Financial Analysis

Acquisitions Acquisition of VMware, Inc. On November 22, 2023, we completed the VMware Merger. Pursuant to the Agreement and Plan of Merger, each share of VMware common stock issued and outstanding immediately prior to the VMware Merger was indirectly converted into the right to receive, at the election of the holder of such share of VMware common stock, either $142.50 in cash or 2.52 shares of Broadcom common stock (on a split adjusted basis). The stockholder election was prorated, such that the total number of shares of VMware common stock entitled to receive cash and the total number of shares of VMware common stock entitled to receive Broadcom common stock, in each case, was equal to 50% of the aggregate number of shares of VMware common stock issued and outstanding immediately prior to the VMware Merger. Based on the VMware stockholders elections, the VMware stockholders received approximately $30,788 million in cash and 544 million shares of Broadcom common stock with a fair value of $53,398 million. We funded the cash portion of the VMware Merger with the net proceeds from the issuance of the 2023 Term Loans, as defined and discussed in Note 10. Borrowings, as well as cash on hand. We assumed $8,250 million of VMwares outstanding senior unsecured notes. Purchase Consideration (In millions) Fair value of Broadcom common stock issued for outstanding VMware common stock $ 53,398 Cash paid for outstanding VMware common stock 30,788 Cash paid by Broadcom to retire VMwares t …

BusinessCombinationDisclosureTextBlock · excerpt; the full note is in the filing

Commitments and Contingencies Commitments The following table summarizes contractual obligations and commitments as of November 2, 2025: Fiscal Year: Purchase Commitments Other Contractual Commitments (In millions) 2026 $ 106 $ 777 2027 12 650 2028 10 624 2029 4 890 2030 300 Thereafter 873 Total $ 132 $ 4,114 Purchase Commitments. Represent unconditional purchase obligations to purchase goods or services, primarily inventory, that are enforceable and legally binding on us and specify all significant terms, including fixed or minimum quantities to be purchased, price provisions, and the approximate timing of the transaction. Purchase obligations exclude agreements that are cancelable without penalty and unconditional purchase obligations with a remaining term of one year or less. Other Contractual Commitments. Represent amounts payable pursuant to agreements related to IT and other service agreements. Due to the inherent uncertainty with respect to the timing of future cash outflows associated with our unrecognized tax benefits at November 2, 2025, we are unable to reliably estimate the timing of cash settlement with the respective taxing authorities. Therefore, $1,628 million of unrecognized tax benefits and accrued interest and penalties as of November 2, 2025 have been excluded from the table above. Contingencies From time to time, we are involved in litigation that we believe is of the type common to companies engaged in our lines of business, including commercial disputes …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

"Borrowings Effective Interest Rate November 2, 2025 November 3, 2024 (Dollars in millions) September 2025 Senior Notes 4.200% notes due October 2030 4.34 % $ 1,000 $ 4.800% notes due February 2036 4.90 % 2,250 4.900% notes due February 2038 4.99 % 1,750 5,000 July 2025 Senior Notes 4.600% notes due July 2030 4.49 % (a) 1,750 4.900% notes due July 2032 5.04 % 1,750 5.200% notes due July 2035 4.77 % (a) 2,500 6,000 January 2025 Senior Notes 4.800% notes due April 2028 5.03 % 1,100 5.050% notes due April 2030 5.20 % 800 5.200% notes due April 2032 5.34 % 1,100 3,000 October 2024 Senior Notes 4.150% notes due February 2028 4.36 % 875 875 4.350% notes due February 2030 4.51 % 1,500 1,500 4.550% notes due February 2032 4.70 % 875 875 4.800% notes due October 2034 4.38 % (a) 1,750 1,750 5,000 5,000 July 2024 Senior Notes 5.050% notes due July 2027 5.27 % 1,250 1,250 5.050% notes due July 2029 5.23 % 2,250 2,250 5.150% notes due November 2031 5.30 % 1,500 1,500 5,000 5,000 April 2022 Senior Notes 4.000% notes due April 2029 4.17 % 750 750 4.150% notes due April 2032 4.30 % 1,200 1,200 4.926% notes due May 2037 5.33 % 2,500 2,500 4,450 4,450 September 2021 Senior Notes 3.137% notes due November 2035 4.23 % 3,250 3,250 3.187% notes due November 2036 4.79 % 2,750 2,750 6,000 6,000 March 2021 Senior Notes 3.419% notes due April 2033 4.66 % 2,250 2,250 3.469% notes due April 2034 4.63 % 3,250 3,250 5,500 5,500 Effective Interest Rate November 2, 2025 November 3, 2024 (Dollars in millions …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

