Filed: 25 Jul 19

Cover Page

Cover Page - shares6 Months Ended
Jun. 30, 2019Jul. 19, 2019
Entity Information
Document Type10-Q
Document Quarterly Reporttrue
Document Period End DateJun. 30,
2019
Document Transition Reportfalse
Entity File Number001-35551
Entity Registrant NameFacebook Inc
Entity Incorporation, State or Country CodeDE
Entity Tax Identification Number20-1665019
Entity Address, Address Line One1601 Willow Road
Entity Address, City or TownMenlo Park
Entity Address, State or ProvinceCA
Entity Address, Postal Zip Code94025
City Area Code650
Local Phone Number543-4800
Title of 12(b) SecurityClass A Common Stock, par value $.000006
Trading SymbolFB
Security Exchange NameNASDAQ
Entity Current Reporting StatusYes
Entity Interactive Data CurrentYes
Entity Filer CategoryLarge Accelerated Filer
Entity Small Businessfalse
Entity Emerging Growth Companyfalse
Entity Shell Companyfalse
Amendment Flagfalse
Document Fiscal Year Focus2019
Document Fiscal Period FocusQ2
Entity Central Index Key0001326801
Current Fiscal Year End Date--12-31
Class A Common Stock
Entity Information
Entity Common Stock, Shares Outstanding2,405,723,136
Class B Common Stock
Entity Information
Entity Common Stock, Shares Outstanding447,227,362

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Current assets:
Cash and cash equivalents $ 13,877 $ 10,019
Marketable securities34,719 31,095
Accounts receivable, net of allowances of $295 and $229 as of June 30, 2019 and December 31, 2018, respectively7,513 7,587
Prepaid expenses and other current assets1,852 1,779
Total current assets57,961 50,480
Property and equipment, net29,999 24,683
Operating lease right-of-use assets, net7,272
Intangible assets, net994 1,294
Goodwill18,334 18,301
Other assets2,446 2,576
Total assets117,006 97,334
Current liabilities:
Accounts payable655 820
Partners payable560 541
Operating lease liabilities, current688
Accrued expenses and other current liabilities10,878 5,509
Deferred revenue and deposits198 147
Total current liabilities12,979 7,017
Operating lease liabilities, non-current7,122
Other liabilities8,143 6,190
Total liabilities28,244 13,207
Commitments and contingencies
Stockholders' equity:
Common stock, $0.000006 par value; 5,000 million Class A shares authorized, 2,407 million and 2,385 million shares issued and outstanding, as of June 30, 2019 and December 31, 2018, respectively; 4,141 million Class B shares authorized, 447 million and 469 million shares issued and outstanding, as of June 30, 2019 and December 31, 2018, respectively.0 0
Additional paid-in capital44,277 42,906
Accumulated other comprehensive loss(483)(760)
Retained earnings44,968 41,981
Total stockholders' equity88,762 84,127
Total liabilities and stockholders' equity $ 117,006 $ 97,334

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Current assets:
Accounts receivable, allowances for doubtful accounts $ (295) $ (229)
Stockholders' equity:
Common stock, par value (in dollars per share) $ 0.000006 $ 0.000006
Class A Common Stock
Stockholders' equity:
Common stock, shares authorized (in shares)5,000,000,000 5,000,000,000
Common stock, shares issued (in shares)2,407,000,000 2,385,000,000
Common stock, shares outstanding (in shares)2,407,000,000 2,385,000,000
Class B Common Stock
Stockholders' equity:
Common stock, shares authorized (in shares)4,141,000,000 4,141,000,000
Common stock, shares issued (in shares)447,000,000 469,000,000
Common stock, shares outstanding (in shares)447,000,000 469,000,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Millions, $ in Millions3 Months Ended6 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018
Revenue $ 16,886 $ 13,231 $ 31,963 $ 25,197
Costs and expenses:
Cost of revenue3,307 2,214 6,123 4,141
Research and development3,315 2,523 6,175 4,761
Marketing and sales2,414 1,855 4,434 3,450
General and administrative3,224 776 7,288 1,532
Total costs and expenses12,260 7,368 24,020 13,884
Income from operations4,626 5,863 7,943 11,313
Interest and other income, net206 5 371 165
Income before provision for income taxes4,832 5,868 8,314 11,478
Provision for income taxes2,216 762 3,269 1,385
Net income2,616 5,106 5,045 10,093
Less: Net income attributable to participating securities0 0 0 1
Net income attributable to Class A and Class B common stockholders $ 2,616 $ 5,106 $ 5,045 $ 10,092
Earnings per share attributable to Class A and Class B common stockholders:
Basic (in dollars per share) $ 0.92 $ 1.76 $ 1.77 $ 3.48
Diluted (in dollars per share) $ 0.91 $ 1.74 $ 1.76 $ 3.43
Weighted average shares used to compute earnings per share attributable to Class A and Class B common stockholders:
Basic (in shares)2,855 2,895 2,855 2,900
Diluted (in shares)2,875 2,930 2,873 2,939
Share-based compensation expense included in costs and expenses:
Share-based compensation expense $ 1,303 $ 1,186 $ 2,313 $ 2,141
Cost of revenue
Share-based compensation expense included in costs and expenses:
Share-based compensation expense109 74 196 130
Research and development
Share-based compensation expense included in costs and expenses:
Share-based compensation expense927 881 1,650 1,599
Marketing and sales
Share-based compensation expense included in costs and expenses:
Share-based compensation expense160 139 273 248
General and administrative
Share-based compensation expense included in costs and expenses:
Share-based compensation expense $ 107 $ 92 $ 194 $ 164

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions3 Months Ended6 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018
Statement of Comprehensive Income [Abstract]
Net income $ 2,616 $ 5,106 $ 5,045 $ 10,093
Other comprehensive income (loss):
Change in foreign currency translation adjustment, net of tax90 (372)(85)(278)
Change in unrealized gain/loss on available-for-sale investments and other, net of tax208 (21)362 (182)
Comprehensive income $ 2,914 $ 4,713 $ 5,322 $ 9,633

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Millions, $ in MillionsTotalClass A and Class B Common StockAdditional Paid-In CapitalAccumulated Other Comprehensive LossRetained Earnings
Balances at beginning of period (in shares) at Dec. 31, 20172,906
Balances at beginning of period at Dec. 31, 2017 $ 74,347 $ 0 $ 40,584 $ (227) $ 33,990
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)24
Issuance of common stock7 7
Shares withheld related to net share settlement and other (in shares)(10)
Shares withheld related to net share settlement and other(1,758)(900)(858)
Share-based compensation2,141 2,141
Share repurchases (in shares)(29)
Share repurchases(5,129)(5,129)
Other comprehensive income (loss)(460)(460)
Net income10,093 10,093
Balances at end of period (in shares) at Jun. 30, 20182,891
Balances at end of period at Jun. 30, 201879,382 $ 0 41,832 (687)38,237
Balances at beginning of period (in shares) at Mar. 31, 20182,902
Balances at beginning of period at Mar. 31, 201877,620 $ 0 41,134 (294)36,780
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)12
Issuance of common stock4 4
Shares withheld related to net share settlement and other (in shares)(5)
Shares withheld related to net share settlement and other(927)(492)(435)
Share-based compensation1,186 1,186
Share repurchases (in shares)(18)
Share repurchases(3,214)(3,214)
Other comprehensive income (loss)(393)(393)
Net income5,106 5,106
Balances at end of period (in shares) at Jun. 30, 20182,891
Balances at end of period at Jun. 30, 201879,382 $ 0 41,832 (687)38,237
Balances at beginning of period (in shares) at Dec. 31, 20182,854
Balances at beginning of period at Dec. 31, 201884,127 $ 0 42,906 (760)41,981
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)16
Issuance of common stock9 9
Shares withheld related to net share settlement and other (in shares)(7)
Shares withheld related to net share settlement and other(1,362)(951)(411)
Share-based compensation2,313 2,313
Share repurchases (in shares)(9)
Share repurchases(1,647)(1,647)
Other comprehensive income (loss)277 277
Net income5,045 5,045
Balances at end of period (in shares) at Jun. 30, 20192,854
Balances at end of period at Jun. 30, 201988,762 $ 0 44,277 (483)44,968
Balances at beginning of period (in shares) at Mar. 31, 20192,856
Balances at beginning of period at Mar. 31, 201986,516 $ 0 43,533 (781)43,764
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)8
Issuance of common stock4 4
Shares withheld related to net share settlement and other (in shares)(4)
Shares withheld related to net share settlement and other(850)(563)(287)
Share-based compensation1,303 1,303
Share repurchases (in shares)(6)
Share repurchases(1,125)(1,125)
Other comprehensive income (loss)298 298
Net income2,616 2,616
Balances at end of period (in shares) at Jun. 30, 20192,854
Balances at end of period at Jun. 30, 2019 $ 88,762 $ 0 $ 44,277 $ (483) $ 44,968

