QUALCOMM INC/DE, 10-Q filed on 2/2/2022
Quarterly Report
v3.22.0.1
Cover Page - shares
shares in Millions
 3 Months Ended
Dec. 26, 2021
Jan. 31, 2022
Cover [Abstract]    
Entity Registrant Name QUALCOMM INC/DE  
Entity Central Index Key 0000804328  
Document Fiscal Year Focus 2022  
Document Fiscal Period Focus Q1  
Amendment Flag false  
Current Fiscal Year End Date --09-25  
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Dec. 26, 2021  
Document Transition Report false  
Entity File Number 0-19528  
Entity Registrant State of Incorporation DE  
Entity Employer ID 95-3685934  
Entity Address 5775 Morehouse Dr.  
Entity City San Diego  
Entity State CA  
Entity Zip Code 92121-1714  
City Area Code (858)  
Entity Phone Number 587-1121  
Title of 12(b) Security Common Stock, $0.0001 par value  
Trading Symbol QCOM  
Security Exchange Name NASDAQ  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   1,127
v3.22.0.1
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
shares in Millions, $ in Millions
Dec. 26, 2021
Sep. 26, 2021
Current assets:    
Cash and cash equivalents $ 6,607 $ 7,116
Marketable securities 4,703 5,298
Accounts receivable, net 4,032 3,579
Inventories 3,861 3,228
Other current assets 1,019 854
Total current assets 20,222 20,075
Deferred tax assets 1,454 1,591
Property, plant and equipment, net 4,723 4,559
Goodwill 7,264 7,246
Other intangible assets, net 1,373 1,458
Other assets 7,784 6,311
Total assets 42,820 41,240
Current liabilities:    
Trade accounts payable 3,526 2,750
Payroll and other benefits related liabilities 1,440 1,531
Unearned revenues 604 612
Short-term debt 2,042 2,044
Other current liabilities 4,661 5,014
Total current liabilities 12,273 11,951
Unearned revenues 257 364
Income taxes payable 1,687 1,713
Long-term debt 13,708 13,701
Other liabilities 3,562 3,561
Total liabilities 31,487 31,290
Commitments and contingencies (Note 5)
Stockholders’ equity:    
Preferred stock, $0.0001 par value; 8 shares authorized; none outstanding $ 0 $ 0
Preferred stock, par value $ 0.0001 $ 0.0001
Preferred stock, shares authorized 8 8
Preferred stock, shares outstanding 0 0
Common stock and paid-in capital, $0.0001 par value; 6,000 shares authorized; 1,125 and 1,125 shares issued and outstanding, respectively $ 0 $ 0
Common stock, par value $ 0.0001 $ 0.0001
Common stock, shares authorized 6,000 6,000
Common stock, shares, issued 1,125 1,125
Common stock, shares, outstanding 1,125 1,125
Retained earnings $ 11,275 $ 9,822
Accumulated other comprehensive income 58 128
Total stockholders’ equity 11,333 9,950
Total liabilities and stockholders’ equity $ 42,820 $ 41,240
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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
shares in Millions, $ in Millions
 3 Months Ended
Dec. 26, 2021
Dec. 27, 2020
Revenues:    
Equipment and services $ 8,682 $ 6,442
Licensing 2,023 1,793
Total revenues 10,705 8,235
Costs and expenses:    
Cost of revenues 4,303 3,489
Research and development 1,930 1,653
Selling, general and administrative 608 567
Total costs and expenses 6,841 5,709
Operating income 3,864 2,526
Interest expense (139) (141)
Investment and other income, net 140 219
Income before income taxes 3,865 2,604
Income tax expense (466) (149)
Net income $ 3,399 $ 2,455
Basic earnings per share $ 3.02 $ 2.16
Diluted earnings per share $ 2.98 $ 2.12
Shares used in per share calculations:    
Basic 1,124 1,134
Diluted 1,142 1,156
v3.22.0.1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($)
$ in Millions
 3 Months Ended
Dec. 26, 2021
Dec. 27, 2020
Statement of Comprehensive Income [Abstract]    
Net income $ 3,399 $ 2,455
Other comprehensive (loss) income, net of income taxes:    
Foreign currency translation (losses) gains (42) 87
Net unrealized (losses) gains on available-for-sale debt securities (19) 3
Net unrealized gains on derivative instruments 2 10
Other losses 0 (3)
Certain reclassifications included in net income (11) (11)
Total other comprehensive (loss) income (70) 86
Comprehensive income $ 3,329 $ 2,541
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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Millions
 3 Months Ended
Dec. 26, 2021
Dec. 27, 2020
Operating Activities:    
Net income $ 3,399 $ 2,455
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization expense 406 364
Income tax provision in excess of income tax payments 272 53
Share-based compensation expense 496 392
Net gains on marketable securities and other investments (103) (195)
Other items, net (25) (18)
Changes in assets and liabilities:    
Accounts receivable, net (454) (141)
Inventories (638) 62
Other assets (1,504) (97)
Trade accounts payable 781 129
Payroll, benefits and other liabilities (495) 278
Unearned revenues (78) (107)
Net cash provided by operating activities 2,057 3,175
Investing Activities:    
Capital expenditures (583) (469)
Purchases of debt and equity marketable securities (517) (2,248)
Proceeds from sales and maturities of debt and equity marketable securities 1,133 1,612
Acquisitions and other investments, net of cash acquired (238) (138)
Proceeds from other investments 93 10
Other items, net 0 31
Net cash used by investing activities (112) (1,202)
Financing Activities:    
Proceeds from short-term debt 710 819
Repayment of short-term debt (710) (818)
Repurchases and retirements of common stock (1,178) (444)
Dividends paid (765) (739)
Payments of tax withholdings related to vesting of share-based awards (500) (449)
Other items, net (3) (14)
Net cash used by financing activities (2,446) (1,645)
Effect of exchange rate changes on cash and cash equivalents (8) 41
Net (decrease) increase in total cash and cash equivalents (509) 369
Total cash and cash equivalents at beginning of period 7,116 6,707
Total cash and cash equivalents at end of period $ 6,607 $ 7,076
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CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)
$ in Millions
Total
Common stock and paid-in capital
Retained earnings
Accumulated other comprehensive income
Balance at beginning of period at Sep. 27, 2020 $ 6,077 $ 586 $ 5,284 $ 207
Common stock issued under employee benefit plans   1    
Repurchases and retirements of common stock   (444) 0  
Share-based compensation   419    
Tax withholdings related to vesting of share-based payments   (449)    
Net income 2,455   2,455  
Dividends     (765)  
Other comprehensive (loss) income       86
Balance at end of period at Dec. 27, 2020 $ 7,380 113 6,974 293
Dividends per share announced $ 0.65      
Balance at beginning of period at Sep. 26, 2021 $ 9,950 0 9,822 128
Common stock issued under employee benefit plans   1    
Repurchases and retirements of common stock   (22) (1,156)  
Share-based compensation   521    
Tax withholdings related to vesting of share-based payments   (500)    
Net income 3,399   3,399  
Dividends     (790)  
Other comprehensive (loss) income       (70)
Balance at end of period at Dec. 26, 2021 $ 11,333 $ 0 $ 11,275 $ 58
Dividends per share announced $ 0.68      
v3.22.0.1
Basis of Presentation and Significant Accounting Policies Update
 3 Months Ended
Dec. 26, 2021
Basis of Presentation [Abstract]  
Basis of Presentation and Significant Accounting Policies Update Basis of Presentation and Significant Accounting Policies Update
Financial Statement Preparation. These condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and the instructions to Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, the interim financial information includes all normal recurring adjustments necessary for a fair statement of the results for the interim periods. These condensed consolidated financial statements are unaudited and should be read in conjunction with our Annual Report on Form 10-K for our fiscal year ended September 26, 2021. Operating results for interim periods are not necessarily indicative of operating results for an entire fiscal year. We operate and report using a 52-53 week fiscal year ending on the last Sunday in September. Each of the three months ended December 26, 2021 and December 27, 2020 included 13 weeks.