The following tables present revenue disaggregated by type of revenue and by region for the periods presented: Fiscal Year 2025 Americas Asia Pacific Europe, the Middle East and Africa Total (In millions) Products $ 7,908 $ 33,596 $ 3,343 $ 44,847 Subscriptions and services 11,031 2,300 5,709 19,040 Total $ 18,939 $ 35,896 $ 9,052 $ 63,887 Fiscal Year 2024 Americas Asia Pacific Europe, the Middle East and Africa Total (In millions) Products $ 4,898 $ 26,869 $ 3,193 $ 34,960 Subscriptions and services 10,072 1,553 4,989 16,614 Total $ 14,970 $ 28,422 $ 8,182 $ 51,574 Fiscal Year 2023 Americas Asia Pacific Europe, the Middle East and Africa Total (In millions) Products $ 3,591 $ 23,272 $ 2,086 $ 28,949 Subscriptions and services 4,688 648 1,534 6,870 Total $ 8,279 $ 23,920 $ 3,620 $ 35,819

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Goodwill and Intangible Assets Goodwill Semiconductor Solutions Infrastructure Software Total (In millions) Balance as of October 29, 2023 $ 26,001 $ 17,652 $ 43,653 Acquisition of VMware 54,206 54,206 Acquisition of Seagate's SoC operations 14 14 Balance as of November 3, 2024 26,015 71,858 97,873 Sales of businesses (2) (70) (72) Balance as of November 2, 2025 $ 26,013 $ 71,788 $ 97,801 During the fourth quarter of fiscal years 2025, 2024 and 2023, we completed our annual impairment assessments and concluded that goodwill was not impaired in any of these years. Intangible Assets Gross Carrying Amount Accumulated Amortization Net Book Value (In millions) As of November 2, 2025: Purchased technology $ 32,781 $ (14,401) $ 18,380 Customer contracts and related relationships 15,791 (4,003) 11,788 Trade names 1,612 (399) 1,213 Other 186 (114) 72 Intangible assets subject to amortization 50,370 (18,917) 31,453 IPR&D 820 820 Total $ 51,190 $ (18,917) $ 32,273 As of November 3, 2024: Purchased technology $ 35,467 $ (12,551) $ 22,916 Customer contracts and related relationships 16,186 (2,271) 13,915 Trade names 1,720 (369) 1,351 Other 166 (105) 61 Intangible assets subject to amortization 53,539 (15,296) 38,243 IPR&D 2,340 2,340 Total $ 55,879 $ (15,296) $ 40,583 Based on the amount of intangible assets subject to amortization at November 2, 2025, the expected amortization expense for each of the next five fiscal years and thereafter was as follows: Fiscal Year: Expected Amor …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

"Income Taxes The components of income before income taxes by U.S. and foreign jurisdictions were as follows: Fiscal Year 2025 2024 2023 (In millions) Domestic income (loss) $ 2,507 $ (4,851) $ (63) Foreign income 20,222 14,767 15,160 Income from continuing operations before income taxes $ 22,729 $ 9,916 $ 15,097 The components of the provision for (benefit from) income taxes were as follows: Fiscal Year 2025 2024 2023 (In millions) Current tax provision: Federal $ 660 $ 1,030 $ 952 State 185 52 23 Foreign 791 701 541 Total 1,636 1,783 1,516 Deferred tax provision (benefit): Federal (1,844) 1,855 (499) State (257) (70) (31) Foreign 68 180 29 Total (2,033) 1,965 (501) Total provision for (benefit from) income taxes $ (397) $ 3,748 $ 1,015 The following is a reconciliation of our effective tax rate to the statutory federal tax rate: Fiscal Year 2025 2024 2023 Statutory tax rate 21.0 % 21.0 % 21.0 % State, net of federal benefit (0.2) (0.1) Foreign income taxed at different rates (14.9) (22.4) (17.3) Deemed inclusion of foreign earnings 7.1 16.3 9.9 Change in valuation allowance 5.8 Impact of non-recurring intra-group transfer of certain IP rights 39.6 Releases and settlements from statutes expirations (7.9) (2.2) Tax contingency interest accrual 0.3 1.8 0.3 Excess tax benefits from stock-based compensation (9.6) (13.1) (3.4) Research and development credit (3.8) (6.0) (1.8) Other, net 0.5 0.7 0.2 Effective tax rate on income before income taxes (1.7) % 37.8 % 6.7 % On July 4, 2 …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Leases We have operating leases for our facilities, land, data centers and certain equipment. Operating lease expense was $182 million, $187 million and $91 million for fiscal years 2025, 2024 and 2023, respectively. Other operating lease information, which included the impact of VMware leases acquired on November 22, 2023, was as follows: Fiscal Year 2025 2024 2023 (In millions) Cash paid for leases included in operating cash flows $ 277 $ 223 $ 90 ROU assets obtained in exchange for lease liabilities $ 220 $ 1,165 $ 28 November 2, 2025 November 3, 2024 Weighted-average remaining lease term (in years) 11 11 Weighted-average discount rate 4.78 % 5.31 % Supplemental balance sheet information related to operating leases was as follows: Classification on the Consolidated Balance Sheets November 2, 2025 November 3, 2024 (In millions) ROU assets Other long-term assets $ 1,318 $ 1,325 Short-term lease liabilities Other current liabilities $ 144 $ 207 Long-term lease liabilities Other long-term liabilities $ 1,181 $ 1,143 Future minimum operating lease payments under non-cancelable leases as of November 2, 2025 were as follows: (In millions) 2026 $ 212 2027 196 2028 168 2029 144 2030 128 Thereafter 877 Total undiscounted liabilities 1,725 Less: interest (400) Present value of lease liabilities $ 1,325

