Cover Cover
Cover Cover - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 07, 2020 | Jun. 30, 2019 | |
Cover page. | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 0-24429 | ||
Entity Registrant Name | COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 13-3728359 | ||
Entity Address, Address Line One | Glenpointe Centre West | ||
Entity Address, Address Line Two | 500 Frank W. Burr Blvd. | ||
Entity Address, City or Town | Teaneck, | ||
Entity Address, State or Province | NJ | ||
Entity Address, Postal Zip Code | 07666 | ||
City Area Code | 201 | ||
Local Phone Number | 801-0233 | ||
Title of 12(b) Security | Class A Common Stock, $0.01 par value per share | ||
Trading Symbol | CTSH | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 34.9 | ||
Entity Common Stock, Shares Outstanding | 548,637,106 | ||
Documents Incorporated by Reference | The following documents are incorporated by reference into the Annual Report on Form 10-K: Portions of the registrant’s definitive Proxy Statement for its 2020 Annual Meeting of Stockholders are incorporated by reference into Part III of this Report. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0001058290 | ||
Current Fiscal Year End Date | --12-31 |
Consolidated Statements Of Fina
Consolidated Statements Of Financial Position - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Assets | ||
Cash and cash equivalents | $ 2,645 | $ 1,161 |
Short-term investments | 779 | 3,350 |
Trade accounts receivable, net of allowances of $67 and $78, respectively | 3,256 | 3,190 |
Other current assets | 931 | 909 |
Total current assets | 7,611 | 8,610 |
Property and equipment, net | 1,309 | 1,394 |
Operating lease assets, net | 926 | |
Goodwill | 3,979 | 3,481 |
Intangible assets, net | 1,041 | 1,150 |
Deferred income tax assets, net | 585 | 442 |
Long-term investments | 17 | 80 |
Other noncurrent assets | 736 | 689 |
Total assets | 16,204 | 15,846 |
Liabilities and Stockholders' Equity | ||
Accounts payable | 239 | 215 |
Deferred revenue | 313 | 286 |
Short-term debt | 38 | 9 |
Operating lease liabilities | 202 | |
Accrued expenses and other current liabilities | 2,191 | 2,200 |
Total current liabilities | 2,983 | 2,710 |
Deferred revenue, noncurrent | 23 | 62 |
Operating lease liabilities, noncurrent | 745 | |
Deferred income tax liabilities, net | 35 | 183 |
Long-term debt | 700 | 736 |
Long-term income taxes payable | 478 | 478 |
Other noncurrent liabilities | 218 | 253 |
Total liabilities | 5,182 | 4,422 |
Commitments and contingencies (See Note 15) | ||
Stockholders' Equity: | ||
Preferred stock, $0.10 par value, 15.0 shares authorized, none issued | 0 | 0 |
Class A common stock, $0.01 par value, 1,000 shares authorized, 548 and 577 shares issued and outstanding at December 31, 2019 and 2018, respectively | 5 | 6 |
Additional paid-in capital | 33 | 47 |
Retained earnings | 11,022 | 11,485 |
Accumulated other comprehensive income (loss) | (38) | (114) |
Total stockholders’ equity | 11,022 | 11,424 |
Total liabilities and stockholders’ equity | $ 16,204 | $ 15,846 |
Consolidated Statements Of Fi_2
Consolidated Statements Of Financial Position (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Trade accounts receivable, allowances | $ 67 | $ 78 |
Preferred stock, par value | $ 0.10 | $ 0.10 |
Preferred stock, shares authorized | 15,000,000 | 15,000,000 |
Preferred stock, issued | 0 | 0 |
Class A common stock, par value | $ 0.01 | $ 0.01 |
Class A common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Class A common stock, shares issued | 548,000,000 | 577,000,000 |
Class A common stock, shares outstanding | 548,000,000 | 577,000,000 |
Consolidated Statements Of Oper
Consolidated Statements Of Operations - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Statement [Abstract] | |||
Depreciation, Depletion and Amortization | $ 507 | $ 460 | $ 408 |
Revenues | 16,783 | 16,125 | 14,810 |
Operating expenses: | |||
Cost of revenues (exclusive of depreciation and amortization expense shown separately below) | 10,634 | 9,838 | 9,152 |
Selling, general and administrative expenses | 2,972 | 3,007 | 2,697 |
Income from operations | 2,453 | 2,801 | 2,481 |
Other income (expense), net: | |||
Interest income | 176 | 177 | 133 |
Interest expense | (26) | (27) | (23) |
Foreign currency exchange gains (losses), net | (65) | (152) | 67 |
Other, net | 5 | (2) | (3) |
Total other income (expense), net | 90 | (4) | 174 |
Income before provision for income taxes | 2,543 | 2,797 | 2,655 |
Provision for income taxes | (643) | (698) | (1,153) |
Income (loss) from equity method investments | (58) | 2 | 2 |
Net income | $ 1,842 | $ 2,101 | $ 1,504 |
Basic earnings per share | $ 3.30 | $ 3.61 | $ 2.54 |
Diluted earnings per share | $ 3.29 | $ 3.60 | $ 2.53 |
Weighted average number of common shares outstanding—Basic | 559 | 582 | 593 |
Dilutive effect of shares issuable under stock-based compensation plans | 1 | 2 | 2 |
Weighted average number of common shares outstanding—Diluted | 560 | 584 | 595 |
Restructuring Charges | $ 217 | $ 19 | $ 72 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash flows from operating activities: | |||
Net income | $ 1,842 | $ 2,101 | $ 1,504 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 526 | 498 | 443 |
Deferred income taxes | (306) | 8 | 124 |
Share-based Payment Arrangement, Noncash Expense | 217 | 267 | 221 |
Other | 119 | 125 | (71) |
Changes in assets and liabilities: | |||
Trade accounts receivable | 37 | (365) | (249) |
Other current and noncurrent assets | 159 | (8) | (270) |
Accounts payable | 8 | (4) | 16 |
Deferred revenue, current and noncurrent | 56 | (86) | 18 |
Other current and noncurrent liabilities | (159) | 56 | 671 |
Net cash provided by operating activities | 2,499 | 2,592 | 2,407 |
Cash flows from investing activities: | |||
Purchases of property and equipment | (392) | (377) | (284) |
Purchases of available-for-sale investment securities | (333) | (1,630) | (3,120) |
Proceeds from maturity or sale of available-for-sale investment securities | 2,107 | 1,838 | 3,404 |
Purchases of held-to-maturity investment securities | (693) | (1,363) | (1,221) |
Proceeds from maturity of held-to-maturity investment securities | 1,498 | 1,164 | 404 |
Purchases of other investments | (483) | (513) | (385) |
Proceeds from maturity or sale of other investments | 501 | 365 | 836 |
Payments for business combinations, net of cash acquired, and equity and cost method investments | (617) | (1,111) | (216) |
Net cash provided by (used in) investing activities | 1,588 | (1,627) | (582) |
Cash flows from financing activities: | |||
Issuance of common stock under stock-based compensation plans | 159 | 181 | 189 |
Repurchases of common stock | (2,247) | (1,261) | (1,889) |
Repayment of term loan borrowings and finance lease and earnout obligations | (28) | (91) | (95) |
Net change in notes outstanding under the revolving credit facility | 0 | (75) | 75 |
Proceeds from debt modification | 0 | 25 | 0 |
Debt issuance costs | 0 | (4) | 0 |
Dividends paid | (453) | (468) | (265) |
Net cash (used in) financing activities | (2,569) | (1,693) | (1,985) |
Effect of exchange rate changes on cash and cash equivalents | (34) | (36) | 51 |
Increase (decrease) in cash and cash equivalents | 1,484 | (764) | (109) |
Cash and cash equivalents, beginning of year | 1,161 | 1,925 | 2,034 |
Cash and cash equivalents, end of period | 2,645 | 1,161 | 1,925 |
Supplemental information: | |||
Cash paid for income taxes during the year | 870 | 597 | 587 |
Cash interest paid during the year | $ 25 | $ 21 | $ 21 |
Consolidated Statements Of Stoc
Consolidated Statements Of Stockholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated other comprehensive income (loss): |
AOCI, beginning balance at Dec. 31, 2016 | $ 10,728 | $ 6 | $ 358 | $ 10,478 | $ (114) |
Beginning balance, shares at Dec. 31, 2016 | 608 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 1,504 | 1,504 | |||
Other comprehensive income (loss) | 184 | 184 | |||
Common stock issued, stock-based compensation plans | 189 | 189 | |||
Common stock issued, stock based compensation plans and other, shares | 9 | ||||
Stock-based compensation expense | 221 | 221 | |||
Repurchases of common stock | (1,889) | (719) | (1,170) | ||
Repurchases of common stock, shares | (29) | ||||
Dividends declared | (268) | (268) | |||
AOCI, ending balance at Dec. 31, 2017 | 10,669 | $ 6 | 49 | 10,544 | 70 |
Ending balance, shares at Dec. 31, 2017 | 588 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 2,101 | 2,101 | |||
Other comprehensive income (loss) | (183) | (183) | |||
Common stock issued, stock-based compensation plans | 181 | 181 | |||
Common stock issued, stock based compensation plans and other, shares | 6 | ||||
Stock-based compensation expense | 267 | 267 | |||
Repurchases of common stock | (1,261) | (450) | (811) | ||
Repurchases of common stock, shares | (17) | ||||
Dividends declared | (471) | (471) | |||
AOCI, ending balance at Dec. 31, 2018 | $ 11,424 | $ 6 | 47 | 11,485 | (114) |
Ending balance, shares at Dec. 31, 2018 | 577 | 577 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 121 | 122 | (1) | ||
Net income | 1,842 | 1,842 | |||
Other comprehensive income (loss) | 76 | 76 | |||
Common stock issued, stock-based compensation plans | 159 | 159 | |||
Common stock issued, stock based compensation plans and other, shares | 7 | ||||
Stock-based compensation expense | 217 | 217 | |||
Repurchases of common stock | (2,247) | $ (1) | (390) | (1,856) | |
Repurchases of common stock, shares | (36) | ||||
Dividends declared | (451) | (451) | |||
AOCI, ending balance at Dec. 31, 2019 | $ 11,022 | $ 5 | $ 33 | 11,022 | (38) |
Ending balance, shares at Dec. 31, 2019 | 548 | 548 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 2 | $ 2 | $ 0 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 1,842 | $ 2,101 | $ 1,504 |
Other comprehensive income (loss), net of tax: | |||
Foreign currency translation adjustments | 39 | (65) | 111 |
Change in unrealized gains and losses on cash flow hedges | 29 | (118) | 76 |
Change in unrealized losses on available-for-sale investment securities | 8 | 0 | (3) |
Other comprehensive income (loss) | 76 | (183) | 184 |
Comprehensive income | $ 1,918 | $ 1,918 | $ 1,688 |
Business Description and Summar
Business Description and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Business Description and Summary of Significant Accounting Policies | The terms “Cognizant,” “we,” “our,” “us” and “the Company” refer to Cognizant Technology Solutions Corporation and its subsidiaries unless the context indicates otherwise. Description of Business. We are one of the world’s leading professional services companies, transforming clients’ business, operating and technology models for the digital era. Our services include digital services and solutions, consulting, application development, systems integration, application testing, application maintenance, infrastructure services and business process services. Digital services have become an increasingly important part of our portfolio, aligning with our clients' focus on becoming data-enabled, customer-centric and differentiated businesses. We tailor our services and solutions to specific industries with an integrated global delivery model that employs client service and delivery teams based at client locations and dedicated global and regional delivery centers. Basis of Presentation, Principles of Consolidation and Use of Estimates. The consolidated financial statements are presented in accordance with GAAP and reflect the consolidated financial position, results of operations, comprehensive income and cash flows of our consolidated subsidiaries for all periods presented. All intercompany balances and transactions have been eliminated in consolidation. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts in the consolidated financial statements and accompanying disclosures. We evaluate our estimates on a continuous basis. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. The actual amounts may vary from the estimates used in the preparation of the accompanying consolidated financial statements. We have reclassified certain prior period amounts to conform to current period presentation. Cash and Cash Equivalents and Investments. Cash and cash equivalents consist of all cash balances, including money market funds, certificates of deposits and commercial paper that have a maturity, at the date of purchase, of 90 days or less. We determine the appropriate classification of our investments in marketable securities at the date of purchase and reevaluate such designation at each balance sheet date. Our held-to-maturity investment securities are financial instruments for which we have the intent and ability to hold to maturity and we classify these securities with maturities less than one year as short-term investments. Any held-to-maturity investment securities with maturities beyond one year from the balance sheet date are classified as noncurrent. Held-to-maturity securities are reported at amortized cost. Interest and amortization of premiums and discounts for debt securities are included in interest income. On a quarterly basis, we evaluate our held-to-maturity investments for possible other-than-temporary impairment by reviewing quantitative and qualitative factors. If we do not intend to sell the security and it is not more likely than not that we will be required to sell the security before recovery of our amortized cost, we evaluate quantitative and qualitative criteria to determine whether we expect to recover the amortized cost basis of the security. If we do not expect to recover the entire amortized cost basis of the security, we consider the security to be other-than-temporarily impaired and we record the difference between the security’s amortized cost basis and its recoverable amount in earnings and the difference between the security’s recoverable amount and fair value in other comprehensive income. If the fair value of the security is less than its cost basis and if we intend to sell the security or it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis, the security is also considered other-than-temporarily impaired and we recognize the entire difference between the security’s amortized cost basis and its fair value in earnings. Short-term Financial Assets and Liabilities. Cash and certain cash equivalents, trade receivables, accounts payable and other accrued liabilities are short-term in nature and, accordingly, their carrying values approximate fair value. Property and Equipment. Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated on a straight-line basis over the estimated useful lives of the assets. Leasehold improvements are amortized on a straight-line basis over the shorter of the term of the lease or the estimated useful life of the asset. Deposits paid towards acquisition of long-lived assets and the cost of assets not put in use before the balance sheet date are disclosed under the caption "Capital work-in-progress" in Note 6 . Leases. Our lease asset classes primarily consist of operating leases for office space, data centers and equipment. At inception of a contract, we determine whether a contract contains a lease, and if a lease is identified, whether it is an operating or finance lease. In determining whether a contract contains a lease we consider whether (1) we have the right to obtain substantially all of the economic benefits from the use of the asset throughout the term of the contract, (2) we have the right to direct how and for what purpose the asset is used throughout the term of the contract and (3) we have the right to operate the asset throughout the term of the contract without the lessor having the right to change the terms of the contract. Some of our lease agreements contain both lease and non-lease components that we account for as a single lease component for all of our lease asset classes. Our ROU lease assets represent our right to use an underlying asset for the lease term and may include any advance lease payments made and any initial direct costs, and exclude lease incentives. Our lease liabilities represent our obligation to make lease payments arising from the contractual terms of the lease. ROU lease assets and lease liabilities are recognized at the commencement of the lease and are calculated using the present value of lease payments over the lease term. Typically, our lease agreements do not provide sufficient detail to arrive at an implicit interest rate. Therefore, we use our estimated country-specific incremental borrowing rate based on information available at the commencement date of the lease to calculate the present value of the lease payments. In estimating our country-specific incremental borrowing rates, we consider market rates of comparable collateralized borrowings for similar terms. Our lease terms may include the option to extend or terminate the lease before the end of the contractual lease term. Our ROU lease assets and lease liabilities include these options when it is reasonably certain that they will be exercised. A portion of our real estate lease costs is subject to annual changes in the CPI. The changes to the CPI are treated as variable lease payments and are recognized in the period in which the obligation for those payments is incurred. Other variable lease costs primarily relate to adjustments for common area maintenance, utilities and property tax. These variable costs are recognized in the period in which the obligation for those payments is incurred. Prior to the adoption of the New Lease Standard on January 1, 2019, we were not required to recognize ROU lease assets and lease liabilities on our consolidated statement of financial position for operating leases. See Note 7 for additional information on the impact of adoption of this standard. Internal Use Software. We capitalize certain costs that are incurred to purchase, develop and implement internal-use software during the application development phase, which primarily include coding, testing and certain data conversion activities. Capitalized costs are amortized on a straight-line basis over the useful life of the software. Costs incurred in performing planning and post-implementation activities are expensed as incurred. Software to be Sold, Leased or Marketed. We capitalize costs incurred after technological feasibility is reached but before software is available for general release to clients, which primarily include coding and testing activities. Once the product is ready for general release, capitalized costs are amortized over the useful life of the software. Business Combinations. We account for business combinations using the acquisition method, which requires the identification of the acquirer, the determination of the acquisition date and the allocation of the purchase price paid by the acquirer to the identifiable tangible and intangible assets acquired, the liabilities assumed, including any contingent consideration and any noncontrolling interest in the acquiree at their acquisition date fair values. Goodwill represents the excess of the purchase price over the fair value of net assets acquired, including the amount assigned to identifiable intangible assets. Identifiable intangible assets with finite lives are amortized over their useful lives. Acquisition-related costs are expensed in the periods in which the costs are incurred. The results of operations of acquired businesses are included in our consolidated financial statements from the acquisition date . During the fourth quarter of 2019, the Company adjusted the allocation of the purchase price of certain prior period acquisitions that included revenue contracts with the sellers of the acquired businesses. As a result, we recorded a balance sheet adjustment to decrease total assets (primarily impacting intangible assets, goodwill and deferred income taxes) and total liabilities (primarily impacting deferred revenue) by approximately $70 million each. The impact of the adjustment to our operating results was immaterial. Management concluded that the adjustment was not material to any previously issued consolidated financial statements or to the consolidated financial statements as of and for the year ended December 31, 2019. Equity Method Investments. Equity investments that give us the ability to exercise significant influence, but not control, over an investee are accounted for using the equity method of accounting and recorded in the caption "Long-term investments" on our consolidated statements of financial position. Equity method investments are initially recorded at cost. We periodically review the carrying value of our equity method investments to determine if there has been an other-than-temporary decline in carrying value. The Company's proportionate share of the net income or loss of the investee is recorded in the caption "Income (loss) from equity method investments" on our consolidated statements of operations. The investment balance is increased or decreased for cash contributions or distributions to or from these investees. Long-lived Assets and Finite-lived Intangible Assets. We review long-lived assets and certain finite-lived identifiable intangibles for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset group may not be recoverable. We recognize an impairment loss when the sum of undiscounted expected future cash flows is less than the carrying amount of such asset groups. The impairment loss is determined as the amount by which the carrying amount of the asset group exceeds its fair value. Intangible assets consist primarily of client relationships and developed technology, which are being amortized on a straight-line basis over their estimated useful lives. Goodwill and Indefinite-lived Intangible Assets. We evaluate goodwill and indefinite-lived intangible assets for impairment at least annually, or as circumstances warrant. Goodwill is evaluated at the reporting unit level by comparing the fair value of the reporting unit with its carrying amount including goodwill. An impairment of goodwill exists if the carrying amount of the reporting unit exceeds its fair value. The impairment loss is the amount by which the carrying amount exceeds the reporting unit’s fair value, limited to the total amount of goodwill allocated to that reporting unit. For indefinite-lived intangible assets, if our annual qualitative assessment indicates that it is more-likely-than-not that an indefinite-lived intangible asset is impaired, we test the assets for impairment by comparing the fair value of such assets to their carrying value. If an impairment is indicated, a write down to the fair value of indefinite-lived intangible asset is recorded. Stock Repurchase Program. Under the Board of Directors authorized stock repurchase program, the Company is authorized to repurchase its Class A common stock through open market purchases, including under a trading plan adopted pursuant to Rule 10b5-1 of the Exchange Act, or in private transactions, including through ASR agreements entered into with financial institutions, in accordance with applicable federal securities laws. We account for the repurchased shares as constructively retired. Shares are returned to the status of authorized and unissued shares at the time of repurchase or in the periods they are delivered, if repurchased under an ASR. To reflect share repurchases in the consolidated statements of financial position, we (1) reduce common stock for the par value of the shares, (2) reduce additional paid-in capital for the amount in excess of par during the period in which the shares are repurchased and (3) record any residual amount in excess of available additional paid-in capital to retained earnings. Upfront payments related to ASRs are accounted for as a reduction to stockholders’ equity in the consolidated statements of financial position in the period the payments are made. Revenue Recognition. We recognize revenues as we transfer control of deliverables (products, solutions and services) to our clients in an amount reflecting the consideration to which we expect to be entitled. To recognize revenues, we apply the following five step approach: (1) identify the contract with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenues when a performance obligation is satisfied. We account for a contract when it has approval and commitment from all parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. We apply judgment in determining the customer’s ability and intention to pay based on a variety of factors including the customer’s historical payment experience. For performance obligations where control is transferred over time, revenues are recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the deliverables to be provided. Revenues related to fixed-price contracts for application development and systems integration services, consulting or other technology services are recognized as the service is performed using the cost to cost method, under which the total value of revenues is recognized on the basis of the percentage that each contract’s total labor cost to date bears to the total expected labor costs. Revenues related to fixed-price application maintenance, testing and business process services are recognized based on our right to invoice for services performed for contracts in which the invoicing is representative of the value being delivered. If our invoicing is not consistent with value delivered, revenues are recognized as the service is performed based on the cost to cost method described above. The cost to cost method requires estimation of future costs, which is updated as the project progresses to reflect the latest available information; such estimates and changes in estimates involve the use of judgment. The cumulative impact of any revision in estimates is reflected in the financial reporting period in which the change in estimate becomes known and any anticipated losses on contracts are recognized immediately. Revenues related to fixed-price hosting and infrastructure services are recognized based on our right to invoice for services performed for contracts in which the invoicing is representative of the value being delivered. If our invoicing is not consistent with value delivered, revenues are recognized on a straight-line basis unless revenues are earned and obligations are fulfilled in a different pattern. The revenue recognition method applied to the types of contracts described above provides the most faithful depiction of performance towards satisfaction of our performance obligations; for example, the cost to cost method is used when the value of services provided to the customer is best represented by the costs expended to deliver those services. Revenues related to our time-and-materials, transaction-based or volume-based contracts are recognized over the period the services are provided either using an output method such as labor hours, or a method that is otherwise consistent with the way in which value is delivered to the customer. Revenues related to our non-hosted software license arrangements that do not require significant modification or customization of the underlying software are recognized when the software is delivered as control is transferred at a point in time. For software license arrangements that require significant functionality enhancements or modification of the software, revenues for the software license and related services are recognized as the services are performed in accordance with the methods applicable to application development and systems integration services described above. In software hosting arrangements, the rights provided to the customer, such as ownership of a license, contract termination provisions and the feasibility of the client to operate the software, are considered in determining whether the arrangement includes a license or a service. Sales and usage-based fees promised in exchange for licenses of intellectual property are not recognized as revenue until the uncertainty related to the variable amounts is resolved. Revenues related to software maintenance and support are generally recognized on a straight-line basis over the contract period. Incentive revenues, volume discounts, or any other form of variable consideration is estimated using either the sum of probability weighted amounts in a range of possible consideration amounts (expected value), or the single most likely amount in a range of possible consideration amounts (most likely amount), depending on which method better predicts the amount of consideration to which we may be entitled. We include in the transaction price variable consideration only to the extent it is probable that a significant reversal of revenues recognized will not occur when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether and when to include estimated amounts in the transaction price may involve judgment and are based largely on an assessment of our anticipated performance and all information that is reasonably available to us. Revenues also include the reimbursement of out-of-pocket expenses. Our warranties generally provide a customer with assurance that the related deliverable will function as the parties intended because it complies with agreed-upon specifications and is therefore not considered an additional performance obligation in the contract. We may enter into arrangements that consist of multiple performance obligations. Such arrangements may include any combination of our deliverables. To the extent a contract includes multiple promised deliverables, we apply judgment to determine whether promised deliverables are capable of being distinct and are distinct in the context of the contract. If these criteria are not met, the promised deliverables are accounted for as a combined performance obligation. For arrangements with multiple distinct performance obligations, we allocate consideration among the performance obligations based on their relative standalone selling price. Standalone selling price is the price at which we would sell a promised good or service separately to the customer. When not directly observable, we typically estimate standalone selling price by using the expected cost plus a margin approach. We typically establish a standalone selling price range for our deliverables, which is reassessed on a periodic basis or when facts and circumstances change. We assess the timing of the transfer of goods or services to the customer as compared to the timing of payments to determine whether a significant financing component exists. As a practical expedient, we do not assess the existence of a significant financing component when the difference between payment and transfer of deliverables is a year or less. If the difference in timing arises for reasons other than the provision of finance to either the customer or us, no financing component is deemed to exist. The primary purpose of our invoicing terms is to provide customers with simplified and predictable ways of purchasing our services, not to receive or provide financing from or to customers. We do not consider set up or transition fees paid upfront by our customers to represent a financing component, as such fees are required to encourage customer commitment to the project and protect us from early termination of the contract. Our contracts may be modified to add, remove or change existing performance obligations. The accounting for modifications to our contracts involves assessing whether the services added to an existing contract are distinct and whether the pricing is at the standalone selling price. Services added that are not distinct are accounted for on a cumulative catch up basis, while those that are distinct are accounted for prospectively, either as a separate contract if the additional services are priced at the standalone selling price, or as a termination of the existing contract and creation of a new contract if not priced at the standalone selling price. Services added to our application development and systems integration service contracts are typically not distinct, while services added to our other contracts, including application maintenance, testing and business process services contracts, are typically distinct. From time to time, we may enter into arrangements with third party suppliers to resell products or services. In such cases, we evaluate whether we are the principal (i.e., report revenues on a gross basis) or agent (i.e., report revenues on a net basis). In doing so, we first evaluate whether we control the good or service before it is transferred to the customer. If we control the good or service before it is transferred to the customer, we are the principal; if not, we are the agent. Determining whether we control the good or service before it is transferred to the customer may require judgment. Prior to the adoption of the New Revenue Standard on January 1, 2018, revenues were earned and recognized when all of the following criteria were met: evidence of an arrangement existed, the price was fixed or determinable, the services had been rendered and collectability was reasonably assured. Contingent or incentive revenues were recognized when the contingency was satisfied and we concluded the amounts were earned. Volume discounts were recorded as a reduction of revenues as services were provided. Revenues also included the reimbursement of out-of-pocket expenses. Trade Accounts Receivable, Contract Assets and Contract Liabilities. We classify our right to consideration in exchange for deliverables as either a receivable or a contract asset. A receivable is a right to consideration that is unconditional (i.e., only the passage of time is required before payment is due). For example, we recognize a receivable for revenues related to our time and materials and transaction or volume-based contracts when earned regardless of whether amounts have been billed. We present such receivables in "Trade accounts receivable, net" in our consolidated statements of financial position at their net estimated realizable value. A contract asset is a right to consideration that is conditional upon factors other than the passage