2012			2011
	(In millions)
Provision at statutory rate	$	1,213		$	1,080		$	1,369
Permanent differences:
Foreign income taxed at different rates	(607		)	(617		)	(1,093		)
Gain on sale of Skype	—			—			321
Change in valuation allowance	—			3			(1		)
Stock-based compensation	33			(14		)	32
State taxes, net of federal benefit	(26		)	39			21
Research and other tax credits	(43		)	1			(8		)
Divested business	21			(41		)	34
Other	19			24			6
	$	610		$	475		$	681

Schedule of deferred tax assets and liabilities

Significant deferred tax assets and liabilities consist of the following:

	December 31,
	2013			2012
	(In millions)
Deferred tax assets:
Net operating loss, capital loss and credits	$	310		$	235
Accruals and allowances	341			355
Stock-based compensation	145			133
Discount on note receivable	—			55
Net unrealized losses	5			5
Net deferred tax assets	801			783
Valuation allowance	(186		)	(169		)
	$	615		$	614
Deferred tax liabilities:
Unremitted foreign earnings	$	(246	)	$	(220	)
Acquisition-related intangibles	(296		)	(357		)
Depreciation and amortization	(351		)	(302		)
Available-for-sale securities	(332		)	(237		)
Other	(28		)	(21		)
	(1,253		)	(1,137		)
	$	(638	)	$	(523	)

Changes in unrecognized tax benefits

	2013			2012			2011
	(In millions)
Gross amounts of unrecognized tax benefits as of the beginning of the period	$	340		$	286		$	428
Increases related to prior period tax positions	104			60			33
Decreases related to prior period tax positions	(143		)	(24		)	(139		)
Increases related to current period tax positions	37			19			41
Settlements	(4		)	(1		)	(77		)
Gross amounts of unrecognized tax benefits as of the end of the period	$	334		$	340		$	286