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in our condensed consolidated financial statements and the accompanying notes. Actual results could differ from those estimates. Certain prior year amounts have been reclassified to conform to the current year presentation.
v3.22.0.1
Composition of Certain Financial Statement Items
 3 Months Ended
Dec. 26, 2021
Condensed Financial Information Disclosure [Abstract]  
Composition of Certain Financial Statement Items Composition of Certain Financial Statement Items
Inventories (in millions)
December 26,
2021		September 26,
2021
Raw materials$243 $267 
Work-in-process2,125 1,475 
Finished goods1,493 1,486 
$3,861 $3,228 
Revenues. We disaggregate our revenues by segment (Note 6), by products and services (as presented on our condensed consolidated statement of operations), and for our QCT (Qualcomm CDMA Technologies) segment, by revenue stream, which is based on industry and application in which our products are sold (as presented below). In certain cases, the determination of QCT revenues by industry and application requires the use of certain assumptions. Substantially all of QCT’s revenues consist of equipment revenues that are recognized at a point in time, and substantially all of QTL’s (Qualcomm Technology Licensing) revenues represent licensing revenues that are recognized over time and are principally from royalties generated through our licensees’ sales of mobile handsets. QCT revenue streams were as follows (in millions):
Three Months Ended
December 26,
2021		December 27,
2020
Handsets (1)$5,983 $4,216 
RFFE (2) 1,132 1,061 
Automotive (3)256 212 
IoT (internet of things) (4)1,476 1,044 
Total QCT revenues$8,847 $6,533 
(1) Includes revenues from products sold for use in mobile handsets, excluding RFFE (radio frequency front-end) components.
(2) Includes all revenues from sales of 4G, 5G sub-6 and 5G millimeter wave RFFE products (a substantial portion of which are sold for use in mobile handsets) and excludes radio frequency transceiver components.
(3) Includes revenues from products sold for use in automobiles, including telematics, connectivity and digital cockpit.
(4) Primarily includes products sold for use in the following industries and applications: consumer (including computing, voice and music and XR), edge networking (including mobile broadband and wireless access points) and industrial (including handhelds, retail, transportation and logistics and utilities).
Revenues recognized from performance obligations satisfied (or partially satisfied) in previous periods were as follows (in millions):
Three Months Ended
December 26,
2021 (1)		December 27,
2020 (2)
Revenues recognized from previously satisfied performance obligations$242 $110 
(1) Primarily related to certain QCT sales-based royalty revenues related to system software, QTL royalty revenues recognized related to devices sold in prior periods (including adjustments to prior period royalty estimates, which includes the impact of the reporting by our licensees of actual royalties due) and certain QCT customer incentives.
(2) Primarily related to QTL royalty revenues recognized related to devices sold in prior periods (including adjustments to prior period royalty estimates, which includes the impact of the reporting by our licensees of actual royalties due) and certain QCT customer incentives.
Unearned revenues (which are considered contract liabilities) consist primarily of license fees for intellectual property with continuing performance obligations. In the three months ended December 26, 2021 and December 27, 2020, we recognized revenues of $187 million and $185 million, respectively, that were recorded as unearned revenues at September 26, 2021 and September 27, 2020, respectively.
Remaining performance obligations, substantially all of which are included in unearned revenues, represent the aggregate amount of the transaction price of certain customer contracts yet to be recognized as revenues as of the end of the reporting period and exclude revenues related to (a) contracts that have an original expected duration of one year or less and (b) sales-based royalties (i.e., future royalty revenues) pursuant to our license agreements. Our remaining performance obligations are primarily comprised of certain customer contracts for which QTL received license fees upfront. At December 26, 2021, we had $969 million of remaining performance obligations, of which $508 million, $332 million, $94 million, $33 million and $2 million was expected to be recognized as revenues for the remainder of fiscal 2022 and each of the subsequent four years from fiscal 2023 through 2026, respectively, and no amounts expected thereafter.
Concentrations. A significant portion of our revenues are concentrated with a small number of customers/licensees of our QCT and QTL segments. The comparability of customer/licensee concentrations for the interim periods presented are impacted by the timing of customer/licensees device launches and/or innovation cycles and other seasonal trends, among other fluctuations in demand. Revenues from each customer/licensee that were 10% or greater of total revenues were as follows:
Three Months Ended
December 26,
2021		December 27,
2020
Customer/licensee (x)26 %34 %
Customer/licensee (y)19 13 
Customer/licensee (z)*10 
* Less than 10%
Investment and Other Income, Net (in millions)
Three Months Ended
December 26,
2021		December 27,
2020
Interest and dividend income$17 $21 
Net gains on marketable securities17 118 
Net gains on other investments93 34 
Net gains on deferred compensation plan assets13 54 
Impairment losses on other investments(1)(1)
Net (losses) gains on derivative investments (13)9 
Equity in net earnings (losses) of investees7 (2)
Net gains (losses) on foreign currency transactions7 (14)
$140 $219 
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Income Taxes
 3 Months Ended
Dec. 26, 2021
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
We estimate our annual effective income tax rate to be 14% for fiscal 2022, which is lower than the U.S. federal statutory rate primarily due to a significant portion of our income qualifying for preferential treatment as foreign-derived intangible income (FDII) at a 13% effective tax rate, excess tax benefits associated with share-based awards and benefits from our federal research and development tax credit. Our effective tax rate of 12% for the first quarter of fiscal 2022 was lower than our estimated annual effective tax rate of 14% primarily due to $103 million of discrete net tax benefits recorded in the first quarter of fiscal 2022, which principally related to excess tax benefits associated with share-based awards that vested in the first fiscal quarter. Our effective tax rate of 6% for the first quarter of fiscal 2021 included $212 million of discrete net tax benefits recorded in the first quarter of fiscal 2021, which principally related to excess tax benefits associated with share-based awards that vested in that quarter, foreign currency gains on a noncurrent receivable related to our refund claim of Korean withholding tax and valuation allowance release on foreign tax credit carryforwards.
Unrecognized tax benefits were $2.1 billion at both December 26, 2021 and September 26, 2021 and primarily related to our refund claim of Korean withholding tax. If successful, the refund will result in a corresponding reduction in U.S. foreign tax credits. We expect that the total amount of unrecognized tax benefits at December 26, 2021 will increase in the next 12 months as licensees in Korea continue to withhold taxes on future payments due under their licensing agreements at a rate higher than we believe is owed; such increase is not expected to have a significant impact on our income tax provision.
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Capital Stock
 3 Months Ended
Dec. 26, 2021
Stockholders' Equity Attributable to Parent [Abstract]  
Capital Stock Capital Stock
Stock Repurchase Program. On October 12, 2021, we announced a new $10.0 billion stock repurchase program, which was in addition to the then-remaining repurchase authority of $0.9 billion under the previous program. The stock repurchase programs have no expiration date. At December 26, 2021, $10.1 billion remained authorized for repurchase under our stock repurchase programs.
Shares Outstanding. Shares of common stock outstanding at December 26, 2021 were as follows (in millions):
Three Months Ended
December 26,
2021
Balance at beginning of period1,125 
Issued8 
Repurchased(8)
Balance at end of period1,125 
Dividends. On January 18, 2022, we announced a cash dividend of $0.68 per share on our common stock, payable on March 24, 2022 to stockholders of record as of the close of business on March 3, 2022.