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions6 Months Ended
Jun. 30, 2019Jun. 30, 2018
Cash flows from operating activities
Net income $ 5,045 $ 10,093
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization2,857 1,983
Share-based compensation2,313 2,141
Deferred income taxes184 54
Other14 18
Changes in assets and liabilities:
Accounts receivable64 161
Prepaid expenses and other current assets(168)(898)
Other assets65 (59)
Operating lease right-of-use assets, net(1,711)
Accounts payable(87)50
Partners payable20 53
Accrued expenses and other current liabilities5,982 690
Deferred revenue and deposits51 (4)
Operating lease liabilities, non-current1,638
Other liabilities1,657 (124)
Net cash provided by operating activities17,924 14,158
Cash flows from investing activities
Purchases of property and equipment, net(7,470)(6,272)
Purchases of marketable securities(11,755)(8,283)
Sales of marketable securities4,456 8,612
Maturities of marketable securities4,105 2,338
Other investing activities, net(114)(66)
Net cash used in investing activities(10,778)(3,671)
Cash flows from financing activities
Taxes paid related to net share settlement of equity awards(1,119)(1,758)
Repurchases of Class A common stock(1,758)(5,123)
Principal payments on finance leases(267)0
Net change in overdraft in cash pooling entities(119)0
Other financing activities, net9 7
Net cash used in financing activities(3,254)(6,874)
Effect of exchange rate changes on cash, cash equivalents, and restricted cash(18)(149)
Net increase in cash, cash equivalents, and restricted cash3,874 3,464
Cash, cash equivalents, and restricted cash at beginning of the period10,124 8,204
Cash, cash equivalents, and restricted cash at end of the period13,998 11,668
Reconciliation of cash, cash equivalents, and restricted cash to the condensed consolidated balance sheets
Cash and cash equivalents13,877 11,552
Total cash, cash equivalents, and restricted cash10,124 8,204
Cash paid during the period for:
Interest6 0
Income taxes, net1,696 2,281
Non-cash investing activities:
Net change in prepaids and liabilities related to property and equipment(203)231
Property and equipment in accounts payable and accrued liabilities $ 1,667 $ 1,146

Summary of Significant Accounti

Summary of Significant Accounting Policies6 Months Ended
Jun. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting PoliciesSummary of Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (GAAP) and applicable rules and regulations of the Securities and Exchange Commission (SEC) regarding interim financial reporting. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. As such, the information included in this quarterly report on Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended December 31, 2018 . The condensed consolidated balance sheet as of December 31, 2018 included herein was derived from the audited financial statements as of that date, but does not include all disclosures including notes required by GAAP. The condensed consolidated financial statements include the accounts of Facebook, Inc., its wholly owned subsidiaries, and any variable interest entities for which we are deemed to be the primary beneficiary. All intercompany balances and transactions have been eliminated. The accompanying condensed consolidated financial statements reflect all normal recurring adjustments that are necessary to present fairly the results for the interim periods presented. Interim results are not necessarily indicative of the results for the full year ending December 31, 2019 . Use of Estimates Conformity with GAAP requires the use of estimates and judgments that affect the reported amounts in the consolidated financial statements and accompanying notes. These estimates form the basis for judgments we make about the carrying values of our assets and liabilities, which are not readily apparent from other sources. We base our estimates and judgments on historical information and on various other assumptions that we believe are reasonable under the circumstances. GAAP requires us to make estimates and judgments in several areas, including, but not limited to, those related to income taxes, loss contingencies, fair value of acquired intangible assets and goodwill, collectability of accounts receivable, fair value of financial instruments, leases, useful lives of intangible assets and property and equipment, and revenue recognition. These estimates are based on management's knowledge about current events and expectations about actions we may undertake in the future. Actual results could differ materially from those estimates. Recently Adopted Accounting Pronouncements On January 1, 2019, we adopted Accounting Standards Update No. 2016-02, Leases (Topic 842) (ASU 2016-02), as amended, which supersedes the lease accounting guidance under Topic 840, and generally requires lessees to recognize operating and financing lease liabilities and corresponding right-of-use (ROU) assets on the balance sheet and to provide enhanced disclosures surrounding the amount, timing and uncertainty of cash flows arising from leasing arrangements. We adopted the new guidance using the modified retrospective transition approach by applying the new standard to all leases existing at the date of initial application and not restating comparative periods. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases, while our accounting for finance leases remained substantially unchanged. For information regarding the impact of Topic 842 adoption, see Significant Accounting Policies - Leases and Note 7— Leases. Significant Accounting Policies - Leases On January 1, 2019, we adopted Topic 842 using the modified retrospective transition approach by applying the new standard to all leases existing at the date of initial application. Results and disclosure requirements for reporting periods beginning after January 1, 2019 are presented under Topic 842, while prior period amounts have not been adjusted and continue to be reported in accordance with our historical accounting under Topic 840. We elected the package of practical expedients permitted under the transition guidance, which allowed us to carryforward our historical lease classification, our assessment on whether a contract was or contains a lease, and our initial direct costs for any leases that existed prior to January 1, 2019. We also elected to combine our lease and non-lease components and to keep leases with an initial term of 12 months or less off the balance sheet and recognize the associated lease payments in the consolidated statements of income on a straight-line basis over the lease term. Additionally, for certain equipment leases, we apply a portfolio approach to effectively account for the operating lease ROU assets and liabilities. Upon adoption, we recognized total ROU assets of $ 6.63 billion , with corresponding liabilities of $ 6.35 billion on the condensed consolidated balance sheets. This included $761 million of pre-existing finance lease ROU assets previously reported in the network equipment within property and equipment, net. The ROU assets include adjustments for prepayments and accrued lease payments. The adoption did not impact our beginning retained earnings, or our prior year condensed consolidated statements of income and statements of cash flows. Under Topic 842, we determine if an arrangement is a lease at inception. ROU assets and liabilities are recognized at commencement date based on the present value of remaining lease payments over the lease term. For this purpose, we consider only payments that are fixed and determinable at the time of commencement. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Our incremental borrowing rate is a hypothetical rate based on our understanding of what our credit rating would be. The ROU asset also includes any lease payments made prior to commencement and is recorded net of any lease incentives received. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise such options.

Revenue

Revenue6 Months Ended
Jun. 30, 2019
Revenue from Contract with Customer [Abstract]
RevenueRevenue Revenue disaggregated by revenue source for the three and six months ended June 30, 2019 and 2018 , consists of the following (in millions): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Advertising $ 16,624 $ 13,038 $ 31,536 $ 24,833 Payments and other fees 262 193 427 364 Total revenue $ 16,886 $ 13,231 $ 31,963 $ 25,197 Revenue disaggregated by geography, based on the billing address of our customer, consists of the following (in millions): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Revenue: US & Canada (1) $ 7,632 $ 5,982 $ 14,409 $ 11,424 Europe (2) 4,097 3,307 7,721 6,334 Asia-Pacific 3,628 2,772 6,965 5,247 Rest of World (2) 1,529 1,170 2,868 2,192 Total revenue $ 16,886 $ 13,231 $ 31,963 $ 25,197 (1) United States revenue was $7.14 billion and $5.60 billion for the three months ended June 30, 2019 and 2018 , respectively, and $13.51 billion and $10.69 billion for the six months ended June 30, 2019 and 2018 , respectively. (2) Europe includes Russia and Turkey, and Rest of World includes Africa, Latin America, and the Middle East. Deferred revenue and deposits consists of the following (in millions): June 30, 2019 December 31, 2018 Deferred revenue $ 164 $ 117 Deposits 34 30 Total deferred revenue and deposits $ 198 $ 147

Earnings per Share

Earnings per Share6 Months Ended
Jun. 30, 2019
Earnings Per Share [Abstract]
Earnings per ShareEarnings per Share We compute earnings per share (EPS) of Class A and Class B common stock using the two-class method required for participating securities. We consider restricted stock awards to be participating securities because holders of such shares have non-forfeitable dividend rights in the event of our declaration of a dividend for common shares. Undistributed earnings allocated to participating securities are subtracted from net income in determining net income attributable to common stockholders. Basic EPS is computed by dividing net income attributable to common stockholders by the weighted-average number of shares of our Class A and Class B common stock outstanding, adjusted for outstanding shares that are subject to repurchase. For the calculation of diluted EPS, net income attributable to common stockholders for basic EPS is adjusted by the effect of dilutive securities, including awards under our equity compensation plans. In 2018, the calculation of diluted EPS also included the effect of inducement awards under separate non-plan restricted stock unit (RSU) award agreements. In addition, the computation of the diluted EPS of Class A common stock assumes the conversion of our Class B common stock to Class A common stock, while the diluted EPS of Class B common stock does not assume the conversion of those shares to Class A common stock. Diluted EPS attributable to common stockholders is computed by dividing the resulting net income attributable to common stockholders by the weighted-average number of fully diluted common shares outstanding. RSUs with anti-dilutive effect were excluded from the EPS calculation and they were not material for the three and six months ended June 30, 2019 and 2018 , respectively. Basic and diluted EPS are the same for each class of common stock because they are entitled to the same liquidation and dividend rights. The numerators and denominators of the basic and diluted EPS computations for our common stock are calculated as follows (in millions, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Class A Class B Class A Class B Class A Class B Class A Class B Basic EPS: Numerator Net income $ 2,204 $ 412 $ 4,246 $ 860 $ 4,241 $ 804 $ 8,368 $ 1,725 Less: Net income attributable to participating securities — — — — — — 1 — Net income attributable to common stockholders $ 2,204 $ 412 $ 4,246 $ 860 $ 4,241 $ 804 $ 8,367 $ 1,725 Denominator Weighted average shares outstanding 2,405 450 2,407 488 2,400 455 2,405 495 Basic EPS $ 0.92 $ 0.92 $ 1.76 $ 1.76 $ 1.77 $ 1.77 $ 3.48 $ 3.48 Diluted EPS: Numerator Net income attributable to common stockholders $ 2,204 $ 412 $ 4,246 $ 860 $ 4,241 $ 804 $ 8,367 $ 1,725 Reallocation of net income attributable to participating securities — — — — — — 1 — Reallocation of net income as a result of conversion of Class B to Class A common stock 412 — 860 — 804 — 1,725 — Reallocation of net income to Class B common stock — (2 ) — (4 ) — (3 ) — (9 ) Net income attributable to common stockholders for diluted EPS $ 2,616 $ 410 $ 5,106 $ 856 $ 5,045 $ 801 $ 10,093 $ 1,716 Denominator Number of shares used for basic EPS computation 2,405 450 2,407 488 2,400 455 2,405 495 Conversion of Class B to Class A common stock 450 — 488 — 455 — 495 — Weighted average effect of dilutive RSUs and employee stock options 20 — 35 3 18 1 39 5 Number of shares used for diluted EPS computation 2,875 450 2,930 491 2,873 456 2,939 500 Diluted EPS $ 0.91 $ 0.91 $ 1.74 $ 1.74 $ 1.76 $ 1.76 $ 3.43 $ 3.43