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Recently Adopted Accounting Guidance. In November 2023, the Financial Accounting Standards Board issued Accounting Standards Update 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures , which enhances disclosures about significant segment expenses. We adopted this standard in the fourth quarter of fiscal year 2025. See Note 13. Segment Information for additional information. …

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Retirement Plans Defined Benefit Pension Plans The U.S. defined benefit pension plans primarily consist of a qualified pension plan. Benefits of the qualified pension plan are provided under an adjusted career-average-pay program, a cash-balance program or a dollar-per-month program. Benefit accruals under this plan were frozen in 2009. Participants in the adjusted career-average-pay program no longer earn service accruals. Participants in the cash-balance program no longer earn service accruals, but continue to earn 4% interest per year on their cash-balance accounts. There are no active participants under the dollar-per-month program. For certain non-U.S. countries, we also have defined benefit pension plans for eligible employees. Eligibility is generally determined based on the terms of our plans and local statutory requirements. Net Periodic Benefit Cost Fiscal Year 2025 2024 2023 (In millions) Service cost $ 13 $ 17 $ 8 Interest cost 56 63 60 Expected return on plan assets (53) (60) (59) Other (3) (2) Net periodic benefit cost $ 13 $ 18 $ 9 Net actuarial (gain) loss $ (1) $ (3) $ 20 The components of net periodic benefit cost other than the service cost are included in other income, net and service cost is recognized in operating expenses in the consolidated statements of operations. Benefit Obligations and Plan Assets Pension Benefits November 2, 2025 November 3, 2024 (In millions) Change in plan assets: Fair value of plan assets beginning of period $ 1,158 $ 1,105 Act …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

Restructuring and Other Charges Restructuring Charges The following table summarizes the significant activities within, and components of, the restructuring liabilities: Employee Termination Costs Lease and Impairment Costs Total (In millions) Balance as of October 30, 2022 $ 4 $ $ 4 Restructuring charges 20 24 44 Utilization (22) (24) (46) Balance as of October 29, 2023 2 2 Restructuring charges 1,510 277 1,787 Utilization (1,393) (277) (1,670) Balance as of November 3, 2024 119 (a) 119 Restructuring charges 428 169 597 Utilization (471) (169) (640) Balance as of November 2, 2025 $ 76 $ (a) $ 76 _____________________________ (a) As of November 2, 2025 and November 3, 2024, outstanding restructured lease liabilities of $172 million and $192 million, respectively, were primarily included in long-term lease liabilities within other long-term liabilities. In connection with the VMware Merger, we initiated restructuring activities to integrate the acquired business, align our workforce and improve efficiencies in our operations. Restructuring charges in fiscal years 2025 and 2024 primarily related to employee termination costs. We also recognized lease and impairment charges primarily related to lease assets and property, plant and equipment of $169 million and $277 million during fiscal years 2025 and 2024, respectively. We have substantially completed these restructuring activities. These charges were recognized primarily in operating expenses. Other Charges Restructuring and o …

