Quarterly report pursuant to Section 13 or 15(d)

Identified Intangible Assets

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Identified Intangible Assets
6 Months Ended
Jun. 30, 2018
Intangible Assets, Net (Excluding Goodwill) [Abstract]  
Identified Intangible Assets [Text Block]
NOTE 9: IDENTIFIED INTANGIBLE ASSETS
 
 
June 30, 2018
(In Millions)
 
Gross Assets
 
Accumulated
Amortization
 
Net
Acquisition-related developed technology
 
$
9,513

 
$
(2,472
)
 
$
7,041

Acquisition-related customer relationships
 
2,036

 
(388
)
 
1,648

Acquisition-related brands
 
143

 
(39
)
 
104

Licensed technology and patents
 
3,084

 
(1,487
)
 
1,597

Identified intangible assets subject to amortization
 
14,776

 
(4,386
)
 
10,390

In-process research and development
 
1,567

 

 
1,567

Other intangible assets
 
141

 

 
141

Identified intangible assets not subject to amortization
 
1,708

 

 
1,708

Total identified intangible assets
 
$
16,484

 
$
(4,386
)
 
$
12,098

 
 
December 30, 2017
(In Millions)
 
Gross Assets
 
Accumulated
Amortization
 
Net
Acquisition-related developed technology
 
$
8,912

 
$
(1,922
)
 
$
6,990

Acquisition-related customer relationships
 
2,052

 
(313
)
 
1,739

Acquisition-related brands
 
143

 
(29
)
 
114

Licensed technology and patents
 
3,104

 
(1,370
)
 
1,734

Identified intangible assets subject to amortization
 
14,211

 
(3,634
)
 
10,577

In-process research and development
 
2,168

 

 
2,168

Identified intangible assets not subject to amortization
 
2,168

 

 
2,168

Total identified intangible assets
 
$
16,379

 
$
(3,634
)
 
$
12,745


Amortization expenses recorded in the consolidated condensed statements of income for each period were as follows:
 
 
 
 
Three Months Ended
 
Six Months Ended
(In Millions)
 
Location
 
Jun 30,
2018
 
Jul 1,
2017
 
Jun 30,
2018
 
Jul 1,
2017
Acquisition-related developed technology
 
Cost of sales
 
$
275

 
$
198

 
$
550

 
$
407

Acquisition-related customer relationships
 
Amortization of acquisition-related intangibles
 
45

 
33

 
90

 
68

Acquisition-related brands
 
Amortization of acquisition-related intangibles
 
5

 
4

 
10

 
7

Licensed technology and patents
 
Cost of sales
 
67

 
78

 
132

 
152

Total amortization expenses
 
 
 
$
392

 
$
313

 
$
782

 
$
634


We expect future amortization expenses for the next five years to be as follows:
(In Millions)
 
Remainder of 2018
 
2019
 
2020
 
2021
 
2022
Acquisition-related developed technology
 
$
549

 
$
1,097

 
$
1,066

 
$
1,030

 
$
991

Acquisition-related customer relationships
 
90

 
180

 
179

 
179

 
171

Acquisition-related brands
 
10

 
20

 
20

 
20

 
6

Licensed technology and patents
 
127

 
238

 
208

 
196

 
191

Total future amortization expenses
 
$
776

 
$
1,535

 
$
1,473

 
$
1,425

 
$
1,359