Cash and Cash Equivalents, and

Cash and Cash Equivalents, and Marketable Securities6 Months Ended
Jun. 30, 2019
Cash and Cash Equivalents, and Marketable Securities [Abstract]
Cash and Cash Equivalents, and Marketable SecuritiesCash and Cash Equivalents, and Marketable Securities The following table sets forth the cash and cash equivalents, and marketable securities (in millions): June 30, 2019 December 31, 2018 Cash and cash equivalents: Cash $ 3,380 $ 2,713 Money market funds 10,151 6,792 U.S. government securities 163 90 U.S. government agency securities — 54 Certificate of deposits and time deposits 163 369 Corporate debt securities 20 1 Total cash and cash equivalents 13,877 10,019 Marketable securities: U.S. government securities 17,338 13,836 U.S. government agency securities 7,792 8,333 Corporate debt securities 9,589 8,926 Total marketable securities 34,719 31,095 Total cash and cash equivalents, and marketable securities $ 48,596 $ 41,114 The gross unrealized gains on our marketable securities were $179 million and $24 million as of June 30, 2019 and December 31, 2018, respectively. The gross unrealized losses on our marketable securities were $69 million and $357 million as of June 30, 2019 and December 31, 2018 , respectively. In addition, gross unrealized losses that had been in a continuous loss position for 12 months or longer were $67 million and $332 million as of June 30, 2019 and December 31, 2018 , respectively. As of June 30, 2019 , we considered the decreases in market value of our marketable securities to be temporary in nature and did not consider any of our investments to be other-than-temporarily impaired. The following table classifies our marketable securities by contractual maturities (in millions): June 30, 2019 Due in one year $ 12,730 Due after one year to five years 21,989 Total $ 34,719

Fair Value Measurement

Fair Value Measurement6 Months Ended
Jun. 30, 2019
Fair Value Disclosures [Abstract]
Fair Value MeasurementFair Value Measurement The following table summarizes our assets measured at fair value and the classification by level of input within the fair value hierarchy (in millions): Fair Value Measurement at Reporting Date Using Description June 30, 2019 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash equivalents: Money market funds $ 10,151 $ 10,151 $ — $ — U.S. government securities 163 163 — — Certificate of deposits and time deposits 163 — 163 — Corporate debt securities 20 — 20 — Marketable securities: U.S. government securities 17,338 17,338 — — U.S. government agency securities 7,792 7,792 — — Corporate debt securities 9,589 — 9,589 — Total cash equivalents and marketable securities $ 45,216 $ 35,444 $ 9,772 $ — Fair Value Measurement at Reporting Date Using Description December 31, 2018 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash equivalents: Money market funds $ 6,792 $ 6,792 $ — $ — U.S. government securities 90 90 — — U.S. government agency securities 54 54 — — Certificate of deposits and time deposits 369 — 369 — Corporate debt securities 1 — 1 — Marketable securities: U.S. government securities 13,836 13,836 — — U.S. government agency securities 8,333 8,333 — — Corporate debt securities 8,926 — 8,926 — Total cash equivalents and marketable securities $ 38,401 $ 29,105 $ 9,296 $ —

Property and Equipment

Property and Equipment6 Months Ended
Jun. 30, 2019
Property, Plant and Equipment [Abstract]
Property and EquipmentProperty and Equipment Property and equipment consists of the following (in millions): June 30, 2019 December 31, 2018 Land $ 1,007 $ 899 Buildings 9,015 7,401 Leasehold improvements 2,301 1,841 Network equipment 14,559 13,017 Computer software, office equipment and other 1,484 1,187 Finance lease right-of-use assets 1,331 — Construction in progress 9,054 7,228 Total 38,751 31,573 Less: Accumulated depreciation (8,752 ) (6,890 ) Property and equipment, net $ 29,999 $ 24,683 Construction in progress includes costs mostly related to construction of data centers, network equipment infrastructure to support our data centers around the world, and office buildings. No interest was capitalized for any period presented.

Leases

Leases6 Months Ended
Jun. 30, 2019
Leases [Abstract]
LeasesLeases We have entered into various non-cancelable operating lease agreements for certain of our offices, data center, land, colocations and certain network equipment. Our leases have original lease periods expiring between 2019 and 2093 . Many leases include one or more options to renew. We do not assume renewals in our determination of the lease term unless the renewals are deemed to be reasonably assured at lease commencement. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. The components of lease costs, lease term and discount rate are as follows (in millions): Three Months Ended Six Months Ended June 30, 2019 June 30, 2019 Finance lease cost Amortization of right-of-use assets $ 47 $ 89 Interest 3 5 Operating lease cost 274 520 Variable lease cost and other, net 21 70 Total lease cost $ 345 $ 684 Weighted Average Remaining Lease Term Operating leases 13.1 years Finance leases 15.3 years Weighted Average Discount Rate Operating leases 3.5 % Finance leases 3.2 % The following is a schedule, by years, of maturities of lease liabilities as of June 30, 2019 (in millions): Operating Leases Finance Leases The remainder of 2019 $ 409 $ 30 2020 1,004 43 2021 956 34 2022 877 30 2023 840 30 Thereafter 6,222 334 Total undiscounted cash flows 10,308 501 Less imputed interest (2,498 ) (107 ) Present value of lease liabilities $ 7,810 $ 394 As of June 30, 2019 , we have additional operating and finance leases for facilities and network equipment that have not yet commenced with lease obligations of $4.82 billion and $471 million , respectively. These operating and finance leases will commence between 2019 and 2022 with lease terms of greater than one year to 25 years. This table does not include lease payments that were not fixed at commencement or modification. Supplemental cash flow information related to leases are as follows (in millions): Six Months Ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 388 Operating cash flows from finance leases $ 5 Financing cash flows from finance leases $ 267 Lease liabilities arising from obtaining right-of-use assets: Operating leases $ 2,203 Finance leases $ 75
LeasesLeases We have entered into various non-cancelable operating lease agreements for certain of our offices, data center, land, colocations and certain network equipment. Our leases have original lease periods expiring between 2019 and 2093 . Many leases include one or more options to renew. We do not assume renewals in our determination of the lease term unless the renewals are deemed to be reasonably assured at lease commencement. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. The components of lease costs, lease term and discount rate are as follows (in millions): Three Months Ended Six Months Ended June 30, 2019 June 30, 2019 Finance lease cost Amortization of right-of-use assets $ 47 $ 89 Interest 3 5 Operating lease cost 274 520 Variable lease cost and other, net 21 70 Total lease cost $ 345 $ 684 Weighted Average Remaining Lease Term Operating leases 13.1 years Finance leases 15.3 years Weighted Average Discount Rate Operating leases 3.5 % Finance leases 3.2 % The following is a schedule, by years, of maturities of lease liabilities as of June 30, 2019 (in millions): Operating Leases Finance Leases The remainder of 2019 $ 409 $ 30 2020 1,004 43 2021 956 34 2022 877 30 2023 840 30 Thereafter 6,222 334 Total undiscounted cash flows 10,308 501 Less imputed interest (2,498 ) (107 ) Present value of lease liabilities $ 7,810 $ 394 As of June 30, 2019 , we have additional operating and finance leases for facilities and network equipment that have not yet commenced with lease obligations of $4.82 billion and $471 million , respectively. These operating and finance leases will commence between 2019 and 2022 with lease terms of greater than one year to 25 years. This table does not include lease payments that were not fixed at commencement or modification. Supplemental cash flow information related to leases are as follows (in millions): Six Months Ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 388 Operating cash flows from finance leases $ 5 Financing cash flows from finance leases $ 267 Lease liabilities arising from obtaining right-of-use assets: Operating leases $ 2,203 Finance leases $ 75

Goodwill and Intangible Assets

Goodwill and Intangible Assets6 Months Ended
Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible AssetsGoodwill and Intangible Assets During the six months ended June 30, 2019 , we completed business acquisitions that were not material to our condensed consolidated financial statements, either individually or in the aggregate. Accordingly, pro forma historical results of operations related to these business acquisitions during the six months ended June 30, 2019 have not been presented. We have included the financial results of these business acquisitions in our condensed consolidated financial statements from their respective dates of acquisition. The changes in the carrying amount of goodwill for the six months ended June 30, 2019 are as follows (in millions): Balance as of December 31, 2018 $ 18,301 Goodwill acquired 30 Effect of currency translation adjustment 3 Balance as of June 30, 2019 $ 18,334 Intangible assets consist of the following (in millions): June 30, 2019 December 31, 2018 Weighted-Average Remaining Useful Lives (in years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Acquired users 2.3 $ 2,056 $ (1,405 ) $ 651 $ 2,056 $ (1,260 ) $ 796 Acquired technology 1.3 1,014 (945 ) 69 1,002 (871 ) 131 Acquired patents 4.9 805 (596 ) 209 805 (565 ) 240 Trade names 1.3 629 (572 ) 57 629 (517 ) 112 Other 3.2 162 (154 ) 8 162 (147 ) 15 Total intangible assets 2.7 $ 4,666 $ (3,672 ) $ 994 $ 4,654 $ (3,360 ) $ 1,294 Amortization expense of intangible assets was $156 million and $312 million for the three and six months ended June 30, 2019 , respectively, and $158 million and $327 million for the three and six months ended June 30, 2018 , respectively. As of June 30, 2019 , expected amortization expense for the unamortized acquired intangible assets for the next five years and thereafter is as follows (in millions): The remainder of 2019 $ 245 2020 382 2021 277 2022 33 2023 26 Thereafter 31 Total $ 994

Long-term Debt

Long-term Debt6 Months Ended
Jun. 30, 2019
Debt Disclosure [Abstract]
Long-term DebtLong-term Debt In May 2016, we entered into a $2.0 billion senior unsecured revolving credit facility, and any amounts outstanding under this facility will be due and payable on May 20, 2021. As of June 30, 2019 , no amounts had been drawn down, and we were in compliance with the covenants under this facility.

