Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Schedule of Geographical Sources of Income Before Income Taxes

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

	Year Ended December 31,
	2021		2020		2019
United States	$	328	$	33	$	83
Outside United States	640		527		515
Total	$	968	$	560	$	598

Schedule of Components of Income Tax Expense (Benefit)

Income tax expense (benefit) consisted of the following (in millions):

	Year Ended December 31,
	2021		2020		2019
Current:
Federal	$	63	$	6	$	16
State	12		1		(1)
Foreign	124		89		81
Total current	$	199	$	96	$	96
Deferred:
Federal	(48)		(25)		(32)
State	(12)		(5)		(5)
Foreign	(8)		(10)		(5)
Total deferred	$	(68)	$	(40)	$	(42)
Total	$	131	$	56	$	54

Schedule of Reconciliation of U.S. Federal Statutory Income Tax Rate to Actual Income Tax Rate

A reconciliation of the U.S. federal statutory income tax rate to our actual income tax rate is provided below:

	Year Ended December 31,
	2021		2020		2019
Provision computed at statutory rate	21.0	%	21.0	%	21.0	%
Remeasurement of deferred taxes	(1.0)		(0.6)		0.2
Change in valuation allowance	(0.1)		0.1		(1.7)
U.S. impact of Enterprise acquisition	0.3		0.3		1.0
Change in contingent income tax reserves	(0.2)		(0.4)		(3.3)
Foreign earnings subject to U.S. taxation	(2.0)		1.5		1.8
Foreign rate differential	(1.7)		(5.5)		(0.7)
State income tax, net of federal tax benefit	0.3		0.4		(0.2)
Tax credits	(2.0)		(2.9)		(2.3)
Equity compensation deductions	(2.4)		(3.2)		(4.0)
Return to provision and other true ups	(0.9)		(2.5)		(2.0)
Permanent differences and other	2.2		1.8		(0.8)
Provision for income taxes	13.5	%	10.0	%	9.0	%

Schedule of Components of Deferred Tax Assets and Liabilities

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

	December 31,
	2021		2020
Deferred tax assets:
Capitalized research expenditures	$	14	$	18
Deferred revenue	85		38
Tax credits	37		36
Net operating loss carryforwards	438		406
Other accruals	39		32
Inventory items	15		17
Sales return/rebate reserve	61		46
Share-based compensation expense	12		9
Unrealized gains and losses on securities and investments	—		19
Valuation allowance	(422)		(413)
Total deferred tax assets	$	279	$	208
Deferred tax liabilities:
Depreciation and amortization	84		67
Unrealized gains and losses on securities and investments	5		—
Undistributed earnings	4		2
Total deferred tax liabilities	$	93	$	69
Net deferred tax assets	$	186	$	139

Schedule of 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,
	2021		2020
Balance at beginning of year	$	8	$	10
Settlements for tax positions	—		(1)
Lapse of statutes	(1)		(1)
Balance at end of year	$	7	$	8