of time. Contract assets are presented in "Other current assets" in our consolidated statements of financial position and primarily relate to unbilled amounts on fixed-price contracts utilizing the cost to cost method of revenue recognition. Our contract liabilities, or deferred revenue, consist of advance payments from clients and billings in excess of revenues recognized. We classify deferred revenue as current or noncurrent based on the timing of when we expect to recognize the revenues. During the fourth quarter of 2019, we determined that it is preferable to change our accounting policy to net certain amounts due to customers, such as discounts and rebates, with trade accounts receivable, in order to better align with industry practice and better reflect amounts due from our customers on our consolidated statements of financial position. As a result, we netted $99 million of amounts due to customers, which would have otherwise been included in the caption "Accrued expenses and other current liabilities", within the caption "Trade accounts receivable, net" in our consolidated statement of financial position as of December 31, 2019. We applied this change in accounting policy retrospectively and decreased "Trade accounts receivable, net" and "Accrued expenses and other current liabilities" by $67 million as of December 31, 2018. The impact of the adjustment to our consolidated statements of financial position was immaterial for all periods presented and there was no impact to our operating results or cash flows. Our contract assets and contract liabilities are reported on a net basis by contract at the end of each reporting period. The difference between the opening and closing balances of our contract assets and contract liabilities primarily results from the timing difference between our performance obligations and the client’s payment. We receive payments from clients based on the terms established in our contracts, which vary by contract type. Allowance for Doubtful Accounts. We maintain an allowance for doubtful accounts to provide for the estimated amount of trade accounts receivables that may not be collected. The allowance is based upon an assessment of client creditworthiness, historical payment experience, the age of outstanding receivables and other applicable factors. We evaluate the collectability of our trade accounts receivable on an on-going basis and write off accounts when they are deemed to be uncollectable. Costs to Fulfill. Recurring operating costs for contracts with customers are recognized as incurred. Certain eligible, nonrecurring costs (i.e., set-up or transition costs) are capitalized when such costs (1) relate directly to the contract, (2) generate or enhance resources of the Company that will be used in satisfying the performance obligation in the future, and (3) are expected to be recovered. These costs are expensed ratably over the estimated life of the customer relationship, including expected contract renewals. In determining the estimated life of the customer relationship, we evaluate the average contract term, on a portfolio basis by nature of the services to be provided, and apply judgment in evaluating the rate of technological and industry change. Capitalized amounts are monitored regularly for impairment. Impairment losses are recorded when projected remaining undiscounted operating cash flows are not sufficient to recover the carrying amount of the capitalized costs to fulfill. Stock-Based Compensation. Stock-based compensation expense for awards of equity instruments to employees and non-employee directors is determined based on the grant date fair value of those awards. We recognize these compensation costs net of an estimated forfeiture rate over the requisite service period of the award. Forfeitures are estimated on the date of grant and revised if actual or expected forfeiture activity differs materially from original estimates. Foreign Currency. The assets and liabilities of our foreign subsidiaries whose functional currency is not the U.S. dollar are translated into U.S. dollars from functional currencies at current exchange rates while revenues and expenses are translated from functional currencies at average monthly exchange rates. The resulting translation adjustments are recorded in the caption "Accumulated other comprehensive income (loss)" on the consolidated statements of financial position. Foreign currency transactions and balances are those that are denominated in a currency other than the entity’s functional currency. The entity's functional currency is the currency of the primary economic environment in which it operates. The U.S. dollar is the functional currency for some of our foreign subsidiaries. For these subsidiaries, transactions and balances denominated in the local currency are foreign currency transactions. Foreign currency transactions and balances related to non-monetary assets and liabilities are remeasured to the functional currency of the entity at historical exchange rates while monetary assets and liabilities are remeasured to the functional currency of the entity at current exchange rates. Foreign currency exchange gains or losses from remeasurement are included in the caption "Foreign currency exchange gain (losses), net" on our consolidated statements of operations together with gains or losses on our undesignated foreign currency hedges. Derivative Financial Instruments. Derivative financial instruments are recorded on our consolidated statements of financial position as either an asset or liability measured at its fair value as of the reporting date. Our derivative financial instruments consist primarily of foreign exchange forward contracts. For derivative financial instruments to qualify for hedge accounting, the following criteria must be met: (1) the hedging instrument must be designated as a hedge; (2) the hedged exposure must be specifically identifiable and must expose us to risk; and (3) it must be expected that a change in fair value of the derivative financial instrument and an opposite change in the fair value of the hedged exposure will have a high degree of correlation. Changes in our derivatives’ fair values are recognized in net income unless specific hedge accounting and documentation criteria are met (i.e., the instruments are designated and accounted for as hedges). We record the effective portion of the unrealized gains and losses on our derivative financial instruments that are designated as cash flow hedges in the caption "Accumulated other comprehensive income (loss)" in the consolidated statements of financial position. Any ineffectiveness or excluded portion of a designated cash flow hedge is recognized in net income. Upon occurrence of the hedged transaction, the gains and losses on the derivative are recognized in net income. Income Taxes. We provide for income taxes utilizing the asset and liability method of accounting. Under this method, deferred income taxes are recorded to reflect the tax consequences in future years of differences between the tax basis of assets and liabilities and their financial reporting amounts at each balance sheet date, based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. If it is determined that it is more likely than not that future tax benefits associated with a deferred income tax asset will not be realized, a valuation allowance is provided. The effect of a change in tax rates on deferred income tax assets and liabilities is recognized in the provision for income taxes in the period that includes the enactment date. Our provision for income taxes also includes the impact of provisions established for uncertain income tax positions, as well as any related penalties and interest. We adjust these reserves in light of changing facts and circumstances, such as the closing of a tax audit. To the extent that the final o |
Revenues (Notes)
Revenues (Notes) | 12 Months Ended |
Dec. 31, 2019 | |
Revenues [Abstract] | |
Revenue from Contract with Customer [Text Block] | Disaggregation of Revenues The tables below present disaggregated revenues from contracts with clients by client location, service line and contract-type for each of our business segments. We believe this disaggregation best depicts how the nature, amount, timing and uncertainty of our revenues and cash flows are affected by industry, market and other economic factors. Our consulting and technology services include consulting, application development, systems integration, and application testing services as well as software solutions and related services while our outsourcing services include application maintenance, infrastructure and business process services. Revenues are attributed to geographic regions based upon client location. Substantially all of the revenue in our North America region relates to operations in the United States. Year Ended December 31, 2019 Financial Services Healthcare Products and Resources Communications, Media and Technology Total (in millions) Revenues Geography: North America $ 4,137 $ 4,147 $ 2,678 $ 1,764 $ 12,726 United Kingdom 484 130 380 319 1,313 Continental Europe 728 341 453 169 1,691 Europe - Total 1,212 471 833 488 3,004 Rest of World 520 77 259 197 1,053 Total $ 5,869 $ 4,695 $ 3,770 $ 2,449 $ 16,783 Service line: Consulting and technology services $ 3,782 $ 2,564 $ 2,295 $ 1,305 $ 9,946 Outsourcing services 2,087 2,131 1,475 1,144 6,837 Total $ 5,869 $ 4,695 $ 3,770 $ 2,449 $ 16,783 Type of contract: Time and materials $ 3,651 $ 1,845 $ 1,632 $ 1,528 $ 8,656 Fixed-price 1,922 1,635 1,730 803 6,090 Transaction or volume-based 296 1,215 408 118 2,037 Total $ 5,869 $ 4,695 $ 3,770 $ 2,449 $ 16,783 Year Ended December 31, 2018 Financial Services Healthcare Products and Resources Communications, Media and Technology Total (in millions) Revenues (1) Geography: North America $ 4,162 $ 4,254 $ 2,397 $ 1,480 $ 12,293 United Kingdom 481 91 358 344 1,274 Continental Europe 666 270 440 187 1,563 Europe - Total 1,147 361 798 531 2,837 Rest of World 536 53 220 186 995 Total $ 5,845 $ 4,668 $ 3,415 $ 2,197 $ 16,125 Service line: Consulting and technology services $ 3,571 $ 2,553 $ 2,024 $ 1,161 $ 9,309 Outsourcing services 2,274 2,115 1,391 1,036 6,816 Total $ 5,845 $ 4,668 $ 3,415 $ 2,197 $ 16,125 Type of contract: Time and materials $ 3,762 $ 1,836 $ 1,506 $ 1,366 $ 8,470 Fixed-price 1,859 1,852 1,521 734 5,966 Transaction or volume-based 224 980 388 97 1,689 Total $ 5,845 $ 4,668 $ 3,415 $ 2,197 $ 16,125 (1) On January 1, 2018, we adopted the New Revenue Standard using the modified retrospective method. Results for reporting periods beginning on or after January 1, 2018 are presented under the New Revenue Standard, while prior period amounts are not adjusted and continue to be reported in accordance with our historical accounting policies. Costs to Fulfill The following table presents information related to the capitalized costs to fulfill, such as setup or transition activities . Costs to fulfill are recorded in "Other noncurrent assets" in our consolidated statements of financial position and the amortization expense of costs to fulfill is included in "Cost of revenues" in our consolidated statement of operations. Costs to obtain contracts were immaterial for the period disclosed. 2019 2018 (in millions) Beginning balance $ 400 $ 303 Costs capitalized 189 167 Amortization expense (79 ) (70 ) Impairment charge (25 ) — Ending balance $ 485 $ 400 Contract Balances A contract asset is a right to consideration that is conditional upon factors other than the passage of time. Contract assets are presented in "Other current assets" in our consolidated statements of financial position and primarily relate to unbilled amounts on fixed-price contracts utilizing the cost to cost method of revenue recognition. The table below shows significant movements in contract assets: 2019 2018 (in millions) Beginning balance $ 305 $ 306 Revenues recognized during the period but not billed 313 285 Amounts reclassified to trade accounts receivable (284 ) (286 ) Ending balance $ 334 $ 305 Our contract liabilities, or deferred revenue, consist of advance payments and billings in excess of revenues recognized. The table below shows significant movements in the deferred revenue balances (current and noncurrent): 2019 2018 (in millions) Beginning balance $ 348 $ 431 Amounts billed but not recognized as revenues 319 204 Revenues recognized related to the opening balance of deferred revenue (261 ) (287 ) Other (1) (70 ) — Ending balance $ 336 $ 348 (1) See the Business Combinations section in Note 1 . Revenues recognized during the year ended December 31, 2019 for performance obligations satisfied or partially satisfied in previous periods were immaterial. Remaining Performance Obligations As of December 31, 2019 , the aggregate amount of transaction price allocated to remaining performance obligations, was $1,647 million , of which approximately 70% is expected to be recognized as revenues within 2 years. Disclosure is not required for performance obligations that meet any of the following criteria: (1) contracts with a duration of one year or less as determined under the New Revenue Standard, (2) contracts for which we recognize revenues based on the right to invoice for services performed, (3) variable consideration allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied promise to transfer a distinct good or service that forms part of a single performance obligation in accordance with ASC 606-10-25-14(b), for which the criteria in ASC 606-10-32-40 have been met, or (4) variable consideration in the form of a sales-based or usage based royalty promised in exchange for a license of intellectual property. Many of our performance obligations meet one or more of these exemptions and therefore are not included in the remaining performance obligation amount disclosed above. |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Business Combinations | All acquisitions completed during the three years ended December 31, 2019 , 2018 and 2017 were not individually or in the aggregate material to our operations or cash flow. Accordingly, pro forma results have not been presented. We have allocated the purchase price related to these transactions to tangible and intangible assets and liabilities, including non-deductible goodwill, based on their estimated fair values. The primary items that generated goodwill are the value of the acquired assembled workforces and synergies between the acquired companies and us, neither of which qualify as an amortizable intangible asset. 2019 In 2019, we acquired 100% ownership in the following: • Mustache, a creative content agency based in the United States, that extends our capabilities in creating original and branded content for digital, broadcast and social mediums (acquired on January 15, 2019). • Meritsoft, a financial software company based in Ireland, that complements our service offerings to capital markets institutions (acquired on March 4, 2019). • Samlink, a developer of services and solutions for the financial sector based in Finland, that strengthens our banking capabilities and brings with it a strategic partnership with three Finnish financial institutions to transform and operate a shared core banking platform (acquired on April 1, 2019). • Zenith, a life sciences company based in Ireland, that extends our service capabilities for connected biopharmaceutical and medical device manufacturers (acquired on July 29, 2019). • Contino, a technology consulting firm that extends our capabilities in enterprise DevOps and cloud transformation (acquired on October 31, 2019). The allocations of preliminary purchase price to the fair value of the aggregate assets acquired and liabilities assumed were as follows: Contino Meritsoft Zenith Others Total Weighted Average Useful Life (dollars in millions) Cash $ 7 $ 14 $ 9 $ 15 $ 45 Current assets 16 6 52 21 95 Property, plant and equipment and other noncurrent assets 4 1 6 14 25 Non-deductible goodwill 198 147 76 21 442 Customer relationship intangible assets 29 46 73 19 167 10.7 years Other intangible assets 2 29 4 6 41 6.1 years Current liabilities (11 ) (3 ) (35 ) (22 ) (71 ) Noncurrent liabilities (10 ) (12 ) (17 ) (10 ) (49 ) Purchase price, inclusive of contingent consideration $ 235 $ 228 $ 168 $ 64 $ 695 For acquisitions completed in 2019, the allocation is preliminary and will be finalized as soon as practicable within the measurement period, but in no event later than one year following the date of acquisition. 2018 In 2018, we completed the following five business combinations: • Bolder, a provider of revenue cycle management solutions to the healthcare industry in the United States. • Hedera Consulting, a business advisory and data analytics service provider in Belgium and the Netherlands. • Softvision, a digital engineering and consulting company with significant operations in Romania and India that focuses on agile development of custom cloud-based software and platforms for clients primarily in the United States. • ATG, a United States based consulting company that helps companies plan, implement and optimize automated cloud-based quote-to-cash business processes and technologies. • SaaSfocus, a Salesforce services provider in Australia. The allocation of purchase price to the fair value of the aggregate assets acquired and liabilities assumed was as follows: Softvision Bolder Others Total Weighted Average Useful Life ( dollars in millions) Cash $ 4 $ 7 $ 4 $ 15 Current assets 54 32 15 101 Property, plant and equipment and other noncurrent assets 7 7 1 15 Non-deductible goodwill 385 335 76 796 Customer relationship intangible assets 133 113 30 276 10.3 years Other intangible assets 9 17 1 27 3.7 years Trademark — 9 — 9 Indefinite Current liabilities (47 ) (11 ) (9 ) (67 ) Noncurrent liabilities (4 ) (37 ) (9 ) (50 ) Purchase price $ 541 $ 472 $ 109 $ 1,122 2017 In 2017, we completed the following five business combinations: • Brilliant, an intelligent products and solutions company based in Japan specializing in digital strategy, product design and engineering, the IoT, and enterprise mobility that expands our digital transformation portfolio and capabilities. • Top Tier, a U.S. healthcare management consulting firm that strengthens our consulting service offerings within the healthcare consulting market. • TMG, a leading national provider of business process services to the U.S. government healthcare market that further strengthens our business process-as-a-service solutions for government and public health programs. • Netcentric, a provider of digital experience and marketing solutions for some of the world's most recognized brands and an independent Adobe partner in Europe that will enhance our ability to deliver business critical digital experience solutions. • Zone, an independent full-service digital agency in the UK specializing in customer experience, digital strategy, technology and content creation that will enhance and expand our digital interactive expertise in experience design, human science-driven insights and analytics. The allocation of purchase price to the fair value of the aggregate assets acquired and liabilities assumed was as follows: Fair Value Weighted Average Useful Life (in millions) Cash $ 8 Current assets 47 Property, plant and equipment and other noncurrent assets 19 Non-deductible goodwill 125 Customer relationship intangible assets 147 10.6 years Other intangible assets 4 2.4 years Current liabilities (50 ) Noncurrent liabilities (67 ) Purchase price $ 233 |
Restructuring Charges
Restructuring Charges | 12 Months Ended |
Dec. 31, 2019 | |
Restructuring Charges [Abstract] | |
Realignment Charges | In 2017, we began a realignment program with the objective of improving our client focus, our cost structure and the efficiency and effectiveness of our delivery while continuing to drive revenue growth. As part of the realignment program, we incurred Executive Transition Costs, employee separation costs, employee retention costs and third party realignment costs. Our third party realignment costs include professional fees related to the development of our realignment program and facility exit costs. Over the next two years, we intend to implement our 2020 Fit for Growth Plan, which is expected to involve significant investments in technology, sales and marketing, talent re-skilling, acquisitions and partnerships to further sharpen our strategic positioning in key digital areas as well as our strategic decision to exit certain content-related services. The 2020 Fit for Growth Plan involves certain measures, which commenced in the fourth quarter of 2019, to optimize our cost structure in order to partially fund these investments and advance our growth agenda. The total costs related to our realignment program and our 2020 Fit for Growth Plan are reported in "Restructuring charges" in our consolidated statements of operations. We do not allocate these charges to individual segments in internal management reports used by the chief operating decision maker. Accordingly, such expenses are separately disclosed in our segment reporting as “unallocated costs”. See Note 19 . Charges related to our realignment program and our 2020 Fit for Growth Plan were as follows: Years Ended December 31, 2019 2018 2017 (in millions) Realignment Program: Employee separation costs $ 64 $ 18 $ 53 Executive Transition Costs 22 — — Employee retention costs 45 — — Third party realignment costs 38 1 19 2020 Fit for Growth Plan: Employee separation costs 45 — — Employee retention costs 2 — — Facility exit costs 1 — — Total restructuring charges $ 217 $ 19 $ 72 The 2020 Fit for Growth Plan charges include $5 million of costs incurred in 2019 related to our exit from certain content-related services. Changes in our accrued employee separation costs, for both our realignment program and our 2020 Fit for Growth Plan, included in "Accrued expenses and other current liabilities" in our consolidated statement of financial position, are presented in the table below. (in millions) Balance - December 31, 2018 $ — Employee separation costs accrued 109 Payments made 62 Balance - December 31, 2019 $ 47 The accrued employee separation costs as of December 31, 2017 were immaterial. |
Investments
Investments | 12 Months Ended |
Dec. 31, 2019 | |
Investments [Abstract] | |
Investments | Our investments were as follows as of December 31: 2019 2018 (in millions) Short-term investments: Equity investment security $ 26 $ 25 Available-for-sale investment securities — 1,760 Held-to-maturity investment securities 287 1,065 Time deposits (1) 466 500 Total short-term investments $ 779 $ 3,350 Long-term investments: Equity and cost method investments $ 17 $ 74 Held-to-maturity investment securities — 6 Total long-term investments $ 17 $ 80 (1) Includes $414 million and $423 million in restricted time deposits as of December 31, 2019 and December 31, 2018 , respectively. See Note 11 . Equity Investment Security Our equity investment security is a U.S. dollar denominated investment in a fixed income mutual fund. Realized and unrealized gains and losses were immaterial for the years ended December 31, 2019 and 2018 . Available-for-Sale Investment Securities During 2019, all of our available-for-sale investment securities either matured or were sold. We determine the cost of the securities sold based on the specific identification method. Proceeds from sales of available-for-sale investment securities and the gross gains and losses that have been included in earnings as a result of those sales were as follows: 2019 2018 2017 (in millions) Proceeds from sales of available-for-sale investment securities $ 1,712 $ 1,285 $ 2,922 Gross gains $ 6 $ — $ 1 Gross losses (5 ) (4 ) (3 ) Net realized gains (losses) on sales of available-for-sale investment securities $ 1 $ (4 ) $ (2 ) The amortized cost, gross unrealized gains and losses and fair value of available-for-sale investment securities at December 31, 2018 were as follows: Amortized Cost Unrealized Gains Unrealized Losses Fair Value (in millions) U.S. Treasury and agency debt securities $ 630 $ 1 $ (6 ) $ 625 Corporate and other debt securities 420 — (4 ) 416 Certificates of deposit and commercial paper 296 — — 296 Asset-backed securities 336 — (2 ) 334 Municipal debt securities 90 — (1 ) 89 Total available-for-sale investment securities $ 1,772 $ 1 $ (13 ) $ 1,760 The fair value and related unrealized losses of available-for-sale investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of December 31, 2018 : Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (in millions) U.S. Treasury and agency debt securities $ 84 $ — $ 446 $ (6 ) $ 530 $ (6 ) Corporate and other debt securities 108 (1 ) 254 (3 ) 362 (4 ) Certificates of deposit and commercial paper 295 — — — 295 — Asset-backed securities 93 — 179 (2 ) 272 (2 ) Municipal debt securities 17 — 64 (1 ) 81 (1 ) Total $ 597 $ (1 ) $ 943 $ (12 ) $ 1,540 $ (13 ) The unrealized losses for the above securities as of December 31, 2018 were primarily attributable to changes in interest rates. The gross unrealized gains and losses in the above tables were recorded, net of tax, in "Accumulated other comprehensive income (loss)" in our consolidated statement of financial position. Held-to-Maturity Investment Securities Our held-to-maturity investment securities consist of Indian rupee denominated investments primarily in commercial paper and international corporate bonds. Our investment guidelines are to purchase securities that are investment grade at the time of acquisition. We monitor the credit ratings of the securities in our portfolio on an ongoing basis. The basis for the measurement of fair value of our held-to-maturity investments is Level 2 in the fair value hierarchy. The amortized cost, gross unrealized gains and losses and fair value of held-to-maturity investment securities at December 31, 2019 were as follows: Amortized Unrealized Unrealized Fair (in millions) Short-term investments, due within one year: Corporate and other debt securities $ 101 $ — $ — $ 101 Commercial paper 186 — — 186 Total short-term held-to-maturity investments $ 287 $ — $ — $ 287 The amortized cost, gross unrealized gains and losses and fair value of held-to-maturity investment securities at December 31, 2018 were as follows: Amortized Unrealized Unrealized Fair (in millions) Short-term investments: Corporate and other debt securities $ 546 $ — $ — $ 546 Commercial paper 519 — (1 ) 518 Total short-term held-to-maturity investments 1,065 — (1 ) 1,064 Long-term investments: Corporate and other debt securities 6 — — 6 Total held-to-maturity investment securities $ 1,071 $ — $ (1 ) $ 1,070 The fair value and related unrealized losses of held-to-maturity investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of December 31, 2019 : Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (in millions) Corporate and other debt securities $ 42 $ — $ — $ — $ 42 $ — Commercial Paper 70 — — — 70 — Total $ 112 $ — $ — $ — $ 112 $ — The fair value and related unrealized losses of held-to-maturity investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of December 31, 2018 : Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (in millions) Corporate and other debt securities $ 263 $ — $ 57 $ — $ 320 $ — Commercial paper 268 (1 ) — — 268 (1 ) Total $ 531 $ (1 ) $ 57 $ — $ 588 $ (1 ) At each reporting date, the Company performs an evaluation of held-to-maturity securities to determine if the unrealized losses are other-than-temporary. We do not consider any of the investments to be other-than-temporarily impaired as of December 31, 2019 . During the years ended December 31, 2019 and 2018 , there were no transfers of investments between our available-for-sale and held-to-maturity investment portfolios. Equity and Cost Method Investments As of December 31, 2019 and 2018 , we had equity method investments of $9 million and $66 million , respectively, which primarily consist of a 49% ownership interest in a strategic consulting firm specializing in the use of human sciences to help business leaders better understand customer behavior. Our investments are assessed for impairment whenever factors indicate an other-than-temporary decline in carrying value has occurred. As a result of recent events indicating one of our investments experienced an other-than-temporary impairment, we assessed its fair value and determined that the carrying value exceeded the fair value. As such, we recorded an impairment charge of $57 million in the fourth quarter of 2019 within the caption "Income (loss) from equity method investments" in our consolidated statement of operations. In determining the fair value of the equity method investment we considered results from the following valuation methodologies: income approach, based on discounted future cash flows, market approach, based on current market multiples and net asset value approach, based on the assets and liabilities of the investee. The basis for the measurement of fair value for this equity method investment is Level 3 in the fair value hierarchy. As of December 31, 2019 and 2018 , we had cost method investments of $8 million |
Property and Equipment, net
Property and Equipment, net | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment, Net [Abstract] | |
Property and Equipment, net | Property and equipment were as follows as of December 31: Estimated Useful Life (Years) 2019 2018 (in millions) Buildings 30 $ 790 $ 839 Computer equipment 3 – 5 516 412 Computer software 3 – 8 820 721 Furniture and equipment 5 – 9 702 639 Land 11 19 Leasehold land lease term — 60 Capital work-in-progress 133 156 Leasehold improvements Shorter of the lease term or the life of the asset 379 338 Sub-total 3,351 3,184 Accumulated depreciation and amortization (2,042 ) (1,790 ) Property and equipment, net $ 1,309 $ 1,394 Depreciation and amortization expense related to property and equipment was $363 million, $347 million and $313 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. The gross amount of property and equipment recorded under finance leases was $30 million as of December 31, 2019 . The gross amount of property and equipment recorded under capital leases was $73 million as of December 31, 2018 . In 2019, as a result of the adoption of the New Lease Standard, we reclassified leasehold land and a built-to-suit building lease asset from "Property and equipment, net" to "Operating lease assets, net". See Note 7 for additional information. Accumulated amortization and amortization expense for our finance lease assets was $14 million as of December 31, 2019 and $11 million for the year ended December 31, 2019, respectively. Accumulated amortization and amortization expense related to our capital lease assets were immaterial as of and for the years ended December 31, 2018 and 2017. The gross amount of property and equipment recorded for software to be sold, leased or marketed reported in the caption "Computer software" above was $129 million and $85 million , as of December 31, 2019 and 2018 , respectively. Accumulated amortization for software to be sold, leased or marketed was $46 million and $24 million as of December 31, 2019 and 2018 , respectively. Amortization expense for software to be sold, leased or marketed recorded as property and equipment was $22 million and $14 million for the years ended December 31, 2019 and 2018 respectively, and was immaterial for the year ended December 31, 2017 . |
Leases (Notes)
