Supplemental Balance Sheet Information

9 Months Ended

Sep. 30, 2023

Balance Sheet Related Disclosures [Abstract]

Supplemental Balance Sheet Information

Supplemental Financial Statement Information

Accounts Receivable, net

As of September 30, 2023 and December 31, 2022, Accounts receivable, net included unbilled accounts receivable of $1.1 billion for both periods. Unbilled accounts receivable primarily represents work completed on development services and on custom products for which revenue has been recognized but not yet invoiced. All unbilled accounts receivable are expected to be billed and collected within 12 months.

Inventories	September 30, 2023		December 31, 2022
	(In millions)
Raw materials	$	245	$	231
Work in process	3,270		2,648
Finished goods	930		892
Total inventories	$	4,445	$	3,771

Prepaid Expenses and Other Current Assets	September 30, 2023		December 31, 2022
	(In millions)
Prepaid supply agreements	$	913	$	673
Other	490		592
Total prepaid expenses and other current assets	$	1,403	$	1,265

Prepaid supply agreements relate to the short-term portion of payments made to vendors to secure long-term supply capacity.

Property and Equipment, net	September 30, 2023		December 31, 2022
	(In millions)
Land, building and leasehold improvements	$	800	$	714
Equipment	2,295		2,163
Construction in progress	201		143
Property and equipment, gross	3,296		3,020
Accumulated depreciation	(1,730)		(1,507)
Total property and equipment, net	$	1,566	$	1,513

Accrued Liabilities	September 30, 2023		December 31, 2022
	(In millions)
Accrued marketing programs	$	896	$	876
Accrued compensation and benefits	871		701
Customer program liabilities	723		859
Other accrued liabilities	886		641
Total accrued liabilities	$	3,376	$	3,077

Other Current Liabilities	September 30, 2023		December 31, 2022
	(In millions)
Tax liabilities	$	769	$	156
Other current liabilities	160		180
Total other current liabilities	$	929	$	336

Revenue

Revenue allocated to remaining performance obligations that are unsatisfied (or partially unsatisfied) include amounts received from customers and amounts that will be invoiced and recognized as revenue in future periods for development services, IP licensing and product revenue. As of September 30, 2023, the aggregate transaction price allocated to remaining performance obligations under contracts with an original expected duration of more than one year was $192 million, of which $129 million is expected to be recognized in the next 12 months. The revenue allocated to remaining performance obligations does not include amounts which have an original expected duration of one year or less.

Revenue recognized over time associated with custom products and development services accounted for 25% and 27% of the Company’s revenue for the three and nine months ended September 30, 2023, respectively and 30% and 24% of the Company’s revenue for the three and nine months ended September 24, 2022, respectively