| Operating Segments [Text Block] |
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NOTE 2 : |
OPERATING SEGMENTS |
We manage our business through the following operating segments:
We derive a substantial majority of our revenue from platform products, which are our principal products and considered as one class of product. We offer platform products that incorporate various components and technologies, including a microprocessor and chipset, a stand-alone SoC, or a multichip package. Platform products are used in various form factors across our DCG, IOTG, and CCG operating segments. Our non-platform, or adjacent products, can be combined with platform products to form comprehensive platform solutions to meet customer needs.
DCG and CCG are our reportable operating segments. IOTG, Mobileye, NSG, and PSG do not meet the quantitative thresholds to qualify as reportable operating segments; however, we have elected to disclose the results of these non-reportable operating segments. Our Internet of Things portfolio, presented as Internet of Things, is comprised of IOTG and Mobileye operating segments.
We have an “all other” category that includes revenue, expenses, and charges such as:
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results of operations from non-reportable segments not otherwise presented; |
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historical results of operations from divested businesses;
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results of operations of start-up businesses that support our initiatives, including our foundry business;
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amounts included within restructuring and other charges;
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a portion of employee benefits, compensation, and other expenses not allocated to the operating segments; and
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acquisition-related costs, including amortization and any impairment of acquisition-related intangibles and goodwill. |
The CODM, who is our CEO, does not evaluate operating segments using discrete asset information. Operating segments do not record inter-segment revenue. We do not allocate gains and losses from equity investments, interest and other income, or taxes to operating segments. Although the CODM uses operating income to evaluate the segments, operating costs included in one segment may benefit other segments. Except for these differences, the accounting policies for segment reporting are the same as for Intel as a whole.
Net revenue and operating income (loss) for each period were as follows:
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Three Months Ended |
(In Millions) |
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Mar 28,
2020 |
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Mar 30,
2019 |
Net revenue: |
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Data Center Group |
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Platform |
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$ |
6,427 |
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$ |
4,482 |
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Adjacent |
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566 |
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420 |
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6,993 |
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4,902 |
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Internet of Things |
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IOTG |
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883 |
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910 |
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Mobileye |
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254 |
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209 |
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1,137 |
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1,119 |
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Non-Volatile Memory Solutions Group |
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1,338 |
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915 |
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Programmable Solutions Group |
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519 |
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486 |
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Client Computing Group |
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Platform |
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8,712 |
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7,824 |
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Adjacent |
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1,063 |
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762 |
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9,775 |
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8,586 |
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All other |
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66 |
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53 |
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Total net revenue |
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$ |
19,828 |
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$ |
16,061 |
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Operating income (loss): |
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Data Center Group |
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$ |
3,492 |
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$ |
1,841 |
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Internet of Things |
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IOTG |
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243 |
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251 |
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Mobileye |
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88 |
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68 |
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331 |
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319 |
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Non-Volatile Memory Solutions Group |
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(66 |
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(297 |
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Programmable Solutions Group |
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97 |
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89 |
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Client Computing Group |
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4,225 |
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3,072 |
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All other |
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(1,041 |
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(850 |
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Total operating income |
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$ |
7,038 |
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$ |
4,174 |
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Disaggregated net revenue for each period was as follows:
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Three Months Ended |
(In Millions) |
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Mar 28,
2020 |
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Mar 30,
2019 |
Platform revenue |
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DCG platform |
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$ |
6,427 |
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$ |
4,482 |
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IOTG platform |
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795 |
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825 |
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CCG Desktop platform |
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2,840 |
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2,886 |
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CCG Notebook platform |
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5,857 |
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4,926 |
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CCG other platform1
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15 |
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12 |
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15,934 |
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13,131 |
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Adjacent revenue2
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3,894 |
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2,930 |
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Total revenue |
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$ |
19,828 |
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$ |
16,061 |
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1 |
Includes our tablet and service provider revenue. |
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2 |
Includes all of our non-platform products for DCG, IOTG, and CCG such as modem, Ethernet, and silicon photonics, as well as Mobileye, NSG, and PSG products. |
Planned Divestiture of our Home Gateway Platform Division We signed a definitive agreement on April 5, 2020 to sell the majority of Home Gateway Platform, a division of CCG. The transaction contemplates the transfer of certain employees, equipment, and an on-going supply agreement for future units. We reclassified the assets and liabilities as held-for-sale within other current assets/liabilities. We expect to close the transaction in the third quarter of 2020.
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