Earnings Per Common Share. Basic earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding during the reporting period. Diluted earnings per share is computed by dividing net income by the combination of the weighted-average number of dilutive common share equivalents, comprised of shares issuable under our share-based compensation plans and the weighted-average number of common shares outstanding during the reporting period. The following table provides information about the diluted earnings per share calculation (in millions):
 Three Months Ended
December 26,
2021		December 27,
2020
Dilutive common share equivalents included in diluted shares18 22 
Shares of common stock equivalents not included because the effect would be anti-dilutive or certain performance conditions were not satisfied at the end of the period— — 
v3.22.0.1
Commitments and Contingencies
 3 Months Ended
Dec. 26, 2021
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Legal and Regulatory Proceedings.
Consolidated Securities Class Action Lawsuit: On January 23, 2017 and January 26, 2017, securities class action complaints were filed by purported stockholders of us in the United States District Court for the Southern District of California against us and certain of our former officers and directors. The complaints alleged, among other things, that we violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 thereunder, by making false and misleading statements and omissions of material fact in connection with certain allegations that we are or were engaged in anticompetitive conduct. The complaints sought unspecified damages, interest, fees and costs. On May 4, 2017, the court consolidated the two actions. On July 3, 2017, the plaintiffs filed a consolidated amended complaint asserting the same basic theories of liability and requesting the same basic relief. On September 1, 2017, we filed a motion to dismiss the consolidated amended complaint, and on March 18, 2019, the court denied our motion. On January 15, 2020, we filed a motion for judgment on the pleadings. A hearing on the motion was held on February 2, 2022. We believe the plaintiffs’ claims are without merit.
In re Qualcomm/Broadcom Merger Securities Litigation: On June 8, 2018 and June 26, 2018, securities class action complaints were filed by purported stockholders of us in the United States District Court for the Southern District of California against us and two of our then current officers. The complaints alleged, among other things, that we violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 thereunder, by failing to disclose that we had submitted a notice to the Committee on Foreign Investment in the United States (CFIUS) in January 2018. The complaints sought unspecified damages, interest, fees and costs. On March 18, 2019, the plaintiffs filed a consolidated complaint asserting the same basic theories of liability and requesting the same basic relief. On May 10, 2019, we filed a motion to dismiss the consolidated complaint, and on March 10, 2020, the court granted our motion. On May 11, 2020, the plaintiffs filed a second amended complaint, and on October 8, 2020, the court granted our motion to dismiss the case with prejudice. On November 7, 2020, the plaintiffs filed a notice of appeal with the United States Court of Appeals for the Ninth Circuit (Ninth Circuit), and a hearing on the appeal was held on November 16, 2021. The Ninth Circuit has not yet issued a ruling. We believe the plaintiffs’ claims are without merit.
Consumer Class Action Lawsuits: Since January 18, 2017, a number of consumer class action complaints have been filed against us in the United States District Courts for the Southern and Northern Districts of California, each on behalf of a putative class of purchasers of cellular phones and other cellular devices. In April 2017, the Judicial Panel on Multidistrict Litigation transferred the cases that had been filed in the Southern District of California to the Northern District of California. On July 11, 2017, the plaintiffs filed a consolidated amended complaint alleging that we violated California and federal antitrust and unfair competition laws by, among other things, refusing to license standard-essential patents to our competitors, conditioning the supply of certain of our baseband chipsets on the purchaser first agreeing to license our entire patent portfolio, entering into exclusive deals with companies, including Apple Inc., and charging unreasonably high royalties that do not comply with our commitments to standard setting organizations. The complaint seeks unspecified damages and disgorgement and/or restitution, as well as an order that we be enjoined from further unlawful conduct. On August 11, 2017, we filed a motion to dismiss the consolidated amended complaint. On November 10, 2017, the court denied our motion, except to the extent that certain claims seek damages under the Sherman Antitrust Act. On July 5, 2018, the plaintiffs filed a motion for class certification, and on September 27, 2018, the court granted that motion. On January 23, 2019, the Ninth
Circuit granted us permission to appeal the court’s class certification order, and on January 24, 2019, the court stayed the case pending our appeal. On December 2, 2019, a hearing on our appeal of the class certification order was held before the Ninth Circuit, and on September 29, 2021, the Ninth Circuit vacated the district court’s class certification order, ruling that the court had failed to correctly assess the propriety of applying California law to a nationwide class. The Ninth Circuit remanded the case to the district court and instructed the court to consider the effect of United States Federal Trade Commission (FTC) v. QUALCOMM Incorporated (which the Ninth Circuit decided in favor of Qualcomm in August 2020) on this case. We believe the plaintiffs’ claims are without merit.
Since November 2017, several other consumer class action complaints have been filed against us in Canada (in the Ontario Superior Court of Justice, the Supreme Court of British Columbia and the Quebec Superior Court), Israel (in the Haifa District Court) and the United Kingdom (in the Competition Appeal Tribunal), each on behalf of a putative class of purchasers of cellular phones and other cellular devices, alleging violations of certain of those countries’ competition and consumer protection laws. The claims in these complaints are similar to those in the U.S. consumer class action complaints. The complaints seek damages. We believe the plaintiffs’ claims are without merit.
ParkerVision, Inc. v. QUALCOMM Incorporated: On May 1, 2014, ParkerVision filed a complaint against us in the United States District Court for the Middle District of Florida alleging that certain of our products infringed seven ParkerVision patents. On August 21, 2014, ParkerVision amended the complaint, alleging that we infringed 11 ParkerVision patents and sought damages and injunctive and other relief. ParkerVision has subsequently reduced the number of patents asserted to three. The asserted patents are now expired, and injunctive relief is no longer available. ParkerVision continues to seek damages related to the sale of many of our radio frequency (RF) products sold between 2008 and 2018. From January 24, 2022 to January 25, 2022, the court held a hearing on various summary judgment and evidentiary motions. The court has not yet ruled on the motions, and no trial date has been set. We believe that ParkerVision’s claims are without merit.
Korea Fair Trade Commission (KFTC) Investigation (2015): On March 17, 2015, the KFTC notified us that it was conducting an investigation of us relating to the Korean Monopoly Regulation and Fair Trade Act (MRFTA). On December 27, 2016, the KFTC announced that it had reached a decision in the investigation, finding that we violated provisions of the MRFTA. On January 22, 2017, we received the KFTC’s formal written decision, which found that the following conducts violate the MRFTA: (i) refusing to license, or imposing restrictions on licenses for, cellular communications standard-essential patents with competing modem chipset makers; (ii) conditioning the supply of modem chipsets to handset suppliers on their execution and performance of license agreements with us; and (iii) coercing agreement terms including portfolio license terms, royalty terms and free cross-grant terms in executing patent license agreements with handset makers. The KFTC’s decision orders us to: (a) upon request by modem chipset companies, engage in good-faith negotiations for patent license agreements, without offering unjustifiable conditions, and if necessary submit to a determination of terms by an independent third party; (b) not demand that handset companies execute and perform under patent license agreements as a precondition for purchasing modem chipsets; (c) not demand unjustifiable conditions in our license agreements with handset companies and, upon request, renegotiate existing patent license agreements; and (d) notify modem chipset companies and handset companies of the decision and order imposed on us and report to the KFTC new or amended agreements. According to the KFTC’s decision, the foregoing will apply to transactions between us and the following enterprises: (1) handset manufacturers headquartered in Korea and their affiliate companies; (2) enterprises that sell handsets in or to Korea and their affiliate companies; (3) enterprises that supply handsets to companies referred to in (2) above and the affiliate companies of such enterprises; (4) modem chipset manufacturers headquartered in Korea and their affiliate companies; and (5) enterprises that supply modem chipsets to companies referred to in (1), (2) or (3) above and the affiliate companies of such enterprises. The KFTC’s decision also imposed a fine of 1.03 trillion Korean won (approximately $927 million), which we paid on March 30, 2017.
