Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Components of Income (Loss) Before Income Taxes

The geographical sources of (loss) income before income taxes were as follows (in millions):

	Year Ended December 31,
	2015 Restated			2014			2013
United States	$	(288	)	$	(122	)	$	48
Outside United States	108			139			116
Total	$	(180	)	$	17		$	164

Components of Provision (Benefit) for Income Taxes

The provision for income taxes consists of the following (in millions):

	Year Ended December 31,
	2015 Restated			2014			2013
Current:
Federal	$	84		$	6		$	9
State	4			4			1
Foreign	32			19			12
Total current	120			29			22
Deferred:
Federal	(117		)	(38		)	7
State	(24		)	(5		)	1
Foreign	(1		)	(1		)	—
Total deferred	(142		)	(44		)	8
Total	$	(22	)	$	(15	)	$	30

Reconciliation of Provision for Income Taxes

A reconciliation of the provision for income taxes is below (in millions):

	Year Ended December 31,
	2015 Restated			2014			2013
(Benefit) provision computed at statutory rate	$	(63	)	$	6		$	57
State income tax, net of Federal tax benefit	(2		)	(1		)	1
US impact of Enterprise acquisition and integration	48			7			—
Tax credits	(11		)	(3		)	(1		)
Foreign rate differential	(25		)	(33		)	(26		)
Change in valuation allowance	15			3			—
Effect of rate changes on deferred taxes	(7		)	—			—
US income inclusion	7			3			—
Change in contingent income tax reserves	6			3			—
Other	10			—			(1		)
(Benefit) provision for income taxes	$	(22	)	$	(15	)	$	30

Components of Deferred Tax Assets and Liabilities

Tax effects of temporary differences that give rise to deferred tax assets and liabilities are as follows (in millions):

	December 31,
	2015 Restated			2014
Deferred tax assets:
Capitalized research expenditures	$	46		$	27
Capitalized software costs	43			—
Accrued bonus	16			12
Inventory items	27			2
Other accruals	47			55
Deferred revenue	59			79
Equity based compensation expense	15			14
Unrealized gain and losses on securities and investments	10			9
Net operating loss carryforwards	65			27
Tax credits	32			62
Sales return/rebate reserve	22			8
Valuation allowance	(48		)	(57		)
Total deferred tax assets	334			238
Deferred tax liabilities:
Unrealized loss on other investments	—			(1		)
Depreciation and amortization	(265		)	(311		)
Undistributed earnings	—			(3		)
Total deferred tax liabilities	(265		)	(315		)
Net deferred tax assets (liabilities)	$	69		$	(77	)

Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in millions):

	Year ended December 31,
	2015 Restated			2014
Balance at beginning of year	$	19		$	4
Additions for tax positions related to the current year	6			1
Additions for tax positions related to prior years	18			2
Reductions for tax positions related to prior years	(2		)	0
Settlements for tax positions	(1		)	0
Additions related to Acquisition	0			12
Balance at end of year	$	40		$	19

Summary of Open Tax Years by Major Jurisdiction Outside of the United States

Below is a summary of open tax years by major jurisdiction outside of the United States.

China	2003 - 2015
France	2011 - 2015
Germany	2009 - 2015
India	1998 - 2015
Japan	2012 - 2015
United Kingdom	2009 - 2015