Leases (Notes) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Lessee, Operating Leases [Text Block] | Adoption of the New Lease Standard On January 1, 2019, we adopted the New Lease Standard using the effective date method applied to all lease contracts existing as of January 1, 2019. Under the effective date method, results for reporting periods beginning on or after January 1, 2019 are presented under the New Lease Standard. We elected the package of practical expedients that permits us to not reassess prior conclusions related to contracts containing leases, lease classification and initial direct costs. Prior period amounts are not adjusted and continue to be reported in accordance with our historical accounting policies. The impact of adoption primarily relates to the recognition of ROU operating lease assets and operating lease liabilities on our consolidated statement of financial position for all operating leases with a term greater than twelve months . The accounting for our finance leases remained substantially unchanged. The following table provides the impact of adoption of the New Lease Standard on our consolidated statement of financial position as of January 1, 2019: Location on Statement of Financial Position January 1, 2019 (in millions) Property and equipment, net (1) $ (81 ) Operating lease assets, net (1) (2) (3) 839 Total assets $ 758 Operating lease liabilities (2) (3) $ 191 Operating lease liabilities, noncurrent (2) (3) 670 Accrued expenses and other liabilities (3) (10 ) Other noncurrent liabilities (3) (95 ) Total liabilities $ 756 Retained earnings (4) $ 2 (1) Reflects the reclassification of leasehold land and a built-to-suit lease asset from "Property and equipment, net" to "Operating lease assets, net". (2) Represents the recognition of operating lease assets and liabilities (current and noncurrent), as defined by the New Lease Standard, including the liability for a built-to-suit lease that was previously accounted for as a capital lease under the former lease guidance. (3) Represents the reclassification of deferred rent from "Accrued expenses and other liabilities" and "Other noncurrent liabilities" to "Operating lease assets, net" and the reclassification of built-to-suit lease liabilities from "Accrued expenses and other liabilities" and "Other noncurrent liabilities" to "Operating lease liabilities" and "Operating lease liabilities, noncurrent". (4) Represents the net impact of the derecognition of a built-to-suit lease under the former lease guidance and the re-establishment of that lease as an operating lease under the New Lease Standard. The adoption of the New Lease Standard did not materially impact our consolidated statement of operations or our consolidated statement of cash flows. The following table provides information on the components of our operating and finance leases included in our consolidated statement of financial position: Leases Location on Statement of Financial Position December 31, 2019 Assets (in millions) ROU operating lease assets Operating lease assets, net $ 926 ROU finance lease assets Property and equipment, net 16 Total $ 942 Liabilities Current Operating lease Operating lease liabilities $ 202 Finance lease Accrued expenses and other current liabilities 11 Noncurrent Operating lease Operating lease liabilities, noncurrent 745 Finance lease Other noncurrent liabilities 15 Total $ 973 Our operating lease cost was $264 million for the year ended December 31, 2019 and included $18 million of variable lease cost. Our short term lease rental expense was $16 million for the year ended December 31, 2019 . Lease interest expense related to our finance leases for year ended December 31, 2019 was immaterial. The following table provides information on the weighted average remaining lease term and weighted average discount rate for our operating leases: Operating Lease Term and Discount Rate December 31, 2019 Weighted average remaining lease term 6.0 years Weighted-average discount rate 6.0 % The following table provides supplemental cash flow information related to our operating leases: 2019 (in millions) Cash paid for amounts included in the measurement of operating lease liabilities $ 232 ROU assets obtained in exchange for operating lease liabilities 274 Cash paid for amounts included in the measurement of finance lease liabilities and ROU assets obtained in exchange for finance lease liabilities were each immaterial for the year ended December 31, 2019 . The following table provides the schedule of maturities of our operating lease liabilities, under the New Lease Standard, as of December 31, 2019 : Operating lease obligations (in millions) 2020 249 2021 217 2022 167 2023 132 2024 96 Thereafter 273 Total lease payments 1,134 Interest (187 ) Total lease liabilities $ 947 The following table provides the schedule of our future minimum payments on our operating leases, as of December 31, 2018, which were accounted for in accordance with our historical accounting policies. Operating lease obligations (in millions) 2019 $ 226 2020 197 2021 157 2022 121 2023 90 Thereafter 197 Total minimum lease payments $ 988 As of December 31, 2019 , we had $316 million of additional obligations related to operating leases whose lease term had yet to commence and which are therefore not included in our statement of financial position. These leases are primarily related to real estate and will commence in various months in 2020 and 2021 with lease terms of 1 year to 11 years . |
Goodwill and Intangible Assets,
Goodwill and Intangible Assets, net | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets, net | Changes in goodwill by our reportable segments were as follows for the years ended December 31, 2019 and 2018 : Segment January 1, 2019 Goodwill Additions and Adjustments Foreign Currency Translation Adjustments Other (1) December 31, 2019 (in millions) Financial Services $ 411 $ 288 $ (2 ) $ 3 $ 700 Healthcare 2,469 86 — 40 2,595 Products and Resources 384 18 1 14 417 Communications, Media and Technology 217 49 1 — 267 Total goodwill $ 3,481 $ 441 $ — $ 57 $ 3,979 (1) See the Business Combinations section in Note 1 . Segment January 1, 2018 Goodwill Additions and Adjustments Foreign Currency Translation Adjustments December 31, 2018 (in millions) Financial Services $ 265 $ 152 $ (6 ) $ 411 Healthcare 2,106 365 (2 ) 2,469 Products and Resources 240 152 (8 ) 384 Communications, Media and Technology 93 126 (2 ) 217 Total goodwill $ 2,704 $ 795 $ (18 ) $ 3,481 Based on our most recent goodwill impairment assessment performed as of October 31, 2019, we concluded that the goodwill in each of our reporting units was not at risk of impairment. We have not recognized any impairment losses on our goodwill. Components of intangible assets were as follows as of December 31: 2019 2018 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (in millions) Customer relationships $ 1,181 $ (390 ) $ 791 $ 1,277 $ (398 ) $ 879 Developed technology 388 (239 ) 149 355 (187 ) 168 Indefinite life trademarks 72 — 72 72 — 72 Other 71 (42 ) 29 64 (33 ) 31 Total intangible assets $ 1,712 $ (671 ) $ 1,041 $ 1,768 $ (618 ) $ 1,150 Other than certain trademarks with indefinite lives, our intangible assets have finite lives and, as such, are subject to amortization. Amortization of intangible assets totaled $162 million for 2019 , $151 million for 2018 and $130 million for 2017 . The following table provides the estimated amortization expense related to our existing intangible assets for the next five years. Estimated Amortization (in millions) 2020 $ 144 2021 140 2022 132 2023 90 2024 83 |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Accrued Expenses And Other Current Liabilities [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities were as follows as of December 31: 2019 2018 (in millions) Compensation and benefits $ 1,239 $ 1,216 Customer volume and other incentives (1) 251 256 Derivative financial instruments 8 25 FCPA Accrual (2) — 28 Income taxes 152 162 Professional fees 137 110 Travel and entertainment 24 34 Other 380 369 Total accrued expenses and other current liabilities $ 2,191 $ 2,200 (1) See the Trade Accounts Receivable, Contract Assets and Contract Liabilities section in Note 1 . (2) Refer to Note 15 . |
Debt
Debt | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Debt | In 2018, we entered into a Credit Agreement providing for a $750 million Term Loan and a $1,750 million unsecured revolving credit facility, which are due to mature in November 2023. We are required under the Credit Agreement to make scheduled quarterly principal payments on the Term Loan. The Credit Agreement requires interest to be paid, at our option, at either the ABR or the Eurocurrency Rate (each as defined in the Credit Agreement), plus, in each case, an Applicable Margin (as defined in the Credit Agreement). Initially, the Applicable Margin is 0.875% with respect to Eurocurrency Rate loans and 0.00% with respect to ABR loans. Subsequently, the Applicable Margin with respect to Eurocurrency Rate loans may range from 0.75% to 1.125% , depending on our public debt ratings (or, if we have not received public debt ratings, from 0.875% to 1.125% , depending on our Leverage Ratio, which is the ratio of indebtedness for borrowed money to Consolidated EBITDA, as defined in the Credit Agreement). Under the Credit Agreement, we are required to pay commitment fees on the unused portion of the revolving credit facility, which vary based on our public debt ratings (or, if we have not received public debt ratings, on the Leverage Ratio). As the interest rates on our Term Loan and any notes outstanding under the revolving credit facility are variable, the fair value of our debt balances approximates their carrying value as of December 31, 2019 and 2018. The Credit Agreement contains customary affirmative and negative covenants as well as a financial covenant. The financial covenant is tested at the end of each fiscal quarter and requires us to maintain a Leverage Ratio, which is the ratio of indebtedness for borrowed money to Consolidated EBITDA, as defined in the Credit Agreement, not in excess of 3.50 to 1.00, or for a period of up to four quarters following certain material acquisitions, 3.75 to 1.00. We were in compliance with all debt covenants and representations of the Credit Agreement as of December 31, 2019. In 2019, our India subsidiary entered into a 13 billion Indian rupee ( $182 million at the December 31, 2019 exchange rate) working capital facility, which requires us to repay any balances within 90 days from the date of disbursement. Short-term Debt The following summarizes our short-term debt balances as of December 31: 2019 2018 Amount Weighted Average Interest Rate Amount Weighted Average Interest Rate (in millions) (in millions) Term loan - current maturities $ 38 2.6 % $ 9 3.3 % Long-term Debt The following summarizes our long-term debt balances as of December 31: 2019 2018 (in millions) Term loan $ 741 $ 750 Less: Current maturities (38 ) (9 ) Deferred financing costs (3 ) (5 ) Long-term debt, net of current maturities $ 700 $ 736 The following represents the schedule of maturities of our term loan: Year Amounts (in millions) 2020 $ 38 2021 38 2022 38 2023 627 $ 741 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income before provision for income taxes shown below is based on the geographic location to which such income was attributed for years ended December 31: 2019 2018 2017 (in millions) United States $ 931 $ 947 $ 810 Foreign 1,612 1,850 1,845 Income before provision for income taxes $ 2,543 $ 2,797 $ 2,655 The provision for income taxes consisted of the following components for the years ended December 31: 2019 2018 2017 (in millions) Current: Federal and state $ 549 $ 241 $ 767 Foreign 400 449 262 Total current provision 949 690 1,029 Deferred: Federal and state (320 ) 1 102 Foreign 14 7 22 Total deferred (benefit) provision (306 ) 8 124 Total provision for income taxes $ 643 $ 698 $ 1,153 We are involved in an ongoing dispute with the ITD in connection with a previously disclosed 2016 share repurchase transaction undertaken by CTS India to repurchase shares from its shareholders (non-Indian Cognizant entities) valued at $2.8 billion . As a result of that transaction, which was undertaken pursuant to a plan approved by the Court in Chennai, India, we previously paid $135 million in Indian income taxes - an amount we believe includes all the applicable taxes owed for this transaction under Indian law. In March 2018, we received a communication from the ITD asserting that the ITD is owed an additional 33 billion Indian rupees ( $463 million at the December 31, 2019 exchange rate) on the 2016 transaction. Immediately thereafter, the ITD placed an attachment on certain of our India bank accounts. In addition to the dispute on the 2016 transaction, we are also involved in another ongoing dispute with the ITD relating to a 2013 transaction undertaken by CTS India to repurchase shares from its shareholders valued at $523 million (the two disputes collectively referred to as the "ITD Dispute"). In April 2018, the Court admitted our writ petition for a stay of the actions of the ITD and lifted the ITD’s attachment on our bank accounts. As part of the interim stay order, we deposited 5 billion Indian rupees ( $70 million at the December 31, 2019 exchange rate and $71 million at the December 31, 2018 exchange rate) representing 15% of the disputed tax amount related to the 2016 transaction, with the ITD. These amounts are presented in "Other current assets" in our consolidated statements of financial position. In addition, the Court also placed a lien on certain time deposits of CTS India in the amount of 28 billion Indian rupees ( $393 million at the December 31, 2019 exchange rate and $404 million at the December 31, 2018 exchange rate), which is the remainder of the disputed tax amount related to the 2016 transaction. The affected time deposits are considered restricted assets and we have reported them in “Short-term investments” in our consolidated statements of financial position. As of December 31, 2019 and 2018, the restricted time deposits balance was $414 million and $423 million , respectively, including a portion of the interest previously earned on such deposits. In June 2019, the Court dismissed our previously admitted writ petitions on the ITD Dispute, holding that the Company must exhaust other remedies, such as pursuing the matter before other appellate bodies, for resolution of the ITD Dispute prior to intervention by the Court. The Court did not issue a ruling on the substantive issue of whether we owe additional tax as a result of either the 2016 or the 2013 transaction. In July 2019, we appealed the Court’s orders before the Division Bench. In September 2019, the Division Bench partly allowed the Company’s appeal, but did not issue a ruling on the substantive issue of the tax implications of the transactions. In October 2019, we filed a SLP before the Supreme Court of India. The Supreme Court has scheduled the next hearing on the SLP at the end of February 2020 and has instructed the ITD to maintain status quo until a ruling is issued. We believe we have paid all applicable taxes owed on both the 2016 and the 2013 transactions. Accordingly, we have not recorded any reserves for these matters as of December 31, 2019 . The reconciliation between our effective income tax rate and the U.S. federal statutory rate were as follows for the years ended December 31: 2019 % 2018 % 2017 % (Dollars in millions) Tax expense, at U.S. federal statutory rate $ 534 21.0 $ 587 21.0 $ 929 35.0 State and local income taxes, net of federal benefit 59 2.3 56 2.0 39 1.5 Non-taxable income for Indian tax purposes (90 ) (3.5 ) (146 ) (5.2 ) (216 ) (8.2 ) Rate differential on foreign earnings 145 5.7 206 7.4 (76 ) (2.9 ) Net impact related to the implementation of the Tax Reform Act — 0.0 (5 ) (0.2 ) 617 23.2 Net impact related to the India Tax Law 21 0.8 — — — — Recognition of previously unrecognized income tax benefits related to uncertain tax positions — 0.0 (12 ) (0.4 ) (73 ) (2.7 ) Credits and other incentives (57 ) (2.2 ) (19 ) (0.7 ) (37 ) (1.4 ) Other 31 1.2 31 1.1 (30 ) (1.1 ) Total provision for income taxes $ 643 25.3 $ 698 25.0 $ 1,153 43.4 The significant components of deferred income tax assets and liabilities recorded on the consolidated statements of financial position were as follows as of December 31: 2019 2018 (in millions) Deferred income tax assets: Net operating losses $ 27 $ 13 Revenue recognition 39 51 Compensation and benefits 171 150 MAT and credit carryforwards 307 340 Expenses not currently deductible 352 60 896 614 Less: valuation allowance (24 ) (11 ) Deferred income tax assets, net 872 603 Deferred income tax liabilities: Depreciation and amortization 187 256 Deferred costs 110 79 Other 25 9 Deferred income tax liabilities 322 344 Net deferred income tax assets $ 550 $ 259 At December 31, 2019 , we had foreign and U.S. net operating loss carryforwards of approximately $39 million and $80 million, respectively. We have recorded valuation allowances on certain net operating loss carryforwards. As of December 31, 2019 and 2018 , deferred income tax assets related to the MAT carryforwards were $176 million and $228 million, respectively. The calculation of the MAT includes all profits realized by our Indian subsidiaries and any MAT paid is creditable against future corporate income tax, subject to certain limitations. Our existing MAT carryforwards expire between March 2024 and March 2032 and we expect to fully utilize them within the applicable expiration periods of 15 years . Our Indian subsidiaries are primarily export-oriented and are eligible for certain income tax holiday benefits granted by the government of India for export activities conducted within SEZs for periods of up to 15 years . Our SEZ income tax holiday benefits are currently scheduled to expire in whole or in part through the year 2028 and may be extended on a limited basis for an additional five years per unit if certain reinvestment criteria are met. Our Indian profits ineligible for SEZ benefits are subject to corporate income tax at the rate of 34.94% . In addition, all Indian profits, including those generated within SEZs, are subject to the MAT. The current rate of MAT for the India fiscal years starting on or after April 1, 2019 is 17.47% . For the years ended December 31, 2019 , 2018 and 2017 , the effect of the income tax holidays granted by the Indian government was to reduce the overall income tax provision and increase net income by $90 million, $146 million and $217 million, respectively, and increase diluted EPS by $0.16 , $0.25 and $0.36 , respectively. In December 2019, the Government of India enacted the India Tax Law effective retroactively to April 1, 2019 that enables Indian companies to elect to be taxed at a lower income tax rate of 25.17% , as compared to the current income tax rate of 34.94% . Once a company elects into the lower income tax rate, a company may not benefit from any tax holidays associated with SEZs and certain other tax incentives, including MAT carryforwards, and may not reverse its election. Our current intent is to elect into the new tax regime once our MAT carryforwards are fully or substantially utilized. While our existing MAT carryforwards expire between March 2024 and March 2032, we expect to fully or substantially utilize our existing MAT carryforwards in or after the India financial year starting April 1, 2022. Our intent is based on a number of assumptions and financial projections. An election into the new tax law regime prior to utilization of our MAT carryforwards will result in a write-off of any remaining deferred income tax assets relating to the MAT carryforwards. As a result of the enactment of the India Tax Law, we recorded a one-time net income tax expense of $21 million due to the revaluation to the lower income tax rate of our India net deferred income tax assets that are expected to reverse after we elect into the new tax regime. We consider our earnings in India to be indefinitely reinvested, which is consistent with our ongoing strategy to expand our Indian operations, including through infrastructure investments. As of December 31, 2019 , the amount of unrepatriated Indian earnings was approximately $5,242 million . If all of our accumulated unrepatriated Indian earnings were to be repatriated, based on our current interpretation of India tax law, we estimate that we would incur an additional income tax expense of approximately $1,101 million . This estimate is subject to change based on tax legislation developments in India and other jurisdictions as well as judicial and interpretive developments of applicable tax laws. We conduct business globally and file income tax returns in the United States, including federal and state, as well as various foreign jurisdictions. Tax years that remain subject to examination by the Internal Revenue Service are 2012 and onward, and years that remain subject to examination by state authorities vary by state. Years under examination by foreign tax authorities are 2001 and onward. In addition, transactions between our affiliated entities are arranged in accordance with applicable transfer pricing laws, regulations and relevant guidelines. As a result, and due to the interpretive nature of certain aspects of these laws and guidelines, we have pending applications for APAs before the taxing authorities in some of our most significant jurisdictions. We record incremental tax expense, based upon the more-likely-than-not standard, for any uncertain tax positions. In addition, when applicable, we adjust the previously recorded income tax expense to reflect examination results when the position is effectively settled or otherwise resolved. Our ongoing evaluations of the more-likely-than-not outcomes of the examinations and related tax positions require judgment and can result in adjustments that increase or decrease our effective income tax rate, as well as impact our operating results. The specific timing of when the resolution of each tax position will be reached is uncertain. Changes in unrecognized income tax benefits were as follows for the years ended December 31: 2019 2018 2017 (in millions) Balance, beginning of year $ 117 $ 97 $ 151 Additions based on tax positions related to the current year 22 8 17 Additions for tax positions of prior years 14 19 2 Additions for tax positions of acquired subsidiaries — 6 — Reductions for tax positions due to lapse of statutes of limitations — (12 ) (41 ) Reductions for tax positions of prior years (1 ) — (32 ) Settlements — — — Foreign currency exchange movement — (1 ) — Balance, end of year $ 152 $ 117 $ 97 At December 31, 2019 , the unrecognized income tax benefits would affect our effective income tax rate, if recognized. While the Company believes uncertain tax positions may be settled or resolved within the next twelve months, it is difficult to estimate the income tax impact of these potential resolutions at this time. We recognize accrued interest and any penalties associated with uncertain tax positions as part of our provision for income taxes. The total amount of accrued interest and penalties at December 31, 2019 and 2018 was approximately $16 million and $11 million, respectively, and relates to U.S. and foreign tax matters. The amounts of interest and penalties recorded in the provision for income taxes in 2019 , 2018 and 2017 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | In the normal course of business, we use foreign exchange forward contracts to manage foreign currency exchange rate risk. The estimated fair value of the foreign exchange forward contracts considers the following items: discount rate, timing and amount of cash flow and counterparty credit risk. Derivatives may give rise to credit risks from the possible non-performance by counterparties. Credit risk is limited to the fair value of those contracts that are favorable to us. We have limited our credit risk by entering into derivative transactions only with highly-rated financial institutions, limiting the amount of credit exposure with any one financial institution and conducting ongoing evaluation of the creditworthiness of the financial institutions with which we do business. In addition, all the assets and liabilities related to our foreign exchange forward contracts set forth in the below table are subject to master netting arrangements, such as the ISDA, with each individual counterparty. These master netting arrangements generally provide for net settlement of all outstanding contracts with the counterparty in the case of an event of default or a termination event. We have presented all the assets and liabilities related to our foreign exchange forward contracts on a gross basis, with no offsets, in our consolidated statements of financial position. There is no financial collateral (including cash collateral) posted or received by us related to our foreign exchange forward contracts. The following table provides information on the location and fair values of derivative financial instruments included in our consolidated statements of financial position as of December 31: 2019 2018 Designation of Derivatives Location on Statement of Financial Position Assets Liabilities Assets Liabilities (in millions) Foreign exchange forward contracts - Designated as cash flow hedging instruments Other current assets $ 32 $ — $ 11 $ — Other noncurrent assets 8 — 15 — Accrued expenses and other current liabilities — 7 — 21 Other noncurrent liabilities — 2 — 9 Total 40 9 26 30 Foreign exchange forward contracts - Not designated as cash flow hedging instruments Other current assets 3 — 1 — Accrued expenses and other current liabilities — 1 — 4 Total 3 1 1 4 Total $ 43 $ 10 $ 27 $ 34 Cash Flow Hedges We have entered into a series of foreign exchange forward contracts that are designated as cash flow hedges of Indian rupee denominated payments in India. These contracts are intended to partially offset the impact of movement of exchange rates on future operating costs and are scheduled to mature each month during 2020 and 2021 . Under these contracts, we purchase Indian rupees and sell U.S. dollars. The changes in fair value of these contracts are initially reported in the caption "Accumulated other comprehensive income (loss)" in our consolidated statements of financial position and are subsequently reclassified to earnings in the same period the forecasted Indian rupee denominated payments are recorded in earnings. As of December 31, 2019 , we estimate that $21 million , net of tax, of the net gains related to derivatives designated as cash flow hedges reported in the caption "Accumulated other comprehensive income (loss)" in our consolidated statements of financial position is expected to be reclassified into earnings within the next 12 months. The notional value of our outstanding contracts by year of maturity and the net unrealized gains and losses included in the caption "Accumulated other comprehensive income (loss)" in our consolidated statements of financial position, for such contracts were as follows as of December 31: 2019 2018 (in millions) 2019 $ — $ 1,388 2020 1,505 780 2021 883 — Total notional value of contracts outstanding $ 2,388 $ 2,168 Net unrealized gains (losses) included in accumulated other comprehensive income (loss), net of taxes $ 26 $ (3 ) Upon settlement or maturity of the cash flow hedge contracts, we record the related gains or losses, based on our designation at the commencement of the contract, with the related hedged Indian rupee denominated expense reported within the caption "Cost of revenues" and "Selling, general and administrative expenses" in our consolidated statements of operations. The following table provides information on the location and amounts of pre-tax gains and losses on our cash flow hedges for the year ended December 31: Change in Derivative Gains/Losses Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion) Location of Net Derivative Gains Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion) Net Gains Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion) 2019 2018 2019 2018 (in millions) Foreign exchange forward contracts - Designated as cash flow hedging instruments $ 39 $ (87 ) Cost of revenues $ 3 $ 61 Selling, general and administrative expenses 1 10 Total $ 4 $ 71 The activity related to the change in net unrealized gains and losses on our cash flow hedges included in "Accumulated other comprehensive income (loss)" in our consolidated statements of stockholders equity is presented in Note 14 . Other Derivatives We use foreign exchange forward contracts to provide an economic hedge against balance sheet exposures to certain monetary assets and liabilities denominated in currencies, other than the functional currency of our foreign subsidiaries, primarily the Indian rupee, British pound and Euro. We entered into a series of foreign exchange forward contracts that are scheduled to mature in 2020. Realized gains or losses and changes in the estimated fair value of these derivative financial instruments are recorded in the caption "Foreign currency exchange gains (losses), net" in our consolidated statements of operations. Additional information related to our outstanding foreign exchange forward contracts not designated as hedging instruments was as follows as of December 31: 2019 2018 Notional Market Value Notional Market Value (in millions) Contracts outstanding $ 702 $ 2 $ 507 $ (3 ) The following table provides information on the location and amounts of realized and unrealized pre-tax gains on our other derivative financial instruments for the year ended December 31: Location of Net Gains on Derivative Instruments Amount of Net Gains on Derivative Instruments 2019 2018 (in millions) Foreign exchange forward contracts - Not designated as hedging instruments Foreign currency exchange gains (losses), net $ 8 $ 31 The related cash flow impacts of all of our derivative activities are reflected as cash flows from operating activities. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | We measure our cash equivalents, certain investments, contingent consideration liabilities and foreign exchange forward contracts at fair value. The authoritative guidance defines fair value as the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The authoritative guidance also establishes a fair value hierarchy that is intended to increase consistency and comparability in fair value measurements and related disclosures. The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable or unobservable. Observable inputs reflect assumptions market participants would use in pricing an asset or liability based on market data obtained from independent sources while unobservable inputs reflect a reporting entity’s pricing based upon their own market assumptions. The fair value hierarchy consists of the following three levels: • Level 1 – Inputs are quoted prices in active markets for identical assets or liabilities. • Level 2 – Inputs are quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable and market-corroborated inputs which are derived principally from or corroborated by observable market data. • Level 3 – Inputs are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable. The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of December 31, 2019 : Level 1 Level 2 Level 3 Total (in millions) Cash equivalents: Money market funds $ 1,646 $ — $ — $ 1,646 Short-term investments: Time deposits (1) — 466 — 466 Equity investment security 26 — — 26 Other current assets Foreign exchange forward contracts — 35 — 35 Other noncurrent assets Foreign exchange forward contracts — 8 — 8 Accrued expenses and other current liabilities: Foreign exchange forward contracts — (8 ) — (8 ) Contingent consideration liabilities — — (8 ) (8 ) Other noncurrent liabilities Foreign exchange forward contracts — (2 ) — (2 ) Contingent consideration liabilities — — (30 ) (30 ) (1) Includes $414 million in restricted time deposits. See Note 11 . The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of December 31, 2018 : Level 1 Level 2 Level 3 Total (in millions) Cash equivalents: Money market funds $ 103 $ — $ — $ 103 Bank deposits — 32 — 32 Certificates of deposit and commercial paper — 68 — 68 Short-term investments: Time deposits (1) — 500 — 500 Equity investment security 25 — — 25 Available-for-sale investment securities: U.S. Treasury and agency debt securities 570 55 — 625 Corporate and other debt securities — 416 — 416 Certificates of deposit and commercial paper — 296 — 296 Asset-backed securities — 334 — 334 Municipal debt securities — 89 — 89 Other current assets: Foreign exchange forward contracts — 12 — 12 Other noncurrent assets: Foreign exchange forward contracts — 15 — 15 Accrued expenses and other current liabilities: Foreign exchange forward contracts — (25 ) — (25 ) Other noncurrent liabilities: Foreign exchange forward contracts — (9 ) — (9 ) (1) Includes $423 million in restricted time deposits. See Note 11 We measure the fair value of money market funds and U.S. Treasury securities based on quoted prices in active markets for identical assets and therefore classify these assets as Level 1. The fair value of our equity security invested in an open-ended mutual fund is based on the published daily net asset value at which investors can freely subscribe to or redeem from the fund. The fair value of commercial paper, certificates of deposit, U.S. government agency securities, municipal debt securities, debt securities issued by supranational institutions, U.S. and international corporate bonds and foreign government debt securities is measured based on relevant trade data, dealer quotes, or model-driven valuations using significant inputs derived from or corroborated by observable market data, such as yield curves and credit spreads. We measure the fair value of our asset-backed securities using model-driven valuations based on significant inputs derived from or corroborated by observable market data such as dealer quotes, available trade information, spread data, current market assumptions on prepayment speeds and defaults and historical data on deal collateral performance. The carrying value of the time deposits approximated fair value as of December 31, 2019 and 2018 . We estimate the fair value of each foreign exchange forward contract by using a present value of expected cash flows model. This model calculates the difference between the current market forward price and the contracted forward price for each foreign exchange contract and applies the difference in the rates to each outstanding contract. The market forward rates include a discount and credit risk factor. The amounts are aggregated by type of contract and maturity. We estimate the fair value of our contingent consideration liabilities associated with our acquisitions utilizing one or more significant inputs that are unobservable. We calculate the fair value of the contingent consideration liabilities based on the probability-weighted expected performance of the acquired entity against the target performance metric, discounted to present value when appropriate. Contingent consideration liabilities were immaterial as of December 31, 2018. During the years ended December 31, 2019 , 2018 and 2017 , there were no transfers among Level 1, Level 2 or Level 3 financial assets and liabilities. