Annual report pursuant to Section 13 and 15(d)

Goodwill

v3.6.0.2
Goodwill
 12 Months Ended
Dec. 31, 2016
Business Combination, Goodwill [Abstract]  
Goodwill [Text Block]
Note 11: Goodwill
Goodwill activity for each period was as follows:
(In Millions)
 
Dec 26,
2015
 
Acquisitions
 
Transfers
 
Other
 
Dec 31,
2016
Client Computing Group (CCG)
 
$
4,078

 
$
65

 
$
213

 
$
—

 
$
4,356

Data Center Group (DCG)
 
2,404

 
2,831

 
177

 
—

 
5,412

Internet of Things Group (IOTG)
 
428

 
659

 
36

 
—

 
1,123

Intel Security Group (ISecG)
 
3,599

 
—

 
—

 
(3,599
)
 
—

Software and Services Group (SSG)
 
441

 
—

 
(441
)
 
—

 
—

Programmable Solutions Group (PSG)
 
—

 
2,490

 
—

 
—

 
2,490

All other
 
382

 
321

 
15

 
—

 
718

Total
 
$
11,332

 
$
6,366

 
$
—

 
$
(3,599
)
 
$
14,099


(In Millions)
 
Dec 27,
2014
 
Acquisitions
 
Transfers
 
Other
 
Dec 26,
2015
Client Computing Group (CCG)
 
$
3,708

 
$
370

 
$
—

 
$
—

 
$
4,078

Data Center Group (DCG)
 
2,376

 
28

 
—

 
—

 
2,404

Internet of Things Group (IOTG)
 
428

 
—

 
—

 
—

 
428

Intel Security Group (ISecG)
 
3,777

 
—

 
—

 
(178
)
 
3,599

Software and Services Group (SSG)
 
459

 
10

 
—

 
(28
)
 
441

All other
 
113

 
269

 
—

 
—

 
382

Total
 
$
10,861

 
$
677

 
$
—

 
$
(206
)
 
$
11,332


ISecG goodwill has been reclassified to assets held for sale on the consolidated balance sheet. This reclassification of goodwill is presented within the "Other" column in the preceding table. For further information, see "Note 10: Acquisitions and Divestitures."
During the first quarter of 2016, we completed the acquisition of Altera and formed PSG. The goodwill recognized from this acquisition was allocated among PSG, DCG, and IOTG based on the relative fair value provided by the acquisition, which reflected the estimated synergistic value generated within DCG and IOTG by incorporating Altera's intellectual property into Intel's future process technology and products. For further information, see "Note 10: Acquisitions and Divestitures."
We previously disclosed the goodwill for ISecG and SSG as part of the aggregated software and services operating segments. During the first quarter of 2016, we elected to separately disclose the results of ISecG and determined SSG was no longer an operating segment; accordingly, its goodwill was re-allocated to other operating segments based on the relative fair value. Additionally, we formed NTG, which includes products designed for wearables, cameras, drones, and other market segments. The substantial majority of goodwill under "all other" is attributable to NTG, the remainder of which is unallocated from acquisitions completed in 2016. For further information, see "Note 4: Operating Segments and Geographic Information."
During the fourth quarters of 2016, 2015, and 2014, we completed our annual impairment assessments and we concluded that goodwill was not impaired in any of these years. The accumulated impairment losses as of December 31, 2016 were $719 million: $365 million associated with CCG, $275 million associated with DCG, and $79 million associated with IOTG.