On February 21, 2017, we filed an action in the Seoul High Court to cancel the KFTC’s decision. The Seoul High Court held hearings concluding on August 14, 2019, and on December 4, 2019, announced its judgment affirming certain portions of the KFTC’s decision and finding other portions of the KFTC’s decision unlawful. The Seoul High Court cancelled the KFTC’s remedial orders described in (c) above, and solely insofar as they correspond thereto, the Seoul High Court cancelled the KFTC’s remedial orders described in (d) above. The Seoul High Court dismissed the remainder of our action to cancel the KFTC’s decision. On December 19, 2019, we filed a notice of appeal to the Korea Supreme Court challenging those portions of the Seoul High Court decision that are not in our favor. The KFTC filed a notice of appeal to the Korea Supreme Court challenging the portions of the Seoul High Court decision that are not in its favor. Both we and the KFTC have filed briefs on the merits. The Korea Supreme Court has not yet ruled on our appeal or that of the KFTC. We believe that our business practices do not violate the MRFTA.
Korea Fair Trade Commission (KFTC) Investigation (2020): On June 8, 2020, the KFTC informed us that it was conducting an investigation of us relating to the MRFTA. The KFTC has not provided a formal notice on the scope of its investigation, but we believe it concerns our business practices in connection with our sale of radio frequency front-end (RFFE) components. We continue to cooperate with the KFTC as it conducts its investigation. If a violation is found, a broad range of remedies is potentially available to the KFTC, including imposing a fine (of up to 3% of our sales in the relevant markets during the alleged period of violation) and/or injunctive relief prohibiting or restricting certain business practices. It is difficult to predict the outcome of this matter or what remedies, if any, may be imposed by the KFTC. We believe that our business practices do not violate the MRFTA.
Icera Complaint to the European Commission (EC): On June 7, 2010, the EC notified and provided us with a redacted copy of a complaint filed with the EC by Icera, Inc. (subsequently acquired by Nvidia Corporation) alleging that we were engaged in anticompetitive activity. On July 16, 2015, the EC announced that it had initiated formal proceedings in this matter. On July 18, 2019, the EC issued a decision finding that between 2009 and 2011, we engaged in predatory pricing by selling certain baseband chipsets to two customers at prices below cost with the intention of hindering competition and imposed a fine of approximately 242 million euros. On October 1, 2019, we filed an appeal of the EC’s decision with the General Court of the European Union. The court has not yet ruled on our appeal. We believe that our business practices do not violate the European Union (EU) competition rules.
In the third quarter of fiscal 2019, we recorded a charge of $275 million to other expenses related to this EC fine. We provided a financial guarantee in the first quarter of fiscal 2020 to satisfy the obligation in lieu of cash payment while we appeal the EC’s decision. The fine is accruing interest at a rate of 1.50% per annum while it is outstanding. In the fourth quarter of fiscal 2019, we designated the liability as a hedge of our net investment in certain foreign subsidiaries, with gains and losses recorded in accumulated other comprehensive income as a component of the foreign currency translation adjustment. At December 26, 2021, the liability, including related foreign currency gains and accrued interest (which, to the extent they were not related to the net investment hedge, were recorded in investment and other income, net), was $283 million and included in other current liabilities.
European Commission (EC) Investigation: On October 15, 2014, the EC notified us that it was conducting an investigation of us relating to Articles 101 and/or 102 of the Treaty on the Functioning of the European Union (TFEU). On January 24, 2018, the EC issued a decision finding that pursuant to an agreement with Apple Inc. we paid significant amounts to Apple on the condition that it exclusively use our baseband chipsets in its smartphones and tablets, reducing Apple’s incentives to source baseband chipsets from our competitors and harming competition and innovation for certain baseband chipsets, and imposed a fine of 997 million euros. On April 6, 2018, we filed an appeal of the EC’s decision with the General Court of the European Union. From May 4, 2021 to May 6, 2021, a hearing on our appeal was held before the court. The court has not yet issued a ruling. We believe that our business practices do not violate the EU competition rules.
In the first quarter of fiscal 2018, we recorded a charge of $1.2 billion to other expenses related to this EC fine. We provided financial guarantees in the third quarter of fiscal 2018 to satisfy the obligation in lieu of cash payment while we appeal the EC’s decision. The fine is accruing interest at a rate of 1.50% per annum while it is outstanding. In the first quarter of fiscal 2019, we designated the liability as a hedge of our net investment in certain foreign subsidiaries, with gains and losses recorded in accumulated other comprehensive income as a component of the foreign currency translation adjustment. At December 26, 2021, the liability, including related foreign currency gains and accrued interest (which, to the extent they were not related to the net investment hedge, were recorded in investment and other income, net), was $1.2 billion and included in other current liabilities.
Contingent Losses and Other Considerations: We will continue to vigorously defend ourselves in the foregoing matters. However, litigation and investigations are inherently uncertain, and we face difficulties in evaluating or estimating likely outcomes or ranges of possible loss, particularly in antitrust and trade regulation investigations. Other than with respect to the EC fines, we have not recorded any accrual at December 26, 2021 for contingent losses associated with these matters based on our belief that losses, while reasonably possible, are not probable. Further, any possible amount or range of loss cannot be reasonably estimated at this time. The unfavorable resolution of one or more of these matters could have a material adverse effect on our business, results of operations, financial condition or cash flows. We are engaged in numerous other legal actions not described above arising in the ordinary course of our business (for example, proceedings relating to employment matters or the initiation or defense of proceedings relating to intellectual property rights) and, while there can be no assurance, we believe that the ultimate outcome of these other legal actions will not have a material adverse effect on our business, results of operations, financial condition or cash flows.
v3.22.0.1
Segment Information
 3 Months Ended
Dec. 26, 2021
Segment Reporting [Abstract]  
Segment Information Segment Information
We are organized on the basis of products and services and have three reportable segments. Our operating segments reflect the way our businesses and management/reporting structure are organized internally and the way our Chief Operating Decision Maker (CODM), who is our CEO, reviews financial information, makes operating decisions and assesses business performance. We also consider, among other items, the way budgets and forecasts are prepared and reviewed and the basis on which executive compensation is determined, as well as the similarity of activities within our operating segments, such as the nature of products, the level of shared products, technology and other resources, production processes and customer base. We conduct business primarily through our QCT semiconductor business and our QTL licensing business. QCT develops and supplies integrated circuits and system software based on 3G/4G/5G and other technologies, including RFFE, for use in mobile devices, automotive systems for telematics, connectivity and digital cockpit and IoT including wireless networks, broadband gateway equipment, consumer electronic devices and industrial devices. QTL grants licenses or otherwise provides rights to use portions of our intellectual property portfolio, which includes certain patent rights essential to and/or useful in the manufacture and sale of certain wireless products. Our QSI (Qualcomm Strategic Initiatives) reportable segment makes strategic investments. We also have nonreportable segments, including QGOV (Qualcomm Government Technologies) and our cloud AI inference processing initiative and other technology and service initiatives.
Our CODM allocates resources to and evaluates the performance of our segments based on revenues and earnings (loss) before income taxes (EBT). Segment EBT includes the allocation of certain corporate expenses to the segments, including depreciation and amortization expense related to unallocated corporate assets. Certain income and charges are not allocated to segments in our management reports because they are not considered in evaluating the segments’ operating performance. Unallocated income and charges include certain interest expense, certain net investment income, certain share-based compensation, gains and losses on our deferred compensation plan liabilities and related assets and certain research and development expenses, certain selling, general and administrative expenses and other expenses or income that were deemed to be not directly related to the businesses of the segments. Additionally, unallocated charges include recognition of the step-up of inventories and property, plant and equipment to fair value, amortization of certain intangible assets and certain other acquisition-related charges, third-party acquisition and integration services costs and certain other items, which may include major restructuring and restructuring-related costs, asset impairment charges and awards, settlements and/or damages arising from legal or regulatory matters. Our CODM does not evaluate our operating segments using discrete asset information.