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | Changes in "Accumulated other comprehensive income (loss)" by component were as follows for the year ended December 31, 2019 : 2019 Before Tax Amount Tax Effect Net of Tax Amount (in millions) Foreign currency translation adjustments: Beginning balance $ (108 ) $ 5 $ (103 ) Change in foreign currency translation adjustments 45 (6 ) 39 Ending balance $ (63 ) $ (1 ) $ (64 ) Unrealized (losses) on available-for-sale investment securities: Beginning balance $ (12 ) $ 4 $ (8 ) Net gains arising during the period 13 (4 ) 9 Reclassification of net gains to Other, net (1 ) — (1 ) Net change 12 (4 ) 8 Ending balance $ — $ — $ — Unrealized (losses) gains on cash flow hedges: Beginning balance $ (4 ) $ 1 $ (3 ) Unrealized gains arising during the period 39 (7 ) 32 Reclassifications of net (gains) to: Cost of revenues (3 ) 1 (2 ) Selling, general and administrative expenses (1 ) — (1 ) Net change 35 (6 ) 29 Ending balance $ 31 $ (5 ) $ 26 Accumulated other comprehensive income (loss): Beginning balance $ (124 ) $ 10 $ (114 ) Other comprehensive income (loss) 92 (16 ) 76 Ending balance $ (32 ) $ (6 ) $ (38 ) Changes in "Accumulated other comprehensive income (loss)" by component were as follows for the years ended December 31, 2018 and 2017 : 2018 2017 Before Tax Amount Tax Effect Net of Tax Amount Before Tax Tax Net of Tax (in millions) Foreign currency translation adjustments: Beginning balance $ (38 ) $ — $ (38 ) $ (149 ) $ — $ (149 ) Change in foreign currency translation adjustments (70 ) 5 (65 ) 111 — 111 Ending balance $ (108 ) $ 5 $ (103 ) $ (38 ) $ — $ (38 ) Unrealized (losses) on available-for-sale investment securities: Beginning balance $ (11 ) $ 4 $ (7 ) $ (6 ) $ 2 $ (4 ) Cumulative effect of change in accounting principle — (1 ) (1 ) — — — Net unrealized (losses) arising during the period (5 ) 2 (3 ) (7 ) 3 (4 ) Reclassification of net losses to Other, net 4 (1 ) 3 2 (1 ) 1 Net change (1 ) — (1 ) (5 ) 2 (3 ) Ending balance $ (12 ) $ 4 $ (8 ) $ (11 ) $ 4 $ (7 ) Unrealized gains (losses) on cash flow hedges: Beginning balance $ 154 $ (39 ) $ 115 $ 51 $ (12 ) $ 39 Unrealized (losses) gains arising during the period (87 ) 23 (64 ) 232 (57 ) 175 Reclassifications of net (gains) losses to: Cost of revenues (61 ) 15 (46 ) (109 ) 26 (83 ) Selling, general and administrative expenses (10 ) 2 (8 ) (20 ) 4 (16 ) Net change (158 ) 40 (118 ) 103 (27 ) 76 Ending balance $ (4 ) $ 1 $ (3 ) $ 154 $ (39 ) $ 115 Accumulated other comprehensive income (loss): Beginning balance $ 105 $ (35 ) $ 70 $ (104 ) $ (10 ) $ (114 ) Other comprehensive income (loss) (229 ) 45 (184 ) 209 (25 ) 184 Ending balance $ (124 ) $ 10 $ (114 ) $ 105 $ (35 ) $ 70 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | We are involved in various claims and legal proceedings arising in the ordinary course of business. We accrue a liability when a loss is considered probable and the amount can be reasonably estimated. When a material loss contingency is reasonably possible but not probable, we do not record a liability, but instead disclose the nature and the amount of the claim, and an estimate of the loss or range of loss, if such an estimate can be made. Legal fees are expensed as incurred. While we do not expect that the ultimate resolution of any existing claims and proceedings (other than the specific matters described below, if decided adversely), individually or in the aggregate, will have a material adverse effect on our financial position, an unfavorable outcome in some or all of these proceedings could have a material adverse impact on results of operations or cash flows for a particular period. This assessment is based on our current understanding of relevant facts and circumstances. As such, our view of these matters is subject to inherent uncertainties and may change in the future. On February 28, 2019, a ruling of the Supreme Court of India interpreting the India Defined Contribution Obligation altered historical understandings of the obligation, extending it to cover additional portions of the employee’s income. As a result, the ongoing contributions of our affected employees and the Company were required to be increased. In the first quarter of 2019, we accrued $117 million with respect to prior periods, assuming retroactive application of the Supreme Court’s ruling, in "Selling, general and administrative expenses" in our consolidated statements of operations. There is significant uncertainty as to how the liability should be calculated as it is impacted by multiple variables, including the period of assessment, the application with respect to certain current and former employees and whether interest and penalties may be assessed. Since the ruling, a variety of trade associations and industry groups have advocated to the Indian government, highlighting the harm to the information technology sector, other industries and job growth in India that would result from a retroactive application of the ruling. It is possible the Indian government will review the matter and there is a substantial question as to whether the Indian government will apply the Supreme Court’s ruling on a retroactive basis. As such, the ultimate amount of our obligation may be materially different from the amount accrued. In February 2019, we completed our previously disclosed internal investigation focused on whether certain payments relating to Company-owned facilities in India were made improperly and in violation of the FCPA and other applicable laws. We also announced a resolution of the previously disclosed investigations by the United States DOJ and SEC into the matters that were the subject of our internal investigation. In connection with this resolution, in February 2019 we paid approximately $28 million to the DOJ and SEC, an amount consistent with our December 31, 2018 accrual for this matter. The DOJ also issued a declination letter, declining to take any additional action against the Company. On October 5, 2016, October 27, 2016 and November 18, 2016, three putative securities class action complaints were filed in the United States District Court for the District of New Jersey, naming us and certain of our current and former officers as defendants. These complaints were consolidated into a single action and on April 7, 2017, the lead plaintiffs filed a consolidated amended complaint on behalf of a putative class of persons and entities who purchased our common stock during the period between February 27, 2015 and September 29, 2016, naming us and certain of our current and former officers as defendants and alleging violations of the Exchange Act, based on allegedly false or misleading statements related to potential violations of the FCPA, our business, prospects and operations, and the effectiveness of our internal controls over financial reporting and our disclosure controls and procedures. The lead plaintiffs seek an award of compensatory damages, among other relief, and their reasonable costs and expenses, including attorneys’ fees. Defendants filed a motion to dismiss the consolidated amended complaint on June 6, 2017. On August 8, 2018, the Court issued an order which granted the motion to dismiss in part, including dismissal of all claims against current officers of the Company, and denied them in part. On September 7, 2018, we filed a motion in the United States District Court for the District of New Jersey to certify the August 8, 2018 order for immediate appeal to the United States Court of Appeals for the Third Circuit pursuant to 28 U.S.C. § 1292(b). On October 18, 2018, the District Court issued an order granting our motion, and staying the action pending the outcome of our appeal petition to the Third Circuit. On October 29, 2018, we filed a petition for permission to appeal with the United States Court of Appeals for the Third Circuit. On March 6, 2019, the Third Circuit denied our petition without prejudice. In an order dated March 19, 2019, the District Court directed the lead plaintiffs to provide the defendants with a proposed amended complaint. On April 26, 2019, lead plaintiffs filed their second amended complaint. We filed a motion to dismiss the second amended complaint on June 10, 2019. On October 31, 2016, November 15, 2016 and November 18, 2016, three putative shareholder derivative complaints were filed in New Jersey Superior Court, Bergen County, naming us, all of our then current directors and certain of our current and former officers as defendants. These actions were consolidated in an order dated January 24, 2017. The complaints assert claims for breach of fiduciary duty, corporate waste, unjust enrichment, abuse of control, mismanagement, and/or insider selling by defendants. On March 16, 2017, the parties filed a stipulation deferring all further proceedings pending a final, non-appealable ruling on the then anticipated motion to dismiss the consolidated putative securities class action. On April 26, 2017, in lieu of ordering the stipulation filed by the parties, the New Jersey Superior Court deferred further proceedings by dismissing the consolidated putative shareholder derivative litigation without prejudice but permitting the parties to file a motion to vacate the dismissal in the future. On February 22, 2017, April 7, 2017 and May 10, 2017, three additional putative shareholder derivative complaints alleging similar claims were filed in the United States District Court for the District of New Jersey, naming us and certain of our current and former directors and officers as defendants. These complaints asserted claims similar to those in the previously-filed putative shareholder derivative actions. In an order dated June 20, 2017, the United States District Court for the District of New Jersey consolidated these actions into a single action, appointed lead plaintiff and lead counsel, and stayed all further proceedings pending a final, non-appealable ruling on the motions to dismiss the consolidated putative securities class action. On October 30, 2018, lead plaintiff filed a consolidated verified derivative complaint. On March 11, 2019, a seventh putative shareholder derivative complaint was filed in the United States District Court for the District of New Jersey, naming us, certain of our current and former directors, and certain of our current and former officers as defendants. The complaint in that action asserts claims similar to those in the previously-filed putative shareholder derivative actions. On May 14, 2019, the Court approved a stipulation that (i) consolidated this action with the putative shareholder derivative suits that were previously filed in the United States District Court for the District of New Jersey; and (ii) stayed all of these suits pending a final, non-appealable order on the motion to dismiss the second amended complaint in the securities class action. We are presently unable to predict the duration, scope or result of the consolidated putative securities class action, the putative shareholder derivative actions or any other lawsuits. As such, we are presently unable to develop a reasonable estimate of a possible loss or range of losses, if any, and thus have not recorded any accruals related to these matters. While the Company intends to defend the lawsuits vigorously, these lawsuits and any other related lawsuits are subject to inherent uncertainties, the actual cost of such litigation will depend upon many unknown factors and the outcome of the litigation is necessarily uncertain. We have indemnification and expense advancement obligations pursuant to our bylaws and indemnification agreements with respect to certain current and former members of senior management and the Company’s directors. In connection with the matters that were the subject of our previously disclosed internal investigation, the DOJ and SEC investigations and the related litigation, we have received and expect to continue to receive requests under such indemnification agreements and our bylaws to provide funds for legal fees and other expenses. We have expensed such costs incurred through December 31, 2019. We have maintained directors and officers insurance and have recorded an insurance receivable of $20 million as of December 31, 2019, reported in "Other current assets," related to the recovery of a portion of the indemnification expenses and costs related to the putative securities class action complaints. We are unable to make a reliable estimate of the eventual cash flows by period related to the indemnification and expense advancement obligations described here. See Note 11 for information relating to the ITD Dispute. Many of our engagements involve projects that are critical to the operations of our clients’ business and provide benefits that are difficult to quantify. Any failure in a client’s systems or our failure to meet our contractual obligations to our clients, including any breach involving a client’s confidential information or sensitive data, or our obligations under applicable laws or regulations could result in a claim for substantial damages against us, regardless of our responsibility for such failure. Although we attempt to contractually limit our liability for damages arising from negligent acts, errors, mistakes, or omissions in rendering our services, there can be no assurance that the limitations of liability set forth in our contracts will be enforceable in all instances or will otherwise protect us from liability for damages. Although we have general liability insurance coverage, including coverage for errors or omissions, there can be no assurance that such coverage will cover all types of claims, continue to be available on reasonable terms or will be available in sufficient amounts to cover one or more large claims, or that the insurer will not disclaim coverage as to any future claim. The successful assertion of one or more large claims against us that exceed or are not covered by our insurance coverage or changes in our insurance policies, including premium increases or the imposition of large deductible or co-insurance requirements, could have a material adverse effect on our business, results of operations, financial position and cash flows for a particular period. |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2019 | |
Retirement Benefits, Description [Abstract] | |
Employee Benefits | We contribute to defined contribution plans in the United States and Europe, including 401(k) savings and supplemental retirement plans in the United States. Total expenses for our contributions to these plans were $117 million, $108 million and $91 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. We maintain employee benefit plans that cover substantially all India-based employees. The employees’ provident fund, pension and family pension plans are statutorily defined contribution retirement benefit plans. Under the plans, employees contribute up to 12.0% of their eligible compensation, which is matched by an equal contribution by the Company. For these plans, we recognized a contribution expense of $101 million, $88 million and $86 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. On February 28, 2019, a ruling of the Supreme Court of India altered historical understandings of the obligation under these plans, extending them to cover additional portions of the employee’s income. In the first quarter of 2019, we accrued $117 million with respect to prior periods, assuming retroactive application of the Supreme Court’s ruling, in "Selling, general and administrative expenses" in our consolidated statements of operations. See Note 15 for further information. We also maintain a gratuity plan in India that is a statutory post-employment benefit plan providing defined lump sum benefits. We make annual contributions to the employees’ gratuity fund established with a government-owned insurance corporation to fund a portion of the estimated obligation. Accordingly, our liability for the gratuity plan reflected the undiscounted benefit obligation payable as of the balance sheet date, which was based upon the employees’ salary and years of service. As of December 31, 2019 and 2018 , the amount accrued under the gratuity plan was $135 million and $141 million, which is net of fund assets of $160 million and $136 million, respectively. Expense recognized by us was $38 million, $53 million and $40 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. |
Stock-Based Compensation Plans
Stock-Based Compensation Plans | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Stock-Based Compensation Plans | The Company's 2017 Incentive Plan and the Purchase Plan provide for the issuance of up to 48.8 million (plus any shares underlying outstanding awards that are forfeited under the 2009 Incentive Plan) and 40.0 million shares, respectively, of Class A common stock to eligible employees. The 2017 Incentive Plan does not affect any awards outstanding under the 2009 Incentive Plan. As of December 31, 2019 , we have 34.3 million and 8.9 million shares available for grant under the 2017 Incentive Plan and the Purchase Plan, respectively. The allocation of total stock-based compensation expense between cost of revenues and selling, general and administrative expenses as well as the related income tax benefit were as follows for the three years ended December 31: 2019 2018 2017 (in millions) Cost of revenues $ 54 $ 62 $ 55 Selling, general and administrative expenses 163 205 166 Total stock-based compensation expense $ 217 $ 267 $ 221 Income tax benefit $ 39 $ 66 $ 101 Restricted Stock Units and Performance Stock Units We granted RSUs that vest proportionately in quarterly or annual installments ranging from one year to four years to employees, including our executive officers. Stock-based compensation expense relating to RSUs is recognized on a straight-line basis over the requisite service period. A summary of the activity for RSUs granted under our stock-based compensation plans as of December 31, 2019 and changes during the year then ended is presented below: Number of Units (in millions) Weighted Average Grant Date Fair Value (in dollars) Unvested at January 1, 2019 5.0 $ 69.64 Granted 3.0 64.12 Vested (2.6 ) 67.43 Forfeited (0.9 ) 70.11 Unvested at December 31, 2019 4.5 $ 67.07 As of December 31, 2019 , $241 million of total remaining unrecognized stock-based compensation cost related to RSUs is expected to be recognized over the weighted-average remaining requisite service period of 1.9 years. The total vesting date fair value of vested RSUs was $170 million , $194 million and $169 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. The weighted-average grant date fair value of RSUs granted in 2019 , 2018 and 2017 was $64.12 , $74.94 and $67.56 , respectively. We granted PSUs that vest over periods ranging from one year to four years to employees, including our executive officers. The vesting of PSUs is contingent on both meeting certain financial performance targets and continued service. Stock-based compensation costs for PSUs that vest proportionally are recognized on a graded-vesting basis over the vesting period based on the most probable outcome of the performance conditions. If the minimum performance targets are not met, no compensation cost is recognized and any recognized compensation cost is reversed. A summary of the activity for PSUs granted under our stock-based compensation plans as of December 31, 2019 and changes during the year then ended is presented below. The presentation reflects the number of PSUs at the maximum performance milestones. Number of Units (in millions) Weighted Average Grant Date Fair Value (in dollars) Unvested at January 1, 2019 3.3 $ 71.59 Granted 2.1 70.77 Vested (1.3 ) 60.05 Forfeited (0.7 ) 75.35 Adjustment at the conclusion of the performance measurement period (1.4 ) 81.77 Unvested at December 31, 2019 2.0 $ 69.73 As of December 31, 2019 , we have estimated that the minimum performance threshold will not be achieved for most outstanding PSU awards. Accordingly, the total remaining unrecognized stock-based compensation cost related to PSUs is immaterial. The total vesting date fair value of vested PSUs was $82 million , $53 million and $60 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. The weighted-average grant date fair value of PSUs granted in 2019 , 2018 and 2017 was $70.77 , $81.98 and $60.77 , respectively. All RSUs and PSUs have dividend equivalent rights, which entitle holders to the same dividend value per share as holders of common stock. Dividend equivalent rights are subject to the same vesting and other terms and conditions as the corresponding unvested RSUs and PSUs and are accumulated and paid when the underlying shares vest. The fair value of RSUs and PSUs is determined based on the number of stock units granted and the quoted price of our stock at date of grant. The Purchase Plan The Purchase Plan provides for eligible employees to purchase shares of Class A common stock at a price of 90% of the lesser of: (a) the fair market value of a share of Class A common stock on the first date of the purchase period or (b) the fair market value of a share of Class A common stock on the last date of the purchase period. Stock-based compensation expense for the Purchase Plan is recognized over the vesting period of three months on a straight-line basis. The fair values of the options granted under the Purchase Plan, were estimated at the date of grant during the years ended December 31, 2019 , 2018 , and 2017 based upon the following assumptions and were as follows: 2019 2018 2017 Dividend yield 1.3 % 1.0 % 1.0 % Weighted average volatility factor 24.9 % 21.0 % 24.3 % Weighted average expected life (in years) 0.25 0.25 0.25 Weighted average risk-free interest rate 2.2 % 1.9 % 0.9 % Weighted average grant date fair value $ 9.82 $ 10.87 $ 9.23 During the year ended December 31, 2019 , we issued 2.8 million shares of Class A common stock under the Purchase Plan with a total fair value of approximately $28 million. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Brackett B. Denniston, III was the Interim General Counsel and an executive officer of the Company from December 2016 until May 15, 2017, during which period Mr. Denniston was also a Senior Counsel at the law firm of Goodwin Procter LLP. During the year ended December 31, 2017 Goodwin performed legal services for the Company for which it earned approximately $4 million . The provision of legal services from Goodwin was reviewed and approved by our Audit Committee. During the years ended December 31, 2019 and 2018, Goodwin was not a related party of the Company. In 2018, we provided $100 million of initial funding to the Cognizant U.S. Foundation, which is focused on science, technology, engineering and math education in the United States. The expense was reported in the caption "Selling, general and administrative expenses" in our consolidated statement of operations. Additionally, two of our executive officers served as directors of the Cognizant U.S. Foundation in 2019 and 2018. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting Information, Revenue for Reportable Segment [Abstract] | |
Segment Information | Our reportable segments are: • Financial Services, which consists of our banking and insurance operating segments; • Healthcare, which consists of our healthcare and life sciences operating segments; • Products and Resources, which consists of our retail and consumer goods; manufacturing, logistics, energy, and utilities; and travel and hospitality operating segments; and • Communications, Media and Technology, which includes our communications and media operating segment and our technology operating segment. Our sales managers, account executives, account managers and project teams are aligned in accordance with the specific industries they serve. Our chief operating decision maker evaluates the Company's performance and allocates resources based on segment revenues and operating profit. Segment operating profit is defined as income from operations before unallocated costs. Generally, operating expenses for each operating segment have similar characteristics and are subject to the same factors, pressures and challenges. However, the economic environment and its effects on industries served by our operating segments may affect revenues and operating expenses to differing degrees. In 2019, we made certain changes to the internal measurement of segment operating profits for the purpose of evaluating segment performance and resource allocation. The primary reason for the change was to charge to our business segments costs that are directly managed and controlled by them. Specifically, segment operating profit now includes certain benefit, immigration, recruitment and sales and field marketing costs, which were previously included in "unallocated costs." We have reported our 2019 segment operating profits using the new allocation methodology and have restated the 2018 results to conform to the new methodology. Additionally, we combined our energy and utilities operating segment with our manufacturing and logistics operating segment for our internal reporting. Our products and resources segment, which was previously comprised of four operating segments ((i) retail and consumer goods; (ii) manufacturing and logistics; (iii) travel and hospitality; and (iv) energy and utilities) is now comprised of three operating segments ((i) retail and consumer goods; (ii) manufacturing, logistics, energy and utilities; and (iii) travel and hospitality). This change reflects how this operating segment is currently managed and reported to chief operating decision makers but will not affect our reportable segment financial results. Expenses included in segment operating profit consist principally of direct selling and delivery costs (including stock-based compensation expense) as well as a per employee charge for use of our global delivery centers and infrastructure. Certain selling, general and administrative expenses, the excess or shortfall of incentive compensation for commercial and delivery personnel as compared to target, costs related to our realignment program, a portion of depreciation and amortization and the impact of the settlements of our cash flow hedges are not allocated to individual segments in internal management reports used by the chief operating decision maker. Accordingly, such expenses are excluded from segment operating profit and are separately disclosed as “unallocated costs” and adjusted against our total income from operations. The incremental accrual related to the India Defined Contribution Obligation recorded in 2019 has been excluded from segment operating profits for the year ended December 31, 2019. Additionally, the initial funding of the Cognizant U.S. Foundation recorded in 2018 has been excluded from segment operating profits for the year ended December 31, 2018. These costs are included in "unallocated costs" in the table below. Additionally, management has determined that it is not practical to allocate identifiable assets by segment, since such assets are used interchangeably among the segments. For revenues by reportable segment and geographic area, please see Note 2 . Segment operating profits by reportable segment were as follows: 2019 2018 2017 (1) (in millions) Financial Services $ 1,605 $ 1,713 $ 1,771 Healthcare 1,261 1,416 1,301 Products and Resources 1,028 1,023 923 Communications, Media and Technology 732 692 601 Total segment operating profit 4,626 4,844 4,596 Less: unallocated costs 2,173 2,043 2,115 Income from operations $ 2,453 $ 2,801 $ 2,481 (1) As described above, in 2019 we made changes to the internal measurement of segment operating profits. While we have restated the 2018 results to conform to the new methodology, it is impracticable for us to restate our 2017 segment operating results as the detailed information required for the allocation of such costs to the segments is not reasonably available. Geographic Area Information Long-lived assets by geographic area are as follows: 2019 2018 2017 (in millions) Long-lived Assets: (1) North America (2) $ 445 $ 436 $ 360 Europe 104 105 63 Rest of World (3) 760 853 901 Total $ 1,309 $ 1,394 $ 1,324 (1) Long-lived assets include property and equipment, net of accumulated depreciation and amortization. (2) Substantially all relates to the United States. (3) Substantially all relates to India. |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Data [Abstract] | |
Quarterly Financial Data (Unaudited) | Summarized quarterly results for the two years ended December 31, 2019 are as follows: Three Months Ended 2019 March 31 June 30 September 30 December 31 Full Year (in millions, except per share data) Revenues 4,110 $ 4,141 $ 4,248 $ 4,284 $ 16,783 Cost of revenues (exclusive of depreciation and amortization expense shown separately below) 2,575 2,629 2,681 2,749 10,634 Selling, general and administrative expenses 871 719 706 676 2,972 Restructuring charges 2 49 65 101 217 Depreciation and amortization expense 123 125 127 132 507 Income from operations 539 619 669 626 2,453 Net income 441 509 497 395 1,842 Basic earnings per share (1) $ 0.77 $ 0.90 $ 0.90 $ 0.72 $ 3.30 Diluted earnings per share (1) $ 0.77 $ 0.90 $ 0.90 $ 0.72 $ 3.29 Three Months Ended 2018 March 31 June 30 September 30 December 31 Full Year (in millions, except per share data) Revenues $ 3,912 $ 4,006 $ 4,078 $ 4,129 $ 16,125 Cost of revenues (exclusive of depreciation and amortization expense shown separately below) 2,401 2,417 2,480 2,540 9,838 Selling, general and administrative expenses 710 805 723 769 3,007 Restructuring charges 1 — 11 7 19 Depreciation and amortization expense 107 114 119 120 460 Income from operations 693 670 745 693 2,801 Net income 520 456 477 648 2,101 Basic earnings per share (1) $ 0.89 $ 0.78 $ 0.82 $ 1.12 $ 3.61 Diluted earnings per share (1) $ 0.88 $ 0.78 $ 0.82 $ 1.12 $ 3.60 (1) The sum of the quarterly basic and diluted earnings per share for each of the four quarters may not equal the earnings per share for the year due to rounding. |
Valuation And Qualifying Accoun
Valuation And Qualifying Accounts | 12 Months Ended |
Dec. 31, 2019 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Valuation And Qualifying Accounts | Valuation and Qualifying Accounts For the Years Ended December 31, 2019 , 2018 and 2017 (in millions) Description Balance at Beginning of Period Charged to Costs and Expenses Charged to Other Accounts Deductions /Other Balance at End of Period (in millions) Trade accounts receivable allowance for doubtful accounts: 2019 $ 78 $ (11 ) $ — $ — $ 67 2018 $ 65 $ 13 $ — $ — $ 78 2017 $ 48 $ 15 $ 3 $ 1 $ 65 Warranty accrual: 2019 $ 32 $ 33 $ — $ 32 $ 33 2018 $ 30 $ 32 $ — $ 30 $ 32 2017 $ 26 $ 30 $ — $ 26 $ 30 Valuation allowance—deferred income tax assets: 2019 $ 11 $ 15 $ — $ 2 $ 24 2018 $ 10 $ 1 $ — $ — $ 11 2017 $ 10 $ — $ — $ — $ 10 |
Subsequent Events (Notes)
Subsequent Events (Notes) | 12 Months Ended |
Dec. 31, 2019 | |
Subsequent Event [Line Items] | |
Subsequent Events [Text Block] | Dividend On February 3, 2020, our Board of Directors approved the Company's declaration of a $0.22 per share dividend with a record date of February 18, 2020 and a payment date of February 28, 2020. Share Repurchase Program In February 2020, our Board of Directors increased our stock repurchase program authorization from $5.5 billion to $7.5 billion |
Business Description and Summ_2
Business Description and Summary of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation And Principles of Consolidation | Basis of Presentation, Principles of Consolidation and Use of Estimates. The consolidated financial statements are presented in accordance with GAAP and reflect the consolidated financial position, results of operations, comprehensive income and cash flows of our consolidated subsidiaries for all periods presented. All intercompany balances and transactions have been eliminated in consolidation. |
Cash And Cash Equivalents And Investments | Cash and Cash Equivalents and Investments. Cash and cash equivalents consist of all cash balances, including money market funds, certificates of deposits and commercial paper that have a maturity, at the date of purchase, of 90 days or less. We determine the appropriate classification of our investments in marketable securities at the date of purchase and reevaluate such designation at each balance sheet date. Our held-to-maturity investment securities are financial instruments for which we have the intent and ability to hold to maturity and we classify these securities with maturities less than one year as short-term investments. Any held-to-maturity investment securities with maturities beyond one year from the balance sheet date are classified as noncurrent. Held-to-maturity securities are reported at amortized cost. Interest and amortization of premiums and discounts for debt securities are included in interest income. On a quarterly basis, we evaluate our held-to-maturity investments for possible other-than-temporary impairment by reviewing quantitative and qualitative factors. If we do not intend to sell the security and it is not more likely than not that we will be required to sell the security before recovery of our amortized cost, we evaluate quantitative and qualitative criteria to determine whether we expect to recover the amortized cost basis of the security. If we do not expect to recover the entire amortized cost basis of the security, we consider the security to be other-than-temporarily impaired and we record the difference between the security’s amortized cost basis and its recoverable amount in earnings and the difference between the security’s recoverable amount and fair value in other comprehensive income. If the fair value of the security is less than its cost basis and if we intend to sell the security or it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis, the security is also considered other-than-temporarily impaired and we recognize the entire difference between the security’s amortized cost basis and its fair value in earnings. |
Allowance For Doubtful Accounts | Allowance for Doubtful Accounts. We maintain an allowance for doubtful accounts to provide for the estimated amount of trade accounts receivables that may not be collected. The allowance is based upon an assessment of client creditworthiness, historical payment experience, the age of outstanding receivables and other applicable factors. We evaluate the collectability of our trade accounts receivable on an on-going basis and write off accounts when they are deemed to be uncollectable. |
Short-Term Financial Assets And Liabilities | Short-term Financial Assets and Liabilities. Cash and certain cash equivalents, trade receivables, accounts payable and other accrued liabilities are short-term in nature and, accordingly, their carrying values approximate fair value. |
Property And Equipment | Property and Equipment. Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated on a straight-line basis over the estimated useful lives of the assets. Leasehold improvements are amortized on a straight-line basis over the shorter of the term of the lease or the estimated useful life of the asset. Deposits paid towards acquisition of long-lived assets and the cost of assets not put in use before the balance sheet date are disclosed under the caption "Capital work-in-progress" in Note 6 . |
