SOFTWARE DEVELOPMENT COSTS AND LICENSES

12 Months Ended

Mar. 31, 2023

SOFTWARE DEVELOPMENT COSTS AND LICENSES

Details of our capitalized software development costs and licenses are as follows:


	March 31,
	2023				2022
	Current		Non-current		Current		Non-current
Software development costs, internally developed	$	47.4	$	882.0	$	59.2	$	599.3
Software development costs, externally developed	2.2		169.7		19.3		145.2
Licenses	16.3		20.5		2.9		11.4
Software development costs and licenses	$	65.9	$	1,072.2	$	81.4	$	755.9

Software development costs and licenses, net of current portion as of March 31, 2023 and 2022 included $1,010.2 and $738.0, respectively, related to titles that have not been released.

Amortization and impairment of software development costs and licenses are as follows:


	Fiscal Year Ended March 31,
	2023		2022		2021
Amortization of software development costs and licenses	$	179.7	$	131.1	$	113.9
Impairment of software development costs and licenses	79.1		70.6		39.1
Portion representing stock-based compensation	9.5		(48.4)		(8.7)
Amortization and impairment, net of stock-based compensation	$	268.3	$	153.3	$	144.3

During the fiscal year ended March 31, 2023, the impairment charges related to (i) a decision not to proceed with further development of certain interactive entertainment software products, and (ii) recognizing unamortized capitalized costs

for the development of a title, which were anticipated to exceed the net realizable value of the asset at the time they were impaired.As a result of government grants earned on qualified production spend to date, our software development costs and licenses were reduced by $108.1 and $96.9 as of March 31, 2023 and 2022, respectively. Also, we had $0.0 and $10.0 current receivable within Prepaid expenses and other, and $256.8 and $256.5 non-current receivable within Other assets on our Consolidated Balance Sheets relating to such government grants as of March 31, 2023 and 2022, respectively. In addition, within our Consolidated Statements of Operations, amortization of software development costs and licenses, which is a component of Cost of Revenue, for fiscal years ended March 31, 2023, 2022, and 2021, were reduced by $41.2, $46.8, and $43.3, respectively, and Research and development expense was reduced by $4.5 for the fiscal year ended March 31, 2023, with no such reduction in fiscal years ended in March 31, 2022, and 2021