The table below presents revenues and EBT for reportable segments (in millions):
Three Months Ended
December 26,
2021		December 27,
2020
Revenues
QCT$8,847 $6,533 
QTL1,818 1,660 
QSI8 9 
Reconciling items32 33 
Total$10,705 $8,235 
EBT
QCT$3,114 $1,919 
QTL1,406 1,270 
QSI122 158 
Reconciling items(777)(743)
Total$3,865 $2,604 
Reconciling items for revenues and EBT in the previous table were as follows (in millions):
Three Months Ended
December 26,
2021		December 27,
2020
Revenues
Nonreportable segments$32 $33 
EBT
Unallocated cost of revenues$(53)$(74)
Unallocated research and development expenses(453)(406)
Unallocated selling, general and administrative expenses(152)(178)
Unallocated interest expense(139)(142)
Unallocated investment and other income, net23 71 
Nonreportable segments(3)(14)
$(777)$(743)
v3.22.0.1
Acquisitions
 3 Months Ended
Dec. 26, 2021
Business Combinations [Abstract]  
Acquisitions Acquisitions
Completed. On March 16, 2021 (the Closing Date), we completed the acquisition of NuVia, Inc. (NUVIA) for $1.1 billion (net of $174 million cash acquired), substantially all of which was paid in cash. In connection with the acquisition, we assumed or replaced unvested NUVIA stock awards with Qualcomm stock awards with an estimated fair value of $258 million, which have post-acquisition requisite service periods of up to four years. NUVIA has certain in-process technologies and is comprised of a CPU (central processing unit) and technology design team with expertise in high performance processors, SoC (system-on-chip) and power management for compute-intensive devices and applications. Upon completion of development, NUVIA’s technologies are expected to be integrated into certain QCT products. We recorded $885 million of goodwill which is not deductible for tax purposes and was allocated to our QCT segment for annual impairment testing purposes. Goodwill is primarily attributable to assembled workforce and certain revenue and cost synergies expected to arise after the acquisition. We also recorded a $247 million in-process research and development intangible asset related to a single project, which is expected to be completed in fiscal 2023 and, upon completion, will be amortized over its useful life, which is expected to be seven years. Our results of operations for fiscal 2021 included the operating results of NUVIA since the Closing Date, the amounts of which were not material.
Pending. On October 4, 2021, we and SSW Partners, a New York-based investment partnership, entered into a definitive agreement (the Merger Agreement) to acquire Veoneer, Inc. (Veoneer) for $37.00 per share in cash, which values the estimated total cash consideration to be paid to Veoneer’s shareholders, inclusive of amounts expected to be paid at closing for Veoneer’s outstanding equity awards and convertible senior notes due 2024, at approximately $4.5 billion. At closing, SSW Partners will acquire all of the outstanding capital stock of Veoneer, shortly after which it will sell Veoneer’s Arriver business to Qualcomm and retain Veoneer’s Tier-1 automotive supplier businesses. Following the close of the Arriver business sale, we intend to incorporate Arriver’s computer vision, drive policy and driver assistance technologies into our Snapdragon automotive platform to deliver an ADAS (advanced driver assistance systems) platform for automakers and Tier-1 automotive suppliers. The Merger Agreement was approved by Veoneer’s shareholders on December 16, 2021. The acquisition is subject to certain other closing conditions. The Merger Agreement also provides that Qualcomm and SSW Partners are not required to complete the acquisition prior to April 4, 2022. Subject to the satisfaction of these conditions, the acquisition is expected to close in 2022.
We will fund substantially all of the cash consideration that SSW Partners will pay to Veoneer’s shareholders in exchange for (i) our right to acquire, and SSW Partners’ obligation to sell to us, Veoneer’s Arriver business and (ii) our right to receive a portion of the proceeds upon the sale of Veoneer’s Tier-1 automotive supplier businesses by SSW Partners. In addition, we entered into a loan facility under which we will provide financing to Veoneer to support the Arriver business, to the extent requested by Veoneer, in the event that the acquisition has not closed, for the quarter commencing April 1, 2022 and each of the two subsequent quarters of up to $120 million per quarter (up to $360 million in the aggregate), which amounts may be forgiven in certain circumstances in which the Merger Agreement is terminated. An additional amount of up to $120 million for the first quarter of calendar 2023 may be provided under the loan facility if the final outside date, as defined in the Merger Agreement, is extended to April 4, 2023.
In accordance with the Merger Agreement, we paid to Magna International Inc. (Magna) a termination fee of $110 million in the first quarter of fiscal 2022 on behalf of Veoneer in connection with the termination of the previously announced agreement and plan of merger, dated as of July 22, 2021, by and among Magna and Veoneer. The termination fee was recorded in other noncurrent assets as advanced consideration for the acquisition at December 26, 2021 and was classified as cash used by investing activities in the condensed consolidated statements of cash flows in the three months ended December 26, 2021.
v3.22.0.1
Fair Value Measurements
 3 Months Ended
Dec. 26, 2021
Fair Value Measurements [Abstract]  
Fair Value Measurements Fair Value Measurements
The following table presents our fair value hierarchy for assets and liabilities measured at fair value on a recurring basis at December 26, 2021 (in millions):
Level 1Level 2Level 3Total
Assets    
Cash equivalents$3,452 $1,376 $— $4,828 
Marketable securities:    
Corporate bonds and notes— 3,856 — 3,856 
Equity securities700 — — 700 
Mortgage- and asset-backed securities— 137 — 137 
U.S. Treasury securities and government-related securities— 10 — 10 
Total marketable securities700 4,003 — 4,703 
Derivative instruments— 46 — 46 
Other investments751 — 50 801 
Total assets measured at fair value$4,903 $5,425 $50 $10,378 
Liabilities    
Derivative instruments$— $117 $— $117 
Other liabilities751 — — 751 
Total liabilities measured at fair value$751 $117 $— $868 
Long-term Debt. At December 26, 2021, the aggregate fair value of our outstanding floating- and fixed-rate notes, based on Level 2 inputs, was approximately $16.9 billion.
v3.22.0.1
Marketable Securities
 3 Months Ended
Dec. 26, 2021
Investments, Debt and Equity Securities [Abstract]  
Marketable Securities Marketable Securities
Our marketable securities were all classified as current and were comprised as follows (in millions):
December 26,
2021		September 26,
2021
Available-for-sale debt securities:  
Corporate bonds and notes$3,856 $4,459 
Mortgage- and asset-backed securities137 147 
U.S. Treasury securities and government-related securities10 10 
Total available-for-sale debt securities4,003 4,616 
Equity securities
700 682 
Total marketable securities$4,703 $5,298 
The contractual maturities of available-for-sale debt securities were as follows (in millions):
December 26,
2021
Years to Maturity
Less than one year$566 
One to five years3,300 
No single maturity date137 
Total$4,003 
Debt securities with no single maturity date included mortgage- and asset-backed securities.
v3.22.0.1
Basis of Presentation and Significant Accounting Policies Update
 3 Months Ended
Dec. 26, 2021
Basis of Presentation [Abstract]  
Fiscal Period, Policy We operate and report using a 52-53 week fiscal year ending on the last Sunday in September. Each of the three months ended December 26, 2021 and December 27, 2020 included 13 weeks.
