Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 05, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 1-7221 | ||
Entity Registrant Name | MOTOROLA SOLUTIONS, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 36-1115800 | ||
Entity Address, Address Line One | 500 W. Monroe Street | ||
Entity Address, City or Town | Chicago | ||
Entity Address, State or Province | IL | ||
Entity Address, Postal Zip Code | 60661 | ||
City Area Code | 847 | ||
Local Phone Number | 576-5000 | ||
Title of 12(b) Security | Common Stock | ||
Trading Symbol | MSI | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 43 | ||
Entity Common Stock, Shares Outstanding | 166,132,981 | ||
Documents Incorporated by Reference | Portions of the registrant’s definitive Proxy Statement to be delivered to stockholders in connection with its 2024 Annual Meeting of Shareholders (the "Proxy Statement"), to be filed within 120 days of the end of the fiscal year ended December 31, 2023 , are incorporated by reference into Part III of this Annual Report on Form 10-K (this "Form 10-K"). | ||
Entity Central Index Key | 0000068505 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Auditor Information [Abstract] | |
Auditor Firm ID | 238 |
Auditor Name | PricewaterhouseCoopers LLP |
Auditor Location | Chicago, Illinois |
Consolidated Statements Of Oper
Consolidated Statements Of Operations - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net sales | $ 9,978 | $ 9,112 | $ 8,171 |
Costs of sales | 5,008 | 4,883 | 4,131 |
Gross margin | 4,970 | 4,229 | 4,040 |
Selling, general and administrative expenses | 1,561 | 1,450 | 1,353 |
Research and development expenditures | 858 | 779 | 734 |
Other charges | 257 | 339 | 286 |
Operating earnings | 2,294 | 1,661 | 1,667 |
Other income (expense): | |||
Interest expense, net | (216) | (226) | (208) |
Gains on sales of investments and businesses, net | 0 | 3 | 1 |
Other, net | 68 | 77 | 92 |
Total other expense | (148) | (146) | (115) |
Net earnings before income taxes | 2,146 | 1,515 | 1,552 |
Income tax expense | 432 | 148 | 302 |
Net earnings | 1,714 | 1,367 | 1,250 |
Less: Earnings attributable to noncontrolling interests | 5 | 4 | 5 |
Net earnings attributable to Motorola Solutions, Inc. | $ 1,709 | $ 1,363 | $ 1,245 |
Earnings per common share: | |||
Basic (USD per share) | $ 10.23 | $ 8.14 | $ 7.36 |
Diluted (USD per share) | $ 9.93 | $ 7.93 | $ 7.17 |
Weighted average common shares outstanding: | |||
Basic (in shares) | 167 | 167.5 | 169.2 |
Diluted (in shares) | 172.1 | 171.9 | 173.6 |
Dividends declared per share (USD per share) | $ 3.62 | $ 3.25 | $ 2.92 |
Product | |||
Net sales | $ 5,814 | $ 5,368 | $ 4,606 |
Costs of sales | 2,591 | 2,595 | 2,104 |
Service | |||
Net sales | 4,164 | 3,744 | 3,565 |
Costs of sales | $ 2,417 | $ 2,288 | $ 2,027 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net earnings | $ 1,714 | $ 1,367 | $ 1,250 |
Other comprehensive income (loss), net of tax (Note 4): | |||
Foreign currency translation adjustments | 57 | (155) | (24) |
Derivative instruments | (12) | 0 | 0 |
Defined benefit plans | (50) | (1) | 91 |
Total other comprehensive income (loss), net of tax | (5) | (156) | 67 |
Comprehensive income | 1,709 | 1,211 | 1,317 |
Less: Earnings attributable to noncontrolling interests | 5 | 4 | 5 |
Comprehensive income attributable to Motorola Solutions, Inc. | $ 1,704 | $ 1,207 | $ 1,312 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
ASSETS | ||
Cash and cash equivalents | $ 1,705 | $ 1,325 |
Accounts receivable, net | 1,710 | 1,518 |
Contract assets | 1,102 | 974 |
Inventories, net | 827 | 1,055 |
Other current assets | 357 | 383 |
Current assets held for disposition | 24 | 0 |
Total current assets | 5,725 | 5,255 |
Property, plant and equipment, net | 964 | 927 |
Operating lease assets | 495 | 485 |
Investments | 143 | 147 |
Deferred income taxes | 1,062 | 1,036 |
Goodwill | 3,401 | 3,312 |
Intangible assets, net | 1,255 | 1,342 |
Other assets | 274 | 310 |
Non-current assets held for disposition | 17 | 0 |
Total assets | 13,336 | 12,814 |
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) | ||
Current portion of long-term debt | 1,313 | 1 |
Accounts payable | 881 | 1,062 |
Contract liabilities | 2,037 | 1,859 |
Accrued liabilities | 1,504 | 1,638 |
Current liabilities held for disposition | 1 | 0 |
Total current liabilities | 5,736 | 4,560 |
Long-term debt | 4,705 | 6,013 |
Non-current lease liabilities | 407 | 419 |
Other liabilities | 1,741 | 1,691 |
Non-current liabilities held for disposition | 8 | 0 |
Preferred stock, $100 par value: 0.5 shares authorized; none issued and outstanding | 0 | 0 |
Common stock, $0.01 par value; Authorized shares: 600.0; Issued shares: 12/31/23—168.5; 12/31/22—169.6; Outstanding shares: 12/31/23—167.5; 12/31/22—168.7 | 2 | 2 |
Additional paid-in capital | 1,622 | 1,306 |
Retained earnings | 1,640 | 1,343 |
Accumulated other comprehensive loss | (2,540) | (2,535) |
Total Motorola Solutions, Inc. stockholders’ equity | 724 | 116 |
Noncontrolling interests | 15 | 15 |
Total stockholders’ equity | 739 | 131 |
Total liabilities and stockholders’ equity | $ 13,336 | $ 12,814 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (USD per share) | $ 100 | $ 100 |
Preferred stock authorized (in shares) | 500,000 | 500,000 |
Preferred stock issued (in shares) | 0 | 0 |
Preferred stock outstanding (in shares) | 0 | 0 |
Common stock, par value (USD per share) | $ 0.01 | $ 0.01 |
Common stock authorized (in shares) | 600,000,000 | 600,000,000 |
Common stock issued (in shares) | 167,400,000 | 168,500,000 |
Common stock outstanding (in shares) | 166,200,000 | 167,500,000 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Deficit) - USD ($) shares in Millions, $ in Millions | Total | Common Stock and Additional Paid-in Capital | Common Stock and Additional Paid-in Capital ASU 2020-06 modified retrospective adoption | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Retained Earnings ASU 2020-06 modified retrospective adoption | Noncontrolling Interests |
Balance (in shares) at Dec. 31, 2020 | 170.2 | ||||||
Balance at beginning of period at Dec. 31, 2020 | $ 761 | $ (2,446) | $ 1,127 | $ 17 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | $ 1,250 | 1,245 | 5 | ||||
Other comprehensive income (loss) | $ 67 | 67 | |||||
Issuance of common stock and stock options exercised (in shares) | 1.9 | ||||||
Issuance of common stock and stock options exercised | $ 99 | ||||||
Share repurchase program (in shares) | (2.5) | (2.5) | |||||
Share repurchase program | (528) | ||||||
Share-based compensation expenses | $ 129 | ||||||
Dividends paid to noncontrolling interest in subsidiary common stock | (5) | ||||||
Dividends declared | (494) | ||||||
Balance (in shares) at Dec. 31, 2021 | 169.6 | ||||||
Balance at end of period at Dec. 31, 2021 | $ 989 | (2,379) | 1,350 | 17 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | $ 1,367 | 1,363 | 4 | ||||
Other comprehensive income (loss) | $ (156) | (156) | |||||
Issuance of common stock and stock options exercised (in shares) | 2.6 | ||||||
Issuance of common stock and stock options exercised | $ 157 | ||||||
Share repurchase program (in shares) | (3.7) | (3.7) | |||||
Share repurchase program | (836) | ||||||
Share-based compensation expenses | $ 172 | ||||||
Dividends paid to noncontrolling interest in subsidiary common stock | (6) | ||||||
Dividends declared | (544) | ||||||
Accounting Standards Update [Extensible List] | Accounting Standards Update 2020-06 [Member] | ||||||
ASU 2020-06 modified retrospective adoption | $ (10) | $ 10 | |||||
Balance (in shares) at Dec. 31, 2022 | 168.5 | ||||||
Balance at end of period at Dec. 31, 2022 | $ 131 | $ 1,308 | (2,535) | 1,343 | 15 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net earnings | 1,714 | 1,709 | 5 | ||||
Other comprehensive income (loss) | $ (5) | (5) | |||||
Issuance of common stock and stock options exercised (in shares) | 1.8 | ||||||
Issuance of common stock and stock options exercised | $ 104 | ||||||
Share repurchase program (in shares) | (2.9) | (2.9) | |||||
Share repurchase program | (808) | ||||||
Share-based compensation expenses | $ 212 | ||||||
Dividends paid to noncontrolling interest in subsidiary common stock | (5) | ||||||
Dividends declared | (604) | ||||||
Balance (in shares) at Dec. 31, 2023 | 167.4 | ||||||
Balance at end of period at Dec. 31, 2023 | $ 739 | $ 1,624 | $ (2,540) | $ 1,640 | $ 15 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating | |||
Net earnings | $ 1,714 | $ 1,367 | $ 1,250 |
Adjustments to reconcile Net earnings to Net cash provided by operating activities: | |||
Depreciation and amortization | 356 | 440 | 438 |
Non-cash other charges | 14 | 23 | 3 |
Exit of video manufacturing operations | 24 | 0 | 0 |
Loss on ESN fixed asset impairment | 0 | 147 | 0 |
Share-based compensation expenses | 212 | 172 | 129 |
Gains on sales of investments and businesses, net | 0 | (3) | (1) |
Losses from the extinguishment of long-term debt | 0 | 6 | 18 |
Changes in assets and liabilities, net of effects of acquisitions, dispositions, and foreign currency translation adjustments: | |||
Accounts receivable | (180) | (112) | 3 |
Inventories | 200 | (242) | (284) |
Other current assets and contract assets | (82) | (1) | (205) |
Accounts payable, accrued liabilities, and contract liabilities | (144) | 451 | 578 |
Other assets and liabilities | (38) | (91) | (126) |
Deferred income taxes | (32) | (334) | 34 |
Net cash provided by operating activities | 2,044 | 1,823 | 1,837 |
Investing | |||
Acquisitions and investments, net | (180) | (1,177) | (521) |
Proceeds from sales of investments | 19 | 46 | 16 |
Capital expenditures | (253) | (256) | (243) |
Proceeds from sales of property, plant and equipment | 0 | 0 | 6 |
Net cash used for investing activities | (414) | (1,387) | (742) |
Financing | |||
Net proceeds from issuance of debt | 0 | 595 | 844 |
Repayment of debt | (1) | (285) | (353) |
Revolving credit facility renewal fees | 0 | 0 | (7) |
Issuances of common stock | 104 | 156 | 102 |
Purchases of common stock | (804) | (836) | (528) |
Payment of dividends | (589) | (530) | (482) |
Payment of dividends to noncontrolling interest | (5) | (6) | (5) |
Net cash used for financing activities | (1,295) | (906) | (429) |
Effect of exchange rate changes on cash and cash equivalents | 45 | (79) | (46) |
Net increase (decrease) in cash and cash equivalents | 380 | (549) | 620 |
Cash and cash equivalents, beginning of period | 1,325 | 1,874 | 1,254 |
Cash and cash equivalents, end of period | 1,705 | 1,325 | 1,874 |
Cash paid during the period for: | |||
Interest paid | 234 | 226 | 207 |
Income and withholding taxes, net of refunds | $ 587 | $ 307 | $ 257 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Principles of Consolidation : The consolidated financial statements include the accounts of Motorola Solutions, Inc. (the “Company” or “Motorola Solutions”) and all controlled subsidiaries. All intercompany transactions and balances have been eliminated. The consolidated financial statements as of December 31, 2023 and 2022 and for the years ended December 31, 2023, 2022 and 2021, include, in the opinion of management, all adjustments (consisting of normal recurring adjustments and reclassifications) necessary to present fairly the Company's consolidated financial position, results of operations, statements of comprehensive income, and statements of stockholders' equity and cash flows for all periods presented. Use of Estimates: The preparation of financial statements in conformity with United States ("U.S.") Generally Accepted Accounting Principles ("GAAP") requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Revenue Recognition: Net sales consist of a wide range of goods and services including the delivery of products, systems and system integration as well as offering software and service solutions. The Company recognizes revenue to reflect the transfer of control of promised goods or services to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for goods or services. The Products and Systems Integration segment is comprised of devices, systems, and systems integration for our Land Mobile Radio Communication ("LMR" or "LMR Communications") and Video Security and Access Control ("Video") technologies. Direct customers of the Products and Systems Integration segment are typically government, public safety agencies, procuring at state, local, and federal levels as well as large commercial customers with secure mission-critical needs. Indirect customers are defined as customers purchasing professional and commercial radios and video security, which are primarily sold through the Company's reseller partners to an end-customer base, composed of various industries where private communications networks and video security are used to secure operations and enable a mobile workforce. Contracts with the Company's customers are typically fixed fee, with consideration measured net of associated sales taxes, and, as it relates to our government customers, funded through appropriations. The Company records consideration from shipping and handling on a gross basis within Net sales. In limited instances where the Company is not the principal in the arrangement, the Company will recognize revenue on a net basis. LMR and Video devices include two-way portable and vehicle-mounted radios, fixed video cameras and accessories. Devices are considered capable of being distinct and distinct within the context of the Company's contracts. Revenue is recognized upon the transfer of control of the devices to the customer at a point in time, typically consistent with delivery under the applicable shipping terms. Devices are sold by both the direct sales force and through reseller partners. Revenue is generally recognized upon transfer of devices to reseller partners, rather than the end-customer, except for limited consignment arrangements. Provisions for returns and reseller discounts are made on a portfolio basis using historical data. The Products and Systems Integration segment includes both customized communications networks and video security solutions, including the integration of these networks with devices, software, and applications within both LMR and Video technologies. For systems contracts, revenue for the year ended December 31, 2023 was $1.9 billion compared to $1.8 billion for the year ended December 31, 2022 and $1.9 billion for the year ended December 31, 2021. The communications networks include the aggregation of promises to the customer to provide i) a communications network core and central processing software, base stations, consoles, and repeaters or ii) a video security solution including video analytics, network video management hardware and software, and access control solutions. The individual promises within a communications network contract are not distinct in the context of the contract, as the Company provides a significant service of integrating and customizing the goods and services promised. The communications network represents a distinct performance obligation for which revenue is recognized over time, as the Company creates an asset with no alternative use and has an enforceable right to payment for work performed. The Company's revenue recognition over time is based on an input measure of costs incurred, which depicts the transfer of control to its customers under its contracts. Products and Systems Integration revenue for communications network systems is recognized over an average duration of approximately one The Software and Services segment provides solutions for government, public safety and commercial communications networks. Direct customers of the Software and Services segment are typically government, public safety and first-responder agencies and municipalities. Indirect customers are commercial customers who distribute our software solutions to a final end customer base. Contracts with our customers are typically fixed fee, with consideration measured net of associated sales taxes, and, as it relates to our direct customers, funded through government appropriations. Software offerings primarily include Command Center and Video software and services which can be delivered either as an “as-a-service”, on-premise, or hybrid solution. Solutions delivered as-a-service consist of a range of promises including hosted software, technical support and the right to unspecified future software enhancements. Software is not distinct from the hosting service since the customer does not have the right to take possession of the software at any time during the term of the arrangement. The hosted software, technical support, and right to unspecified future software enhancements each represent a series of distinct services that are delivered concurrently using the same over-time method. As such, the promises are accounted for as a single performance obligation with revenue recognized on a straight-line basis. On-premise and hybrid offerings generally consist of multiple promises primarily including software licenses and post-contract customer support. The promises are generally each distinct and distinct within the context of the contract as the customer benefits from each promise individually without any significant integration or interrelationship between the promises. On-premise software revenue is generally recognized at the point in time when the customer can benefit from the software which generally aligns with the beginning of the license period. Revenue for post-contract customer support is recognized over time as the customer simultaneously receives and consumes the services on a straight-line basis. In certain situations when the software license is not distinct within the context of the contract, revenue for the software license is recognized over time following the transfer of control under the arrangement. For hybrid arrangements, the on-premise software and as-a-service software are generally distinct performance obligations where the on-premise solution is recognized at the point when the customer can benefit from the software and the as-a-service software is recognized over time as the customer receives the benefit from the hosted solution. Services include a continuum of service offerings beginning with repair, technical support and maintenance. More advanced offerings include: monitoring, software updates and cybersecurity services. Managed service offerings range from partial to full operation of customer-owned or Motorola Solutions-owned communications networks. Services are provided across all technologies and are both distinct and capable of being distinct in the context of the contract, representing a series of recurring services that the Company stands ready to perform over the contract term. Since services contracts typically allow for customers to terminate for convenience or for non-appropriations of fiscal funding, the contract term is generally considered to be limited to a monthly or annual basis, subject to customer renewal. While contracts with customers are typically fixed fee, certain managed services contracts may be subject to variable consideration related to the achievement of service level agreement performance measurements. The Company has not historically paid significant penalties under service level agreements, and accordingly, it does not constrain its contract price. Certain contracts may also contain variable consideration driven by the number of users. Revenue is typically recognized on services over time as a series of services performed over the contract term on a straight-line basis. The Company enters into arrangements which generally consist of multiple promises to our customers. The Company evaluates whether the promised goods and services are distinct or a series of distinct goods or services. Where contracts contain multiple performance obligations, the Company allocates the total estimated consideration to each performance obligation based on applying an estimated selling price (“ESP”) as our best estimate of standalone selling price. We use list price as the standalone selling price for indirect sales sold through our channel partners. Given the unique nature of the goods and services we provide to direct customers, sufficient standalone sales of our products generally do not exist. Therefore, the Company determines ESP by: (i) collecting all reasonably available historical data points including sales, cost and margin analyses of the product or services, and other inputs based on its normal pricing and discounting practices, (ii) making any reasonably required adjustments to the data based on market and Company-specific factors, and (iii) stratifying the data points for similar customers and circumstances, when appropriate, based on major product or service, type of customer, geographic market, and sales volume. The Company accounts for certain system contracts without an alternative use on an over-time basis, electing an input method of estimated costs as a measure of performance completed. The selection of costs incurred as a measure of progress aligns the transfer of control to the overall production of the customized system. For system contracts accounted for over time using estimated costs as a measure of performance completed, the Company relies on estimates around the total estimated costs to complete the contract (“Estimated Costs at Completion”). Total Estimated Costs at Completion include direct labor, material and subcontracting costs. Due to the nature of the efforts required to be performed to meet the underlying performance obligation, determining Estimated Costs at Completion may be complex and subject to many variables. The Company has a standard and disciplined process in which management reviews the progress and performance of open contracts in order to determine the best estimate of Estimated Costs at Completion. As part of this process, management reviews information including, but not limited to, any outstanding key contract matters, progress towards completion, the project schedule, identified risks and opportunities, and the related changes in estimates of costs. The risks and opportunities include management’s judgment about the ability and cost to achieve the project schedule, technical requirements, and other contract requirements. Management must make assumptions and estimates regarding labor productivity and availability, the complexity of work to be performed, the availability and cost of materials, and performance by subcontractors, among other variables. Based on this analysis, any adjustment to net sales, cost of sales, and the related impact to operating income are recorded as necessary in the period they become known. When estimates of total costs to be incurred on a contract exceed estimates of total revenue to be earned, a provision for the entire loss on the contract is recorded in the period in which the loss is determined. Cash Equivalents: The Company considers all highly-liquid investments purchased with an original maturity of three months or less to be cash equivalents. Restricted cash was $2 million at each of December 31, 2023 and December 31, 2022. Investments: The Company generally invests in equity securities of a strategic nature. The Company applies the equity method of accounting for equity investments if the Company has significant influence over the issuing entity. The Company’s share of the investee’s underlying net income or loss is recorded to Other, net within Other income (expense). Equity securities with readily determinable fair values are carried at fair value with changes in fair value recorded in Other, net within Other income (expense). Equity securities without readily determinable fair values are carried at cost, less impairments, if any, and adjusted for observable price changes for the identical or a similar investment of the same issuer. The Company performs a qualitative impairment assessment to determine if such investments are impaired. The qualitative assessment considers all available information, including declines in the financial performance of the issuing entity, the issuing entity’s operating environment, and general market conditions. Impairments of equity securities without readily determinable fair values are recorded to Other, net within Other income (expense). Inventories: Inventories are valued at the lower of cost (which approximates cost on a first-in, first-out basis) and net realizable value. Property, Plant and Equipment: Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is recorded on a straight-line basis, based on the estimated useful lives of the assets (leasehold improvements, one one Goodwill and Intangible Assets: Goodwill is assessed for impairment at least annually at the reporting unit, or more frequently if events or circumstances occur that would more likely than not reduce the fair value of a reporting unit below its carrying value level. The Company performs its annual assessment of goodwill for impairment as of the last day of the third quarter of each fiscal year, typically through a qualitative assessment. Indicators of impairment include: (i) macroeconomic conditions, (ii) industry and market conditions, (iii) cost factors, including product and selling, general and administrative costs, (iv) overall financial performance of the Company, (v) changes in share price, and (vi) other relevant company-specific events. If it is determined that it is more-likely-than-not that the fair value of the reporting unit is less than its carrying amount, the Company will perform a quantitative goodwill impairment test, which compares the fair value of the reporting unit to its carrying value. A quantitative assessment includes the assignment of assets and liabilities to each of the Company's reporting units and an assessment of the fair value of each of the Company's reporting units. The Company utilizes an income approach (discounted cash flows) to estimate the fair value of each reporting unit, which is corroborated by market multiples when available and as appropriate. Key assumptions in the quantitative analysis include revenue growth rates (including long-term growth rates for terminal value assumptions), operating margin estimates, discount rates, and where applicable, the comparable multiples from publicly traded companies in the Company's industry. If the carrying amount of a reporting unit exceeds its fair value, the Company would recognize an impairment loss in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit. Intangible assets are amortized on a straight line basis over their respective estimated useful lives ranging from one Leases: The Company leases certain office, factory and warehouse space, land and other equipment, principally under non-cancelable operating leases. The Company determines if an arrangement is a lease at inception of the contract. The Company’s key considerations in determining whether a contract is or contains a lease include establishing whether the supplier has the ability to use other assets to fulfill its service or whether the terms of the agreement enable the Company to control the use of a dedicated asset during the contract term. In the majority of the Company’s contracts where it must identify whether a lease is present, it is readily determinable that the Company controls the use of the assets and obtains substantially all of the economic benefit during the term of the contract. In those contracts where identification is not readily determinable, the Company has determined that the supplier has either the ability to use another asset to provide the service or the terms of the contract give the supplier the right to operate the asset at its discretion during the term of the contract. Right-of-use ("ROU") assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at the commencement date. The Company’s lease payments are typically fixed or contain fixed escalators. The Company has elected to not separate lease and non-lease components for all of its current lease categories and therefore, all consideration is included in lease payments. For the Company’s leases consisting of land and other equipment (i.e. “communications network sites”), future payments are subject to variability due to changes in indices or rates. The Company values its ROU assets and lease liabilities based on the index or rate in effect at lease commencement. Future changes in the indices or rates are accounted for as variable lease costs. Other variable lease costs include items that are not fixed at lease commencement including property taxes, insurance, and operating charges that vary based on usage. ROU assets also include lease payments made in advance and are net of lease incentives. As the majority of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rates based on the information available at the commencement date in determining the present value of future payments. The Company’s incremental borrowing rates are based on the term of the lease, the economic environment of the lease, and the effect of collateralization. The Company's lease terms range from one one the lease term for the majority of leases as sufficient economic factors do not exist that would compel it to continue to use the underlying asset beyond the initial non-cancelable term. However, for the Company's communications network site leases that are necessary to provide services to customers under managed service arrangements, the Company includes options in the lease term to the extent of the customer contracts to which those leases relate. Impairment of Long-Lived Assets: Long-lived assets, which include intangible assets, held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of assets may not be recoverable. The Company evaluates recoverability of assets to be held and used by comparing the carrying amount of an asset (group) to future net undiscounted cash flows to be generated by the asset (group). If an asset (group) is considered to be impaired, the impairment to be recognized is equal to the amount by which the carrying amount of the asset (group) exceeds the asset's (group's) fair value calculated using a discounted future cash flows analysis or market comparable analysis. Assets held for sale, if any, are reported at the lower of the carrying amount or fair value less cost to sell. Income Taxes: The Company records deferred income tax assets and liabilities based on the estimated future tax effects of differences between the financial and tax bases of assets and liabilities based on currently enacted tax laws. The Company's deferred and other tax balances are based on management's interpretation of the tax regulations and rulings in numerous tax jurisdictions. Income tax expenses and liabilities recognized by the Company also reflect its best estimates and assumptions regarding, among other things, the level of future taxable income, the effect of the Company's various tax planning strategies, and uncertain tax positions. Future tax authority rulings and changes in tax laws, changes in projected levels of taxable income, and future tax planning strategies could affect the actual effective tax rate and tax balances recorded by the Company. Long-Term Receivables: Long-term receivables include trade receivables where contractual terms of the note agreement are greater than one year. The Company estimates credit losses on accounts receivable based on historical losses and then takes into account estimates of current and future economic conditions. Long-term receivables are considered past due if payments have not been received according to the contractual terms of the note agreement, including principal and interest. Impaired long-term receivables are valued based on the present value of expected future cash flows discounted at the receivable’s effective interest rate, or the fair value of the collateral if the receivable is collateral dependent. Interest income and late fees on impaired long-term receivables are recognized only when payments are received. Previously impaired long-term receivables are no longer considered impaired and are reclassified to performing when they have performed under restructuring for four consecutive quarters. Environmental Liabilities: The Company maintains a liability related to ongoing remediation efforts of environmental media such as groundwater, soil, and soil vapor, as well as related legal fees for a designated Superfund site under the Comprehensive Environmental Response, Compensation and Liability Act (commonly known as the “Superfund Act”) incurred by a legacy business. It is the Company’s policy to re-evaluate the reserve when certain events become known that will impact the future cash payments. When the timing and amount of the future cash payments are fixed or reliably determinable, the Company discounts the future cash flows used in estimating the accrual using a risk-free treasury rate. The current portion of the estimated environmental liability is included in the Accrued liabilities statement line and the non-current portion is included in the Other liabilities statement line within the Company’s Consolidated Balance Sheet. Foreign Currency: Certain non-U.S. operations within the Company use their respective local currency as their functional currency. Those operations that do not have the U.S. dollar as their functional currency translate assets and liabilities at current rates of exchange in effect at the balance sheet date and revenues and expenses using rates that approximate those in effect during the period. The resulting translation adjustments are included as a component of Accumulated other comprehensive income (loss) in the Company’s Consolidated Balance Sheet. For those operations that have transactions denominated in local currency which differs from functional currency, transactions denominated in the local currency are measured in their functional currency using the current rates of exchange for monetary assets and liabilities and historical rates of exchange for nonmonetary assets. Gains and losses from remeasurement of monetary assets and liabilities are included in Other within Other income (expense) within the Company’s Consolidated Statements of Operations. The Company uses financial instruments to reduce its overall exposure to the effects of currency fluctuations on cash flows. The Company’s policy prohibits speculation in financial instruments for profit on exchange rate fluctuations, trading in currencies for which there are no underlying exposures, or entering into transactions for any currency to intentionally increase the underlying exposure. The Company’s strategy related to foreign exchange exposure management is to offset the gains or losses on the financial instruments against gains or losses on the underlying operational cash flows, net investments or monetary assets and liabilities based on the Company's assessment of risk. The Company enters into derivative contracts for some of its non-functional currency cash, receivables, and payables, which are primarily denominated in major currencies that can be traded on open markets. The Company typically uses forward contracts and options to hedge these currency exposures. In addition, the Company has entered into derivative contracts for some forecasted transactions or net investments in some of its overseas entities, which are designated as part of a hedging relationship if it is determined that the transaction qualifies for hedge accounting under the provisions of the authoritative accounting guidance for derivative instruments and hedging activities. A portion of the Company’s exposure is from currencies that are not traded in liquid markets and these are addressed, to the extent reasonably possible, by managing net asset positions, product pricing and component sourcing. Derivative Instruments: For Foreign exchange contracts, not designated as hedging instruments, gains and losses are recorded immediately in Other income (expense) within the Consolidated Statements of Operations. For Equity swap contracts, which do not qualify for hedge accounting, gains and losses are recorded immediately in Selling, general and administrative expenses within the Consolidated Statements of Operations. Gains and losses pertaining to instruments designated as net investment hedges that qualify for hedge accounting are recognized as a component of Accumulated other comprehensive income. Components excluded from the assessment of hedge ineffectiveness in net investment hedges are included in Accumulated other comprehensive income at their initial value and amortized into Interest expense, net on a straight-line basis. Gains and losses pertaining to instruments designated as cash flow hedges that qualify for hedge accounting are recognized as a component of Accumulated other comprehensive income. Fair Value Measurements: The Company holds certain fixed income securities, equity securities and derivatives, which are recognized and disclosed at fair value in the financial statements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date and is measured using the fair value hierarchy. This hierarchy prescribes valuation techniques based on whether the inputs to each measurement are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company's assumptions about current market conditions. The prescribed fair value hierarchy and related valuation methodologies are as follows: Level 1 — Quoted prices for identical instruments in active markets. Level 2 — Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations, in which all significant inputs are observable, in active markets. Level 3 — Valuations derived from valuation techniques, in which one or more significant inputs are unobservable. Earnings Per Share: The Company calculates its basic earnings per share based on the weighted-average number of common shares issued and outstanding. Net earnings attributable to Motorola Solutions, Inc. is divided by the weighted average common shares outstanding during the period to arrive at the basic earnings per share. Diluted earnings per share is calculated by dividing net earnings attributable to Motorola Solutions, by the sum of the weighted-average number of common shares used in the basic earnings per share calculation and the weighted-average number of common shares that would be issued assuming exercise or conversion of all potentially dilutive securities, excluding those securities that would be anti-dilutive to the earnings per share calculation. Both basic and diluted earnings per share amounts are calculated for net earnings attributable to Motorola Solutions for all periods presented. Share-Based Compensation Costs: The Company grants share-based compensation awards and offers an employee stock purchase plan. The amount of compensation cost for these share-based awards is generally measured based on the fair value of the awards as of the date that the share-based awards are issued and adjusted to the estimated number of awards that are expected to vest. The fair values of stock options and stock appreciation rights are generally determined using a Black-Scholes option pricing model which incorporates assumptions about expected volatility, risk-free rate, dividend yield, and expected life. Performance-based stock options, performance stock units, and market stock units vest based on market conditions and are therefore measured under a Monte Carlo simulation in order to simulate a range of possible future unit prices for Motorola Solutions over the performance period. Compensation cost for share-based awards is recognized on a straight-line basis over the vesting period. Defined Benefit Plans: The Company records annual expenses relating to its defined benefit plans based on calculations which include various actuarial assumptions, including discount rates, assumed asset rates of return, compensation increases, and turnover rates. The Company reviews its actuarial assumptions on an annual basis and makes modifications to the assumptions based on current rates and trends. Under relevant accounting rules, when almost all of the plan participants are considered inactive, the amortization period for certain unrecognized gains and losses changes from the average remaining service period to the average remaining lifetime of the participants. As such, depending on the specific plan, the Company amortizes gains and losses over periods ranging from nine one The benefit obligation and plan assets for the Company's defined benefit plans are presented on a net basis according to the plans' net funded status and measured as of December 31, 2023. Recent Acquisitions: On December 15, 2023, the Company acquired IPVideo Corporation ("IPVideo"), the creator of the HALO Smart Sensor, for $170 million, net of cash acquired. In addition, the Company issued restricted stock at a fair value of $5 million to certain key employees that will be expensed over a service period of one year. The HALO Smart Sensor is a multifunctional safety and security device with built-in vape detection and air quality monitoring, gunshot detection, abnormal noise and motion detection and emergency keyword detection. This acquisition adds sensor technology to the Company's physical security portfolio. The business is a part of the Products and Systems Integration segment. On December 14, 2022, the Company acquired Rave Mobile Safety, Inc. ("Rave Mobile"), a leader in mass notification and