RestructuringAndRelatedActivitiesDisclosureTextBlock · excerpt; the full note is in the filing

Revenue from Contracts with Customers Reclassifications to Consolidated Statements of Operations In fiscal year 2025, we included upfront license revenue of $7,800 million within products revenue in our consolidated statements of operations. To conform to the current year presentation, we reclassified $4,601 million and $1,058 million of upfront license revenue from subscriptions and services revenue to products revenue for fiscal years 2024 and 2023, respectively. We also reclassified the related costs for the upfront license revenue, which were immaterial, for the periods presented. In the revenue disaggregation tables by type and by region presented below, we included $5,539 million, $559 million and $1,702 million of upfront license revenue in products revenue within the Americas; Asia Pacific; and Europe, the Middle East and Africa regions, respectively, for fiscal year 2025. To conform to the current year presentation, we reclassified $2,654 million, $650 million, and $1,297 million of upfront license revenue from subscriptions and services revenue to products revenue within the Americas; Asia Pacific; and Europe, the Middle East and Africa regions, respectively, for fiscal year 2024. We also reclassified $990 million, $9 million, and $59 million of upfront license revenue from subscriptions and services revenue to products revenue within the Americas; Asia Pacific; and Europe, the Middle East and Africa regions, respectively, for fiscal year 2023. Disaggregation We hav …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

Segment Information Reportable Segments We have two reportable segments: semiconductor solutions and infrastructure software. Each segment has separate financial information. The CODM considers actual and expected results of regularly provided net revenue and operating income by segment during the budgeting and forecasting processes to support strategic decision-making and to evaluate the performance of and allocate resources to each of the segments. Operating income by segment includes items that are directly attributable to each segment and shared expenses such as marketing, general and administrative activities, facilities and IT expenses. Shared expenses are primarily allocated based on revenue and headcount. The CODM does not evaluate each segment using discrete asset information. The reportable segments are also determined based on several factors including, but not limited to, customer base, homogeneity of products, technology, delivery channels and similar economic characteristics. Semiconductor solutions . Our semiconductor solutions are used in a wide array of environments, end products and applications such as enterprise and AI data centers, servers and networking and connectivity equipment, as well as storage systems, home connectivity devices, set-top boxes, broadband access, telecommunication equipment, wireless devices and base stations, factory automation, power generation and alternative energy systems, and electronic displays. Our semiconductor solutions seg …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Summary of Significant Accounting Policies Foreign currency remeasurement. We operate in a U.S. dollar functional currency environment. Foreign currency assets and liabilities for monetary accounts are remeasured into U.S. dollars at current exchange rates. Non-monetary items such as inventory and property, plant and equipment, are measured and recorded at historical exchange rates. The effects of foreign currency remeasurement were not material for any period presented. Use of estimates. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from these estimates, and such differences could affect the results of operations reported in future periods. Cash and cash equivalents. We consider all highly liquid investment securities with original maturities of three months or less at the date of purchase to be cash equivalents. We determine the appropriate classification of our cash and cash equivalents at the time of purchase. Trade accounts receivable, net. Trade accounts receivable are recognized at the invoiced amount and do not bear interest. Accounts receivable are reduced by an allowance for doubtful accounts, which is our best estimate of the expe …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

Subsequent Events Cash Dividends Declared On December 9, 2025, our Board of Directors declared a quarterly cash dividend of $0.65 per share on our common stock, payable on December 31, 2025 to stockholders of record on December 22, 2025.

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Commitments and Contingencies Commitments The following table summarizes contractual commitments as of May 3, 2026: Fiscal Year: Purchase Commitments Other Contractual Commitments (In millions) 2026 (remainder) $ 22 $ 516 2027 55,214 744 2028 72,870 763 2029 4 894 2030 303 Thereafter 885 Total $ 128,110 $ 4,105 Purchase Commitments. Represent unconditional purchase commitments to purchase goods or services, primarily inventory, that are enforceable and legally binding on us and specify all significant terms, including fixed or minimum quantities to be purchased, price provisions, and the approximate timing of the transaction. Purchase commitments exclude agreements that are cancelable without penalty and unconditional purchase commitments with a remaining term of one year or less. Other Contractual Commitments. Represent amounts payable pursuant to agreements related to IT and other service agreements. Due to the inherent uncertainty with respect to the timing of future cash outflows associated with our unrecognized tax benefits as of May 3, 2026, we are unable to reliably estimate the timing of cash settlement with the respective taxing authorities. Therefore, $1,662 million of unrecognized tax benefits and accrued interest and penalties as of May 3, 2026 have been excluded from the table above. Contingencies From time to time, we are involved in litigation that we believe is of the type common to companies engaged in our lines of business, including but not limited to comme …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