Lessee, Leases | Leases. Our lease asset classes primarily consist of operating leases for office space, data centers and equipment. At inception of a contract, we determine whether a contract contains a lease, and if a lease is identified, whether it is an operating or finance lease. In determining whether a contract contains a lease we consider whether (1) we have the right to obtain substantially all of the economic benefits from the use of the asset throughout the term of the contract, (2) we have the right to direct how and for what purpose the asset is used throughout the term of the contract and (3) we have the right to operate the asset throughout the term of the contract without the lessor having the right to change the terms of the contract. Some of our lease agreements contain both lease and non-lease components that we account for as a single lease component for all of our lease asset classes. Our ROU lease assets represent our right to use an underlying asset for the lease term and may include any advance lease payments made and any initial direct costs, and exclude lease incentives. Our lease liabilities represent our obligation to make lease payments arising from the contractual terms of the lease. ROU lease assets and lease liabilities are recognized at the commencement of the lease and are calculated using the present value of lease payments over the lease term. Typically, our lease agreements do not provide sufficient detail to arrive at an implicit interest rate. Therefore, we use our estimated country-specific incremental borrowing rate based on information available at the commencement date of the lease to calculate the present value of the lease payments. In estimating our country-specific incremental borrowing rates, we consider market rates of comparable collateralized borrowings for similar terms. Our lease terms may include the option to extend or terminate the lease before the end of the contractual lease term. Our ROU lease assets and lease liabilities include these options when it is reasonably certain that they will be exercised. A portion of our real estate lease costs is subject to annual changes in the CPI. The changes to the CPI are treated as variable lease payments and are recognized in the period in which the obligation for those payments is incurred. Other variable lease costs primarily relate to adjustments for common area maintenance, utilities and property tax. These variable costs are recognized in the period in which the obligation for those payments is incurred. Prior to the adoption of the New Lease Standard on January 1, 2019, we were not required to recognize ROU lease assets and lease liabilities on our consolidated statement of financial position for operating leases. See Note 7 for additional information on the impact of adoption of this standard. |
Internal Use Software | Internal Use Software. We capitalize certain costs that are incurred to purchase, develop and implement internal-use software during the application development phase, which primarily include coding, testing and certain data conversion activities. Capitalized costs are amortized on a straight-line basis over the useful life of the software. Costs incurred in performing planning and post-implementation activities are expensed as incurred. |
Software to be Sold Leased or Marketed | Software to be Sold, Leased or Marketed. We capitalize costs incurred after technological feasibility is reached but before software is available for general release to clients, which primarily include coding and testing activities. Once the product is ready for general release, capitalized costs are amortized over the useful life of the software. |
Business Combinations | Business Combinations. We account for business combinations using the acquisition method, which requires the identification of the acquirer, the determination of the acquisition date and the allocation of the purchase price paid by the acquirer to the identifiable tangible and intangible assets acquired, the liabilities assumed, including any contingent consideration and any noncontrolling interest in the acquiree at their acquisition date fair values. Goodwill represents the excess of the purchase price over the fair value of net assets acquired, including the amount assigned to identifiable intangible assets. Identifiable intangible assets with finite lives are amortized over their useful lives. Acquisition-related costs are expensed in the periods in which the costs are incurred. The results of operations of acquired businesses are included in our consolidated financial statements from the acquisition date . During the fourth quarter of 2019, the Company adjusted the allocation of the purchase price of certain prior period acquisitions that included revenue contracts with the sellers of the acquired businesses. As a result, we recorded a balance sheet adjustment to decrease total assets (primarily impacting intangible assets, goodwill and deferred income taxes) and total liabilities (primarily impacting deferred revenue) by approximately $70 million each. The impact of the adjustment to our operating results was immaterial. Management concluded that the adjustment was not material to any previously issued consolidated financial statements or to the consolidated financial statements as of and for the year ended December 31, 2019. |
Equity Method Investments And Cost Method Investments | Equity Method Investments. Equity investments that give us the ability to exercise significant influence, but not control, over an investee are accounted for using the equity method of accounting and recorded in the caption "Long-term investments" on our consolidated statements of financial position. Equity method investments are initially recorded at cost. We periodically review the carrying value of our equity method investments to determine if there has been an other-than-temporary decline in carrying value. The Company's proportionate share of the net income or loss of the investee is recorded in the caption "Income (loss) from equity method investments" on our consolidated statements of operations. The investment balance is increased or decreased for cash contributions or distributions to or from these investees. |
Long-Lived Assets And Finite-Lived Intangibles | Long-lived Assets and Finite-lived Intangible Assets. We review long-lived assets and certain finite-lived identifiable intangibles for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset group may not be recoverable. We recognize an impairment loss when the sum of undiscounted expected future cash flows is less than the carrying amount of such asset groups. The impairment loss is determined as the amount by which the carrying amount of the asset group exceeds its fair value. Intangible assets consist primarily of client relationships and developed technology, which are being amortized on a straight-line basis over their estimated useful lives. |
Goodwill And Indefinite-Lived intangibles | Goodwill and Indefinite-lived Intangible Assets. We evaluate goodwill and indefinite-lived intangible assets for impairment at least annually, or as circumstances warrant. Goodwill is evaluated at the reporting unit level by comparing the fair value of the reporting unit with its carrying amount including goodwill. An impairment of goodwill exists if the carrying amount of the reporting unit exceeds its fair value. The impairment loss is the amount by which the carrying amount exceeds the reporting unit’s fair value, limited to the total amount of goodwill allocated to that reporting unit. For indefinite-lived intangible assets, if our annual qualitative assessment indicates that it is more-likely-than-not that an indefinite-lived intangible asset is impaired, we test the assets for impairment by comparing the fair value of such assets to their carrying value. If an impairment is indicated, a write down to the fair value of indefinite-lived intangible asset is recorded. |
Stock Repurchase Program | Stock Repurchase Program. Under the Board of Directors authorized stock repurchase program, the Company is authorized to repurchase its Class A common stock through open market purchases, including under a trading plan adopted pursuant to Rule 10b5-1 of the Exchange Act, or in private transactions, including through ASR agreements entered into with financial institutions, in accordance with applicable federal securities laws. We account for the repurchased shares as constructively retired. Shares are returned to the status of authorized and unissued shares at the time of repurchase or in the periods they are delivered, if repurchased under an ASR. To reflect share repurchases in the consolidated statements of financial position, we (1) reduce common stock for the par value of the shares, (2) reduce additional paid-in capital for the amount in excess of par during the period in which the shares are repurchased and (3) record any residual amount in excess of available additional paid-in capital to retained earnings. Upfront payments related to ASRs are accounted for as a reduction to stockholders’ equity in the consolidated statements of financial position in the period the payments are made. |
Revenue Recognition | Revenue Recognition. We recognize revenues as we transfer control of deliverables (products, solutions and services) to our clients in an amount reflecting the consideration to which we expect to be entitled. To recognize revenues, we apply the following five step approach: (1) identify the contract with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenues when a performance obligation is satisfied. We account for a contract when it has approval and commitment from all parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. We apply judgment in determining the customer’s ability and intention to pay based on a variety of factors including the customer’s historical payment experience. For performance obligations where control is transferred over time, revenues are recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the deliverables to be provided. Revenues related to fixed-price contracts for application development and systems integration services, consulting or other technology services are recognized as the service is performed using the cost to cost method, under which the total value of revenues is recognized on the basis of the percentage that each contract’s total labor cost to date bears to the total expected labor costs. Revenues related to fixed-price application maintenance, testing and business process services are recognized based on our right to invoice for services performed for contracts in which the invoicing is representative of the value being delivered. If our invoicing is not consistent with value delivered, revenues are recognized as the service is performed based on the cost to cost method described above. The cost to cost method requires estimation of future costs, which is updated as the project progresses to reflect the latest available information; such estimates and changes in estimates involve the use of judgment. The cumulative impact of any revision in estimates is reflected in the financial reporting period in which the change in estimate becomes known and any anticipated losses on contracts are recognized immediately. Revenues related to fixed-price hosting and infrastructure services are recognized based on our right to invoice for services performed for contracts in which the invoicing is representative of the value being delivered. If our invoicing is not consistent with value delivered, revenues are recognized on a straight-line basis unless revenues are earned and obligations are fulfilled in a different pattern. The revenue recognition method applied to the types of contracts described above provides the most faithful depiction of performance towards satisfaction of our performance obligations; for example, the cost to cost method is used when the value of services provided to the customer is best represented by the costs expended to deliver those services. Revenues related to our time-and-materials, transaction-based or volume-based contracts are recognized over the period the services are provided either using an output method such as labor hours, or a method that is otherwise consistent with the way in which value is delivered to the customer. Revenues related to our non-hosted software license arrangements that do not require significant modification or customization of the underlying software are recognized when the software is delivered as control is transferred at a point in time. For software license arrangements that require significant functionality enhancements or modification of the software, revenues for the software license and related services are recognized as the services are performed in accordance with the methods applicable to application development and systems integration services described above. In software hosting arrangements, the rights provided to the customer, such as ownership of a license, contract termination provisions and the feasibility of the client to operate the software, are considered in determining whether the arrangement includes a license or a service. Sales and usage-based fees promised in exchange for licenses of intellectual property are not recognized as revenue until the uncertainty related to the variable amounts is resolved. Revenues related to software maintenance and support are generally recognized on a straight-line basis over the contract period. Incentive revenues, volume discounts, or any other form of variable consideration is estimated using either the sum of probability weighted amounts in a range of possible consideration amounts (expected value), or the single most likely amount in a range of possible consideration amounts (most likely amount), depending on which method better predicts the amount of consideration to which we may be entitled. We include in the transaction price variable consideration only to the extent it is probable that a significant reversal of revenues recognized will not occur when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether and when to include estimated amounts in the transaction price may involve judgment and are based largely on an assessment of our anticipated performance and all information that is reasonably available to us. Revenues also include the reimbursement of out-of-pocket expenses. Our warranties generally provide a customer with assurance that the related deliverable will function as the parties intended because it complies with agreed-upon specifications and is therefore not considered an additional performance obligation in the contract. We may enter into arrangements that consist of multiple performance obligations. Such arrangements may include any combination of our deliverables. To the extent a contract includes multiple promised deliverables, we apply judgment to determine whether promised deliverables are capable of being distinct and are distinct in the context of the contract. If these criteria are not met, the promised deliverables are accounted for as a combined performance obligation. For arrangements with multiple distinct performance obligations, we allocate consideration among the performance obligations based on their relative standalone selling price. Standalone selling price is the price at which we would sell a promised good or service separately to the customer. When not directly observable, we typically estimate standalone selling price by using the expected cost plus a margin approach. We typically establish a standalone selling price range for our deliverables, which is reassessed on a periodic basis or when facts and circumstances change. We assess the timing of the transfer of goods or services to the customer as compared to the timing of payments to determine whether a significant financing component exists. As a practical expedient, we do not assess the existence of a significant financing component when the difference between payment and transfer of deliverables is a year or less. If the difference in timing arises for reasons other than the provision of finance to either the customer or us, no financing component is deemed to exist. The primary purpose of our invoicing terms is to provide customers with simplified and predictable ways of purchasing our services, not to receive or provide financing from or to customers. We do not consider set up or transition fees paid upfront by our customers to represent a financing component, as such fees are required to encourage customer commitment to the project and protect us from early termination of the contract. Our contracts may be modified to add, remove or change existing performance obligations. The accounting for modifications to our contracts involves assessing whether the services added to an existing contract are distinct and whether the pricing is at the standalone selling price. Services added that are not distinct are accounted for on a cumulative catch up basis, while those that are distinct are accounted for prospectively, either as a separate contract if the additional services are priced at the standalone selling price, or as a termination of the existing contract and creation of a new contract if not priced at the standalone selling price. Services added to our application development and systems integration service contracts are typically not distinct, while services added to our other contracts, including application maintenance, testing and business process services contracts, are typically distinct. From time to time, we may enter into arrangements with third party suppliers to resell products or services. In such cases, we evaluate whether we are the principal (i.e., report revenues on a gross basis) or agent (i.e., report revenues on a net basis). In doing so, we first evaluate whether we control the good or service before it is transferred to the customer. If we control the good or service before it is transferred to the customer, we are the principal; if not, we are the agent. Determining whether we control the good or service before it is transferred to the customer may require judgment. Prior to the adoption of the New Revenue Standard on January 1, 2018, revenues were earned and recognized when all of the following criteria were met: evidence of an arrangement existed, the price was fixed or determinable, the services had been rendered and collectability was reasonably assured. Contingent or incentive revenues were recognized when the contingency was satisfied and we concluded the amounts were earned. Volume discounts were recorded as a reduction of revenues as services were provided. Revenues also included the reimbursement of out-of-pocket expenses. Trade Accounts Receivable, Contract Assets and Contract Liabilities. We classify our right to consideration in exchange for deliverables as either a receivable or a contract asset. A receivable is a right to consideration that is unconditional (i.e., only the passage of time is required before payment is due). For example, we recognize a receivable for revenues related to our time and materials and transaction or volume-based contracts when earned regardless of whether amounts have been billed. We present such receivables in "Trade accounts receivable, net" in our consolidated statements of financial position at their net estimated realizable value. A contract asset is a right to consideration that is conditional upon factors other than the passage of time. Contract assets are presented in "Other current assets" in our consolidated statements of financial position and primarily relate to unbilled amounts on fixed-price contracts utilizing the cost to cost method of revenue recognition. Our contract liabilities, or deferred revenue, consist of advance payments from clients and billings in excess of revenues recognized. We classify deferred revenue as current or noncurrent based on the timing of when we expect to recognize the revenues. During the fourth quarter of 2019, we determined that it is preferable to change our accounting policy to net certain amounts due to customers, such as discounts and rebates, with trade accounts receivable, in order to better align with industry practice and better reflect amounts due from our customers on our consolidated statements of financial position. As a result, we netted $99 million of amounts due to customers, which would have otherwise been included in the caption "Accrued expenses and other current liabilities", within the caption "Trade accounts receivable, net" in our consolidated statement of financial position as of December 31, 2019. We applied this change in accounting policy retrospectively and decreased "Trade accounts receivable, net" and "Accrued expenses and other current liabilities" by $67 million as of December 31, 2018. The impact of the adjustment to our consolidated statements of financial position was immaterial for all periods presented and there was no impact to our operating results or cash flows. Our contract assets and contract liabilities are reported on a net basis by contract at the end of each reporting period. The difference between the opening and closing balances of our contract assets and contract liabilities primarily results from the timing difference between our performance obligations and the client’s payment. We receive payments from clients based on the terms established in our contracts, which vary by contract type. Allowance for Doubtful Accounts. We maintain an allowance for doubtful accounts to provide for the estimated amount of trade accounts receivables that may not be collected. The allowance is based upon an assessment of client creditworthiness, historical payment experience, the age of outstanding receivables and other applicable factors. We evaluate the collectability of our trade accounts receivable on an on-going basis and write off accounts when they are deemed to be uncollectable. Costs to Fulfill. Recurring operating costs for contracts with customers are recognized as incurred. Certain eligible, nonrecurring costs (i.e., set-up or transition costs) are capitalized when such costs (1) relate directly to the contract, (2) generate or enhance resources of the Company that will be used in satisfying the performance obligation in the future, and (3) are expected to be recovered. These costs are expensed ratably over the estimated life of the customer relationship, including expected contract renewals. In determining the estimated life of the customer relationship, we evaluate the average contract term, on a portfolio basis by nature of the services to be provided, and apply judgment in evaluating the rate of technological and industry change. Capitalized amounts are monitored regularly for impairment. Impairment losses are recorded when projected remaining undiscounted operating cash flows are not sufficient to recover the carrying amount of the capitalized costs to fulfill. |
Accounts Receivable [Policy Text Block] | Trade Accounts Receivable, Contract Assets and Contract Liabilities. We classify our right to consideration in exchange for deliverables as either a receivable or a contract asset. A receivable is a right to consideration that is unconditional (i.e., only the passage of time is required before payment is due). For example, we recognize a receivable for revenues related to our time and materials and transaction or volume-based contracts when earned regardless of whether amounts have been billed. We present such receivables in "Trade accounts receivable, net" in our consolidated statements of financial position at their net estimated realizable value. A contract asset is a right to consideration that is conditional upon factors other than the passage of time. Contract assets are presented in "Other current assets" in our consolidated statements of financial position and primarily relate to unbilled amounts on fixed-price contracts utilizing the cost to cost method of revenue recognition. Our contract liabilities, or deferred revenue, consist of advance payments from clients and billings in excess of revenues recognized. We classify deferred revenue as current or noncurrent based on the timing of when we expect to recognize the revenues. During the fourth quarter of 2019, we determined that it is preferable to change our accounting policy to net certain amounts due to customers, such as discounts and rebates, with trade accounts receivable, in order to better align with industry practice and better reflect amounts due from our customers on our consolidated statements of financial position. As a result, we netted $99 million of amounts due to customers, which would have otherwise been included in the caption "Accrued expenses and other current liabilities", within the caption "Trade accounts receivable, net" in our consolidated statement of financial position as of December 31, 2019. We applied this change in accounting policy retrospectively and decreased "Trade accounts receivable, net" and "Accrued expenses and other current liabilities" by $67 million as of December 31, 2018. The impact of the adjustment to our consolidated statements of financial position was immaterial for all periods presented and there was no impact to our operating results or cash flows. Our contract assets and contract liabilities are reported on a net basis by contract at the end of each reporting period. The difference between the opening and closing balances of our contract assets and contract liabilities primarily results from the timing difference between our performance obligations and the client’s payment. We receive payments from clients based on the terms established in our contracts, which vary by contract type. |
Stock-Based Compensation | Stock-Based Compensation. Stock-based compensation expense for awards of equity instruments to employees and non-employee directors is determined based on the grant date fair value of those awards. We recognize these compensation costs net of an estimated forfeiture rate over the requisite service period of the award. Forfeitures are estimated on the date of grant and revised if actual or expected forfeiture activity differs materially from original estimates. |
Foreign Currency | Foreign Currency. The assets and liabilities of our foreign subsidiaries whose functional currency is not the U.S. dollar are translated into U.S. dollars from functional currencies at current exchange rates while revenues and expenses are translated from functional currencies at average monthly exchange rates. The resulting translation adjustments are recorded in the caption "Accumulated other comprehensive income (loss)" on the consolidated statements of financial position. Foreign currency transactions and balances are those that are denominated in a currency other than the entity’s functional currency. The entity's functional currency is the currency of the primary economic environment in which it operates. The U.S. dollar is the functional currency for some of our foreign subsidiaries. For these subsidiaries, transactions and balances denominated in the local currency are foreign currency transactions. Foreign currency transactions and balances related to non-monetary assets and liabilities are remeasured to the functional currency of the entity at historical exchange rates while monetary assets and liabilities are remeasured to the functional currency of the entity at current exchange rates. Foreign currency exchange gains or losses from remeasurement are included in the caption "Foreign currency exchange gain (losses), net" on our consolidated statements of operations together with gains or losses on our undesignated foreign currency hedges. |
Derivative Financial Instruments | Derivative Financial Instruments. Derivative financial instruments are recorded on our consolidated statements of financial position as either an asset or liability measured at its fair value as of the reporting date. Our derivative financial instruments consist primarily of foreign exchange forward contracts. For derivative financial instruments to qualify for hedge accounting, the following criteria must be met: (1) the hedging instrument must be designated as a hedge; (2) the hedged exposure must be specifically identifiable and must expose us to risk; and (3) it must be expected that a change in fair value of the derivative financial instrument and an opposite change in the fair value of the hedged exposure will have a high degree of correlation. Changes in our derivatives’ fair values are recognized in net income unless specific hedge accounting and documentation criteria are met (i.e., the instruments are designated and accounted for as hedges). We record the effective portion of the unrealized gains and losses on our derivative financial instruments that are designated as cash flow hedges in the caption "Accumulated other comprehensive income (loss)" in the consolidated statements of financial position. Any ineffectiveness or excluded portion of a designated cash flow hedge is recognized in net income. Upon occurrence of the hedged transaction, the gains and losses on the derivative are recognized in net income. |
Use Of Estimates | The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts in the consolidated financial statements and accompanying disclosures. We evaluate our estimates on a continuous basis. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. The actual amounts may vary from the estimates used in the preparation of the accompanying consolidated financial statements. We have reclassified certain prior period amounts to conform to current period presentation. |
Income Taxes | Income Taxes. We provide for income taxes utilizing the asset and liability method of accounting. Under this method, deferred income taxes are recorded to reflect the tax consequences in future years of differences between the tax basis of assets and liabilities and their financial reporting amounts at each balance sheet date, based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. If it is determined that it is more likely than not that future tax benefits associated with a deferred income tax asset will not be realized, a valuation allowance is provided. The effect of a change in tax rates on deferred income tax assets and liabilities is recognized in the provision for income taxes in the period that includes the enactment date. Our provision for income taxes also includes the impact of provisions established for uncertain income tax positions, as well as any related penalties and interest. We adjust these reserves in light of changing facts and circumstances, such as the closing of a tax audit. To the extent that the final outcome of these matters differs from the amounts recorded, such differences will impact the provision for income taxes in the period in which such determination is made. |
Earnings Per Share, Or EPS | Earnings Per Share. Basic EPS is computed by dividing earnings available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted EPS includes all potential dilutive common stock in the weighted average shares outstanding. We exclude from the calculation of diluted EPS options with exercise prices that are greater than the average market price and shares related to stock-based awards whose combined exercise price and unamortized fair value were greater in each of those periods than the average market price of our common stock for the period, because their effect would be anti-dilutive. We excluded less than 1 million of anti-dilutive shares in each of 2019 , 2018 and 2017 from our diluted EPS calculation. We include performance stock unit awards in the dilutive potential common shares when they become contingently issuable per the authoritative guidance and exclude the awards when they are not contingently issuable. |
Recently Adopted/ New Accounting Pronouncements | Recently Adopted Accounting Pronouncements Date Issued and Topic Date Adopted and Method Description Impact May 2014 Revenue January 1, 2018 Modified Retrospective The new standard, as amended, sets forth a single comprehensive model for recognizing and reporting revenues. The standard also requires additional financial statement disclosures that enable users to understand the nature, amount, timing and uncertainty of revenues and cash flows relating to customer contracts. The standard allows for two methods of adoption: the full retrospective adoption, which requires the standard to be applied to each prior period presented, or the modified retrospective adoption, which requires the cumulative effect of adoption to be recognized as an adjustment to opening retained earnings in the period of adoption. As a result of the adoption, we recorded an adjustment to opening retained earnings of approximately $121 million. February 2016 January 1, 2019 Effective Date Method The new standard replaces the existing guidance on leases and requires the lessee to recognize a ROU asset and a lease liability for all leases with lease terms greater than twelve months. For finance leases, the lessee recognizes interest expense and amortization of the ROU asset, and for operating leases, the lessee recognizes total lease expense on a straight-line basis. The standard offers several practical expedients for transition and certain expedients specific to lessees or lessors. The standard allows for two methods of adoption: retrospective to each prior reporting period presented with the cumulative effect of adoption recognized at the beginning of the earliest period presented or the effective date method, which is retrospective to the beginning of the period of adoption through a cumulative-effect adjustment. See Note 7 for the impact of adoption of this standard. March 2017 January 1, 2019 Modified Retrospective This update shortens the amortization period for certain callable debt securities held at a premium to the earliest call date. The amendments do not require an accounting change for securities held at a discount. Upon adoption, entities are required to use a modified retrospective transition with the cumulative effect adjustment recognized to retained earnings as of the beginning of the period of adoption. The adoption of this update did not have an impact on our consolidated financial statements. August 2018 Early adoption on January 1, 2019 Prospective This update aligns the accounting for costs incurred to implement a CCA that is a service arrangement with the guidance on capitalizing costs associated with developing or obtaining internal-use software. In addition, this update clarifies the financial statement presentation requirement for capitalized implementation costs and related amortization of such costs. The adoption of this update did not have an impact on our consolidated financial statements. New Accounting Pronouncement Date Issued and Topic Effective Date Description Impact June 2016 January 1, 2020 The new standard requires the measurement and recognition of expected credit losses using the current expected credit loss model for financial assets held at amortized cost, which includes the Company’s trade accounts receivable, certain financial instruments and contract assets. It replaces the existing incurred loss impairment model with an expected loss methodology. The recorded credit losses are adjusted each period for changes in expected lifetime credit losses. The standard requires a cumulative effect adjustment to the statement of financial position as of the beginning of the first reporting period in which the guidance is effective. We do not expect the adoption of this update to have a material impact on our financial statements. |