incident management, for $553 million, net of cash acquired. In addition, the Company issued restricted stock at a fair value of $2 million to certain key employees that will be expensed over a service period of two years. This acquisition complements the Company's portfolio with a platform specifically designed to help organizations and public safety agencies communicate and collaborate during emergencies. The business is a part of the Software and Services segment. On October 25, 2022, the Company acquired Futurecom Systems Group, ULC ("Futurecom"), a leading provider of radio coverage extension solutions for public safety agencies, for $30 million, net of cash acquired. Futurecom designs and manufactures radio frequency repeaters. This acquisition further expands the Company's communications network and device portfolios. The business |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | Revenue from Contracts with Customers Disaggregation of Revenue The following table summarizes the disaggregation of our revenue by segment, geography, major product and service type and customer type for the years ended December 31, 2023, 2022 and 2021, consistent with the information reviewed by our chief operating decision maker for evaluating the financial performance of reportable segments: Years Ended 2023 2022 2021 (in millions) Products and Systems Integration Software and Services Total Products and Systems Integration Software and Services Total Products and Systems Integration Software and Services Total Regions North America $ 4,507 $ 2,425 $ 6,932 $ 4,286 $ 2,088 $ 6,374 $ 3,723 $ 1,838 $ 5,561 International 1,735 1,311 3,046 1,442 1,296 2,738 1,310 1,300 2,610 $ 6,242 $ 3,736 $ 9,978 $ 5,728 $ 3,384 $ 9,112 $ 5,033 $ 3,138 $ 8,171 Major Products and Services LMR Communications $ 5,127 $ 2,399 $ 7,526 $ 4,713 $ 2,274 $ 6,987 $ 4,203 $ 2,205 $ 6,408 Video 1,115 611 1,726 1,015 508 1,523 830 396 1,226 Command Center — 726 726 — 602 602 — 537 537 $ 6,242 $ 3,736 $ 9,978 $ 5,728 $ 3,384 $ 9,112 $ 5,033 $ 3,138 $ 8,171 Customer Type Direct $ 3,619 $ 3,396 $ 7,015 $ 3,368 $ 3,057 $ 6,425 $ 3,147 $ 2,842 $ 5,989 Indirect 2,623 340 2,963 2,360 327 2,687 1,886 296 2,182 $ 6,242 $ 3,736 $ 9,978 $ 5,728 $ 3,384 $ 9,112 $ 5,033 $ 3,138 $ 8,171 Remaining Performance Obligations Remaining performance obligations represent the revenue that is expected to be recognized in future periods related to performance obligations that are unsatisfied, or partially unsatisfied, as of the end of a period. The transaction value associated with remaining performance obligations which were not yet satisfied as of December 31, 2023 was $9.3 billion. A total of $5.0 billion was from Products and Systems Integration performance obligations that were not yet satisfied, of which $3.0 billion is expected to be recognized in the next twelve months. The remaining amounts will generally be satisfied over time as systems are implemented. Remaining performance obligations from the Products and Systems Integration segment are equal to disclosed backlog for the segment. A total of $4.3 billion was from Software and Services performance obligations that were not yet satisfied as of December 31, 2023. The determination of Software and Services performance obligations that are not satisfied takes into account a contract term that may be limited by the customer’s ability to terminate for convenience. Where termination for convenience exists in the Company's services contracts, its disclosure of the remaining performance obligations that are unsatisfied assumes the contract term is limited until renewal. As a result, remaining performance obligations from the Software and Services segment may be less than disclosed backlog in the Software and Services segment due to multi-year service contracts with termination for convenience clauses. The Company expects to recognize $1.7 billion from unsatisfied Software and Services performance obligations over the next twelve months, with the remaining performance obligations to be recognized over time as services are performed and software is implemented. In October 2021, the U.K.'s Competition and Markets Authority ("CMA") announced that it had opened a market investigation into the Mobile Radio Network Services market. This investigation included Airwave, the Company's private mobile radio communications network that the Company acquired in 2016. On July 31, 2023, the CMA adopted a remedies order which implemented the price control set out in its final decision, which was suspended until the CAT dismissed the Company's appeal on December 22, 2023. Based on the adoption of the remedies order, since August 1, 2023, revenue under the Airwave contract has been recognized in accordance with the prospective price control as the contract value was subject to variable consideration constraints. The remaining performance obligations for Airwave services contracted with the Home Office through 2026, inclusive of the five month period beginning August 1, 2023, was reduced by $777 million to align with the remedies order as of December 31, 2023. Payment terms on system contracts are typically tied to implementation milestones associated with progress on contracts, while revenue recognition is over time based on a cost-to-cost method of measuring performance. The Company may recognize a Contract asset or Contract liability, depending on whether revenue has been recognized in excess of billings or billings in excess of revenue. Services contracts are typically billed in advance, generating Contract liabilities until the Company has performed the services. The Company does not record a financing component to contracts when it expects, at contract inception, that the period between the transfer of a promised good or service and related payment terms are less than a year. Contract Balances December 31 (in millions) 2023 2022 2021 Accounts receivable, net $ 1,710 $ 1,518 $ 1,386 Contract assets 1,102 974 1,105 Contract liabilities 2,037 1,859 1,650 Non-current contract liabilities 424 363 306 Revenue recognized during the year ended December 31, 2023 which was previously included in Contract liabilities as of January 1, 2023 was $1.3 billion, compared to $1.1 billion of revenue recognized during the year ended December 31, 2022 which was previously included in Contract liabilities as of January 1, 2022, and $1.0 billion of revenue recognized during the year ended December 31, 2021 which was previously included in Contract liabilities as of January 1, 2021. Revenue of $37 million was reversed during the year ended December 31, 2023 related to performance obligations satisfied, or partially satisfied, in previous periods, primarily driven by changes in the estimates of progress on system contracts, compared to $26 million during the year ended December 31, 2022 and $4 million during the year ended December 31, 2021. There have been no material expected credit losses recognized on contract assets during the year ended December 31, 2023. Contract Cost Balances December 31 (in millions) 2023 2022 2021 Current contract cost assets $ 56 $ 61 $ 30 Non-current contract cost assets 119 130 124 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases The Company leases certain office, factory and warehouse space, land and other equipment under various operating leases. Components of Lease Expense (in millions) December 31, 2023 December 31, 2022 December 31, 2021 Lease expense: Operating lease cost $ 140 $ 130 $ 133 Short-term lease cost $ 1 $ 1 $ 2 Variable cost 36 33 36 Sublease income (5) (5) (7) Net lease expense from operating leases $ 172 $ 159 $ 164 Operating Lease Assets and Liabilities (in millions) Statement Line Classification December 31, 2023 December 31, 2022 Right-of-use lease assets Operating lease assets $ 495 $ 485 Current lease liabilities Accrued liabilities $ 125 $ 118 Non-current lease liabilities Operating lease liabilities $ 407 $ 419 Other Information Related to Leases (in millions) December 31, 2023 December 31, 2022 December 31, 2021 Supplemental cash flow information: Net cash used for operating activities related to operating leases $ 147 $ 145 $ 145 Right-of-use assets obtained in exchange for lease liabilities $ 98 $ 221 $ 40 Assets obtained in exchange for lease liabilities during the year ended December 31, 2023 included $66 million of additional leases due to renewals of three large managed services contracts due to an assumption that it is reasonably certain that renewal options will be extended on the associated radio tower site leases. During the year ended December 31, 2022, the Company recorded $150 million of assets obtained in exchange for lease liabilities due to an assumption that it is reasonably certain that renewal options will be extended on its radio tower site leases operated within the Airwave communications network consistent with the contract extension of the radio communication services through 2026. In addition, assets obtained in exchange for lease liabilities of $34 million were recorded in connection with the Company's acquisition of TETRA Ireland. December 31, 2023 December 31, 2022 Weighted average remaining lease terms (years) 5 5 Weighted average discount rate 4.34 % 4.07 % Future Lease Payments December 31 (in millions) Amount 2024 $ 145 2025 132 2026 115 2027 66 2028 41 Thereafter 92 Total lease payments $ 591 Less: Interest 59 Present value of operating lease liabilities $ 532 |
Leases | Leases The Company leases certain office, factory and warehouse space, land and other equipment under various operating leases. Components of Lease Expense (in millions) December 31, 2023 December 31, 2022 December 31, 2021 Lease expense: Operating lease cost $ 140 $ 130 $ 133 Short-term lease cost $ 1 $ 1 $ 2 Variable cost 36 33 36 Sublease income (5) (5) (7) Net lease expense from operating leases $ 172 $ 159 $ 164 Operating Lease Assets and Liabilities (in millions) Statement Line Classification December 31, 2023 December 31, 2022 Right-of-use lease assets Operating lease assets $ 495 $ 485 Current lease liabilities Accrued liabilities $ 125 $ 118 Non-current lease liabilities Operating lease liabilities $ 407 $ 419 Other Information Related to Leases (in millions) December 31, 2023 December 31, 2022 December 31, 2021 Supplemental cash flow information: Net cash used for operating activities related to operating leases $ 147 $ 145 $ 145 Right-of-use assets obtained in exchange for lease liabilities $ 98 $ 221 $ 40 Assets obtained in exchange for lease liabilities during the year ended December 31, 2023 included $66 million of additional leases due to renewals of three large managed services contracts due to an assumption that it is reasonably certain that renewal options will be extended on the associated radio tower site leases. During the year ended December 31, 2022, the Company recorded $150 million of assets obtained in exchange for lease liabilities due to an assumption that it is reasonably certain that renewal options will be extended on its radio tower site leases operated within the Airwave communications network consistent with the contract extension of the radio communication services through 2026. In addition, assets obtained in exchange for lease liabilities of $34 million were recorded in connection with the Company's acquisition of TETRA Ireland. December 31, 2023 December 31, 2022 Weighted average remaining lease terms (years) 5 5 Weighted average discount rate 4.34 % 4.07 % Future Lease Payments December 31 (in millions) Amount 2024 $ 145 2025 132 2026 115 2027 66 2028 41 Thereafter 92 Total lease payments $ 591 Less: Interest 59 Present value of operating lease liabilities $ 532 |
Other Financial Data
Other Financial Data | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Other Financial Data | Other Financial Data Statement of Operations Information Other Charges (Income) Other charges (income) included in Operating earnings consist of the following: Years ended December 31 (in millions) 2023 2022 2021 Other charges (income): Intangibles amortization (Note 15) $ 177 $ 257 $ 236 Reorganization of businesses (Note 14) 22 18 24 Legal Settlements 4 23 3 Fixed asset impairments 3 12 — Environmental reserve expense 15 — — Exit of video manufacturing operations 24 — — Operating lease asset impairments 6 24 10 Acquisition-related transaction fees 7 23 15 Gain on Hytera legal settlement — (15) — Other (1) (3) (2) $ 257 $ 339 $ 286 During the year ended December 31, 2023, the Company revised the estimate for its liability related to ongoing remediation efforts of environmental media such as groundwater, soil, and soil vapor, as well as related legal fees for a designated Superfund site under the Superfund Act incurred by a legacy business. It is the Company's policy to re-evaluate the reserve when certain events become known that will impact the future cash payments. During the year ended December 31, 2023, the Company became aware of incremental costs required in its remediation of the Superfund site. As such, the Company recorded a charge of $15 million, increasing the reserve balance to $127 million. The Company discounted the cash flows used in estimating this accrual using a risk-free treasury rate. The current portion of the estimated environmental liability is $8 million and is included in the Accrued liabilities statement line and the non-current portion is included in the "Other liabilities" statement line within the Company's Consolidated Balance Sheets. Other Income (Expense) Interest expense, net, and Other both included in Other income (expense) consist of the following: Years ended December 31 (in millions) 2023 2022 2021 Interest expense, net: Interest expense $ (249) $ (240) $ (215) Interest income 33 14 7 $ (216) $ (226) $ (208) Other, net: Net periodic pension and postretirement benefit (Note 8) $ 99 $ 123 $ 123 Loss from the extinguishment of long-term debt (Note 5) — (6) (18) Investment impairments (16) (1) — Foreign currency gain (loss) (53) 37 17 Gain (loss) on derivative instruments (Note 6) 20 (61) (30) Gains (loss) on equity method investments — (3) 5 Fair value adjustments to equity investments 13 (30) (8) Gain on TETRA Ireland equity method investment — 21 — Other 5 (3) 3 $ 68 $ 77 $ 92 Earnings Per Common Share Basic and diluted earnings per common share from net earnings attributable to Motorola Solutions, Inc. are computed as follows: Amounts attributable to Motorola Solutions, Inc. common stockholders Net Earnings Years ended December 31 2023 2022 2021 Basic earnings per common share: Earnings $ 1,709 $ 1,363 $ 1,245 Weighted average common shares outstanding 167.0 167.5 169.2 Per share amount $ 10.23 $ 8.14 $ 7.36 Diluted earnings per common share: Earnings $ 1,709 $ 1,363 $ 1,245 Weighted average common shares outstanding 167.0 167.5 169.2 Add effect of dilutive securities: Share-based awards 3.7 3.7 4.0 1.75% senior convertible notes 1.5 0.7 0.4 Diluted weighted average common shares outstanding 172.1 171.9 173.6 Per share amount $ 9.93 $ 7.93 $ 7.17 In the computation of diluted earnings per common share for the year ended December 31, 2023, the assumed exercise of 0.3 million options, including 0.2 million subject to market-based contingent option agreements, were excluded because their inclusion would have been antidilutive. In the computation of diluted earnings per common share for the year ended December 31, 2022, the assumed exercise of 0.3 million options, including 0.1 million subject to market-based contingent option agreements, were excluded because their inclusion would have been antidilutive. In the computation of diluted earnings per common share for the year ended December 31, 2021, the assumed exercise of 0.2 million options, including 0.1 million subject to market-based contingent option agreements, were excluded because their inclusion would have been antidilutive. As of December 31, 2023, the Company had $1.0 billion of 1.75% senior convertible notes outstanding, which mature on September 15, 2024 ("Senior Convertible Notes"). The notes are convertible based on a rate of 4.9670 per $1,000 principal amount as of December 31, 2023 (which is equal to a conversion price of $201.33 per share), adjusted for dividends declared through the date of settlement. The notes became fully convertible as of September 5, 2021, providing the holders the option to convert all or any portion of their Senior Convertible Notes. In November 2021, the Company's Board of Directors approved an irrevocable determination requiring the future settlement of the principal amount of the Senior Convertible Notes to be in cash. Because the Company has irrevocably decided to settle the principal amount of the Senior Convertible Notes in cash, the Company did not reflect any shares underlying the Senior Convertible Notes in its diluted weighted average shares outstanding until the average stock price per share for the period exceeded the conversion price. Upon conversion of the Senior Convertible Notes, the Company has the option to settle the conversion spread in cash or shares. The Company included the number of shares that would be issuable upon conversion in the Company’s computation of diluted earnings per share, based on the amount by which the average stock price exceeded the conversion price for the period ended December 31, 2023. The value by which the Senior Convertible Notes exceeded their principal amount if converted as of December 31, 2023 was $586 million. On February 14, 2024, the Company agreed with Silver Lake Partners to repurchase $1.0 billion aggregate principal amount of the 1.75% Senior Convertible Notes for aggregate consideration of $1.59 billion in cash, inclusive of the conversion premium. The cash consideration will be paid during the first quarter of 2024 and is expected to be paid from cash on the balance sheet and short-term borrowings including under the 2021 Motorola Solutions Credit Agreement. Refer to "Note 5: Debt and Credit Facilities" in this “Part II. Item 8. Financial Statements and Supplementary Data” of this Form 10-K for a further discussion of the Senior Convertible Notes. Balance Sheet Information Accounts Receivable, Net Accounts receivable, net, consists of the following: December 31 2023 2022 Accounts receivable $ 1,779 $ 1,579 Less allowance for credit losses (69) (61) $ 1,710 $ 1,518 Inventories, Net Inventories, net, consist of the following: December 31 2023 2022 Finished goods $ 328 $ 354 Work-in-process and production materials 640 829 968 1,183 Less inventory reserves (141) (128) $ 827 $ 1,055 Other Current Assets Other current assets consist of the following: December 31 2023 2022 Current contract cost assets (Note 2) $ 56 $ 61 Contractor receivables 40 47 Tax-related deposits (Note 7) 32 33 Other 229 242 $ 357 $ 383 Property, Plant and Equipment, Net Property, plant and equipment, net, consist of the following: December 31 2023 2022 Land $ 5 $ 5 Leasehold improvements 448 456 Machinery and equipment 2,396 2,303 2,849 2,764 Less accumulated depreciation (1,885) (1,837) $ 964 $ 927 During the year ended December 31, 2023, the Company entered into an arrangement to sell its Richmond, British Columbia and Richardson, Texas video manufacturing operations, including the machinery and equipment, inventory, transfer of employees and related facility lease to a contract manufacturer. During the year ended December 31, 2023, the Company presented the assets and liabilities as held for sale in its Consolidated Balance Sheets and recognized an impairment loss of $24 million on the exit of video manufacturing operations within Other charges in the Consolidated Statements of Operations, as the carrying value of the asset group was below the expected selling price. The Company closed the transaction on February 1, 2024. During the year ended December 31, 2022, the Company signed a mutual agreement with the Home Office of the United Kingdom (the "Home Office") for the Company to exit the Emergency Services Network ("ESN") communications systems contract early, inclusive of twelve months of transition services through the end of 2023. During the year ended December 31, 2022, the Company recorded a fixed asset impairment loss of $147 million related to assets constructed and used in the deployment of the ESN services contract with the Home Office based on its expectation that, more likely than not, the ESN long-lived asset group will be disposed of significantly before the end of its previously estimated useful life. The impairment loss was recorded in the Software and Services segment within cost of sales in the Consolidated Statements of Operations. Depreciation expense for the years ended December 31, 2023, 2022, and 2021 was $179 million, $183 million and $202 million, respectively. Investments Investments consist of the following: December 31 2023 2022 Common stock $ 28 $ 21 Strategic investments, at cost 28 45 Company-owned life insurance policies 74 69 Equity method investments 13 12 $ 143 $ 147 During the years ended December 31, 2023 and December 31, 2022, the Company recognized a gain of $12 million and a loss of $11 million, respectively, in Other income (expense) within the Consolidated Statements of Operations related to a change in the fair value of its investment in Evolv Technologies Holdings, Inc. Strategic investments include investments in non-public technology-driven startup companies. Strategic investments do not have a readily determinable fair value and are recorded at cost, less any impairment, and adjusted for changes resulting from observable, orderly transactions for identical or similar securities. During the year ended December 31, 2023, the Company recorded a $16 million investment impairment charge, compared to a $1 million investment impairment charge during the year ended December 31, 2022 and no investment impairment charges during the year ended December 31, 2021, representing other-than-temporary declines in the value of the Company’s strategic equity investment portfolio. Other Assets Other assets consist of the following: December 31 2023 2022 Defined benefit plan assets (Note 8) $ 98 $ 164 Non-current contract cost assets (Note 2) 119 130 Other 57 16 $ 274 $ 310 Accounts Payable The Company utilizes a supplier finance program that provides suppliers with the ability to accelerate payment on the Company's invoices beyond the stated payment terms. Under the terms of this program, the Company agrees to pay an intermediary the stated amount of confirmed invoices on the stated maturity dates of the invoices, and the supplier is able to negotiate earlier payment terms with the intermediary. The Company or the intermediary may terminate the agreement at any time upon 60 days' notice. The Company does not provide any forms of guarantees under this arrangement. Supplier participation in the program is solely at the supplier's discretion, and the participating suppliers negotiate their arrangements directly with the intermediary. The Company has no economic interest in a supplier's decision to participate in the program, and their participation has no bearing on our payment terms or amounts due. The stated invoice payment terms range from 75 to 120 days from the invoice date and are considered commercially reasonable. The Company's outstanding amounts related to the suppliers participating in this program was $35 million and $37 million as of December 31, 2023 and December 31, 2022, respectively. Supplier finance program obligations are classified as Accounts payable (in millions) 2023 Confirmed obligations at the beginning of the year $ 37 Invoices confirmed during the year 114 Confirmed invoices paid during the year (116) Confirmed obligations outstanding at the end of the year $ 35 Accrued Liabilities Accrued liabilities consist of the following: December 31 2023 2022 Compensation $ 407 $ 374 Tax liabilities (Note 7) 231 367 Dividend payable 163 148 Trade liabilities 140 145 Operating lease liabilities (Note 3) 125 118 Customer reserves 89 78 Other 349 408 $ 1,504 $ 1,638 Other Liabilities Other liabilities consist of the following: December 31 2023 2022 Defined benefit plans (Note 8) $ 939 $ 1,004 Non-current contract liabilities (Note 2) 424 363 Unrecognized tax benefits (Note 7) 26 29 Deferred income taxes (Note 7) 55 73 Environmental Reserve 119 108 Other 178 114 $ 1,741 $ 1,691 Stockholders’ Equity Information Share Repurchase Program: Through a series of actions, including approval in November 2023 to increase the authorized amount by $2.0 billion, the Board of Directors has authorized the Company to repurchase in the aggregate up to $18.0 billion of its outstanding shares of common stock (the “share repurchase program”). The share repurchase program does not have an expiration date. As of December 31, 2023, the Company had used approximately $15.5 billion of the share repurchase authority, excluding transaction costs and excise tax, to repurchase shares, leaving approximately $2.5 billion of authority available for future repurchases. As of January 1, 2023, the Company's share repurchases in excess of issuances are subject to a 1% excise tax enacted by the Inflation Reduction Act of 2022, which was $4 million as of December 31, 2023. The Company's share repurchases for 2023, 2022, and 2021 can be summarized as follows: Year Shares Repurchased (in millions) Average Price Amount (in millions) 2023 2.9 $ 278.56 $ 804 2022 3.7 225.00 836 2021 2.5 208.41 528 Payment of Dividends: On November 16, 2023, the Company announced that its Board of Directors approved an increase in the quarterly cash dividend from $0.88 per share of common stock to $0.98 per share of common stock. During the years ended December 31, 2023, 2022, and 2021 the Company paid $589 million, $530 million, and $482 million, respectively, in cash dividends to holders of its common stock. On January 12, 2024, the Company paid an additional $163 million in cash dividends to holders of its common stock. Accumulated Other Comprehensive Loss The following table displays the changes in Accumulated other comprehensive loss, including amounts reclassified into income, and the affected line items in the Consolidated Statements of Operations during the years ended December 31, 2023, 2022, and 2021: Years ended December 31 2023 2022 2021 Foreign Currency Translation Adjustments: Balance at beginning of period $ (539) $ (384) $ (360) Other comprehensive income (loss) before reclassification adjustment 61 (156) (30) Tax benefit (expense) (4) 1 6 Other comprehensive income (loss), net of tax 57 (155) (24) Balance at end of period $ (482) $ (539) $ (384) Derivative instruments: Balance at beginning of period $ — $ — $ — Other comprehensive income (loss) before reclassification adjustment (12) — — Tax benefit — — — Other comprehensive income (loss), net of tax (12) — — Balance at end of period $ (12) $ — $ — Defined Benefit Plans: Balance at beginning of period $ (1,996) $ (1,995) $ (2,086) Other comprehensive income (loss) before reclassification adjustment (130) (76) 37 Tax benefit (expense) 34 18 (7) Other comprehensive income (loss) before reclassification adjustment, net of tax (96) (58) 30 Reclassification adjustment - Actuarial net losses into Other income (expense) 61 80 89 Reclassification adjustment - Prior service benefits into Other income (expense) 1 (2) (8) Tax expense (16) (21) (20) Reclassification adjustments into Net earnings, net of tax 46 57 61 Other comprehensive income (loss), net of tax (50) (1) 91 Balance at end of period $ (2,046) $ (1,996) $ (1,995) Total Accumulated other comprehensive loss $ (2,540) $ (2,535) $ (2,379) |
Debt and Credit Facilities
Debt and Credit Facilities | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt and Credit Facilities | Debt and Credit Facilities Long-Term Debt December 31 2023 2022 4.0% senior notes due 2024 313 312 1.75% senior convertible notes due 2024 1,000 1,000 6.5% debentures due 2025 70 70 7.5% debentures due 2025 252 252 4.6% senior notes due 2028 695 694 6.5% debentures due 2028 25 24 4.6% senior notes due 2029 802 803 2.3% senior notes due 2030 894 893 2.75% senior notes due 2031 845 845 5.60% senior notes due 2032 595 595 6.625% senior notes due 2037 38 38 5.5% senior notes due 2044 397 397 5.22% debentures due 2097 93 92 6,019 6,015 Adjustments for unamortized gains on interest rate swap terminations (1) (1) Less: current portion (1,313) (1) Long-term debt $ 4,705 $ 6,013 On September 5, 2019, the Company entered into an agreement with Silver Lake Partners to issue the Senior Convertible Notes. Interest on these notes is payable semiannually. The notes became fully convertible as of September 5, 2021. The notes are convertible based on a conversion rate of 4.9670 per $1,000 principal amount as of December 31, 2023 (which is equal to a conversion price of $201.33 per share), adjusted for dividends declared through the date of settlement. On February 14, 2024, the Company agreed with Silver Lake Partners to repurchase $1.0 billion aggregate principal amount of the 1.75% Senior Convertible Notes for aggregate consideration of $1.59 billion in cash, inclusive of the conversion premium. The cash consideration will be paid during the first quarter of 2024 and is expected to be paid from cash on the balance sheet and short-term borrowings including under the 2021 Motorola Solutions Credit Agreement. In May of 2021, the Company issued $850 million of 2.75% senior notes due 2031. The Company recognized net proceeds of $844 million after debt issuance costs. A portion of these proceeds were then used to redeem $324 million in principal amount of the 3.5% senior notes due 2023 for a purchase price of $341 million, excluding $3 million of accrued interest. After accelerating the amortization of debt discounts and debt issuance costs, the Company recognized a loss of $18 million related to the redemption in Other, net within Other income (expense) in the Consolidated Statements of Operations. In May of 2022, the Company issued $600 million of 5.6% senior notes due 2032. The Company recognized net proceeds of $595 million after debt issuance costs and discounts. A portion of these proceeds was then used to repurchase $275 million in principal amount of the Company's 4.0% senior notes due 2024 pursuant to a cash tender offer, for a purchase price of $279 million, excluding $3 million of accrued interest. After accelerating the amortization of debt discounts and debt issuance costs, the Company recognized a loss of $6 million related to the tender offer in Other, net within Other income (expense) in the Consolidated Statements of Operations. The Company has an unsecured commercial paper program, backed by the 2021 Motorola Solutions Credit Agreement (defined below), under which the Company may issue unsecured commercial paper notes up to a maximum aggregate principal amount of $2.2 billion outstanding at any one time. Proceeds from the issuances of the commercial paper notes are expected to be used for general corporate purposes. The notes are issued at a zero-coupon rate and are issued at a discount which reflects the interest component. At maturity, the notes are paid back in full including the interest component. The notes are not redeemable prior to maturity. As of December 31, 2023 the Company had no outstanding debt under the commercial paper program. Aggregate requirements for long-term debt maturities during the next five years are as follows: $1.3 billion in 2024, $322 million in 2025, no maturities in 2026 or 2027, and $724 million in 2028. Credit Facilities As of December 31, 2023, the Company had a $2.25 billion syndicated, unsecured revolving credit facility scheduled to mature in March 2026 (the "2021 Motorola Solutions Credit Agreement"). The 2021 Motorola Solutions Credit Agreement includes a letter of credit sub-limit and fronting commitments of $450 million. |
Risk Management
Risk Management | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Risk Management | Risk Management Foreign Currency Risk The Company had outstanding foreign exchange contracts with notional amounts totaling $1.3 billion and $1.1 billion at December 31, 2023 and December 31, 2022, respectively. The Company does not believe these financial instruments should subject it to undue risk due to foreign exchange movements because gains and losses on these contracts should generally offset gains and losses on the underlying assets, liabilities and transactions. The following table shows the Company's five largest net notional amounts of the positions to buy or sell foreign currency as of December 31, 2023 and the corresponding positions as of December 31, 2022: Notional Amount Net Buy (Sell) by Currency 2023 2022 Euro $ 322 $ 185 British pound 252 290 Australian dollar (140) (130) Canadian dollar 76 — Chinese renminbi (66) (61) Counterparty Risk The use of derivative financial instruments exposes the Company to counterparty credit risk in the event of non-performance by counterparties. However, the Company’s risk is limited to the fair value of the instruments when the derivative is in an asset position. The Company actively monitors its exposure to credit risk. As of December 31, 2023, all of the counterparties had investment grade credit ratings. As of December 31, 2023, the credit risk with all derivative counterparties was approximately $14 million. Derivative Financial Instruments The following tables summarize the fair values and location in the Consolidated Balance Sheet of all derivative financial instruments held by the Company at December 31, 2023 and 2022: Fair Values of Derivative Instruments December 31, 2023 Other Current Assets Accrued Liabilities Derivatives designated as hedging instruments: Foreign exchange contracts $ 1 $ 3 Treasury rate lock — $ 12 Derivatives not designated as hedging instruments: Foreign exchange contracts $ 12 $ 1 Equity swap contracts $ 1 $ — Total derivatives $ 14 $ 16 Fair Values of Derivative Instruments December 31, 2022 Other Current Assets Accrued Liabilities Derivatives designated as hedging instruments: Foreign exchange contracts $ — $ 5 Derivatives not designated as hedging instruments: Foreign exchange contracts 15 — Total derivatives $ 15 $ 5 The following table summarizes the effect of derivatives on the Company's consolidated financial statements for the years ended December 31, 2023, 2022 and 2021: Financial Statement Location 2023 2022 2021 Derivatives designated as hedging instruments: Foreign exchange contracts Accumulated other comprehensive income (loss) $ (4) $ 12 $ 13 Forward points recognized Other income (expense) $ 3 $ 2 $ 1 Treasury rate lock Accumulated other comprehensive income (loss) $ (12) $ — $ — Derivatives not designated as hedging instruments: Foreign exchange contracts Other income (expense) $ 20 $ (61) $ (30) Equity swap contracts Selling, general and administrative expenses $ 1 $ — $ — Net Investment Hedges The Company uses foreign exchange forward contracts to hedge against the effect of the British pound and the Euro exchange rate fluctuations against the U.S. dollar on a portion of its net investment in certain European operations. The Company recognizes changes in the fair value of the net investment hedges as a component of foreign currency translation adjustments within other comprehensive income to offset a portion of the change in translated value of the net investments being hedged, until the investments are sold or liquidated. As of December 31, 2023, the Company had €100 million of net investment hedges in certain Euro functional subsidiaries and £60 million of net investment hedges in certain British pound functional subsidiaries. The Company excludes the difference between the spot rate and the forward rate of the forward contract from its assessment of hedge effectiveness. The effect of the forward points recognized is amortized on a straight line basis and recognized through interest expense within Other income (expense) in the Consolidated Statement of Operations. Equity Swap Contracts During the year ended December 31, 2023, the Company entered into equity swap contracts which serve as economic hedges against volatility within the equity markets, impacting the Company's deferred compensation plan obligations. These contracts are not designated as hedges for accounting purposes. Unrealized gains and losses on these contracts are included in Selling, general and administrative expenses in the Consolidated Statements of Operations. The notional amount of these contracts as of December 31, 2023 was $15 million. Treasury Rate Lock In order to manage interest rate exposure, d uring the year ended December 31, 2023, the Company entered into Treasury rate lock agreements to protect against unfavorable interest rate changes relating to forecasted debt transactions. These derivatives are designated as cash flow hedges with unrealized gains and losses deferred in other comprehensive income. The derivatives will be settled upon the issuance of the related debt and gains and losses generated from the derivatives will be recognized within interest expense over the same period that the hedged interest payments affect earnings. The Company entered into Treasury rate lock agreements in a cash flow hedging relationship with a notional amount of $200 million as of December 31, 2023 and did not enter into any such agreements as of December 31, 2022. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Components of Income Tax Expense Components of earnings before income taxes are as follows: Years ended December 31 2023 2022 2021 United States $ 1,744 $ 1,312 $ 1,030 Other nations 402 203 522 $ 2,146 $ 1,515 $ 1,552 Components of income tax expense are as follows: Years ended December 31 2023 2022 2021 United States Federal $ 269 $ 240 $ 134 Other nations 125 159 98 States (U.S.) 70 83 36 Current income tax expense 464 482 268 United States Federal (30) (179) (2) Other nations (9) (118) 22 States (U.S.) 7 (37) 14 Deferred income tax expense (benefit) (32) (334) 34 Total income tax expense $ 432 $ 148 $ 302 Differences between income tax expense computed at the U.S. federal statutory tax rate of 21% and income tax expense as reflected in the Consolidated Statements of Operations are as follows: Years ended December 31 2023 2022 2021 Income tax expense at statutory rate $ 450 21.0 % $ 318 21.0 % $ 326 21.0 % State income taxes, net of federal benefit 71 3.3 % 76 5.0 % 55 3.5 % Non-U.S. tax expense on non-U.S. earnings 15 0.7 % 1 0.1 % 8 0.5 % U.S. tax expense (benefit) on undistributed non-U.S. earnings (44) (2.1) % (43) (2.8) % 6 0.4 % Intra-group IP transfer — — % (77) (5.1) % — — % Stock compensation (33) (1.5) % (68) (4.5) % (32) (2.1) % Valuation allowances (13) (0.6) % (51) (3.4) % (34) (2.2) % Research credits (19) (0.9) % (16) (1.1) % (20) (1.3) % Reserve for uncertain tax positions (3) (0.1) % (6) (0.4) % (10) (0.6) % Other tax expense (benefit) 8 0.4 % 14 0.9 % 3 0.2 % $ 432 20.1 % $ 148 9.8 % $ 302 19.5 % The effective tax rate for 2023 was below the current U.S. federal statutory rate of 21% primarily due to the recognition of excess tax benefits on share-based compensation, the foreign derived intangible income deduction, and generation of research and development credits, offset by 2023 estimated U.S. state income taxes. In 2021, the Organization of Economic Cooperation and Development ("OECD") introduced its Pillar Two Framework Model Rules ("Pillar 2"), that was supported by over 130 countries worldwide, which is designed to impose a 15% global minimum tax on adjusted financial results. Certain aspects of Pillar 2 took effect on January 1, 2024, while other aspects go into effect on January 1, 2025. The Company is evaluating the potential impact of Pillar 2 on its business, as the countries in which it operates are enacting legislation implementing Pillar 2. While many aspects of the application of Pillar 2 remain to be clarified, the Company does not expect Pillar 2 to materially impact its tax liability. Deferred tax balances that were recorded within Accumulated other comprehensive loss in the Company’s Consolidated Balance Sheet, rather than Income tax expense, are the result of retirement benefit adjustments and currency translation adjustments. The adjustments were benefits of $14 million for the year ended December 31, 2023, charges of $2 million for the year ended December 31, 2022 and charges of $21 million for the year ended December 31, 2021. The Company evaluates its permanent reinvestment assertions with respect to foreign earnings at each reporting period and generally, except for certain earnings that the Company intends to reinvest indefinitely due to the capital requirements of the foreign subsidiaries or due to local country restrictions, accrues for the U.S. federal and foreign income tax applicable to the earnings. As a result of the 2017 U.S. Tax Cuts and Jobs Act ("the Tax Act"), dividends from foreign subsidiaries are now exempt or the earnings have been previously subject to U.S. tax. As a result, the tax accrual for undistributed foreign earnings is limited primarily to foreign withholding taxes and tax on inherent capital gains that would result from distribution of foreign earnings which are not permanently reinvested, and such earnings may be distributed without an additional charge. Undistributed foreign earnings that the Company intends to reinvest indefinitely amounted to, in the aggregate, $1.8 billion at December 31, 2023. It is impracticable to determine the exact amount of unrecognized deferred tax liabilities on such earnings; however, due to the above-mentioned changes made under the Tax Act, the Company believes that the additional U.S. or foreign income tax charge with respect to such earnings, if distributed, would be immaterial. Gross deferred tax assets were $2.1 billion and $2.2 billion for December 31, 2023 and December 31, 2022, respectively. Deferred tax assets, net of valuation allowances, were $2.0 billion at December 31, 2023 and December 31, 2022. Gross deferred tax liabilities were $1.0 billion at December 31, 2023 and December 31, 2022. Significant components of deferred tax assets (liabilities) are as follows: December 31 2023 2022 Inventory $ 30 $ 38 Accrued liabilities and allowances 77 67 Employee benefits 270 290 Capitalized items 146 95 Tax basis differences on investments 4 6 Depreciation tax basis differences on fixed assets (2) 1 Undistributed non-U.S. earnings (28) (38) Tax attribute carryforwards 115 298 Business reorganization 9 7 Warranty and customer liabilities 22 22 Deferred revenue and costs 406 382 Valuation allowances (63) (221) Operating lease assets (120) (116) Operating lease liabilities 129 129 Other 10 4 $ 1,005 $ 964 At December 31, 2023 and December 31, 2022, the Company had valuation allowances of $63 million and $221 million, respectively, against its deferred tax assets, including $44 million and $46 million, respectively, relating to deferred tax assets for non-U.S. subsidiaries. The Company’s U.S. valuation allowance decreased $156 million during 2023 primarily due to the expiration of the Company's U.S. foreign tax credits. The Company is evaluating a business initiative that, if implemented, could allow for additional utilization of its foreign tax credit carryforward on its 2023 U.S. tax return. As of December 31 2023, the Company was continuing to assess the initiative's feasibility and was not in a position to recognize the tax benefit associated with the utilization of additional foreign tax credit carryforward. If the Company decides to proceed with the initiative, the financial statement impact would be reflected in the period in which it makes its decision. The Company's Non-U.S. valuation allowance decreased $2 million during 2023 primarily due to a change in the realizability of certain Non-US deferred tax assets and the expiration of tax attributes. The Company believes that the remaining deferred tax assets are more-likely-than-not to be realizable based on estimates of future taxable income and the implementation of tax planning strategies. Tax attribute carryforwards are as follows: December 31, 2023 Gross Tax Expiration United States: U.S. tax losses $ 129 $ 27 2024-2037 General business credits — 2 2030-2039 State tax losses — 12 2024-2044 State tax credits — 6 2024-2042 Non-U.S. subsidiaries: Japan tax losses 6 2 2024-2029 United Kingdom tax losses 146 36 Unlimited Canada tax losses 18 5 2034-2043 Canada tax credits — 6 2037-2043 Spain tax credits — 6 2024-2029 Other subsidiaries tax losses 49 10 Various Other subsidiaries tax credits — 3 Various $ 115 The Company had unrecognized tax benefits of $32 million and $35 million at December 31, 2023 and December 31, 2022, respectively, of which approximately $27 million and $29 million, if recognized, would have affected the effective tax rate for 2023 and 2022, respectively. A roll-forward of unrecognized tax benefits is as follows: (in millions) 2023 2022 Balance at January 1 $ 35 $ 43 Additions based on tax positions related to current year 1 1 Additions for tax positions of prior years 1 2 Reductions for tax positions of prior years (1) (1) Settlements and agreements — (4) Lapse of statute of limitations (4) (6) Balance at December 31 $ 32 $ 35 The Company recorded $26 million and $29 million of unrecognized tax benefits in Other liabilities at December 31, 2023 and December 31, 2022, respectively. The Company has several US state and non-U.S. audits pending. A summary of open tax years by major jurisdiction is presented below: Jurisdiction Tax Years United States 2020-2023 Australia 2019-2023 Canada 2019-2023 Germany 2018-2023 India 1997-2023 Israel 2019-2023 Poland 2018-2023 Malaysia 2016-2023 United Kingdom 2021-2023 Although the final resolution of the Company’s global tax disputes is uncertain, based on current information, in the opinion of the Company’s management, the ultimate disposition of these matters will not have a material adverse effect on the Company’s consolidated financial position or liquidity. However, an unfavorable resolution of the Company’s global tax disputes could have a material adverse effect on the Company’s results of operations in the periods, and as of the dates, on which the matters are ultimately resolved. Based on the potential outcome of the Company’s global tax examinations, the expiration of the statute of limitations for specific jurisdictions, or the continued ability to satisfy tax incentive obligations, it is reasonably possible that the unrecognized tax benefits will change within the next twelve months. The associated net tax impact on the effective tax rate, exclusive of valuation allowance changes, is estimated to be up to a $4 million tax benefit. At December 31, 2023, the Company had $23 million accrued for interest and $12 million accrued for penalties on unrecognized tax benefits. At December 31, 2022, the Company had $22 million and $12 million accrued for interest and penalties, respectively, on unrecognized tax benefits. The Company's policy is to classify the interest and penalty as a component of interest expense and other expense, respectively. |