Borrowings Effective Interest Rate May 3, 2026 November 2, 2025 (In millions) January 2026 Senior Notes 4.300% notes due January 2031 4.41 % $ 750 $ 4.600% notes due January 2033 4.72 % 1,250 4.950% notes due January 2036 5.03 % 1,250 5.700% notes due January 2056 5.79 % 1,250 4,500 September 2025 Senior Notes 4.200% notes due October 2030 4.34 % 1,000 1,000 4.800% notes due February 2036 4.90 % 2,250 2,250 4.900% notes due February 2038 4.99 % 1,750 1,750 5,000 5,000 July 2025 Senior Notes 4.600% notes due July 2030 4.49 % (a) 1,750 1,750 4.900% notes due July 2032 5.04 % 1,750 1,750 5.200% notes due July 2035 4.77 % (a) 2,500 2,500 6,000 6,000 January 2025 Senior Notes 4.800% notes due April 2028 5.03 % 1,100 1,100 5.050% notes due April 2030 5.20 % 800 800 5.200% notes due April 2032 5.34 % 1,100 1,100 3,000 3,000 October 2024 Senior Notes 4.150% notes due February 2028 4.36 % 875 4.350% notes due February 2030 4.51 % 1,500 1,500 4.550% notes due February 2032 4.70 % 875 875 4.800% notes due October 2034 4.38 % (a) 1,750 1,750 4,125 5,000 July 2024 Senior Notes 5.050% notes due July 2027 5.27 % 493 1,250 5.050% notes due July 2029 5.23 % 2,250 2,250 5.150% notes due November 2031 5.30 % 1,500 1,500 4,243 5,000 April 2022 Senior Notes 4.000% notes due April 2029 4.17 % 750 750 4.150% notes due April 2032 4.30 % 1,200 1,200 4.926% notes due May 2037 5.33 % 2,500 2,500 4,450 4,450 September 2021 Senior Notes 3.137% notes due November 2035 4.23 % 3,250 3,250 3.187% notes due N …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

The following tables present revenue disaggregated by type and by region for the periods presented: Fiscal Quarter Ended May 3, 2026 Americas Asia Pacific Europe, the Middle East and Africa Total (In millions) Products $ 2,187 $ 13,956 $ 749 $ 16,892 Subscriptions and services 3,015 579 1,701 5,295 Total $ 5,202 $ 14,535 $ 2,450 $ 22,187 Fiscal Quarter Ended May 4, 2025 Americas Asia Pacific Europe, the Middle East and Africa Total (In millions) Products $ 1,891 $ 7,632 $ 786 $ 10,309 Subscriptions and services 2,815 468 1,412 4,695 Total $ 4,706 $ 8,100 $ 2,198 $ 15,004 Two Fiscal Quarters Ended May 3, 2026 Americas Asia Pacific Europe, the Middle East and Africa Total (In millions) Products $ 4,351 $ 24,906 $ 1,765 $ 31,022 Subscriptions and services 5,932 1,244 3,300 10,476 Total $ 10,283 $ 26,150 $ 5,065 $ 41,498 Two Fiscal Quarters Ended May 4, 2025 Americas Asia Pacific Europe, the Middle East and Africa Total (In millions) Products $ 3,826 $ 14,965 $ 1,661 $ 20,452 Subscriptions and services 5,512 1,167 2,789 9,468 Total $ 9,338 $ 16,132 $ 4,450 $ 29,920