Revenues (Tables)
Revenues (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenues [Abstract] | |
Capitalized Contract Cost | Costs to Fulfill The following table presents information related to the capitalized costs to fulfill, such as setup or transition activities . Costs to fulfill are recorded in "Other noncurrent assets" in our consolidated statements of financial position and the amortization expense of costs to fulfill is included in "Cost of revenues" in our consolidated statement of operations. Costs to obtain contracts were immaterial for the period disclosed. 2019 2018 (in millions) Beginning balance $ 400 $ 303 Costs capitalized 189 167 Amortization expense (79 ) (70 ) Impairment charge (25 ) — Ending balance $ 485 $ 400 |
Contract with Customer, Asset and Liability | The table below shows significant movements in contract assets: 2019 2018 (in millions) Beginning balance $ 305 $ 306 Revenues recognized during the period but not billed 313 285 Amounts reclassified to trade accounts receivable (284 ) (286 ) Ending balance $ 334 $ 305 Our contract liabilities, or deferred revenue, consist of advance payments and billings in excess of revenues recognized. The table below shows significant movements in the deferred revenue balances (current and noncurrent): 2019 2018 (in millions) Beginning balance $ 348 $ 431 Amounts billed but not recognized as revenues 319 204 Revenues recognized related to the opening balance of deferred revenue (261 ) (287 ) Other (1) (70 ) — Ending balance $ 336 $ 348 |
Disaggregation of Revenue | Disaggregation of Revenues The tables below present disaggregated revenues from contracts with clients by client location, service line and contract-type for each of our business segments. We believe this disaggregation best depicts how the nature, amount, timing and uncertainty of our revenues and cash flows are affected by industry, market and other economic factors. Our consulting and technology services include consulting, application development, systems integration, and application testing services as well as software solutions and related services while our outsourcing services include application maintenance, infrastructure and business process services. Revenues are attributed to geographic regions based upon client location. Substantially all of the revenue in our North America region relates to operations in the United States. Year Ended December 31, 2019 Financial Services Healthcare Products and Resources Communications, Media and Technology Total (in millions) Revenues Geography: North America $ 4,137 $ 4,147 $ 2,678 $ 1,764 $ 12,726 United Kingdom 484 130 380 319 1,313 Continental Europe 728 341 453 169 1,691 Europe - Total 1,212 471 833 488 3,004 Rest of World 520 77 259 197 1,053 Total $ 5,869 $ 4,695 $ 3,770 $ 2,449 $ 16,783 Service line: Consulting and technology services $ 3,782 $ 2,564 $ 2,295 $ 1,305 $ 9,946 Outsourcing services 2,087 2,131 1,475 1,144 6,837 Total $ 5,869 $ 4,695 $ 3,770 $ 2,449 $ 16,783 Type of contract: Time and materials $ 3,651 $ 1,845 $ 1,632 $ 1,528 $ 8,656 Fixed-price 1,922 1,635 1,730 803 6,090 Transaction or volume-based 296 1,215 408 118 2,037 Total $ 5,869 $ 4,695 $ 3,770 $ 2,449 $ 16,783 Year Ended December 31, 2018 Financial Services Healthcare Products and Resources Communications, Media and Technology Total (in millions) Revenues (1) Geography: North America $ 4,162 $ 4,254 $ 2,397 $ 1,480 $ 12,293 United Kingdom 481 91 358 344 1,274 Continental Europe 666 270 440 187 1,563 Europe - Total 1,147 361 798 531 2,837 Rest of World 536 53 220 186 995 Total $ 5,845 $ 4,668 $ 3,415 $ 2,197 $ 16,125 Service line: Consulting and technology services $ 3,571 $ 2,553 $ 2,024 $ 1,161 $ 9,309 Outsourcing services 2,274 2,115 1,391 1,036 6,816 Total $ 5,845 $ 4,668 $ 3,415 $ 2,197 $ 16,125 Type of contract: Time and materials $ 3,762 $ 1,836 $ 1,506 $ 1,366 $ 8,470 Fixed-price 1,859 1,852 1,521 734 5,966 Transaction or volume-based 224 980 388 97 1,689 Total $ 5,845 $ 4,668 $ 3,415 $ 2,197 $ 16,125 (1) On January 1, 2018, we adopted the New Revenue Standard using the modified retrospective method. Results for reporting periods beginning on or after January 1, 2018 are presented under the New Revenue Standard, while prior period amounts are not adjusted and continue to be reported in accordance with our historical accounting policies. |
Business Combinations (Tables)
Business Combinations (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Business Acquisition [Line Items] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The allocation of purchase price to the fair value of the aggregate assets acquired and liabilities assumed was as follows: Fair Value Weighted Average Useful Life (in millions) Cash $ 8 Current assets 47 Property, plant and equipment and other noncurrent assets 19 Non-deductible goodwill 125 Customer relationship intangible assets 147 10.6 years Other intangible assets 4 2.4 years Current liabilities (50 ) Noncurrent liabilities (67 ) Purchase price $ 233 The allocation of purchase price to the fair value of the aggregate assets acquired and liabilities assumed was as follows: Softvision Bolder Others Total Weighted Average Useful Life ( dollars in millions) Cash $ 4 $ 7 $ 4 $ 15 Current assets 54 32 15 101 Property, plant and equipment and other noncurrent assets 7 7 1 15 Non-deductible goodwill 385 335 76 796 Customer relationship intangible assets 133 113 30 276 10.3 years Other intangible assets 9 17 1 27 3.7 years Trademark — 9 — 9 Indefinite Current liabilities (47 ) (11 ) (9 ) (67 ) Noncurrent liabilities (4 ) (37 ) (9 ) (50 ) Purchase price $ 541 $ 472 $ 109 $ 1,122 |
Restructuring Charges (Tables)
Restructuring Charges (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Restructuring Charges [Abstract] | |
Restructuring Charges | Charges related to our realignment program and our 2020 Fit for Growth Plan were as follows: Years Ended December 31, 2019 2018 2017 (in millions) Realignment Program: Employee separation costs $ 64 $ 18 $ 53 Executive Transition Costs 22 — — Employee retention costs 45 — — Third party realignment costs 38 1 19 2020 Fit for Growth Plan: Employee separation costs 45 — — Employee retention costs 2 — — Facility exit costs 1 — — Total restructuring charges $ 217 $ 19 $ 72 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investment [Line Items] | |
Marketable Securities [Table Text Block] | Our investments were as follows as of December 31: 2019 2018 (in millions) Short-term investments: Equity investment security $ 26 $ 25 Available-for-sale investment securities — 1,760 Held-to-maturity investment securities 287 1,065 Time deposits (1) 466 500 Total short-term investments $ 779 $ 3,350 Long-term investments: Equity and cost method investments $ 17 $ 74 Held-to-maturity investment securities — 6 Total long-term investments $ 17 $ 80 |
Schedule of Realized Gain (Loss) [Table Text Block] | Proceeds from sales of available-for-sale investment securities and the gross gains and losses that have been included in earnings as a result of those sales were as follows: 2019 2018 2017 (in millions) Proceeds from sales of available-for-sale investment securities $ 1,712 $ 1,285 $ 2,922 Gross gains $ 6 $ — $ 1 Gross losses (5 ) (4 ) (3 ) Net realized gains (losses) on sales of available-for-sale investment securities $ 1 $ (4 ) $ (2 ) |
Available-for-sale Securities [Member] | |
Investment [Line Items] | |
Unrealized Gain (Loss) on Investments [Table Text Block] | The amortized cost, gross unrealized gains and losses and fair value of available-for-sale investment securities at December 31, 2018 were as follows: Amortized Cost Unrealized Gains Unrealized Losses Fair Value (in millions) U.S. Treasury and agency debt securities $ 630 $ 1 $ (6 ) $ 625 Corporate and other debt securities 420 — (4 ) 416 Certificates of deposit and commercial paper 296 — — 296 Asset-backed securities 336 — (2 ) 334 Municipal debt securities 90 — (1 ) 89 Total available-for-sale investment securities $ 1,772 $ 1 $ (13 ) $ 1,760 |
Schedule of Temporary Impairment Losses, Investments [Table Text Block] | The fair value and related unrealized losses of available-for-sale investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of December 31, 2018 : Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (in millions) U.S. Treasury and agency debt securities $ 84 $ — $ 446 $ (6 ) $ 530 $ (6 ) Corporate and other debt securities 108 (1 ) 254 (3 ) 362 (4 ) Certificates of deposit and commercial paper 295 — — — 295 — Asset-backed securities 93 — 179 (2 ) 272 (2 ) Municipal debt securities 17 — 64 (1 ) 81 (1 ) Total $ 597 $ (1 ) $ 943 $ (12 ) $ 1,540 $ (13 ) |
Held-to-maturity Securities [Member] | |
Investment [Line Items] | |
Unrealized Gain (Loss) on Investments [Table Text Block] | The amortized cost, gross unrealized gains and losses and fair value of held-to-maturity investment securities at December 31, 2019 were as follows: Amortized Unrealized Unrealized Fair (in millions) Short-term investments, due within one year: Corporate and other debt securities $ 101 $ — $ — $ 101 Commercial paper 186 — — 186 Total short-term held-to-maturity investments $ 287 $ — $ — $ 287 The amortized cost, gross unrealized gains and losses and fair value of held-to-maturity investment securities at December 31, 2018 were as follows: Amortized Unrealized Unrealized Fair (in millions) Short-term investments: Corporate and other debt securities $ 546 $ — $ — $ 546 Commercial paper 519 — (1 ) 518 Total short-term held-to-maturity investments 1,065 — (1 ) 1,064 Long-term investments: Corporate and other debt securities 6 — — 6 Total held-to-maturity investment securities $ 1,071 $ — $ (1 ) $ 1,070 |
Schedule of Temporary Impairment Losses, Investments [Table Text Block] | The fair value and related unrealized losses of held-to-maturity investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of December 31, 2019 : Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (in millions) Corporate and other debt securities $ 42 $ — $ — $ — $ 42 $ — Commercial Paper 70 — — — 70 — Total $ 112 $ — $ — $ — $ 112 $ — |
Property and Equipment, net (Ta
Property and Equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment, Net [Abstract] | |
Schedule of property and equipment | Property and equipment were as follows as of December 31: Estimated Useful Life (Years) 2019 2018 (in millions) Buildings 30 $ 790 $ 839 Computer equipment 3 – 5 516 412 Computer software 3 – 8 820 721 Furniture and equipment 5 – 9 702 639 Land 11 19 Leasehold land lease term — 60 Capital work-in-progress 133 156 Leasehold improvements Shorter of the lease term or the life of the asset 379 338 Sub-total 3,351 3,184 Accumulated depreciation and amortization (2,042 ) (1,790 ) Property and equipment, net $ 1,309 $ 1,394 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Impact of Adoption of Lease Standard | The following table provides the impact of adoption of the New Lease Standard on our consolidated statement of financial position as of January 1, 2019: Location on Statement of Financial Position January 1, 2019 (in millions) Property and equipment, net (1) $ (81 ) Operating lease assets, net (1) (2) (3) 839 Total assets $ 758 Operating lease liabilities (2) (3) $ 191 Operating lease liabilities, noncurrent (2) (3) 670 Accrued expenses and other liabilities (3) (10 ) Other noncurrent liabilities (3) (95 ) Total liabilities $ 756 Retained earnings (4) $ 2 (1) Reflects the reclassification of leasehold land and a built-to-suit lease asset from "Property and equipment, net" to "Operating lease assets, net". (2) Represents the recognition of operating lease assets and liabilities (current and noncurrent), as defined by the New Lease Standard, including the liability for a built-to-suit lease that was previously accounted for as a capital lease under the former lease guidance. (3) Represents the reclassification of deferred rent from "Accrued expenses and other liabilities" and "Other noncurrent liabilities" to "Operating lease assets, net" and the reclassification of built-to-suit lease liabilities from "Accrued expenses and other liabilities" and "Other noncurrent liabilities" to "Operating lease liabilities" and "Operating lease liabilities, noncurrent". (4) Represents the net impact of the derecognition of a built-to-suit lease under the former lease guidance and the re-establishment of that lease as an operating lease under the New Lease Standard. |
Schedule of Lease's Statement of Financial Position | The following table provides information on the components of our operating and finance leases included in our consolidated statement of financial position: Leases Location on Statement of Financial Position December 31, 2019 Assets (in millions) ROU operating lease assets Operating lease assets, net $ 926 ROU finance lease assets Property and equipment, net 16 Total $ 942 Liabilities Current Operating lease Operating lease liabilities $ 202 Finance lease Accrued expenses and other current liabilities 11 Noncurrent Operating lease Operating lease liabilities, noncurrent 745 Finance lease Other noncurrent liabilities 15 Total $ 973 |
Schedule of Cash Flow and Other Information | The following table provides information on the weighted average remaining lease term and weighted average discount rate for our operating leases: Operating Lease Term and Discount Rate December 31, 2019 Weighted average remaining lease term 6.0 years Weighted-average discount rate 6.0 % The following table provides supplemental cash flow information related to our operating leases: 2019 (in millions) Cash paid for amounts included in the measurement of operating lease liabilities $ 232 ROU assets obtained in exchange for operating lease liabilities 274 |
Schedule of Future Minimum Payments | The following table provides the schedule of maturities of our operating lease liabilities, under the New Lease Standard, as of December 31, 2019 : Operating lease obligations (in millions) 2020 249 2021 217 2022 167 2023 132 2024 96 Thereafter 273 Total lease payments 1,134 Interest (187 ) Total lease liabilities $ 947 |
Schedule of Future Minimum Rental Payments for Operating Leases | The following table provides the schedule of our future minimum payments on our operating leases, as of December 31, 2018, which were accounted for in accordance with our historical accounting policies. Operating lease obligations (in millions) 2019 $ 226 2020 197 2021 157 2022 121 2023 90 Thereafter 197 Total minimum lease payments $ 988 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule Of Goodwill | Changes in goodwill by our reportable segments were as follows for the years ended December 31, 2019 and 2018 : Segment January 1, 2019 Goodwill Additions and Adjustments Foreign Currency Translation Adjustments Other (1) December 31, 2019 (in millions) Financial Services $ 411 $ 288 $ (2 ) $ 3 $ 700 Healthcare 2,469 86 — 40 2,595 Products and Resources 384 18 1 14 417 Communications, Media and Technology 217 49 1 — 267 Total goodwill $ 3,481 $ 441 $ — $ 57 $ 3,979 (1) See the Business Combinations section in Note 1 . Segment January 1, 2018 Goodwill Additions and Adjustments Foreign Currency Translation Adjustments December 31, 2018 (in millions) Financial Services $ 265 $ 152 $ (6 ) $ 411 Healthcare 2,106 365 (2 ) 2,469 Products and Resources 240 152 (8 ) 384 Communications, Media and Technology 93 126 (2 ) 217 Total goodwill $ 2,704 $ 795 $ (18 ) $ 3,481 |
Schedule of Finite-Lived Intangible Assets | Components of intangible assets were as follows as of December 31: 2019 2018 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (in millions) Customer relationships $ 1,181 $ (390 ) $ 791 $ 1,277 $ (398 ) $ 879 Developed technology 388 (239 ) 149 355 (187 ) 168 Indefinite life trademarks 72 — 72 72 — 72 Other 71 (42 ) 29 64 (33 ) 31 Total intangible assets $ 1,712 $ (671 ) $ 1,041 $ 1,768 $ (618 ) $ 1,150 |
Schedule of Indefinite-Lived Intangible Assets | Components of intangible assets were as follows as of December 31: 2019 2018 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (in millions) Customer relationships $ 1,181 $ (390 ) $ 791 $ 1,277 $ (398 ) $ 879 Developed technology 388 (239 ) 149 355 (187 ) 168 Indefinite life trademarks 72 — 72 72 — 72 Other 71 (42 ) 29 64 (33 ) 31 Total intangible assets $ 1,712 $ (671 ) $ 1,041 $ 1,768 $ (618 ) $ 1,150 |
Schedule Of Estimated Amortization Expense | The following table provides the estimated amortization expense related to our existing intangible assets for the next five years. Estimated Amortization (in millions) 2020 $ 144 2021 140 2022 132 2023 90 2024 83 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accrued Expenses And Other Current Liabilities [Abstract] | |
Accrued Expenses And Other Current Liabilities | Accrued expenses and other current liabilities were as follows as of December 31: 2019 2018 (in millions) Compensation and benefits $ 1,239 $ 1,216 Customer volume and other incentives (1) 251 256 Derivative financial instruments 8 25 FCPA Accrual (2) — 28 Income taxes 152 162 Professional fees 137 110 Travel and entertainment 24 34 Other 380 369 Total accrued expenses and other current liabilities $ 2,191 $ 2,200 (1) See the Trade Accounts Receivable, Contract Assets and Contract Liabilities section in Note 1 . (2) Refer to Note 15 . |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of short-term debt | The following summarizes our short-term debt balances as of December 31: 2019 2018 Amount Weighted Average Interest Rate Amount Weighted Average Interest Rate (in millions) (in millions) Term loan - current maturities $ 38 2.6 % $ 9 3.3 % |
Schedule of long-term debt | The following summarizes our long-term debt balances as of December 31: 2019 2018 (in millions) Term loan $ 741 $ 750 Less: Current maturities (38 ) (9 ) Deferred financing costs (3 ) (5 ) Long-term debt, net of current maturities $ 700 $ 736 |
Schedule of debt maturities | The following represents the schedule of maturities of our term loan: Year Amounts (in millions) 2020 $ 38 2021 38 2022 38 2023 627 $ 741 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule Of Income Before Provision For Income Tax | Income before provision for income taxes shown below is based on the geographic location to which such income was attributed for years ended December 31: 2019 2018 2017 (in millions) United States $ 931 $ 947 $ 810 Foreign 1,612 1,850 1,845 Income before provision for income taxes $ 2,543 $ 2,797 $ 2,655 |
Schedule Of Components Of Provision For Income Taxes | The provision for income taxes consisted of the following components for the years ended December 31: 2019 2018 2017 (in millions) Current: Federal and state $ 549 $ 241 $ 767 Foreign 400 449 262 Total current provision 949 690 1,029 Deferred: Federal and state (320 ) 1 102 Foreign 14 7 22 Total deferred (benefit) provision (306 ) 8 124 Total provision for income taxes $ 643 $ 698 $ 1,153 |
Reconciliation Between Effective Income Tax Rate and U.S. Federal Statutory Rate | The reconciliation between our effective income tax rate and the U.S. federal statutory rate were as follows for the years ended December 31: 2019 % 2018 % 2017 % (Dollars in millions) Tax expense, at U.S. federal statutory rate $ 534 21.0 $ 587 21.0 $ 929 35.0 State and local income taxes, net of federal benefit 59 2.3 56 2.0 39 1.5 Non-taxable income for Indian tax purposes (90 ) (3.5 ) (146 ) (5.2 ) (216 ) (8.2 ) Rate differential on foreign earnings 145 5.7 206 7.4 (76 ) (2.9 ) Net impact related to the implementation of the Tax Reform Act — 0.0 (5 ) (0.2 ) 617 23.2 Net impact related to the India Tax Law 21 0.8 — — — — Recognition of previously unrecognized income tax benefits related to uncertain tax positions — 0.0 (12 ) (0.4 ) (73 ) (2.7 ) Credits and other incentives (57 ) (2.2 ) (19 ) (0.7 ) (37 ) (1.4 ) Other 31 1.2 31 1.1 (30 ) (1.1 ) Total provision for income taxes $ 643 25.3 $ 698 25.0 $ 1,153 43.4 |
Schedule Of Deferred Tax Assets and Liabilities | The significant components of deferred income tax assets and liabilities recorded on the consolidated statements of financial position were as follows as of December 31: 2019 2018 (in millions) Deferred income tax assets: Net operating losses $ 27 $ 13 Revenue recognition 39 51 Compensation and benefits 171 150 MAT and credit carryforwards 307 340 Expenses not currently deductible 352 60 896 614 Less: valuation allowance (24 ) (11 ) Deferred income tax assets, net 872 603 Deferred income tax liabilities: Depreciation and amortization 187 256 Deferred costs 110 79 Other 25 9 Deferred income tax liabilities 322 344 Net deferred income tax assets $ 550 $ 259 |
Summary Of Changes in Unrecognized Tax Benefits | Changes in unrecognized income tax benefits were as follows for the years ended December 31: 2019 2018 2017 (in millions) Balance, beginning of year $ 117 $ 97 $ 151 Additions based on tax positions related to the current year 22 8 17 Additions for tax positions of prior years 14 19 2 Additions for tax positions of acquired subsidiaries — 6 — Reductions for tax positions due to lapse of statutes of limitations — (12 ) (41 ) Reductions for tax positions of prior years (1 ) — (32 ) Settlements — — — Foreign currency exchange movement — (1 ) — Balance, end of year $ 152 $ 117 $ 97 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Location And Fair Values Of Derivative Financial Instruments In Our Condensed Consolidated Statements Of Financial Position | The following table provides information on the location and fair values of derivative financial instruments included in our consolidated statements of financial position as of December 31: 2019 2018 Designation of Derivatives Location on Statement of Financial Position Assets Liabilities Assets Liabilities (in millions) Foreign exchange forward contracts - Designated as cash flow hedging instruments Other current assets $ 32 $ — $ 11 $ — Other noncurrent assets 8 — 15 — Accrued expenses and other current liabilities — 7 — 21 Other noncurrent liabilities — 2 — 9 Total 40 9 26 30 Foreign exchange forward contracts - Not designated as cash flow hedging instruments Other current assets 3 — 1 — Accrued expenses and other current liabilities — 1 — 4 Total 3 1 1 4 Total $ 43 $ 10 $ 27 $ 34 |
Notional Value Of Outstanding Cash Flow Hedge Contracts By Year Of Maturity And Net Unrealized (Loss) Gain Included In Accumulated Other Comprehensive Income (Loss) | The notional value of our outstanding contracts by year of maturity and the net unrealized gains and losses included in the caption "Accumulated other comprehensive income (loss)" in our consolidated statements of financial position, for such contracts were as follows as of December 31: 2019 2018 (in millions) 2019 $ — $ 1,388 2020 1,505 780 2021 883 — Total notional value of contracts outstanding $ 2,388 $ 2,168 Net unrealized gains (losses) included in accumulated other comprehensive income (loss), net of taxes $ 26 $ (3 ) |
Location And Amounts Of Pre-Tax Gains (Losses) On Cash Flow Hedge Derivative Financial Instruments | The following table provides information on the location and amounts of pre-tax gains and losses on our cash flow hedges for the year ended December 31: Change in Derivative Gains/Losses Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion) Location of Net Derivative Gains Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion) Net Gains Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion) 2019 2018 2019 2018 (in millions) Foreign exchange forward contracts - Designated as cash flow hedging instruments $ 39 $ (87 ) Cost of revenues $ 3 $ 61 Selling, general and administrative expenses 1 10 Total $ 4 $ 71 |
Additional Information Related To Outstanding Contracts Not Designated As Hedging Instruments | Additional information related to our outstanding foreign exchange forward contracts not designated as hedging instruments was as follows as of December 31: 2019 2018 Notional Market Value Notional Market Value (in millions) Contracts outstanding $ 702 $ 2 $ 507 $ (3 ) The following table provides information on the location and amounts of realized and unrealized pre-tax gains on our other derivative financial instruments for the year ended December 31: Location of Net Gains on Derivative Instruments Amount of Net Gains on Derivative Instruments 2019 2018 (in millions) Foreign exchange forward contracts - Not designated as hedging instruments Foreign currency exchange gains (losses), net $ 8 $ 31 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Assets And (Liabilities) Measured At Fair Value On A Recurring Basis | The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of December 31, 2019 : Level 1 Level 2 Level 3 Total (in millions) Cash equivalents: Money market funds $ 1,646 $ — $ — $ 1,646 Short-term investments: Time deposits (1) — 466 — 466 Equity investment security 26 — — 26 Other current assets Foreign exchange forward contracts — 35 — 35 Other noncurrent assets Foreign exchange forward contracts — 8 — 8 Accrued expenses and other current liabilities: Foreign exchange forward contracts — (8 ) — (8 ) Contingent consideration liabilities — — (8 ) (8 ) Other noncurrent liabilities Foreign exchange forward contracts — (2 ) — (2 ) Contingent consideration liabilities — — (30 ) (30 ) (1) Includes $414 million in restricted time deposits. See Note 11 . The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of December 31, 2018 : Level 1 Level 2 Level 3 Total (in millions) Cash equivalents: Money market funds $ 103 $ — $ — $ 103 Bank deposits — 32 — 32 Certificates of deposit and commercial paper — 68 — 68 Short-term investments: Time deposits (1) — 500 — 500 Equity investment security 25 — — 25 Available-for-sale investment securities: U.S. Treasury and agency debt securities 570 55 — 625 Corporate and other debt securities — 416 — 416 Certificates of deposit and commercial paper — 296 — 296 Asset-backed securities — 334 — 334 Municipal debt securities — 89 — 89 Other current assets: Foreign exchange forward contracts — 12 — 12 Other noncurrent assets: Foreign exchange forward contracts — 15 — 15 Accrued expenses and other current liabilities: Foreign exchange forward contracts — (25 ) — (25 ) Other noncurrent liabilities: Foreign exchange forward contracts — (9 ) — (9 ) (1) Includes $423 million in restricted time deposits. See Note 11 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Changes in "Accumulated other comprehensive income (loss)" by component were as follows for the year ended December 31, 2019 : 2019 Before Tax Amount Tax Effect Net of Tax Amount (in millions) Foreign currency translation adjustments: Beginning balance $ (108 ) $ 5 $ (103 ) Change in foreign currency translation adjustments 45 (6 ) 39 Ending balance $ (63 ) $ (1 ) $ (64 ) Unrealized (losses) on available-for-sale investment securities: Beginning balance $ (12 ) $ 4 $ (8 ) Net gains arising during the period 13 (4 ) 9 Reclassification of net gains to Other, net (1 ) — (1 ) Net change 12 (4 ) 8 Ending balance $ — $ — $ — Unrealized (losses) gains on cash flow hedges: Beginning balance $ (4 ) $ 1 $ (3 ) Unrealized gains arising during the period 39 (7 ) 32 Reclassifications of net (gains) to: Cost of revenues (3 ) 1 (2 ) Selling, general and administrative expenses (1 ) — (1 ) Net change 35 (6 ) 29 Ending balance $ 31 $ (5 ) $ 26 Accumulated other comprehensive income (loss): Beginning balance $ (124 ) $ 10 $ (114 ) Other comprehensive income (loss) 92 (16 ) 76 Ending balance $ (32 ) $ (6 ) $ (38 ) Changes in "Accumulated other comprehensive income (loss)" by component were as follows for the years ended December 31, 2018 and 2017 : 2018 2017 Before Tax Amount Tax Effect Net of Tax Amount Before Tax Tax Net of Tax (in millions) Foreign currency translation adjustments: Beginning balance $ (38 ) $ — $ (38 ) $ (149 ) $ — $ (149 ) Change in foreign currency translation adjustments (70 ) 5 (65 ) 111 — 111 Ending balance $ (108 ) $ 5 $ (103 ) $ (38 ) $ — $ (38 ) Unrealized (losses) on available-for-sale investment securities: Beginning balance $ (11 ) $ 4 $ (7 ) $ (6 ) $ 2 $ (4 ) Cumulative effect of change in accounting principle — (1 ) (1 ) — — — Net unrealized (losses) arising during the period (5 ) 2 (3 ) (7 ) 3 (4 ) Reclassification of net losses to Other, net 4 (1 ) 3 2 (1 ) 1 Net change (1 ) — (1 ) (5 ) 2 (3 ) Ending balance $ (12 ) $ 4 $ (8 ) $ (11 ) $ 4 $ (7 ) Unrealized gains (losses) on cash flow hedges: Beginning balance $ 154 $ (39 ) $ 115 $ 51 $ (12 ) $ 39 Unrealized (losses) gains arising during the period (87 ) 23 (64 ) 232 (57 ) 175 Reclassifications of net (gains) losses to: Cost of revenues (61 ) 15 (46 ) (109 ) 26 (83 ) Selling, general and administrative expenses (10 ) 2 (8 ) (20 ) 4 (16 ) Net change (158 ) 40 (118 ) 103 (27 ) 76 Ending balance $ (4 ) $ 1 $ (3 ) $ 154 $ (39 ) $ 115 Accumulated other comprehensive income (loss): Beginning balance $ 105 $ (35 ) $ 70 $ (104 ) $ (10 ) $ (114 ) Other comprehensive income (loss) (229 ) 45 (184 ) 209 (25 ) 184 Ending balance $ (124 ) $ 10 $ (114 ) $ 105 $ (35 ) $ 70 |
Stock-Based Compensation Plans
Stock-Based Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Schedule Of Allocation Of Total Stock-Based Compensation Expense | The allocation of total stock-based compensation expense between cost of revenues and selling, general and administrative expenses as well as the related income tax benefit were as follows for the three years ended December 31: 2019 2018 2017 (in millions) Cost of revenues $ 54 $ 62 $ 55 Selling, general and administrative expenses 163 205 166 Total stock-based compensation expense $ 217 $ 267 $ 221 Income tax benefit $ 39 $ 66 $ 101 |
Summary Of The Activity For Restricted Stock Units | A summary of the activity for RSUs granted under our stock-based compensation plans as of December 31, 2019 and changes during the year then ended is presented below: Number of Units (in millions) Weighted Average Grant Date Fair Value (in dollars) Unvested at January 1, 2019 5.0 $ 69.64 Granted 3.0 64.12 Vested (2.6 ) 67.43 Forfeited (0.9 ) 70.11 Unvested at December 31, 2019 4.5 $ 67.07 |
Summary Of The Activity For Performance Stock Units | The presentation reflects the number of PSUs at the maximum performance milestones. Number of Units (in millions) Weighted Average Grant Date Fair Value (in dollars) Unvested at January 1, 2019 3.3 $ 71.59 Granted 2.1 70.77 Vested (1.3 ) 60.05 Forfeited (0.7 ) 75.35 Adjustment at the conclusion of the performance measurement period (1.4 ) 81.77 Unvested at December 31, 2019 2.0 $ 69.73 |
Schedule Of Assumptions Used To Calculate The Fair Value Of Option Grants | The fair values of the options granted under the Purchase Plan, were estimated at the date of grant during the years ended December 31, 2019 , 2018 , and 2017 based upon the following assumptions and were as follows: 2019 2018 2017 Dividend yield 1.3 % 1.0 % 1.0 % Weighted average volatility factor 24.9 % 21.0 % 24.3 % Weighted average expected life (in years) 0.25 0.25 0.25 Weighted average risk-free interest rate 2.2 % 1.9 % 0.9 % Weighted average grant date fair value $ 9.82 $ 10.87 $ 9.23 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting Information, Revenue for Reportable Segment [Abstract] | |
Segment Operating Profit | Segment operating profits by reportable segment were as follows: 2019 2018 2017 (1) (in millions) Financial Services $ 1,605 $ 1,713 $ 1,771 Healthcare 1,261 1,416 1,301 Products and Resources 1,028 1,023 923 Communications, Media and Technology 732 692 601 Total segment operating profit 4,626 4,844 4,596 Less: unallocated costs 2,173 2,043 2,115 Income from operations $ 2,453 $ 2,801 $ 2,481 |
Long-Lived Assets By Geographic Area | Long-lived assets by geographic area are as follows: 2019 2018 2017 (in millions) Long-lived Assets: (1) North America (2) $ 445 $ 436 $ 360 Europe 104 105 63 Rest of World (3) 760 853 901 Total $ 1,309 $ 1,394 $ 1,324 (1) Long-lived assets include property and equipment, net of accumulated depreciation and amortization. (2) Substantially all relates to the United States. (3) Substantially all relates to India. |
Quarterly Financial Data (Una_2
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Data [Abstract] | |
Summary Of Quarterly Financial Data | Summarized quarterly results for the two years ended December 31, 2019 are as follows: Three Months Ended 2019 March 31 June 30 September 30 December 31 Full Year (in millions, except per share data) Revenues 4,110 $ 4,141 $ 4,248 $ 4,284 $ 16,783 Cost of revenues (exclusive of depreciation and amortization expense shown separately below) 2,575 2,629 2,681 2,749 10,634 Selling, general and administrative expenses 871 719 706 676 2,972 Restructuring charges 2 49 65 101 217 Depreciation and amortization expense 123 125 127 132 507 Income from operations 539 619 669 626 2,453 Net income 441 509 497 395 1,842 Basic earnings per share (1) $ 0.77 $ 0.90 $ 0.90 $ 0.72 $ 3.30 Diluted earnings per share (1) $ 0.77 $ 0.90 $ 0.90 $ 0.72 $ 3.29 Three Months Ended 2018 March 31 June 30 September 30 December 31 Full Year (in millions, except per share data) Revenues $ 3,912 $ 4,006 $ 4,078 $ 4,129 $ 16,125 Cost of revenues (exclusive of depreciation and amortization expense shown separately below) 2,401 2,417 2,480 2,540 9,838 Selling, general and administrative expenses 710 805 723 769 3,007 Restructuring charges 1 — 11 7 19 Depreciation and amortization expense 107 114 119 120 460 Income from operations 693 670 745 693 2,801 Net income 520 456 477 648 2,101 Basic earnings per share (1) $ 0.89 $ 0.78 $ 0.82 $ 1.12 $ 3.61 Diluted earnings per share (1) $ 0.88 $ 0.78 $ 0.82 $ 1.12 $ 3.60 (1) The sum of the quarterly basic and diluted earnings per share for each of the four quarters may not equal the earnings per share for the year due to rounding. |
