Goodwill, Capitalized Software and Other Intangible Assets (Tables)

9 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

Capitalized software and other intangible assets

The gross carrying amounts and accumulated amortization for capitalized software and other intangible assets at December 31, 2017 were as follows:

	At December 31, 2017
	Gross Amortizable Assets		Less: Fully Amortized Assets		Remaining Amortizable Assets		Accumulated Amortization on Remaining Amortizable Assets		Net Assets
	(in millions)
Purchased software products	$	6,565	$	4,910	$	1,655	$	837	$	818
Internally developed software products	1,467		1,347		120		103		17
Other intangible assets	1,222		823		399		58		341
Total capitalized software and other intangible assets	$	9,254	$	7,080	$	2,174	$	998	$	1,176

The gross carrying amounts and accumulated amortization for capitalized software and other intangible assets at March 31, 2017 were as follows:

	At March 31, 2017
	Gross Amortizable Assets		Less: Fully Amortized Assets		Remaining Amortizable Assets		Accumulated Amortization on Remaining Amortizable Assets		Net Assets
	(in millions)
Purchased software products	$	6,496	$	4,914	$	1,582	$	667	$	915
Internally developed software products	1,467		1,029		438		391		47
Other intangible assets	1,193		812		381		36		345
Total capitalized software and other intangible assets	$	9,156	$	6,755	$	2,401	$	1,094	$	1,307

Projected annual amortization expense

Based on the capitalized software and other intangible assets recorded through December 31, 2017, the projected annual amortization expense for fiscal year 2018 and the next four fiscal years is expected to be as follows:

	Year Ended March 31,
	2018		2019		2020		2021		2022
	(in millions)
Purchased software products	$	236	$	185	$	162	$	118	$	109
Internally developed software products	37		9		1		—		—
Other intangible assets	42		40		37		37		36
Total	$	315	$	234	$	200	$	155	$	145

Goodwill activity by segment

Goodwill activity by segment for the nine months ended December 31, 2017 was as follows:

(in millions)	Mainframe Solutions		Enterprise Solutions			Services		Total
Balance at March 31, 2017	$	4,178	$	2,598		$	81	$	6,857
Acquisitions (1)	—		(99		)	—		(99		)
Foreign currency translation adjustment	—		41			—		41
Balance at December 31, 2017	$	4,178	$	2,540		$	81	$	6,799

(1) Acquisitions amount relates to purchase price allocation adjustments that occurred during the nine months ended December 31, 2017.