Retirement Benefits
Retirement Benefits | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Retirement Benefits | Retirement Benefits Pension and Postretirement Health Care Benefits Plans U.S. Pension Benefit Plans The Company’s non-contributory U.S. defined benefit plans (the "U.S. Pension Plans") provide benefits to U.S. employees hired prior to January 1, 2005, who became eligible after one year of service. The Company also has an additional non-contributory supplemental retirement benefit plan, the Motorola Supplemental Pension Plan ("MSPP"), which provided supplemental benefits to individuals by replacing benefits that are lost by such individuals under the retirement formula due to application of the limitations imposed by the Internal Revenue Code. In December 2008, the Company amended the U.S. Pension Plans and MSPP (together the "U.S. Pension Benefit Plans") such that, effective March 1, 2009: (i) no participant shall accrue any benefit or additional benefit on or after March 1, 2009, and (ii) no compensation increases earned by a participant on or after March 1, 2009 shall be used to compute any accrued benefit. Postretirement Health Care Benefits Plan Certain health care benefits are available to eligible domestic employees hired prior to January 1, 2002 and meeting certain age and service requirements upon termination of employment or retirement eligibility (the “Postretirement Health Care Benefits Plan”). As of January 1, 2005, the Postretirement Health Care Benefits Plan was closed to new participants. After a series of amendments, all eligible retirees under the age of 65 are provided an annual subsidy per household, versus per individual, toward the purchase of their own health care coverage from private insurance companies and for the reimbursement of eligible health care expenses. All eligible retirees over the age of 65 are entitled to one fixed-rate subsidy capped at $560 per participant. Non-U.S. Pension Benefit Plans The Company also provides defined benefit plans which cover non-U.S. employees in certain jurisdictions, principally the U.K. and Germany (the “Non-U.S. Pension Benefit Plans”). Other pension plans outside of the U.S. are not material to the Company either individually or in the aggregate. In June 2015, the Company amended its non-U.S. defined benefit plan within the United Kingdom by closing future benefit accruals to all participants effective December 31, 2015. Net Periodic Cost (Benefit) The net periodic cost (benefit) for pension and Postretirement Health Care Benefits plans was as follows: U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan Years ended December 31 2023 2022 2021 2023 2022 2021 2023 2022 2021 Service cost $ — $ — $ — $ 1 $ 1 $ 1 $ — $ — $ — Interest cost 190 128 115 56 29 21 5 2 1 Expected return on plan assets (293) (254) (235) (108) (93) (99) (13) (12) (11) Amortization of: Unrecognized net loss 22 62 70 37 14 16 2 4 3 Unrecognized prior service benefit — — — (2) (2) (3) 3 — (5) Net periodic cost (benefit) $ (81) $ (64) $ (50) $ (16) $ (51) $ (64) $ (3) $ (6) $ (12) The status of the Company’s plans is as follows: U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan 2023 2022 2023 2022 2023 2022 Change in benefit obligation: Benefit obligation at January 1 $ 3,809 $ 5,140 $ 1,207 $ 1,935 $ 103 $ 78 Service cost — — 1 1 — — Interest cost 190 128 56 29 5 2 Plan amendments — — — — — 46 Actuarial loss (gain) 59 (1,329) 62 (534) 2 (12) Foreign exchange valuation adjustment — — 66 (174) — — Benefit payments (130) (130) (45) (50) (14) (11) Benefit obligation at December 31 $ 3,928 $ 3,809 $ 1,347 $ 1,207 $ 96 $ 103 Change in plan assets: Fair value at January 1 $ 3,076 $ 4,157 $ 1,092 $ 1,870 $ 134 $ 186 Return on plan assets 324 (954) 56 (555) 14 (41) Company contributions 3 3 9 8 — — Foreign exchange valuation adjustment — — 60 (181) — — Benefit payments (130) (130) (45) (50) (14) (11) Fair value at December 31 $ 3,273 $ 3,076 $ 1,172 $ 1,092 $ 134 $ 134 Funded status of the plan $ (655) $ (733) $ (175) $ (115) $ 38 $ 31 Unrecognized net loss 1,695 1,689 829 758 68 70 Unrecognized prior service benefit (cost) — — (67) (70) 44 46 Prepaid pension cost $ 1,040 $ 956 $ 587 $ 573 $ 150 $ 147 Components of prepaid (accrued) pension cost: Current benefit liability $ (2) $ (3) $ — $ — $ — $ — Non-current benefit liability (653) (730) (210) (185) — — Non-current benefit asset — — 35 70 38 31 Deferred income taxes 403 403 102 83 31 32 Accumulated other comprehensive loss 1,292 1,286 660 605 81 84 Prepaid pension cost $ 1,040 $ 956 $ 587 $ 573 $ 150 $ 147 For the year ended December 31, 2023, the primary driver of the increase in the U.S. Pension Benefit Plans' benefit obligation was higher actuarial losses due to a decrease in the discount rate from 5.20% as of December 31, 2022 to 5.01% as of December 31, 2023, partially offset by actuarial gains in the benefit obligation due to updated lump-sum interest rates and mortality. For the year ended December 31, 2022, the primary driver of the decrease in the U.S. Pension Benefit Plans benefit obligation was higher actuarial gains due to an increase in the discount rate from 2.98% as of December 31, 2021 to 5.20% as of December 31, 2022. For the year ended December 31, 2023, the most significant drivers of the increase in Non-U.S. Pension Benefit Plans' benefit obligation were the higher actuarial losses coupled with unfavorable foreign exchange effects. The Non-U.S. Pension Benefit Plans incurred actuarial losses primarily due to decreases in the discount rates from 4.60% as of December 31, 2022 to 4.30% as of December 31, 2023. For the year ended December 31, 2022, the most significant drivers of the decrease in Non-U.S. Pension Benefit Plans' benefit obligation were the higher actuarial gains coupled with favorable foreign exchange effects. The Non-U.S. Pension Benefit Plans incurred actuarial gains primarily due to an increase in the discount rate from 1.82% as of December 31, 2021 to 4.60% as of December 31, 2022. Actuarial Assumptions Certain actuarial assumptions such as the discount rate and the long-term rate of return on plan assets have a significant effect on the amounts reported for net periodic cost and the benefit obligation. The assumed discount rates reflect the prevailing market rates of a universe of high-quality, non-callable, corporate bonds currently available that, if the obligation were settled at the measurement date, would provide the necessary future cash flows to pay the benefit obligation when due. The long-term rates of return on plan assets represent an estimate of long-term returns on an investment portfolio consisting of a mixture of equities, fixed income, cash and other investments similar to the actual investment mix. In determining the long-term return on plan assets, the Company considers long-term rates of return on the asset classes (both historical and forecasted) in which the Company expects the plan funds to be invested. The Company uses a full yield curve approach to estimate interest and service cost components of net periodic cost (benefit) for defined benefit pension and other post-retirement benefit plans. The full yield curve approach requires the application of the specific spot rate along the yield curve used in the determination of the projected benefit obligation to the relevant projected cash flows. The Company used "Mortality Improvement Scale MP-2021" to calculate both the 2023 U.S. projected benefit obligations and the 2022 U.S. projected benefit obligations. Weighted average actuarial assumptions used to determine costs for the plans at the beginning of the fiscal year were as follows: U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan 2023 2022 2023 2022 2023 2022 Discount rate 5.09 % 2.52 % 4.68 % 1.68 % 5.05 % 2.78 % Investment return assumption 7.87 % 6.76 % 6.18 % 4.78 % 8.00 % 6.90 % Weighted average actuarial assumptions used to determine benefit obligations for the plans were as follows: U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan 2023 2022 2023 2022 2023 2022 Discount rate 5.01 % 5.20 % 4.30 % 4.60 % 4.92 % 5.10 % Future compensation increase rate n/a n/a 0.67 % 0.67 % n/a n/a The following table presents the accumulated benefit obligation, projected benefit obligation and fair value of plan assets for our plans that have an accumulated benefit obligation and projected benefit obligation in excess of plan assets: U.S. Pension Benefit Plans Non U.S. Pension Benefit Plans December 31 2023 2022 2023 2022 Accumulated benefit obligation $ 3,928 $ 3,809 $ 1,346 $ 1,206 Projected benefit obligation 3,928 3,809 1,347 1,207 Fair value of plan assets 3,273 3,076 1,172 1,092 Investment Policy The individual plans have adopted an investment policy designed to meet or exceed the expected rate of return on plan assets assumption. To achieve this, the plans retain professional advisors and investment managers that invest plan assets into various classes including, but not limited to: equity and fixed income securities, cash, cash equivalents, hedge funds, infrastructure/utilities, insurance contracts, leveraged loan funds and real estate. The Company uses long-term historical actual return experience with consideration of the expected investment mix of the plans’ assets, as well as future estimates of long-term investment returns, to develop its expected rate of return assumption used in calculating the net periodic cost. The individual plans have target mixes for these asset classes, which are readjusted periodically when an asset class weighting deviates from the target mix, with the goal of achieving the required return at a reasonable risk level. The weighted-average asset allocations by asset categories for all pension plans and the Postretirement Health Care Benefits Plan were as follows: All Pension Benefit Plans Postretirement Health Care Benefits Plan December 31 2023 2022 2023 2022 Target Mix: Equity securities 26 % 25 % 28 % 28 % Fixed income securities 56 % 57 % 51 % 52 % Cash and other investments 18 % 18 % 21 % 20 % Actual Mix: Equity securities 26 % 25 % 28 % 28 % Fixed income securities 56 % 56 % 52 % 52 % Cash and other investments 18 % 19 % 20 % 20 % Within the equity securities asset class, the investment policy provides for investments in a broad range of publicly-traded securities including both domestic and foreign equities. Within the fixed income securities asset class, the investment policy provides for investments in a broad range of publicly-traded debt securities including: U.S. treasury issues, corporate debt securities, mortgage and asset-backed securities, as well as foreign debt securities. In the cash and other investments asset class, investments may include, but are not limited to: cash, cash equivalents, commodities, hedge funds, infrastructure/utilities, insurance contracts, leveraged loan funds and real estate. Cash Funding The Company made $3 million of contributions to its U.S. Pension Benefit Plans during each of 2023 and 2022. The Company contributed $9 million and $8 million to its Non U.S. Pension Benefit Plans during 2023 and 2022, respectively. The Company made no contributions to its Postretirement Health Care Benefits Plan in 2023 or 2022. Expected Future Benefit Payments The following benefit payments are expected to be paid: Year U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan 2024 $ 183 $ 47 $ 15 2025 205 50 14 2026 224 51 12 2027 242 52 11 2028 260 53 9 2029-2033 1,409 271 30 Other Benefit Plans Split-Dollar Life Insurance Arrangements The Company maintains a number of endorsement split-dollar life insurance policies on now-retired officers under a frozen plan. The Company had purchased the life insurance policies to insure the lives of employees and then entered into a separate agreement with the employees that split the policy benefits between the Company and the employee. Motorola Solutions owns the policies, controls all rights of ownership, and may terminate the insurance policies. To effect the split-dollar arrangement, Motorola Solutions endorsed a portion of the death benefits to the employee and upon the death of the employee, the employee’s beneficiary typically receives the designated portion of the death benefits directly from the insurance company and the Company receives the remainder of the death benefits. It is currently expected that minimal cash payments will be required to fund these policies. The net periodic pension cost for these split-dollar life insurance arrangements was $5 million for the years ended December 31, 2023, 2022 and 2021. The Company has recorded a liability representing the actuarial present value of the future death benefits as of the employees’ expected retirement date of $52 million and $54 million as of December 31, 2023 and December 31, 2022, respectively. Deferred Compensation Plan The Company maintains a deferred compensation plan (“the Plan”) for certain eligible participants. Under the Plan, participants may elect to defer base salary and cash incentive compensation in excess of 401(k) plan limitations. Participants under the Plan may choose to invest their deferred amounts in the same investment alternatives available under the 401(k) plan (as defined below). The Plan also allows for Company matching contributions for the following: (i) the first 4% of compensation deferred under the Plan, subject to a maximum of $50,000 for officers elected by the board of directors of the Company, (ii) lost matching amounts that would have been made under the 401(k) plan if participants had not participated in the Plan, and (iii) discretionary amounts as approved by the Compensation and Leadership Committee of the board of directors. Defined Contribution Plan The Company has various defined contribution plans, in which all eligible employees may participate. In the U.S., the Motorola Solutions 401(k) plan (the "401(k) plan") is a contributory plan. Matching contributions are based upon the amount of the employees’ contributions. The Company’s expenses for material defined contribution plans for the years ended December 31, 2023, 2022 and 2021 were $45 million, $43 million and $36 million, respectively. Under the 401(k) plan, the Company may make an additional discretionary matching contribution to eligible employees. For the years ended December 31, 2023, 2022, and 2021 the Company made no discretionary contributions. |
Share-Based Compensation and Ot
Share-Based Compensation and Other Incentive Plans | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Compensation and Other Incentive Plans | Share-Based Compensation and Other Incentive Plans The Company grants options and stock appreciation rights to acquire shares of common stock to certain employees and to existing option holders of acquired companies in connection with the merging of option plans following an acquisition. Each option and stock appreciation right granted has an exercise price of no less than 100% of the fair market value of the common stock on the date of the grant. The awards have a contractual life of five two Restricted stock grants consist of shares or the rights to shares of the Company’s common stock which are awarded to certain employees. The grants are restricted in such that they are subject to vesting conditions; however, restricted stock holders have voting rights, and the rights to earn dividends on unvested shares. Restricted stock unit (“RSU”) grants consist of shares or the rights to shares of the Company’s common stock which are awarded to certain employees and non-employee directors. The grants are restricted such that they are subject to substantial risk of forfeiture and to restrictions on their sale or other transfer by the employee. In conjunction with a change in control, shares of RSUs assumed or replaced with comparable shares of RSUs will only have the restrictions lapse if the holder is also involuntarily terminated (for a reason other than cause) or resigns for good reason within 24 months of a change in control. Performance-based stock options (“performance options”), market stock units ("MSUs"), and performance stock units ("PSUs") have been granted to certain Company executive officers. Performance options have a three-year performance period and are granted as a target number of units subject to adjustment based on company performance. Each performance option granted has an exercise price of no less than 100% of the fair market value of the common stock on the date of the grant. The awards have a contractual life of ten years. Shares ultimately issued for performance option awards granted are based on the actual total shareholder return (“TSR”) compared to the S&P 500 over the three-year performance period based on a payout factor that corresponds to actual TSR results as established at the date of grant. Vesting occurs on the third anniversary of the grant date. Under the terms of the MSUs, vesting is conditioned upon continuous employment until the vesting date and the payout factor is at least 60% of the share price on the award date. The payout factor is the share price on vesting date divided by share price on award date, with a maximum of 200%. The share price used in the payout factor is calculated using an average of the closing prices on the grant or vesting date, and the 30 calendar days immediately preceding the grant or vesting date. Vesting occurs ratably over three years. PSUs have been granted as a portion of the Long Range Incentive Plan (“LRIP”) awards issued to certain Company executive officers. The PSUs have a three-year performance period and were granted at a target number of units subject to adjustment based on company performance. The number of PSUs earned will be based on the actual TSR compared to the S&P 500 over the three-year performance period. The employee stock purchase plan allows eligible participants to purchase shares of the Company’s common stock through payroll deductions of up to 20% of eligible compensation on an after-tax basis. Plan participants cannot purchase more than $25,000 of stock in any calendar year. The price an employee pays per share is 85% of the lower of the fair market value of the Company’s stock on the close of the first trading day or last trading day of the purchase period. The plan has two purchase periods, the first from October 1 through March 31 and the second from April 1 through September 30. For the years ended December 31, 2023, 2022 and 2021, employees purchased 0.4 million, 0.4 million and 0.6 million shares, respectively, at purchase prices of $194.62 and $231.40, $199.16 and $190.37, and $133.27 and $160.11, respectively. Significant Assumptions Used in the Estimate of Fair Value The Company calculates the value of each employee stock option, estimated on the date of grant, using the Black-Scholes option pricing model. The weighted-average estimated fair value of employee stock options granted during 2023, 2022 and 2021 was $73.04, $67.18 and $41.57, respectively, using the following weighted-average assumptions: 2023 2022 2021 Expected volatility 24.4 % 29.2 % 27.3 % Risk-free interest rate 4.2 % 2.5 % 0.8 % Dividend yield 1.6 % 1.9 % 2.2 % Expected life (years) 5.9 6.6 5.9 The Company calculates the value of each performance option, MSU, and PSU using a Monte Carlo simulation option pricing model, estimated on the date of grant. The fair values of performance options, MSUs, and PSUs granted during 2023 we re $122.55, $299.32 and $348.27, res pectively. The fair values of performance options, MSUs, and PSUs granted during 2022 were $84.73, $244.13 and $249.51, respectively. The fair value of performance options, MSUs and PSUs granted during 2021 was $60.42, $184.71 and $203.57, respectively. The following assumptions were used for the calculations. 2023 2022 2021 Performance Options Performance Options Performance Options Expected volatility of common stock 25.1 % 29.7 % 28.5 % Expected volatility of the S&P 500 33.3 % 39.2 % 38.7 % Risk-free interest rate 4.1 % 2.0 % 1.2 % Dividend yield 1.7 % 2.0 % 2.3 % Expected life (years) 6.5 6.5 6.5 2023 2022 2021 Market Stock Unit Market Stock Unit Market Stock Units Expected volatility of common stock 25.1 % 29.7 % 28.5 % Risk-free interest rate 4.5 % 1.9 % 0.3 % Dividend yield 1.5 % 1.6 % 1.8 % 2023 2022 2021 Performance Stock Units Performance Stock Units Performance Stock Units Expected volatility of common stock 25.1 % 29.7 % 28.5 % Expected volatility of the S&P 500 33.3 % 39.2 % 38.7 % Risk-free interest rate 4.6 % 1.8 % 0.3 % Dividend yield 1.4 % 1.6 % 1.8 % The Company uses the implied volatility for traded options on the Company’s stock as the expected volatility assumption in the valuation of stock options, performance options, MSUs, and PSUs. The selection of the implied volatility approach was based upon the availability of actively-traded options on the Company’s stock and the Company’s assessment that implied volatility is more representative of future stock price trends than historical volatility. At the conclusion of each three-year PSU and performance option cycle, the Company uses the historical volatility as the expected volatility to calculate the actual TSR compared to the S&P 500. The risk-free interest rate assumption is based upon the average daily closing rates during the year for U.S. Treasury notes that have a life which approximates the expected life of the grant. The dividend yield assumption is based on the Company’s future expectation of dividend payouts. The expected life represents the average of the contractual term of the options and the weighted average vesting period for all option tranches. The Company has applied forfeiture rates, estimated based on historical data, of 10% to the stock option fair values calculated by the Black-Scholes option pricing model and 15% to RSUs. These estimated forfeiture rates are applied to grants based on their remaining vesting term and may be revised in subsequent periods if actual forfeitures differ from these estimates. The following table summarizes information about the total stock options outstanding and exercisable under all stock option plans, at December 31, 2023 (in thousands, except exercise price and years): Options Outstanding Options Exercisable Exercise price range No. of Wtd. avg. Wtd. avg. No. of Wtd. avg. Wtd. avg. $51-$70 209 67 1 209 67 1 $71-$90 714 77 3 714 77 3 $91-$110 208 108 4 208 108 4 $111-$130 46 120 5 46 120 5 $131-$150 243 139 5 243 139 5 $151-$170 199 156 6 196 155 6 $171-$190 244 180 7 41 180 7 $191 and over 501 244 9 50 228 8 2,364 1,707 As of December 31, 2023, the weighted average contractual life for options outstanding and exercisable was four Current Year Activity Total share-based compensation activity was as follows (in thousands, except exercise price): Stock Options Restricted Stock Units Restricted Stock No. of Options Outstanding Wtd. Avg. Exercise Price of Shares No. of Non-Vested Awards Wtd. Avg. Grant Date Fair Value No. of Non-Vested Awards Wtd. Avg. Grant Date Fair Value Balance as of January 1, 2023 996 $ 128 1,211 $ 211 114 $ 224 Granted 120 272 715 259 23 311 Releases/Exercised (547) 89 (521) 191 (52) 225 Forfeited/Canceled (3) 225 (63) 224 — — Balance as of December 31, 2023 566 $ 191 1,342 $ 224 85 $ 244 Awards exercisable 297 149 — — — — Performance Options Market Stock Units Performance Stock Units No. of Options Outstanding Wtd. Avg. Exercise Price of Shares No. of Non-Vested Awards Wtd. Avg. Grant Date Fair Value No. of Non-Vested Awards Wtd. Avg. Grant Date Fair Value Balance as of January 1, 2023 1,775 $ 112 103 $ 192 169 $ 226 Granted 105 265 43 289 73 339 Releases/Exercised (161) 118 (79) 166 (51) 261 Adjustment for payout factor 79 140 24 122 22 261 Forfeited/Canceled — — (2) 135 — — Balance as of December 31, 2023 1,798 $ 122 89 $ 254 213 $ 264 Awards exercisable 1,410 96 — — — — At December 31, 2023 and 2022, 7.2 million and 8.3 million shares, respectively, were available for future share-based award grants under the current share-based compensation plan, covering all equity awards to employees and non-employee directors. Total Share-Based Compensation Expense Compensation expense for the Company’s share-based compensation plans was as follows: Years ended December 31 2023 2022 2021 Share-based compensation expense included in: Costs of sales $ 40 $ 28 $ 16 Selling, general and administrative expenses 116 98 79 Research and development expenditures 56 46 34 Share-based compensation expense included in Operating earnings 212 172 129 Tax benefit 43 34 15 Share-based compensation expense, net of tax $ 169 $ 138 $ 114 Decrease in basic earnings per share $ (1.01) $ (0.82) $ (0.67) Decrease in diluted earnings per share $ (0.98) $ (0.80) $ (0.66) At December 31, 2023, the Company had unrecognized compensation expense related to all share based awards of $243 million, net of estimated forfeitures, expected to be recognized over the weighted average period of approximately three years and $5 million of unrecognized compensation expense related to the employee stock purchase plan that will be recognized over the remaining purchase period. The aggregate fair value of outstanding share based awards as of December 31, 2023 was $505 million. Cash received from stock option exercises and the employee stock purchase plan was $104 million, $156 million, and $102 million for the years ended December 31, 2023, 2022, and 2021, respectively. The total intrinsic value of options exercised during the years ended December 31, 2023, 2022, and 2021 was $152 million, $292 million, and $186 million, respectively. The aggregate intrinsic value for options outstanding and exercisable as of December 31, 2023 was $413 million and $355 million, respectively, based on a December 31, 2023 stock price of $313.09 per share. Motorola Solutions Incentive Plans The Company's incentive plans provide eligible employees with an annual payment, calculated as a percentage of an employee’s eligible earnings, in the year after the close of the current calendar year if specified business goals and individual performance targets are met. The expense for awards under these incentive plans for the years ended December 31, 2023, 2022 and 2021 was $205 million, $165 million and $161 million, respectively. Long-Range Incentive Plan The LRIP rewards elected officers for the Company’s achievement of specified business goals during the period, based on a single performance objective measured over a three-year period. There were no LRIP awards with cash settlement terms for the year ended December 31, 2023. The expense for LRIP awards with cash settlement terms was $4 million and $8 million for the years ended December 31, 2022 and 2021, respectively. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Investments and Derivatives The fair values of the Company’s financial assets and liabilities by level in the fair value hierarchy as of December 31, 2023 and December 31, 2022 were as follows: December 31, 2023 Level 1 Level 2 Total Assets: Foreign exchange derivative contracts $ — $ 13 $ 13 Equity swap contracts 1 — 1 Common stock and equivalents 28 — 28 Liabilities: Foreign exchange derivative contracts $ — $ 4 $ 4 Treasury rate lock — 12 — December 31, 2022 Level 1 Level 2 Total Assets: Foreign exchange derivative contracts $ — $ 15 $ 15 Common stock and equivalents 21 — 21 Liabilities: Foreign exchange derivative contracts $ — $ 5 $ 5 Pension and Postretirement Health Care Benefits Plan Assets The fair values of the various pension and postretirement health care benefits plans’ assets by level in the fair value hierarchy as of December 31, 2023 and 2022 were as follows: U.S. Pension Benefit Plans December 31, 2023 Level 1 Level 2 Level 3 Total Equities $ 27 $ — $ — $ 27 Commingled funds 1,230 479 — 1,709 Government fixed income securities — 192 — 192 Corporate fixed income securities — 894 — 894 Short-term investment funds 253 — — 253 Private assets — — 157 157 Total investment securities $ 1,510 $ 1,565 $ 157 $ 3,232 Accrued income receivable 23 Cash 18 Fair value plan assets $ 3,273 The following table summarizes the changes in fair value of the Level 3 assets: 2023 Fair value at January 1, 2023 111 Actual return on plan assets 10 Purchases 36 Fair value at December 31, 2023 157 December 31, 2022 Level 1 Level 2 Level 3 Total Equities $ 48 $ — — $ 48 Commingled funds 1,159 488 — 1,647 Government fixed income securities — 159 — 159 Corporate fixed income securities — 863 — 863 Short-term investment funds 186 — — 186 Private Assets — — 111 111 Total investment securities $ 1,393 $ 1,510 $ 111 $ 3,014 Accrued income receivable 45 Cash 17 Fair value plan assets $ 3,076 Non-U.S. Pension Benefit Plans December 31, 2023 Level 1 Level 2 Total Equities $ 60 $ — $ 60 Commingled funds 289 32 321 Government fixed income securities — 663 663 Short-term investment funds 60 — 60 Total investment securities $ 409 $ 695 $ 1,104 Cash 5 Accrued income receivable 16 Insurance contracts 47 Fair value plan assets $ 1,172 December 31, 2022 Level 1 Level 2 Total Equities $ 55 $ — $ 55 Commingled funds 252 41 293 Government fixed income securities — 491 491 Short-term investment funds 83 — 83 Total investment securities $ 390 $ 532 $ 922 Cash 3 Accrued income receivable 121 Insurance contracts 46 Fair value plan assets $ 1,092 Postretirement Health Care Benefits Plan December 31, 2023 Level 1 Level 2 Level 3 Total Equities $ 1 $ — $ — $ 1 Commingled funds 49 20 — 69 Government fixed income securities — 8 — 8 Corporate fixed income securities — 38 — 38 Short-term investment funds 10 — — 10 Private funds — — 7 7 Total investment securities $ 60 $ 66 7 133 Accrued income receivable 1 Fair value plan assets $ 134 The following table summarizes the changes in fair value of the Level 3 assets: 2023 Fair value at January 1, 2023 5 Purchases 2 Fair value at December 31, 2023 7 December 31, 2022 Level 1 Level 2 Level 3 Total Equities $ 2 $ — $ — $ 2 Commingled funds 49 22 — 71 Government fixed income securities — 7 — 7 Corporate fixed income securities — 39 — 39 Short-term investment funds 8 — — 8 Private funds — — 5 5 Total investment securities $ 59 $ 68 $ 5 $ 132 Accrued income receivable 2 Fair value plan assets $ 134 The following is a description of the categories of investments: Equities — A diversified portfolio of corporate common and preferred stocks. Commingled funds — A diversified portfolio of assets that includes corporate common and preferred stocks, emerging market and high-yield fixed income securities among others. Government fixed income securities — Securities issued by municipal, domestic and foreign government agencies, index-linked government bonds as well as interest rate derivatives. Corporate fixed income securities — A diversified portfolio of primarily investment grade bonds issued by corporations. Short-term investment funds — Investments in money market accounts and derivatives with a liquidity of less than 90 days. Private funds — A diversified portfolio of assets that includes private equity funds and private loans. Level 1 investments include securities which are valued at the closing price reported on the active market in which the individual securities are traded. Level 2 investments consist principally of securities which are valued using independent third party pricing sources. Level 3 investments include securities with valuations derived from valuation techniques, in which one or more significant inputs are unobservable. A variety of inputs are utilized by the independent pricing sources including market based inputs, binding quotes, indicative quotes, and ongoing redemption and subscription activity. Inputs may be weighted differently for any security, and not all inputs are used for each security evaluation. At December 31, 2023, the Company had $863 million of investments in money market government and U.S. treasury funds (Level 1) classified as Cash and cash equivalents in its Consolidated Balance Sheet, compared to $490 million at December 31, 2022. The money market funds had quoted market prices that are approximately at par. Using quoted market prices and market interest rates, the Company determined that the fair value of long-term debt at December 31, 2023 was $6.4 billion, of which the Senior Convertible Notes were $1.6 billion (Level 2). The fair value of long-term debt at December 31, 2022 was $5.9 billion, of which the Senior Convertible Notes were $1.3 billion (Level 2). Since considerable judgment is required in interpreting market information, the fair value of the long-term debt is not necessarily indicative of the amount which could be realized in a current market exchange. Refer to "Note 5: Debt and Credit Facilities" in this “Part II. Item 8. Financial Statements and Supplementary Data” of this Form 10-K for a further discussion of the Senior Convertible Notes. All other financial instruments are carried at cost, which is not materially different from the instruments’ fair values. |
Long-term Financing and Sales o