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Intangible Assets Gross Carrying Amount Accumulated Amortization Net Book Value (In millions) As of May 3, 2026: Purchased technology $ 32,851 $ (17,322) $ 15,529 Customer contracts and related relationships 15,791 (4,961) 10,830 Trade names 1,612 (455) 1,157 Other 188 (121) 67 Intangible assets subject to amortization 50,442 (22,859) 27,583 In-process research and development 750 750 Total $ 51,192 $ (22,859) $ 28,333 As of November 2, 2025: Purchased technology $ 32,781 $ (14,401) $ 18,380 Customer contracts and related relationships 15,791 (4,003) 11,788 Trade names 1,612 (399) 1,213 Other 186 (114) 72 Intangible assets subject to amortization 50,370 (18,917) 31,453 In-process research and development 820 820 Total $ 51,190 $ (18,917) $ 32,273 Based on the amount of intangible assets subject to amortization as of May 3, 2026, the expected amortization expense was as follows: Fiscal Year: Expected Amortization Expense (In millions) 2026 (remainder) $ 3,940 2027 6,818 2028 5,689 2029 4,562 2030 3,378 Thereafter 3,196 Total $ 27,583 The weighted-average remaining amortization periods by intangible asset category were as follows: Amortizable intangible assets: May 3, 2026 (In years) Purchased technology 5 Customer contracts and related relationships 6 Trade names 11 Other 10 …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

Income Taxes The provision for income taxes was $820 million and $1,666 million for the fiscal quarter and two fiscal quarters ended May 3, 2026, respectively, compared to $120 million and $107 million for the fiscal quarter and two fiscal quarters ended May 4, 2025, respectively. The increase in the provision for income taxes in both the fiscal quarter and two fiscal quarters ended May 3, 2026, as compared to the prior year fiscal periods, was primarily due to higher income before income taxes. We expect to remain subject to the Corporate Alternative Minimum Tax (CAMT) for fiscal year 2026 and subsequent years. Accordingly, we continue to maintain a full valuation allowance against our CAMT credit carryforwards and CAMT credits generated in the current fiscal year. …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Revenue from Contracts with Customers We account for a contract with a customer when both parties have approved the contract and are committed to perform their respective obligations, each partys rights can be identified, payment terms can be identified, the contract has commercial substance, and it is probable that we will collect substantially all of the consideration to which we are entitled. Revenue is recognized when, or as, performance obligations are satisfied by transferring control of a promised product or service to a customer. Reclassifications to Condensed Consolidated Statements of Operations For software arrangements without termination for convenience provisions, we recognize revenue for the license portion of the agreements upfront upon transfer of control to the customer, referred to as upfront license revenue. In the fiscal quarter and two fiscal quarters ended May 3, 2026, we included upfront license revenue of $1,964 million and $3,719 million, respectively, within products revenue, and the related costs, which were immaterial, in cost of products sold, in our condensed consolidated statements of operations. To conform to the current period presentation, we reclassified $1,803 million and $3,775 million of upfront license revenue from subscriptions and services revenue to products revenue for the fiscal quarter and two fiscal quarters ended May 4, 2025, respectively. We also reclassified the related costs for the upfront license revenue, which were immater …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

Segment Information Reportable Segments We have two reportable segments: semiconductor solutions and infrastructure software. Each segment has separate financial information. The CODM considers actual and expected results of regularly provided net revenue, cost of revenue, operating expenses and operating income by segment during the budgeting and forecasting processes to support strategic decision-making and to evaluate the performance of and allocate resources to each of the segments. Operating income by segment includes items that are directly attributable to each segment and shared expenses such as marketing, general and administrative activities, facilities and IT expenses. Shared expenses are primarily allocated based on revenue and headcount. Semiconductor solutions . Our semiconductor solutions are used in a wide array of environments, end products and applications such as enterprise and AI data centers, servers and networking and connectivity equipment, as well as storage systems, home connectivity devices, set-top boxes, broadband access, telecommunication equipment, wireless devices and base stations, factory automation, power generation and alternative energy systems, and electronic displays. Our semiconductor solutions segment also includes our IP licensing. Infrastructure software. Our infrastructure software solutions include revenues from software arrangements, related support, and professional services that help enterprises simplify their IT environments. Our …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Subsequent Events On June 8, 2026, we arranged for an investor partner to take on certain agreements to purchase AI racks based on custom AI accelerators designed by us and the related lease agreements with a customer that enable access to compute capacity. In connection with the arrangement, we entered into a backstop agreement with the investor partner for the customers lease obligations over 5-year terms. The backstop will increase over time as the AI racks are deployed and decrease as the customer makes payments on its lease obligations, with a maximum exposure of $29 billion. In the event of default by the customer, we have various remedies, including the assumption of the lease or effecting a sale of the AI racks, which would reduce our maximum exposure. Cash Dividends Declared On June 2, 2026, our Board of Directors declared a quarterly cash dividend of $0.65 per share on our common stock, payable on June 30, 2026 to stockholders of record on June 22, 2026. …

SubsequentEventsTextBlock · excerpt; the full note is in the filing