Use of Estimates, Policy The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in our condensed consolidated financial statements and the accompanying notes. Actual results could differ from those estimates.
Revenue Recognition We disaggregate our revenues by segment (Note 6), by products and services (as presented on our condensed consolidated statement of operations), and for our QCT (Qualcomm CDMA Technologies) segment, by revenue stream, which is based on industry and application in which our products are sold (as presented below). In certain cases, the determination of QCT revenues by industry and application requires the use of certain assumptions. Substantially all of QCT’s revenues consist of equipment revenues that are recognized at a point in time, and substantially all of QTL’s (Qualcomm Technology Licensing) revenues represent licensing revenues that are recognized over time and are principally from royalties generated through our licensees’ sales of mobile handsets.
Segment Reporting Policy We are organized on the basis of products and services and have three reportable segments.
Segment Reporting EBT Policy Our CODM allocates resources to and evaluates the performance of our segments based on revenues and earnings (loss) before income taxes (EBT). Segment EBT includes the allocation of certain corporate expenses to the segments, including depreciation and amortization expense related to unallocated corporate assets. Certain income and charges are not allocated to segments in our management reports because they are not considered in evaluating the segments’ operating performance. Unallocated income and charges include certain interest expense, certain net investment income, certain share-based compensation, gains and losses on our deferred compensation plan liabilities and related assets and certain research and development expenses, certain selling, general and administrative expenses and other expenses or income that were deemed to be not directly related to the businesses of the segments. Additionally, unallocated charges include recognition of the step-up of inventories and property, plant and equipment to fair value, amortization of certain intangible assets and certain other acquisition-related charges, third-party acquisition and integration services costs and certain other items, which may include major restructuring and restructuring-related costs, asset impairment charges and awards, settlements and/or damages arising from legal or regulatory matters. Our CODM does not evaluate our operating segments using discrete asset information.
v3.22.0.1
Composition of Certain Financial Statement Items (Tables)
 3 Months Ended
Dec. 26, 2021
Condensed Financial Information Disclosure [Abstract]  
Inventories
Inventories (in millions)
December 26,
2021		September 26,
2021
Raw materials$243 $267 
Work-in-process2,125 1,475 
Finished goods1,493 1,486 
$3,861 $3,228 
QCT Revenues Disaggregated QCT revenue streams were as follows (in millions):
Three Months Ended
December 26,
2021		December 27,
2020
Handsets (1)$5,983 $4,216 
RFFE (2) 1,132 1,061 
Automotive (3)256 212 
IoT (internet of things) (4)1,476 1,044 
Total QCT revenues$8,847 $6,533 
(1) Includes revenues from products sold for use in mobile handsets, excluding RFFE (radio frequency front-end) components.
(2) Includes all revenues from sales of 4G, 5G sub-6 and 5G millimeter wave RFFE products (a substantial portion of which are sold for use in mobile handsets) and excludes radio frequency transceiver components.
(3) Includes revenues from products sold for use in automobiles, including telematics, connectivity and digital cockpit.
(4) Primarily includes products sold for use in the following industries and applications: consumer (including computing, voice and music and XR), edge networking (including mobile broadband and wireless access points) and industrial (including handhelds, retail, transportation and logistics and utilities).
Revenue recognized from performance obligations satisfied in previous periods
Revenues recognized from performance obligations satisfied (or partially satisfied) in previous periods were as follows (in millions):
Three Months Ended
December 26,
2021 (1)		December 27,
2020 (2)
Revenues recognized from previously satisfied performance obligations$242 $110 
(1) Primarily related to certain QCT sales-based royalty revenues related to system software, QTL royalty revenues recognized related to devices sold in prior periods (including adjustments to prior period royalty estimates, which includes the impact of the reporting by our licensees of actual royalties due) and certain QCT customer incentives.
(2) Primarily related to QTL royalty revenues recognized related to devices sold in prior periods (including adjustments to prior period royalty estimates, which includes the impact of the reporting by our licensees of actual royalties due) and certain QCT customer incentives.
Customer Concentrations - Revenues Revenues from each customer/licensee that were 10% or greater of total revenues were as follows:
Three Months Ended
December 26,
2021		December 27,
2020
Customer/licensee (x)26 %34 %
Customer/licensee (y)19 13 
Customer/licensee (z)*10 
Investment and Other Income, Net
Investment and Other Income, Net (in millions)
Three Months Ended
December 26,
2021		December 27,
2020
Interest and dividend income$17 $21 
Net gains on marketable securities17 118 
Net gains on other investments93 34 
Net gains on deferred compensation plan assets13 54 
Impairment losses on other investments(1)(1)
Net (losses) gains on derivative investments (13)9 
Equity in net earnings (losses) of investees7 (2)
Net gains (losses) on foreign currency transactions7 (14)
$140 $219 
v3.22.0.1
Capital Stock Earnings per Common Share (Tables)
 3 Months Ended
Dec. 26, 2021
Earnings Per Share [Abstract]  
Schedule of Capital Units
Shares Outstanding. Shares of common stock outstanding at December 26, 2021 were as follows (in millions):
Three Months Ended
December 26,
2021
Balance at beginning of period1,125 
Issued8 
Repurchased(8)
Balance at end of period1,125 
Schedule of Earnings Per Share, Basic and Diluted The following table provides information about the diluted earnings per share calculation (in millions):
 Three Months Ended
December 26,
2021		December 27,
2020
Dilutive common share equivalents included in diluted shares18 22 
Shares of common stock equivalents not included because the effect would be anti-dilutive or certain performance conditions were not satisfied at the end of the period— — 
v3.22.0.1
Segment Information (Tables)
 3 Months Ended
Dec. 26, 2021
Segment Reporting [Abstract]  
Revenues, EBT, and Assets for reportable segments
The table below presents revenues and EBT for reportable segments (in millions):
Three Months Ended
December 26,
2021		December 27,
2020
Revenues
QCT$8,847 $6,533 
QTL1,818 1,660 
QSI8 9 
Reconciling items32 33 
Total$10,705 $8,235 
EBT
QCT$3,114 $1,919 
QTL1,406 1,270 
QSI122 158 
Reconciling items(777)(743)
Total$3,865 $2,604 
Reconciling items for reportable segments - revenues
Reconciling items for revenues and EBT in the previous table were as follows (in millions):
Three Months Ended
December 26,
2021		December 27,
2020
Revenues
Nonreportable segments$32 $33 
EBT
Unallocated cost of revenues$(53)$(74)
Unallocated research and development expenses(453)(406)
Unallocated selling, general and administrative expenses(152)(178)
Unallocated interest expense(139)(142)
Unallocated investment and other income, net23 71 
Nonreportable segments(3)(14)
$(777)$(743)
Reconciling items for reportable segments - EBT
Reconciling items for revenues and EBT in the previous table were as follows (in millions):
Three Months Ended
December 26,
2021		December 27,
2020
Revenues
Nonreportable segments$32 $33 
EBT
Unallocated cost of revenues$(53)$(74)
Unallocated research and development expenses(453)(406)