Long-term Financing and Sales of Receivables | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Long-term Financing and Sales of Receivables | Long-term Financing and Sales of Receivables Long-term Financing Long-term receivables consist of receivables with payment terms greater than twelve months, long-term loans and lease receivables under sales-type leases. Long-term receivables consist of the following: December 31 2023 2022 Long-term receivables, gross $ 36 $ 40 Less allowance for losses (2) (2) Long-term receivables $ 34 $ 38 Less current portion (13) (13) Non-current long-term receivables $ 21 $ 25 The current portion of long-term receivables is included in Accounts receivable, net and the non-current portion of long-term receivables is included in Other assets in the Company’s Consolidated Balance Sheet. The Company recognized no interest income on long-term receivables for the year ended December 31, 2023, compared to $1 million for each of the years ended December 31, 2022, and 2021. Certain purchasers of the Company's products and services may request that the Company provide long-term financing (defined as financing with a term greater than one year) in connection with the sale of products and services. These requests may include all or a portion of the purchase price of the products and services. The Company's obligation to provide long-term financing may be conditioned on the issuance of a letter of credit in favor of the Company by a reputable bank to support the purchaser's credit or a pre-existing commitment from a reputable bank to purchase the long-term receivables from the Company. The Company had outstanding commitments to provide long-term financing to third-parties totaling $103 million at December 31, 2023 and $65 million at December 31, 2022. Sales of Receivables From time to time, the Company sells accounts receivable and long-term receivables to third-parties under one-time arrangements. The following table summarizes the proceeds received from sales of accounts receivable and long-term receivables for the years ended December 31, 2023, 2022 and 2021. Years ended December 31 2023 2022 2021 Contract-specific discounting facility $ — $ 49 $ 211 Accounts receivable sales proceeds 96 179 56 Long-term receivables sales proceeds 182 204 248 Total proceeds from receivable sales $ 278 $ 432 $ 515 The Company may or may not retain the obligation to service the sold accounts receivable and long-term receivables. At December 31, 2023, the Company had retained servicing obligations for $813 million of long-term receivables, compared to $891 million of long-term receivables at December 31, 2022. Servicing obligations are limited to collection activities of sold accounts receivables and long-term receivables. Credit Quality of Long-Term Receivables and Allowance for Credit Losses An aging analysis of financing receivables at December 31, 2023 and December 31, 2022 is as follows: December 31, 2023 Total Current Billed Past Due Under 90 Days Past Due Over 90 Days Municipal leases secured tax exempt $ 15 $ 1 $ 1 $ 1 Commercial loans and leases secured 21 1 — 1 Long-term receivables, including current portion $ 36 $ 2 $ 1 $ 2 December 31, 2022 Total Current Billed Past Due Under 90 Days Past Due Over 90 Days Municipal leases secured tax exempt $ 22 $ 1 $ 1 $ 1 Commercial loans and leases secured 18 — — 2 Long-term receivables, including current portion $ 40 $ 1 $ 1 $ 3 The Company uses an internally developed credit risk rating system for establishing customer credit limits. This system is aligned with and comparable to the rating systems utilized by independent rating agencies. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Purchase Obligations During the normal course of business, in order to manage manufacturing lead times and help ensure adequate component supply, the Company enters into agreements with contract manufacturers and suppliers that either allow it to procure inventory based upon criteria as defined by the Company or establish the parameters defining the Company’s requirements. In addition, we have entered into software license agreements which are firm commitments and are not cancellable. As of December 31, 2023, the Company had entered into firm, non-cancelable, and unconditional commitments under such arrangements through 2030. The Company expects to make total payments of $469 million under these arrangements as follows: $131 million in 2024, $78 million in 2025, $73 million in 2026, $66 million in 2027, $63 million in 2028 and $58 million thereafter. Legal Matters Hytera Litigation On March 14, 2017, the Company filed a complaint in the U.S. District Court for the Northern District of Illinois (the "Court") against Hytera Communications Corporation Limited of Shenzhen, China; Hytera America, Inc.; and Hytera Communications America (West), Inc. (collectively, "Hytera"), alleging trade secret theft and copyright infringement and seeking, among other things, injunctive relief, compensatory damages and punitive damages. On February 14, 2020, the Company announced that a jury decided in the Company's favor in its trade secret theft and copyright infringement case. In connection with this verdict, the jury awarded the Company $345.8 million in compensatory damages and $418.8 million in punitive damages, for a total of $764.6 million. In a series of post-trial rulings in 2021, the Court subsequently reduced the judgment to $543.7 million, but also ordered Hytera to pay the Company $51.1 million in pre-judgment interest and $2.6 million in costs, as well as $34.2 million in attorneys' fees. The Company continues to seek collection of the judgment through the ongoing legal process. On December 17, 2020, the Court held that Hytera must pay the Company a forward-looking reasonable royalty on products that use the Company’s stolen trade secrets, and on December 15, 2021, set royalty rates for Hytera's sale of relevant products from July 1, 2019 forward. On July 5, 2022, the Court ordered that Hytera pay into a third-party escrow on July 31, 2022, the royalties owed to the Company based on the sale of relevant products from July 1, 2019 to June 30, 2022. Hytera failed to make the required royalty payment on July 31, 2022. On August 1, 2022, Hytera filed a motion to modify or stay the Court's previous July 5, 2022 royalty order, which the Court denied on July 11, 2023. On August 3, 2022, the Company filed a motion seeking to hold Hytera in civil contempt for violating the royalty order by not making the required royalty payment on July 31, 2022. On August 26, 2023, the Court granted the Company's contempt motion. As a result, on September 1, 2023, Hytera made a payment of $56 million into the third-party escrow. In addition to the September 1, 2023 payment of $56 million, Hytera has made de minimis quarterly royalty payments into the third-party escrow from October 2022 through January 2024. The aggregate amount paid into escrow will not be recognized until all contingencies are resolved and such amount is released from escrow. Following the February 14, 2020 verdict and judgment in the Company's favor, Hytera subsequently filed several notices of appeal to the U.S. Court of Appeals for the Seventh Circuit (the "Court of Appeals"), including a notice of appeal filed on August 2, 2022 which appealed the orders related to the jury's verdict as well as the Court's royalty order. The Company filed its cross-appeal on August 5, 2022. The Court of Appeals heard oral arguments on the parties' appeals on December 5, 2023. Hytera Bankruptcy Proceedings Separate from the Company's litigation with Hytera, on May 27, 2020, Hytera America, Inc. and Hytera Communications America (West), Inc. each filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the Central District of California (the “Bankruptcy Court”). On February 11, 2022, the Court entered an order to confirm the liquidation plan for the two Hytera entities and the distributions were made on February 25, 2022 to the creditors, including a distribution of $13 million to the Company. On December 22, 2022, an additional distribution of $2 million was made to the Company as well as an assignment of various delinquent accounts receivable of the bankrupt Hytera entities. The gains for the two monetary distributions were recorded to Other charges (income) in the Company's Consolidated Statements of Operations. |
Information by Segment and Geog
Information by Segment and Geographic Region | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Information by Segment and Geographic Region | Information by Segment and Geographic Region The Company conducts its business globally and manages it through the following two segments: Products and Systems Integration: The Products and Systems Integration segment offers an extensive portfolio of infrastructure, devices, accessories, video security devices and infrastructure, and the implementation and integration of such systems, devices, and applications. Within LMR Communications, the Company is a global leader in the two-way radio category, including the Company’s Project 25 ("P25"), Terrestrial Trunked Radio (TETRA), Digital Mobile Radio (DMR), as well as other professional and commercial radio (“PCR”) solutions. The Company provides LTE solutions for public safety, government and commercial users, including devices operating in 700 MHz, 900 MHz and Citizens' Broadband Radio Service (CBRS) frequencies. The Company's Video technology includes network video management infrastructure, fixed security, certain mobile video equipment and access control solutions. The primary customers of the Products and Systems Integration segment are government, public safety and commercial customers who operate private communications networks and video security solutions and typically manage a mobile workforce. In 2023, the segment’s net sales were $6.2 billion, representing 63% of the Company's consolidated net sales. Software and Services: The Software and Services segment provides a broad range of solution offerings for government, public safety and commercial customers. Software includes public safety and enterprise Command Center, unified communications applications, certain mobile video equipment, and video software solutions, delivered both on-premise and “as-a-service.” Services includes a continuum of service offerings beginning with repair, technical support and maintenance. More advanced technologies include monitoring, software updates and cybersecurity services. Managed services range from partial to full operation of customer-owned or Motorola Solutions-owned communications networks. In 2023, the segment’s net sales were $3.7 billion, representing 37% of the Company's consolidated net sales. For the years ended December 31, 2023, 2022 and 2021, no single customer accounted for more than 10% of the Company's net sales. Segment Information The following table summarizes Net sales and Operating earnings by segment: Net Sales Operating Earnings Years ended December 31 2023 2022 2021 2023 2022 2021 Products and Systems Integration $ 6,242 $ 5,728 $ 5,033 $ 1,244 $ 913 $ 760 Software and Services 3,736 3,384 3,138 1,050 748 907 $ 9,978 $ 9,112 $ 8,171 $ 2,294 $ 1,661 $ 1,667 Total other expense (148) (146) (115) Net earnings before income taxes $ 2,146 $ 1,515 $ 1,552 The following table summarizes the Company's capital expenditures and depreciation expense by segment: Capital Expenditures Depreciation Expense Years ended December 31 2023 2022 2021 2023 2022 2021 Products and Systems Integration $ 97 $ 77 $ 90 $ 83 $ 79 $ 87 Software and Services 156 179 153 96 104 115 $ 253 $ 256 $ 243 $ 179 $ 183 $ 202 The Company's "chief operating decision maker" does not review or allocate resources based on segment assets. Geographic Area Information Net Sales Assets Years ended December 31 2023 2022 2021 2023 2022 2021 United States $ 6,559 $ 6,008 $ 5,236 $ 10,207 $ 9,227 $ 9,420 United Kingdom $ 769 $ 789 $ 849 $ 2,034 $ 2,321 $ 1,588 Canada $ 373 $ 366 $ 324 $ 362 $ 394 $ 950 Other, net of eliminations $ 2,277 $ 1,949 $ 1,762 $ 733 $ 872 $ 231 $ 9,978 $ 9,112 $ 8,171 $ 13,336 $ 12,814 $ 12,189 Net sales attributed to geographic area are predominately based on the ultimate destination of the Company's products and services. |
Reorganization of Businesses
Reorganization of Businesses | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Reorganization of Businesses | Reorganization of Businesses The Company maintains a formal Involuntary Severance Plan (the “Severance Plan”), which permits the Company to offer eligible employees severance benefits based on years of service and employment grade level in the event that employment is involuntarily terminated as a result of a reduction-in-force or restructuring. The Company recognizes termination benefits based on formulas per the Severance Plan at the point in time that future settlement is probable and can be reasonably estimated based on estimates prepared at the time a restructuring plan is approved by management. Exit costs consist of contractual lease termination costs, costs to exit committed contracts and other contractual terminations. At each reporting date, the Company evaluates its accruals for employee separation and exit costs to ensure the accruals are still appropriate. In certain circumstances, accruals are no longer needed because of efficiencies in carrying out the plans or because employees previously identified for separation resigned from the Company and did not receive severance, or were redeployed due to circumstances not foreseen when the original plans were approved. In these cases, the Company reverses accruals through the Consolidated Statements of Operations where the original charges were recorded when it is determined they are no longer needed. During 2023, 2022, and 2021 the Company continued to implement various productivity improvement plans aimed at achieving long-term, sustainable profitability by driving efficiencies and reducing operating costs. These initiatives impacted both of the Company’s segments and affected employees located in all geographic regions. 2023 Charges During 2023, the Company recorded net reorganization of business charges of $53 million, including $7 million of charges in Costs of sales and $46 million of charges in Other charges in the Company’s Consolidated Statements of Operations. Included in the $53 million were charges of $41 million related to employee separation costs and a $24 million impairment loss related to the exit of video manufacturing operations, partially offset by $7 million of reversals for employee separation accruals no longer needed and $5 million of reversals for exit cost accruals no longer needed. The following table displays the net charges incurred by segment: Year ended December 31 2023 Products and Systems Integration $ 45 Software and Services 8 $ 53 Reorganization of Businesses Accruals Accruals at Additional Adjustments Amount Accruals at Reorganization costs $ 26 $ 41 $ (7) $ (37) $ 23 Exit costs $ 10 $ — $ (5) $ — $ 5 $ 36 $ 41 $ (12) $ (37) $ 28 Exit Costs At January 1, 2023, the Company had an accrual of $10 million for exit costs related to the Company's exit of the ESN contract with the Home Office. During the year, the Company recorded a $5 million reversal for accruals no longer needed. The remaining $5 million of exit costs are recorded in Accrued liabilities in the Company's Consolidated Balance Sheet at December 31, 2023, and are expected to be paid within one year. Employee Separation Costs At January 1, 2023, the Company had an accrual of $26 million for employee separation costs. The 2023 additional charges of $41 million include severance costs for approximately 700 employees, of which 420 were direct employees and 280 were indirect employees. The adjustments of $7 million reflect reversals of accruals no longer needed. The $37 million used in 2023 reflects cash payments to severed employees. The remaining accrual of $23 million, which is included in Accrued liabilities in the Company’s Consolidated Balance Sheet at December 31, 2023, is expected to be paid, primarily within one year to: (i) severed employees who have already begun to receive payments and (ii) approximately 75 employees to be separated in 2024. 2022 Charges During 2022, the Company recorded net reorganization of business charges of $36 million, including $18 million of charges in Costs of sales and $18 million of charges under Other charges in the Company’s Consolidated Statements of Operations. Included in the aggregate $36 million were charges of $36 million for employee separation costs and $10 million for exit costs, partially offset by $10 million of reversals of accruals no longer needed. The following table displays the net charges incurred by segment: Year ended December 31 2022 Products and Systems Integration $ 21 Software and Services 15 $ 36 Reorganization of Businesses Accruals Accruals at Additional Adjustments Amount Accruals at Reorganization costs $ 34 $ 36 $ (10) $ (34) $ 26 Exit costs $ — $ 10 $ — $ — $ 10 $ 34 $ 46 $ (10) $ (34) $ 36 Exit Costs At January 1, 2022, the Company did not have an accrual for exit costs. There were $10 million of exit cost charges in 2022 related to the Company's exit of the ESN contract with the Home Office. The accrual of $10 million was included in Accrued liabilities in the Company's Consolidated Balance Sheet at December 31, 2022. Employee Separation Costs At January 1, 2022, the Company had an accrual of $34 million for employee separation costs. The 2022 additional charges of $36 million include severance costs for approximately 460 employees, of which 310 were direct employees and 150 were indirect employees. The adjustments of $10 million reflect reversals of accruals no longer needed. The $34 million used in 2022 reflects cash payments to severed employees. The remaining accrual of $26 million was included in Accrued liabilities in the Company’s Consolidated Balance Sheet at December 31, 2022. 2021 Charges During 2021, the Company recorded net reorganization of business charges of $32 million, including $8 million of charges in Costs of sales and $24 million of charges in Other charges in the Company’s Consolidated Statements of Operations. Included in the aggregate $32 million were charges of $42 million for employee separation costs, partially offset by $10 million of reversals for accruals no longer needed. The following table displays the net charges incurred by segment: Year ended December 31 2021 Products and Systems integration $ 25 Software and Services 7 $ 32 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Goodwill | Intangible Assets and Goodwill The Company accounts for acquisitions using purchase accounting with the results of operations for each acquiree included in the Company’s consolidated financial statements for the period subsequent to the date of acquisition. Recent Acquisitions On December 15, 2023, the Company acquired IPVideo Corporation ("IPVideo"), the creator of the HALO Smart Sensor, for $170 million, net of cash acquired. The transaction also includes the potential for the Company to make contingent earn-out payments of up to $15 million based on IPVideo's achievement of certain financial targets from January 1, 2024 through December 31, 2024. As of the acquisition date, the Company estimated the fair value of the contingent earn-out to be $2 million, which is included in the purchase price. In addition, the Company issued restricted stock at a fair value of $5 million to certain key employees that will be expensed over a service period of one year. The HALO Smart Sensor is a multifunctional safety and security device with built-in vape detection and air quality monitoring, gunshot detection, abnormal noise and motion detection and emergency keyword detection. This acquisition adds sensor technology to the Company's physical security portfolio. The Company recognized $109 million of goodwill, $72 million of identifiable intangible assets and $11 million of net liabilities. The goodwill is not deductible for tax purposes. The identifiable intangible assets were classified as $8 million of trade names, $6 million of customer relationships and $58 million of developed technology and will be amortized over a period of eight twelve On December 14, 2022, the Company acquired Rave Mobile, a leader in mass notification and incident management, for $553 million, net of cash acquired. In addition, the Company issued restricted stock at a fair value of $2 million to certain key employees that will be expensed over a service period of two years. This acquisition complements the Company's portfolio with a platform specifically designed to help organizations and public safety agencies communicate and collaborate during emergencies. The Company recognized $400 million of goodwill, $212 million of identifiable intangible assets and $59 million of net liabilities. The goodwill is not deductible for tax purposes. The identifiable intangible assets were classified as $9 million of trade names, $82 million of developed technology and $121 million of customer relationships and will be amortized over a period of nine seventeen seventeen On October 25, 2022, the Company acquired Futurecom, a leading provider of radio coverage extension solutions for public safety agencies, for $30 million, net of cash acquired. Futurecom designs and manufactures radio frequency repeaters. This acquisition further expands the Company's communications network and device portfolios. The Company recognized $10 million of goodwill, $11 million of an identifiable intangible asset and $9 million of net assets. The goodwill is not deductible for tax purposes. The identifiable intangible asset was classified as developed technology and will be amortized over a period of six years. The business is a part of the Products and Systems Integration segment. The purchase accounting was completed as of the fourth quarter of 2023. On August 8, 2022, the Company acquired Barrett Communications, a global provider of specialized radio communications, for $18 million, net of cash acquired. This acquisition complements the Company's existing radio portfolio, allowing the Company to use high frequency and very high frequency radio communications to support mission-critical operations. The Company recognized $1 million of goodwill, $3 million of identifiable intangible assets and $14 million of net assets. The identifiable intangible assets were classified as $1 million of trade names and $2 million of developed technology, both of which will be amortized over a period of seven years. The goodwill is not deductible for tax purposes. The business is part of the Products and Systems Integration segment. The purchase accounting was completed as of the third quarter of 2023. On May 12, 2022, the Company acquired Videotec, a global provider of ruggedized video security solutions, for $23 million, net of cash acquired. In addition, the Company issued restricted stock at a fair value of $4 million to certain key employees that will be expensed over a service period of one year. This acquisition extends the Company's breadth of high-performance video products, reinforcing the Company's strategy to be a global leader in video security solutions. The Company recognized $9 million of goodwill, $6 million of an identifiable intangible asset and $8 million of net assets. The goodwill is not deductible for tax purposes. The identifiable intangible asset was classified as developed technology and will be amortized over a period of four years. The business is part of the Products and Systems Integration segment. The purchase accounting was completed as of the second quarter of 2023. On April 19, 2022, the Company acquired Calipsa, a technology leader in cloud-native advanced video analytics, for $39 million, net of cash acquired. In addition, the Company issued restricted stock at a fair value of $4 million to certain key employees that will be expensed over a service period of two years. This acquisition extends the Company's intelligent analytics across video security solutions and supports the accelerating trend of enterprises using cloud technologies to enhance safety and security. The Company recognized $24 million of goodwill, $21 million of identifiable intangible assets, and $6 million of net liabilities. The goodwill is not deductible for tax purposes. The identifiable intangible assets were classified as $20 million of developed technology and $1 million of customer relationships that will be amortized over a period of fifteen On March 23, 2022, the Company acquired TETRA Ireland, the provider of Ireland's National Digital Radio Service, for $120 million, net of cash acquired. The Company was an initial shareholder of TETRA Ireland and acquired the remaining interest in the entity from the other shareholders. This acquisition expands the Company's portfolio of delivering mission-critical voice and data communications solutions to first responders and frontline workers. As a result of the acquisition, the Company recognized a $21 million gain recorded within Other income (expense) on the Company's initial minority interest. The Company recognized $47 million of goodwill, $90 million of identifiable intangible assets, and $6 million of net assets. The goodwill is not deductible for tax purposes. The identifiable intangible assets were classified as $83 million of customer relationships and $7 million of trade names that will be amortized over a period of twelve years and fourteen years, respectively. The business is part of the Software and Services segment. The purchase accounting was completed as of the first quarter of 2023. On March 3, 2022, the Company acquired Ava, a global provider of cloud-native video security and analytics, for $388 million, net of cash acquired. In addition, the Company issued restricted stock and restricted stock units at a fair value of $7 million to certain key employees that will be expensed over an average service period of two years. This acquisition expands the Company's portfolio of intelligent video solutions that help to enhance safety and streamline operations. The Company recognized $267 million of goodwill, $165 million of identifiable intangible assets, and $44 million of net liabilities. The goodwill is not deductible for tax purposes. The identifiable intangible assets were classified as $144 million of developed technology and $21 million of customer relationships that will be amortized over a period of fourteen On December 16, 2021, the Company acquired 911 Datamaster, an NG911 data solutions provider, for $35 million, net of cash acquired. In addition, the Company issued restricted stock at a fair value of $3 million to certain key employees that will be expensed over a service period of two years. This acquisition reinforces Motorola Solutions’ commitment to being a leader in command center solutions and further supports 911 call centers’ unique organizational workflows as they transition to NG911 technologies. The Company recognized $21 million of goodwill, $16 million of identifiable intangible assets and $2 million of net liabilities. The goodwill is deductible for tax purposes. The identifiable intangible assets were classified as $7 million of developed technology and $9 million of customer relationships that will be amortized over periods of nine On October 29, 2021, the Company acquired Envysion, a leader in enterprise video security and business analytics, for $124 million, net of cash acquired. In addition, the Company issued restricted stock at a fair value of $1 million to certain key employees that will be expensed over a service period of one year. This acquisition expands the Company's presence in the industry and reinforces the Company's strategy as a global leader in end-to-end video security solutions within Video. The Company recognized $79 million of goodwill, $37 million of identifiable intangible assets, and $8 million of net assets. The goodwill is not deductible for tax purposes. The identifiable intangible assets were classified as $26 million of customer relationships, $6 million of developed technology, and $5 million of trade names that will be amortized over a period of fifteen four On July 15, 2021, the Company acquired Openpath, a cloud-based mobile access control provider for $298 million, net of cash acquired. In addition, the Company issued restricted stock at a fair value of $29 million to certain key employees that will be expensed over an average service period of three years. The transaction included the potential for the Company to make earn-out payments of up to $40 million based on Openpath's achievement of certain financial targets from January 1, 2022 through December 31, 2022. The Company concluded there will be no payout related to the earn-out payments. This acquisition expands the Company's ability to combine video security and access control solutions within Video to help support enterprise customers. The Company recognized $234 million of goodwill, $73 million of identifiable intangible assets, and $9 million of net liabilities. The goodwill is not deductible for tax purposes. The identifiable intangible assets were classified as $57 million of developed technology and $16 million of customer relationships that will be amortized over a period of sixteen The results of operations for these acquisitions have been included in the Company’s Consolidated Statements of Operations subsequent to the acquisition date. The pro forma effects of these acquisitions are not significant individually or in the aggregate. Intangible Assets Amortized intangible assets are comprised of the following: 2023 2022 December 31 (in millions) Gross Accumulated Gross Accumulated Intangible assets: Developed technology $ 1,156 $ 447 $ 1,083 $ 358 Patents 2 2 2 2 Customer-related 1,566 1,055 1,519 935 Other intangibles 105 70 97 64 $ 2,829 $ 1,574 $ 2,701 $ 1,359 Amortization expense on intangible assets, which is included within Other charges in the Consolidated Statements of Operations, was $177 million, $257 million, and $236 million for the years ended December 31, 2023, 2022, and 2021, respectively. As of December 31, 2023, future amortization expense is estimated to be $145 million in 2024, $132 million in 2025, $123 million in 2026, $113 million in 2027, and $112 million in 2028. Amortized intangible assets, excluding goodwill, were comprised of the following by segment: 2023 2022 December 31 (in millions) Gross Accumulated Gross Accumulated Products and Systems Integration $ 985 $ 337 $ 913 $ 261 Software and Services 1,844 1,237 1,788 1,098 $ 2,829 $ 1,574 $ 2,701 $ 1,359 Goodwill The following table displays a rollforward of the carrying amount of goodwill, net of impairment losses, by segment from January 1, 2022 to December 31, 2023: (in millions) Products and Systems Integration Software and Services Total Balance as of January 1, 2022 $ 1,236 $ 1,329 $ 2,565 Goodwill acquired 227 573 800 Purchase accounting adjustments (2) (29) (31) Foreign currency translation — (22) (22) Balance as of December 31, 2022 $ 1,461 $ 1,851 $ 3,312 Goodwill acquired 109 — 109 Purchase accounting adjustments (2) (29) (31) Foreign currency translation — 11 11 Balance as of December 31, 2023 $ 1,568 $ 1,833 $ 3,401 The Company conducts its annual assessment of goodwill for impairment as of the last day of the third quarter of each fiscal year. The goodwill impairment assessment is performed at the reporting unit level which is an operating segment or one level below an operating segment. In 2023, the Company performed a qualitative assessment to determine whether it was more-likely-than-not that the fair value of each reporting unit was less than its carrying amount. In performing this qualitative assessment the Company assessed relevant events and circumstances including macroeconomic conditions, industry and market conditions, cost factors, overall financial performance, changes in enterprise value, and entity-specific events. For fiscal year 2023, the Company concluded it was more-likely-than-not that the fair value of each reporting unit exceeded its carrying value. Therefore, a quantitative goodwill impairment test was not required and there was no impairment of goodwill in 2023. |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2023 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | Valuation and Qualifying Accounts The following table presents the valuation and qualifying account activity for the years ended December 31, 2023, 2022, and 2021: Balance at Charged to Used Adjustments* Balance at 2023 Allowance for credit losses $ 61 $ 29 $ (21) $ — $ 69 2022 Allowance for credit losses 70 28 (36) (1) 61 2021 Allowance for credit losses 75 22 (26) (1) 70 * Adjustments include translation adjustments |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net earnings | $ 1,709 | $ 1,363 | $ 1,245 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation : The consolidated financial statements include the accounts of Motorola Solutions, Inc. (the “Company” or “Motorola Solutions”) and all controlled subsidiaries. All intercompany transactions and balances have been eliminated. The consolidated financial statements as of December 31, 2023 and 2022 and for the years ended December 31, 2023, 2022 and 2021, include, in the opinion of management, all adjustments (consisting of normal recurring adjustments and reclassifications) necessary to present fairly the Company's consolidated financial position, results of operations, statements of comprehensive income, and statements of stockholders' equity and cash flows for all periods presented. |
Use of Estimates | Use of Estimates: The preparation of financial statements in conformity with United States ("U.S.") Generally Accepted Accounting Principles ("GAAP") requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. |
Revenue Recognition | Revenue Recognition: Net sales consist of a wide range of goods and services including the delivery of products, systems and system integration as well as offering software and service solutions. The Company recognizes revenue to reflect the transfer of control of promised goods or services to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for goods or services. The Products and Systems Integration segment is comprised of devices, systems, and systems integration for our Land Mobile Radio Communication ("LMR" or "LMR Communications") and Video Security and Access Control ("Video") technologies. Direct customers of the Products and Systems Integration segment are typically government, public safety agencies, procuring at state, local, and federal levels as well as large commercial customers with secure mission-critical needs. Indirect customers are defined as customers purchasing professional and commercial radios and video security, which are primarily sold through the Company's reseller partners to an end-customer base, composed of various industries where private communications networks and video security are used to secure operations and enable a mobile workforce. Contracts with the Company's customers are typically fixed fee, with consideration measured net of associated sales taxes, and, as it relates to our government customers, funded through appropriations. The Company records consideration from shipping and handling on a gross basis within Net sales. In limited instances where the Company is not the principal in the arrangement, the Company will recognize revenue on a net basis. LMR and Video devices include two-way portable and vehicle-mounted radios, fixed video cameras and accessories. Devices are considered capable of being distinct and distinct within the context of the Company's contracts. Revenue is recognized upon the transfer of control of the devices to the customer at a point in time, typically consistent with delivery under the applicable shipping terms. Devices are sold by both the direct sales force and through reseller partners. Revenue is generally recognized upon transfer of devices to reseller partners, rather than the end-customer, except for limited consignment arrangements. Provisions for returns and reseller discounts are made on a portfolio basis using historical data. The Products and Systems Integration segment includes both customized communications networks and video security solutions, including the integration of these networks with devices, software, and applications within both LMR and Video technologies. For systems contracts, revenue for the year ended December 31, 2023 was $1.9 billion compared to $1.8 billion for the year ended December 31, 2022 and $1.9 billion for the year ended December 31, 2021. The communications networks include the aggregation of promises to the customer to provide i) a communications network core and central processing software, base stations, consoles, and repeaters or ii) a video security solution including video analytics, network video management hardware and software, and access control solutions. The individual promises within a communications network contract are not distinct in the context of the contract, as the Company provides a significant service of integrating and customizing the goods and services promised. The communications network represents a distinct performance obligation for which revenue is recognized over time, as the Company creates an asset with no alternative use and has an enforceable right to payment for work performed. The Company's revenue recognition over time is based on an input measure of costs incurred, which depicts the transfer of control to its customers under its contracts. Products and Systems Integration revenue for communications network systems is recognized over an average duration of approximately one The Software and Services segment provides solutions for government, public safety and commercial communications networks. Direct customers of the Software and Services segment are typically government, public safety and first-responder agencies and municipalities. Indirect customers are commercial customers who distribute our software solutions to a final end customer base. Contracts with our customers are typically fixed fee, with consideration measured net of associated sales taxes, and, as it relates to our direct customers, funded through government appropriations. Software offerings primarily include Command Center and Video software and services which can be delivered either as an “as-a-service”, on-premise, or hybrid solution. Solutions delivered as-a-service consist of a range of promises including hosted software, technical support and the right to unspecified future software enhancements. Software is not distinct from the hosting service since the customer does not have the right to take possession of the software at any time during the term of the arrangement. The hosted software, technical support, and right to unspecified future software enhancements each represent a series of distinct services that are delivered concurrently using the same over-time method. As such, the promises are accounted for as a single performance obligation with revenue recognized on a straight-line basis. On-premise and hybrid offerings generally consist of multiple promises primarily including software licenses and post-contract customer support. The promises are generally each distinct and distinct within the context of the contract as the customer benefits from each promise individually without any significant integration or interrelationship between the promises. On-premise software revenue is generally recognized at the point in time when the customer can benefit from the software which generally aligns with the beginning of the license period. Revenue for post-contract customer support is recognized over time as the customer simultaneously receives and consumes the services on a straight-line basis. In certain situations when the software license is not distinct within the context of the contract, revenue for the software license is recognized over time following the transfer of control under the arrangement. For hybrid arrangements, the on-premise software and as-a-service software are generally distinct performance obligations where the on-premise solution is recognized at the point when the customer can benefit from the software and the as-a-service software is recognized over time as the customer receives the benefit from the hosted solution. Services include a continuum of service offerings beginning with repair, technical support and maintenance. More advanced offerings include: monitoring, software updates and cybersecurity services. Managed service offerings range from partial to full operation of customer-owned or Motorola Solutions-owned communications networks. Services are provided across all technologies and are both distinct and capable of being distinct in the context of the contract, representing a series of recurring services that the Company stands ready to perform over the contract term. Since services contracts typically allow for customers to terminate for convenience or for non-appropriations of fiscal funding, the contract term is generally considered to be limited to a monthly or annual basis, subject to customer renewal. While contracts with customers are typically fixed fee, certain managed services contracts may be subject to variable consideration related to the achievement of service level agreement performance measurements. The Company has not historically paid significant penalties under service level agreements, and accordingly, it does not constrain its contract price. Certain contracts may also contain variable consideration driven by the number of users. Revenue is typically recognized on services over time as a series of services performed over the contract term on a straight-line basis. The Company enters into arrangements which generally consist of multiple promises to our customers. The Company evaluates whether the promised goods and services are distinct or a series of distinct goods or services. Where contracts contain multiple performance obligations, the Company allocates the total estimated consideration to each performance obligation based on applying an estimated selling price (“ESP”) as our best estimate of standalone selling price. We use list price as the standalone selling price for indirect sales sold through our channel partners. Given the unique nature of the goods and services we provide to direct customers, sufficient standalone sales of our products generally do not exist. Therefore, the Company determines ESP by: (i) collecting all reasonably available historical data points including sales, cost and margin analyses of the product or services, and other inputs based on its normal pricing and discounting practices, (ii) making any reasonably required adjustments to the data based on market and Company-specific factors, and (iii) stratifying the data points for similar customers and circumstances, when appropriate, based on major product or service, type of customer, geographic market, and sales volume. The Company accounts for certain system contracts without an alternative use on an over-time basis, electing an input method of estimated costs as a measure of performance completed. The selection of costs incurred as a measure of progress aligns the transfer of control to the overall production of the customized system. |
Cash Equivalents | Cash Equivalents: |
Investments | Investments: The Company generally invests in equity securities of a strategic nature. The Company applies the equity method of accounting for equity investments if the Company has significant influence over the issuing entity. The Company’s share of the investee’s underlying net income or loss is recorded to Other, net within Other income (expense). Equity securities with readily determinable fair values are carried at fair value with changes in fair value recorded in Other, net within Other income (expense). Equity securities without readily determinable fair values are carried at cost, less impairments, if any, and adjusted for observable price changes for the identical or a similar investment of the same issuer. The Company performs a qualitative impairment assessment to determine if such investments are impaired. The qualitative assessment considers all available information, including declines in the financial performance of the issuing entity, the issuing entity’s operating environment, and general market conditions. Impairments of equity securities without readily determinable fair values are recorded to Other, net within Other income (expense). |