Commitments and Contingencies

Commitments and Contingencies6 Months Ended
Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencieste 10. Commitments and Contingencies Guarantee In 2018, we established a multi-currency notional cash pool for certain of our entities with a third-party bank provider. Actual cash balances are not physically converted and are not commingled between participating legal entities. As part of the notional cash pool agreement, the bank extends overdraft credit to our participating entities as needed, provided that the overall notionally pooled balance of all accounts in the pool at the end of each day is at least zero. In the unlikely event of a default by our collective entities participating in the pool, any overdraft balances incurred would be guaranteed by Facebook, Inc. Other contractual commitments We also have $4.57 billion of non-cancelable contractual commitments as of June 30, 2019 , the majority of which is related to network infrastructure and our data center operations. These commitments are primarily due within five years. Legal Matters Beginning on March 20, 2018, multiple putative class actions and derivative actions were filed in state and federal courts in the United States and elsewhere against us and certain of our directors and officers alleging violations of securities laws, breach of fiduciary duties, and other causes of action in connection with our platform and user data practices as well as the misuse of certain data by a developer that shared such data with third parties in violation of our terms and policies, and seeking unspecified damages and injunctive relief. Beginning on July 27, 2018, two putative class actions were filed in federal court in the United States against us and certain of our directors and officers alleging violations of securities laws in connection with the disclosure of our earnings results for the second quarter of 2018 and seeking unspecified damages. These two actions subsequently were transferred and consolidated in the U.S. District Court for the Northern District of California with the putative securities class action described above relating to our platform and user data practices. We believe these lawsuits are without merit, and we are vigorously defending them. In addition, our platform and user data practices, as well as the events surrounding the misuse of certain data by a developer became the subject of U.S. Federal Trade Commission (FTC), SEC, state attorneys general, and other government inquiries in the United States, Europe, and other jurisdictions. In July 2019, we entered into a settlement and modified consent order to resolve the FTC inquiry, and we also entered into a settlement to resolve the SEC inquiry, in each case pending federal court approval of the respective settlement. Among other matters, our settlement with the FTC requires us to pay a penalty of $5.0 billion and to significantly enhance our practices and processes for privacy compliance and oversight. In addition, our settlement with the SEC requires us to pay a penalty of $100 million . Beginning on September 28, 2018, multiple putative class actions were filed in state and federal courts in the United States and elsewhere against us alleging violations of consumer protection laws and other causes of action in connection with a third-party cyber-attack that exploited a vulnerability in Facebook’s code to steal user access tokens and access certain profile information from user accounts on Facebook, and seeking unspecified damages and injunctive relief. We believe these lawsuits are without merit, and we are vigorously defending them. In addition, the events surrounding this cyber-attack became the subject of Irish Data Protection Commission (IDPC) and other government inquiries. In addition, from time to time, we are subject to litigation and other proceedings involving law enforcement and other regulatory agencies, including in particular in Brazil and Europe, in order to ascertain the precise scope of our legal obligations to comply with the requests of those agencies, including our obligation to disclose user information in particular circumstances. A number of such instances have resulted in the assessment of fines and penalties against us. We believe we have multiple legal grounds to satisfy these requests or prevail against associated fines and penalties, and we intend to vigorously defend such fines and penalties. From time to time we also notify the IDPC, our designated European privacy regulator under the General Data Protection Regulation, of certain other personal data breaches and privacy issues, and are subject to inquiries and investigations regarding various aspects of our regulatory compliance. In connection with the aforementioned FTC inquiry, we have recorded a probable loss of $5.0 billion in accrued expenses and other current liabilities on our condensed consolidated balance sheet as of June 30, 2019, $3.0 billion of which was previously recognized in the three months ended March 31, 2019. Although we believe that it is reasonably possible that we may incur a substantial loss in some of the other cases, actions, or inquiries described above, we are currently unable to estimate the amount of such losses or a range of possible losses. We are also party to various other legal proceedings, claims, and regulatory, tax or government inquiries and investigations that arise in the ordinary course of business. With respect to these matters, we evaluate the developments on a regular basis and accrue a liability when we believe a loss is probable and the amount can be reasonably estimated. We believe that the amount or any estimable range of reasonably possible or probable loss will not, either individually or in the aggregate, have a material adverse effect on our business and consolidated financial statements. However, the outcome of these matters is inherently uncertain. Therefore, if one or more of these matters were resolved against us for amounts in excess of management's expectations, our results of operations and financial condition, including in a particular reporting period in which any such outcome becomes probable and estimable, could be materially adversely affected. For information regarding income tax contingencies, see Note 12 — Income Taxes.

Stockholders' Equity

Stockholders' Equity6 Months Ended
Jun. 30, 2019
Equity [Abstract]
Stockholders' EquityStockholders' Equity Share Repurchase Program Our board of directors has authorized a share repurchase program that commenced in 2017 and does not have an expiration date. In December 2018, our board of directors authorized an additional $9.0 billion of repurchases under this program. During the six months ended June 30, 2019 , we repurchased and subsequently retired approximately 9.3 million shares of our Class A common stock for an aggregate amount of approximately $1.65 billion . As of June 30, 2019 , approximately $7.35 billion remained available and authorized for repurchases. The timing and actual number of shares repurchased under the share repurchase program depend on a variety of factors, including price, general business and market conditions, and other investment opportunities, and shares may be repurchased through open market purchases or privately negotiated transactions, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended. Share-based Compensation Plans We maintain two share-based employee compensation plans: the 2012 Equity Incentive Plan, which was amended in each of June 2016 and February 2018 (Amended 2012 Plan), and the 2005 Stock Plan (collectively, Stock Plans). Our Amended 2012 Plan serves as the successor to our 2005 Stock Plan and provides for the issuance of incentive and nonstatutory stock options, restricted stock awards, stock appreciation rights, RSUs, performance shares, and stock bonuses to qualified employees, directors and consultants. Outstanding awards under the 2005 Stock Plan continue to be subject to the terms and conditions of the 2005 Stock Plan. Shares that are withheld in connection with the net settlement of RSUs or forfeited under our Stock Plans are added to the reserves of the Amended 2012 Plan. We account for forfeitures as they occur. Effective January 1, 2019, there were 143 million shares of our Class A common stock reserved for future issuance under our Amended 2012 Plan. The number of shares reserved for issuance under our Amended 2012 Plan increases automatically on January 1 of each of the calendar years during the term of the Amended 2012 Plan, which will continue through April 2026 unless terminated earlier by our board of directors or a committee thereof, by a number of shares of Class A common stock equal to the lesser of (i) 2.5% of the total issued and outstanding shares of our Class A common stock as of the immediately preceding December 31st or (ii) a number of shares determined by our board of directors. The following table summarizes the activities for our unvested RSUs for the six months ended June 30, 2019 : Unvested RSUs Number of Shares Weighted Average Grant Date Fair Value (in thousands) Unvested at December 31, 2018 67,298 $ 144.77 Granted 41,695 $ 167.10 Vested (16,744 ) $ 135.50 Forfeited (5,852 ) $ 136.21 Unvested at June 30, 2019 86,397 $ 157.92 The fair value as of the respective vesting dates of RSUs that vested during the three and six months ended June 30, 2019 was $1.58 billion and $2.89 billion , respectively, and $2.17 billion and $4.12 billion during the three and six months ended June 30, 2018 , respectively. As of June 30, 2019 , there was $12.82 billion of unrecognized share-based compensation expense related to RSUs. This unrecognized compensation expense is expected to be recognized over a weighted-average period of approximately three years

