Intangible Assets and Goodwill

6 Months Ended

Sep. 30, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets and Goodwill

Intangible Assets and Goodwill

Net amounts excluding fully amortized intangible assets, consist of the following (in millions):

	September 30, 2023
	Gross Amount		Accumulated Amortization		Net Amount
Core and developed technology	$	7,285.0	$	(4,371.9)	$	2,913.1
Customer-related	196.7		(132.8)		63.9
Software licenses	219.1		(107.3)		111.8
Total	$	7,700.8	$	(4,612.0)	$	3,088.8

	March 31, 2023
	Gross Amount		Accumulated Amortization		Net Amount
Core and developed technology	$	7,296.2	$	(4,103.4)	$	3,192.8
Customer-related	199.8		(128.0)		71.8
In-process research and development	5.7		—		5.7
Software licenses	211.7		(113.0)		98.7
Distribution rights and other	0.3		(0.3)		—
Total	$	7,713.7	$	(4,344.7)	$	3,369.0

The following is an expected amortization schedule for the intangible assets for the remainder of fiscal 2024 through fiscal 2028, absent any future acquisitions or impairment charges (in millions):

Fiscal Year Ending March 31,	Amortization Expense
2024	$	343.9
2025	$	554.9
2026	$	485.3
2027	$	383.6
2028	$	297.9

The Company amortizes intangible assets over their expected useful lives, which range between 1 and 15 years. Amortization expense attributed to intangible assets are assigned to cost of sales and operating expenses as follows (in millions):

	Three Months Ended September 30,				Six Months Ended September 30,
	2023		2022		2023		2022
Amortization expense charged to cost of sales	$	3.0	$	3.9	$	6.0	$	7.2
Amortization expense charged to operating expense	169.0		184.3		338.4		368.7
Total amortization expense	$	172.0	$	188.2	$	344.4	$	375.9

The Company recognized impairment charges of $0.6 million and $1.1 million in the three and six months ended September 30, 2023, respectively. There were no impairment charges in the three and six months ended September 30, 2022.

Goodwill activity by segment was as follows (in millions):

	Semiconductor Products Reporting Unit		Technology Licensing Reporting Unit
Balance at March 31, 2023	$	6,654.4	$	19.2
Additions	1.8		—
Balance at September 30, 2023	$	6,656.2	$	19.2

At March 31, 2023, the Company applied a qualitative goodwill impairment test to its two reporting units, and concluded that goodwill was not impaired. Through September 30, 2023, the Company has never recorded a goodwill impairment charge.