Quarterly report pursuant to Section 13 or 15(d)

Segment Reporting (Notes)

v2.4.1.9
Segment Reporting (Notes)
 3 Months Ended
Mar. 28, 2015
Segment Reporting [Abstract]  
Segment Reporting
Segment Reporting
Management, including the Chief Operating Decision Maker, who is the Company’s Chief Executive Officer, reviews and assesses operating performance using segment net revenue and operating income (loss) before interest, other income (expense), net and income taxes. These performance measures include the allocation of expenses to the operating segments based on management’s judgment. In connection with the Company’s continued strategic transformation, effective July 1, 2014, the Company realigned its organizational structure. As a result of this organizational change, the Company has the following two reportable segments:
•
the Computing and Graphics segment, which primarily includes desktop and notebook processors
and chipsets, discrete graphics processing units (GPUs) and professional graphics; and
•
the Enterprise, Embedded and Semi-Custom segment, which primarily includes server and
embedded processors, dense servers, semi-custom System-on-Chip (SoC) products, engineering services
and royalties.
In addition to these reportable segments, the Company has an All Other category, which is not a reportable segment. This category primarily includes certain expenses and credits that are not allocated to any of the reportable segments because management does not consider these expenses and credits in evaluating the performance of the reportable segments. Also included in this category are amortization of acquired intangible assets, stock-based compensation expense, restructuring and other special charges, net, workforce rebalancing severance charges, goodwill impairment charge and significant or unusual lower of cost or market inventory.
The following table provides a summary of net revenue and operating income (loss) by segment. All period results presented reflect the Company's new reportable segments:
 
 
Three Months Ended
 
March 28,
2015
 
March 29,
2014
 
(In millions)
Net revenue:
 
 
 
Computing and Graphics
$
532

 
$
861

Enterprise, Embedded and Semi-Custom
498

 
536

Total net revenue
$
1,030

 
$
1,397

Operating income (loss):
 
 

Computing and Graphics
$
(75
)
 
$
3

Enterprise, Embedded and Semi-Custom
45

 
85

All Other
(107
)
 
(39
)
Total operating income (loss)
$
(137
)
 
$
49