Inventories | Inventories: Inventories are valued at the lower of cost (which approximates cost on a first-in, first-out basis) and net realizable value. |
Property, Plant, and Equipment | Property, Plant and Equipment: Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is recorded on a straight-line basis, based on the estimated useful lives of the assets (leasehold improvements, one one |
Goodwill and Intangible Assets | Goodwill and Intangible Assets: Goodwill is assessed for impairment at least annually at the reporting unit, or more frequently if events or circumstances occur that would more likely than not reduce the fair value of a reporting unit below its carrying value level. The Company performs its annual assessment of goodwill for impairment as of the last day of the third quarter of each fiscal year, typically through a qualitative assessment. Indicators of impairment include: (i) macroeconomic conditions, (ii) industry and market conditions, (iii) cost factors, including product and selling, general and administrative costs, (iv) overall financial performance of the Company, (v) changes in share price, and (vi) other relevant company-specific events. If it is determined that it is more-likely-than-not that the fair value of the reporting unit is less than its carrying amount, the Company will perform a quantitative goodwill impairment test, which compares the fair value of the reporting unit to its carrying value. A quantitative assessment includes the assignment of assets and liabilities to each of the Company's reporting units and an assessment of the fair value of each of the Company's reporting units. The Company utilizes an income approach (discounted cash flows) to estimate the fair value of each reporting unit, which is corroborated by market multiples when available and as appropriate. Key assumptions in the quantitative analysis include revenue growth rates (including long-term growth rates for terminal value assumptions), operating margin estimates, discount rates, and where applicable, the comparable multiples from publicly traded companies in the Company's industry. If the carrying amount of a reporting unit exceeds its fair value, the Company would recognize an impairment loss in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit. Intangible assets are amortized on a straight line basis over their respective estimated useful lives ranging from one |
Leases | Leases: The Company leases certain office, factory and warehouse space, land and other equipment, principally under non-cancelable operating leases. The Company determines if an arrangement is a lease at inception of the contract. The Company’s key considerations in determining whether a contract is or contains a lease include establishing whether the supplier has the ability to use other assets to fulfill its service or whether the terms of the agreement enable the Company to control the use of a dedicated asset during the contract term. In the majority of the Company’s contracts where it must identify whether a lease is present, it is readily determinable that the Company controls the use of the assets and obtains substantially all of the economic benefit during the term of the contract. In those contracts where identification is not readily determinable, the Company has determined that the supplier has either the ability to use another asset to provide the service or the terms of the contract give the supplier the right to operate the asset at its discretion during the term of the contract. Right-of-use ("ROU") assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at the commencement date. The Company’s lease payments are typically fixed or contain fixed escalators. The Company has elected to not separate lease and non-lease components for all of its current lease categories and therefore, all consideration is included in lease payments. For the Company’s leases consisting of land and other equipment (i.e. “communications network sites”), future payments are subject to variability due to changes in indices or rates. The Company values its ROU assets and lease liabilities based on the index or rate in effect at lease commencement. Future changes in the indices or rates are accounted for as variable lease costs. Other variable lease costs include items that are not fixed at lease commencement including property taxes, insurance, and operating charges that vary based on usage. ROU assets also include lease payments made in advance and are net of lease incentives. As the majority of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rates based on the information available at the commencement date in determining the present value of future payments. The Company’s incremental borrowing rates are based on the term of the lease, the economic environment of the lease, and the effect of collateralization. The Company's lease terms range from one one |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets: Long-lived assets, which include intangible assets, held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of assets may not be recoverable. The Company evaluates recoverability of assets to be held and used by comparing the carrying amount of an asset (group) to future net undiscounted cash flows to be generated by the asset (group). If an asset (group) is considered to be impaired, the impairment to be recognized is equal to the amount by which the carrying amount of the asset (group) exceeds the asset's (group's) fair value calculated using a discounted future cash flows analysis or market comparable analysis. Assets held for sale, if any, are reported at the lower of the carrying amount or fair value less cost to sell. |
Income Taxes | Income Taxes: The Company records deferred income tax assets and liabilities based on the estimated future tax effects of differences between the financial and tax bases of assets and liabilities based on currently enacted tax laws. The Company's deferred and other tax balances are based on management's interpretation of the tax regulations and rulings in numerous tax jurisdictions. Income tax expenses and liabilities recognized by the Company also reflect its best estimates and assumptions regarding, among other things, the level of future taxable income, the effect of the Company's various tax planning strategies, and uncertain tax positions. Future tax authority rulings and changes in tax laws, changes in projected levels of taxable income, and future tax planning strategies could affect the actual effective tax rate and tax balances recorded by the Company. |
Long-term Receivables | Long-Term Receivables: Long-term receivables include trade receivables where contractual terms of the note agreement are greater than one year. The Company estimates credit losses on accounts receivable based on historical losses and then takes into account estimates of current and future economic conditions. Long-term receivables are considered past due if payments have not been received according to the contractual terms of the note agreement, including principal and interest. Impaired long-term receivables are valued based on the present value of expected future cash flows discounted at the receivable’s effective interest rate, or the fair value of the collateral if the receivable is collateral dependent. Interest income and late fees on impaired long-term receivables are recognized only when payments are received. Previously impaired long-term receivables are no longer considered impaired and are reclassified to performing when they have performed under restructuring for four consecutive quarters. |
Environmental Liabilities | Environmental Liabilities: The Company maintains a liability related to ongoing remediation efforts of environmental media such as groundwater, soil, and soil vapor, as well as related legal fees for a designated Superfund site under the Comprehensive Environmental Response, Compensation and Liability Act (commonly known as the “Superfund Act”) incurred by a legacy business. It is the Company’s policy to re-evaluate the reserve when certain events become known that will impact the future cash payments. When the timing and amount of the future cash payments are fixed or reliably determinable, the Company discounts the future cash flows used in estimating the accrual using a risk-free treasury rate. The current portion of the estimated environmental liability is included in the Accrued liabilities statement line and the non-current portion is included in the Other liabilities statement line within the Company’s Consolidated Balance Sheet. |
Foreign Currency | Foreign Currency: Certain non-U.S. operations within the Company use their respective local currency as their functional currency. Those operations that do not have the U.S. dollar as their functional currency translate assets and liabilities at current rates of exchange in effect at the balance sheet date and revenues and expenses using rates that approximate those in effect during the period. The resulting translation adjustments are included as a component of Accumulated other comprehensive income (loss) in the Company’s Consolidated Balance Sheet. For those operations that have transactions denominated in local currency which differs from functional currency, transactions denominated in the local currency are measured in their functional currency using the current rates of exchange for monetary assets and liabilities and historical rates of exchange for nonmonetary assets. Gains and losses from remeasurement of monetary assets and liabilities are included in Other within Other income (expense) within the Company’s Consolidated Statements of Operations. The Company uses financial instruments to reduce its overall exposure to the effects of currency fluctuations on cash flows. The Company’s policy prohibits speculation in financial instruments for profit on exchange rate fluctuations, trading in currencies for which there are no underlying exposures, or entering into transactions for any currency to intentionally increase the underlying exposure. The Company’s strategy related to foreign exchange exposure management is to offset the gains or losses on the financial instruments against gains or losses on the underlying operational cash flows, net investments or monetary assets and liabilities based on the Company's assessment of risk. The Company enters into derivative contracts for some of its non-functional currency cash, receivables, and payables, which are primarily denominated in major currencies that can be traded on open markets. The Company typically uses forward contracts and options to hedge these currency exposures. In addition, the Company has entered into derivative contracts for some forecasted transactions or net investments in some of its overseas entities, which are designated as part of a hedging relationship if it is determined that the transaction qualifies for hedge accounting under the provisions of the authoritative accounting guidance for derivative instruments and hedging activities. A portion of the Company’s exposure is from currencies that are not traded in liquid markets and these are addressed, to the extent reasonably possible, by managing net asset positions, product pricing and component sourcing. |
Derivative Instruments | Derivative Instruments: For Foreign exchange contracts, not designated as hedging instruments, gains and losses are recorded immediately in Other income (expense) within the Consolidated Statements of Operations. For Equity swap contracts, which do not qualify for hedge accounting, gains and losses are recorded immediately in Selling, general and administrative |
Fair Value Measurements | Fair Value Measurements: The Company holds certain fixed income securities, equity securities and derivatives, which are recognized and disclosed at fair value in the financial statements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date and is measured using the fair value hierarchy. This hierarchy prescribes valuation techniques based on whether the inputs to each measurement are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company's assumptions about current market conditions. The prescribed fair value hierarchy and related valuation methodologies are as follows: Level 1 — Quoted prices for identical instruments in active markets. Level 2 — Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations, in which all significant inputs are observable, in active markets. |
Earnings Per Share | Earnings Per Share: The Company calculates its basic earnings per share based on the weighted-average number of common shares issued and outstanding. Net earnings attributable to Motorola Solutions, Inc. is divided by the weighted average common shares outstanding during the period to arrive at the basic earnings per share. Diluted earnings per share is calculated by dividing net earnings attributable to Motorola Solutions, by the sum of the weighted-average number of common shares used in the basic earnings per share calculation and the weighted-average number of common shares that would be issued assuming exercise or conversion of all potentially dilutive securities, excluding those securities that would be anti-dilutive to the earnings per share calculation. Both basic and diluted earnings per share amounts are calculated for net earnings attributable to Motorola Solutions for all periods presented. |
Share-Based Compensation Costs | Share-Based Compensation Costs: The Company grants share-based compensation awards and offers an employee stock purchase plan. The amount of compensation cost for these share-based awards is generally measured based on the fair value of the awards as of the date that the share-based awards are issued and adjusted to the estimated number of awards that are expected to vest. The fair values of stock options and stock appreciation rights are generally determined using a Black-Scholes option pricing model which incorporates assumptions about expected volatility, risk-free rate, dividend yield, and expected life. Performance-based stock options, performance stock units, and market stock units vest based on market conditions and are therefore measured under a Monte Carlo simulation in order to simulate a range of possible future unit prices for Motorola Solutions over the performance period. Compensation cost for share-based awards is recognized on a straight-line basis over the vesting period. |
Defined Benefit Plans | Defined Benefit Plans: The Company records annual expenses relating to its defined benefit plans based on calculations which include various actuarial assumptions, including discount rates, assumed asset rates of return, compensation increases, and turnover rates. The Company reviews its actuarial assumptions on an annual basis and makes modifications to the assumptions based on current rates and trends. Under relevant accounting rules, when almost all of the plan participants are considered inactive, the amortization period for certain unrecognized gains and losses changes from the average remaining service period to the average remaining lifetime of the participants. As such, depending on the specific plan, the Company amortizes gains and losses over periods ranging from nine one |
Recent and Recently Adopted Accounting Pronouncements | Recent Accounting Pronouncements: In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” to update reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods beginning in 2025, with early adoption permitted. The ASU will require the Company to disclose additional expense categories at the segment level including Cost of sales, Selling, general and administrative expenses, Research and development expenditures and other charges once it adopts this ASU. The Company is still evaluating the complete impact of the adoption of this ASU on its disclosures. In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which expands disclosures in an entity's income tax rate reconciliation table and disclosures regarding cash taxes paid both in the U.S. and foreign jurisdictions. This ASU is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The Company anticipates that it will have additional disclosures regarding cash taxes and the income tax rate reconciliation once it adopts this ASU. Recently Adopted Accounting Pronouncements In September 2022, the FASB issued ASU No. 2022-04, “Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations,” which requires disclosures to enhance transparency about an entity’s use of supplier finance programs. The amendments require a buyer that uses supplier finance programs to disclose the program’s key terms, outstanding confirmed amounts as of the end of the period, a rollforward of such amounts during each annual period and a description of where in the financial statements outstanding amounts are presented. Only the amount outstanding at the end of the period must be disclosed in interim periods. The Company adopted ASU 2022-04 on January 1, 2023. Refer to Note 4, "Other Financial Data" to our consolidated financial statements included in this Part II, Item 8 of this Form 10-K for the related disclosures. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table summarizes the disaggregation of our revenue by segment, geography, major product and service type and customer type for the years ended December 31, 2023, 2022 and 2021, consistent with the information reviewed by our chief operating decision maker for evaluating the financial performance of reportable segments: Years Ended 2023 2022 2021 (in millions) Products and Systems Integration Software and Services Total Products and Systems Integration Software and Services Total Products and Systems Integration Software and Services Total Regions North America $ 4,507 $ 2,425 $ 6,932 $ 4,286 $ 2,088 $ 6,374 $ 3,723 $ 1,838 $ 5,561 International 1,735 1,311 3,046 1,442 1,296 2,738 1,310 1,300 2,610 $ 6,242 $ 3,736 $ 9,978 $ 5,728 $ 3,384 $ 9,112 $ 5,033 $ 3,138 $ 8,171 Major Products and Services LMR Communications $ 5,127 $ 2,399 $ 7,526 $ 4,713 $ 2,274 $ 6,987 $ 4,203 $ 2,205 $ 6,408 Video 1,115 611 1,726 1,015 508 1,523 830 396 1,226 Command Center — 726 726 — 602 602 — 537 537 $ 6,242 $ 3,736 $ 9,978 $ 5,728 $ 3,384 $ 9,112 $ 5,033 $ 3,138 $ 8,171 Customer Type Direct $ 3,619 $ 3,396 $ 7,015 $ 3,368 $ 3,057 $ 6,425 $ 3,147 $ 2,842 $ 5,989 Indirect 2,623 340 2,963 2,360 327 2,687 1,886 296 2,182 $ 6,242 $ 3,736 $ 9,978 $ 5,728 $ 3,384 $ 9,112 $ 5,033 $ 3,138 $ 8,171 |
Contract Balances | December 31 (in millions) 2023 2022 2021 Accounts receivable, net $ 1,710 $ 1,518 $ 1,386 Contract assets 1,102 974 1,105 Contract liabilities 2,037 1,859 1,650 Non-current contract liabilities 424 363 306 |
Contract Cost Balances | December 31 (in millions) 2023 2022 2021 Current contract cost assets $ 56 $ 61 $ 30 Non-current contract cost assets 119 130 124 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Component of Lease Expense and Other Information | Components of Lease Expense (in millions) December 31, 2023 December 31, 2022 December 31, 2021 Lease expense: Operating lease cost $ 140 $ 130 $ 133 Short-term lease cost $ 1 $ 1 $ 2 Variable cost 36 33 36 Sublease income (5) (5) (7) Net lease expense from operating leases $ 172 $ 159 $ 164 Other Information Related to Leases (in millions) December 31, 2023 December 31, 2022 December 31, 2021 Supplemental cash flow information: Net cash used for operating activities related to operating leases $ 147 $ 145 $ 145 Right-of-use assets obtained in exchange for lease liabilities $ 98 $ 221 $ 40 December 31, 2023 December 31, 2022 Weighted average remaining lease terms (years) 5 5 Weighted average discount rate 4.34 % 4.07 % |
Assets And Liabilities, Lessee | Operating Lease Assets and Liabilities (in millions) Statement Line Classification December 31, 2023 December 31, 2022 Right-of-use lease assets Operating lease assets $ 495 $ 485 Current lease liabilities Accrued liabilities $ 125 $ 118 Non-current lease liabilities Operating lease liabilities $ 407 $ 419 |
Future Lease Payments, Finance | Future Lease Payments December 31 (in millions) Amount 2024 $ 145 2025 132 2026 115 2027 66 2028 41 Thereafter 92 Total lease payments $ 591 Less: Interest 59 Present value of operating lease liabilities $ 532 |
Future Lease Payments, Operating | Future Lease Payments December 31 (in millions) Amount 2024 $ 145 2025 132 2026 115 2027 66 2028 41 Thereafter 92 Total lease payments $ 591 Less: Interest 59 Present value of operating lease liabilities $ 532 |
Other Financial Data (Tables)
Other Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Other Charges (Income) | Other charges (income) included in Operating earnings consist of the following: Years ended December 31 (in millions) 2023 2022 2021 Other charges (income): Intangibles amortization (Note 15) $ 177 $ 257 $ 236 Reorganization of businesses (Note 14) 22 18 24 Legal Settlements 4 23 3 Fixed asset impairments 3 12 — Environmental reserve expense 15 — — Exit of video manufacturing operations 24 — — Operating lease asset impairments 6 24 10 Acquisition-related transaction fees 7 23 15 Gain on Hytera legal settlement — (15) — Other (1) (3) (2) $ 257 $ 339 $ 286 |
Other Income (Expense) | Interest expense, net, and Other both included in Other income (expense) consist of the following: Years ended December 31 (in millions) 2023 2022 2021 Interest expense, net: Interest expense $ (249) $ (240) $ (215) Interest income 33 14 7 $ (216) $ (226) $ (208) Other, net: Net periodic pension and postretirement benefit (Note 8) $ 99 $ 123 $ 123 Loss from the extinguishment of long-term debt (Note 5) — (6) (18) Investment impairments (16) (1) — Foreign currency gain (loss) (53) 37 17 Gain (loss) on derivative instruments (Note 6) 20 (61) (30) Gains (loss) on equity method investments — (3) 5 Fair value adjustments to equity investments 13 (30) (8) Gain on TETRA Ireland equity method investment — 21 — Other 5 (3) 3 $ 68 $ 77 $ 92 |
Earnings Per Common Share | Basic and diluted earnings per common share from net earnings attributable to Motorola Solutions, Inc. are computed as follows: Amounts attributable to Motorola Solutions, Inc. common stockholders Net Earnings Years ended December 31 2023 2022 2021 Basic earnings per common share: Earnings $ 1,709 $ 1,363 $ 1,245 Weighted average common shares outstanding 167.0 167.5 169.2 Per share amount $ 10.23 $ 8.14 $ 7.36 Diluted earnings per common share: Earnings $ 1,709 $ 1,363 $ 1,245 Weighted average common shares outstanding 167.0 167.5 169.2 Add effect of dilutive securities: Share-based awards 3.7 3.7 4.0 1.75% senior convertible notes 1.5 0.7 0.4 Diluted weighted average common shares outstanding 172.1 171.9 173.6 Per share amount $ 9.93 $ 7.93 $ 7.17 |
Accounts Receivable, Net | Accounts receivable, net, consists of the following: December 31 2023 2022 Accounts receivable $ 1,779 $ 1,579 Less allowance for credit losses (69) (61) $ 1,710 $ 1,518 |
Inventories, Net | Inventories, net, consist of the following: December 31 2023 2022 Finished goods $ 328 $ 354 Work-in-process and production materials 640 829 968 1,183 Less inventory reserves (141) (128) $ 827 $ 1,055 |
Other Current Assets | Other current assets consist of the following: December 31 2023 2022 Current contract cost assets (Note 2) $ 56 $ 61 Contractor receivables 40 47 Tax-related deposits (Note 7) 32 33 Other 229 242 $ 357 $ 383 |
Property, Plant And Equipment, Net | Property, plant and equipment, net, consist of the following: December 31 2023 2022 Land $ 5 $ 5 Leasehold improvements 448 456 Machinery and equipment 2,396 2,303 2,849 2,764 Less accumulated depreciation (1,885) (1,837) $ 964 $ 927 |
Investments | Investments consist of the following: December 31 2023 2022 Common stock $ 28 $ 21 Strategic investments, at cost 28 45 Company-owned life insurance policies 74 69 Equity method investments 13 12 $ 143 $ 147 |
Other Assets | Other assets consist of the following: December 31 2023 2022 Defined benefit plan assets (Note 8) $ 98 $ 164 Non-current contract cost assets (Note 2) 119 130 Other 57 16 $ 274 $ 310 |
Accrued Liabilities | Accrued liabilities consist of the following: December 31 2023 2022 Compensation $ 407 $ 374 Tax liabilities (Note 7) 231 367 Dividend payable 163 148 Trade liabilities 140 145 Operating lease liabilities (Note 3) 125 118 Customer reserves 89 78 Other 349 408 $ 1,504 $ 1,638 |
Other Liabilities | Other liabilities consist of the following: December 31 2023 2022 Defined benefit plans (Note 8) $ 939 $ 1,004 Non-current contract liabilities (Note 2) 424 363 Unrecognized tax benefits (Note 7) 26 29 Deferred income taxes (Note 7) 55 73 Environmental Reserve 119 108 Other 178 114 $ 1,741 $ 1,691 |
Schedule of Share Repurchase Program | The Company's share repurchases for 2023, 2022, and 2021 can be summarized as follows: Year Shares Repurchased (in millions) Average Price Amount (in millions) 2023 2.9 $ 278.56 $ 804 2022 3.7 225.00 836 2021 2.5 208.41 528 |
Changes in Accumulated Other Comprehensive Loss | The following table displays the changes in Accumulated other comprehensive loss, including amounts reclassified into income, and the affected line items in the Consolidated Statements of Operations during the years ended December 31, 2023, 2022, and 2021: Years ended December 31 2023 2022 2021 Foreign Currency Translation Adjustments: Balance at beginning of period $ (539) $ (384) $ (360) Other comprehensive income (loss) before reclassification adjustment 61 (156) (30) Tax benefit (expense) (4) 1 6 Other comprehensive income (loss), net of tax 57 (155) (24) Balance at end of period $ (482) $ (539) $ (384) Derivative instruments: Balance at beginning of period $ — $ — $ — Other comprehensive income (loss) before reclassification adjustment (12) — — Tax benefit — — — Other comprehensive income (loss), net of tax (12) — — Balance at end of period $ (12) $ — $ — Defined Benefit Plans: Balance at beginning of period $ (1,996) $ (1,995) $ (2,086) Other comprehensive income (loss) before reclassification adjustment (130) (76) 37 Tax benefit (expense) 34 18 (7) Other comprehensive income (loss) before reclassification adjustment, net of tax (96) (58) 30 Reclassification adjustment - Actuarial net losses into Other income (expense) 61 80 89 Reclassification adjustment - Prior service benefits into Other income (expense) 1 (2) (8) Tax expense (16) (21) (20) Reclassification adjustments into Net earnings, net of tax 46 57 61 Other comprehensive income (loss), net of tax (50) (1) 91 Balance at end of period $ (2,046) $ (1,996) $ (1,995) Total Accumulated other comprehensive loss $ (2,540) $ (2,535) $ (2,379) |
Supplier Finance Program | The following table displays a rollforward of the confirmed amount of supplier finance obligations from January 1, 2023 to December 31, 2023: (in millions) 2023 Confirmed obligations at the beginning of the year $ 37 Invoices confirmed during the year 114 Confirmed invoices paid during the year (116) Confirmed obligations outstanding at the end of the year $ 35 |
Debt and Credit Facilities - (T
Debt and Credit Facilities - (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt December 31 2023 2022 4.0% senior notes due 2024 313 312 1.75% senior convertible notes due 2024 1,000 1,000 6.5% debentures due 2025 70 70 7.5% debentures due 2025 252 252 4.6% senior notes due 2028 695 694 6.5% debentures due 2028 25 24 4.6% senior notes due 2029 802 803 2.3% senior notes due 2030 894 893 2.75% senior notes due 2031 845 845 5.60% senior notes due 2032 595 595 6.625% senior notes due 2037 38 38 5.5% senior notes due 2044 397 397 5.22% debentures due 2097 93 92 6,019 6,015 Adjustments for unamortized gains on interest rate swap terminations (1) (1) Less: current portion (1,313) (1) Long-term debt $ 4,705 $ 6,013 |
Risk Management (Tables)
Risk Management (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Largest Notional Amounts of the Positions to Buy or Sell Foreign Currency | The following table shows the Company's five largest net notional amounts of the positions to buy or sell foreign currency as of December 31, 2023 and the corresponding positions as of December 31, 2022: Notional Amount Net Buy (Sell) by Currency 2023 2022 Euro $ 322 $ 185 British pound 252 290 Australian dollar (140) (130) Canadian dollar 76 — Chinese renminbi (66) (61) |
Summary of Fair Values and Location in Condensed Consolidated Balance Sheet | The following tables summarize the fair values and location in the Consolidated Balance Sheet of all derivative financial instruments held by the Company at December 31, 2023 and 2022: Fair Values of Derivative Instruments December 31, 2023 Other Current Assets Accrued Liabilities Derivatives designated as hedging instruments: Foreign exchange contracts $ 1 $ 3 Treasury rate lock — $ 12 Derivatives not designated as hedging instruments: Foreign exchange contracts $ 12 $ 1 Equity swap contracts $ 1 $ — Total derivatives $ 14 $ 16 Fair Values of Derivative Instruments December 31, 2022 Other Current Assets Accrued Liabilities Derivatives designated as hedging instruments: Foreign exchange contracts $ — $ 5 Derivatives not designated as hedging instruments: Foreign exchange contracts 15 — Total derivatives $ 15 $ 5 |
Summary of Derivative Instruments and the Effect on the Condensed Consolidated Statements of Operations | The following table summarizes the effect of derivatives on the Company's consolidated financial statements for the years ended December 31, 2023, 2022 and 2021: Financial Statement Location 2023 2022 2021 Derivatives designated as hedging instruments: Foreign exchange contracts Accumulated other comprehensive income (loss) $ (4) $ 12 $ 13 Forward points recognized Other income (expense) $ 3 $ 2 $ 1 Treasury rate lock Accumulated other comprehensive income (loss) $ (12) $ — $ — Derivatives not designated as hedging instruments: Foreign exchange contracts Other income (expense) $ 20 $ (61) $ (30) Equity swap contracts Selling, general and administrative expenses $ 1 $ — $ — Net Investment Hedges The Company uses foreign exchange forward contracts to hedge against the effect of the British pound and the Euro exchange rate fluctuations against the U.S. dollar on a portion of its net investment in certain European operations. The Company recognizes changes in the fair value of the net investment hedges as a component of foreign currency translation adjustments within other comprehensive income to offset a portion of the change in translated value of the net investments being hedged, until the investments are sold or liquidated. As of December 31, 2023, the Company had €100 million of net investment hedges in certain Euro functional subsidiaries and £60 million of net investment hedges in certain British pound functional subsidiaries. The Company excludes the difference between the spot rate and the forward rate of the forward contract from its assessment of hedge effectiveness. The effect of the forward points recognized is amortized on a straight line basis and recognized through interest expense within Other income (expense) in the Consolidated Statement of Operations. Equity Swap Contracts During the year ended December 31, 2023, the Company entered into equity swap contracts which serve as economic hedges against volatility within the equity markets, impacting the Company's deferred compensation plan obligations. These contracts are not designated as hedges for accounting purposes. Unrealized gains and losses on these contracts are included in Selling, general and administrative expenses in the Consolidated Statements of Operations. The notional amount of these contracts as of December 31, 2023 was $15 million. Treasury Rate Lock In order to manage interest rate exposure, d uring the year ended December 31, 2023, the Company entered into Treasury rate lock agreements to protect against unfavorable interest rate changes relating to forecasted debt transactions. These derivatives are designated as cash flow hedges with unrealized gains and losses deferred in other comprehensive income. The derivatives will be settled upon the issuance of the related debt and gains and losses generated from the derivatives will be recognized within interest expense over the same period that the hedged interest payments affect earnings. The Company entered into Treasury rate lock agreements in a cash flow hedging relationship with a notional amount of $200 million as of December 31, 2023 and did not enter into any such agreements as of December 31, 2022. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Earnings from Continuing Operations Before Income Taxes | Components of earnings before income taxes are as follows: Years ended December 31 2023 2022 2021 United States $ 1,744 $ 1,312 $ 1,030 Other nations 402 203 522 $ 2,146 $ 1,515 $ 1,552 |
Income Tax Expense (Benefit) | Components of income tax expense are as follows: Years ended December 31 2023 2022 2021 United States Federal $ 269 $ 240 $ 134 Other nations 125 159 98 States (U.S.) 70 83 36 Current income tax expense 464 482 268 United States Federal (30) (179) (2) Other nations (9) (118) 22 States (U.S.) 7 (37) 14 Deferred income tax expense (benefit) (32) (334) 34 Total income tax expense $ 432 $ 148 $ 302 |
Federal Statutory Tax Rate and Income Tax Expense | Differences between income tax expense computed at the U.S. federal statutory tax rate of 21% and income tax expense as reflected in the Consolidated Statements of Operations are as follows: Years ended December 31 2023 2022 2021 Income tax expense at statutory rate $ 450 21.0 % $ 318 21.0 % $ 326 21.0 % State income taxes, net of federal benefit 71 3.3 % 76 5.0 % 55 3.5 % Non-U.S. tax expense on non-U.S. earnings 15 0.7 % 1 0.1 % 8 0.5 % U.S. tax expense (benefit) on undistributed non-U.S. earnings (44) (2.1) % (43) (2.8) % 6 0.4 % Intra-group IP transfer — — % (77) (5.1) % — — % Stock compensation (33) (1.5) % (68) (4.5) % (32) (2.1) % Valuation allowances (13) (0.6) % (51) (3.4) % (34) (2.2) % Research credits (19) (0.9) % (16) (1.1) % (20) (1.3) % Reserve for uncertain tax positions (3) (0.1) % (6) (0.4) % (10) (0.6) % Other tax expense (benefit) 8 0.4 % 14 0.9 % 3 0.2 % $ 432 20.1 % $ 148 9.8 % $ 302 19.5 % |
Schedule of Deferred Tax Assets and Liabilities | Significant components of deferred tax assets (liabilities) are as follows: December 31 2023 2022 Inventory $ 30 $ 38 Accrued liabilities and allowances 77 67 Employee benefits 270 290 Capitalized items 146 95 Tax basis differences on investments 4 6 Depreciation tax basis differences on fixed assets (2) 1 Undistributed non-U.S. earnings (28) (38) Tax attribute carryforwards 115 298 Business reorganization 9 7 Warranty and customer liabilities 22 22 Deferred revenue and costs 406 382 Valuation allowances (63) (221) Operating lease assets (120) (116) Operating lease liabilities 129 129 Other 10 4 $ 1,005 $ 964 |
Summary of Tax Credit Carryforwards | Tax attribute carryforwards are as follows: December 31, 2023 Gross Tax Expiration United States: U.S. tax losses $ 129 $ 27 2024-2037 General business credits — 2 2030-2039 State tax losses — 12 2024-2044 State tax credits — 6 2024-2042 Non-U.S. subsidiaries: Japan tax losses 6 2 2024-2029 United Kingdom tax losses 146 36 Unlimited Canada tax losses 18 5 2034-2043 Canada tax credits — 6 2037-2043 Spain tax credits — 6 2024-2029 Other subsidiaries tax losses 49 10 Various Other subsidiaries tax credits — 3 Various $ 115 |
Unrecognized Tax Benefits, Including Those Attributable to Discontinued Operations | A roll-forward of unrecognized tax benefits is as follows: (in millions) 2023 2022 Balance at January 1 $ 35 $ 43 Additions based on tax positions related to current year 1 1 Additions for tax positions of prior years 1 2 Reductions for tax positions of prior years (1) (1) Settlements and agreements — (4) Lapse of statute of limitations (4) (6) Balance at December 31 $ 32 $ 35 |
Summary of Open Tax Years by Major Jurisdiction | A summary of open tax years by major jurisdiction is presented below: Jurisdiction Tax Years United States 2020-2023 Australia 2019-2023 Canada 2019-2023 Germany 2018-2023 India 1997-2023 Israel 2019-2023 Poland 2018-2023 Malaysia 2016-2023 United Kingdom 2021-2023 |
Retirement Benefits (Tables)
Retirement Benefits (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Schedule of Net Benefit Plan Costs | The net periodic cost (benefit) for pension and Postretirement Health Care Benefits plans was as follows: U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan Years ended December 31 2023 2022 2021 2023 2022 2021 2023 2022 2021 Service cost $ — $ — $ — $ 1 $ 1 $ 1 $ — $ — $ — Interest cost 190 128 115 56 29 21 5 2 1 Expected return on plan assets (293) (254) (235) (108) (93) (99) (13) (12) (11) Amortization of: Unrecognized net loss 22 62 70 37 14 16 2 4 3 Unrecognized prior service benefit — — — (2) (2) (3) 3 — (5) Net periodic cost (benefit) $ (81) $ (64) $ (50) $ (16) $ (51) $ (64) $ (3) $ (6) $ (12) |
Status Of The Company Plans | The status of the Company’s plans is as follows: U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan 2023 2022 2023 2022 2023 2022 Change in benefit obligation: Benefit obligation at January 1 $ 3,809 $ 5,140 $ 1,207 $ 1,935 $ 103 $ 78 Service cost — — 1 1 — — Interest cost 190 128 56 29 5 2 Plan amendments — — — — — 46 Actuarial loss (gain) 59 (1,329) 62 (534) 2 (12) Foreign exchange valuation adjustment — — 66 (174) — — Benefit payments (130) (130) (45) (50) (14) (11) Benefit obligation at December 31 $ 3,928 $ 3,809 $ 1,347 $ 1,207 $ 96 $ 103 Change in plan assets: Fair value at January 1 $ 3,076 $ 4,157 $ 1,092 $ 1,870 $ 134 $ 186 Return on plan assets 324 (954) 56 (555) 14 (41) Company contributions 3 3 9 8 — — Foreign exchange valuation adjustment — — 60 (181) — — Benefit payments (130) (130) (45) (50) (14) (11) Fair value at December 31 $ 3,273 $ 3,076 $ 1,172 $ 1,092 $ 134 $ 134 Funded status of the plan $ (655) $ (733) $ (175) $ (115) $ 38 $ 31 Unrecognized net loss 1,695 1,689 829 758 68 70 Unrecognized prior service benefit (cost) — — (67) (70) 44 46 Prepaid pension cost $ 1,040 $ 956 $ 587 $ 573 $ 150 $ 147 Components of prepaid (accrued) pension cost: Current benefit liability $ (2) $ (3) $ — $ — $ — $ — Non-current benefit liability (653) (730) (210) (185) — — Non-current benefit asset — — 35 70 38 31 Deferred income taxes 403 403 102 83 31 32 Accumulated other comprehensive loss 1,292 1,286 660 605 81 84 Prepaid pension cost $ 1,040 $ 956 $ 587 $ 573 $ 150 $ 147 |
Weighted Average Actuarial Assumptions Used To Determine Costs For The Plans | Weighted average actuarial assumptions used to determine costs for the plans at the beginning of the fiscal year were as follows: U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan 2023 2022 2023 2022 2023 2022 Discount rate 5.09 % 2.52 % 4.68 % 1.68 % 5.05 % 2.78 % Investment return assumption 7.87 % 6.76 % 6.18 % 4.78 % 8.00 % 6.90 % |
Weighted Average Actuarial Assumptions Used To Determine Benefit Obligations For The Plans | Weighted average actuarial assumptions used to determine benefit obligations for the plans were as follows: U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan 2023 2022 2023 2022 2023 2022 Discount rate 5.01 % 5.20 % 4.30 % 4.60 % 4.92 % 5.10 % Future compensation increase rate n/a n/a 0.67 % 0.67 % n/a n/a |
Accumulated Benefit Obligations For The Plans | The following table presents the accumulated benefit obligation, projected benefit obligation and fair value of plan assets for our plans that have an accumulated benefit obligation and projected benefit obligation in excess of plan assets: U.S. Pension Benefit Plans Non U.S. Pension Benefit Plans December 31 2023 2022 2023 2022 Accumulated benefit obligation $ 3,928 $ 3,809 $ 1,346 $ 1,206 Projected benefit obligation 3,928 3,809 1,347 1,207 Fair value of plan assets 3,273 3,076 1,172 1,092 |
Projected Benefit Obligations For The Plans | The following table presents the accumulated benefit obligation, projected benefit obligation and fair value of plan assets for our plans that have an accumulated benefit obligation and projected benefit obligation in excess of plan assets: U.S. Pension Benefit Plans Non U.S. Pension Benefit Plans December 31 2023 2022 2023 2022 Accumulated benefit obligation $ 3,928 $ 3,809 $ 1,346 $ 1,206 Projected benefit obligation 3,928 3,809 1,347 1,207 Fair value of plan assets 3,273 3,076 1,172 1,092 |
Plan Target and Actual Asset Allocation | The weighted-average asset allocations by asset categories for all pension plans and the Postretirement Health Care Benefits Plan were as follows: All Pension Benefit Plans Postretirement Health Care Benefits Plan December 31 2023 2022 2023 2022 Target Mix: Equity securities 26 % 25 % 28 % 28 % Fixed income securities 56 % 57 % 51 % 52 % Cash and other investments 18 % 18 % 21 % 20 % Actual Mix: Equity securities 26 % 25 % 28 % 28 % Fixed income securities 56 % 56 % 52 % 52 % Cash and other investments 18 % 19 % 20 % 20 % |
Expected Future Service Benefits Payments | The following benefit payments are expected to be paid: Year U.S. Pension Benefit Plans Non-U.S. Pension Benefit Plans Postretirement Health Care Benefits Plan 2024 $ 183 $ 47 $ 15 2025 205 50 14 2026 224 51 12 2027 242 52 11 2028 260 53 9 2029-2033 1,409 271 30 |