Income Taxes

Income Taxes6 Months Ended
Jun. 30, 2019
Income Tax Disclosure [Abstract]
Income TaxesIncome Taxes Our tax provision for interim periods is determined using an estimated annual effective tax rate, adjusted for discrete items arising in that quarter. In each quarter, we update the estimated annual effective tax rate and make a year-to-date adjustment to the provision. The estimated annual effective tax rate is subject to significant volatility due to several factors, including our ability to accurately predict the proportion of our income (loss) before provision for income taxes in multiple jurisdictions, the effects of acquisitions, and the integration of those acquisitions. Our 2019 effective tax rate differs from the U.S. statutory rate of 21% primarily due to a portion of our income before provision for income taxes being earned in jurisdictions subject to tax rates lower than 21% , the provision for income taxes recorded as a result of the developments in Altera Corp. v. Commissioner discussed below, the $5.0 billion legal accruals recorded in 2019 related to the FTC settlement which is not expected to be tax-deductible, and the recognition of excess tax benefits from share-based compensation. Our gross unrecognized tax benefits were $ 6.84 billion and $4.68 billion on June 30, 2019 and December 31, 2018 , respectively. If the gross unrecognized tax benefits as of June 30, 2019 were realized in a subsequent period, this would result in a tax benefit of $4.07 billion within our provision of income taxes at such time. The amount of interest and penalties accrued as of June 30, 2019 and December 31, 2018 was $549 million and $340 million , respectively. We expect to continue to accrue unrecognized tax benefits for certain recurring tax positions. On July 27, 2015, the United States Tax Court issued a decision (Tax Court Decision) in Altera Corp. v. Commissioner , which concluded that related parties in a cost sharing arrangement are not required to share expenses related to share-based compensation. The Tax Court Decision was appealed by the Commissioner to the Ninth Circuit Court of Appeals (Ninth Circuit). On June 7, 2019, a three-judge panel from the Ninth Circuit issued an opinion ( Altera Ninth Circuit Panel Opinion) that reversed the Tax Court Decision. Based on the Altera Ninth Circuit Panel Opinion, we recorded a cumulative income tax expense of $1.11 billion in the second quarter of 2019. On July 22, 2019, the taxpayer requested a rehearing before the full Ninth Circuit and may subsequently appeal from the Ninth Circuit to the Supreme Court. As a result, the final outcome of the case is uncertain. If the Altera Ninth Circuit Panel Opinion is reversed, we would anticipate recording an income tax benefit at that time. We are subject to taxation in the United States and various other state and foreign jurisdictions. The material jurisdictions in which we are subject to potential examination include the United States and Ireland. We are under examination by the Internal Revenue Service (IRS) for our 2014 through 2016 tax years and by the Ireland tax authorities for our 2012 through 2015 tax years. Our 2017 and subsequent tax years remain open to examination by the IRS. Our 2016 and subsequent tax years remain open to examination in Ireland. In July 2016, we received a Statutory Notice of Deficiency (Notice) from the IRS related to transfer pricing with our foreign subsidiaries in conjunction with the examination of the 2010 tax year. While the Notice applies only to the 2010 tax year, the IRS states that it will also apply its position for tax years subsequent to 2010, which, if the IRS prevails in its position, could result in an additional federal tax liability of an estimated, aggregate amount of up to approximately $5.0 billion in excess of the amounts in our originally filed U.S. return, plus interest and any penalties asserted. We do not agree with the position of the IRS and have filed a petition in the Tax Court challenging the Notice. In March 2018, we received a second Notice from the IRS in conjunction with the examination of our 2011 through 2013 tax years. The IRS applied its position from the 2010 tax year to each of these years and also proposed new adjustments related to other transfer pricing with our foreign subsidiaries and certain tax credits that we claimed. If the IRS prevails in its position for these new adjustments, this could result in an additional federal tax liability of up to approximately $680 million in excess of the amounts in our originally filed U.S. return, plus interest and any penalties asserted. We do not agree with the positions of the IRS in the second Notice and have filed a petition in the Tax Court challenging the second Notice. We have previously accrued an estimated unrecognized tax benefit consistent with the guidance in ASC 740 that is lower than the potential additional federal tax liability from the positions taken by the IRS in the two Notices. In addition, if the IRS prevails in its positions related to transfer pricing with our foreign subsidiaries, the additional tax that we would owe would be partially offset by a reduction in the tax that we owe under the mandatory transition tax on accumulated foreign earnings from the 2017 Tax Cuts and Jobs Act (Tax Act). As of June 30, 2019 , we have not resolved these matters and proceedings continue in the Tax Court. We believe that adequate amounts have been reserved in accordance with ASC 740 for any adjustments to the provision for income taxes or other tax items that may ultimately result from these examinations. The timing of the resolution, settlement, and closure of any audits is highly uncertain, and it is reasonably possible that the balance of gross unrecognized tax benefits could significantly change in the next 12 months. Given the number of years remaining that are subject to examination, we are unable to estimate the full range of possible adjustments to the balance of gross unrecognized tax benefits. If the taxing authorities prevail in the assessment of additional tax due, the assessed tax, interest, and penalties, if any, could have a material adverse impact on our financial position, results of operations, and cash flows.

Geographical Information

Geographical Information6 Months Ended
Jun. 30, 2019
Segments, Geographical Areas [Abstract]
Geographical InformationGeographical Information The following table sets forth our long-lived assets by geographic area, which consist of property and equipment, net and operating lease right-of-use assets, net (in millions): June 30, 2019 December 31, 2018 Long-lived assets: United States $ 29,195 $ 18,950 Rest of the world (1) 8,076 5,733 Total long-lived assets $ 37,271 $ 24,683 (1) No individual country, other than disclosed above, exceeded 10% of our total long-lived assets for any period presented.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)6 Months Ended
Jun. 30, 2019
Accounting Policies [Abstract]
Basis of PresentationThe accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (GAAP) and applicable rules and regulations of the Securities and Exchange Commission (SEC) regarding interim financial reporting. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. As such, the information included in this quarterly report on Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended December 31, 2018 . The condensed consolidated balance sheet as of December 31, 2018 included herein was derived from the audited financial statements as of that date, but does not include all disclosures including notes required by GAAP. The condensed consolidated financial statements include the accounts of Facebook, Inc., its wholly owned subsidiaries, and any variable interest entities for which we are deemed to be the primary beneficiary. All intercompany balances and transactions have been eliminated. The accompanying condensed consolidated financial statements reflect all normal recurring adjustments that are necessary to present fairly the results for the interim periods presented. Interim results are not necessarily indicative of the results for the full year ending December 31, 2019 .
Use of EstimatesConformity with GAAP requires the use of estimates and judgments that affect the reported amounts in the consolidated financial statements and accompanying notes. These estimates form the basis for judgments we make about the carrying values of our assets and liabilities, which are not readily apparent from other sources. We base our estimates and judgments on historical information and on various other assumptions that we believe are reasonable under the circumstances. GAAP requires us to make estimates and judgments in several areas, including, but not limited to, those related to income taxes, loss contingencies, fair value of acquired intangible assets and goodwill, collectability of accounts receivable, fair value of financial instruments, leases, useful lives of intangible assets and property and equipment, and revenue recognition. These estimates are based on management's knowledge about current events and expectations about actions we may undertake in the future. Actual results could differ materially from those estimates.
Recently Adopted Accounting PronouncementsOn January 1, 2019, we adopted Accounting Standards Update No. 2016-02, Leases (Topic 842) (ASU 2016-02), as amended, which supersedes the lease accounting guidance under Topic 840, and generally requires lessees to recognize operating and financing lease liabilities and corresponding right-of-use (ROU) assets on the balance sheet and to provide enhanced disclosures surrounding the amount, timing and uncertainty of cash flows arising from leasing arrangements. We adopted the new guidance using the modified retrospective transition approach by applying the new standard to all leases existing at the date of initial application and not restating comparative periods. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases, while our accounting for finance leases remained substantially unchanged. For information regarding the impact of Topic 842 adoption, see Significant Accounting Policies - Leases
Earnings Per ShareWe compute earnings per share (EPS) of Class A and Class B common stock using the two-class method required for participating securities. We consider restricted stock awards to be participating securities because holders of such shares have non-forfeitable dividend rights in the event of our declaration of a dividend for common shares. Undistributed earnings allocated to participating securities are subtracted from net income in determining net income attributable to common stockholders. Basic EPS is computed by dividing net income attributable to common stockholders by the weighted-average number of shares of our Class A and Class B common stock outstanding, adjusted for outstanding shares that are subject to repurchase. For the calculation of diluted EPS, net income attributable to common stockholders for basic EPS is adjusted by the effect of dilutive securities, including awards under our equity compensation plans. In 2018, the calculation of diluted EPS also included the effect of inducement awards under separate non-plan restricted stock unit (RSU) award agreements. In addition, the computation of the diluted EPS of Class A common stock assumes the conversion of our Class B common stock to Class A common stock, while the diluted EPS of Class B common stock does not assume the conversion of those shares to Class A common stock. Diluted EPS attributable to common stockholders is computed by dividing the resulting net income attributable to common stockholders by the weighted-average number of fully diluted common shares outstanding.
LeasesOn January 1, 2019, we adopted Topic 842 using the modified retrospective transition approach by applying the new standard to all leases existing at the date of initial application. Results and disclosure requirements for reporting periods beginning after January 1, 2019 are presented under Topic 842, while prior period amounts have not been adjusted and continue to be reported in accordance with our historical accounting under Topic 840. We elected the package of practical expedients permitted under the transition guidance, which allowed us to carryforward our historical lease classification, our assessment on whether a contract was or contains a lease, and our initial direct costs for any leases that existed prior to January 1, 2019. We also elected to combine our lease and non-lease components and to keep leases with an initial term of 12 months or less off the balance sheet and recognize the associated lease payments in the consolidated statements of income on a straight-line basis over the lease term. Additionally, for certain equipment leases, we apply a portfolio approach to effectively account for the operating lease ROU assets and liabilities. Upon adoption, we recognized total ROU assets of $ 6.63 billion , with corresponding liabilities of $ 6.35 billion on the condensed consolidated balance sheets. This included $761 million of pre-existing finance lease ROU assets previously reported in the network equipment within property and equipment, net. The ROU assets include adjustments for prepayments and accrued lease payments. The adoption did not impact our beginning retained earnings, or our prior year condensed consolidated statements of income and statements of cash flows. Under Topic 842, we determine if an arrangement is a lease at inception. ROU assets and liabilities are recognized at commencement date based on the present value of remaining lease payments over the lease term. For this purpose, we consider only payments that are fixed and determinable at the time of commencement. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Our incremental borrowing rate is a hypothetical rate based on our understanding of what our credit rating would be. The ROU asset also includes any lease payments made prior to commencement and is recorded net of any lease incentives received. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise such options.

