Annual report pursuant to Section 13 and 15(d)

Goodwill and Acquired Intangible Assets

v2.4.0.8
Goodwill and Acquired Intangible Assets
 12 Months Ended
Dec. 28, 2013
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Acquired Intangible Assets
Goodwill and Acquired Intangible Assets
Goodwill
The carrying amounts of goodwill as of December 28, 2013 and December 29, 2012 were as follows:
 
Computing
Solutions
 
Graphics and Visual Solutions
 
All Other
 
Total
 
(In millions)
Initial goodwill due to ATI acquisition
$
161

 
$
1,288

 
$
745

 
$
2,194

Initial goodwill due to SeaMicro acquisition
230

 
—

 
—

 
230

 
391

 
1,288

 
745

 
2,424

Accumulated impairment losses
(161
)
 
(965
)
 
(745
)
 
(1,871
)
Balance as of December 29, 2012
230

 
323

 
—

 
553

Goodwill adjustments
—

 
—

 
—

 
—

Impairment charges
—

 
—

 
—

 
—

Balance as of December 28, 2013
$
230

 
$
323

 
$
—

 
$
553


In the fourth quarters of 2013, 2012 and 2011, the Company conducted its annual impairment tests of goodwill. Based on the results of the Company’s analysis of goodwill, each reporting unit’s fair value exceeded its carrying value, indicating that there was no goodwill impairment in any of the periods.

Acquisition-related intangible assets
The balances of acquisition-related intangible assets as of December 28, 2013 and December 29, 2012 were as follows:
 
Developed technology
 
In-process research and development
 
Customer
relationships
 
Trademark
and trade
name
 
Total
 
(In millions)
Intangible assets, net as of December 31, 2011
$
—

 
$
—

 
$
—

 
$
8

 
$
8

Addition due to SeaMicro acquisition
86

 
11

 
4

 
1

 
102

Completion of in-process research and development
5

 
(5
)
 
—

 
—

 
—

Amortization expense
(9
)
 
—

 
(1
)
 
(4
)
 
(14
)
Intangible assets, net as of December 29, 2012
82

 
6

 
3

 
5

 
96

Amortization expense
(13
)
 
—

 
(1
)
 
(4
)
 
(18
)
Intangible assets, net as of December 28, 2013
$
69

 
$
6

 
$
2

 
$
1

 
$
78

Weighted-average amortization period as of December 28, 2013
6.05 years

 
N/A

 
2.25 years

 
2.25 years

 
4.94 years


Accumulated amortization of acquired intangible assets as of December 28, 2013 was approximately $572 million.
As of December 28, 2013, the Company's future amortization expenses related to acquisition-related intangible assets were as follows:
Year
(In millions)
2014
$
13

2015
13

2016
11

2017
11

2018
11

2019 and thereafter
13

Total intangible assets subject to amortization
72

In-process research and development
6

Total intangible assets, net
$
78