Share-Based Compensation and _2
Share-Based Compensation and Other Incentive Plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Value of Stock Option Weighted-Average Assumptions | The weighted-average estimated fair value of employee stock options granted during 2023, 2022 and 2021 was $73.04, $67.18 and $41.57, respectively, using the following weighted-average assumptions: 2023 2022 2021 Expected volatility 24.4 % 29.2 % 27.3 % Risk-free interest rate 4.2 % 2.5 % 0.8 % Dividend yield 1.6 % 1.9 % 2.2 % Expected life (years) 5.9 6.6 5.9 |
Valuation Assumptions for Performance Options, Market Stock Units, and PCSOs | The following assumptions were used for the calculations. 2023 2022 2021 Performance Options Performance Options Performance Options Expected volatility of common stock 25.1 % 29.7 % 28.5 % Expected volatility of the S&P 500 33.3 % 39.2 % 38.7 % Risk-free interest rate 4.1 % 2.0 % 1.2 % Dividend yield 1.7 % 2.0 % 2.3 % Expected life (years) 6.5 6.5 6.5 2023 2022 2021 Market Stock Unit Market Stock Unit Market Stock Units Expected volatility of common stock 25.1 % 29.7 % 28.5 % Risk-free interest rate 4.5 % 1.9 % 0.3 % Dividend yield 1.5 % 1.6 % 1.8 % 2023 2022 2021 Performance Stock Units Performance Stock Units Performance Stock Units Expected volatility of common stock 25.1 % 29.7 % 28.5 % Expected volatility of the S&P 500 33.3 % 39.2 % 38.7 % Risk-free interest rate 4.6 % 1.8 % 0.3 % Dividend yield 1.4 % 1.6 % 1.8 % |
Stock Options Outstanding and Exercisable | The following table summarizes information about the total stock options outstanding and exercisable under all stock option plans, at December 31, 2023 (in thousands, except exercise price and years): Options Outstanding Options Exercisable Exercise price range No. of Wtd. avg. Wtd. avg. No. of Wtd. avg. Wtd. avg. $51-$70 209 67 1 209 67 1 $71-$90 714 77 3 714 77 3 $91-$110 208 108 4 208 108 4 $111-$130 46 120 5 46 120 5 $131-$150 243 139 5 243 139 5 $151-$170 199 156 6 196 155 6 $171-$190 244 180 7 41 180 7 $191 and over 501 244 9 50 228 8 2,364 1,707 |
Schedule of Share-based Compensation, Activity | Total share-based compensation activity was as follows (in thousands, except exercise price): Stock Options Restricted Stock Units Restricted Stock No. of Options Outstanding Wtd. Avg. Exercise Price of Shares No. of Non-Vested Awards Wtd. Avg. Grant Date Fair Value No. of Non-Vested Awards Wtd. Avg. Grant Date Fair Value Balance as of January 1, 2023 996 $ 128 1,211 $ 211 114 $ 224 Granted 120 272 715 259 23 311 Releases/Exercised (547) 89 (521) 191 (52) 225 Forfeited/Canceled (3) 225 (63) 224 — — Balance as of December 31, 2023 566 $ 191 1,342 $ 224 85 $ 244 Awards exercisable 297 149 — — — — Performance Options Market Stock Units Performance Stock Units No. of Options Outstanding Wtd. Avg. Exercise Price of Shares No. of Non-Vested Awards Wtd. Avg. Grant Date Fair Value No. of Non-Vested Awards Wtd. Avg. Grant Date Fair Value Balance as of January 1, 2023 1,775 $ 112 103 $ 192 169 $ 226 Granted 105 265 43 289 73 339 Releases/Exercised (161) 118 (79) 166 (51) 261 Adjustment for payout factor 79 140 24 122 22 261 Forfeited/Canceled — — (2) 135 — — Balance as of December 31, 2023 1,798 $ 122 89 $ 254 213 $ 264 Awards exercisable 1,410 96 — — — — |
Schedule of Compensation Expense | Compensation expense for the Company’s share-based compensation plans was as follows: Years ended December 31 2023 2022 2021 Share-based compensation expense included in: Costs of sales $ 40 $ 28 $ 16 Selling, general and administrative expenses 116 98 79 Research and development expenditures 56 46 34 Share-based compensation expense included in Operating earnings 212 172 129 Tax benefit 43 34 15 Share-based compensation expense, net of tax $ 169 $ 138 $ 114 Decrease in basic earnings per share $ (1.01) $ (0.82) $ (0.67) Decrease in diluted earnings per share $ (0.98) $ (0.80) $ (0.66) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets and Liabilities | The fair values of the Company’s financial assets and liabilities by level in the fair value hierarchy as of December 31, 2023 and December 31, 2022 were as follows: December 31, 2023 Level 1 Level 2 Total Assets: Foreign exchange derivative contracts $ — $ 13 $ 13 Equity swap contracts 1 — 1 Common stock and equivalents 28 — 28 Liabilities: Foreign exchange derivative contracts $ — $ 4 $ 4 Treasury rate lock — 12 — December 31, 2022 Level 1 Level 2 Total Assets: Foreign exchange derivative contracts $ — $ 15 $ 15 Common stock and equivalents 21 — 21 Liabilities: Foreign exchange derivative contracts $ — $ 5 $ 5 |
Pension and Postretirement Health Care Plan Assets | The fair values of the various pension and postretirement health care benefits plans’ assets by level in the fair value hierarchy as of December 31, 2023 and 2022 were as follows: U.S. Pension Benefit Plans December 31, 2023 Level 1 Level 2 Level 3 Total Equities $ 27 $ — $ — $ 27 Commingled funds 1,230 479 — 1,709 Government fixed income securities — 192 — 192 Corporate fixed income securities — 894 — 894 Short-term investment funds 253 — — 253 Private assets — — 157 157 Total investment securities $ 1,510 $ 1,565 $ 157 $ 3,232 Accrued income receivable 23 Cash 18 Fair value plan assets $ 3,273 The following table summarizes the changes in fair value of the Level 3 assets: 2023 Fair value at January 1, 2023 111 Actual return on plan assets 10 Purchases 36 Fair value at December 31, 2023 157 December 31, 2022 Level 1 Level 2 Level 3 Total Equities $ 48 $ — — $ 48 Commingled funds 1,159 488 — 1,647 Government fixed income securities — 159 — 159 Corporate fixed income securities — 863 — 863 Short-term investment funds 186 — — 186 Private Assets — — 111 111 Total investment securities $ 1,393 $ 1,510 $ 111 $ 3,014 Accrued income receivable 45 Cash 17 Fair value plan assets $ 3,076 Non-U.S. Pension Benefit Plans December 31, 2023 Level 1 Level 2 Total Equities $ 60 $ — $ 60 Commingled funds 289 32 321 Government fixed income securities — 663 663 Short-term investment funds 60 — 60 Total investment securities $ 409 $ 695 $ 1,104 Cash 5 Accrued income receivable 16 Insurance contracts 47 Fair value plan assets $ 1,172 December 31, 2022 Level 1 Level 2 Total Equities $ 55 $ — $ 55 Commingled funds 252 41 293 Government fixed income securities — 491 491 Short-term investment funds 83 — 83 Total investment securities $ 390 $ 532 $ 922 Cash 3 Accrued income receivable 121 Insurance contracts 46 Fair value plan assets $ 1,092 Postretirement Health Care Benefits Plan December 31, 2023 Level 1 Level 2 Level 3 Total Equities $ 1 $ — $ — $ 1 Commingled funds 49 20 — 69 Government fixed income securities — 8 — 8 Corporate fixed income securities — 38 — 38 Short-term investment funds 10 — — 10 Private funds — — 7 7 Total investment securities $ 60 $ 66 7 133 Accrued income receivable 1 Fair value plan assets $ 134 The following table summarizes the changes in fair value of the Level 3 assets: 2023 Fair value at January 1, 2023 5 Purchases 2 Fair value at December 31, 2023 7 December 31, 2022 Level 1 Level 2 Level 3 Total Equities $ 2 $ — $ — $ 2 Commingled funds 49 22 — 71 Government fixed income securities — 7 — 7 Corporate fixed income securities — 39 — 39 Short-term investment funds 8 — — 8 Private funds — — 5 5 Total investment securities $ 59 $ 68 $ 5 $ 132 Accrued income receivable 2 Fair value plan assets $ 134 |
Long-term Financing and Sales_2
Long-term Financing and Sales of Receivables (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Long-Term Financing | Long-term receivables consist of receivables with payment terms greater than twelve months, long-term loans and lease receivables under sales-type leases. Long-term receivables consist of the following: December 31 2023 2022 Long-term receivables, gross $ 36 $ 40 Less allowance for losses (2) (2) Long-term receivables $ 34 $ 38 Less current portion (13) (13) Non-current long-term receivables $ 21 $ 25 |
Proceeds Received from Non-Recourse Sales of Accounts Receivable And Long-Term Receivables | The following table summarizes the proceeds received from sales of accounts receivable and long-term receivables for the years ended December 31, 2023, 2022 and 2021. Years ended December 31 2023 2022 2021 Contract-specific discounting facility $ — $ 49 $ 211 Accounts receivable sales proceeds 96 179 56 Long-term receivables sales proceeds 182 204 248 Total proceeds from receivable sales $ 278 $ 432 $ 515 |
Financing Receivables Aging Analysis | An aging analysis of financing receivables at December 31, 2023 and December 31, 2022 is as follows: December 31, 2023 Total Current Billed Past Due Under 90 Days Past Due Over 90 Days Municipal leases secured tax exempt $ 15 $ 1 $ 1 $ 1 Commercial loans and leases secured 21 1 — 1 Long-term receivables, including current portion $ 36 $ 2 $ 1 $ 2 December 31, 2022 Total Current Billed Past Due Under 90 Days Past Due Over 90 Days Municipal leases secured tax exempt $ 22 $ 1 $ 1 $ 1 Commercial loans and leases secured 18 — — 2 Long-term receivables, including current portion $ 40 $ 1 $ 1 $ 3 |
Information by Segment and Ge_2
Information by Segment and Geographic Region (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Operating Business Segment | The following table summarizes Net sales and Operating earnings by segment: Net Sales Operating Earnings Years ended December 31 2023 2022 2021 2023 2022 2021 Products and Systems Integration $ 6,242 $ 5,728 $ 5,033 $ 1,244 $ 913 $ 760 Software and Services 3,736 3,384 3,138 1,050 748 907 $ 9,978 $ 9,112 $ 8,171 $ 2,294 $ 1,661 $ 1,667 Total other expense (148) (146) (115) Net earnings before income taxes $ 2,146 $ 1,515 $ 1,552 |
Corporate Related Expenses and Assets | The following table summarizes the Company's capital expenditures and depreciation expense by segment: Capital Expenditures Depreciation Expense Years ended December 31 2023 2022 2021 2023 2022 2021 Products and Systems Integration $ 97 $ 77 $ 90 $ 83 $ 79 $ 87 Software and Services 156 179 153 96 104 115 $ 253 $ 256 $ 243 $ 179 $ 183 $ 202 |
Geographic Area Information | Net Sales Assets Years ended December 31 2023 2022 2021 2023 2022 2021 United States $ 6,559 $ 6,008 $ 5,236 $ 10,207 $ 9,227 $ 9,420 United Kingdom $ 769 $ 789 $ 849 $ 2,034 $ 2,321 $ 1,588 Canada $ 373 $ 366 $ 324 $ 362 $ 394 $ 950 Other, net of eliminations $ 2,277 $ 1,949 $ 1,762 $ 733 $ 872 $ 231 $ 9,978 $ 9,112 $ 8,171 $ 13,336 $ 12,814 $ 12,189 |
Reorganization of Businesses (T
Reorganization of Businesses (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Net Charges Incurred by Business Segment | The following table displays the net charges incurred by segment: Year ended December 31 2023 Products and Systems Integration $ 45 Software and Services 8 $ 53 The following table displays the net charges incurred by segment: Year ended December 31 2022 Products and Systems Integration $ 21 Software and Services 15 $ 36 The following table displays the net charges incurred by segment: Year ended December 31 2021 Products and Systems integration $ 25 Software and Services 7 $ 32 |
Reorganization of Businesses Accruals | Reorganization of Businesses Accruals Accruals at Additional Adjustments Amount Accruals at Reorganization costs $ 26 $ 41 $ (7) $ (37) $ 23 Exit costs $ 10 $ — $ (5) $ — $ 5 $ 36 $ 41 $ (12) $ (37) $ 28 Reorganization of Businesses Accruals Accruals at Additional Adjustments Amount Accruals at Reorganization costs $ 34 $ 36 $ (10) $ (34) $ 26 Exit costs $ — $ 10 $ — $ — $ 10 $ 34 $ 46 $ (10) $ (34) $ 36 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Amortized intangible assets are comprised of the following: 2023 2022 December 31 (in millions) Gross Accumulated Gross Accumulated Intangible assets: Developed technology $ 1,156 $ 447 $ 1,083 $ 358 Patents 2 2 2 2 Customer-related 1,566 1,055 1,519 935 Other intangibles 105 70 97 64 $ 2,829 $ 1,574 $ 2,701 $ 1,359 |
Amortized Intangible Assets, Excluding Goodwill, By Business Segment | Amortized intangible assets, excluding goodwill, were comprised of the following by segment: 2023 2022 December 31 (in millions) Gross Accumulated Gross Accumulated Products and Systems Integration $ 985 $ 337 $ 913 $ 261 Software and Services 1,844 1,237 1,788 1,098 $ 2,829 $ 1,574 $ 2,701 $ 1,359 |
Goodwill | The following table displays a rollforward of the carrying amount of goodwill, net of impairment losses, by segment from January 1, 2022 to December 31, 2023: (in millions) Products and Systems Integration Software and Services Total Balance as of January 1, 2022 $ 1,236 $ 1,329 $ 2,565 Goodwill acquired 227 573 800 Purchase accounting adjustments (2) (29) (31) Foreign currency translation — (22) (22) Balance as of December 31, 2022 $ 1,461 $ 1,851 $ 3,312 Goodwill acquired 109 — 109 Purchase accounting adjustments (2) (29) (31) Foreign currency translation — 11 11 Balance as of December 31, 2023 $ 1,568 $ 1,833 $ 3,401 |
Valuation and Qualifying Acco_2
Valuation and Qualifying Accounts (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Valuation And Qualifying Accounts | The following table presents the valuation and qualifying account activity for the years ended December 31, 2023, 2022, and 2021: Balance at Charged to Used Adjustments* Balance at 2023 Allowance for credit losses $ 61 $ 29 $ (21) $ — $ 69 2022 Allowance for credit losses 70 28 (36) (1) 61 2021 Allowance for credit losses 75 22 (26) (1) 70 * Adjustments include translation adjustments |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |||
Net sales | $ 9,978 | $ 9,112 | $ 8,171 |
Restricted cash | $ 2 | ||
Minimum contractual term for long-term receivables | 1 year | ||
Performance restructuring reclassification period | 12 months | ||
Transferred over Time | |||
Property, Plant and Equipment [Line Items] | |||
Net sales | $ 1,900 | $ 1,800 | $ 1,900 |
Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Revenue recognition period | 1 year | ||
Intangible assets estimated useful lives | 1 year | ||
Term of lease contract | 1 year | ||
Renewal term or lease contract | 1 year | ||
Period range of amortizing gains and losses recognized | 9 years | ||
Amortization period of prior service cost | 1 year | ||
Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Revenue recognition period | 2 years | ||
Intangible assets estimated useful lives | 20 years | ||
Term of lease contract | 21 years | ||
Renewal term or lease contract | 10 years | ||
Period range of amortizing gains and losses recognized | 27 years | ||
Amortization period of prior service cost | 17 years | ||
Building and Building Improvements | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment useful life, years | 1 year | ||
Building and Building Improvements | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment useful life, years | 20 years | ||
Machinery and equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment useful life, years | 1 year | ||
Machinery and equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment useful life, years | 15 years |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Recent Acquisitions (Details) - USD ($) $ in Millions | Dec. 15, 2023 | Dec. 14, 2022 | Oct. 25, 2022 | Aug. 08, 2022 | May 12, 2022 | Apr. 19, 2022 | Mar. 23, 2022 | Mar. 03, 2022 | Dec. 16, 2021 | Oct. 29, 2021 | Jul. 15, 2021 |
IPVideo | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 170 | ||||||||||
Share-based compensation fair value | $ 5 | ||||||||||
Rave Mobile | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 553 | ||||||||||
Share-based compensation fair value | $ 2 | ||||||||||
Share-based compensation arrangement, award requisite service period | 2 years | ||||||||||
Futurecom Systems Group, ULC | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 30 | ||||||||||
Barrett Communications Pty Ltd | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 18 | ||||||||||
Videotec S.p.A. | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 23 | ||||||||||
Share-based compensation fair value | $ 4 | ||||||||||
Share-based compensation arrangement, award requisite service period | 1 year | ||||||||||
Calipsa, Inc | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 39 | ||||||||||
Share-based compensation fair value | $ 4 | ||||||||||
Share-based compensation arrangement, award requisite service period | 2 years | ||||||||||
TETRA Ireland Communications Limited | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 120 | ||||||||||
Ava Security Limited | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 388 | ||||||||||
Share-based compensation fair value | $ 7 | ||||||||||
Share-based compensation arrangement, award requisite service period | 2 years | ||||||||||
911 Datamaster | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 35 | ||||||||||
Share-based compensation fair value | $ 3 | ||||||||||
Average service period | 2 years | ||||||||||
Envysion | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 124 | ||||||||||
Share-based compensation fair value | $ 1 | ||||||||||
Average service period | 1 year | ||||||||||
Openpath | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Cash paid for acquisition | $ 298 | ||||||||||
Share-based compensation fair value | $ 29 | ||||||||||
Average service period | 3 years |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Disaggregation of Revenue (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disaggregation of Revenue [Line Items] | |||
Net Sales | $ 9,978 | $ 9,112 | $ 8,171 |
Direct | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 7,015 | 6,425 | 5,989 |
Indirect | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 2,963 | 2,687 | 2,182 |
LMR Communications | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 7,526 | 6,987 | 6,408 |
Video | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 1,726 | 1,523 | 1,226 |
Command Center | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 726 | 602 | 537 |
North America | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 6,932 | 6,374 | 5,561 |
International | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 3,046 | 2,738 | 2,610 |
Products and Systems Integration | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 6,242 | 5,728 | 5,033 |
Products and Systems Integration | Direct | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 3,619 | 3,368 | 3,147 |
Products and Systems Integration | Indirect | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 2,623 | 2,360 | 1,886 |
Products and Systems Integration | LMR Communications | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 5,127 | 4,713 | 4,203 |
Products and Systems Integration | Video | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 1,115 | 1,015 | 830 |
Products and Systems Integration | Command Center | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 0 | 0 | 0 |
Products and Systems Integration | North America | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 4,507 | 4,286 | 3,723 |
Products and Systems Integration | International | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 1,735 | 1,442 | 1,310 |
Software and Services | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 3,736 | 3,384 | 3,138 |
Software and Services | Direct | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 3,396 | 3,057 | 2,842 |
Software and Services | Indirect | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 340 | 327 | 296 |
Software and Services | LMR Communications | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 2,399 | 2,274 | 2,205 |
Software and Services | Video | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 611 | 508 | 396 |
Software and Services | Command Center | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 726 | 602 | 537 |
Software and Services | North America | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | 2,425 | 2,088 | 1,838 |
Software and Services | International | |||
Disaggregation of Revenue [Line Items] | |||
Net Sales | $ 1,311 | $ 1,296 | $ 1,300 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Remaining Performance Obligation (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation amount | $ 9,300 |
Products and Systems Integration | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation amount | 5,000 |
Remaining performance obligations removed | 777 |
Software and Services | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation amount | 4,300 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | Products and Systems Integration | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation amount | $ 3,000 |
Expected timing of satisfaction, period | 12 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | Managed and Support Services | Software and Services | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation amount | $ 1,700 |
Expected timing of satisfaction, period | 12 months |
Revenue from Contracts with C_5
Revenue from Contracts with Customers - Schedule of Contract Balances (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Revenue from Contract with Customer [Abstract] | |||
Accounts receivable, net | $ 1,710 | $ 1,518 | $ 1,386 |
Contract assets | 1,102 | 974 | 1,105 |
Contract liabilities | 2,037 | 1,859 | 1,650 |
Non-current contract liabilities | $ 424 | $ 363 | $ 306 |
Revenue from Contracts with C_6
Revenue from Contracts with Customers - Contract Balances (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |||
Contract liabilities | $ 1,300 | $ 1,100 | $ 1,000 |
Performance obligation satisfied in previous period | (37) | $ (26) | $ (4) |
Contract assets, impairment losses | $ 0 |
Revenue from Contracts with C_7
Revenue from Contracts with Customers - Schedule of Contract Cost Assets (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Revenue from Contract with Customer [Abstract] | |||
Current contract cost assets | $ 56 | $ 61 | $ 30 |
Non-current contract cost assets | $ 119 | $ 130 | $ 124 |
Revenue from Contracts with C_8
Revenue from Contracts with Customers - Contract Cost Balances (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue from External Customer [Line Items] | |||
Capitalized contract cost, amortization | $ 61 | $ 62 | $ 52 |
Minimum | |||
Revenue from External Customer [Line Items] | |||
Capitalized contract cost, amortization period | 1 year | ||
Maximum | |||
Revenue from External Customer [Line Items] | |||
Capitalized contract cost, amortization period | 8 years |
Leases - Operating Expenses (De
Leases - Operating Expenses (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | |||
Operating lease cost | $ 140 | $ 130 | $ 133 |
Short-term lease cost | 1 | 1 | 2 |
Variable cost | 36 | 33 | 36 |
Sublease income | (5) | (5) | (7) |
Net lease expense from operating leases | $ 172 | $ 159 | $ 164 |
Leases - Assets and Liabilities
Leases - Assets and Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
ASSETS | ||
Right-of-use lease assets | $ 495 | $ 485 |
Liabilities, Current [Abstract] | ||
Current lease liabilities | 125 | 118 |
Liabilities, Noncurrent [Abstract] | ||
Non-current lease liabilities | $ 407 | $ 419 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Accrued liabilities | Accrued liabilities |
Leases - Cash Flows (Details)
Leases - Cash Flows (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | |||
Net cash used for operating activities related to operating leases | $ 147 | $ 145 | $ 145 |
Right-of-use assets obtained in exchange for lease liabilities | $ 98 | $ 221 | $ 40 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Lessee, Lease, Description [Line Items] | |||
Right-of-use assets obtained in exchange for lease liabilities | $ 98 | $ 221 | $ 40 |
Three Large Managed Service Contracts | |||
Lessee, Lease, Description [Line Items] | |||
Right-of-use assets obtained in exchange for lease liabilities | $ 66 | ||
Radio Tower Sites | |||
Lessee, Lease, Description [Line Items] | |||
Right-of-use assets obtained in exchange for lease liabilities | 150 | ||
TETRA Ireland Communications Limited | |||
Lessee, Lease, Description [Line Items] | |||
Additional leases acquired | $ 34 |
Leases - Terms (Details)
Leases - Terms (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
Weighted average remaining lease terms, operating leases | 5 years | 5 years |
Weighted average discount rate, operating leases | 4.34% | 4.07% |
Leases - Future Payments (Detai
Leases - Future Payments (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Amount | |
2024 | $ 145 |
2025 | 132 |
2026 | 115 |
2027 | 66 |
2028 | 41 |
Thereafter | 92 |
Total lease payments | 591 |
Less: Interest | 59 |
Present value of operating lease liabilities | $ 532 |
Other Financial Data - Other Ch
Other Financial Data - Other Charges (Income) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 22, 2022 | Feb. 11, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Intangibles amortization | $ 177 | $ 257 | $ 236 | ||
Reorganization of businesses | 22 | 18 | 24 | ||
Fixed asset impairments | 3 | 12 | 0 | ||
Environmental reserve expense | 15 | 0 | 0 | ||
Exit of video manufacturing operations | 24 | 0 | 0 | ||
Operating lease asset impairments | 6 | 24 | 10 | ||
Acquisition-related transaction fees | 7 | 23 | 15 | ||
Other | (1) | (3) | (2) | ||
Other charges (income): | 257 | 339 | 286 | ||
Settlements Other Than Hytera | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Legal settlements loss (gains) | 4 | 23 | 3 | ||
Gain on Hytera legal settlement | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Legal settlements loss (gains) | $ (2) | $ (13) | $ 0 | $ (15) | $ 0 |
Other Financial Data - Other _2
Other Financial Data - Other Charges (Income) - Additional Information (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Environmental reserve expense | $ 15 |
Environmental reserve, current and noncurrent | 127 |
Environmental Remediation | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Current ac for environmental loss contingencies | $ 8 |
Other Financial Data - Other In
Other Financial Data - Other Income (Expense) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Interest expense, net: | |||
Interest expense | $ (249,000,000) | $ (240,000,000) | $ (215,000,000) |
Interest income | 33,000,000 | 14,000,000 | 7,000,000 |
Interest expense, net: | (216,000,000) | (226,000,000) | (208,000,000) |
Other, net: | |||
Net periodic pension and postretirement benefit | 99,000,000 | 123,000,000 | 123,000,000 |
Gain (loss) from the extinguishment of long-term debt | 0 | (6,000,000) | (18,000,000) |
Investment impairments | (16,000,000) | (1,000,000) | 0 |
Foreign currency gain (loss) | (53,000,000) | 37,000,000 | 17,000,000 |
Gain (loss) on derivative instruments | 20,000,000 | (61,000,000) | (30,000,000) |
Gains (loss) on equity method investments | 0 | (3,000,000) | 5,000,000 |
Fair value adjustments to equity investments | 13,000,000 | (30,000,000) | (8,000,000) |
Gain on TETRA Ireland equity method investment | 0 | 21,000,000 | 0 |
Other | 5,000,000 | (3,000,000) | 3,000,000 |
Total other | 68,000,000 | 77,000,000 | 92,000,000 |
Long-term Debt, Excluding Convertible Debt | |||
Other, net: | |||
Gain (loss) from the extinguishment of long-term debt | $ 0 | $ (6,000,000) | $ (18,000,000) |
Other Financial Data - Earnings
Other Financial Data - Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Basic earnings per common share: | |||
Earnings | $ 1,709 | $ 1,363 | $ 1,245 |
Weighted average common shares outstanding (in shares) | 167 | 167.5 | 169.2 |
Per share amount (USD per share) | $ 10.23 | $ 8.14 | $ 7.36 |
Diluted earnings per common share: | |||
Earnings | $ 1,709 | $ 1,363 | $ 1,245 |
Weighted average common shares outstanding (in shares) | 167 | 167.5 | 169.2 |
Add effect of dilutive securities: | |||
Share-based awards (in shares) | 3.7 | 3.7 | 4 |
Diluted weighted average common shares outstanding (in shares) | 172.1 | 171.9 | 173.6 |
Per share amount (USD per share) | $ 9.93 | $ 7.93 | $ 7.17 |
1.75% senior convertible notes due 2024 | |||
Add effect of dilutive securities: | |||
Senior Convertible Notes (in shares) | 1.5 | 0.7 | 0.4 |
Convertible Debt | 1.75% senior convertible notes due 2024 | |||
Add effect of dilutive securities: | |||
Interest rate | 1.75% |
Other Financial Data - Earnin_2
Other Financial Data - Earnings Per Common Share - Additional Information (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | |||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 14, 2024 | May 31, 2021 | Sep. 05, 2019 | |
Debt Instrument [Line Items] | ||||||
Repurchased face amount of debt | $ 324 | |||||
Repurchase amount | $ 341 | |||||
1.75% senior convertible notes due 2024 | Convertible Debt | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument face principal amount | $ 1,000 | |||||
Debt instrument stated interest rate | 1.75% | |||||
Convertible debt conversion price (usd per share) | $ 201.33 | $ 201.33 | ||||
Value in excess of principal if converted | $ 586 | |||||
1.75% senior convertible notes due 2024 | Convertible Debt | Subsequent Event | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument stated interest rate | 1.75% | |||||
Repurchased face amount of debt | $ 1,000 | |||||
Repurchase amount | $ 1,590 | |||||
Stock Options | ||||||
Debt Instrument [Line Items] | ||||||
Stock options excluded from computation of dilutive shares due to antidilutive nature (in shares) | 0.3 | 0.3 | 0.2 | |||
Performance Options | ||||||
Debt Instrument [Line Items] | ||||||
Stock options excluded from computation of dilutive shares due to antidilutive nature (in shares) | 0.2 | 0.1 | 0.1 |
Other Financial Data - Accounts
Other Financial Data - Accounts Receivable, Net (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Accounts receivable | $ 1,779 | $ 1,579 | |
Less allowance for credit losses | (69) | (61) | |
Accounts receivable, net | $ 1,710 | $ 1,518 | $ 1,386 |
Other Financial Data - Inventor
Other Financial Data - Inventories, Net (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Inventory, Net [Abstract] | ||
Finished goods | $ 328 | $ 354 |
Work-in-process and production materials | 640 | 829 |
Inventories, gross | 968 | 1,183 |
Less inventory reserves | (141) | (128) |
Inventories, net | $ 827 | $ 1,055 |
Other Financial Data - Other Cu
Other Financial Data - Other Current Assets (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Other Current Assets [Abstract] | |||
Current contract cost assets | $ 56 | $ 61 | $ 30 |
Contractor receivables | 40 | 47 | |
Tax-realted deposits | 32 | 33 | |
Other | 229 | 242 | |
Other current assets | $ 357 | $ 383 |
Other Financial Data - Property
Other Financial Data - Property, Plant and Equipment, Net (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 2,849 | $ 2,764 |
Less accumulated depreciation | (1,885) | (1,837) |
Net book value | 964 | 927 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 5 | 5 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 448 | 456 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 2,396 | $ 2,303 |
Other Financial Data - Proper_2
Other Financial Data - Property, Plant and Equipment, Net, Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |||
Reorganization of business charges | $ 53 | $ 36 | $ 32 |
Exit of video manufacturing operations | 24 | 0 | 0 |
Loss on ESN fixed asset impairment | 0 | 147 | 0 |
Depreciation expense | 179 | $ 183 | $ 202 |
Other Restructuring | |||
Property, Plant and Equipment [Line Items] | |||
Reorganization of business charges | 24 | ||
Disposal Group, Held-for-sale, Not Discontinued Operations | |||
Property, Plant and Equipment [Line Items] | |||
Loss on ESN fixed asset impairment | $ 147 |
Other Financial Data - Investme
Other Financial Data - Investments (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Debt and Equity Securities, FV-NI [Line Items] | ||
Common stock | $ 28 | $ 21 |
Strategic investments, at cost | 28 | 45 |
Company-owned life insurance policies | 74 | 69 |
Equity method investments | 13 | 12 |
Long-term investments noncurrent | $ 143 | $ 147 |
Other Financial Data - Invest_2
Other Financial Data - Investments, Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Debt and Equity Securities, FV-NI [Line Items] | |||
Debt securities, available-for-sale, allowance for credit loss, writeoff | $ (16,000,000) | $ (1,000,000) | $ 0 |
New Hold Investment Corp | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Loss from increase in fair value of investment | $ (12,000,000) | $ (11,000,000) |
Other Financial Data - Other As
Other Financial Data - Other Assets (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Other Assets: | |||
Defined benefit plan assets | $ 98 | $ 164 | |
Non-current contract cost assets | 119 | 130 | $ 124 |
Other | 57 | 16 | |
Other assets | $ 274 | $ 310 |
Other Financial Data - Accoun_2
Other Financial Data - Accounts Payable Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Supplier finance program, payment timing, period | 60 days | |
Supplier finance program, obligation | $ 35 | $ 37 |
Supplier Finance Program, Obligation, Statement of Financial Position [Extensible Enumeration] | Accounts payable | Accounts payable |
Minimum | ||
Debt Instrument [Line Items] | ||
Supplier finance program, payment timing, period | 75 days | |
Maximum | ||
Debt Instrument [Line Items] | ||
Supplier finance program, payment timing, period | 120 days |
Other Financial Data - Account
Other Financial Data - Account Payable, Supplier Finance (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Supplier Finance Program, Obligation [Roll Forward] | |
Confirmed obligations beginning balance | $ 37 |
Invoices confirmed during the year | 114 |
Confirmed invoices paid during the year | (116) |
Confirmed obligations ending balance | $ 35 |
Other Financial Data - Accrued
Other Financial Data - Accrued Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Accrued Liabilities [Abstract] | ||
Compensation | $ 407 | $ 374 |
Tax liabilities | 231 | 367 |
Dividend payable | 163 | 148 |
Trade liabilities | 140 | 145 |
Current lease liabilities | 125 | 118 |
Customer reserves | 89 | 78 |
Other | 349 | 408 |
Accrued liabilities | $ 1,504 | $ 1,638 |
Other Financial Data - Other Li
Other Financial Data - Other Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Other Liabilities [Abstract] | |||
Defined benefit plans | $ 939 | $ 1,004 | |
Non-current contract liabilities | 424 | 363 | $ 306 |
Unrecognized tax benefits | 26 | 29 | |
Deferred income taxes | 55 | 73 | |
Environmental Reserve | 119 | 108 | |
Other | 178 | 114 | |
Other liabilities | $ 1,741 | $ 1,691 |
Other Financial Data - Stockhol
Other Financial Data - Stockholders' Equity, Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||||||
Jan. 12, 2024 | Nov. 17, 2022 | Nov. 16, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Nov. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Share repurchase program, additional authorized amount | $ 2,000 | ||||||
Stock repurchase program, authorized amount | $ 18,000 | ||||||
Share repurchase authority utilized during period | 15,500 | ||||||
Share repurchase program, available for repurchases | 2,500 | ||||||
Excise tax | $ 4 | ||||||
Dividends declared per share (USD per share) | $ 0.98 | $ 0.88 | $ 3.62 | $ 3.25 | $ 2.92 | ||
Payment of dividends | $ 589 | $ 530 | $ 482 | ||||
Subsequent Event | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Payment of dividends | $ 163 |
Other Financial Data - Stockh_2
Other Financial Data - Stockholders' Equity (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Income and Expenses [Abstract] | |||
Shares repurchased (in shares) | 2.9 | 3.7 | 2.5 |
Average price (USD per share) | $ 278.56 | $ 225 | $ 208.41 |
Aggregate amount | $ 804 | $ 836 | $ 528 |
Other Financial Data - Accumula
Other Financial Data - Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Balance at beginning of period | $ 131 | ||
Total other comprehensive income (loss), net of tax | (5) | $ (156) | $ 67 |
Balance at end of period | 739 | 131 | |
Foreign Currency Translation Adjustments | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Balance at beginning of period | (539) | (384) | (360) |
Other comprehensive income (loss) before reclassification adjustment | 61 | (156) | (30) |
Tax benefit (expense) | (4) | 1 | 6 |
Total other comprehensive income (loss), net of tax | 57 | (155) | (24) |
Balance at end of period | (482) | (539) | (384) |
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Balance at beginning of period | 0 | 0 | 0 |
Other comprehensive income (loss) before reclassification adjustment | (12) | 0 | 0 |
Tax benefit (expense) | 0 | 0 | 0 |
Total other comprehensive income (loss), net of tax | (12) | 0 | 0 |
Balance at end of period | (12) | 0 | 0 |
Defined Benefit Plans | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Balance at beginning of period | (1,996) | (1,995) | (2,086) |
Other comprehensive income (loss) before reclassification adjustment | (130) | (76) | 37 |
Tax benefit (expense) | 34 | 18 | (7) |
Other comprehensive income (loss) before reclassification adjustment, net of tax | (96) | (58) | 30 |
Tax expense | (16) | (21) | (20) |
Reclassification adjustment into earnings, net of tax | 46 | 57 | 61 |
Total other comprehensive income (loss), net of tax | (50) | (1) | 91 |
Balance at end of period | (2,046) | (1,996) | (1,995) |
Reclassification adjustment - Actuarial net losses into Other income (expense) | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Reclassification adjustment | 61 | 80 | 89 |
Reclassification adjustment - Prior service benefits into Other income (expense) | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Reclassification adjustment | 1 | (2) | (8) |
Total Accumulated other comprehensive loss | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Balance at beginning of period | (2,535) | (2,379) | (2,446) |
Total other comprehensive income (loss), net of tax | (5) | (156) | 67 |
Balance at end of period | $ (2,540) | $ (2,535) | $ (2,379) |
Debt and Credit Facilities - Lo
Debt and Credit Facilities - Long-Term Debt (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | May 31, 2022 | May 31, 2021 |
Debt Instrument [Line Items] | ||||
Long-term debt, gross | $ 6,019 | $ 6,015 | ||
Adjustments for unamortized gains on interest rate swap terminations | (1) | (1) | ||
Less: current portion | (1,313) | (1) | ||
Long-term debt | $ 4,705 | 6,013 | ||
4.0% senior notes due 2024 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4% | 4% | ||
Long-term debt, gross | $ 313 | 312 | ||
1.75% senior convertible notes due 2024 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 1.75% | |||
1.75% senior convertible notes due 2024 | Convertible Debt | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 1.75% | |||
Long-term debt, gross | $ 1,000 | 1,000 | ||
6.5% debentures due 2025 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 6.50% | |||
6.5% debentures due 2025 | Debenture | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, gross | $ 70 | 70 | ||
7.5% debentures due 2025 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 7.50% | |||
7.5% debentures due 2025 | Debenture | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, gross | $ 252 | 252 | ||
4.6% senior notes due 2028 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.60% | |||
Long-term debt, gross | $ 695 | 694 | ||
6.5% debentures due 2028 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 6.50% | |||
6.5% debentures due 2028 | Debenture | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, gross | $ 25 | 24 | ||
4.6% senior notes due 2029 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.60% | |||
Long-term debt, gross | $ 802 | 803 | ||
2.3% senior notes due 2030 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.30% | |||
Long-term debt, gross | $ 894 | 893 | ||
2.75% senior notes due 2031 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.75% | 2.75% | ||
Long-term debt, gross | $ 845 | 845 | ||
5.60% senior notes due 2032 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 5.60% | 5.60% | ||
Long-term debt, gross | $ 595 | 595 | ||
6.625% senior notes due 2037 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 6.625% | |||
Long-term debt, gross | $ 38 | 38 | ||
5.5% senior notes due 2044 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 5.50% | |||
Long-term debt, gross | $ 397 | 397 | ||
5.22% debentures due 2097 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 5.22% | |||
5.22% debentures due 2097 | Debenture | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, gross | $ 93 | $ 92 |
Debt and Credit Facilities - Ad
Debt and Credit Facilities - Additional Information (Details) | 1 Months Ended | 12 Months Ended | ||||
May 31, 2022 USD ($) | May 31, 2021 USD ($) | Dec. 31, 2023 USD ($) $ / shares Rate | Feb. 14, 2024 USD ($) | Dec. 31, 2022 USD ($) | Sep. 05, 2019 $ / shares | |
Line of Credit Facility [Line Items] | ||||||
Repurchase amount | $ 341,000,000 | |||||
Proceeds from debt, net | 844,000,000 | |||||
Repurchased face amount of debt | 324,000,000 | |||||
Accrued interest | 3,000,000 | |||||
Loss on repurchase of debt instrument | 18,000,000 | |||||
Long-term debt, gross | $ 6,019,000,000 | $ 6,015,000,000 | ||||
Long-term maturities during 2024 | 1,300,000,000 | |||||
Long-term maturities during 2025 | 322,000,000 | |||||
Long-term maturities during 2026 | 0 | |||||
Long-term maturities during 2027 | 0 | |||||
Long-term maturities during 2028 | 724,000,000 | |||||
Commercial Paper | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit facility borrowing capacity | 2,200,000,000 | |||||
