Goodwill and Other Intangible Assets

9 Months Ended

Sep. 30, 2011

Note 9. Goodwill and Other Intangible Assets

The changes in the carrying amount of goodwill for the nine months ended September 30, 2011 are as follows (in millions, unaudited):


Balance as of December 31, 2010	$	6,256
Goodwill acquired		752
Goodwill adjustment		(19	)

Balance as of September 30, 2011	$	6,989

Information regarding our acquisition-related intangible assets that are being amortized is as follows (in millions):


	As of December 31, 2010
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Value
Patents and developed technology	$	915	$	506	$	409
Customer relationships		950		400		550
Trade names and other		283		198		85

Total	$	2,148	$	1,104	$	1,044


	As of September 30, 2011
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Value
	(unaudited)
Patents and developed technology	$	1,315	$	643	$	672
Customer relationships		1,212		527		685
Trade names and other		355		238		117

Total	$	2,882	$	1,408	$	1,474

Amortization expense of acquisition-related intangible assets for the three and nine months ended September 30, 2010 was $86 million and $219 million and for the three and nine months ended September 30, 2011 was $126 million and $327 million. As of September 30, 2011, expected amortization expense for acquisition-related intangible assets for each of the next five years and thereafter is as follows (in millions, unaudited):


Remainder of 2011	$	110
2012		410
2013		303
2014		242
2015		131
2016		89
Thereafter		189

	$	1,474

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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