Revenue (Tables)

Revenue (Tables)6 Months Ended
Jun. 30, 2019
Revenue from Contract with Customer [Abstract]
Disaggregation of RevenueRevenue disaggregated by revenue source for the three and six months ended June 30, 2019 and 2018 , consists of the following (in millions): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Advertising $ 16,624 $ 13,038 $ 31,536 $ 24,833 Payments and other fees 262 193 427 364 Total revenue $ 16,886 $ 13,231 $ 31,963 $ 25,197 Revenue disaggregated by geography, based on the billing address of our customer, consists of the following (in millions): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Revenue: US & Canada (1) $ 7,632 $ 5,982 $ 14,409 $ 11,424 Europe (2) 4,097 3,307 7,721 6,334 Asia-Pacific 3,628 2,772 6,965 5,247 Rest of World (2) 1,529 1,170 2,868 2,192 Total revenue $ 16,886 $ 13,231 $ 31,963 $ 25,197 (1) United States revenue was $7.14 billion and $5.60 billion for the three months ended June 30, 2019 and 2018 , respectively, and $13.51 billion and $10.69 billion for the six months ended June 30, 2019 and 2018 , respectively. (2) Europe includes Russia and Turkey, and Rest of World includes Africa, Latin America, and the Middle East.
Deferred Revenue and DepositsDeferred revenue and deposits consists of the following (in millions): June 30, 2019 December 31, 2018 Deferred revenue $ 164 $ 117 Deposits 34 30 Total deferred revenue and deposits $ 198 $ 147

Earnings per Share (Tables)

Earnings per Share (Tables)6 Months Ended
Jun. 30, 2019
Earnings Per Share [Abstract]
Numerators and Denominators of Basic and Diluted EPS Computations for Common StockThe numerators and denominators of the basic and diluted EPS computations for our common stock are calculated as follows (in millions, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Class A Class B Class A Class B Class A Class B Class A Class B Basic EPS: Numerator Net income $ 2,204 $ 412 $ 4,246 $ 860 $ 4,241 $ 804 $ 8,368 $ 1,725 Less: Net income attributable to participating securities — — — — — — 1 — Net income attributable to common stockholders $ 2,204 $ 412 $ 4,246 $ 860 $ 4,241 $ 804 $ 8,367 $ 1,725 Denominator Weighted average shares outstanding 2,405 450 2,407 488 2,400 455 2,405 495 Basic EPS $ 0.92 $ 0.92 $ 1.76 $ 1.76 $ 1.77 $ 1.77 $ 3.48 $ 3.48 Diluted EPS: Numerator Net income attributable to common stockholders $ 2,204 $ 412 $ 4,246 $ 860 $ 4,241 $ 804 $ 8,367 $ 1,725 Reallocation of net income attributable to participating securities — — — — — — 1 — Reallocation of net income as a result of conversion of Class B to Class A common stock 412 — 860 — 804 — 1,725 — Reallocation of net income to Class B common stock — (2 ) — (4 ) — (3 ) — (9 ) Net income attributable to common stockholders for diluted EPS $ 2,616 $ 410 $ 5,106 $ 856 $ 5,045 $ 801 $ 10,093 $ 1,716 Denominator Number of shares used for basic EPS computation 2,405 450 2,407 488 2,400 455 2,405 495 Conversion of Class B to Class A common stock 450 — 488 — 455 — 495 — Weighted average effect of dilutive RSUs and employee stock options 20 — 35 3 18 1 39 5 Number of shares used for diluted EPS computation 2,875 450 2,930 491 2,873 456 2,939 500 Diluted EPS $ 0.91 $ 0.91 $ 1.74 $ 1.74 $ 1.76 $ 1.76 $ 3.43 $ 3.43

Cash and Cash Equivalents, an_2

Cash and Cash Equivalents, and Marketable Securities (Tables)6 Months Ended
Jun. 30, 2019
Cash and Cash Equivalents, and Marketable Securities [Abstract]
Cash and Cash Equivalents, and Marketable SecuritiesThe following table sets forth the cash and cash equivalents, and marketable securities (in millions): June 30, 2019 December 31, 2018 Cash and cash equivalents: Cash $ 3,380 $ 2,713 Money market funds 10,151 6,792 U.S. government securities 163 90 U.S. government agency securities — 54 Certificate of deposits and time deposits 163 369 Corporate debt securities 20 1 Total cash and cash equivalents 13,877 10,019 Marketable securities: U.S. government securities 17,338 13,836 U.S. government agency securities 7,792 8,333 Corporate debt securities 9,589 8,926 Total marketable securities 34,719 31,095 Total cash and cash equivalents, and marketable securities $ 48,596 $ 41,114
Marketable Securities by Contractual MaturitiesThe following table classifies our marketable securities by contractual maturities (in millions): June 30, 2019 Due in one year $ 12,730 Due after one year to five years 21,989 Total $ 34,719

Fair Value Measurement (Tables)

Fair Value Measurement (Tables)6 Months Ended
Jun. 30, 2019
Fair Value Disclosures [Abstract]
Assets and Liabilities Measured at Fair ValueThe following table summarizes our assets measured at fair value and the classification by level of input within the fair value hierarchy (in millions): Fair Value Measurement at Reporting Date Using Description June 30, 2019 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash equivalents: Money market funds $ 10,151 $ 10,151 $ — $ — U.S. government securities 163 163 — — Certificate of deposits and time deposits 163 — 163 — Corporate debt securities 20 — 20 — Marketable securities: U.S. government securities 17,338 17,338 — — U.S. government agency securities 7,792 7,792 — — Corporate debt securities 9,589 — 9,589 — Total cash equivalents and marketable securities $ 45,216 $ 35,444 $ 9,772 $ — Fair Value Measurement at Reporting Date Using Description December 31, 2018 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash equivalents: Money market funds $ 6,792 $ 6,792 $ — $ — U.S. government securities 90 90 — — U.S. government agency securities 54 54 — — Certificate of deposits and time deposits 369 — 369 — Corporate debt securities 1 — 1 — Marketable securities: U.S. government securities 13,836 13,836 — — U.S. government agency securities 8,333 8,333 — — Corporate debt securities 8,926 — 8,926 — Total cash equivalents and marketable securities $ 38,401 $ 29,105 $ 9,296 $ —

Property and Equipment (Tables)

Property and Equipment (Tables)6 Months Ended
Jun. 30, 2019
Property, Plant and Equipment [Abstract]
Property and EquipmentProperty and equipment consists of the following (in millions): June 30, 2019 December 31, 2018 Land $ 1,007 $ 899 Buildings 9,015 7,401 Leasehold improvements 2,301 1,841 Network equipment 14,559 13,017 Computer software, office equipment and other 1,484 1,187 Finance lease right-of-use assets 1,331 — Construction in progress 9,054 7,228 Total 38,751 31,573 Less: Accumulated depreciation (8,752 ) (6,890 ) Property and equipment, net $ 29,999 $ 24,683

Leases (Tables)

Leases (Tables)6 Months Ended
Jun. 30, 2019
Leases [Abstract]
Components of Lease CostsThe components of lease costs, lease term and discount rate are as follows (in millions): Three Months Ended Six Months Ended June 30, 2019 June 30, 2019 Finance lease cost Amortization of right-of-use assets $ 47 $ 89 Interest 3 5 Operating lease cost 274 520 Variable lease cost and other, net 21 70 Total lease cost $ 345 $ 684 Weighted Average Remaining Lease Term Operating leases 13.1 years Finance leases 15.3 years Weighted Average Discount Rate Operating leases 3.5 % Finance leases 3.2 % Supplemental cash flow information related to leases are as follows (in millions): Six Months Ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 388 Operating cash flows from finance leases $ 5 Financing cash flows from finance leases $ 267 Lease liabilities arising from obtaining right-of-use assets: Operating leases $ 2,203 Finance leases $ 75
Finance Lease, Liability, MaturityThe following is a schedule, by years, of maturities of lease liabilities as of June 30, 2019 (in millions): Operating Leases Finance Leases The remainder of 2019 $ 409 $ 30 2020 1,004 43 2021 956 34 2022 877 30 2023 840 30 Thereafter 6,222 334 Total undiscounted cash flows 10,308 501 Less imputed interest (2,498 ) (107 ) Present value of lease liabilities $ 7,810 $ 394
Operating Lease, Liability, MaturityThe following is a schedule, by years, of maturities of lease liabilities as of June 30, 2019 (in millions): Operating Leases Finance Leases The remainder of 2019 $ 409 $ 30 2020 1,004 43 2021 956 34 2022 877 30 2023 840 30 Thereafter 6,222 334 Total undiscounted cash flows 10,308 501 Less imputed interest (2,498 ) (107 ) Present value of lease liabilities $ 7,810 $ 394

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)6 Months Ended
Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Changes in Carrying Amount of GoodwillThe changes in the carrying amount of goodwill for the six months ended June 30, 2019 are as follows (in millions): Balance as of December 31, 2018 $ 18,301 Goodwill acquired 30 Effect of currency translation adjustment 3 Balance as of June 30, 2019 $ 18,334
Schedule of Intangible AssetsIntangible assets consist of the following (in millions): June 30, 2019 December 31, 2018 Weighted-Average Remaining Useful Lives (in years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Acquired users 2.3 $ 2,056 $ (1,405 ) $ 651 $ 2,056 $ (1,260 ) $ 796 Acquired technology 1.3 1,014 (945 ) 69 1,002 (871 ) 131 Acquired patents 4.9 805 (596 ) 209 805 (565 ) 240 Trade names 1.3 629 (572 ) 57 629 (517 ) 112 Other 3.2 162 (154 ) 8 162 (147 ) 15 Total intangible assets 2.7 $ 4,666 $ (3,672 ) $ 994 $ 4,654 $ (3,360 ) $ 1,294
Expected Amortization Expense for Unamortized Acquired Intangible AssetsAs of June 30, 2019 , expected amortization expense for the unamortized acquired intangible assets for the next five years and thereafter is as follows (in millions): The remainder of 2019 $ 245 2020 382 2021 277 2022 33 2023 26 Thereafter 31 Total $ 994

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)6 Months Ended
Jun. 30, 2019
Equity [Abstract]
Restricted Stock Units Award ActivityThe following table summarizes the activities for our unvested RSUs for the six months ended June 30, 2019 : Unvested RSUs Number of Shares Weighted Average Grant Date Fair Value (in thousands) Unvested at December 31, 2018 67,298 $ 144.77 Granted 41,695 $ 167.10 Vested (16,744 ) $ 135.50 Forfeited (5,852 ) $ 136.21 Unvested at June 30, 2019 86,397 $ 157.92