Unallocated selling, general and administrative expenses(152)(178)
Unallocated interest expense(139)(142)
Unallocated investment and other income, net23 71 
Nonreportable segments(3)(14)
$(777)$(743)
v3.22.0.1
Fair Value Measurements (Tables)
 3 Months Ended
Dec. 26, 2021
Fair Value Measurements [Abstract]  
Fair value hierarchy for assets and liabilities measured at fair value on a recurring basis
The following table presents our fair value hierarchy for assets and liabilities measured at fair value on a recurring basis at December 26, 2021 (in millions):
Level 1Level 2Level 3Total
Assets    
Cash equivalents$3,452 $1,376 $— $4,828 
Marketable securities:    
Corporate bonds and notes— 3,856 — 3,856 
Equity securities700 — — 700 
Mortgage- and asset-backed securities— 137 — 137 
U.S. Treasury securities and government-related securities— 10 — 10 
Total marketable securities700 4,003 — 4,703 
Derivative instruments— 46 — 46 
Other investments751 — 50 801 
Total assets measured at fair value$4,903 $5,425 $50 $10,378 
Liabilities    
Derivative instruments$— $117 $— $117 
Other liabilities751 — — 751 
Total liabilities measured at fair value$751 $117 $— $868 
v3.22.0.1
Marketable Securities (Tables)
 3 Months Ended
Dec. 26, 2021
Investments, Debt and Equity Securities [Abstract]  
Marketable Securities
Our marketable securities were all classified as current and were comprised as follows (in millions):
December 26,
2021		September 26,
2021
Available-for-sale debt securities:  
Corporate bonds and notes$3,856 $4,459 
Mortgage- and asset-backed securities137 147 
U.S. Treasury securities and government-related securities10 10 
Total available-for-sale debt securities4,003 4,616 
Equity securities
700 682 
Total marketable securities$4,703 $5,298 
Investments Classified by Contractual Maturity Date
The contractual maturities of available-for-sale debt securities were as follows (in millions):
December 26,
2021
Years to Maturity
Less than one year$566 
One to five years3,300 
No single maturity date137 
Total$4,003 
v3.22.0.1
Composition of Certain Financial Statement Items Inventories (Details) - USD ($)
$ in Millions
Dec. 26, 2021
Sep. 26, 2021
Inventory, Net [Abstract]    
Raw materials $ 243 $ 267
Work-in-process 2,125 1,475
Finished goods 1,493 1,486
Inventories $ 3,861 $ 3,228
v3.22.0.1
Composition of Certain Financial Statement Items Revenues (Details) - USD ($)
$ in Millions
 3 Months Ended
Dec. 26, 2021
Dec. 27, 2020
Revenue    
Revenues $ 10,705 $ 8,235
Contract with Customer, Performance Obligation Satisfied in Previous Period 242 [1] 110 [2]
Contract with Customer, Liability, Revenue Recognized 187 185
Revenue, Remaining Performance Obligation, Amount 969  
QCT    
Revenue    
Revenues 8,847 6,533
Handsets | QCT    
Revenue    
Revenues [3] 5,983 4,216
RFFE | QCT    
Revenue    
Revenues [4] 1,132 1,061
Automotive | QCT    
Revenue    
Revenues [5] 256 212
IoT | QCT    
Revenue    
Revenues [6] 1,476 $ 1,044
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-12-27    
Revenue    
Revenue, Remaining Performance Obligation, Amount $ 508  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period 9 months  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-09-26    
Revenue    
Revenue, Remaining Performance Obligation, Amount $ 332  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period 1 year  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-09-25    
Revenue    
Revenue, Remaining Performance Obligation, Amount $ 94  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period 1 year  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-09-30    
Revenue    
Revenue, Remaining Performance Obligation, Amount $ 33  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period 1 year  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-09-29    
Revenue    
Revenue, Remaining Performance Obligation, Amount $ 2  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period 1 year  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-09-28    
Revenue    
Revenue, Remaining Performance Obligation, Amount $ 0  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period 1 year  
[1] Primarily related to certain QCT sales-based royalty revenues related to system software, QTL royalty revenues recognized related to devices sold in prior periods (including adjustments to prior period royalty estimates, which includes the impact of the reporting by our licensees of actual royalties due) and certain QCT customer incentives.
[2] Primarily related to QTL royalty revenues recognized related to devices sold in prior periods (including adjustments to prior period royalty estimates, which includes the impact of the reporting by our licensees of actual royalties due) and certain QCT customer incentives.
[3] Includes revenues from products sold for use in mobile handsets, excluding RFFE (radio frequency front-end) components.
[4] Includes all revenues from sales of 4G, 5G sub-6 and 5G millimeter wave RFFE products (a substantial portion of which are sold for use in mobile handsets) and excludes radio frequency transceiver components.
[5] Includes revenues from products sold for use in automobiles, including telematics, connectivity and digital cockpit.
[6] Primarily includes products sold for use in the following industries and applications: consumer (including computing, voice and music and XR), edge networking (including mobile broadband and wireless access points) and industrial (including handhelds, retail, transportation and logistics and utilities).
v3.22.0.1
Composition of Certain Financial Statement Items Concentrations (Details) - Sales - Customer Concentration Risk
 3 Months Ended
Dec. 26, 2021
Dec. 27, 2020
Customer/licensee (x)    
Concentration Risk    
Concentration Risk, Percentage 26.00% 34.00%
Customer/licensee (y)    
Concentration Risk    
Concentration Risk, Percentage 19.00% 13.00%
Customer/licensee (z)    
Concentration Risk    
Concentration Risk, Percentage   10.00%
v3.22.0.1
Composition of Certain Financial Statement Items Investment and Other Income, Net (Details) - USD ($)
$ in Millions
 3 Months Ended
Dec. 26, 2021
Dec. 27, 2020
Investment Income, Net [Abstract]    
Interest and dividend income $ 17 $ 21
Net gains on marketable securities 17 118
Net gains on other investments 93 34
Net gains on deferred compensation plan assets 13 54
Impairment losses on other investments (1) (1)
Net (losses) gains on derivative investments (13) 9
Equity in net earnings (losses) of investees 7 (2)
Net gains (losses) on foreign currency transactions 7 (14)
Investment and other income, net $ 140 $ 219
v3.22.0.1
Income Taxes (Details) - USD ($)
$ in Millions
 3 Months Ended 12 Months Ended
Dec. 26, 2021
Dec. 27, 2020
Sep. 25, 2022
Sep. 26, 2021
Income Taxes        
Effective income tax rate (benefit) 12.00% 6.00%    
Income Tax Expense (Benefit) $ 466 $ 149    
Unrecognized tax benefits 2,100     $ 2,100
Internal Revenue Service (IRS)        
Income Taxes        
Income Tax Expense (Benefit) $ 103 $ 212    
Forecast        
Income Taxes        
Effective income tax rate (benefit)     14.00%  
Forecast | FDII Effective Tax Rate        
Income Taxes        
Effective income tax rate (benefit)     13.00%  
v3.22.0.1
Capital Stock Share Repurchase Program (Details) - USD ($)
$ in Millions
Dec. 26, 2021
Oct. 12, 2021
$30B stock repurchase program announced July 26, 2018    
Stock Repurchase Program    
Remaining authorized amount   $ 900
$10B stock repurchase program announced October 12, 2021    
Stock Repurchase Program    
Authorized amount   $ 10,000
Remaining authorized amount $ 10,100  
v3.22.0.1
Capital Stock Shares Outstanding (Details)
shares in Millions
 3 Months Ended
Dec. 26, 2021
shares
Shares Outstanding [Abstract]  
Common Stock, Shares, Outstanding, Beginning Balance 1,125
Stock Issued During Period, Shares, New Issues 8
Stock Repurchased During Period, Shares (8)