Long-term debt, gross | $ 0 | |||||
Senior Notes | 1.75% senior convertible notes due 2024 | ||||||
Line of Credit Facility [Line Items] | ||||||
Convertible debt conversion ratio | Rate | 496.70% | |||||
Interest rate | 1.75% | |||||
Senior Notes | 2.75% senior notes due 2031 | ||||||
Line of Credit Facility [Line Items] | ||||||
Debt instrument face principal amount | $ 850,000,000 | |||||
Interest rate | 2.75% | 2.75% | ||||
Long-term debt, gross | $ 845,000,000 | 845,000,000 | ||||
Senior Notes | 3.5% senior notes due 2023 | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest rate | 3.50% | |||||
Senior Notes | 5.60% senior notes due 2032 | ||||||
Line of Credit Facility [Line Items] | ||||||
Debt instrument face principal amount | $ 600,000,000 | |||||
Interest rate | 5.60% | 5.60% | ||||
Proceeds from debt, net | $ 595,000,000 | |||||
Long-term debt, gross | $ 595,000,000 | 595,000,000 | ||||
Senior Notes | 4.0% senior notes due 2024 | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest rate | 4% | 4% | ||||
Repurchase amount | $ 279,000,000 | |||||
Repurchased face amount of debt | 275,000,000 | |||||
Loss on repurchase of debt instrument | 6,000,000 | |||||
Interest payable | $ 3,000,000 | |||||
Long-term debt, gross | $ 313,000,000 | 312,000,000 | ||||
Convertible Debt | 1.75% senior convertible notes due 2024 | ||||||
Line of Credit Facility [Line Items] | ||||||
Convertible debt conversion ratio | 0.0049670 | |||||
Convertible debt conversion price (usd per share) | $ / shares | $ 201.33 | $ 201.33 | ||||
Debt instrument face principal amount | $ 1,000,000,000 | |||||
Interest rate | 1.75% | |||||
Long-term debt, gross | $ 1,000,000,000 | $ 1,000,000,000 | ||||
Convertible Debt | 1.75% senior convertible notes due 2024 | Subsequent Event | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest rate | 1.75% | |||||
Repurchase amount | $ 1,590,000,000 | |||||
Repurchased face amount of debt | $ 1,000,000,000 | |||||
Line of Credit | Revolving Credit Facility | 2021 Motorola Solutions Credit Agreement | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit facility borrowing capacity | 2,250,000,000 | |||||
Line of Credit | Letter of Credit | 2021 Motorola Solutions Credit Agreement | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit facility borrowing capacity | $ 450,000,000 |
Risk Management - Additional In
Risk Management - Additional Information (Details) € in Millions, £ in Millions, $ in Millions | Dec. 31, 2023 USD ($) | Dec. 31, 2023 EUR (€) | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 USD ($) |
Credit Concentration Risk | ||||
Derivative [Line Items] | ||||
Total outstanding foreign exchange contracts | $ 14 | |||
Foreign exchange derivative contracts | ||||
Derivative [Line Items] | ||||
Notional amount of foreign currency derivatives | 1,300 | $ 1,100 | ||
Foreign exchange derivative contracts | Derivatives not designated as hedging instruments: | ||||
Derivative [Line Items] | ||||
Notional amount of foreign currency derivatives | 15 | |||
Treasury rate lock | ||||
Derivative [Line Items] | ||||
Notional amount of foreign currency derivatives | $ 200 | |||
Euro | Net Investment Hedging | ||||
Derivative [Line Items] | ||||
Notional amount of foreign currency derivatives | £ | £ 60 | |||
British pound | Net Investment Hedging | ||||
Derivative [Line Items] | ||||
Notional amount of foreign currency derivatives | € | € 100 |
Risk Management - Schedule of L
Risk Management - Schedule of Largest Notional Amounts of the Positions to Buy or Sell Foreign Currency (Details) - Foreign exchange derivative contracts - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Derivative [Line Items] | ||
Notional amount of foreign currency derivatives | $ 1,300 | $ 1,100 |
Buy | Euro | ||
Derivative [Line Items] | ||
Notional amount of foreign currency derivatives | 322 | 185 |
Buy | British pound | ||
Derivative [Line Items] | ||
Notional amount of foreign currency derivatives | 252 | 290 |
Sell | Australian dollar | ||
Derivative [Line Items] | ||
Notional amount of foreign currency derivatives | 140 | 130 |
Sell | Canadian dollar | ||
Derivative [Line Items] | ||
Notional amount of foreign currency derivatives | 76 | 0 |
Sell | Chinese renminbi | ||
Derivative [Line Items] | ||
Notional amount of foreign currency derivatives | $ 66 | $ 61 |
Risk Management - Summary of Fa
Risk Management - Summary of Fair Values and Location in Condensed Consolidated Balance Sheet (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Other Current Assets | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | $ 14 | $ 15 |
Accrued Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 16 | 5 |
Foreign exchange derivative contracts | Derivatives designated as hedging instruments: | Other Current Assets | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 1 | 0 |
Foreign exchange derivative contracts | Derivatives designated as hedging instruments: | Accrued Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 3 | 5 |
Foreign exchange derivative contracts | Derivatives not designated as hedging instruments: | Other Current Assets | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 12 | 15 |
Foreign exchange derivative contracts | Derivatives not designated as hedging instruments: | Accrued Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 1 | $ 0 |
Equity Swap | Derivatives not designated as hedging instruments: | Other Current Assets | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 1 | |
Equity Swap | Derivatives not designated as hedging instruments: | Accrued Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 0 | |
Treasury rate lock | Derivatives designated as hedging instruments: | Other Current Assets | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 0 | |
Treasury rate lock | Derivatives designated as hedging instruments: | Accrued Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | $ 12 |
Risk Management - Effect of Der
Risk Management - Effect of Derivatives Designated as Hedging Instruments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Foreign exchange derivative contracts | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Foreign exchange contracts | $ (4) | $ 12 | $ 13 |
Foreign exchange derivative contracts | Derivatives not designated as hedging instruments: | Other Income (Expense) | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Equity swap contracts | 20 | (61) | (30) |
Foreign Exchange Forward | Other Income (Expense) | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Equity swap contracts | 3 | 2 | 1 |
Treasury rate lock | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Foreign exchange contracts | (12) | 0 | 0 |
Equity Swap | Derivatives not designated as hedging instruments: | Selling, General and Administrative Expenses | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Equity swap contracts | $ 1 | $ 0 | $ 0 |
Income Taxes - Earnings From Co
Income Taxes - Earnings From Continuing Operations Before Income Taxes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
United States | $ 1,744 | $ 1,312 | $ 1,030 |
Other nations | 402 | 203 | 522 |
Net earnings before income taxes | $ 2,146 | $ 1,515 | $ 1,552 |
Income Taxes - Income Tax Expen
Income Taxes - Income Tax Expense (Benefit) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
United States Federal | $ 269 | $ 240 | $ 134 |
Other nations | 125 | 159 | 98 |
States (U.S.) | 70 | 83 | 36 |
Current income tax expense | 464 | 482 | 268 |
United States Federal | (30) | (179) | (2) |
Other nations | (9) | (118) | 22 |
States (U.S.) | 7 | (37) | 14 |
Deferred income tax expense (benefit) | (32) | (334) | 34 |
Total income tax expense | $ 432 | $ 148 | $ 302 |
Income Taxes - Federal Statutor
Income Taxes - Federal Statutory Tax Rate and Income Tax Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Income tax expense at statutory rate | $ 450 | $ 318 | $ 326 |
State income taxes, net of federal benefit | 71 | 76 | 55 |
Non-U.S. tax expense on non-U.S. earnings | 15 | 1 | 8 |
U.S. tax expense (benefit) on undistributed non-U.S. earnings | (44) | (43) | 6 |
Stock compensation | (33) | (68) | (32) |
Valuation allowances | (13) | (51) | (34) |
Research credits | (19) | (16) | (20) |
Reserve for uncertain tax positions | (3) | (6) | (10) |
Other tax expense (benefit) | 8 | 14 | 3 |
Total income tax expense | $ 432 | $ 148 | $ 302 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Income tax expense at statutory rate | 21% | 21% | 21% |
State income taxes, net of federal benefit | 3.30% | 5% | 3.50% |
Non-U.S. tax expense on non-U.S. earnings | 0.70% | 0.10% | 0.50% |
U.S. tax expense (benefit) on undistributed non-U.S. earnings | (2.10%) | (2.80%) | 0.40% |
Intra-group IP transfer | 0% | (5.10%) | 0% |
Stock compensation | (1.50%) | (4.50%) | (2.10%) |
Valuation allowances | (0.60%) | (3.40%) | (2.20%) |
Research credits | (0.90%) | (1.10%) | (1.30%) |
Reserve for uncertain tax positions | (0.10%) | (0.40%) | (0.60%) |
Other tax expense (benefit) | 0.40% | 0.90% | 0.20% |
Total income tax expense (benefit), percent | 20.10% | 9.80% | 19.50% |
Intellectual Property | |||
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Intra-group IP transfer | $ 0 | $ (77) | $ 0 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Tax Credit Carryforward [Line Items] | |||
Income tax expense at statutory rate | 21% | 21% | 21% |
Deferred tax (benefit) charge, adjustment | $ 14 | $ (2) | $ (21) |
Undistributed earnings intends to reinvest for which no tax have been provided | 1,800 | ||
Gross deferred tax assets | 2,100 | 2,200 | |
Deferred tax assets, net of valuation allowances | 2,000 | 2,000 | |
Gross deferred tax liabilities | 1,000 | 1,000 | |
Valuation allowance | 63 | 221 | |
Valuation allowance - deferred tax assets relating to non-U.S subsidiaries | 44 | 46 | |
Unrecognized tax benefits | 32 | 35 | 43 |
Unrecognized tax benefits that would impact effective tax rate if recognized | 27 | 29 | |
Estimated associated net tax benefit impact on effective tax rate | 4 | ||
Unrecognized tax benefits, accrued for interest | 23 | 22 | |
Unrecognized tax benefits, accrued for penalties | 12 | 12 | |
Intellectual Property | |||
Tax Credit Carryforward [Line Items] | |||
Deferred tax benefit, net | 0 | (77) | $ 0 |
UNITED STATES | |||
Tax Credit Carryforward [Line Items] | |||
Change in valuation allowances | 156 | ||
International | |||
Tax Credit Carryforward [Line Items] | |||
Change in valuation allowances | 2 | ||
Other Liabilities | |||
Tax Credit Carryforward [Line Items] | |||
Unrecognized tax benefits | $ 26 | $ 29 |
Income Taxes - Components of De
Income Taxes - Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Income Tax Disclosure [Abstract] | ||
Inventory | $ 30 | $ 38 |
Accrued liabilities and allowances | 77 | 67 |
Employee benefits | 270 | 290 |
Capitalized items | 146 | 95 |
Tax basis differences on investments | 4 | 6 |
Depreciation tax basis differences on fixed assets | (2) | 1 |
Undistributed non-U.S. earnings | (28) | (38) |
Tax attribute carryforwards | 115 | 298 |
Business reorganization | 9 | 7 |
Warranty and customer liabilities | 22 | 22 |
Deferred revenue and costs | 406 | 382 |
Valuation allowances | (63) | (221) |
Operating lease assets | (120) | (116) |
Operating lease liabilities | 129 | 129 |
Other | 10 | 4 |
Deferred tax assets (liabilities), total | $ 1,005 | $ 964 |
Income Taxes - Summary of Tax C
Income Taxes - Summary of Tax Credit Carryforwards (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Tax Credit Carryforward [Line Items] | |
Tax Effected | $ 115 |
U.S. tax losses | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 129 |
Tax Effected | 27 |
General business credits | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 0 |
Tax Effected | 2 |
State tax losses | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 0 |
Tax Effected | 12 |
State tax credits | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 0 |
Tax Effected | 6 |
Japan tax losses | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 6 |
Tax Effected | 2 |
United Kingdom tax losses | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 146 |
Tax Effected | 36 |
Canada tax losses | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 18 |
Tax Effected | 5 |
Canada tax credits | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 0 |
Tax Effected | 6 |
Spain tax credits | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 0 |
Tax Effected | 6 |
Other subsidiaries tax losses | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 49 |
Tax Effected | 10 |
Other subsidiaries tax credits | |
Tax Credit Carryforward [Line Items] | |
Gross Tax Loss | 0 |
Tax Effected | $ 3 |
Income Taxes - Unrecognized Tax
Income Taxes - Unrecognized Tax Benefits, Including Attributable to Discontinued Operations (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Income Tax Expense (Benefit) [Rollforward] | ||
Balance at January 1 | $ 35 | $ 43 |
Additions based on tax positions related to current year | 1 | 1 |
Additions for tax positions of prior years | 1 | 2 |
Reductions for tax positions of prior years | (1) | (1) |
Settlements and agreements | 0 | (4) |
Lapse of statute of limitations | (4) | (6) |
Balance at December 31 | $ 32 | $ 35 |
Retirement Benefits - Additiona
Retirement Benefits - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Deferred compensation plan, employer percentage of matching | 4% | ||
Deferred compensation plan, maximum employer contribution for board officers | $ 50,000 | ||
Defined contribution plan, expenses for material defined contribution plans | 45,000,000 | $ 43,000,000 | $ 36,000,000 |
Defined contribution plan, discretionary matching contributions made during period | $ 0 | $ 0 | $ 0 |
Pension Benefit Plans | United States | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Years of service required | 1 year | ||
Discount rate | 5.01% | 5.20% | 2.98% |
Company contributions | $ 3,000,000 | $ 3,000,000 | |
Net periodic pension cost | (81,000,000) | (64,000,000) | $ (50,000,000) |
Actuarial present value of the future death benefits | $ 3,928,000,000 | $ 3,809,000,000 | $ 5,140,000,000 |
Pension Benefit Plans | Non U.S. | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 4.30% | 4.60% | 1.82% |
Company contributions | $ 9,000,000 | $ 8,000,000 | |
Net periodic pension cost | (16,000,000) | (51,000,000) | $ (64,000,000) |
Actuarial present value of the future death benefits | $ 1,347,000,000 | $ 1,207,000,000 | 1,935,000,000 |
Postretirement Health Care Benefits Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Retirement age | 65 years | ||
Maximum annual participant subsidy (per participant) | $ 560 | ||
Discount rate | 4.92% | 5.10% | |
Company contributions | $ 0 | $ 0 | |
Net periodic pension cost | (3,000,000) | (6,000,000) | (12,000,000) |
Actuarial present value of the future death benefits | 96,000,000 | 103,000,000 | 78,000,000 |
Split-dollar Life Insurance Arrangement | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net periodic pension cost | 5,000,000 | 5,000,000 | $ 5,000,000 |
Actuarial present value of the future death benefits | $ 52,000,000 | $ 54,000,000 |
Retirement Benefits - Net Perio
Retirement Benefits - Net Periodic Cost (Benefit) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Postretirement Health Care Benefits Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 0 | $ 0 | $ 0 |
Interest cost | 5 | 2 | 1 |
Expected return on plan assets | (13) | (12) | (11) |
Amortization of: | |||
Unrecognized net loss | 2 | 4 | 3 |
Unrecognized prior service benefit | 3 | 0 | (5) |
Net periodic cost (benefit) | (3) | (6) | (12) |
United States | Pension Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 0 | 0 | 0 |
Interest cost | 190 | 128 | 115 |
Expected return on plan assets | (293) | (254) | (235) |
Amortization of: | |||
Unrecognized net loss | 22 | 62 | 70 |
Unrecognized prior service benefit | 0 | 0 | 0 |
Net periodic cost (benefit) | (81) | (64) | (50) |
Non U.S. | Pension Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 1 | 1 | 1 |
Interest cost | 56 | 29 | 21 |
Expected return on plan assets | (108) | (93) | (99) |
Amortization of: | |||
Unrecognized net loss | 37 | 14 | 16 |
Unrecognized prior service benefit | (2) | (2) | (3) |
Net periodic cost (benefit) | $ (16) | $ (51) | $ (64) |
Retirement Benefits - Status of
Retirement Benefits - Status of the Company Plans (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Components of prepaid (accrued) pension cost: | |||
Non-current benefit asset | $ 98,000,000 | $ 164,000,000 | |
Postretirement Health Care Benefits Plan | |||
Change in benefit obligation: | |||
Benefit obligation at January 1 | 103,000,000 | 78,000,000 | |
Service cost | 0 | 0 | $ 0 |
Interest cost | 5,000,000 | 2,000,000 | 1,000,000 |
Plan amendments | 0 | 46,000,000 | |
Actuarial loss (gain) | 2,000,000 | (12,000,000) | |
Foreign exchange valuation adjustment | 0 | 0 | |
Benefit payments | (14,000,000) | (11,000,000) | |
Benefit obligation at December 31 | 96,000,000 | 103,000,000 | 78,000,000 |
Change in plan assets: | |||
Fair value at January 1 | 134,000,000 | 186,000,000 | |
Return on plan assets | 14,000,000 | (41,000,000) | |
Company contributions | 0 | 0 | |
Foreign exchange valuation adjustment | 0 | 0 | |
Benefit payments | (14,000,000) | (11,000,000) | |
Fair value at December 31 | 134,000,000 | 134,000,000 | 186,000,000 |
Funded status of the plan | 38,000,000 | 31,000,000 | |
Unrecognized net loss | 68,000,000 | 70,000,000 | |
Unrecognized prior service benefit (cost) | 44,000,000 | 46,000,000 | |
Prepaid pension cost | 150,000,000 | 147,000,000 | |
Components of prepaid (accrued) pension cost: | |||
Current benefit liability | 0 | 0 | |
Non-current benefit liability | 0 | 0 | |
Non-current benefit asset | 38,000,000 | 31,000,000 | |
Deferred income taxes | 31,000,000 | 32,000,000 | |
Accumulated other comprehensive loss | 81,000,000 | 84,000,000 | |
Prepaid pension cost | 150,000,000 | 147,000,000 | |
United States | Pension Benefit Plans | |||
Change in benefit obligation: | |||
Benefit obligation at January 1 | 3,809,000,000 | 5,140,000,000 | |
Service cost | 0 | 0 | 0 |
Interest cost | 190,000,000 | 128,000,000 | 115,000,000 |
Plan amendments | 0 | 0 | |
Actuarial loss (gain) | 59,000,000 | (1,329,000,000) | |
Foreign exchange valuation adjustment | 0 | 0 | |
Benefit payments | (130,000,000) | (130,000,000) | |
Benefit obligation at December 31 | 3,928,000,000 | 3,809,000,000 | 5,140,000,000 |
Change in plan assets: | |||
Fair value at January 1 | 3,076,000,000 | 4,157,000,000 | |
Return on plan assets | 324,000,000 | (954,000,000) | |
Company contributions | 3,000,000 | 3,000,000 | |
Foreign exchange valuation adjustment | 0 | 0 | |
Benefit payments | (130,000,000) | (130,000,000) | |
Fair value at December 31 | 3,273,000,000 | 3,076,000,000 | 4,157,000,000 |
Funded status of the plan | (655,000,000) | (733,000,000) | |
Unrecognized net loss | 1,695,000,000 | 1,689,000,000 | |
Unrecognized prior service benefit (cost) | 0 | 0 | |
Prepaid pension cost | 1,040,000,000 | 956,000,000 | |
Components of prepaid (accrued) pension cost: | |||
Current benefit liability | (2,000,000) | (3,000,000) | |
Non-current benefit liability | (653,000,000) | (730,000,000) | |
Non-current benefit asset | 0 | 0 | |
Deferred income taxes | 403,000,000 | 403,000,000 | |
Accumulated other comprehensive loss | 1,292,000,000 | 1,286,000,000 | |
Prepaid pension cost | 1,040,000,000 | 956,000,000 | |
Non U.S. | Pension Benefit Plans | |||
Change in benefit obligation: | |||
Benefit obligation at January 1 | 1,207,000,000 | 1,935,000,000 | |
Service cost | 1,000,000 | 1,000,000 | 1,000,000 |
Interest cost | 56,000,000 | 29,000,000 | 21,000,000 |
Plan amendments | 0 | 0 | |
Actuarial loss (gain) | 62,000,000 | (534,000,000) | |
Foreign exchange valuation adjustment | 66,000,000 | (174,000,000) | |
Benefit payments | (45,000,000) | (50,000,000) | |
Benefit obligation at December 31 | 1,347,000,000 | 1,207,000,000 | 1,935,000,000 |
Change in plan assets: | |||
Fair value at January 1 | 1,092,000,000 | 1,870,000,000 | |
Return on plan assets | 56,000,000 | (555,000,000) | |
Company contributions | 9,000,000 | 8,000,000 | |
Foreign exchange valuation adjustment | 60,000,000 | (181,000,000) | |
Benefit payments | (45,000,000) | (50,000,000) | |
Fair value at December 31 | 1,172,000,000 | 1,092,000,000 | $ 1,870,000,000 |
Funded status of the plan | (175,000,000) | (115,000,000) | |
Unrecognized net loss | 829,000,000 | 758,000,000 | |
Unrecognized prior service benefit (cost) | (67,000,000) | (70,000,000) | |
Prepaid pension cost | 587,000,000 | 573,000,000 | |
Components of prepaid (accrued) pension cost: | |||
Current benefit liability | 0 | 0 | |
Non-current benefit liability | (210,000,000) | (185,000,000) | |
Non-current benefit asset | 35,000,000 | 70,000,000 | |
Deferred income taxes | 102,000,000 | 83,000,000 | |
Accumulated other comprehensive loss | 660,000,000 | 605,000,000 | |
Prepaid pension cost | $ 587,000,000 | $ 573,000,000 |
Retirement Benefits - Weighted
Retirement Benefits - Weighted Average Actuarial Assumptions Used to Determine Costs for the Plans (Details) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Pension Benefit Plans | United States | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 5.09% | 2.52% |
Investment return assumption | 7.87% | 6.76% |
Pension Benefit Plans | Non U.S. | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 4.68% | 1.68% |
Investment return assumption | 6.18% | 4.78% |
Postretirement Health Care Benefits Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 5.05% | 2.78% |
Investment return assumption | 8% | 6.90% |
Retirement Benefits - Weighte_2
Retirement Benefits - Weighted Average Actuarial Assumptions Used to Determine Benefit Obligations for the Plans (Details) | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Pension Benefit Plans | United States | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 5.01% | 5.20% | 2.98% |
Pension Benefit Plans | Non U.S. | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 4.30% | 4.60% | 1.82% |
Future compensation increase rate | 0.67% | 0.67% | |
Postretirement Health Care Benefits Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 4.92% | 5.10% |
Retirement Benefits - Accumulat
Retirement Benefits - Accumulated and Projected Benefit Obligations for the Plans (Details) - Pension Benefit Plans - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
United States | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | $ 3,928 | $ 3,809 |
Projected benefit obligation | 3,928 | 3,809 |
Fair value of plan assets | 3,273 | 3,076 |
Non U.S. | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | 1,346 | 1,206 |
Projected benefit obligation | 1,347 | 1,207 |
Fair value of plan assets | $ 1,172 | $ 1,092 |
Retirement Benefits - Plan Targ
Retirement Benefits - Plan Target and Actual Asset Allocation (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Equity securities | All Pension Benefit Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Mix | 26% | 25% |
Actual Mix | 26% | 25% |
Equity securities | Postretirement Health Care Benefits Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Mix | 28% | 28% |
Actual Mix | 28% | 28% |
Fixed income securities | All Pension Benefit Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Mix | 56% | 57% |
Actual Mix | 56% | 56% |
Fixed income securities | Postretirement Health Care Benefits Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Mix | 51% | 52% |
Actual Mix | 52% | 52% |
Cash and other investments | All Pension Benefit Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Mix | 18% | 18% |
Actual Mix | 18% | 19% |
Cash and other investments | Postretirement Health Care Benefits Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Mix | 21% | 20% |
Actual Mix | 20% | 20% |
Retirement Benefits - Expected
Retirement Benefits - Expected Future Benefit Payments (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Postretirement Health Care Benefits Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
2024 | $ 15 |
2025 | 14 |
2026 | 12 |
2027 | 11 |
2028 | 9 |
2029-2033 | 30 |
United States | Pension Benefit Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2024 | 183 |
2025 | 205 |
2026 | 224 |
2027 | 242 |
2028 | 260 |
2029-2033 | 1,409 |
Non U.S. | Pension Benefit Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2024 | 47 |
2025 | 50 |
2026 | 51 |
2027 | 52 |
2028 | 53 |
2029-2033 | $ 271 |
Share-Based Compensation and _3
Share-Based Compensation and Other Incentive Plans - Additional Information (Details) $ / shares in Units, shares in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) purchase_period $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) $ / shares shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average contractual life for options outstanding | 4 years | ||
Weighted average contractual life for options exercisable | 3 years | ||
Shares available for future share-based award grants under the current compensation plan (in shares) | shares | 7.2 | 8.3 | |
Cash received from stock option exercises and the employee stock purchase plan | $ 104,000,000 | $ 156,000,000 | $ 102,000,000 |
Share-based compensation expense, net of forfeitures | 212,000,000 | 172,000,000 | 129,000,000 |
Motorola Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense, net of forfeitures | $ 205,000,000 | 165,000,000 | 161,000,000 |
Long Range Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 3 years | ||
Share-based compensation expense, net of forfeitures | $ 0 | $ 4,000,000 | $ 8,000,000 |
Stock Options and Stock Appreciation Rights | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Option exercise price not less than value of common stock | 100% | ||
Change of control condition | 24 months | ||
Stock Options and Stock Appreciation Rights | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award expiration period | 5 years | ||
Award vesting period | 2 years | ||
Stock Options and Stock Appreciation Rights | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award expiration period | 10 years | ||
Award vesting period | 3 years | ||
RSU's | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Change of control condition | 24 months | ||
Forfeiture rate | 15% | ||
Performance Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Option exercise price not less than value of common stock | 100% | ||
Award expiration period | 10 years | ||
Award performance period | 3 years | ||
Estimated fair value of granted shares (USD per share) | $ / shares | $ 122.55 | $ 84.73 | $ 60.42 |
Market Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 3 years | ||
Market stock units, minimum payout factor | 60% | ||
Market stock units, maximum payout factor | 200% | ||
Market stock units payout factor, threshold consecutive calendar days | 30 days | ||
Estimated fair value of granted shares (USD per share) | $ / shares | $ 299.32 | 244.13 | 184.71 |
Performance Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 3 years | ||
Award performance period | 3 years | ||
Estimated fair value of granted shares (USD per share) | $ / shares | $ 348.27 | $ 249.51 | $ 203.57 |
Employee Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
ESPP common stock payroll deductions after-tax, maximum percentage | 20% | ||
Maximum annual limit for purchase of stock under ESPP | $ 25,000 | ||
Purchase under ESPP lower than fair market value, percentage | 85% | ||
Number of purchase periods per year | purchase_period | 2 | ||
Shares purchased by employees (in shares) | shares | 0.4 | 0.4 | 0.6 |
Unrecognized compensation expense | $ 5,000,000 | ||
Employee Stock | October 1st through March 31st | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Purchase price paid by employees (USD per share) | $ / shares | $ 194.62 | $ 199.16 | $ 133.27 |
Employee Stock | April 1st through September 30th | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Purchase price paid by employees (USD per share) | $ / shares | 231.40 | 190.37 | 160.11 |
Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Purchase price paid by employees (USD per share) | $ / shares | 89 | ||
Weighted-average estimated fair value of employee stock options granted (USD per share) | $ / shares | $ 73.04 | $ 67.18 | $ 41.57 |
Estimated option fair value forfeiture rate | 10% | ||
Share based awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation expense | $ 243,000,000 | ||
Unrecognized compensation expense, period for recognition | 3 years | ||
Aggregate fair value of outstanding RSUs | $ 505,000,000 | ||
Equity Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total intrinsic value of options exercised | 152,000,000 | $ 292,000,000 | $ 186,000,000 |
Aggregate intrinsic value for options outstanding | 413,000,000 | ||
Aggregate intrinsic value for options exercisable | $ 355,000,000 | ||
Share price (USD per share) | $ / shares | $ 313.09 |
Share-Based Compensation and _4
Share-Based Compensation and Other Incentive Plans - Valuation Assumptions (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility of common stock | 24.40% | 29.20% | 27.30% |
Risk-free interest rate | 4.20% | 2.50% | 0.80% |
Dividend yield | 1.60% | 1.90% | 2.20% |
Expected life (years) | 5 years 10 months 24 days | 6 years 7 months 6 days | 5 years 10 months 24 days |
Performance Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility of common stock | 25.10% | 29.70% | 28.50% |
Expected volatility of the S&P 500 | 33.30% | 39.20% | 38.70% |
Risk-free interest rate | 4.10% | 2% | 1.20% |
Dividend yield | 1.70% | 2% | 2.30% |
Expected life (years) | 6 years 6 months | 6 years 6 months | 6 years 6 months |
Market Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility of common stock | 25.10% | 29.70% | 28.50% |
Risk-free interest rate | 4.50% | 1.90% | 0.30% |
Dividend yield | 1.50% | 1.60% | 1.80% |
Performance Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility of common stock | 25.10% | 29.70% | 28.50% |
Expected volatility of the S&P 500 | 33.30% | 39.20% | 38.70% |
Risk-free interest rate | 4.60% | 1.80% | 0.30% |
Dividend yield | 1.40% | 1.60% | 1.80% |
Share-Based Compensation and _5
Share-Based Compensation and Other Incentive Plans - Stock Options Outstanding and Exercisable (Details) shares in Thousands | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Options Outstanding | |
No. of options (in shares) | shares | 2,364 |
Wtd. avg. contractual life | 4 years |
Options Exercisable | |
No. of options (in shares) | shares | 1,707 |
Wtd. avg. contractual life | 3 years |
$51-$70 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, minimum (USD per share) | $ 51 |
Exercise price range, maximum (USD per share) | $ 70 |
Options Outstanding | |
No. of options (in shares) | shares | 209 |
Wtd. avg. Exercise Price (USD per share) | $ 67 |
Wtd. avg. contractual life | 1 year |
Options Exercisable | |
No. of options (in shares) | shares | 209 |
Wtd. avg. Exercise Price (USD per share) | $ 67 |
Wtd. avg. contractual life | 1 year |
$71-$90 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, minimum (USD per share) | $ 71 |
Exercise price range, maximum (USD per share) | $ 90 |
Options Outstanding | |
No. of options (in shares) | shares | 714 |
Wtd. avg. Exercise Price (USD per share) | $ 77 |
Wtd. avg. contractual life | 3 years |
Options Exercisable | |
No. of options (in shares) | shares | 714 |
Wtd. avg. Exercise Price (USD per share) | $ 77 |
Wtd. avg. contractual life | 3 years |
$91-$110 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, minimum (USD per share) | $ 91 |
Exercise price range, maximum (USD per share) | $ 110 |
Options Outstanding | |
No. of options (in shares) | shares | 208 |
Wtd. avg. Exercise Price (USD per share) | $ 108 |
Wtd. avg. contractual life | 4 years |
Options Exercisable | |
No. of options (in shares) | shares | 208 |
Wtd. avg. Exercise Price (USD per share) | $ 108 |
Wtd. avg. contractual life | 4 years |
$111-$130 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, minimum (USD per share) | $ 111 |
Exercise price range, maximum (USD per share) | $ 130 |
Options Outstanding | |
No. of options (in shares) | shares | 46 |
Wtd. avg. Exercise Price (USD per share) | $ 120 |
Wtd. avg. contractual life | 5 years |
Options Exercisable | |
No. of options (in shares) | shares | 46 |
Wtd. avg. Exercise Price (USD per share) | $ 120 |
Wtd. avg. contractual life | 5 years |
$131-$150 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, minimum (USD per share) | $ 131 |
Exercise price range, maximum (USD per share) | $ 150 |
Options Outstanding | |
No. of options (in shares) | shares | 243 |
Wtd. avg. Exercise Price (USD per share) | $ 139 |
Wtd. avg. contractual life | 5 years |
Options Exercisable | |
No. of options (in shares) | shares | 243 |
Wtd. avg. Exercise Price (USD per share) | $ 139 |
Wtd. avg. contractual life | 5 years |
$151-$170 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, minimum (USD per share) | $ 151 |
Exercise price range, maximum (USD per share) | $ 170 |
Options Outstanding | |
No. of options (in shares) | shares | 199 |
Wtd. avg. Exercise Price (USD per share) | $ 156 |
Wtd. avg. contractual life | 6 years |
Options Exercisable | |
No. of options (in shares) | shares | 196 |
Wtd. avg. Exercise Price (USD per share) | $ 155 |
Wtd. avg. contractual life | 6 years |
$171-$190 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, minimum (USD per share) | $ 171 |
Exercise price range, maximum (USD per share) | $ 190 |
Options Outstanding | |
No. of options (in shares) | shares | 244 |
Wtd. avg. Exercise Price (USD per share) | $ 180 |
Wtd. avg. contractual life | 7 years |
Options Exercisable | |
No. of options (in shares) | shares | 41 |
Wtd. avg. Exercise Price (USD per share) | $ 180 |
Wtd. avg. contractual life | 7 years |
$191 and over | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price range, minimum (USD per share) | $ 191 |
Options Outstanding | |
No. of options (in shares) | shares | 501 |
Wtd. avg. Exercise Price (USD per share) | $ 244 |
Wtd. avg. contractual life | 9 years |
Options Exercisable | |
No. of options (in shares) | shares | 50 |
Wtd. avg. Exercise Price (USD per share) | $ 228 |
Wtd. avg. contractual life | 8 years |
Share-Based Compensation and _6
Share-Based Compensation and Other Incentive Plans - Options, Performance Options, RSUs, and Market Stock Units (Details) shares in Thousands | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
No. of Options Outstanding | |
Balance at end of period (in shares) | 2,364 |
Awards exercisable (in shares) | 1,707 |
Stock Options | |
No. of Options Outstanding | |
Balance at end of period (in shares) | 996 |
Granted (in shares) | 120 |
Releases/Exercised (in shares) | (547) |
Forfeited/Canceled (in shares) | (3) |
Balance at end of period (in shares) | 566 |
Awards exercisable (in shares) | 297 |
Wtd. Avg. Exercise Price of Shares | |
Balance at end of period (USD per share) | $ / shares | $ 128 |
Granted (USD per share) | $ / shares | 272 |
Releases/Exercised (USD per share) | $ / shares | 89 |
Forfeited/Canceled (USD per share) | $ / shares | 225 |
Balance at end of period (USD per share) | $ / shares | 191 |
Awards exercisable (USD per share) | $ / shares | $ 149 |
Restricted Stock Units | |
No. of Non-Vested Awards | |
Balance at beginning of period (in shares) | 1,211 |
Granted (in shares) | 715 |
Releases/Exercised (in shares) | (521) |
Forfeited/Canceled (in shares) | (63) |
Balance at end of period (in shares) | 1,342 |
Awards exercisable (in shares) | 0 |
Wtd. Avg. Grant Date Fair Value | |
Outstanding at beginning of period (USD per share) | $ / shares | $ 211 |
Granted (USD per share) | $ / shares | 259 |
Releases/Exercised (USD per share) | $ / shares | 191 |
Forfeited/Canceled (USD per share) | $ / shares | 224 |
Outstanding at end of period (USD per share) | $ / shares | 224 |
Awards exercisable (USD per share) | $ / shares | $ 0 |
Restricted Stock | |
No. of Non-Vested Awards | |
Balance at beginning of period (in shares) | 114 |
Granted (in shares) | 23 |
Releases/Exercised (in shares) | (52) |
Forfeited/Canceled (in shares) | 0 |
Balance at end of period (in shares) | 85 |
Awards exercisable (in shares) | 0 |
Wtd. Avg. Grant Date Fair Value | |
Outstanding at beginning of period (USD per share) | $ / shares | $ 224 |
Granted (USD per share) | $ / shares | 311 |
Releases/Exercised (USD per share) | $ / shares | 225 |
Forfeited/Canceled (USD per share) | $ / shares | 0 |
Outstanding at end of period (USD per share) | $ / shares | 244 |
Awards exercisable (USD per share) | $ / shares | $ 0 |
Performance Options | |
No. of Non-Vested Awards | |
Balance at beginning of period (in shares) | 1,775 |
Granted (in shares) | 105 |
Releases/Exercised (in shares) | (161) |
Adjustment for payout factor (in shares) | 79 |
Forfeited/Canceled (in shares) | 0 |
Balance at end of period (in shares) | 1,798 |
Awards exercisable (in shares) | 1,410 |
Wtd. Avg. Grant Date Fair Value | |
Outstanding at beginning of period (USD per share) | $ / shares | $ 112 |
Granted (USD per share) | $ / shares | 265 |
Releases/Exercised (USD per share) | $ / shares | 118 |
Adjustment for payout factor (USD per share) | $ / shares | 140 |
Forfeited/Canceled (USD per share) | $ / shares | 0 |
Outstanding at end of period (USD per share) | $ / shares | 122 |
Awards exercisable (USD per share) | $ / shares | $ 96 |
Market Stock Units | |
No. of Non-Vested Awards | |
Balance at beginning of period (in shares) | 103 |
Granted (in shares) | 43 |
Releases/Exercised (in shares) | (79) |
Adjustment for payout factor (in shares) | 24 |
Forfeited/Canceled (in shares) | (2) |
Balance at end of period (in shares) | 89 |
Awards exercisable (in shares) | 0 |
Wtd. Avg. Grant Date Fair Value | |
Outstanding at beginning of period (USD per share) | $ / shares | $ 192 |
Granted (USD per share) | $ / shares | 289 |
Releases/Exercised (USD per share) | $ / shares | 166 |
Adjustment for payout factor (USD per share) | $ / shares | 122 |
Forfeited/Canceled (USD per share) | $ / shares | 135 |
Outstanding at end of period (USD per share) | $ / shares | 254 |
Awards exercisable (USD per share) | $ / shares | $ 0 |
Performance Stock Units | |
No. of Non-Vested Awards | |
Balance at beginning of period (in shares) | 169 |
Granted (in shares) | 73 |
Releases/Exercised (in shares) | (51) |
Adjustment for payout factor (in shares) | 22 |
Forfeited/Canceled (in shares) | 0 |
Balance at end of period (in shares) | 213 |
Awards exercisable (in shares) | 0 |
Wtd. Avg. Grant Date Fair Value | |
Outstanding at beginning of period (USD per share) | $ / shares | $ 226 |
Granted (USD per share) | $ / shares | 339 |
Releases/Exercised (USD per share) | $ / shares | 261 |
Adjustment for payout factor (USD per share) | $ / shares | 261 |
Forfeited/Canceled (USD per share) | $ / shares | 0 |
Outstanding at end of period (USD per share) | $ / shares | 264 |
Awards exercisable (USD per share) | $ / shares | $ 0 |
Share-Based Compensation and _7
Share-Based Compensation and Other Incentive Plans - Schedule of Compensation Expense (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense included in Operating earnings | $ 212 | $ 172 | $ 129 |
Tax benefit | 43 | 34 | 15 |
Share-based compensation expense, net of tax | $ 169 | $ 138 | $ 114 |
Decrease in basic earnings per share (USD per share) | $ (1.01) | $ (0.82) | $ (0.67) |
Decrease in diluted earnings per share (USD per share) | $ (0.98) | $ (0.80) | $ (0.66) |
Costs of sales | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense included in Operating earnings | $ 40 | $ 28 | $ 16 |
Selling, general and administrative expenses | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense included in Operating earnings | 116 | 98 | 79 |
Research and development expenditures | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense included in Operating earnings | $ 56 | $ 46 | $ 34 |
Fair Value Measurements - Inves
Fair Value Measurements - Investments and Derivatives (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Assets: | ||
Common stock and equivalents | $ 28 | $ 21 |
Recurring | Common stock and equivalents | ||
Assets: | ||
Common stock and equivalents | 28 | 21 |
Recurring | Foreign exchange derivative contracts | ||
Assets: | ||
Derivative assets | 13 | 15 |
Liabilities: | ||
Derivative liabilities | 4 | 5 |
Recurring | Equity Swap | Estimate of Fair Value Measurement | ||
Assets: | ||
Derivative assets | 1 | |
Recurring | Treasury rate lock | Estimate of Fair Value Measurement | ||
Liabilities: | ||
Derivative liabilities | 0 | |
Level 1 | Recurring | Common stock and equivalents | ||
Assets: | ||
Common stock and equivalents | 28 | 21 |
Level 1 | Recurring | Foreign exchange derivative contracts | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 1 | Recurring | Equity Swap | ||
Assets: | ||
Derivative assets | 1 | |
Level 1 | Recurring | Treasury rate lock | ||
Liabilities: | ||
Derivative liabilities | 0 | |
Level 2 | Recurring | Common stock and equivalents | ||
Assets: | ||
Common stock and equivalents | 0 | 0 |
Level 2 | Recurring | Foreign exchange derivative contracts | ||
Assets: | ||
Derivative assets | 13 | 15 |
Liabilities: | ||
Derivative liabilities | 4 | $ 5 |
Level 2 | Recurring | Equity Swap | ||
Assets: | ||
Derivative assets | 0 | |
Level 2 | Recurring | Treasury rate lock | ||
Liabilities: | ||
Derivative liabilities | $ 12 |
Fair Value Measurements - U.S.
