Share-Based Payments (Tables)

12 Months Ended

Dec. 31, 2022

Share-Based Payment Arrangement [Abstract]

Schedule of stock option valuation assumptions and weighted-average grant date fair value

The following table presents the weighted-average assumptions, weighted average grant date fair value, and the range of expected stock price volatility (the Company did not grant any stock options during the year ended December 31, 2022):

	Employee Stock Options
	For the Years Ended December 31,
	2021			2020
Expected life (in years)	7.61			7.70
Volatility	31.06		%	30.89		%
Risk free interest rate	1.29		%	0.70		%
Dividend yield	0.51		%	0.53		%
Weighted-average grant date fair value	$	30.65		$	25.93
Stock price volatility range:
Low	31.00		%	30.00		%
High	35.00		%	39.00		%

Schedule of Stock Option Activity

Stock option activity is as follows:

	Number of shares (in thousands)	Weighted-average exercise price per stock option		Weighted-average remaining contractual term (in years)	Aggregate intrinsic value (in millions)
Outstanding stock options at December 31, 2021	9,133	$	57.77
Exercised	(1,022)	45.22
Forfeited	(181)	74.12
Expired	(69)	76.97
Outstanding stock options at December 31, 2022	7,861	$	58.85	6.17	$	157
Vested and expected to vest at December 31, 2022	7,749	$	58.46	6.15	$	157
Exercisable at December 31, 2022	6,297	$	53.10	5.77	$	153

Schedule of Restricted Stock Units Activity

The following table summarizes our RSU activity with performance-based RSUs, including those with market conditions, presented at 100% of the target level shares that may potentially vest (amounts in thousands, except per share data):

	Number of shares	Weighted- average grant date fair value per RSU
Unvested RSUs at December 31, 2021	13,258	$	75.51
Granted	9,082	78.14
Vested	(7,075)	79.45
Forfeited	(1,511)	82.14
Unvested RSUs at December 31, 2022	13,754	$	74.53

Schedule of share-based compensation expense

The following table sets forth the total share-based compensation expense included in our consolidated statements of operations (amounts in millions):

	For the Years Ended December 31,
	2022		2021		2020
Cost of revenues—product sales: Software royalties and amortization	$	21	$	17	$	14
Cost of revenues—in-game, subscription, and other: Game operations and distribution costs	7		7		1
Cost of revenues—in-game, subscription, and other: Software royalties and amortization	3		—		—
Product development	224		211		42
Sales and marketing	58		44		21
General and administrative	149		229		140
Share-based compensation expense before income taxes	462		508		218
Income tax benefit	(77)		(36)		(28)
Total share-based compensation expense, net of income tax benefit	$	385	$	472	$	190