Common Stock, Shares, Outstanding, Ending Balance 1,125
v3.22.0.1
Capital Stock Dividends (Details) - $ / shares
 3 Months Ended
Mar. 24, 2022
Mar. 03, 2022
Jan. 18, 2022
Dec. 26, 2021
Dec. 27, 2020
Subsequent Event          
Dividends per share announced       $ 0.68 $ 0.65
Subsequent Event          
Subsequent Event          
Dividends Payable, Date Declared     Jan. 18, 2022    
Dividends per share announced     $ 0.68    
Dividends Payable, Date to be Paid Mar. 24, 2022        
Dividends Payable, Date of Record   Mar. 03, 2022      
v3.22.0.1
Capital Stock Earnings per Common Share (Details) - shares
shares in Millions
 3 Months Ended
Dec. 26, 2021
Dec. 27, 2020
Earnings Per Share [Abstract]    
Dilutive common share equivalents included in diluted shares 18 22
Shares of common stock equivalents not included because the effect would be anti-dilutive or certain performance conditions were not satisfied at the end of the period 0 0
v3.22.0.1
Commitments and Contingencies Legal and Regulatory Proceedings (Details)
€ in Millions, $ in Millions, ₩ in Billions
 3 Months Ended
Jul. 18, 2019
EUR (€)
Jan. 24, 2018
EUR (€)
Mar. 30, 2017
KRW (₩)
Mar. 30, 2017
USD ($)
Jun. 30, 2019
USD ($)
Dec. 24, 2017
USD ($)
Dec. 26, 2021
USD ($)
Loss Contingencies [Line Items]              
Loss Contingency Accrual             $ 0
KFTC Complaint              
Loss Contingencies [Line Items]              
Loss contingency, loss in period       $ 927      
KFTC Complaint | Korea (South), Won              
Loss Contingencies [Line Items]              
Loss contingency, loss in period | ₩     ₩ 1,030        
Icera Complaint to EC              
Loss Contingencies [Line Items]              
Loss contingency, loss in period         $ 275    
Per annum interest rate for outstanding fines             1.50%
Accrual for EC fine - other current liabilities             $ 283
Icera Complaint to EC | Euro Member Countries, Euro              
Loss Contingencies [Line Items]              
Loss contingency, loss in period | € € 242            
EC              
Loss Contingencies [Line Items]              
Loss contingency, loss in period           $ 1,200  
Per annum interest rate for outstanding fines             1.50%
Accrual for EC fine - other current liabilities             $ 1,200
EC | Euro Member Countries, Euro              
Loss Contingencies [Line Items]              
Loss contingency, loss in period | €   € 997          
v3.22.0.1
Segment Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Dec. 26, 2021
Dec. 27, 2020
Segment Reporting Information [Line Items]    
Revenues $ 10,705 $ 8,235
EBT 3,865 2,604
Cost of revenues (4,303) (3,489)
Research and development expenses (1,930) (1,653)
Selling, general and administrative expenses (608) (567)
Interest expense (139) (141)
Investment and other income, net 140 219
Reconciling Items    
Segment Reporting Information [Line Items]    
Revenues 32 33
EBT (777) (743)
Cost of revenues (53) (74)
Research and development expenses (453) (406)
Selling, general and administrative expenses (152) (178)
Interest expense (139) (142)
Investment and other income, net 23 71
QCT    
Segment Reporting Information [Line Items]    
Revenues 8,847 6,533
EBT 3,114 1,919
QTL    
Segment Reporting Information [Line Items]    
Revenues 1,818 1,660
EBT 1,406 1,270
QSI    
Segment Reporting Information [Line Items]    
Revenues 8 9
EBT 122 158
Other Segments | Reconciling Items    
Segment Reporting Information [Line Items]    
EBT $ (3) $ (14)
v3.22.0.1
Acquisitions (Details) - USD ($)
$ / shares in Units, $ in Millions
Oct. 04, 2021
Mar. 16, 2021
Dec. 26, 2021
Sep. 26, 2021
Business Acquisition        
Goodwill     $ 7,264 $ 7,246
NUVIA        
Business Acquisition        
Payments to Acquire Businesses, Net of Cash Acquired   $ 1,100    
Cash   174    
Fair value of stock awards assumed or replaced in connection with acquisition   $ 258    
Share-based Compensation Arrangement by Share-based Payment Award, Award Requisite Service Period   4 years    
Goodwill   $ 885    
In-process research and development (IPR&D)   $ 247    
Weighted average amortization period (years)   7 years    
Veoneer        
Business Acquisition        
Business Acquisition, Share Price $ 37.00      
Payments to Acquire Businesses, Gross $ 4,500      
Termination fee paid 110      
Veoneer | Q2FY24        
Business Acquisition        
Other Commitment 120      
Veoneer | Minimum        
Business Acquisition        
Other Commitment 120      
Veoneer | Maximum        
Business Acquisition        
Other Commitment $ 360      
v3.22.0.1
Fair Value Measurements Fair Value Hierarchy (Details) - Fair Value, Recurring
$ in Millions
Dec. 26, 2021
USD ($)
Assets  
Cash equivalents $ 4,828
Marketable securities 4,703
Derivative instruments 46
Other investments 801
Total assets measured at fair value 10,378
Liabilities  
Derivative instruments 117
Other liabilities 751
Total liabilities measured at fair value 868
Level 1  
Assets  
Cash equivalents 3,452
Marketable securities 700
Derivative instruments 0
Other investments 751
Total assets measured at fair value 4,903
Liabilities  
Derivative instruments 0
Other liabilities 751
Total liabilities measured at fair value 751
Level 2  
Assets  
Cash equivalents 1,376
Marketable securities 4,003
Derivative instruments 46
Other investments 0
Total assets measured at fair value 5,425
Liabilities  
Derivative instruments 117
Other liabilities 0
Total liabilities measured at fair value 117
Level 3  
Assets  
Cash equivalents 0
Marketable securities 0
Derivative instruments 0
Other investments 50
Total assets measured at fair value 50
Liabilities  
Derivative instruments 0
Other liabilities 0
Total liabilities measured at fair value 0
Corporate bonds and notes  
Assets  
Marketable securities 3,856
Corporate bonds and notes | Level 1  
Assets  
Marketable securities 0
Corporate bonds and notes | Level 2  
Assets  
Marketable securities 3,856
Corporate bonds and notes | Level 3  
Assets  
Marketable securities 0
Equity securities  
Assets  
Marketable securities 700
Equity securities | Level 1  
Assets  
Marketable securities 700
Equity securities | Level 2  
Assets  
Marketable securities 0
Equity securities | Level 3  
Assets  
Marketable securities 0
Mortgage- and asset-backed securities  
Assets  
Marketable securities 137
Mortgage- and asset-backed securities | Level 1  
Assets  
Marketable securities 0
Mortgage- and asset-backed securities | Level 2  
Assets  
Marketable securities 137
Mortgage- and asset-backed securities | Level 3  
Assets  
Marketable securities 0
U.S. Treasury and government-related Securities  
Assets  
Marketable securities 10
U.S. Treasury and government-related Securities | Level 1  
Assets  
Marketable securities 0
U.S. Treasury and government-related Securities | Level 2  
Assets  
Marketable securities 10
U.S. Treasury and government-related Securities | Level 3  
Assets  
Marketable securities $ 0
v3.22.0.1
Fair Value Measurements Long-term Debt (Details)
$ in Billions
Dec. 26, 2021
USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Abstract]  
Long-term Debt, Fair Value $ 16.9
v3.22.0.1
Marketable Securities (Details) - USD ($)
$ in Millions
Dec. 26, 2021
Sep. 26, 2021
Marketable Securities    
Available-for-sale Securities, Current $ 4,003 $ 4,616
Marketable securities 4,703 5,298
Less than one year 566  
One to five years 3,300  
No single maturity date 137  
Debt Securities, Available-for-sale 4,003  
Corporate bonds and notes    
Marketable Securities    
Available-for-sale Securities, Current 3,856 4,459
Mortgage- and asset-backed securities    
Marketable Securities    
Available-for-sale Securities, Current 137 147
U.S. Treasury and government-related Securities    
Marketable Securities    
Available-for-sale Securities, Current 10 10
Equity securities    
Marketable Securities    
Marketable securities $ 700 $ 682