Fair Value Measurements - U.S. Pension Benefit Plans (Details) - Pension Benefit Plans - UNITED STATES - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | $ 3,273 | $ 3,076 | $ 4,157 |
Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 3,273 | 3,076 | |
Recurring | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 3,232 | 3,014 | |
Recurring | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 27 | 48 | |
Recurring | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 1,709 | 1,647 | |
Recurring | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 192 | 159 | |
Recurring | Corporate fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 894 | 863 | |
Recurring | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 253 | 186 | |
Recurring | Private assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 157 | 111 | |
Recurring | Accrued income receivable | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 23 | 45 | |
Recurring | Cash | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 18 | 17 | |
Recurring | Level 1 | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 1,510 | 1,393 | |
Recurring | Level 1 | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 27 | 48 | |
Recurring | Level 1 | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 1,230 | 1,159 | |
Recurring | Level 1 | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 1 | Corporate fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 1 | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 253 | 186 | |
Recurring | Level 1 | Private assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 2 | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 1,565 | 1,510 | |
Recurring | Level 2 | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 2 | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 479 | 488 | |
Recurring | Level 2 | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 192 | 159 | |
Recurring | Level 2 | Corporate fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 894 | 863 | |
Recurring | Level 2 | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 2 | Private assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 3 | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 157 | 111 | |
Recurring | Level 3 | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 3 | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 3 | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 3 | Corporate fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 3 | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 3 | Private assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | $ 157 | $ 111 |
Fair Value Measurements - Chang
Fair Value Measurements - Changes in Fair Value of Level 3 Assets (Details) - Level 3 - Pension Benefit Plans $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
UNITED STATES | |
Change in plan assets: | |
Beginning balance | $ 111 |
Actual return on plan assets | 10 |
Purchases | 36 |
Ending balance | 157 |
Non U.S. | |
Change in plan assets: | |
Beginning balance | 5 |
Purchases | 2 |
Ending balance | $ 7 |
Fair Value Measurements - Non-U
Fair Value Measurements - Non-U.S. Pension Benefit Plans (Details) - Pension Benefit Plans - Non U.S. - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | $ 1,172 | $ 1,092 | $ 1,870 |
Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 1,172 | 1,092 | |
Recurring | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 1,104 | 922 | |
Recurring | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 60 | 55 | |
Recurring | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 321 | 293 | |
Recurring | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 663 | 491 | |
Recurring | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 60 | 83 | |
Recurring | Cash | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 5 | 3 | |
Recurring | Accrued income receivable | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 16 | 121 | |
Recurring | Insurance contracts | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 47 | 46 | |
Recurring | Level 1 | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 409 | 390 | |
Recurring | Level 1 | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 60 | 55 | |
Recurring | Level 1 | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 289 | 252 | |
Recurring | Level 1 | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 1 | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 60 | 83 | |
Recurring | Level 2 | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 695 | 532 | |
Recurring | Level 2 | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Recurring | Level 2 | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 32 | 41 | |
Recurring | Level 2 | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 663 | 491 | |
Recurring | Level 2 | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | $ 0 | $ 0 |
Fair Value Measurements - Postr
Fair Value Measurements - Postretirement Health Care Plan (Details) - Postretirement Health Care Benefits Plan - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | $ 134 | $ 134 | $ 186 |
Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 134 | 134 | |
Recurring | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 133 | 132 | |
Recurring | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 1 | 2 | |
Recurring | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 69 | 71 | |
Recurring | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 8 | 7 | |
Recurring | Corporate fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 38 | 39 | |
Recurring | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 10 | 8 | |
Recurring | Private assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 7 | 5 | |
Recurring | Accrued income receivable | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 1 | 2 | |
Level 1 | Recurring | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 60 | 59 | |
Level 1 | Recurring | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 1 | 2 | |
Level 1 | Recurring | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 49 | 49 | |
Level 1 | Recurring | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 1 | Recurring | Corporate fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 1 | Recurring | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 10 | 8 | |
Level 1 | Recurring | Private assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 2 | Recurring | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 66 | 68 | |
Level 2 | Recurring | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 2 | Recurring | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 20 | 22 | |
Level 2 | Recurring | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 8 | 7 | |
Level 2 | Recurring | Corporate fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 38 | 39 | |
Level 2 | Recurring | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 2 | Recurring | Private assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 3 | Recurring | Total investment securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 7 | 5 | |
Level 3 | Recurring | Equities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 3 | Recurring | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 3 | Recurring | Government fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 3 | Recurring | Corporate fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 3 | Recurring | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | 0 | 0 | |
Level 3 | Recurring | Private assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value plan assets | $ 7 | $ 5 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments in money market mutual funds classified as cash and cash equivalents | $ 863 | $ 490 |
Recurring | Level 2 | Senior Debt Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt | 1,600 | 1,300 |
Recurring | Fair Value | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt | $ 6,400 | $ 5,900 |
Long-term Financing and Sales_3
Long-term Financing and Sales of Receivables - Summary (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Receivables [Abstract] | ||
Long-term receivables, gross | $ 36 | $ 40 |
Less allowance for losses | (2) | (2) |
Long-term receivables | 34 | 38 |
Less current portion | (13) | (13) |
Non-current long-term receivables | $ 21 | $ 25 |
Long-term Financing and Sales_4
Long-term Financing and Sales of Receivables - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Receivables [Abstract] | |||
Interest income recognized on long-term receivables | $ 0 | $ 1 | $ 1 |
Commitments to provide long-term financing | 103 | 65 | |
Servicing obligations for long-term receivables | $ 813 | $ 891 |
Long-term Financing and Sales_5
Long-term Financing and Sales of Receivables - Proceeds Received from Non-Recourse Sales of Accounts Receivable and Long-Term Receivables (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Receivables [Abstract] | |||
Contract-specific discounting facility | $ 0 | $ 49 | $ 211 |
Accounts receivable sales proceeds | 96 | 179 | 56 |
Long-term receivables sales proceeds | 182 | 204 | 248 |
Total proceeds from receivable sales | $ 278 | $ 432 | $ 515 |
Long-term Financing and Sales_6
Long-term Financing and Sales of Receivables - Credit Quality of Long-Term Receivables and Allowance for Credit Losses (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Total Long-term Receivable | $ 36 | $ 40 |
Financing receivables | 13 | 13 |
Current Billed Due | ||
Debt Instrument [Line Items] | ||
Financing receivables | 2 | 1 |
Past Due Under 90 Days | ||
Debt Instrument [Line Items] | ||
Financing receivables | 1 | 1 |
Past Due Over 90 Days | ||
Debt Instrument [Line Items] | ||
Financing receivables | 2 | 3 |
Municipal leases secured tax exempt | ||
Debt Instrument [Line Items] | ||
Total Long-term Receivable | 15 | 22 |
Municipal leases secured tax exempt | Current Billed Due | ||
Debt Instrument [Line Items] | ||
Financing receivables | 1 | 1 |
Municipal leases secured tax exempt | Past Due Under 90 Days | ||
Debt Instrument [Line Items] | ||
Financing receivables | 1 | 1 |
Municipal leases secured tax exempt | Past Due Over 90 Days | ||
Debt Instrument [Line Items] | ||
Financing receivables | 1 | 1 |
Commercial loans and leases secured | ||
Debt Instrument [Line Items] | ||
Total Long-term Receivable | 21 | 18 |
Commercial loans and leases secured | Current Billed Due | ||
Debt Instrument [Line Items] | ||
Financing receivables | 1 | 0 |
Commercial loans and leases secured | Past Due Under 90 Days | ||
Debt Instrument [Line Items] | ||
Financing receivables | 0 | 0 |
Commercial loans and leases secured | Past Due Over 90 Days | ||
Debt Instrument [Line Items] | ||
Financing receivables | $ 1 | $ 2 |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Millions | 12 Months Ended | |||||||||
Dec. 22, 2022 USD ($) | Feb. 11, 2022 USD ($) legalEntities | Aug. 10, 2021 USD ($) | Jan. 08, 2021 USD ($) | Feb. 14, 2020 USD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Sep. 01, 2023 USD ($) | Oct. 15, 2021 USD ($) | |
Purchase Obligation, Fiscal Year Maturity [Abstract] | ||||||||||
Total payments expected under purchase arrangements | $ 469 | |||||||||
Total payments expected in 2024 | 131 | |||||||||
Total payments expected in 2025 | 78 | |||||||||
Total payments expected in 2026 | 73 | |||||||||
Total payments expected in 2027 | 66 | |||||||||
Total payments expected in 2028 | 63 | |||||||||
Total payments expected after 2028 | 58 | |||||||||
Hytera Litigation | ||||||||||
Purchase Obligation, Fiscal Year Maturity [Abstract] | ||||||||||
Compensatory damages | $ 345.8 | |||||||||
Punitive damages | 418.8 | |||||||||
Litigation settlement awarded | $ 543.7 | $ 764.6 | ||||||||
Pre-judgement interest amount | $ 51.1 | |||||||||
Settlement cost | $ 2.6 | |||||||||
Attorneys' fees | $ 34.2 | |||||||||
Escrow deposit | $ 56 | |||||||||
Gain on Hytera legal settlement | ||||||||||
Purchase Obligation, Fiscal Year Maturity [Abstract] | ||||||||||
Legal entities | legalEntities | 2 | |||||||||
Legal settlements | $ 2 | $ 13 | $ 0 | $ 15 | $ 0 |
Information by Segment and Ge_3
Information by Segment and Geographic Region - Additional Information (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) segment | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of reportable segments | segment | 2 | ||
Net sales | $ 9,978 | $ 9,112 | $ 8,171 |
Products and Systems Integration | |||
Segment Reporting Information [Line Items] | |||
Net sales | $ 6,242 | 5,728 | 5,033 |
Products and Systems Integration | Sales Revenue, Segment | Product Concentration Risk | |||
Segment Reporting Information [Line Items] | |||
Percentage of net sales | 63% | ||
Software and Services | |||
Segment Reporting Information [Line Items] | |||
Net sales | $ 3,736 | $ 3,384 | $ 3,138 |
Software and Services | Sales Revenue, Segment | Product Concentration Risk | |||
Segment Reporting Information [Line Items] | |||
Percentage of net sales | 37% |
Information by Segment and Ge_4
Information by Segment and Geographic Region - Net Sales and Operating Earnings by Segment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 9,978 | $ 9,112 | $ 8,171 |
Operating Earnings | 2,294 | 1,661 | 1,667 |
Total other expense | (148) | (146) | (115) |
Net earnings before income taxes | 2,146 | 1,515 | 1,552 |
Products and Systems Integration | |||
Segment Reporting Information [Line Items] | |||
Net sales | 6,242 | 5,728 | 5,033 |
Operating Earnings | 1,244 | 913 | 760 |
Software and Services | |||
Segment Reporting Information [Line Items] | |||
Net sales | 3,736 | 3,384 | 3,138 |
Operating Earnings | $ 1,050 | $ 748 | $ 907 |
Information by Segment and Ge_5
Information by Segment and Geographic Region - Corporate Related Expenses and Assets (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||
Capital Expenditures | $ 253 | $ 256 | $ 243 |
Depreciation Expense | 179 | 183 | 202 |
Products and Systems Integration | |||
Segment Reporting Information [Line Items] | |||
Capital Expenditures | 97 | 77 | 90 |
Depreciation Expense | 83 | 79 | 87 |
Software and Services | |||
Segment Reporting Information [Line Items] | |||
Capital Expenditures | 156 | 179 | 153 |
Depreciation Expense | $ 96 | $ 104 | $ 115 |
Information by Segment and Ge_6
Information by Segment and Geographic Region - Geographic Area Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | $ 9,978 | $ 9,112 | $ 8,171 |
Assets | 13,336 | 12,814 | 12,189 |
United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 6,559 | 6,008 | 5,236 |
Assets | 10,207 | 9,227 | 9,420 |
United Kingdom | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 769 | 789 | 849 |
Assets | 2,034 | 2,321 | 1,588 |
Canada | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 373 | 366 | 324 |
Assets | 362 | 394 | 950 |
Other, net of eliminations | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net Sales | 2,277 | 1,949 | 1,762 |
Assets | $ 733 | $ 872 | $ 231 |
Reorganization of Businesses -
Reorganization of Businesses - Additional Information (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) employee | Dec. 31, 2022 USD ($) employee | Dec. 31, 2021 USD ($) | |
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | $ 53 | $ 36 | $ 32 |
Adjustments | 12 | 10 | (10) |
Restructuring reserve | 28 | 36 | 34 |
Exit of video manufacturing operations | $ 24 | 0 | 0 |
Number of employees expected to be separated (in number of employees) | employee | 75 | ||
Costs of sales | |||
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | $ 7 | 18 | 8 |
Other charges | |||
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | 46 | 18 | 24 |
Employee separation costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | 41 | $ 36 | 42 |
Adjustments | $ 7 | ||
Restructuring charges in the period for total employee severance (in number of employees) | employee | 700 | 460 | |
Restructuring charges in the period for direct employees' severance (in number of employees) | employee | 420 | 310 | |
Restructuring charges in the period for indirect employees' severance (in number of employees) | employee | 280 | 150 | |
Exit costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | $ 0 | ||
Adjustments | 5 | ||
Restructuring reserve | 5 | $ 10 | |
Exit Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | 10 | ||
Adjustments | 0 | ||
Restructuring reserve | $ 10 | $ 0 | |
Other Restructuring | |||
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | $ 24 |
Reorganization of Businesses _2
Reorganization of Businesses - Net Charges Incurred by Business Segment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | $ 53 | $ 36 | $ 32 |
Products and Systems Integration | |||
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | 45 | 21 | 25 |
Software and Services | |||
Restructuring Cost and Reserve [Line Items] | |||
Reorganization of business charges | $ 8 | $ 15 | $ 7 |
Reorganization of Businesses _3
Reorganization of Businesses - Reorganization of Businesses Accruals (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Reserve [Roll Forward] | |||
Accruals at January 1 | $ 36 | $ 34 | |
Additional Charges | 53 | 36 | $ 32 |
Adjustments | (12) | (10) | 10 |
Amount Used | (37) | (34) | |
Accruals at December 31 | 28 | 36 | 34 |
Reorganization costs | |||
Restructuring Reserve [Roll Forward] | |||
Accruals at January 1 | 26 | 34 | |
Additional Charges | 41 | 36 | |
Adjustments | (7) | (10) | |
Amount Used | (37) | (34) | |
Accruals at December 31 | 23 | 26 | 34 |
Exit costs | |||
Restructuring Reserve [Roll Forward] | |||
Accruals at January 1 | 10 | ||
Additional Charges | 0 | ||
Adjustments | (5) | ||
Amount Used | 0 | ||
Accruals at December 31 | 5 | 10 | |
Exit Costs | |||
Restructuring Reserve [Roll Forward] | |||
Accruals at January 1 | 10 | 0 | |
Additional Charges | 10 | ||
Adjustments | 0 | ||
Amount Used | 0 | ||
Accruals at December 31 | 10 | 0 | |
Employee separation costs | |||
Restructuring Reserve [Roll Forward] | |||
Additional Charges | 41 | 36 | $ 42 |
Adjustments | $ (7) | ||
Reorganization And Exit Costs | |||
Restructuring Reserve [Roll Forward] | |||
Additional Charges | $ 46 |
Intangible Assets and Goodwil_2
Intangible Assets and Goodwill - Recent Acquisitions (Details) - USD ($) $ in Millions | 12 Months Ended | |||||||||||||
Dec. 15, 2023 | Dec. 14, 2022 | Oct. 25, 2022 | Aug. 08, 2022 | May 12, 2022 | Apr. 19, 2022 | Mar. 23, 2022 | Mar. 03, 2022 | Dec. 16, 2021 | Oct. 29, 2021 | Jul. 15, 2021 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Business Acquisition [Line Items] | ||||||||||||||
Goodwill | $ 3,401 | $ 3,312 | $ 2,565 | |||||||||||
Gain on TETRA Ireland equity method investment | $ 0 | $ 21 | $ 0 | |||||||||||
IPVideo | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 170 | |||||||||||||
Contingent consideration | $ 15 | |||||||||||||
Contingent consideration | 2 | |||||||||||||
Share-based compensation fair value | $ 5 | |||||||||||||
Goodwill | 109 | |||||||||||||
Intangible assets | 72 | |||||||||||||
Acquired liabilities | 11 | |||||||||||||
IPVideo | Trade names | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | 8 | |||||||||||||
Intangible assets estimated useful lives | 8 years | |||||||||||||
IPVideo | Developed technology | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | 58 | |||||||||||||
Intangible assets estimated useful lives | 15 years | |||||||||||||
IPVideo | Customer relationships | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 6 | |||||||||||||
Intangible assets estimated useful lives | 12 years | |||||||||||||
Rave Mobile | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 553 | |||||||||||||
Share-based compensation fair value | $ 2 | |||||||||||||
Share-based compensation arrangement, award requisite service period | 2 years | |||||||||||||
Goodwill | $ 400 | |||||||||||||
Intangible assets | 212 | |||||||||||||
Net liabilities | 59 | |||||||||||||
Rave Mobile | Trade names | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 9 | |||||||||||||
Intangible assets estimated useful lives | 9 years | |||||||||||||
Rave Mobile | Developed technology | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 82 | |||||||||||||
Intangible assets estimated useful lives | 17 years | |||||||||||||
Rave Mobile | Customer relationships | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 121 | |||||||||||||
Intangible assets estimated useful lives | 17 years | |||||||||||||
Futurecom Systems Group, ULC | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 30 | |||||||||||||
Goodwill | 10 | |||||||||||||
Intangible assets | 11 | |||||||||||||
Net liabilities | $ 9 | |||||||||||||
Intangible assets estimated useful lives | 6 years | |||||||||||||
Barrett Communications Pty Ltd | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 18 | |||||||||||||
Goodwill | 1 | |||||||||||||
Intangible assets | $ 3 | |||||||||||||
Intangible assets estimated useful lives | 7 years | |||||||||||||
Recognized identifiable assets acquired and liabilities assumed, net assets | $ 14 | |||||||||||||
Barrett Communications Pty Ltd | Trade names | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | 1 | |||||||||||||
Barrett Communications Pty Ltd | Developed technology | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 2 | |||||||||||||
Videotec S.p.A. | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 23 | |||||||||||||
Share-based compensation fair value | $ 4 | |||||||||||||
Share-based compensation arrangement, award requisite service period | 1 year | |||||||||||||
Goodwill | $ 9 | |||||||||||||
Intangible assets | 6 | |||||||||||||
Recognized identifiable assets acquired and liabilities assumed, net assets | $ 8 | |||||||||||||
Videotec S.p.A. | Developed technology | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets estimated useful lives | 4 years | |||||||||||||
Calipsa, Inc | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 39 | |||||||||||||
Share-based compensation fair value | $ 4 | |||||||||||||
Share-based compensation arrangement, award requisite service period | 2 years | |||||||||||||
Goodwill | $ 24 | |||||||||||||
Intangible assets | 21 | |||||||||||||
Net liabilities | 6 | |||||||||||||
Calipsa, Inc | Developed technology | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 20 | |||||||||||||
Intangible assets estimated useful lives | 15 years | |||||||||||||
Calipsa, Inc | Customer relationships | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 1 | |||||||||||||
Intangible assets estimated useful lives | 3 years | |||||||||||||
TETRA Ireland Communications Limited | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 120 | |||||||||||||
Goodwill | 47 | |||||||||||||
Intangible assets | 90 | |||||||||||||
Recognized identifiable assets acquired and liabilities assumed, net assets | 6 | |||||||||||||
Gain on TETRA Ireland equity method investment | 21 | |||||||||||||
TETRA Ireland Communications Limited | Trade names | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 7 | |||||||||||||
Intangible assets estimated useful lives | 14 years | |||||||||||||
TETRA Ireland Communications Limited | Customer relationships | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 83 | |||||||||||||
Intangible assets estimated useful lives | 12 years | |||||||||||||
Ava Security Limited | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 388 | |||||||||||||
Share-based compensation fair value | $ 7 | |||||||||||||
Share-based compensation arrangement, award requisite service period | 2 years | |||||||||||||
Goodwill | $ 267 | |||||||||||||
Intangible assets | 165 | |||||||||||||
Net liabilities | 44 | |||||||||||||
Ava Security Limited | Developed technology | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 144 | |||||||||||||
Intangible assets estimated useful lives | 14 years | |||||||||||||
Ava Security Limited | Customer relationships | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 21 | |||||||||||||
Intangible assets estimated useful lives | 2 years | |||||||||||||
911 Datamaster | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 35 | |||||||||||||
Share-based compensation fair value | 3 | |||||||||||||
Goodwill | 21 | |||||||||||||
Intangible assets | 16 | |||||||||||||
Recognized identifiable assets acquired and liabilities assumed, net assets | $ 2 | |||||||||||||
Average service period | 2 years | |||||||||||||
911 Datamaster | Developed technology | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 7 | |||||||||||||
Intangible assets estimated useful lives | 9 years | |||||||||||||
911 Datamaster | Customer relationships | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 9 | |||||||||||||
Intangible assets estimated useful lives | 14 years | |||||||||||||
Envysion | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 124 | |||||||||||||
Share-based compensation fair value | 1 | |||||||||||||
Goodwill | 79 | |||||||||||||
Intangible assets | 37 | |||||||||||||
Recognized identifiable assets acquired and liabilities assumed, net assets | $ 8 | |||||||||||||
Average service period | 1 year | |||||||||||||
Envysion | Trade names | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 5 | |||||||||||||
Intangible assets estimated useful lives | 9 years | |||||||||||||
Envysion | Developed technology | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 6 | |||||||||||||
Intangible assets estimated useful lives | 4 years | |||||||||||||
Envysion | Customer relationships | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 26 | |||||||||||||
Intangible assets estimated useful lives | 15 years | |||||||||||||
Openpath | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Cash paid for acquisition | $ 298 | |||||||||||||
Share-based compensation fair value | 29 | |||||||||||||
Goodwill | 234 | |||||||||||||
Intangible assets | 73 | |||||||||||||
Net liabilities | $ 9 | |||||||||||||
Average service period | 3 years | |||||||||||||
Potential earn-out payment | $ 40 | |||||||||||||
Openpath | Developed technology | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 57 | |||||||||||||
Intangible assets estimated useful lives | 16 years | |||||||||||||
Openpath | Customer relationships | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Intangible assets | $ 16 | |||||||||||||
Intangible assets estimated useful lives | 2 years |
Intangible Assets and Goodwil_3
Intangible Assets and Goodwill - Intangible Assets (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 2,829 | $ 2,701 | |
Accumulated Amortization | 1,574 | 1,359 | |
Intangible Assets And Goodwill | |||
Amortization expense on intangibles | 177 | 257 | $ 236 |
Finite-Lived Intangible Assets, Future Amortization Expense | |||
2024 | 145 | ||
2025 | 132 | ||
2026 | 123 | ||
2027 | 113 | ||
2028 | 112 | ||
Developed technology | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 1,156 | 1,083 | |
Accumulated Amortization | 447 | 358 | |
Patents | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 2 | 2 | |
Accumulated Amortization | 2 | 2 | |
Customer-related | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 1,566 | 1,519 | |
Accumulated Amortization | 1,055 | 935 | |
Other intangibles | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 105 | 97 | |
Accumulated Amortization | $ 70 | $ 64 |
Intangible Assets and Goodwil_4
Intangible Assets and Goodwill - Amortized Intangible Assets, Excluding Goodwill, by Business Segment (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 2,829 | $ 2,701 |
Accumulated Amortization | 1,574 | 1,359 |
Products and Systems Integration | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 985 | 913 |
Accumulated Amortization | 337 | 261 |
Software and Services | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 1,844 | 1,788 |
Accumulated Amortization | $ 1,237 | $ 1,098 |
Intangible Assets and Goodwil_5
Intangible Assets and Goodwill - Carrying Amount of Goodwill (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Goodwill Activity | ||
Beginning balance | $ 3,312,000,000 | $ 2,565,000,000 |
Goodwill acquired | 109,000,000 | 800,000,000 |
Purchase accounting adjustments | (31,000,000) | (31,000,000) |
Foreign currency translation | 11,000,000 | (22,000,000) |
Ending balance | 3,401,000,000 | 3,312,000,000 |
Impairment of goodwill | 0 | 0 |
Products and Systems Integration | ||
Goodwill Activity | ||
Beginning balance | 1,461,000,000 | 1,236,000,000 |
Goodwill acquired | 109,000,000 | 227,000,000 |
Purchase accounting adjustments | (2,000,000) | (2,000,000) |
Foreign currency translation | 0 | 0 |
Ending balance | 1,568,000,000 | 1,461,000,000 |
Software and Services | ||
Goodwill Activity | ||
Beginning balance | 1,851,000,000 | 1,329,000,000 |
Goodwill acquired | 0 | 573,000,000 |
Purchase accounting adjustments | (29,000,000) | (29,000,000) |
Foreign currency translation | 11,000,000 | (22,000,000) |
Ending balance | $ 1,833,000,000 | $ 1,851,000,000 |
Valuation and Qualifying Acco_3
Valuation and Qualifying Accounts (Details) - Allowance for credit losses - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | $ 61 | $ 70 | $ 75 |
Charged to Earnings | 29 | 28 | 22 |
Used | (21) | (36) | (26) |
Adjustments | 0 | (1) | (1) |
Balance at End of Period | $ 69 | $ 61 | $ 70 |