Business Description and Summ_3
Business Description and Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 99 | $ 67 | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 2 | $ 121 | ||
Share-based Payment Arrangement [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share - less than | 1 | 1 | 1 | |
Retained Earnings [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 2 | $ 122 | ||
Retained Earnings [Member] | Accounting Standards Update 2014-09 [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 121 |
Business Description and Summ_4
Business Description and Summary of Significant Accounting Policies Change in Accounting Policy of Correction of an Error (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Liabilities | $ 5,182 | $ 4,422 |
Assets | 16,204 | 15,846 |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 99 | $ 67 |
Immaterial Adjustment [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Liabilities | (70) | |
Assets | $ (70) |
Internal Investigation and Rela
Internal Investigation and Related Matters (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Loss Contingencies [Line Items] | |||||||||||
Selling, general and administrative expenses | $ 676 | $ 706 | $ 719 | $ 871 | $ 769 | $ 723 | $ 805 | $ 710 | $ 2,972 | $ 3,007 | $ 2,697 |
Revenues Capitalized Costs to F
Revenues Capitalized Costs to Fulfill Contract with Customer (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues [Abstract] | ||
Beginning Balance | $ 400 | $ 303 |
Amortization expense | 79 | 70 |
Costs Capitalized | 189 | 167 |
Other | (25) | 0 |
Ending Balance | $ 485 | $ 400 |
Revenues Significant Movements
Revenues Significant Movements in Contract Assets (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues [Abstract] | ||
Beginning Balance | $ 305 | $ 306 |
Revenues recognized during the period but not billed | 313 | 285 |
Amounts reclassified to accounts receivable | 284 | 286 |
Ending Balance | $ 334 | $ 305 |
Revenues Significant Movement_2
Revenues Significant Movements in Deferred Revenue Balances (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues [Abstract] | ||
Beginning Balane | $ 348 | $ 431 |
Amounts billed but not recognized as revenues | 319 | 204 |
Revenues recognized related to the opening balance of deferred revenue | 261 | 287 |
Other | (70) | 0 |
Ending Balance | $ 336 | $ 348 |
Revenues Remaining Performance
Revenues Remaining Performance Obligations Narrative (Details) $ in Millions | Dec. 31, 2019USD ($) |
Revenues [Abstract] | |
Revenue, Remaining Performance Obligation | $ 1,647 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 2 years |
Revenue, Remaining Performance Obligation, Percentage | 70.00% |
Revenues Disaggregation of Reve
Revenues Disaggregation of Revenue (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 16,783 | $ 16,125 |
Time-and-materials Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 8,656 | 8,470 |
Fixed-price Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 6,090 | 5,966 |
Transaction Or Volume-Based [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 2,037 | 1,689 |
North America [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 12,726 | 12,293 |
United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,313 | 1,274 |
Europe, excluding United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,691 | 1,563 |
Europe [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 3,004 | 2,837 |
Rest of World [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,053 | 995 |
Consulting And Technology Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 9,946 | 9,309 |
Outsourcing Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 6,837 | 6,816 |
Financial Services | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 5,869 | 5,845 |
Financial Services | Time-and-materials Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 3,651 | 3,762 |
Financial Services | Fixed-price Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,922 | 1,859 |
Financial Services | Transaction Or Volume-Based [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 296 | 224 |
Financial Services | North America [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 4,137 | 4,162 |
Financial Services | United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 484 | 481 |
Financial Services | Europe, excluding United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 728 | 666 |
Financial Services | Europe [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,212 | 1,147 |
Financial Services | Rest of World [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 520 | 536 |
Financial Services | Consulting And Technology Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 3,782 | 3,571 |
Financial Services | Outsourcing Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 2,087 | 2,274 |
Healthcare | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 4,695 | 4,668 |
Healthcare | Time-and-materials Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,845 | 1,836 |
Healthcare | Fixed-price Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,635 | 1,852 |
Healthcare | Transaction Or Volume-Based [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,215 | 980 |
Healthcare | North America [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 4,147 | 4,254 |
Healthcare | United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 130 | 91 |
Healthcare | Europe, excluding United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 341 | 270 |
Healthcare | Europe [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 471 | 361 |
Healthcare | Rest of World [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 77 | 53 |
Healthcare | Consulting And Technology Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 2,564 | 2,553 |
Healthcare | Outsourcing Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 2,131 | 2,115 |
Products and Resources | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 3,770 | 3,415 |
Products and Resources | Time-and-materials Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,632 | 1,506 |
Products and Resources | Fixed-price Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,730 | 1,521 |
Products and Resources | Transaction Or Volume-Based [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 408 | 388 |
Products and Resources | North America [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 2,678 | 2,397 |
Products and Resources | United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 380 | 358 |
Products and Resources | Europe, excluding United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 453 | 440 |
Products and Resources | Europe [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 833 | 798 |
Products and Resources | Rest of World [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 259 | 220 |
Products and Resources | Consulting And Technology Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 2,295 | 2,024 |
Products and Resources | Outsourcing Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,475 | 1,391 |
Communication, Media and Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 2,449 | 2,197 |
Communication, Media and Technology [Member] | Time-and-materials Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,528 | 1,366 |
Communication, Media and Technology [Member] | Fixed-price Contract [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 803 | 734 |
Communication, Media and Technology [Member] | Transaction Or Volume-Based [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 118 | 97 |
Communication, Media and Technology [Member] | North America [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,764 | 1,480 |
Communication, Media and Technology [Member] | United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 319 | 344 |
Communication, Media and Technology [Member] | Europe, excluding United Kingdom [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 169 | 187 |
Communication, Media and Technology [Member] | Europe [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 488 | 531 |
Communication, Media and Technology [Member] | Rest of World [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 197 | 186 |
Communication, Media and Technology [Member] | Consulting And Technology Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,305 | 1,161 |
Communication, Media and Technology [Member] | Outsourcing Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 1,144 | $ 1,036 |
Business Combinations (Narrativ
Business Combinations (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018USD ($)business | Dec. 31, 2017USD ($)business | Dec. 31, 2019USD ($) | |
Business Acquisition [Line Items] | |||
Number of business combinations | business | 5 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | $ 1,122 | $ 695 | |
Acquisitions | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
Number of business combinations | business | 5 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | $ 109 | $ 233 | $ 64 |
Contino | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | $ 235 | ||
Meritsoft | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | $ 228 | ||
Zenith | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | $ 168 |
Business Combinations Allocatio
Business Combinations Allocation of Purchase Price (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Cash | $ 45 | $ 15 | |
Current assets | 95 | 101 | |
Property, plant and equipment and other noncurrent assets | 25 | 15 | |
Non-deductible goodwill | 442 | 796 | |
Current liabilities | (71) | (67) | |
Noncurrent liabilities | (49) | (50) | |
Purchase price | 695 | 1,122 | |
Customer Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | $ 167 | $ 276 | |
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 10 years 8 months 12 days | 10 years 3 months 18 days | |
Other Intangible Assets [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | $ 41 | $ 27 | |
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 6 years 1 month 6 days | 3 years 8 months 12 days | |
Acquisitions | |||
Business Acquisition [Line Items] | |||
Cash | $ 15 | $ 4 | $ 8 |
Current assets | 21 | 15 | 47 |
Property, plant and equipment and other noncurrent assets | 14 | 1 | 19 |
Non-deductible goodwill | 21 | 76 | 125 |
Current liabilities | (22) | (9) | (50) |
Noncurrent liabilities | (10) | (9) | (67) |
Purchase price | 64 | 109 | 233 |
Acquisitions | Customer Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 19 | 30 | $ 147 |
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 10 years 7 months 6 days | ||
Acquisitions | Other Intangible Assets [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 6 | 1 | $ 4 |
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 2 years 4 months 24 days | ||
Contino | |||
Business Acquisition [Line Items] | |||
Cash | 7 | ||
Current assets | 16 | ||
Property, plant and equipment and other noncurrent assets | 4 | ||
Non-deductible goodwill | 198 | ||
Current liabilities | (11) | ||
Noncurrent liabilities | (10) | ||
Purchase price | 235 | ||
Contino | Customer Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 29 | ||
Contino | Other Intangible Assets [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 2 | ||
Meritsoft | |||
Business Acquisition [Line Items] | |||
Cash | 14 | ||
Current assets | 6 | ||
Property, plant and equipment and other noncurrent assets | 1 | ||
Non-deductible goodwill | 147 | ||
Current liabilities | (3) | ||
Noncurrent liabilities | (12) | ||
Purchase price | 228 | ||
Meritsoft | Customer Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 46 | ||
Meritsoft | Other Intangible Assets [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 29 | ||
Zenith | |||
Business Acquisition [Line Items] | |||
Cash | 9 | ||
Current assets | 52 | ||
Property, plant and equipment and other noncurrent assets | 6 | ||
Non-deductible goodwill | 76 | ||
Current liabilities | (35) | ||
Noncurrent liabilities | (17) | ||
Purchase price | 168 | ||
Zenith | Customer Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 73 | ||
Zenith | Other Intangible Assets [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | $ 4 | ||
Softvision | |||
Business Acquisition [Line Items] | |||
Cash | 4 | ||
Current assets | 54 | ||
Property, plant and equipment and other noncurrent assets | 7 | ||
Non-deductible goodwill | 385 | ||
Current liabilities | (47) | ||
Noncurrent liabilities | (4) | ||
Purchase price | 541 | ||
Softvision | Customer Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 133 | ||
Softvision | Other Intangible Assets [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 9 | ||
Bolder | |||
Business Acquisition [Line Items] | |||
Cash | 7 | ||
Current assets | 32 | ||
Property, plant and equipment and other noncurrent assets | 7 | ||
Non-deductible goodwill | 335 | ||
Current liabilities | (11) | ||
Noncurrent liabilities | (37) | ||
Purchase price | 472 | ||
Bolder | Customer Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 113 | ||
Bolder | Other Intangible Assets [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 17 | ||
Trademarks [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 9 | ||
Trademarks [Member] | Acquisitions | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 0 | ||
Trademarks [Member] | Softvision | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | 0 | ||
Trademarks [Member] | Bolder | |||
Business Acquisition [Line Items] | |||
Intangible assets acquired | $ 9 |
Restructuring Charges (Details)
Restructuring Charges (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Restructuring Charges [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Employee separation costs accrued | $ 217 | $ 19 | $ 72 |
Employee separation costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance - December 31, 2018 | 0 | ||
Employee separation costs accrued | 109 | ||
Payments made | 62 | ||
Balance - December 31, 2019 | 47 | 0 | |
Realignment Program [Member] | Employee separation costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Employee separation costs accrued | 64 | 18 | 53 |
Realignment Program [Member] | Executive Transition Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Employee separation costs accrued | 22 | 0 | 0 |
Realignment Program [Member] | Employee retention costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Employee separation costs accrued | 45 | 0 | 0 |
Realignment Program [Member] | Other Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Employee separation costs accrued | 38 | 1 | 19 |
2020 Fit for Growth [Member] | Employee separation costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Employee separation costs accrued | 45 | 0 | 0 |
2020 Fit for Growth [Member] | Employee retention costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Employee separation costs accrued | 2 | ||
2020 Fit for Growth [Member] | Other Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Employee separation costs accrued | 1 | $ 0 | $ 0 |
2020 Fit for Growth [Member] | Exit From Content Related Services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Employee separation costs accrued | $ 5 |
Investments Short-term investme
Investments Short-term investments (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Short-term Investments [Abstract] | ||
Equity investment securities | $ 26 | $ 25 |
Available-for-sale Securities, Current | 0 | 1,760 |
Debt Securities, Held-to-maturity, Current | 287 | 1,065 |
Debt Securities, Time Deposits | 466 | 500 |
Short-term Investments | 779 | 3,350 |
Restricted Investments | $ 414 | $ 423 |
Investments Long-term investmen
Investments Long-term investments (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Long-term Investments [Abstract] | ||
Equity and Cost Method Investments | $ 17 | $ 74 |
Debt Securities, Held-to-maturity, Noncurrent | 0 | 6 |
Long-term Investments | $ 17 | $ 80 |
Investments Available-for-sale
Investments Available-for-sale securities - amortized cost, gross unrealized gains and losses and fair value (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 1,772 | |
Gains | 1 | |
Losses | (13) | |
Fair Value | $ 0 | 1,760 |
U.S. Treasury And Agency Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 630 | |
Gains | 1 | |
Losses | (6) | |
Fair Value | 625 | |
Corporate And Other Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 420 | |
Gains | 0 | |
Losses | (4) | |
Fair Value | 416 | |
Certificates of deposit and commercial paper [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 296 | |
Gains | 0 | |
Losses | 0 | |
Fair Value | 296 | |
Asset-Backed Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 336 | |
Gains | 0 | |
Losses | (2) | |
Fair Value | 334 | |
Municipal Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 90 | |
Gains | 0 | |
Losses | (1) | |
Fair Value | $ 89 |
Investments Available-for-sal_2
Investments Available-for-sale securities in a continuous unrealized loss position (Details) $ in Millions | Dec. 31, 2018USD ($) |
Debt Securities, Available-for-sale [Line Items] | |
Fair value, less than 12 months | $ 597 |
Unrealized losses, less than 12 months | (1) |
Fair value, 12 months or more | 943 |
Unrealized losses, 12 months or more | (12) |
Total fair value | 1,540 |
Total unrealized loss | (13) |
U.S. Treasury And Agency Debt Securities [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Fair value, less than 12 months | 84 |
Unrealized losses, less than 12 months | 0 |
Fair value, 12 months or more | 446 |
Unrealized losses, 12 months or more | (6) |
Total fair value | 530 |
Total unrealized loss | (6) |
Corporate And Other Debt Securities [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Fair value, less than 12 months | 108 |
Unrealized losses, less than 12 months | (1) |
Fair value, 12 months or more | 254 |
Unrealized losses, 12 months or more | (3) |
Total fair value | 362 |
Total unrealized loss | (4) |
Certificates of deposit and commercial paper [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Fair value, less than 12 months | 295 |
Unrealized losses, less than 12 months | 0 |
Fair value, 12 months or more | 0 |
Unrealized losses, 12 months or more | 0 |
Total fair value | 295 |
Total unrealized loss | 0 |
Asset-Backed Securities [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Fair value, less than 12 months | 93 |
Unrealized losses, less than 12 months | 0 |
Fair value, 12 months or more | 179 |
Unrealized losses, 12 months or more | (2) |
Total fair value | 272 |
Total unrealized loss | (2) |
Municipal Debt Securities [Member] | |
Debt Securities, Available-for-sale [Line Items] | |
Fair value, less than 12 months | 17 |
Unrealized losses, less than 12 months | 0 |
Fair value, 12 months or more | 64 |
Unrealized losses, 12 months or more | (1) |
Total fair value | 81 |
Total unrealized loss | $ (1) |
Investments Available-for-sal_3
Investments Available-for-sale securities - proceeds from sales, gross gains and losses (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Securities, Available-for-sale [Line Items] | |||
Proceeds from Sale of Available-for-sale Securities | $ 1,712 | $ 1,285 | $ 2,922 |
Gross Gains | 6 | 0 | 1 |
Gross Losses | (5) | (4) | (3) |
Net realized (losses) gains on sales of available-for-sale investment securities | $ 1 | $ (4) | $ (2) |
Investments Held-to-maturity se
Investments Held-to-maturity securities - amortized cost, gross unrealized gains and losses and fair value (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Debt Securities, Held-to-maturity | $ 1,071 | |
Unrealized gains | 0 | |
Unrealized Losses | (1) | |
Fair Value | 1,070 | |
Short-term Investments [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Debt Securities, Held-to-maturity | $ 287 | 1,065 |
Unrealized gains | 0 | 0 |
Unrealized Losses | 0 | (1) |
Fair Value | 287 | 1,064 |
Corporate And Other Debt Securities [Member] | Long-term investments [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Debt Securities, Held-to-maturity | 6 | |
Unrealized gains | 0 | |
Unrealized Losses | 0 | |
Fair Value | 6 | |
Corporate And Other Debt Securities [Member] | Short-term Investments [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Debt Securities, Held-to-maturity | 101 | 546 |
Unrealized gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Value | 101 | 546 |
Commercial Paper [Member] | Short-term Investments [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Debt Securities, Held-to-maturity | 186 | 519 |
Unrealized gains | 0 | 0 |
Unrealized Losses | 0 | (1) |
Fair Value | $ 186 | $ 518 |
Investments Held-to-maturity _2
Investments Held-to-maturity securities in a continuous unrealized loss position (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair value, less than 12 months | $ 112 | $ 531 |
Unrealized losses, less than 12 months | 0 | (1) |
Fair value, 12 months or more | 0 | 57 |
Unrealized losses, 12 months or more | 0 | 0 |
Total fair value | 112 | 588 |
Total unrealized losses | 0 | (1) |
Corporate And Other Debt Securities [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair value, less than 12 months | 42 | 263 |
Unrealized losses, less than 12 months | 0 | 0 |
Fair value, 12 months or more | 0 | 57 |
Unrealized losses, 12 months or more | 0 | 0 |
Total fair value | 42 | 320 |
Total unrealized losses | 0 | 0 |
Commercial Paper [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair value, less than 12 months | 70 | 268 |
Unrealized losses, less than 12 months | 0 | (1) |
Fair value, 12 months or more | 0 | 0 |
Unrealized losses, 12 months or more | 0 | 0 |
Total fair value | 70 | 268 |
Total unrealized losses | $ 0 | $ (1) |
Investments Equity Method Inves
Investments Equity Method Investments (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Equity Method Investment, Financial Statement, Reported Amounts [Abstract] | ||
Equity Method Investments | $ 9 | $ 66 |
Equity Method Investment, Ownership Percentage | 49.00% | |
Equity Method Investment, Impairment | $ 57 |
Investments Cost Method Investm
Investments Cost Method Investments (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Investments, All Other Investments [Abstract] | ||
Cost Method Investments | $ 8 | $ 8 |
Property and Equipment, net (Na
Property and Equipment, net (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Finance Lease, Right-of-Use Asset, Before Accumulated Amortization | $ 30 | ||
Capital Leased Assets, Gross | $ 73 | ||
Finance Lease, Right-of-Use Asset, Accumulated Amortization | 14 | ||
Finance Lease, Right-of-Use Asset, Amortization | 11 | ||
Capitalized Computer Software, Gross | 129 | 85 | |
Capitalized Computer Software, Accumulated Amortization | 46 | 24 | |
Capitalized Computer Software, Amortization | 22 | 14 | |
Property, Plant and Equipment [Member] | |||
Depreciation | $ 363 | $ 347 | $ 313 |
Property and Equipment, net (Sc
Property and Equipment, net (Schedule Of Property And Equipment, Net) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, gross | $ 3,351 | $ 3,184 | |
Accumulated depreciation and amortization | (2,042) | (1,790) | |
Property and equipment, net | $ 1,309 | 1,394 | $ 1,324 |
Buildings [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 30 years | ||
Property and Equipment, gross | $ 790 | 839 | |
Computer Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, gross | $ 516 | 412 | |
Computer Equipment [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 3 years | ||
Computer Equipment [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 5 years | ||
Computer Software [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, gross | $ 820 | 721 | |
Computer Software [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 3 years | ||
Computer Software [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 8 years | ||
Furniture and Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, gross | $ 702 | 639 | |
Furniture and Equipment [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 5 years | ||
Furniture and Equipment [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 9 years | ||
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, gross | $ 11 | 19 | |
Leasehold Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, gross | 0 | 60 | |
Capital Work-in-Progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, gross | 133 | 156 | |
Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, gross | $ 379 | $ 338 |
Leases (Details)
Leases (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Sep. 30, 2019 | |
Lessee, Lease, Description [Line Items] | ||
Operating lease cost | $ 264 | |
Variable lease cost | 18 | |
Short term lease rental expense | 16 | |
Amount of operating leases not yet commenced | $ 316 | |
Minimum [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Term of operating leases | 12 months | |
Lease terms of leases not yet commenced | 1 year | |
Maximum [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lease terms of leases not yet commenced | 11 years |
Leases Schedule of Impact of Le
Leases Schedule of Impact of Lease Standard (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Property and equipment, net | $ 1,309 | $ 1,394 | $ 1,324 | |
Operating lease assets, net | 926 | |||
Total assets | 16,204 | 15,846 | ||
Operating lease liabilities | 202 | |||
Operating lease liabilities, noncurrent | 745 | |||
Accrued expenses and other current liabilities | 2,191 | 2,200 | ||
Other noncurrent liabilities | 218 | 253 | ||
Total liabilities | 5,182 | 4,422 | ||
Retained earnings | $ 11,022 | $ 11,485 | ||
Accounting Standards Update 2016-02 [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Property and equipment, net | $ (81) | |||
Operating lease assets, net | 839 | |||
Total assets | 758 | |||
Operating lease liabilities | 191 | |||
Operating lease liabilities, noncurrent | 670 | |||
Accrued expenses and other current liabilities | (10) | |||
Other noncurrent liabilities | (95) | |||
Total liabilities | 756 | |||
Retained earnings | $ 2 |
Leases Schedule of Leases State
Leases Schedule of Leases Statement of Financial Position (Details) $ in Millions | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
Operating lease assets, net | $ 926 |
ROU finance lease assets | 16 |
Total leased assets | 942 |
Current | |
Operating lease liabilities | 202 |
Finance lease | 11 |
Noncurrent | |
Operating lease liabilities, noncurrent | 745 |
Finance lease | 15 |
Total leased liabilities | $ 973 |
Leases Schedule of Operating Le
Leases Schedule of Operating Lease Term and Discount Rate (Details) | Dec. 31, 2019 |
Leases [Abstract] | |
Weighted average remaining lease term | 6 years |
Weighted-average discount rate | 6.00% |
Leases Schedule of Cash Flow an
Leases Schedule of Cash Flow and Other Information (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Cash paid for amounts included in the measurement of operating lease liabilities | $ 232 |
ROU assets obtained in exchange for operating lease liabilities | $ 274 |
Leases Schedule of Future minim
Leases Schedule of Future minimum Payments on Operating Leases (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Leases [Abstract] | ||
2020 | $ 249 | |
2021 | 217 | |
2022 | 167 | |
2023 | 132 | |
2024 | 96 | |
Thereafter | 273 | |
Total lease payments | 1,134 | |
Interest | (187) | |
Total lease liabilities | $ 947 | |
Operating Leases, Future Minimum Payments Due, Next Twelve Months | $ 226 | |
Operating Leases, Future Minimum Payments, Due in Two Years | 197 | |
Operating Leases, Future Minimum Payments, Due in Three Years | 157 | |
Operating Leases, Future Minimum Payments, Due in Four Years | 121 | |
Operating Leases, Future Minimum Payments, Due in Five Years | 90 | |
Operating Leases, Future Minimum Payments, Due Thereafter | 197 | |
Operating Leases, Future Minimum Payments Due | $ 988 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets, net (Schedule Of Goodwill Allocation By Reportable Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill [Roll Forward] | ||
Goodwill, Beginning Balance | $ 3,481 | $ 2,704 |
Additions | 441 | 795 |
Foreign currency translation adjustments | 0 | (18) |
Other | 57 | |
Goodwill, Ending Balance | 3,979 | 3,481 |
Financial Services | ||
Goodwill [Roll Forward] | ||
Goodwill, Beginning Balance | 411 | 265 |
Additions | 288 | 152 |
Foreign currency translation adjustments | (2) | (6) |
Other | 3 | |
Goodwill, Ending Balance | 700 | 411 |
Healthcare | ||
Goodwill [Roll Forward] | ||
Goodwill, Beginning Balance | 2,469 | 2,106 |
Additions | 86 | 365 |
Foreign currency translation adjustments | 0 | (2) |
Other | 40 | |
Goodwill, Ending Balance | 2,595 | 2,469 |
Products and Resources | ||
Goodwill [Roll Forward] | ||
Goodwill, Beginning Balance | 384 | 240 |
Additions | 18 | 152 |
Foreign currency translation adjustments | 1 | (8) |
Other | 14 | |
Goodwill, Ending Balance | 417 | 384 |
Communications, Media and Technology | ||
Goodwill [Roll Forward] | ||
Goodwill, Beginning Balance | 217 | 93 |
Additions | 49 | 126 |
Foreign currency translation adjustments | 1 | (2) |
Other | 0 | |
Goodwill, Ending Balance | $ 267 | $ 217 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets, net (Schedule Of Components For Intangible Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Finite-Lived Intangible Assets [Line Items] | |||
Accumulated amortization | $ (671) | $ (618) | |
Intangible Assets, Gross (Excluding Goodwill) | 1,712 | 1,768 | |
Intangible assets, net | 1,041 | 1,150 | |
Indefinite life trademarks | 72 | 72 | |
Amortization of intangibles | 162 | 151 | $ 130 |
Customer Relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross carrying amount | 1,181 | 1,277 | |
Accumulated amortization | (390) | (398) | |
Net carrying amount | 791 | 879 | |
Developed Technology [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross carrying amount | 388 | 355 | |
Accumulated amortization | (239) | (187) | |
Net carrying amount | 149 | 168 | |
Other [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross carrying amount | 71 | 64 | |
Accumulated amortization | (42) | (33) | |
Net carrying amount | $ 29 | $ 31 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets, net (Schedule Of Estimated Amortization Expense) (Details) $ in Millions | Dec. 31, 2019USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2020 | $ 144 |
2021 | 140 |
2022 | 132 |
2023 | 90 |
2024 | $ 83 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities (Accrued Expenses And Other Current Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Loss Contingencies [Line Items] | ||
Compensation and benefits | $ 1,239 | $ 1,216 |
Customer Refund Liability, Current | 251 | 256 |
Derivative financial instruments | 8 | 25 |
Income taxes | 152 | 162 |
Professional fees | 137 | 110 |
Travel and entertainment | 24 | 34 |
Other | 380 | 369 |
Accrued expenses and other current liabilities | 2,191 | 2,200 |
FCPA Accrual [Member] | ||
Loss Contingencies [Line Items] | ||
FCPA Accrual | $ 0 | $ 28 |
Debt (Details)
Debt (Details) $ in Millions, ₨ in Billions | 12 Months Ended | ||
Dec. 31, 2019USD ($) | Dec. 31, 2019INR (₨) | Nov. 30, 2018USD ($) | |
Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Financial covenant, leverage ratio | 3.50 | ||
Debt Instrument, Covenant Compliance, Leverage Ratio Following Material Acquisition(s) | 3.75 | ||
Term Loan and Revolving Credit Facility [Member] | Base Rate [Member] | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.00% | ||
Term Loan and Revolving Credit Facility [Member] | Eurocurrency [Member] | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.875% | ||
Term Loan and Revolving Credit Facility [Member] | Minimum [Member] | Eurocurrency [Member] | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.75% | ||
Term Loan and Revolving Credit Facility [Member] | Minimum [Member] | Eurocurrency Without Debt Ratings [Member] | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 0.875% | ||
Term Loan and Revolving Credit Facility [Member] | Maximum [Member] | Eurocurrency [Member] | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 1.125% | ||
Term Loan and Revolving Credit Facility [Member] | Maximum [Member] | Eurocurrency Without Debt Ratings [Member] | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 1.125% | ||
Working Capital Facility [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit, maximum borrowing capacity | $ 182 | ₨ 13 | |
Term Loan [Member] | |||
Debt Instrument [Line Items] | |||
Principal amount of debt | $ 750 | ||
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit, maximum borrowing capacity | $ 1,750 |
Debt (Short-Term Debt (Details)
Debt (Short-Term Debt (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Short-term Debt [Line Items] | ||
Total short-term debt | $ 38 | $ 9 |
Term Loan [Member] | ||
Short-term Debt [Line Items] | ||
Weighted average interest rate | 2.60% | 3.30% |
Term Loan - Current Maturities | $ 38 | $ 9 |
Debt (Long-Term Debt) (Details)
Debt (Long-Term Debt) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
Long-term debt, net of current maturities | $ 700 | $ 736 |
Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | 741 | 750 |
Less: Current portion | (38) | (9) |
Long-term debt, net of current maturities | 700 | 736 |
Term Loan and Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Debt Issuance Costs, Net | $ (3) | $ (5) |
Debt (Debt Maturities) (Details
Debt (Debt Maturities) (Details) $ in Millions | Dec. 31, 2019USD ($) |
Debt Disclosure [Abstract] | |
2020 | $ 38 |
2021 | 38 |
2022 | 38 |
2023 | $ 627 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) $ / shares in Units, $ in Millions | 12 Months Ended | |||||
Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2018USD ($)$ / shares | Dec. 31, 2017USD ($)$ / shares | Dec. 31, 2016USD ($) | Dec. 31, 2019INR (₨) | Apr. 30, 2018INR (₨) | |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||||
Income Tax Expense (Benefit) | $ 643 | $ 698 | $ 1,153 | |||
Deferred income taxes related to MAT | $ 176 | 228 | ||||
Minimum alternative tax, expiration period (in years) | 15 years | |||||
Incentive period for SEZs, years | 15 years | |||||
Minimum alternative tax, rate | 17.47% | |||||
Income tax holiday, increase in net income | $ 90 | $ 146 | $ 217 | |||
Increase in diluted EPS | $ / shares | $ 0.16 | $ 0.25 | $ 0.36 | |||
Accrued interest and penalties | $ 16 | $ 11 | ||||
Restricted Investments | 414 | 423 | ||||
Foreign Tax Authority [Member] | ||||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||||
Net operating loss carryforward | 39 | |||||
Internal Revenue Service (IRS) [Member] | ||||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||||
Net operating loss carryforward | 80 | |||||
Ministry of Finance, India [Member] | ||||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||||
Unrepatriated foreign earnings | 5,242 | |||||
Ministry of Finance, India [Member] | Foreign Tax Authority [Member] | ||||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||||
Restricted Investments Initially Deposited | 393 | 404 | ₨ 28,000,000,000 | |||
One-time income tax expense | 21 | |||||
Deposits Assets | 70 | $ 71 | ₨ 5,000,000,000 | |||
Ministry of Finance, India [Member] | 2016 India Cash Remittance [Member] | Foreign Tax Authority [Member] | ||||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||||
Foreign Earnings Repatriated | $ 2,800 | |||||
Income Tax Expense (Benefit) | $ 135 | |||||
Ministry of Finance, India [Member] | Pro Forma [Member] | ||||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||||
Additional income tax expense | $ 1,101 |
Income Taxes (Schedule Of Incom
Income Taxes (Schedule Of Income Before Provision For Income Tax) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
United States | $ 931 | $ 947 | $ 810 |
Foreign | 1,612 | 1,850 | 1,845 |
Income before provision for income taxes | $ 2,543 | $ 2,797 | $ 2,655 |
Income Taxes ITD Dispute (Detai
Income Taxes ITD Dispute (Details) $ in Millions | 12 Months Ended | ||||||
Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2019INR (₨) | Apr. 30, 2018INR (₨) | |
One-time Transaction [Table] [Line Items] | |||||||
Income Tax Expense (Benefit) | $ 643 | $ 698 | $ 1,153 | ||||
Restricted Investments | 414 | 423 | |||||
Foreign Tax Authority [Member] | Ministry of Finance, India [Member] | |||||||
One-time Transaction [Table] [Line Items] | |||||||
Deposits Assets | $ 70 | 71 | ₨ 5,000,000,000 | ||||
Deposits Assets, Percent Disputed Tax Amount | 15.00% | 15.00% | |||||
Restricted Investments Initially Deposited | $ 393 | $ 404 | ₨ 28,000,000,000 | ||||
Foreign Tax Authority [Member] | Ministry of Finance, India [Member] | 2016 India Cash Remittance [Member] | |||||||
One-time Transaction [Table] [Line Items] | |||||||
Foreign Earnings Repatriated | $ 2,800 | ||||||
Income Tax Expense (Benefit) | $ 135 | ||||||
Income Tax, Disputed Amount | $ 463 | ₨ 33,000,000,000 | |||||
Foreign Tax Authority [Member] | Ministry of Finance, India [Member] | 2013 India Share Repurchase [Member] | |||||||
One-time Transaction [Table] [Line Items] | |||||||
Foreign Earnings Repatriated | $ 523 |
Income Taxes (Schedule Of Compo
Income Taxes (Schedule Of Components Of Provision For Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Current: | |||
Federal and state | $ 549 | $ 241 | $ 767 |
Foreign | 400 | 449 | 262 |
Total current provision | 949 | 690 | 1,029 |
Deferred: | |||
Federal and state | (320) | 1 | 102 |
Foreign | 14 | 7 | 22 |
Total deferred (benefit) provision | (306) | 8 | 124 |
Total provision for income taxes | $ 643 | $ 698 | $ 1,153 |
Income Taxes (Reconciliation Be
Income Taxes (Reconciliation Between Effective Income Tax Rate And U.S. Federal Statutory Rate) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Tax expense, at U.S. federal statutory rate, amount | $ 534 | $ 587 | $ 929 |
State and local income taxes, net of federal benefit, amount | 59 | 56 | 39 |
Non-taxable income for Indian tax purposes, amount | (90) | (146) | (216) |
Rate differential on foreign earnings, amount | 145 | 206 | (76) |
Net impact related to the implementation of the Tax Reform Act | 0 | (5) | 617 |
Net impact related to the India Tax Law | 21 | 0 | 0 |
Recognition of previously unrecognized income tax benefits related to uncertain tax positions | 0 | (12) | (73) |
Credits and other incentives, amount | (57) | (19) | (37) |
Other adjustments, amount | 31 | 31 | (30) |
Total provision for income taxes | $ 643 | $ 698 | $ 1,153 |
Tax expense, at U.S. federal statutory rate, percentage | 21.00% | 21.00% | 35.00% |
State and local income taxes, net of federal benefit, percentage | 2.30% | 2.00% | 1.50% |
Non-taxable income for Indian tax purposes, percentage | (3.50%) | (5.20%) | (8.20%) |
Rate differential on foreign earnings, percentage | 5.70% | 7.40% | (2.90%) |
Net impact related to the Tax Reform Act, percentage | 0 | (0.002) | 0.232 |
Net impact related to the India Tax Law, percentage | 0.80% | 0.00% | 0.00% |
Recognition of previously unrecognized income tax benefits related to uncertain tax positions, percentage | (0.00%) | (0.40%) | (2.70%) |
Credits and other incentives, percent | (2.20%) | (0.70%) | (1.40%) |
Other adjustments, percent | 1.20% | 1.10% | (1.10%) |
Total provision for income taxes, percentage | 25.30% | 25.00% | 43.40% |
Income Taxes (Schedule Of Defer
Income Taxes (Schedule Of Deferred Tax Assets And Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred income tax assets: | ||
Net operating losses | $ 27 | $ 13 |
Revenue recognition | 39 | 51 |
Compensation and benefits | 171 | 150 |
Minimum alternative tax (MAT) and other credits | 307 | 340 |
Expenses not currently deductible | 352 | 60 |
Deferred income tax assets, gross | 896 | 614 |
Less valuation allowance | (24) | (11) |
Deferred income tax assets, net | 872 | 603 |
Deferred income tax liabilities: | ||
Depreciation and amortization | 187 | 256 |
Deferred Tax Liabilities, Deferred Expense | 110 | 79 |
Other | 25 | 9 |
Deferred income tax liabilities | 322 | 344 |
Net deferred income tax assets | $ 550 | $ 259 |
Income Taxes (Summary Of Change
Income Taxes (Summary Of Changes In Unrecognized Tax Benefits) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Changes in unrecognized income tax benefits | |||
Balance, beginning of year | $ 117 | $ 97 | $ 151 |
Additions based on tax positions related to the current year | 22 | 8 | 17 |
Additions for tax positions of prior years | 14 | 19 | 2 |
Unrecognized Tax Benefits, Increase Resulting from Acquisition | 0 | 6 | 0 |
Reductions for tax positions due to lapse of statutes of limitations | 0 | (12) | (41) |
Reductions for tax positions of prior years | (1) | 0 | (32) |
Settlements | 0 | 0 | 0 |
Foreign currency exchange movement | 0 | (1) | 0 |
Balance, end of year | $ 152 | $ 117 | $ 97 |
Derivative Financial Instrume_3
Derivative Financial Instruments (Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Cash flow hedge losses expected to be reclassified to earnings within the next 12 months | $ 21 |
Derivative Financial Instrume_4
Derivative Financial Instruments (Location And Fair Values Of Derivative Financial Instruments In Our Consolidated Statement Of Financial Position) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Derivatives, Fair Value [Line Items] | ||
Derivative assets fair value | $ 43 | $ 27 |
Derivative liabilities fair value | 10 | 34 |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets fair value | 3 | 1 |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | Accrued Expenses And Other Current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities fair value | 1 | 4 |
Cash Flow Hedges [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets fair value | 40 | 26 |
Derivative liabilities fair value | 9 | 30 |
Cash Flow Hedges [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets fair value | 32 | 11 |
Cash Flow Hedges [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | Other Noncurrent Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets fair value | 8 | 15 |
Cash Flow Hedges [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | Accrued Expenses And Other Current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities fair value | 7 | 21 |
Cash Flow Hedges [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | Other Noncurrent Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities fair value | 2 | 9 |
Other Derivatives [Member] | Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets fair value | 3 | 1 |
Derivative liabilities fair value | $ 1 | $ 4 |
Derivative Financial Instrume_5
Derivative Financial Instruments (Notional Value Of Outstanding Cash Flow Hedge Contracts By Year Of Maturity And Net Unrealized (Loss) Gain Included In Accumulated Other Comprehensive Income) (Details) - Cash Flow Hedges [Member] - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Foreign Exchange Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Net unrealized gains (losses) included in accumulated other comprehensive income (loss), net of taxes | $ 26 | $ (3) |
Designated as Hedging Instrument [Member] | Foreign Exchange Forward, Maturity 2019 [Member] | ||
Derivative [Line Items] | ||
Derivative, notional amount | 0 | 1,388 |
Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Derivative, notional amount | 2,388 | 2,168 |
Designated as Hedging Instrument [Member] | Foreign Exchange Forward, Maturity 2020 [Member] | ||
Derivative [Line Items] | ||
Derivative, notional amount | 1,505 | 780 |
Designated as Hedging Instrument [Member] | Foreign Exchange Forward, Maturity 2021 [Member] | ||
Derivative [Line Items] | ||
Derivative, notional amount | $ 883 | $ 0 |
Derivative Financial Instrume_6
Derivative Financial Instruments (Location And Amounts Of Pre-Tax Gains (Losses) On Cash Flow Hedge Derivatives Financial Instruments) (Details) - Cash Flow Hedges [Member] - Designated as Hedging Instrument [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | $ 4 | $ 71 |
Cost of revenues | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 3 | 61 |
Selling, general and administrative expenses | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 1 | 10 |
Foreign Exchange Forward Contracts [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
(Increase) Decrease in Derivative Losses Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion) | $ 39 | $ (87) |
Derivative Financial Instrume_7
Derivative Financial Instruments (Additional Information Related To Outstanding Contracts Not Designated As Hedging Instruments) (Details) - Not Designated as Hedging Instrument [Member] - Foreign Exchange Forward Contracts [Member] - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Derivative [Line Items] | ||
Derivative, notional amount | $ 702 | $ 507 |
Market value | $ 2 | $ (3) |
Derivative Financial Instrume_8
Derivative Financial Instruments (Location And Amounts Of Pre-Tax Gains (Losses) On Derivative Financial Instruments Not Designated As Hedges) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts [Member] | Foreign Currency Gain (Loss) [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of net gains (losses) on derivative instruments | $ 8 | $ 31 |
Fair Value Measurements (Financ
Fair Value Measurements (Financial Assets And (Liabilities) Measured At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Restricted Investments | $ 414 | $ 423 |
Equity investment securities | 26 | 25 |
Debt Securities, Time Deposits | 466 | 500 |
Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity investment securities | 26 | |
Time Deposits, Fair Value Disclosure | 466 | |
Fair Value, Recurring [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity investment securities | 25 | |
Time Deposits, Fair Value Disclosure | 500 | |
Fair Value, Recurring [Member] | Other Current Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 35 | 12 |
Fair Value, Recurring [Member] | Accrued Expenses And Other Current Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Combination, Contingent Consideration, Liability | (8) | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | (8) | (25) |
Fair Value, Recurring [Member] | Other Noncurrent Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 8 | 15 |
Fair Value, Recurring [Member] | Other Noncurrent Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Combination, Contingent Consideration, Liability | (30) | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | (2) | (9) |
Fair Value, Recurring [Member] | Municipal Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 89 | |
Fair Value, Recurring [Member] | U.S. Treasury And Agency Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 625 | |
Fair Value, Recurring [Member] | Corporate And Other Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 416 | |
Fair Value, Recurring [Member] | Certificates of deposit and commercial paper [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 296 | |
Fair Value, Recurring [Member] | Asset-Backed Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 334 | |
Fair Value, Recurring [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 1,646 | |
Fair Value, Recurring [Member] | Money Market Funds [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 103 | |
Fair Value, Recurring [Member] | Bank Deposits [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 32 | |
Fair Value, Recurring [Member] | Commercial Paper [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 68 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity investment securities | 26 | 25 |
Time Deposits, Fair Value Disclosure | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Other Current Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Accrued Expenses And Other Current Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Combination, Contingent Consideration, Liability | 0 | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Other Noncurrent Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Other Noncurrent Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Combination, Contingent Consideration, Liability | 0 | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Municipal Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | U.S. Treasury And Agency Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 570 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Corporate And Other Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Certificates of deposit and commercial paper [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Asset-Backed Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Money Market Funds [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 1,646 | 103 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Commercial Paper [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity investment securities | 0 | 0 |
Time Deposits, Fair Value Disclosure | 500 | |
Debt Securities, Time Deposits | 466 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Other Current Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 35 | 12 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Accrued Expenses And Other Current Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Combination, Contingent Consideration, Liability | 0 | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | (8) | (25) |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Other Noncurrent Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 8 | 15 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Other Noncurrent Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Combination, Contingent Consideration, Liability | 0 | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | (2) | (9) |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Municipal Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 89 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | U.S. Treasury And Agency Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 55 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Corporate And Other Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 416 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Certificates of deposit and commercial paper [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 296 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Asset-Backed Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 334 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Money Market Funds [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Bank Deposits [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 32 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Commercial Paper [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 68 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity investment securities | 0 | 0 |
Time Deposits, Fair Value Disclosure | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Other Current Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Accrued Expenses And Other Current Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Combination, Contingent Consideration, Liability | (8) | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Other Noncurrent Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Other Noncurrent Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Combination, Contingent Consideration, Liability | (30) | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | $ 0 | 0 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Municipal Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | U.S. Treasury And Agency Debt Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Certificates of deposit and commercial paper [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Asset-Backed Securities [Member] | Short-term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Money Market Funds [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Commercial Paper [Member] | Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | $ 0 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
AOCI, beginning balance | $ 11,424 | $ 10,669 | $ 10,728 |
Other Comprehensive Income (Loss), Tax [Abstract] | |||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Parent | 39 | (65) | 111 |
Other Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||
Cumulative effect of change in accounting principle, Net of Tax | 2 | 121 | |
Other comprehensive income (loss) | 76 | (183) | 184 |
AOCI, ending balance | 11,022 | 11,424 | 10,669 |
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent | 8 | 0 | (3) |
Foreign currency translation adjustments: | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
AOCI before Tax, beginning balance | (108) | (38) | (149) |
AOCI Tax, beginning balance | 5 | 0 | 0 |
AOCI, beginning balance | (103) | (38) | (149) |
Other Comprehensive Income (Loss), before Tax [Abstract] | |||
Other Comprehensive Income (Loss), before Tax | 45 | (70) | 111 |
Other Comprehensive Income (Loss), Tax [Abstract] | |||
Other Comprehensive Income (Loss), Tax | (6) | 5 | 0 |
Other Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||
Other comprehensive income (loss) | (65) | 111 | |
AOCI before Tax, ending balance | (63) | (108) | (38) |
AOCI Tax, ending balance | (1) | 5 | 0 |
AOCI, ending balance | (64) | (103) | (38) |
Unrealized (losses) on available-for-sale investment securities: | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
AOCI before Tax, beginning balance | (12) | (11) | (6) |
AOCI Tax, beginning balance | 4 | 4 | 2 |
AOCI, beginning balance | (8) | (7) | (4) |
Other Comprehensive Income (Loss), before Tax [Abstract] | |||
OCI, before Reclassifications, before Tax | 13 | (5) | (7) |
Reclassification from AOCI, Current Period, before Tax | (1) | 4 | 2 |
Other Comprehensive Income (Loss), before Tax | 12 | (1) | (5) |
Other Comprehensive Income (Loss), Tax [Abstract] | |||
Other Comprehensive Income (Loss) before Reclassifications, Tax | (4) | 2 | 3 |
Reclassification from AOCI, Current Period, Tax | 0 | (1) | (1) |
Other Comprehensive Income (Loss), Tax | (4) | 0 | 2 |
Other Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||
OCI, before Reclassifications, Net of Tax | 9 | (3) | (4) |
Reclassification from AOCI, Current Period, Net of Tax | (1) | 3 | 1 |
Other comprehensive income (loss) | (1) | (3) | |
AOCI before Tax, ending balance | 0 | (12) | (11) |
AOCI Tax, ending balance | 0 | 4 | 4 |
AOCI, ending balance | 0 | (8) | (7) |
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent | 8 | ||
Unrealized (losses) gains on cash flow hedges: | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
AOCI before Tax, beginning balance | (4) | 154 | 51 |
AOCI Tax, beginning balance | 1 | (39) | (12) |
AOCI, beginning balance | (3) | 115 | 39 |
Other Comprehensive Income (Loss), before Tax [Abstract] | |||
OCI, before Reclassifications, before Tax | 39 | (87) | 232 |
Other Comprehensive Income (Loss), before Tax | 35 | (158) | 103 |
Other Comprehensive Income (Loss), Tax [Abstract] | |||
Other Comprehensive Income (Loss) before Reclassifications, Tax | (7) | 23 | (57) |
Other Comprehensive Income (Loss), Tax | (6) | 40 | (27) |
Other Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||
OCI, before Reclassifications, Net of Tax | 32 | (64) | 175 |
Other comprehensive income (loss) | 29 | (118) | 76 |
AOCI before Tax, ending balance | 31 | (4) | 154 |
AOCI Tax, ending balance | (5) | 1 | (39) |
AOCI, ending balance | 26 | (3) | 115 |
Accumulated other comprehensive income (loss): | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
AOCI before Tax, beginning balance | (124) | 105 | (104) |
AOCI Tax, beginning balance | 10 | (35) | (10) |
AOCI, beginning balance | (114) | 70 | (114) |
Other Comprehensive Income (Loss), before Tax [Abstract] | |||
Other Comprehensive Income (Loss), before Tax | 92 | (229) | 209 |
Other Comprehensive Income (Loss), Tax [Abstract] | |||
Cumulative effect of change in accounting principle , Tax | (1) | ||
Other Comprehensive Income (Loss), Tax | (16) | 45 | (25) |
Other Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||
Cumulative effect of change in accounting principle, Net of Tax | 0 | (1) | |
Other comprehensive income (loss) | 76 | (184) | 184 |
AOCI before Tax, ending balance | (32) | (124) | 105 |
AOCI Tax, ending balance | (6) | 10 | (35) |
AOCI, ending balance | (38) | (114) | 70 |
Cost of revenues | Unrealized (losses) gains on cash flow hedges: | |||
Other Comprehensive Income (Loss), before Tax [Abstract] | |||
Reclassification from AOCI, Current Period, before Tax | (3) | (61) | (109) |
Other Comprehensive Income (Loss), Tax [Abstract] | |||
Reclassification from AOCI, Current Period, Tax | 1 | 15 | 26 |
Other Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||
Reclassification from AOCI, Current Period, Net of Tax | (2) | (46) | (83) |
Selling, general and administrative expenses | Unrealized (losses) gains on cash flow hedges: | |||
Other Comprehensive Income (Loss), before Tax [Abstract] | |||
Reclassification from AOCI, Current Period, before Tax | (1) | (10) | (20) |
Other Comprehensive Income (Loss), Tax [Abstract] | |||
Reclassification from AOCI, Current Period, Tax | 0 | 2 | 4 |
Other Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||
Reclassification from AOCI, Current Period, Net of Tax | $ (1) | $ (8) | $ (16) |
Commitments and Contingencies (
Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | |||
Feb. 28, 2019 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | |
Other Commitments [Line Items] | ||||
Accrued expenses and other current liabilities | $ 2,191 | $ 2,200 | ||
Insurance Receivable | $ 20 | |||
India Defined Contribution Obligation [Member] | ||||
Other Commitments [Line Items] | ||||
Accrued expenses and other current liabilities | $ 117 | |||
FCPA Accrual [Member] | ||||
Other Commitments [Line Items] | ||||
FCPA Accrual | $ 28 |
Employee Benefits (Narrative) (
Employee Benefits (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Accrued expenses and other current liabilities | $ 2,191 | $ 2,200 | ||
Gratuity Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Liability, Defined Benefit Plan | 135 | 141 | ||
Fund assets | 160 | 136 | ||
Pension and Other Postretirement Benefits Cost (Reversal of Cost) | 38 | 53 | $ 40 | |
India Defined Contribution Obligation [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Accrued expenses and other current liabilities | $ 117 | |||
United States and Europe | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined contribution plan expense | 117 | 108 | 91 | |
India | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined contribution plan expense | $ 101 | $ 88 | $ 86 | |
Employee contribution percentage, maximum | 12.00% |
Stock-Based Compensation Plan_2
Stock-Based Compensation Plans (Narrative) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
2017 Incentive Plan [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Shares authorized | 48.8 | ||
Shares available for grant | 34.3 | ||
Restricted Stock Units [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Unrecognized stock-based compensation expense | $ 241 | ||
Weighted average remaining requisite service period | 1 year 10 months 24 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $ 170 | $ 194 | $ 169 |
Weighted Average Grant Date Fair Value, Granted | $ 64.12 | $ 74.94 | $ 67.56 |
Performance Stock Units [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $ 82 | $ 53 | $ 60 |
Weighted Average Grant Date Fair Value, Granted | $ 70.77 | $ 81.98 | $ 60.77 |
Employee Stock [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Shares authorized | 40 | ||
Shares available for grant | 8.9 | ||
Vesting period | 3 months | ||
Eligible employees purchase percentage of whole share of fair market value | 90.00% | ||
Shares issued | 2.8 | ||
Fair value of shares issued | $ 28 | ||
Minimum [Member] | Restricted Stock Units [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Vesting period | 1 year | ||
Minimum [Member] | Performance Stock Units [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Vesting period | 1 year | ||
Maximum [Member] | Restricted Stock Units [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Vesting period | 4 years | ||
Maximum [Member] | Performance Stock Units [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Vesting period | 4 years |
Stock-Based Compensation Plan_3
Stock-Based Compensation Plans (Schedule Of Allocation Of Total Stock-Based Compensation Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | $ 267 | $ 221 | |
Share-based Payment Arrangement, Noncash Expense | $ 217 | 267 | 221 |
Income tax benefit | 39 | 66 | 101 |
Cost of revenues | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | 54 | 62 | 55 |
Selling, general and administrative expenses | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | $ 163 | $ 205 | $ 166 |
Stock-Based Compensation Plan_4
Stock-Based Compensation Plans (Schedule Of Assumptions Used To Calculate The Fair Value Of Option Grants) (Details) - Employee Stock [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Dividend yield | 1.30% | 1.00% | 1.00% |
Weighted average volatility factor | 24.90% | 21.00% | 24.30% |
Weighted average expected life (in years) | 7 days | 7 days | 7 days |
Weighted average risk-free interest rate | 2.20% | 1.90% | 0.90% |
Weighted average grant date fair value | $ 9.82 | $ 10.87 | $ 9.23 |
Stock-Based Compensation Plan_5
Stock-Based Compensation Plans (Summary Of The Activity For Performance Stock Units) (Details) - Performance Stock Units [Member] - $ / shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of Units | |||
Number of Units, Unvested at beginning of period | 3.3 | ||
Number of Units, Granted | 2.1 | ||
Number of Units, Vested | (1.3) | ||
Number of Units, Forfeited | (0.7) | ||
Number of Units, Adjustment at the conclusion of the performance measurement period | 1.4 | ||
Number of Units, Unvested at end of period | 2 | 3.3 | |
Weighted Average Grant Date Fair Value (in dollars) | |||
Weighted Average Grant Date Fair Value, Unvested at beginning of period | $ 71.59 | ||
Weighted Average Grant Date Fair Value, Granted | 70.77 | $ 81.98 | $ 60.77 |
Weighted Average Grant Date Fair Value, Vested | 60.05 | ||
Weighted Average Grant Date Fair Value, Forfeited | 75.35 | ||
Weighted Average Grant Date Fair Value, Reduction due to the achievement of lower than maximum performance milestones | 81.77 | ||
Weighted Average Grant Date Fair Value, Unvested at end of period | $ 69.73 | $ 71.59 |
Stock-Based Compensation Plan_6
Stock-Based Compensation Plans (Summary Of The Activity For Restricted Stock Units) (Details) - Restricted Stock Units [Member] - $ / shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of Units | |||
Number of Units, Unvested at beginning of period | 5 | ||
Number of Units, Granted | 3 | ||
Number of Units, Vested | (2.6) | ||
Number of Units, Forfeited | (0.9) | ||
Number of Units, Unvested at end of period | 4.5 | 5 | |
Weighted Average Grant Date Fair Value (in dollars) | |||
Weighted Average Grant Date Fair Value, Unvested at beginning of period | $ 69.64 | ||
Weighted Average Grant Date Fair Value, Granted | 64.12 | $ 74.94 | $ 67.56 |
Weighted Average Grant Date Fair Value, Vested | 67.43 | ||
Weighted Average Grant Date Fair Value, Forfeited | 70.11 | ||
Weighted Average Grant Date Fair Value, Unvested at end of period | $ 67.07 | $ 69.64 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | ||
Related Party Transaction, Purchases from Related Party | $ 4 | |
Cognizant U.S. Foundation | ||
Related Party Transaction [Line Items] | ||
Related Party Transaction, Amounts of Transaction | $ 100 |
Segment Information (Revenues F
Segment Information (Revenues From External Customers And Segment Operating Profit) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||||||||||
Income from operations | $ 626 | $ 669 | $ 619 | $ 539 | $ 693 | $ 745 | $ 670 | $ 693 | $ 2,453 | $ 2,801 | $ 2,481 |
Corporate, Non-Segment [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Less: unallocated costs | 2,173 | 2,043 | 2,115 | ||||||||
Operating Segments [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Income from operations | 4,626 | 4,844 | 4,596 | ||||||||
Operating Segments [Member] | Financial Services | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Income from operations | 1,605 | 1,713 | 1,771 | ||||||||
Operating Segments [Member] | Healthcare | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Income from operations | 1,261 | 1,416 | 1,301 | ||||||||
Operating Segments [Member] | Products and Resources | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Income from operations | 1,028 | 1,023 | 923 | ||||||||
Operating Segments [Member] | Communications, Media and Technology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Income from operations | $ 732 | $ 692 | $ 601 |
Segment Information (Revenues A
Segment Information (Revenues And Long-Lived Assets By Geographic Area) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Geographic Areas, Long-Lived Assets | |||
Long-lived assets | $ 1,309 | $ 1,394 | $ 1,324 |
North America [Member] | |||
Geographic Areas, Long-Lived Assets | |||
Long-lived assets | 445 | 436 | 360 |
Europe [Member] | |||
Geographic Areas, Long-Lived Assets | |||
Long-lived assets | 104 | 105 | 63 |
Rest of World [Member] | |||
Geographic Areas, Long-Lived Assets | |||
Long-lived assets | $ 760 | $ 853 | $ 901 |
Quarterly Financial Data (Una_3
Quarterly Financial Data (Unaudited) (Summary Of Quarterly Financial Data) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Quarterly Financial Data [Abstract] | |||||||||||
Revenues | $ 4,284 | $ 4,248 | $ 4,141 | $ 4,110 | $ 4,129 | $ 4,078 | $ 4,006 | $ 3,912 | $ 16,783 | $ 16,125 | $ 14,810 |
Cost of revenues (exclusive of depreciation and amortization expense shown separately below) | 2,749 | 2,681 | 2,629 | 2,575 | 2,540 | 2,480 | 2,417 | 2,401 | 10,634 | 9,838 | 9,152 |
Selling, general and administrative expenses | 676 | 706 | 719 | 871 | 769 | 723 | 805 | 710 | 2,972 | 3,007 | 2,697 |
Restructuring Charges | 101 | 65 | 49 | 2 | 7 | 11 | 0 | 1 | 217 | 19 | 72 |
Depreciation and amortization expense | 132 | 127 | 125 | 123 | 120 | 119 | 114 | 107 | 507 | 460 | 408 |
Income from operations | 626 | 669 | 619 | 539 | 693 | 745 | 670 | 693 | 2,453 | 2,801 | 2,481 |
Net income | $ 395 | $ 497 | $ 509 | $ 441 | $ 648 | $ 477 | $ 456 | $ 520 | $ 1,842 | $ 2,101 | $ 1,504 |
Basic earnings per share | $ 0.72 | $ 0.90 | $ 0.90 | $ 0.77 | $ 1.12 | $ 0.82 | $ 0.78 | $ 0.89 | $ 3.30 | $ 3.61 | $ 2.54 |
Diluted earnings per share | $ 0.72 | $ 0.90 | $ 0.90 | $ 0.77 | $ 1.12 | $ 0.82 | $ 0.78 | $ 0.88 | $ 3.29 | $ 3.60 | $ 2.53 |
Valuation And Qualifying Acco_2
Valuation And Qualifying Accounts (Valuation And Qualifying Accounts) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accounts Receivable Allowance For Doubtful Accounts [Member] | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | $ 78 | $ 65 | $ 48 |
Charged to Costs and Expenses | (11) | 13 | 15 |
Charged to Other Accounts | 0 | 0 | 3 |
Deductions/Other | 0 | 0 | 1 |
Balance at End of Period | 67 | 78 | 65 |
Warranty Accrual [Member] | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | 32 | 30 | 26 |
Charged to Costs and Expenses | 33 | 32 | 30 |
Charged to Other Accounts | 0 | 0 | 0 |
Deductions/Other | 32 | 30 | 26 |
Balance at End of Period | 33 | 32 | 30 |
Valuation Allowance - Deferred Income Tax Assets [Member] | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | 11 | 10 | 10 |
Charged to Costs and Expenses | 15 | 1 | 0 |
Charged to Other Accounts | 0 | 0 | 0 |
Deductions/Other | 2 | 0 | 0 |
Balance at End of Period | $ 24 | $ 11 | $ 10 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Billions | Feb. 03, 2020 | Dec. 31, 2019 |
Subsequent Event [Line Items] | ||
Stock Repurchase Program, Authorized Amount | $ 5.5 | |
Subsequent Event [Member] | ||
Subsequent Event [Line Items] | ||
Dividends declared per common share | $ 0.22 | |
Stock Repurchase Program, Authorized Amount | $ 7.5 |