Geographical Information (Table

Geographical Information (Tables)6 Months Ended
Jun. 30, 2019
Segments, Geographical Areas [Abstract]
Revenue and Property and Equipment by Geographic AreaThe following table sets forth our long-lived assets by geographic area, which consist of property and equipment, net and operating lease right-of-use assets, net (in millions): June 30, 2019 December 31, 2018 Long-lived assets: United States $ 29,195 $ 18,950 Rest of the world (1) 8,076 5,733 Total long-lived assets $ 37,271 $ 24,683 (1) No individual country, other than disclosed above, exceeded 10% of our total long-lived assets for any period presented.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details) - Accounting Standards Update 2016-02 $ in MillionsJan. 01, 2019USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Right-of-use asset $ 6,630
Lease liability6,350
Finance lease, right of use asset $ 761

Revenue Disaggregation of Reven

Revenue Disaggregation of Revenue (Details) - USD ($) $ in Millions3 Months Ended6 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018
Disaggregation of Revenue [Line Items]
Revenue $ 16,886 $ 13,231 $ 31,963 $ 25,197
US & Canada
Disaggregation of Revenue [Line Items]
Revenue7,632 5,982 14,409 11,424
Europe
Disaggregation of Revenue [Line Items]
Revenue4,097 3,307 7,721 6,334
Asia-Pacific
Disaggregation of Revenue [Line Items]
Revenue3,628 2,772 6,965 5,247
Rest of World
Disaggregation of Revenue [Line Items]
Revenue1,529 1,170 2,868 2,192
United States
Disaggregation of Revenue [Line Items]
Revenue7,140 5,600 13,510 10,690
Advertising
Disaggregation of Revenue [Line Items]
Revenue16,624 13,038 31,536 24,833
Payments and other fees
Disaggregation of Revenue [Line Items]
Revenue $ 262 $ 193 $ 427 $ 364

Revenue Deferred Revenue and De

Revenue Deferred Revenue and Deposits (Details) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Revenue from Contract with Customer [Abstract]
Deferred revenue $ 164 $ 117
Deposits34 30
Total deferred revenue and deposits $ 198 $ 147

Earnings per Share - Basic and

Earnings per Share - Basic and Diluted EPS (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions3 Months Ended6 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018
Numerator
Net income $ 2,616 $ 5,106 $ 5,045 $ 10,093
Less: Net income attributable to participating securities0 0 0 1
Net income attributable to Class A and Class B common stockholders $ 2,616 $ 5,106 $ 5,045 $ 10,092
Denominator
Basic EPS (in dollars per share) $ 0.92 $ 1.76 $ 1.77 $ 3.48
Numerator
Net income attributable to common stockholders $ 2,616 $ 5,106 $ 5,045 $ 10,092
Denominator
Number of shares used for basic EPS computation (in shares)2,855 2,895 2,855 2,900
Number of shares used for diluted EPS computation (in shares)2,875 2,930 2,873 2,939
Diluted EPS (in dollars per share) $ 0.91 $ 1.74 $ 1.76 $ 3.43
Class A Common Stock
Numerator
Net income $ 2,204 $ 4,246 $ 4,241 $ 8,368
Less: Net income attributable to participating securities0 0 0 1
Net income attributable to Class A and Class B common stockholders $ 2,204 $ 4,246 $ 4,241 $ 8,367
Denominator
Weighted average shares outstanding (in shares)2,405 2,407 2,400 2,405
Basic EPS (in dollars per share) $ 0.92 $ 1.76 $ 1.77 $ 3.48
Numerator
Net income attributable to common stockholders $ 2,204 $ 4,246 $ 4,241 $ 8,367
Reallocation of net income attributable to participating securities0 0 0 1
Reallocation of net income as a result of conversion of Class B to Class A common stock412 860 804 1,725
Reallocation of net income to Class B common stock0 0 0 0
Net income attributable to common stockholders for diluted EPS $ 2,616 $ 5,106 $ 5,045 $ 10,093
Denominator
Number of shares used for basic EPS computation (in shares)2,405 2,407 2,400 2,405
Conversion of Class B to Class A common stock (in shares)450 488 455 495
Weighted average effect of dilutive RSUs and employee stock options (in shares)20 35 18 39
Number of shares used for diluted EPS computation (in shares)2,875 2,930 2,873 2,939
Diluted EPS (in dollars per share) $ 0.91 $ 1.74 $ 1.76 $ 3.43
Class B Common Stock
Numerator
Net income $ 412 $ 860 $ 804 $ 1,725
Less: Net income attributable to participating securities0 0 0 0
Net income attributable to Class A and Class B common stockholders $ 412 $ 860 $ 804 $ 1,725
Denominator
Weighted average shares outstanding (in shares)450 488 455 495
Basic EPS (in dollars per share) $ 0.92 $ 1.76 $ 1.77 $ 3.48
Numerator
Net income attributable to common stockholders $ 412 $ 860 $ 804 $ 1,725
Reallocation of net income attributable to participating securities0 0 0 0
Reallocation of net income as a result of conversion of Class B to Class A common stock0 0 0 0
Reallocation of net income to Class B common stock(2)(4)(3)(9)
Net income attributable to common stockholders for diluted EPS $ 410 $ 856 $ 801 $ 1,716
Denominator
Number of shares used for basic EPS computation (in shares)450 488 455 495
Conversion of Class B to Class A common stock (in shares)0 0 0 0
Weighted average effect of dilutive RSUs and employee stock options (in shares)0 3 1 5
Number of shares used for diluted EPS computation (in shares)450 491 456 500
Diluted EPS (in dollars per share) $ 0.91 $ 1.74 $ 1.76 $ 3.43

Cash and Cash Equivalents, an_3

Cash and Cash Equivalents, and Marketable Securities - Breakout of Cash, Cash Equivalents and Marketable Securities (Details) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018Jun. 30, 2018
Cash and Cash Equivalents, and Marketable Securities
Cash and cash equivalents $ 13,877 $ 10,019 $ 11,552
Marketable securities34,719 31,095
Total cash and cash equivalents, and marketable securities48,596 41,114
U.S. government securities
Cash and Cash Equivalents, and Marketable Securities
Marketable securities17,338 13,836
U.S. government agency securities
Cash and Cash Equivalents, and Marketable Securities
Marketable securities7,792 8,333
Corporate debt securities
Cash and Cash Equivalents, and Marketable Securities
Marketable securities9,589 8,926
Cash
Cash and Cash Equivalents, and Marketable Securities
Cash and cash equivalents3,380 2,713
Money market funds
Cash and Cash Equivalents, and Marketable Securities
Cash and cash equivalents10,151 6,792
U.S. government securities
Cash and Cash Equivalents, and Marketable Securities
Cash and cash equivalents163 90
U.S. government agency securities
Cash and Cash Equivalents, and Marketable Securities
Cash and cash equivalents0 54
Certificate of deposits and time deposits
Cash and Cash Equivalents, and Marketable Securities
Cash and cash equivalents163 369
Corporate debt securities
Cash and Cash Equivalents, and Marketable Securities
Cash and cash equivalents $ 20 $ 1

Cash and Cash Equivalents, an_4

Cash and Cash Equivalents, and Marketable Securities - Narrative (Details) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Cash and Cash Equivalents, and Marketable Securities [Abstract]
Gross unrealized gains on marketable securities $ 179 $ 24
Gross unrealized losses on marketable securities69 357
Gross unrealized losses in continuous loss position for 12 months or longer $ 67 $ 332

Cash and Cash Equivalents, an_5

Cash and Cash Equivalents, and Marketable Securities - Contractual Maturities of Marketable Debt Securities (Details) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Contractual Maturities of Marketable Securities
Due in one year $ 12,730
Due after one year to five years21,989
Total marketable securities $ 34,719 $ 31,095

Fair Value Measurement - Assets

Fair Value Measurement - Assets Measured at Fair Value (Details) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities $ 34,719 $ 31,095
Total cash equivalents and marketable securities45,216 38,401
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total cash equivalents and marketable securities35,444 29,105
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total cash equivalents and marketable securities9,772 9,296
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total cash equivalents and marketable securities0 0
U.S. government securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities17,338 13,836
U.S. government securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities17,338 13,836
U.S. government securities | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities0 0
U.S. government securities | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities0 0
U.S. government agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities7,792 8,333
U.S. government agency securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities7,792 8,333
U.S. government agency securities | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities0 0
U.S. government agency securities | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities0 0
Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities9,589 8,926
Corporate debt securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities0 0
Corporate debt securities | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities9,589 8,926
Corporate debt securities | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities0 0
Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents10,151 6,792
Money market funds | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents10,151 6,792
Money market funds | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents0 0
Money market funds | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents0 0
U.S. government securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents163 90
U.S. government securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents163 90
U.S. government securities | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents0 0
U.S. government securities | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents0 0
U.S. government agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents54
U.S. government agency securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents54
U.S. government agency securities | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents0
U.S. government agency securities | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents0
Certificate of deposits and time deposits
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents163 369
Certificate of deposits and time deposits | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents0 0
Certificate of deposits and time deposits | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents163 369
Certificate of deposits and time deposits | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents0 0
Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents20 1
Corporate debt securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents0 0
Corporate debt securities | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents20 1
Corporate debt securities | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash equivalents $ 0 $ 0

Property and Equipment (Details

Property and Equipment (Details) - USD ($)6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Property, Plant and Equipment
Property and equipment, gross $ 38,751,000,000 $ 31,573,000,000
Less: Accumulated depreciation(8,752,000,000)(6,890,000,000)
Property and equipment, net29,999,000,000 24,683,000,000
Interest costs capitalized0 0
Land
Property, Plant and Equipment
Property and equipment, gross1,007,000,000 899,000,000
Buildings
Property, Plant and Equipment
Property and equipment, gross9,015,000,000 7,401,000,000
Leasehold improvements
Property, Plant and Equipment
Property and equipment, gross2,301,000,000 1,841,000,000
Network equipment
Property, Plant and Equipment
Property and equipment, gross14,559,000,000 13,017,000,000
Computer software, office equipment and other
Property, Plant and Equipment
Property and equipment, gross1,484,000,000 1,187,000,000
Finance lease right-of-use assets
Property, Plant and Equipment
Property and equipment, gross1,331,000,000 0
Construction in progress
Property, Plant and Equipment
Property and equipment, gross $ 9,054,000,000 $ 7,228,000,000

Leases - Narrative (Details)

Leases - Narrative (Details) $ in MillionsJun. 30, 2019USD ($)
Lessee, Lease, Description [Line Items]
Operating lease not yet commenced $ 4,820
Finance lease not yet commenced $ 471
Minimum
Lessee, Lease, Description [Line Items]
Operating lease not yet commenced, term1 year
Finance lease not yet commenced, term1 year
Maximum
Lessee, Lease, Description [Line Items]
Operating lease not yet commenced, term25 years
Finance lease not yet commenced, term25 years

Leases - Components of Lease Co

Leases - Components of Lease Cost (Details) $ in Millions3 Months Ended6 Months Ended
Jun. 30, 2019USD ($)Jun. 30, 2019USD ($)
Finance lease cost
Amortization of right-of-use assets $ 47 $ 89
Interest3 5
Operating lease cost274 520
Variable lease cost and other, net21 70
Total lease cost $ 345 $ 684
Weighted Average Remaining Lease Term
Operating leases13 years 1 month 6 days13 years 1 month 6 days
Finance leases15 years 3 months 18 days15 years 3 months 18 days
Weighted Average Discount Rate
Operating leases3.50%3.50%
Finance leases3.20%3.20%

Leases - Maturities of Lease Li

Leases - Maturities of Lease Liabilities (Details) $ in MillionsJun. 30, 2019USD ($)
Operating Leases
The remainder of 2019 $ 409
20201,004
2021956
2022877
2023840
Thereafter6,222
Total undiscounted cash flows10,308
Less imputed interest(2,498)
Present value of lease liabilities7,810
Finance Leases
The remainder of 201930
202043
202134
202230
202330
Thereafter334
Total undiscounted cash flows501
Less imputed interest(107)
Present value of lease liabilities $ 394

Leases - Supplemental Cash Flow

Leases - Supplemental Cash Flow (Details) - USD ($) $ in Millions6 Months Ended
Jun. 30, 2019Jun. 30, 2018
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $ 388
Operating cash flows from finance leases5
Financing cash flows from finance leases267 $ 0
Lease liabilities arising from obtaining right-of-use assets:
Operating leases2,203
Finance leases $ 75

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets - Change in Carrying Amount of Goodwill (Details) $ in Millions6 Months Ended
Jun. 30, 2019USD ($)
Goodwill
Balance as of December 31, 2018 $ 18,301
Goodwill acquired30
Effect of currency translation adjustment3
Balance as of June 30, 2019 $ 18,334

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets - Intangible Assets (Detail) - USD ($) $ in Millions3 Months Ended6 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Remaining Useful Lives (in years)2 years 8 months 12 days
Gross Carrying Amount $ 4,666 $ 4,666 $ 4,654
Accumulated Amortization(3,672)(3,672)(3,360)
Net Carrying Amount994 994 1,294
Amortization expense156 $ 158 $ 312 $ 327
Acquired users
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Remaining Useful Lives (in years)2 years 3 months 18 days
Gross Carrying Amount2,056 $ 2,056 2,056
Accumulated Amortization(1,405)(1,405)(1,260)
Net Carrying Amount651 $ 651 796
Acquired technology
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Remaining Useful Lives (in years)1 year 3 months 18 days
Gross Carrying Amount1,014 $ 1,014 1,002
Accumulated Amortization(945)(945)(871)
Net Carrying Amount69 $ 69 131
Acquired patents
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Remaining Useful Lives (in years)4 years 10 months 24 days
Gross Carrying Amount805 $ 805 805
Accumulated Amortization(596)(596)(565)
Net Carrying Amount209 $ 209 240
Trade names
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Remaining Useful Lives (in years)1 year 3 months 18 days
Gross Carrying Amount629 $ 629 629
Accumulated Amortization(572)(572)(517)
Net Carrying Amount57 $ 57 112
Other
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Remaining Useful Lives (in years)3 years 2 months 12 days
Gross Carrying Amount162 $ 162 162
Accumulated Amortization(154)(154)(147)
Net Carrying Amount $ 8 $ 8 $ 15

Goodwill and Intangible Asset_4

Goodwill and Intangible Assets - Estimated Amortization Expense (Details) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract]
The remainder of 2019 $ 245
2020382
2021277
202233
202326
Thereafter31
Net Carrying Amount $ 994 $ 1,294

Long-term Debt - Narrative (Det

Long-term Debt - Narrative (Details) - Revolving Credit Facility - 2016 Facility - USD ($)Jun. 30, 2019May 31, 2016
Debt Instrument
Maximum borrowing capacity $ 2,000,000,000
Amount outstanding $ 0

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in MillionsJul. 27, 2018claimJun. 30, 2019USD ($)Jul. 24, 2019USD ($)Mar. 31, 2019USD ($)
Loss Contingencies [Line Items]
Non-cancelable contractual commitments $ 4,570
Commitment period5 years
Number of class actions filed | claim2
Loss contingency accrual $ 5,000 $ 3,000
FTC Inquiry | Subsequent Event
Loss Contingencies [Line Items]
Loss contingency accrual $ 5,000
SEC Inquiry | Subsequent Event
Loss Contingencies [Line Items]
Loss contingency accrual $ 100

Stockholders' Equity - Share Re

Stockholders' Equity - Share Repurchase Program (Details) - USD ($) shares in Millions6 Months Ended
Jun. 30, 2019Dec. 31, 2018
Equity [Abstract]
Share repurchase program, authorized amount $ 9,000,000,000
Shares repurchased and retired (in shares)9.3
Shares repurchased and retired $ 1,650,000,000
Remaining authorized repurchase amount $ 7,350,000,000

Stockholders' Equity - Share-ba

Stockholders' Equity - Share-based Compensation Plans (Detail)6 Months Ended
Jun. 30, 2019planJan. 01, 2019shares
Share-based Compensation Arrangement by Share-based Payment Award
Share-based employee compensation plans, number | plan2
Equity Incentive Plan 2012
Share-based Compensation Arrangement by Share-based Payment Award
Equity incentive plan shares authorized (in shares) | shares143,000,000
Shares reserved for issuance increase, percentage2.50%

Stockholders' Equity - Restrict

Stockholders' Equity - Restricted Stock Units (Details) - Restricted Stock Units (RSUs) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions3 Months Ended6 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018
Number of Shares
Unvested at beginning of period (in shares)67,298
Granted (in shares)41,695
Vested (in shares)(16,744)
Forfeited (in shares)(5,852)
Unvested at end of period (in shares)86,397 86,397
Weighted Average Grant Date Fair Value
Unvested at beginning of period (in dollars per share) $ 144.77
Granted (in dollars per share)167.10
Vested (in dollars per share)135.50
Forfeited (in dollars per share)136.21
Unvested at end of period (in dollars per share) $ 157.92 $ 157.92
Fair value of vested RSUs $ 1,580 $ 2,170 $ 2,890 $ 4,120

Stockholders' Equity - Addition

Stockholders' Equity - Additional Award Disclosures (Details) $ in Millions6 Months Ended
Jun. 30, 2019USD ($)
Equity [Abstract]
Unrecognized share-based compensation expense $ 12,820
Unrecognized share-based compensation expense recognition period (in years)3 years

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions1 Months Ended3 Months Ended6 Months Ended
Jul. 31, 2016Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018Mar. 31, 2019Dec. 31, 2018
Income Tax Contingency [Line Items]
U.S. statutory rate21.00%
Loss contingency accrual $ 5,000 $ 5,000 $ 3,000
Unrecognized tax benefits6,840 6,840 $ 4,680
Unrecognized tax benefits that would result in tax benefit if realized4,070 4,070
Accrued interest and penalties549 549 $ 340
Cumulative income tax expense2,216 $ 762 3,269 $ 1,385
Internal Revenue Service (IRS) | Tax Year 2010
Income Tax Contingency [Line Items]
Income tax examination, estimate of possible loss $ 5,000
Internal Revenue Service (IRS) | Tax Years 2011 Through 2013
Income Tax Contingency [Line Items]
Income tax examination, estimate of possible loss $ 680
Altera Corp V Commissioner
Income Tax Contingency [Line Items]
Cumulative income tax expense $ 1,110

Geographical Information - Prop

Geographical Information - Property and Equipment, Net (Details) - USD ($) $ in MillionsJun. 30, 2019Dec. 31, 2018
Long-Lived Assets By Geographical Area
Total long-lived assets $ 37,271 $ 24,683
United States
Long-Lived Assets By Geographical Area
Total long-lived assets29,195 18,950
Rest of the world
Long-Lived Assets By Geographical Area
Total long-lived assets $ 8,076 $ 5,733

Uncategorized Items - fb-063020

LabelElementValue
Cumulative Effect of New Accounting Principle in Period of Adoptionus-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption $ 141,000,000
Retained Earnings [Member]
Cumulative Effect of New Accounting Principle in Period of Adoptionus-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption141,000,000
Prepaid Expenses and Other Current Assets [Member]
Restricted Cash and Cash Equivalentsus-gaap_RestrictedCashAndCashEquivalents9,000,000
Restricted Cash and Cash Equivalentsus-gaap_RestrictedCashAndCashEquivalents11,000,000
Other Assets [Member]
Restricted Cash and Cash Equivalentsus-gaap_RestrictedCashAndCashEquivalents112,000,000
Restricted Cash and Cash Equivalentsus-gaap_RestrictedCashAndCashEquivalents $ 105,000,000